Edited transcripts from the workshop Vulnerability in Coastal Communities: Adaptations to Change and Planning for the Future August 23-25, 2003 Change Islands, Newfoundland and Labrador CENTRE FOR COASTAL STUDIES • SIMON FRASER UNIVERSITY ACKNOWLEDGEMENTS Authors Allison Catmur, Sociology Department, Memorial University of Newfoundland Kyla McGrath, Political Science Department, Memorial University of Newfoundland Maureen Woodrow, Executive Officer, Global Environmental Change and Human Security Project, Carleton University. We would like to thank the following people and organizations for making this event a success: Steering Committee Doug House, Department of Sociology, Memorial University Patricia Gallagher, Director, Centre for Coastal Studies, Simon Fraser University Maureen Woodrow, Executive Director, Global Environmental Change and Human Security Project, Carleton University Wallace Bown, General Manager, Stages and Stores Heritage Foundation, Change Islands John Peckford, Deputy Mayor, Change Islands Herb Bown, President, Stages and Stores Heritage Foundation, Change Islands Kyla McGrath, Political Science Department, Memorial University Sponsors Linking Science and Local Knowledge Node of the Oceans Management Research Network (OMRN), Simon Fraser University, Burnaby, British Columbia The Global Environmental Change and Human Security Project (GECHS), Carleton University, Ottawa, Ontario Stages and Stores Heritage Foundation, Change Islands, Newfoundland and Labrador Simon Fraser University, Centre for Coastal Studies Government of Newfoundland and Labrador, Department of Industry, Trade and Rural Development Fisheries and Oceans Canada Fisheries Products International Heritage Foundation of Newfoundland and Labrador Kittiwake Economic Development Corporation Atlantic Canada Opportunities Agency Special thanks are extended to the people of Change Islands for their warm hospitality and for sharing their experiences and ideas. -1- INTRODUCTION Over the past decade, rural Newfoundland and Labrador suffered greatly from the closure of the fishery and the resulting out-migration of its people. The goal of the “Vulnerability in Coastal Communities: Adaptations to Change and Planning for the Future” workshop held on Change Islands on August 23-25, 2003 was to build an understanding about the vulnerabilities and adaptations within the rural coastal communities of the province, draw lessons from best adaptive practices, and develop guidelines for coastal community-based approaches to achieve future sustainability. The workshop was co-hosted by the Linking Science with Local Knowledge Node of the Ocean Management Research Network (OMRN), the Global Environmental Change and Human Security Project (GECHS) and Stages and Stores Heritage Foundation The Linking Science and Local Knowledge Node of the Ocean Management Research Network is committed to building capacity for coastal and ocean resource management at the local level. It is a group of natural and social scientists with their government, First Nations, community, industry and non-governmental organization partners who work together to assist in the development of sustainable ways of life in coastal communities. The Global Environmental Change and Human Security Project project works with communities and regions internationally to understand adaptations in areas that are environmentally, socially and economically vulnerable as the result of changes in the environment. The partnership between the two networks of researchers brings a comparative international dimension to the issue of sustainable livelihoods in coastal communities. Locally, a partnership with the Stages and Stores Heritage Foundation – which works to preserve and promote the unique heritage structures of Change Islands – was formed to ensure that the local community was a full participant in this international event. Change Islands (inc. 1951) is a group of islands off the northeast coast of Newfoundland located in Notre Dame Bay between Twillingate and Fogo Island. In the past, many of these islands were inhabited but at present the local population is concentrated on what are known as the North and South Islands. The focal point of the community is the tickle that separates the two Islands, which are now connected by a wooden bridge. Fishermen have inhabited Change Islands since the latter half of the eighteenth century when the Labrador fishery rose to prominence. By the beginning of the twentieth century, it was a prosperous settlement with a population of over 1,000 people. They fished the adjacent North Atlantic waters or worked in the many large merchant premises that were established in the coves, on the rugged shores, and on the many adjacent smaller islands. With the introduction of modern fishing technology and the recent closure of the northern cod fishery, the population census has declined to 360 in 2001 (www.stagesandstores.com). This community served as a perfect location for the workshop as it exemplifies many of the common problems that trouble coastal communities in Newfoundland and Labrador. The organizers felt that it was crucial to hold a workshop on vulnerability in a vulnerable coastal community to enable participants to experience the concerns of the community from those who live within it. -2- SUNDAY, AUGUST 24TH, 2003 WELCOME Patricia Gallaugher, Co-Investigator, Linking Science and Local Knowledge Node, Ocean Management Research Network, Simon Fraser University, BC. Maureen Woodrow, Executive Director, Global Environmental Change and Human Security Project, Carleton University, Ottawa, ON. Patricia Gallaugher, Co-Investigator, Linking Science and Local Knowledge Node, Ocean Management Research Network, Simon Fraser University, BC. “Where I come from, living a productive life isn’t based on wealth. It is living in a culture so rich it haunts those who leave; where people are unpretentious and genuine.” Tracey O’Reilly, Newfoundlander, Edmonton. National Post, Letter to the Editor. August 15th, 2003 The Ocean Management Research Network was established three years ago by the Social Science and Humanities Research Council (SSHRC) in partnership with the Department of Fisheries and Oceans. These two organizations realized that science alone will not resolve the situation in Canada in terms of ocean and coastal resource management, sustainability, and conservation. The network represents an effort to address these issues by bringing together natural and social scientists, government and community. The aim of the OMRN is to “create and share knowledge for the application of critical thinking and best practices in oceans management in Canada.” The OMRN is structured around three central research topics or “nodes” based at three Canadian universities that guide the work of its members across the country. The Vulnerability in Coastal Communities conference was organized by the Linking Science and Local Knowledge node based at Simon Fraser University. The other two nodes are the Integrated Management node and the Sustainability node, based at the University of Manitoba and Memorial University of Newfoundland respectively. The Linking Science and Local Knowledge node seeks to “facilitate communication and knowledge exchange between natural and social scientists and local stakeholders, both to achieve integrated sustainable management of coastal areas, and to build capacity at all levels to implement new forms of governance.” The node focuses on three key themes: marine conservation, economic diversification and building capacity for decision making. This is the final year of the OMRN. There is a need to work on new ideas for extending the life of the network. Working together and sharing experiences is critical because most of the problems that people are facing in Change Islands are the same problems that people are facing on the west coast of Vancouver Island, in Alert Bay, in Prince Rupert, on Cape Breton, in Moncton and in rural New Brunswick. From coast to coast to coast, we hear the same stories revolving around efforts to help coastal communities survive. -3- Maureen Woodrow, Executive Director, Global Environmental Change and Human Security Project, Carleton University, Ottawa, ON. “I personally believe that rural communities are the fabric of society, the fabric of our Canadian nation, and if it disappears, we are going to lose a lot.” It was decided to host the conference on Change Islands to expose participants to the realities of life in a vulnerable community in the hope to gain a deeper understanding of what vulnerability means. Questions that conference participants should think about while exploring the community of Change Islands include: • What kind of future can a community like Change Islands have? • How can a community such as Change Islands survive given that present social and economic situation and the trend towards globalization? • What kinds of adaptations could take place to preserve this and other rural communities? • How can we plan for a viable, sustainable future? OPENING ADDRESS Yvonne Jones, Minister of Fisheries and Aquaculture and Minister responsible for the Status of Women, Government of Newfoundland and Labrador. “ I know, what it is like from a government perspective to go through a transition in the fishery, but I have also experienced it personally with my family. I grew up in the fishery and I come from a long generation of fisher people. I feel that when I came into this portfolio, I came with a great deal of knowledge of how the industry works, and knowledge of how the people who were the recipients and the workers in the industry in Newfoundland and Labrador felt on a daily basis. I can certainly relate, not only as the daughter of a fishing family, but also as a counsellor who was very much involved with the transition to NCARP and the TAGS programs.” The provincial Department of Fisheries and Aquaculture works