Strategic Plan Marine Living Resources Fund (MLRF) 2015/15 – 2019/20 Revised: 2015/16

1. Strategic Plan Marine Living Resources Fund (MLRF) 2015/15 – 2019/20 Revised: 2015/16

2. Acronyms • NDP : National Development Plan • NGP : New Growth Path • IPAP : Industrial Policy Action Plan • APAP : Agricultural Policy Action Plan • SONA : State of the Nation Address • MLRF : Marine Living Resources Fund • MLRA : Marine Living Resource Act • DAFF : Department of Agriculture, Forestry & Fisheries • EPWP : Extended Public Works Programme • WfFP : Working for Fisheries Programme

3. Acronyms (cont.) • EEZ : Exclusive Economic Zone • CARA : Conservation of Agricultural Resources Act • IFSS : Integrated Fisheries Security Strategy • NT : National Treasury • MTEF : Medium Term Expenditure Framework • ICT : Information & Communications Technology • CFO : Chief Finance Officer • M&S : Monitoring & Surveillance • FPV : Fisheries Protection Vessels • GDP : Gross Domestic Product

4. “All our natural living "marine resources and our marine environment belong to all the people of South Africa.” Marine Living Resources Act, 1998 Marine Living Resources Fund Strategic Plan 2015-2019

5. Introduction South Africa has a coastline of 3000km Marine Living Resources Fund Strategic Plan 2015-2019

6. (courtesy of Petroleum Agency SA) Introduction South Africa has an exclusive economic zone totaling 1 535 538 km, including Prince Edwards Island Under the law of the sea, an exclusive economic zone (EEZ) is a seazone over which a state has special rights over the exploration and use of marineresources, including production of energy from water and wind Marine Living Resources Fund Strategic Plan 2015-2019

7. Introduction South African waters has high levels of marine biodiversity due to the confluence of two currents, the cold Benguela Current on the west coast and the warm Agulhas Current on the east coast. South Africa has 22 commercial fisheries sectors Marine Living Resources Fund Strategic Plan 2015-2019

8. Introduction • South Africa has two fishery sectors which are: • Wild capture fisheries - include commercial, recreational and small scale fisheries, each with their own specific research and management mandates • Aquaculture - is considered an underdeveloped sector in South Africa. This sector has been prioritised due to declining wild stocks and is key in terms of Operation Phakisa milestones Marine Living Resources Fund Strategic Plan 2015-2019

9. Background The MLRF was established in terms of Section 10 of the Marine Living Resources Act, 18 of 1998 (MLRA) and finances the main operations of the Branch: Fisheries Management of the Department of Agriculture, Forestry and Fisheries (DAFF). The mandate of the Fisheries Management branch (MLRF) is to manage, develop and promote the sustainable use of South Africa’s marine living resources and aquaculture. Marine Living Resources Fund Strategic Plan 2015-2019

10. Background • The MLRFand DAFF share a common vision, mission, values and strategic objectives of the Department: • Vision: United and transformed agriculture, forestry and fisheries sector that ensures food security for all and economic prosperity. • Mission: Advancing food security and transformation of the sector through innovative, inclusive and sustainable policies, legislation and programmes. • Values: • Drive: driven to deliver excellent service through leadership and professionalism • Attitude: being an ambitious, passionate, reliable and dedicated workforce • Fairness: acting with objectivity, empathy, integrity and transparency • Focus: focusing on people, economic and rural development Marine Living Resources Fund Strategic Plan 2015-2019

11. Strategic Priorities • Over the next Medium Term (MTEF), the Fisheries sector will focus on the following key strategic priorities (Fisheries 9-point Plan): • Implement aquaculture catalyst projects as part of the Operation Phakisa initiative. • Formulation and approval of a draft Aquaculture Bill for public consultation. • Conduct research into genetics and nutrition for selected aquaculture • species. • To contribute towards increased employment and skills development by creating 535 Full-Time Equivalent jobs under the EPWP/Working for Fisheries Programme (WfFP). Marine Living Resources Fund Strategic Plan 2015-2019

