Cost recovery review

In late 2006, the previous government agreed to a review of aspects of the fisheries cost recovery regime.

A joint working group, made up of officials from the Ministry, the Department of Conservation and representatives of the fishing industry, was established to advise the government on improvements that could be made. The working group was unable to reach a consensus on a new framework and rules. The group submitted its report to the Minister in December 2007, a report that contained different approaches to cost recovery and split recommendations.

In response to that report, Cabinet agreed in September 2008 that a new model is needed as the basis for new cost recovery rules. The model should be based on the objective of equity, while seeking efficiency gains where appropriate and keeping within fiscal parameters set by the government.

The new government has established a number of reviews in collaboration with industry, including a joint review of the delivery of observer and research services. Work currently underway on Fisheries 2030 may also have an important impact, by informing the objectives of cost recovery and clarifying the roles of government and industry in delivery of services. As a result, further work on cost recovery will be postponed until Fisheries 2030 is further advanced, the joint review of observer and research services completed, and progress is made on the other collaborative initiatives.