closely with the federal government on joint management issues. Together, we are looking for solutions on how to manage the fishery through the changes that have occurred. A pressing issue that we currently face is how to rebuild the communities that have suffered as a result of the Moratorium and make them viable for the future. The fishery has shaped the fabric of Newfoundland and Labrador society and culture. Now, in her role as provincial minister, Yvonne Jones looks at the issues surrounding the fishery on a broader scale than she used to – at the provincial level instead of at the regional level of Southern Labrador and the community where she grew up. The fishing industry and the entire province of Newfoundland and Labrador are weathering a crisis caused by the Moratorium. This crisis has hit the small coastal communities the hardest. Last year there was a new closure, and currently there are many concerns with regards to the crab and shrimp fisheries. Many people responded to the collapse of the cod fishery by gearing their operation towards shellfish - shellfish became a panacea. As a result, any change in the shellfish industry will have serious repercussions. The province is facing tremendous challenges, but it is not facing them alone. Impacts from collapsed fisheries are being felt internationally. There are many similarities to the situation in Newfoundland and Labrador, but there are also some differences. In the case of Newfoundland -4- and Labrador, out-migration is a particular challenge. The spread out pattern of settlement, with 60% of the population concentrated in the Northeast Avalon, presents its own set of challenges. The mentality of Newfoundlanders and Labradorians, which includes the insecurities felt by people in the coastal communities, hinders progress. The fishery has shaped the province and in particular, its rural communities and the fishery is now threatened causing people to worry. The key to success is for the province to build a more co-operative approach to governance with the federal government and with communities. Communities must work harder to have their voices heard, to achieve this co-operation, to work towards diversification, and to regain control of the fishery. At times like this, dedicated, energetic leadership with a vision and long-term commitment is critical. We are seeing this strong leadership in many parts of the province. For example, Agnes Pike is a leading woman in society who is working on building confidence in the communities in lower Labrador. This leadership is also evident in Change Islands with the creative Stages and Stores Enterprise and Heritage Foundation. In the province, many things have been taken for granted because they did not have any apparent value at the time. Newfoundlanders and Labradorians must begin to reassess the simple things around them that may have a hidden value. For example, rare plants in the province are of great value. The small fruits in the province – blueberries, bakeapples and partridgeberries for instance – have great potential. The fantastic rock formations across the province are other assets that are often unacknowledged. We must try to understand and appreciate the value of things that in the past have been taken for granted. Aquaculture is very important to the province, but aquaculture projects cannot occur in every community. Given the right incentives, the capacity can grow; but it will take federal and provincial governments and communities investing together for the long term. Tourism is also a growing industry that has grown tremendously in the past few years. Visiting Newfoundland and Labrador is “good for the soul.” Adventure tourism and cultural tourism are important for the future of the province. Projects such as the restoration of the stages and stores in Change Islands are an investment in the future. This is a good example of a way in which the fishery of the past is being transported into the present and can be transformed to be productive for the future. The infrastructure exists, and it is up to the community to utilize it. In order to achieve success, a strong partnership between the provincial and federal governments and the communities is essential. By working collectively, the vulnerabilities can be overcome. The government of Newfoundland and Labrador is willing to work with rural regions overcome their challenges. OCEAN MANAGEMENT – VULNERABLE COASTAL AND OCEAN RESOURCES Global Perspective : Voices from the outside Gert Van Santen, Sr. Policy Advisor, Rural Development, World Bank (Retired). Bonnie McCay, Cahir, Department of Human Ecology, Cook College, Rutgers the State University and Directior, New Jersey Centre for Environmental Indicators Gert Van Santen, Sr. Policy Advisor, Rural Development, World Bank (Retired). “My family comes from an island in the Netherlands so I feel right at home here on Change Islands.” -5- The small-scale fisheries of the world are extremely important. The International Centre for Living Aquatic Resources Management (ICLARM) estimates that 51 million people are involved in the catching and processing of fish around the world, and over 95% of these people are involved in the small-scale fishery (80% of them in Asia). It is further estimated that these smallscale fisheries of the world account for about 40% of the world’s marine and inland fish catches. Nevertheless, in most countries, the small-scale fishery is neglected by administrators, politicians, and academia. The industrial fishery receives all the attention; particularly regarding fisheries management issues and fish stocks in the temperate waters. The result is a lack of knowledge regarding what makes the small-scale fisheries effective and sustainable compared to the industrial fisheries. Issues surrounding the small-scale fishery sector are highly politically charged and this often results in administrators and politicians being reluctant to tackle them. Some argue for little interference, insisting that a laissez-faire approach will allow the market to determine the future of the sector. A rich fishery existed in the coastal regions of Holland during the Middle Ages. The small boat fishery of the area utilized the same technology over a period of 500-600 years and licenses and permits restricting the number of fishers. The main purpose was to limit the supply of fish and assure high quality, as well as protect critical spawning grounds. Soon, rulers and cities became aware of the advantages of rent sharing, and the fishery became a long-term source of public revenue as well as private benefits. Starting in the early 15th century, a new industrial fishery focussed on salted herring spread throughout much of the North Sea. Holland was at the fore of this new development and as a result, held a prime economic position in Europe in the 17th century. The small-scale fishery in Holland remained coastal and traditional, focusing on local markets. Innovations focused on improvements in vessels, safety and fish preservation, and little was done to enhance efficiency. Both the small-scale and the industrial herring fisheries were heavily controlled, with much local jurisdiction over quality, quantity, and price of the catch as well as on number of licences and the nature of the technology and the crew. Since the 1970s, four major Dutch herring companies developed as a result of European Union (EU) subsidies and Dutch tax concessions. These make up the largest fleet of pelagic trawlers in the world. The herring stocks quickly declined – a sign of the destructive impact of subsidyenhanced production-oriented EU and local policies. The fleet began fishing for other species for export and Holland began importing most of its herring from Scandinavia. Nevertheless, four major Dutch companies continued to be involved in the profitable processing and distribution of the herring. In the mid-1990s they made a deal with the Scandinavian suppliers stating that these countries would continue to catch the fish, processing would be handed over to Danish companies, and the Dutch would be in charge of wholesaling. Today, the Dutch wholesalers act like a cartel, determining the quantity of fish to be caught on a weekly basis, and ensuring that the Dutch market gets just enough herring to satisfy demand while avoiding the costs of big buffer stocks and losses. Transfer prices are mutually agreed, and there is the incentive to slightly undersupply the Dutch market to let retail prices inch upward. After the Second World War, the Dutch also became the major producer of North Sea flatfish with its modern and powerful fleet of beam trawlers. This fleet is based out of four traditional fishing villages where local producer organizations regulate participation in the fishery. EU quota arrangements were introduced after the 1980s. -6- Early mistakes in the Dutch fishery included the tax and subsidy arrangements that resulted in over-investment and over-capacity. More recently, however, the Dutch have been able to avoid the mistakes of the past. Since the 1980s, the size of the fleet has diminished, partly due to the EU policies aimed at reducing fishing overall efforts. This reduction, combined with the Dutch handling of transport and marketing of the flatfish, has resulted in the flatfish being the most profitable product of the entire sector. The Dutch companies dominate at the flatfish auctions, thereby controlling the prices, which have increased steadily. Despite the early mistakes, the Dutch fishery is alive and healthy today. The key factors that have contributed to the success of this fishery include the informal linkage between production and marketing as well as the production organizations that have been relatively well organized and increasingly effective in influencing fishery policy at the national and EU level. The most intensive small-scale fisheries of the world are found in Indonesia and the