12. Strategic Priorities (cont.) • Expedite the allocation of fishing rights to registered small- scale • fishing co-operatives to alleviate poverty, promote food security; • equitable access and sustainable utilization. • Recovery plans developed to address depletion of fish stocks challenges for 3 of the 4 prioritized fish stocks, namely Abalone; West Coast Rock Lobster and Deep Sea Hake. • Manage the utilization of marine resources by setting of Total Allowable Catches and Total Allowable Effort in 22 fishing sectors. • Conducting research and compiling reports on the status of fish stock levels. • Ensure compliance and enforcement efforts in 4 prioritised sectors, • namely Hake; Abalone; Rock Lobster and Linefish. Marine Living Resources Fund Strategic Plan 2015-2019

13. Policy Mandates • National Development Plan (NDP) • New Growth Path (NGP) • Industrial Policy Action Plan (IPAP) • Agricultural Policy Action Plan (APAP) • State of the Nation Address (SONA) 2015 • 9-point Plan Marine Living Resources Fund Strategic Plan 2015-2019

14. Situational Analyses: Strengths • Internal Resource Capability as Catalyst for Regional collaborations • The MLRF owns a fleet of six large, • customized modernized sophisticated • protection and research vessels, • regarded as the best in Southern • hemisphere and is supported by a • monitoring system. • These resources are critical in strengthening important collaborations between countries on the continent as well as in terms of research training, capacity sharing, Monitoring, Control and Surveillance related training. Marine Living Resources Fund Strategic Plan 2015-2019

15. Situational Analyses: Strengths • Fisheries Scientific Innovations: Our Good Story • The fisheries research is recognized as one of the best in the world over the • past five years by the International Fisheries Stock Assessment Review Panel. • The African Journal of Marine Science Journal is one of the consistently highly • rated journal in the continent, as rated by the Institute of Scientific • Information (which rates Scientific Journals). Our current score is 1.056 • which is quite high. • The MLRF hosts the biggest marine science library in Africa and this has been evidenced by the volumes of inter-library applications for marine science publications from across the continent and other countries abroad. • We believe that this innovation reinforces South Africa’s leadership in scientific research in respect to our critical natural resources such as Snoek, Abalone, Western Cape Rock Lobster, Hake and therefore provides our country with a competitive advantage both in the continent and internationally. Marine Living Resources Fund Strategic Plan 2015-2019

16. Situational Analyses: Weaknesses • The fisheries sector contributes roughly 0, 1% of GDP. • The total output is estimated at 600 000 tons worth about R6 • billion • It is estimated that the direct employment in the industry • constitutes approximately 27 000 jobs (16 000 in the primary • sector and 11 000 in the secondary and tertiary sectors). • It is therefore important that further economic development opportunities are explored to improve the sector’s contribution towards the GDP. Marine Living Resources Fund Strategic Plan 2015-2019

17. Situational Analyses: Weaknesses • Additional 81 000 people are indirectly employed in industries that are at least partially dependent on the fishing sector. • According to one study, 68% of commercial line fish stocks have collapsed, and another 11% are over-exploited. • Against this backdrop, DAFF is keen to mobilize the promotion of transformation of the fisheries sector and leverage the participation of small-scale fishing communities in the sector. • As such, the amended Marine Living Resources Act will grant small-scale fishing communities better access to fishing rights, resourcesand promote government food security imperatives. Marine Living Resources Fund Strategic Plan 2015-2019

18. Situational Analyses: Growth Opportunities • Socio-Economic Growth Opportunities: • The Department currently has 12 proclaimed fishing harbors, with 16 un-proclaimed harbors which have the potential to contribute towards socio-economic transformation, growth and food security along the entire coastline. • The aquaculture sector growth and • development is seen as one of the key • ground-breaking opportunities for the • Department as part of the Operation • Phakisa ocean economy initiative. Marine Living Resources Fund Strategic Plan 2015-2019

