McConalogue announces Brexit Voluntary Tie-up Scheme for Irish fishing vessels to improve quota availability for vessels who continue fishing

McConalogue announces Brexit Voluntary Tie-up Scheme for Irish fishing vessels

McConalogue announces Brexit Voluntary Tie-up Scheme for fishing vessels to improve quota availability for vessels who continue fishing

Minister for Agriculture, Food and the Marine Charlie McConalogue today announced a 2022 Brexit Voluntary Temporary Fishing Vessel Tie-up Scheme for the polyvalent and beam trawl fleets.

The scheme is an extension of the 2021 Tie-up scheme, with some modifications, and will help mitigate the impacts of quota cuts for 2022 arising from the Brexit Trade and Cooperation Agreement. The scheme delivers on a recommendation of the Report of the Seafood Task Force – ‘Navigating Change’ (October 2021) and is proposed for funding under the EU Brexit Adjustment Reserve.

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The Minister said: “I am pleased to announce today a second tranche of supports for voluntary tie-up of polyvalent and beam trawl vessels to mitigate the impacts of TCA quota cuts on fishers’ incomes in 2022. The object of the scheme is to enable a reduction in quota uptake so as to improve quota availability for the fleet overall throughout the remainder of the year.  The €24 million scheme I am announcing today delivers on a key recommendation of the Report of the Seafood Task Force – Navigating Change (October 2021).  In light of the quota cuts taking effect in 2022 I have modified the scheme so that vessel owners can, if they wish, choose to tie-up for up to two calendar months.  This enhanced tie up opportunity will free up additional quota for those vessels continuing to fish, supporting viability in the wider fleet.”

Payment rates will be the same as the 2021 scheme.  Vessel owners participating in the 2022 scheme will again be required to distribute one third of that payment to crew.   In order to maintain the supply of fish to processors and fish mongers, vessels choosing to tie-up for two months must maintain a two-month gap between tie-up months, for example June and September or July and October. The scheme will initially be expected to operate over the period June to October, but the Minister will be asking the European Commission to amend the approval of the scheme to encompass November so as to provide for an additional August/November tie up option. Payment rates will be the same as the 2021 scheme. Further details will be published by Bord Iascaigh Mhara (BIM) shortly.

The following payment rates will apply:

Size of vessel (overall length)

Calculation based on Income minus variable costs (fuel, provisions)

Payment per 1 month tie-up period

Under 10m

€4,600

10m – 11.99m

€7,100

12m – 14.99m

€14,200

15m – 17.99m

€24,500

18m – 20.99m

€45,400

21m – 23.99m

€59,000

24m – 39.99m

€88,700

The Scheme will be administered by Bord Iascaigh Mhara and further details will be available from BIM at bim.ie/fisheries/funding/

In March 2021, Minister McConalogue set up the Seafood Sector Task Force to examine the implications for the Irish Fishing industry and coastal communities particularly dependent upon it arising from the Brexit Trade and Cooperation Agreement, agreed between the European Union and the UK.  The Task Force was charged with recommending initiatives that could be taken to provide supports for development and restructuring, so as to ensure a sustainable fishing fleet and to identify opportunities for jobs and economic activity in coastal communities dependent on fishing.

Minister McConalogue received the Report of the Seafood Task Force – Navigating Change on 11 October 2021. The report recommended 16 support schemes at a total estimated cost of €423 million.  These stakeholder recommendations are being urgently examined across Government with particular regard to available funds, eligibility of the recommended measures for funding under the EU Brexit Adjustment Reserve and with regard to State Aid rules and the Public Spending Code.  This process is very well advanced, with five schemes already announced.  A number of additional support schemes are with the European Commission for State Aid approval.

A Brexit Voluntary Temporary Fleet Tie-up Schemes for 2021 was recommended by the Task Force Report and was implemented over the period October to December 2021 at a cost of €10 million.  Some 177 vessels participated in the scheme.

Source: Press Release

Brian J McMullin Solicitors
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McConalogue announces Brexit Voluntary Tie-up Scheme for Irish fishing vessels

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