Philippines. There are three categories of small-scale fisheries in these regions: those that have been least affected by external pressures, those that are being destroyed by external pressures, and those that have managed to survive by changing the parameters of their governance and management systems. Some of the coastal fisheries in Indonesia and the Philippines still utilize a traditional technology to supply a traditional market through a traditional set of intermediaries who handle the market and provide credit. For the most part however, this system has been destroyed because some people believed the system to be exploitative. Growing markets in China and Japan, combined with the improved transportation and new, often inappropriate, technologies (e.g.: cyanide fishing), led to over-fishing in most places. Local management systems collapsed due to external encroachment, and in many places, the local fishery has been destroyed. Now, the fisheries provide a meagre and declining income to a growing population of small-scale fishers. Some of the most productive fisheries in the world (such as those of the Java Sea and the Sulu Sea) are declining and may be destroyed by the intensive fishing effort. The replacement of the local system of single intermediaries with other methods such as auctions, foreign traders, or multi-trader arrangements has contributed to the decline. The fishermen are not organized to handle the preservation and distribution of their catch, and so the traders control the auctions and the market. In the small island fisheries of the Pacific, often the decision-making and conflict resolution fell to the respected elders. External pressures leading to population growth and the introduction of foreign and industrial fishers have transformed these traditional arrangements. Many of these reef fisheries are now threatened. Another interesting case study is Japan. The fishery in Japan is a well-integrated, well-planned, and strategically developed fishery. Starting approximately 100 years ago, the fishers were organized into local co-operatives responsible for the management of all aspects of fishing activities, the marketing of the product, as well as the fish culture activities. The result has been profitable and stable small-scale fishing sector. The country developed extremely high standards, and they avoid excessive exploitation of the resources. Several generations of fishermen and cooperative managers now possess the knowledge and skills necessary to manage the local fisheries. Different levels of wholesalers and retailers link the co-operatives to national markets, and most provide a fixed quantity of fish to specific retailers. Co-operatives have incentives to maintain local fish stocks at their most productive level, achieving income growth through quality improvement and value-added processing. Technological improvements have focussed on vessel -7- seaworthiness, safety and speed, as well as on reducing operating costs and improving the quality of the product. The Japanese fishery is a good example of how small-scale fisheries can be successful given appropriate governance. The system is geared specifically to the Japanese situation, and is based on Japanese concepts of corporatism, group loyalty and mutual obligation, capital formation and national and international trade. A final example of a successful small-scale fishery is the tuna fishery of the Maldives. They have developed a particular system of processing tuna which is greatly esteemed by the Sri Lankans. They trade the processed tuna with Sri Lanka in exchange for rice, oil and other necessities. There have been some disruptions in this trade in the past, and policy-makers decided that the country should not remain dependent on a single export commodity and the single market. They invited Japanese and Korean interests to purchase fresh tuna from their local fishing fleet and to start a canning operation. The local technology was adapted to adjust to the new requirements brought about by the demand for fresh tuna. The country experienced a huge increase in production due to the mechanization of boats. The fleet soon out-produced the local collection and storage system. The country was able to prohibit the introduction of modern seining technology, and stuck with the small-scale pole and line technology which was far more efficient and cost-effective, and provided more local employment and value-added while at the same time preserving the local fishing culture of outlying islands. In both the preserved and fresh tuna fisheries, the country has made use of a fixed price system. After experiencing trouble with the foreign owned freezing and canning operations, they decided to handle these sectors through a state-owned company. The main problems have surrounded the inadequate and badly organized collection arrangements, processing capacity constraints, and political interference in the company running the fishery plants. These problems draw attention to the importance of dependable links between production and marketing at every stage of development in the small-scale fisheries, and the equally important need for transparent management. External and internal political pressure to open-up the fishery and processing to foreign interests points to the political risks of creating a profitable and effective ‘closed’ small scale fishery. There has been pressure to introduce a laissez-faire policy framework, which would potentially destroy island communities. Tempting offers from outside the country pose threats to the economic base of the local small-scale fishery. The problem of migration from outlying islands would be intensified, and private companies would use their monopoly power to push down the prices of fish, reducing the net domestic benefits including employment that the current system distributes to many local communities with virtually no alternative employment opportunities. Based on the analysis of these and other cases, it can be argued that the following 10 key attributes must be present for the small-scale fisheries of the world to be successful and sustainable: • Static exploitation of local stocks at levels well below biologically optimal levels; • A carefully analyzed selection of technology and technological improvements; • Controlled investment; • Controlled entry and exit of labour, and careful organization of fishermen at the local, regional and national level. • Effective governance that provides: -8- • • • 1. Protection of local small-scale fisheries, and control of all other fisheries activities that operate in its vicinity; 2. Support functions (research, extension) at the local, regional, and national level; Local leadership with sufficient background and experience, or access to externally available knowledge, to handle the political, cultural, financial, scientific and technical aspects of governance activities, conflict management, and sector planning; A direct, stable link between fish production and processing/marketing, with preferably negotiated transfer prices; and A global system identifying fish produced by sustainable small-scale fisheries, and providing premium prices for such products to producers. It is critical to recognize the impact of political decisions on the fisheries. There are many examples of places where people have made decisions to develop economies in a certain way, yet these plans are not always the best for the fishery. Planning is sometimes more appropriate than laissez-faire, which can be a dangerous model - especially in the fishery. Many economies have done well by opting for interplay between control and the private sector. Protection for the smallscale fisheries should come from above, but local leadership is essential and must be strengthened. “Laissez-faire environment, open markets, market determined pricing, unregulated trade and investment flows, open access to resources and unregulated labour will destabilize and eventually destroy most small-scale fisheries.” “Any belief that small scale fisheries can function in an environment of benign neglect, as is happening all over the world, may be politically and administratively convenient, but is intellectually dishonest, morally wrong, and very dangerous for the future of the sector and the fishermen involved in it.” Bonnie McCay, Chair, Department of Human Ecology, Cook College, Rutgers the State University and Director, New Jersey Centre for Environmental Indicators. “My first visit to this area was in 1970 when I came to the meetings of the Learned Society in St. John’s. Travelling across the Trans-Canada Highway, I listened to a CBC radio interview with Parzival Copes, a distinguished economist who was speaking about the problems of rural Newfoundland. 