19. Situational Analyses: Growth Opportunities • Job Creation Contribution: • The DAFF is aiming to ignite the growth and empowerment of our youth, • women and differently-abled people through the Extended Public Works • Programme (EPWP) - Working for Fisheries Programme (WfFP) with targets • set out as follows: • 55% youth, • 55% women, and • 2% differently-abled people • To achieve this goal, the creation of jobs is dependent on available funding Marine Living Resources Fund Strategic Plan 2015-2019

20. Situational Analyses: Threats • Limited natural resources: • The sector is faced with limited, depleting and a collapse of the 3 of the 4 priority fishery sectors: Abalone; West Coast Rock Lobster and Deep Sea Hake. • There is also a growing reliance on the resources as a source of food security for many communities. • Hence, the Department is resolute and committed towards strengthening recovery measures for depleted stocks, broadening the scope of aquaculture as well as empowering fishing communities on alternative livelihoods avenues in order to ensure sustainable food security. • Access to markets: • Persistent changes in the global market conditions continue to pose • challenges to the fishing sector’s ability to access markets for the • exportation of fishing products and economic growth. Marine Living Resources Fund Strategic Plan 2015-2019

21. Situational Analyses: Threats • Climate change: • Climate changes have resulted in the migration of natural resources from their original habitat, therefore leading to increasing levels of poverty, unemployment, increasing levels of poverty, unemployment, infrastructure dilapidation because of either closure and/or migration of fish processing facilities to other areas. • Illegal fishing: • Fisheries generally is a highly contested industry, both locally and globally. It is plagued with syndicated crime, overexploitation of high-value species, corruption and low compliance levels. • We therefore believe that it is crucial that we accelerate comprehensive responses to this complex, highly technical and technologically advanced challenge of local and international organized crime. Marine Living Resources Fund Strategic Plan 2015-2019

22. Risk Management • Inability to carry out core fisheries functions and mandates and ability to meet predetermined objectives……will be mitigated through: • Formulation of plan to improve efficiency of revenue collection • Investigate potential additional sources of revenue • Business case to NT for additional MTEF allocations • Realistic planning and target setting • Utilisation of under-expenditure in other cost-centres • Revisiting strategic plan • Inadequate ICT-systems and ageing technology……will be mitigated through: • Developing appropriate policies including infrastructure plan • Developing electronic data management system Marine Living Resources Fund Strategic Plan 2015-2019

23. Risk Management • Inadequate SCM-processes…will be mitigated through: • Further training for SCM practitioners • Develop enterprise procurement plan • Insufficient human resources and appropriate skills in key positions…will be mitigated through: • Coordination with Corporate Services Branches and CFO • MLRF to adopt applicable HR policies • Insufficient budget to cover personnel and operational requirements…will be mitigated through: • Business case motivations to the National Treasury & DAFF • Increased efforts to collect all sources of revenue Marine Living Resources Fund Strategic Plan 2015-2019

24. Institutional Arrangements • The Fisheries branch has adopted an integrated approach towards achieving government Strategic Objectives through its six sub-programmes: • Aquaculture and Economic Development: to ensure aquaculture growth and fisheries economic development for sustainable livelihoods by providing public support, and an integrated platform for management of aquaculture. • Fisheries Research and Development: to ensure the promotion of the sustainable development of fisheries resources and ecosystems by conducting and supporting appropriate research. • Marine Resource Management: to ensure sustainable utilization and equitable and orderly access to the marine living resources through improved management and regulation Marine Living Resources Fund Strategic Plan 2015-2019

25. Institutional Arrangements • The Fisheries branch has adopted an integrated approach towards achieving government Strategic Objectives through its six sub-programmes: • Monitoring, Control and Surveillance: to ensure the protection and promotion of sustainable use of marine living resources by intensifying enforcement and compliance • Fisheries Operations Support: to provide support services to fisheries • Chief Financial Officer : responsible for the financial management of the MLRF. Marine Living Resources Fund Strategic Plan 2015-2019

