is the property right of a stock
represented as shares that can be bought and sold. They are generated when a stock is introduced into the quota managment system (QMS
). Quota generates annual catch entitlement
) at the start of each fishing year. Quota share holdings are guaranteed by the Crown and are able to have mortgaged and other securities registered against them.
Quota for a stock is expressed as shares that are whole numbers:
- The total number of quota shares for all fish stocks is always 100,000,000 shares.
- The value of one share is equal to one hundred-millionth of the total allowable commercial catch of the stock.
The Ministry of Fisheries Chief Executive is required to keep a quota register; this is a public register for the purposes of the Privacy Act 1993, is held electronically and is open for inspection. This has been devolved and is managed by FishServe.
Aggregation limits on quota holdings
Aggregation limits prohibit any person (including any legal entity and "associated persons") from holding more than a specified amount of quota shares.
- Aggregation limits do not apply to ACE, only to quota.
- Quota held in excess of an aggregation limit is forfeit to the Crown without compensation.
- Under section 59 of the Act some species have aggregation limits at a species level (the sum of all the TACCs of all QMAs for that species), while other species have aggregation limits at a stock level.
Automatic exemption from aggregation limits is provided to the Crown, Te Ohu Kai Moana Trustee Limited and the Chatham Islands Enterprise Trust.
The Minister of Fisheries can consent to a person holding more than the specified aggregation limit by notice in The Gazette.
The Minister is required to consult all other quota holders of the species or stock before making a decision. The Minister takes into account various factors before making the decision and can impose conditions on that consent. The Minister cannot grant consent if the person requesting the extension has already exceeded the limit.
Under section 45 of the Act, no overseas person can hold quota, without obtaining consent.