1970 was a long time ago. I stayed for a while that summer and then I came back and lived on Fogo Island for a while. I have been coming back to Fogo Island ever since.” The issues and problems facing rural Newfoundland are sometimes spoken of in terms of the Tragedy of the Commons which refers to problems of open access. What McCay learned back in the 1970s still applies in the province today. She conducted her research at a time when Schumacker’s book “Small is Beautiful” was popular in discussions about rural development. Her focus in the 1970s was on appropriate technology in the fishery. The predominant opinion was that technological changes should be appropriate to the local communities. The long-liner fishery of Change Islands and Fogo Island were a great example of the need for appropriate technology in the fishery. The Fogo Island Co-operative was formed to produce these long-liners locally using local materials. The long-liners were improved in a traditional way, and the traditional production unit - the family fishery - continued using this new technology. In the mid-1970s, the local fishers had noticed that the catch per unit effort was decreasing and “water-hauls” were becoming -9- common. These were indications of a problem. Appropriate technology programs had neglected two things: First, the need for appropriate resource management; and second, the need for local autonomy and control over critical decisions about the nature and direction of development ensuring this development is appropriate for the community. Although long-liners were needed and considered an appropriate technology, people on Fogo Island were pushing for a fish plant not for long-liners. They did not want more fish, they wanted to get value-added from the fish they had. Meanwhile, it was the governments and companies that were pressuring and manipulating what the new co-operative was doing. The concepts of “vulnerability and resilience” in terms of small coastal communities in the province are important to understand. They can be thought of in terms of health. Health is the “freedom from disease and the freedom from trouble” but also the “ability to come back when you’ve had trouble” or the ability to “weather the storm” and “rally from insults”. It requires the ability to make the “appropriate investment towards an important goal” and to “avoid major and irreversible choices.” The coastal communities in Newfoundland and Labrador are vulnerable because of the decline in northern cod and other species (salmon for example). The fishery is central to these communities - they are fisheries dependent. They have few alternatives and they have a long history in the fishery. It is embedded in the culture - people acquire their identity, the sense of who they are, from fishing. The fishery requires some aspect of the commons, and therefore, the commons is a very critical part of the past, present and future of coastal communities – both the commons on land and the commons at sea. It is here that the question of tragedy of the commons arises. Should access to the commons be open and equitable, or should it be controlled? The vulnerabilities expressed in terms of the tragedy of the commons are as follows: • mismanagement, • moving down the food chain, and • tragedies in other sectors of the economy that results in fewer options for the people of coastal communities; e.g. privatization and industrial transformation of the forest economy. These vulnerabilities reduce the options and the flexibility of the people to respond to change. They take a toll on the health or “resilience” of these communities. Consider the concept of “fishing heritage”. There are many reminders of the long history of the fishery in these communities. If we consider the concept of heritage, we note that “heritage” implies that something is gone. There is evidence that much of our heritage within and outside of the fishery is gone or is being neglected. For example, stages and stores in Newfoundland have deteriorated. Meanwhile, we attract tourists in an effort to compensate for these losses. It is crucial to redefine and protect what is important to Newfoundland and Labrador coastal fishing communities. To help achieve this we can ask ourselves the following questions: Who does this heritage work? Whose value is it assigned to? What is the interplay of values? With what results? What are these “heritage” features for? We must recognize the ceremonial value of this heritage. Take, for example, the Stages and Stores restoration and preservation project on Change Islands. For one, the purpose of this restoration and preservation of heritage features is to attract tourists. Also, it helps to redefine and protect what is important for local people and to life in coastal fishing communities. Other aspects of this heritage includes things such as houses, schools, stages and stores, festivals, music, trails, crafts, etc. History is important. Individual communities like Change Islands and Fogo Island each have a very powerful history, as does the province as a whole. For example, there is the history of -10- merchant control and resistance movements in the fishery, the Fisheries Protective Union, Joey Smallwood, and the resettlement program. Also it is important to what the responses to challenges were in the past. On Fogo Island, The Fogo Process was an interesting initiative in which a documentary film was used to promote community development. It was made possible by the National Film Board, the MUN Co-operative Extension, and local leaders on Fogo Island. This process has come to be known across the country and around the world. In 1967, the Fogo Island Co-operative (at first a ship-building and producer’s co-op) was established. The history of the Co-op is one of working hard at diversification. Diversification is part of “weathering the storm,” or building up resilience and avoiding irreversible decisions. The Co-op wanted to establish a longliner fishery beyond cod, and in 1979 they entered into freshfrozen production. They have done work around the snow-crab fishery, moving it from a supplementary fishery to a full-time fishery. Recently, the Co-op has also focussed activities on the shrimp fishery which began in 1998. In 2000, a plant was licensed to process shrimp. The concept of “flexible specialization,” which refers to, for example, producing for East Asian niche markets, has become a guiding principle. It is important to have institutions like the Fogo C-op that can help people by becoming a source of planning for an uncertain future. These plans might include diversification, product development, job creation and labour management. In practice the changes that have occurred in the provincial economy have led to: 1. People struggling to meet their bills and increasingly needing to rely on emplyment insurance to survive. 2. Serious problems with the fisheries including unstable stocks. 3. People entering the snow scab fishery which requires them to fish in smal boats further from the shore in dangerous conditions. 4. An increased commitment to large-scale costly technology (e.g – from 20 ft boats to 64 ft boats, from wooden skiffs to steel vessels). 5. An increased cost to enter the fishery (e.g. from $5,000 - $10,000 to millions of dollars) which limits access to the fishery. Economic changes also cause social changes. Equal shares become, for instance, 70/30 splits (“boat” versus “crew” where crew members get as little as 4% of net proceeds). These types of splits cause a move from home ownership to morgaged homes, and a reliance on offshore buyers to finance the purchase of boats. These are only some of the social costs. Vulnerabilities spawned from this phenomenon include fewer jobs, fewer hours for those with jobs because of increased efficiency of plants. Also, there has been an increase in competition – particularly surrounding the crab fishery which further aggravates the situation. These circumstances have led to out-migration which is another major crisis facing the province. Discussion and Questions from Global Perspective, Voices from the Outside Omar Chouinard (University of Moncton): They tried to control the market in the Fogo Island case, but can anyone compete with the driving force of the market? Gert Van Santen (World Bank): It is important to try to exert some amount of control over the market. In Norway, the salmon fishery is in big trouble because of over-investment and a lack of control over the market which results in too much dumping. However, taking control does not necessarily mean one community controlling what they produce. If small communities came together, their products could be sold at higher prices. Co-operatives are one way that people can -11- come together to exert some control over the market. It might be possible to exert some control by coming together as a province, or even as a country. You produce fish on your own terms – the appropriate quantities, etc. The problem is people are going far away to sell their product in places they could not have even dreamt of going before – and this is crazy. “Producing fish, as far as I am concerned, is not necessarily that important. It has to fit into creating sufficient benefits for people to be able to live in that community, and that is what a lot of people forget.” Richard Haedrich (Memorial University): Scale is very important in the fishery. A single community may not be able to do it alone. It is critical that we think at the level of the ecosystem. At this level there are universal rules. With regards to diversification, in certain sorts of systems, diversification may actually reduce the options rather than increasing them. For example, if we start to fish too many low value species, we risk putting the whole system in a worse state. Herb Bown (Stages and Stores Foundation): With regards to co-operatives and controlled marketing, would this go against international trade agreements? Gert Van Santen (World Bank): Globalization can be very dangerous, and it is not the solution for the majority of people in the world. In terms of the fishery, one possibility to address this is a certification process whereby there would be a stamp on product from sustainable communities. These products would be sold at higher prices. Higher prices are not a problem - look at Japan they have the highest prices in the world, and yet on average they eat 80 kilos of fish per year. In West Africa they are trying to compete in world markets - this is crazy. They should be focusing on producing smaller amounts on their own terms - high quality product for the local markets, with a certification process. It cannot be done at the local level, it must be done at the national level - thus politics is crucial. Larry Felt (Memorial University): Surprisingly, he cod moratorium had little impact on the world price. What are the first few steps for government or the community to move in the direction of controlled marketing? At the policy level, how do you manage a fish crisis and how do you break into the global market? Given the scale of