26. Institutional Stakeholder Management • The Fisheries branch has a myriad of stakeholders both locally, regionally and internationally, with whom it engages on strategic and governance imperatives, inter alia: • Chief Executive Officers (CEOs) Forum • Scientific Working Groups • Fisheries Management Working Groups (Inshore & Off-shore Fisheries) • Commercial and Small-scale stakeholders • Other governments and Local Municipalities • Higher Learning Institutions (Universities & Universities of Technology) • Regional Fisheries Management Organizations (RFMOs) • Portfolio Committee (PFC) • Select Committee of Public Accounts (SCOPA) • Auditor General South Africa (AGSA) • Internal Audit (IA) • Ezemvelo Kwa Zulu Natal (EKZN) Wildlife • South African Maritime Safety Authority (SAMSA) Marine Living Resources Fund Strategic Plan 2015-2019

27. Strategic Objectives Marine Living Resources Fund Strategic Plan 2015-2019

28. Strategic Objectives Marine Living Resources Fund Strategic Plan 2015-2019

29. Strategic Objectives Marine Living Resources Fund Strategic Plan 2015-2019

30. Focused Expenditure Investments • Amidst limited government financial resources; the Fisheries Branch will devote its resources towards achieving the Strategic Objectives over the medium term through the following innovative and efficient mechanisms: • Focused spending will be on performing enforcement and compliance operations in prioritised fisheries sectors; • Building partnerships with other governmental institutions; therefore synchronizing efforts and resources strategically and avoiding silos, duplication and wasteful expenditure. • Job creation in the coastal and rural communities and broadening the scope of the aquaculture sector; as catalysts towards sustainable growth and food security. Marine Living Resources Fund Strategic Plan 2015-2019

31. Fisheries Funding Mechanisms • Fisheries major expenditure elements are under the direct control and administration of the MLRF (the Fund) and are expected to increase over the MTEF: • The expenditure for vessel operational costs (patrol and research • vessels), and • An Increase in the EPWP/WfFP projects • It is therefore important to emphasise that the aforementioned priorities are funded through: • the collection of own revenue (i.e. levies on fish and fish products, permit fees, licence fees, etc.), and • transfers received from DAFF (financial contributions for Aquaculture projects, EPWP/Working For Fisheries Projects and Vessel Operating Costs). Marine Living Resources Fund Strategic Plan 2015-2019

32. Analysis of Revenue Projected Marine Living Resources Fund Strategic Plan 2015-2019

33. Expenditure Allocations • Expenditure allocations over the MTEF periods are: • Disclaimer: The above projected MTEF figures were finalized during December 2014 and their allocation can change based on the priorities identified by management. Marine Living Resources Fund Strategic Plan 2015-2019

34. Annual targets (see pages 15-20) Marine Living Resources Fund Strategic Plan 2015-2019

35. Annual targets (see pages 15-20) Marine Living Resources Fund Strategic Plan 2015-2019

36. Annual targets (see pages 15-20) Marine Living Resources Fund Strategic Plan 2015-2019

37. Annual targets (see pages 15-20) Marine Living Resources Fund Strategic Plan 2015-2019

38. Annual targets (see pages 15-20) Marine Living Resources Fund Strategic Plan 2015-2019

39. Annual targets (see pages 15-20) Marine Living Resources Fund Strategic Plan 2015-2019

40. Annual targets (see pages 15-20) Marine Living Resources Fund Strategic Plan 2015-2019

41. Annual targets (see pages 15-20) Marine Living Resources Fund Strategic Plan 2015-2019

42. Annual targets (see pages 15-20) Marine Living Resources Fund Strategic Plan 2015-2019

43. Annual targets (see pages 15-20) Marine Living Resources Fund Strategic Plan 2015-2019

44. Technical Indicator Descriptions (TIDs)

45. Technical Indicator Descriptions (TIDs)

46. Technical Indicator Descriptions (TIDs)

47. Technical Indicator Descriptions (TIDs)

48. Technical Indicator Descriptions (TIDs)

49. Technical Indicator Descriptions (TIDs)

50. Technical Indicator Descriptions (TIDs)