these factors, what are the first two things to be done on the part of the government? Bonnie McCay (Rutgers the State University): A starting point would be for all fisheries to be harvested at a lower level. Next, diversification in the fishery would be desirable. There are different markets. Cod is a low-value species, crab and lobster on the other hand are valuable. There needs to be a system in which people find value in downsizing. Gert Van Santen (World Bank): In West Africa they are creating fisheries councils at the local and national level that are linking with Ministries. In Senegal, they are trying to get a Fisheries Commission started. It is difficult to get policy changes that go against the grain if the fishery is not a big part of the economy. Therefore, in those places where the fishery is not a big sector, it is in big trouble. In Newfoundland, as in Senegal and Mauritania, the fishery is very important it is a huge part of the economy. Political decisions at the national level concerning the overall economy, etc., are critical. Mike Warren (Government of Newfoundland and Labrador): The fishery is extremely important in this province, but it is not nationally (i.e.; at the federal level). This is a critical issue that the province is working on. The fishery needs to be given priority at the national level. -12- Bruce King (Change Islands, former plant employee): For years, there have been male capelin dumped at the community dump. This year, there has been a decline in capelin stocks. Is this kind of waste seen elsewhere in the world? Gert Van Santen (World Bank): Most waste occurs in temperate waters. In India, for example, they have a large shrimp fishery. In most shrimp fisheries in temperate waters, they dump most of the fish that is caught and keep only the shrimp. In India, they catch and keep everything. Waste is a bigger problem in developed countries. One question we should be asking is what can we do with this waste? Can it be put to use in aquaculture? Bonnie McCay (Rutgers the State University): An important question to ask is should capelin even be caught for commercial purposes? In the past they would check the percentages of male and females, the quality of the fish, etc., before the trap was drawn. They would only be brought in when the roe was ready. All the fish should not be brought in. This is a good example of local people paying attention to what is going on in the ecosystem. The fish should only be brought in when it is ready for market. Richard Haedrich, Biology Professor, Memorial University of Newfoundland The ocean is a complex web of interdependencies. None of the systems in the ocean can operate in isolation - there are repercussions everywhere. Each species is part of a food chain, which in turn are part of wider food webs. A missing The Sad Story of the Northern Cod Fishery link in one food chain will have an impact on other species connected to that food LANDINGS, Tonnes (Thousands) chain and in the larger web. We must begin 1000 to view the fishery in terms of this Sampling period 800 ecosystem web - as an ecological phenomenon. 600 400 200 0 1960 1965 1970 1975 1980 1985 1990 YEAR Size and CPUE for cod (Gadus morhua) 100 CATCH SIZE Gm/individual 2000 80 60 1500 40 1000 20 500 0 78 80 82 84 86 Year -13- 88 90 92 Number/tow People are a part of the ecosystem equation too. We need to have an appreciation of the human role in the problem. Cod fish play a central role in the whole ecosystem. When commercial stocks decline, other noncommercial stocks also decline. For example, the biomass of dominant commercial species such as cod and flounder has decreased. Connected with this, rays, sharks, pouts and wolfish have also declined. These were not commercially fished - the decline is attributable to an ecological problem. In the Northern Gulf of St. Lawrence fisheries, cod stocks are down and shrimp stocks are up. This is an indication of the nature of the codfish as a significant predator in the ocean. Metric tons x 1000 On the human side of the equation, the How groundfish landings have changed population of Newfoundland and Labrador is declining, a trend closely related to the decline of the groundfish fisheries. The 1200 Northern Peninsula has experienced a great 1000 decrease in population since the 800 Labrador Moratorium. After the 200-mile limit was Grand Banks 600 established, this same area had experienced NS/St. Lawrence an increase in population. Changes in the New England 400 ecosystem have far-reaching implications, 200 and the impacts are visible in these small 0 coastal communities of the province. A 1955 1965 1975 1985 1995 Year change in the nature of the fishery also accompanies the changes in the ecosystem, and this has socio-economic implications for communities. The decline in cod and the increase in shrimp, for example, results in one fishery being replaced by another. This trend is People are a part of the equation too also evident in the expansion of the snow 1000s of people crab fishery. 600 30 500 28 400 26 Fishermen are a great source of information Nfld & Lab 300 24 N Peninsula about the ocean ecosystem. For a long time, 200 22 fishermen had been saying that the size of 100 20 200-mi EEZ Moratorium the cod was going down. Landings of cod 0 18 1966 1971 1976 1981 1986 1991 1996 were down, and catch per unit effort Year (CPUE) of crab was up. It has been determined that there is a correlation between smaller cod sizes and the increase in crab catch. Size is important because only larger codfish will predate on the crab. When cod size went down the numbers of crab went up. This is a good illustration of the repercussions of disruptions in the food chain. This ecological relationship was figured out by Troy Coombs, a student from Notre Dame Bay. Socioeconomic and political environment Fisheries evolve as Fishery 1 Community 1 Fishery 2 Community 2 Fishery 3 Community 3 the fish community is changed Biological and physical environment -14- The number of Northern wolfish – a noncommercial species – has been in decline since the 1980’s. By 1992 there were almost none left. As a result of the work of former Memorial University student Niall O’Dea, in 2001 the Northern wolfish was one of the first marine fish to be added to Canada’s endangered species list. What led to the decline of this species if it was not being commercially fished? The problem was at the level of the ecosystem. As recently as last May, the Northern Cod was also listed as endangered on Canada’s Species at Risk Act. Cod landings vs snow crab CPUE 300 1000 t 250 ? (lbs/trap/day) ? ? ? 40 ? 30 ? 200 ? 150 20 ? landings CPUE 100 10 50 ? 0 85 86 87 88 89 90 91 92 ? 93 0 Year The Species at Risk Act categories include: endangered, threatened, special concern, data deficient, and not at risk. The table above shows the number of species potentially at risk from among the 266 Atlantic marine fishes in the Northwest Atlantic and the Northern Gulf. Number of Species Some of the wording of the Species at Risk Act raises concerns. Section 6 of the “Species at Risk Act” reads as follows: “The purposes of this Act are to prevent wildlife species from being extirpated or becoming extinct, to provide for the recovery of wildlife species that are extirpated, endangered or threatened as a result of human activity and to manage species of special concern to prevent them from becoming endangered or threatened.” Further wording of this act is questionable. For example, section 32(1) states: “No person shall kill, harm, harass, capture or take an individual of a wildlife species that is listed as (…) an endangered species or a threatened species.” Yet, section 83(4) states that “subsection 32 (…) does not apply to a person who is engaging in activities that are permitted by a recovery strategy, an action plan or a management plan.” This raises the question of who makes the recovery plan. In section 37(1), we discover that a “competent minister” is in charge of preparing the recovery plan. What about the ideas of other people? Section 39(1) states that the minister can prepare the plan in How many potential Species at Risk? consultation with “any other person or organization that the (…) minister considers appropriate.” What does all 160 140 this mean? It seems to imply that co120 management is built into this act. 100 NW Atlantic N Gulf 80 60 40 20 0 EN TH SC COSEWIC Status -15- DD NAR Provincial/Local Perspective (Voices from the inside) Elizabeth Davis, Commissioner, Royal Commission on Renewing and Strengthening Our Place in Canada “Dear Natash, We have a lot of work to do in our community our community is dying…Let us work together – we wil be able to help our children and our grandchildren. We will be the ones to show them something beautiful about our lifestyle, our traditions – something beautiful that we can leave for them when we are gone.” Elizabeth Penashue Sheshatshiu, Labrador The Royal Commission on Renewing and Strengthening Our Place in Canada was established by Premier Roger Grimes in June 2002 and given 13 months to gather opinions, information and recommendations based on a comprehensive mandate. This mandate included the following: • To undertake a critical analysis of the province’s strengths and weaknesses; • To make recommendations as to how the province might achieve prosperity and selfreliance; • To review and assess expectations since Confederation in 1949; • To examine how the province is viewed in Canada; • To research the effects of the Terms of Union; • To review the contributions of the province to Canada; • To determine the arrangements with Canada that might hamper the province’s progress; • To analyze the demographic changes in the province and their impacts; • To assess how the province can take full advantage of its strategic location. The commission made a strong effort to be independent, inclusive, and seed setting. During the deliberations, the commission met with 1,400 people in 25 public meetings, held school visits, women’s meetings, and business meetings. Eight round tables were held, one with people who were adults at the time of confederation. The Commission received 25 written submissions, produced 28 research papers and conducted 2 polls (one national and one provincial). “Without a doubt, I believe the next five to ten years will be a watershed for the province in all aspects of society. Analyzing our role within Confederation will serve as the genesis of a greater plan towards greater prosperity.” Excerpt from the Public Consltations Six key principles emerged from these public consultations: • There is a great passion for the province; • There is a need for new ways of thinking; • There is a need for a new kind of relating; • It is time for action; • People have a determined hope for the future. -16- The commission noted that, among other things, the province contributes the following to Canada: • A diversity Aboriginal and non-Aboriginal cultures; • The openness and warmth of the people; • The skilled and talented workforce; • A strategic geographic location; • A world renowned fishery; • Important hydroelectric and petroleum resources. “Let’s not fall into the trap that some misguided souls may have by asking what have we done for Canada – the evidence is under our feet and in the Atlantic blue sky and on the broad ocean, and in the war graves of Europe and our proven generosity toward all, and in the skyscrapers of Ontario and Alberta and in the B.C. industries, and in the mainland univesities and our music and stories.” Excerpt from the Public Consultations They also noted that Canada has made significant contributions to the province, including: • Newfoundland and Labrador is an equal province with 9 others; • There has been an improvement in the overall health and education of the population since confederation; • Personal incomes have risen; • Infrastructure has improved (roads, schools, hospitals etc.) • New programs – such as Medicare, Canada Pension, and Equalization - have benefited the people of the province; The commission felt that the mutual benefits were apparent, and that a balance sheet exercise would be extremely complex and ultimately unproductive (for example, how do we account for lost benefits from Churchill Falls or the locational benefits that the province brings to Canada?). Overall, the commission determined that expectations of people in the province had not been met. This is attributable to a powerful set of circumstances, such as: -17- • • • • • • • The collapse of the fishery under federal control; Benefits of hydroelectric development in Labrador that accrues to Quebec; Double digit unemployment for the last 35 years (much higher than the rest of Canada); 12% of population lost to outmigration (only 4 years of positive migration since 1951); Canada as principle beneficiary of oil revenues; Lowest per capita income; Highest per capita debt. The commission heard a message loud and clear from the people of the province: it is time to pursue a new two-way partnership with Canada, as the current relationship is in disarray. The people of the province rejected the idea of separation, but they also rejected the status quo. The federation must be capable of change, and the time is ripe to go ahead with that change. In the past, the relationship between the province and Canada has been characterized by a lack of understanding leading to blame, acrimony and confrontation. A new relationship must be based -18- not on a competitive and dismissive federalism, but on collaboration, co-operation based on new ways of thinking and relating. A premium must be placed on respect, fairness and understanding. The relationship must be strong enough to withstand crises, flexible enough to accommodate circumstances and creative enough to find solutions. We must attain social inclusion, listen to women’s values and experiences, clarify the rights of Aboriginal people, and close the Newfoundland-Labrador divide. The government must commit to fiscal prudence, and the arrangements of federal transfer programs must be sorted out. It is critical to recognize the key role that youth have to play in securing the future of the province. The fishery also requires significant attention. This is the last chance for a collaborative approach to building a viable future for the fishery. An Action Team to be jointly appointed by the Premier and the Prime Minister should be formed with a threefold mandate: To rebuild the groundfish stocks, to sustain the shellfish stocks, and to restore science to the process. The question of the future of rural Newfoundland and Labrador is a critical item on the agenda. There needs to be a public dialogue to address this question, and this is where creativity will be an important factor in the equation. The quest for the best possible returns from natural resources is another important issue that must be seriously considered. The inequities of the Churchill Falls arrangement, which have seen Quebec benefit from the hydroelectric resources of Labrador, have shaped perceptions of the province’s place in the federation. Newfoundland and Labrador has not been the principal beneficiary of revenues from offshore oil and gas developments, and therefore the spirit and intent of the Atlantic Accord have not been met. Furthermore, there has been a failure to develop the hydro potential of the Churchill River at Gull Island for the past 30 years. The federal government needs to be partner in the development of this project, which should not be linked to an alteration in the terms of the Churchill Falls development. Other important observations made by the Commission include the fact that the province is poorly represented in terms of housing federal institutions. There are no departmental Atlantic regional headquarters located in Newfoundland and Labrador. Also, the federal focus on the “Atlantic region” often means that the specific interests of the province become invisible when it is integrated with the Maritime provinces. The locational challenge facing the province is another issue that requires attention. Improved transportation and communication infrastructure will require joint funding from the provincial and federal governments. The Gulf ferry link is crucial and in need of improvements. The pathway to renewal will require the relentless pursuit of a comprehensive and cohesive strategy and the forging of new alliances. It is critical that all the people of the province pull together to meet the challenges. The way forward is based on a new collaborative partnership built on the core values of fairness, equity and respect. -19- Discussion and Questions arising from Ocean Management – Vulnerable Coastal and Ocean Resources, Provincial/Local Perspective Herb Bret (Federation of Municipalities; Mayor of Arnold’s Cove): How does the population of seals affect the balance of the ecosystem? Richard Haedrich (Memorial University): The cod population has gone down - it is about 1% of what it used to be, but the seal population is not doing what we would expect it to do if they were completely dependent on the cod. They are showing some signs of stress but there are large numbers of seals now. If you look at the whole ecosystem, there are periods of time over which things will come back into balance, and it is possible that this is what is happening now. Crab and shrimp are probably also out of balance, there are more of them than there would be if there were more cod. Seals are probably also out of balance, and there is the risk that they will slow the recovery. A lesson from other places is that once you have a system that is out of balance like ours, the more you interfere with the system, the worse it gets. We need to pay attention to the seal issue, but not rush in and have a seal cull. If you remove the seals because they might be eating the cod, then the smaller, more rapidly producing cod become dominant. Often the biggest predator on cod are other cod. We must tread carefully when trying to engineer parts of a system that we don’t understand completely. Gert Van Santen (World Bank): With regards to an integrated management system, the future of this process is uncertain. We must have faith, however, that someone will put it into action as there are people working on it right now. What is happening with the scientific community regardinga total allowable catch that can be set that is in keeping with the capacity of the ecosystem? Richard Haedrich (Memorial University): Some people are in the process of working on ecosystem models. Although this is imperfect for now, the time will come when it will be possible to develop an ecosystem model. For the time being, it is important to keep the precautionary principle in mind – when in doubt, we must be cautious and err on the side of the fish. One interesting model is a food web model, not based on species but on sizes. Question: What is being said about the state of capelin and in terms of a rebuilding strategy for cod? What is the scientific community saying about capelin in terms of it being a species that needs to be monitored compared to other species that cod would consume? -20- Richard Haedrich (Memorial University): Capelin represent a keystone species in the ecosystem. The roe fishery with lots of waste is terrible. At this stage, we should not be wasting anything. It is a bad idea to have a capelin fishery. Question: What is the relationship between the Species at Risk Act (SARA) and the desire for federal and provincial joint management (for the new Action Team)? Richard Haedrich (Memorial University): The SARA represents a great opportunity for the province. This is brand new legislation and parts of it are untried. Parts of this Act require that the federal and provincial Ministers work with each other and also with other interested groups, which may also include municipalities, etc. In this way, it can allow for communities to work with government. Furthermore, in the legislation there are provisions about an action plan. It is a wonderful opportunity for Newfoundland, it is not confrontational, and it has these important elements in it. There are questions about the wording – what is a “competent minister,” what does it mean to “consult” – but we can use it and make something of it. The Act represents a tool and an opportunity. Bill Broderick (FFAW Union): People in rural communities are themselves an endangered species. We need to build awareness and to establish a balance. Often, there is a double standard in the fishery. A prime example of this is the fact that, today, there is less evidence of capelin than ever before and yet people still fish them. Meanwhile, there are more seals than ever before and the world is saying not to touch them. There is something wrong with this. We need a balance between all these things. Richard Haedrich (Memorial University): There is a need to establish milestones and indicators for recovery. Planning steps with clear goals and milestones is the key to resolving the issue. VULNERABLE OCEANS, VULNERABLE COASTAL COMMUNITIES: COMMUNITY APPLICATIONS Provincial Perspective Mike Warren, Executive Director, Policy and Planning, Department of Fisheries and Aquaculture, Government of Newfoundland and Labrador. A Snapshot of the Fishery 19 20 Harvesters 16,000 12,700 Volume of Landings 510,000t 270,000t Value of Landings $240 million $520 million Value of Production $650 million $1 billion Processing Plants 214 125 Plant Workers (Pk) 21,000 14,500 Plant Workers (PY’s) 13,000 8,000 -21- The following provides us with a current context for the fishery in the province: • Cod fishery closed • Transition to shellfish • Lack of science and a rebuilding plan • Diversification inside and outside the fishery • Continuing requests for access by non-Newfoundland interests. No surplus • Continued requests for processing licenses • Continued foreign over-fishing (greater than is reported) • Improved professionalization • Highly competitive marketplace • Government fiscal constraints • Continued dependence on the fishery Fish Landings by Species Group '000 T $ million 600 600 Shellfish Pelagic Groundfish Total Value 500 500 400 400 300 300 200 200 100 100 0 0 89 90 91 92 93 94 95 96 97 98 99 '00 '01 '02 Source: DFA & DFO Top Five Species Landed Value (Millions) 1989 Plaice 2002 Lobster $18 Cod $14 $29 Capelin Seals $20 $19 Crab $144 $235 Shrimp $18 $27 Shrimp Lobster $120 Cod $190M $460M -22- Aquaculture Growth in Newfoundland & Labrador Production tonnes Value (millions) 55 50 45 40 35 30 25 20 15 10 5 0 14000 12000 10000 Tonnes Value 8000 6000 4000 2000 0 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 The following are the challenges and issues facing the industry: • Resource rebuilding and conservation is required • Need good scientific basis for the decisions • Need full utilization - less waste • Clear access and allocation policy • Move past conflict into co-operation • Conflicting objectives • Lack of a provincial role in fisheries management • Need awareness and capacity building • Insufficient resources - fiscal restraints • Need more integrated oceans/fisheries/coastal management An Action Team has been identified, with an initial meeting held last week. Two main strategies were stated at this meeting: First, it is critical to take an ecosystem approach and second, the process must be inclusive and holistic. Some ideas and actions for the future include: • Identify common vision objectives • Prepare a rebuilding plan for cod stocks (Action Plan) • Continue to diversify and maximize the value of fisheries, coastal and ocean resources • Increase our role in fisheries management (greater than just at the provincial level) • Optimize science through partnerships • Conduct integrated and inclusive planning and management • Build partnerships (Canada’s Ocean Strategy and Marine Protected Areas) • Measure state of the ocean • Participation and advocacy • Encourage private sector investment • Build on success (Eg.: Lobster management- Eastport peninsula) -23- Federal Perspective Dawn Mercer, Integrated Management Coordinator, Department of Fisheries and Oceans The Department of Fisheries and Oceans is currently focused on the following: Canada’s Ocean Act, Canada’s Ocean Strategy, Integrated Management, Marine Protected Areas, and Marine Environmental Quality. Canada’s Oceans Act was proclaimed in January of 1997 and is comprised of three parts. Part one “recognizes Canada’s jurisdiction over its ocean areas”; part two “contains provisions for the Minister to lead the development and implementation of a national strategy for ocean management”; and part three “consolidates most federal responsibilities for the oceans under one agency, making DFO the lead in ocean matters.” Canada’s Ocean Strategy (COS) is a policy statement that “defines a vision, principles and policy objectives for the future management of estuarine, coastal and marine ecosystems.” It represents an attempt to provide an overall strategic approach and framework for management of these ecosystems, particularly through the Integrated Management Program, Marine Protected Areas and Marine Environmental Quality. As part of a regional engagement process, copies of COS and the policy and framework for integrated management were distributed to regional stakeholders with an interest in oceans management issues. Bilateral meetings were held with 48 key stakeholders, including Aboriginal peoples, Regional Economic Development Boards, nongovernmental organizations, industries and communities. Overall, stakeholders’ response was positive. The ultimate factor that would determine support would be the implementation details. The provincial government was supportive of the initiative and participated as a partner in 30 of these meetings. The fishing industry gave qualified support, with caution voiced on the level of commitment and resources. Community organizations felt that they were already participating in integrated management on land and saw a natural extension to the ocean. A common theme was that given limited resources, people saw themselves as active participants, not necessarily as leaders. The Integrated Management (IM) initiative is an attempt to bring stakeholders together and enhance collaboration when it comes to oceans management. Stakeholders include: municipal governments, provincial government, federal departments, nongovernmental organizations, coastal communities, Aboriginal groups, the fishing industry, and other ocean industries. The goal is to introduce flexible and transparent planning to the management process. The three main focuses include: to “effectively plan and manage human activities occurring in and/or affecting portions of Integrated Management Process Define and Assess Area Monitor, Evaluate and Revise IM Plan Engage Affected Interests Implement IM Plan Develop IM Plan Endorsement of Plan by Decision Making Bodies -24- the marine environment; to provide opportunities for wealth generation (i.e. sustainable use and development of resources), to consider conservation and protection of the ecosystem.” The Integrated Management Process is developed in consultation with the area in question. The IM process is illustrated above. The Marine Protected Area (MPA) program has made the most progress of all the initiatives thus far. These are special areas designated to enhance the conservation and protection of commercial and non-commercial resources (marine mammals and their habitats), of endangered or threatened marine species and their habitats, and of other unique habitats including those exhibiting high biodiversity or biological productivity. In Newfoundland and Labrador, DFO currently has three main areas of interest which are not designated yet but are up for consideration by the Minister. These are Gilbert Bay, Eastport, and Leading Tickles. Finally, the Marine Environmental Quality initiative is used as a tool in the IM and MPA processes and it holds the most legislative teeth in that it formulates certain regulations. The objective is to ensure the “long-term preservation of the marine ecosystem.” All of the above programs are community-driven, the request coming from the grassroots. They represent “opportunities for communities to become involved and work side by side with government towards sustainability of our ocean resources and coastal communities.” Community Perspective Eddie Oake, Fogo Island Co-operative Kyle LeDrew, Kittiwake Youth Council Agnes Pike, Mayor, West Ste. Modeste, NL Eddie Oake, Fogo Island Co-operative Fogo Island has a population of 3,000-3,500 people living in eight communities and an economy based solely on the fisheries. The Fogo Island Co-op was founded in 1967 to respond to the need for a salt cod processing industry. The people wanted to build a fishing fleet able to go further, and to catch a bigger diversity. Out of that, a business grew. There are now about 80 enterprises (fishing boats) on the island, and three processing plants - two of them multi-species and one shrimp. About 400 people are employed as active fishers and another 400 work in the plants. Annual sales in the fishery amount to $25 million. There is a buying station, a marine service station, and a product development and research facility. The fishermen are expected to land the product, and the processors place a premium on quality. Five percent of all earnings generated by the co-op are re-invested into the co-op. Up to date during this year alone, $4 million has been re-invested. A brief history of the co-op includes important developments in 1979 when they expanded to include frozen products, and 1983, when they expanded to include crab. 1993 saw the co-op expand by selling raw fish into the Japanese market. A new state-of-the-art processing facility was opened in 1999, and now they can process about a quarter of a million pounds of crab per day. In 2000, they entered into the shrimp processing industry with an Icelandic partner, and in 2002 they bought out this partner. In 2001 they expanded into value-added secondary processing including products such as seafood sauce. The co-op won the Newfoundland export award in 1988 and again in 2000 for exports to both traditional and niche markets. Brand extension will be important as they move into the future. The Co-op participates with educational programs in the province, with the fisherman’s union and with the Marine Institute for training, and with DFO in terms of science and habitat (for example, -25- marine resource inventories). For 36 years, the co-op has sustained the community – without it, the people of Fogo Island would not have survived. “We sometimes hesitate to believe…we do depend on the fishery.” Kyle LeDrew, Kittiwake Youth Council “With change comes opportunity.” The Kittiwake Youth Council is a youth driven organization comprised of thirteen members that works to engage youth in community development and to improve social, educational, and economic options for young people in the region. The council “works to give wings to youth ideas and power to youth voices.” Rural communities in the province are undergoing great transformations. The population in this area is in decline - in Change Islands between 1996 and 2001 the population has decreased by –21.7%. In the province as a whole, the median age in 2001 was 46.4, now the median age is 38.4. The unemployment rate in 2001 for the province was 21.8%, while in Change Islands it was as high as 37.9%. This is a significant increase for the small, rural community from 1996, at which time the unemployment rate in the community was 21.3% (25.1% for the province). Rural out-migration has a significant effect on the young people. For the A.R. Scammell Academy Island Warriors basketball team, the 2003-2004 season may be the last as the number of team-mates is in decline. The graduating class of that year will have only eight students. “Getting a grad date involves a ferry ride and a whole lot of scouting – it’s kind of upsetting.” The out-migration that plagues rural communities has its roots in unemployment. The jobs that are available – for instance, in the fishery and in tourism, are seasonal. The youth do not want seasonal employment. They need careers that are interesting, new, and exciting. Rural Newfoundland is not producing these kinds of jobs. The communities are waiting around for a “big saviour” – but meanwhile, nothing is happening. The jobs are located in regional centres or in St. John’s. Also, the youth want an education, and they are forced to leave Change Islands to get it. From these places, it is hard to get home to visit the rural communities that they call home. The following points are critical if these communities are to adapt for the future: • There is a need for new and diverse industries that can grow and change • Sustainability must be a guiding factor • There is a need to “think outside the box” • There is a need to take more risks, but to do better research • There is a need to come to terms with the fact that the people of rural Newfoundland cannot wait for the wild fishery to save them. The wild fishery may never recover. Meanwhile, people continue to exhaust the resources with too many fish plants, too big a demand for work and not enough product. This is unsustainable. • The province is blessed with resources. The ocean itself may be the greatest resource. There are many innovative ways in which this resource can be put to use - such as for new technology, like hydrogen-powered cars. There is a need to focus on our strengths using innovative ideas. • In terms of small communities like Change Islands, location is a great hurdle. There needs to be improved transportation infrastructure, such as a fixed link between Change -26- • • Islands and Fogo Island. This would have positive repercussions on the tourism industry as well. Youth involvement at all levels is critical. Young people represent a new generation of thinkers with innovative ideas and important opinions. They need to have ways in which they can get their voices and ideas heard. Many people are still focused on ideas that are centuries old. Now there is a need to meld the old ideas with the new. The economy is evolving, and the rural communities of Newfoundland and Labrador cannot be left behind. Agnes Pike, Mayor, West Ste. Modeste, Newfoundland and Labrador Agnes Pike grew up as a member of a family of fishers in a coastal community in Labrador. She was a fish buyer for 25 years. In the early 1950s, the community created a co-op to get away from the merchants. “If we have to depend on our government, we won’t get anywhere.” She insists that the future of our communities lies in leadership from the communities. We should never look negatively upon the community, we should remain positive and build on opportunities. It is up to communities to create a future. Communities can not rely on the Province for leadership nor on the Federal government. Communities mush however, co-operate. If not, communities become vulnerable. An example of communities taking leadership is found in response to the moratorium. When the moratorium was announced, its impact did not sink in until you could see that there were no boats on the water. For Agnes this meant she would have to close down her fish plant that employed 65 people. Her little community was dying. This hit home when her own son told her that he was moving to Ontario. She did not give up. She dug her feet in and decided to turn things around. New businesses have developed in the Labrador Straits. There is the contract with Voisey’s Bay, there is a growing tourism industry. There are also opportunities in woodworking and work on boats (fibre glassing boats). People have endured difficult times, but Labrador Straits has diversified. Across the straits the Northern Peninsula is dying. If we think negatively it will be negative. If we think positive, it will be positive. Our problem is our mentality. Why do we only work 16 weeks a year in the fish plant? We grew up on seasonal work. We need to change our mentality. There is a large influx of people in the Straits of Labrador now. We have to be up for the challenge. The people of the province will survive – there will be downturns, and young people will move away, but they will come back. It is critical that we work together. Discussion and Questions Reade Davis (Memorial University): What is the role of industry versus the government in terms of funding the move towards privatization? Dawn Mercer (Department of Fisheries and Oceans Canada): DFO works with a limited budget. The programs they run are for the long-term, and there are many stakeholders involved. There is a lack of funds and a need for new funding arrangements. There is the need for a new direction when it comes to accessing financial resources for ocean environment. -27- Mike Warren (NL Department of Fisheries and Aquaculture): From the provincial perspective, there is concern about downloading. There is room for cost-sharing. The province has a role to play in terms of supporting the University and supporting training, and we have invested directly into the sciences. We need a co-operative approach. We share costs and responsibilities with the industry and with the government of Canada. It is important to pool resources and enter into costsharing arrangements. Frances Reid (Observer): Is your reach beyond coastal regions? How far do these initiatives reach and what influence will they have on the Law of the Sea? Dawn Mercer (Fisheries and Oceans Canada): DFO does work beyond the coastal regions in the offshore area. The work that they are doing is working on the premise that UNCLOS will be ratified. Mike Warren (NL Department of Fisheries and Aquaculture): The ratification of the UNCLOS is a big issue in Canada. If you are going to be a player in terms of international fisheries management, then you have to sign and get a place at the table. John Lien heads up the Minister’s Advisory Council on Oceans and they are looking at all methods to improve management of fisheries, particularly straddling stocks. At this point, we do not see the benefit or effectiveness of that agreement. When there has been the chance to monitor it and see how it works, then we will look at the broader issue of ratification. Eddie Oake (Fogo Island Co-op): In the province, the crab stock is up, and as a result, the quotas and licenses are also up. However, this year, the Fogo Island Co-op was 4 million pounds short of the crab they processed last year. The situation sounds a lot like what happened to the cod fishery. If this province has to face another Moratorium, coastal communities will not survive. Mike Warren (NL Department of Fisheries and Aquaculture): There is a need to work together. Local knowledge needs to be linked with the research of scientists. The Collaborative Fisheries Science Program is an example of how these groups can be brought together. With regards to aquaculture, we have not seen many problems in this province, although we are aware of the problems internationally and we are monitoring the situation. Not every community will benefit from aquaculture. Dawn Mercer (Fisheries and Oceans Canada): There are measures being taken in BC to ensure that farmed fish will not be able to reproduce in the wild. There is a need for more science, in terms of what are the ecosystem interactions and the human role in the ecosystem. Question: The increase in crab stocks has been coupled with an increase in quotas and licenses. Will crab be the next endangered species? “If we have to face another Moratorium, we can say good-bye to our fisheries and good-bye to our island homes.” Maureen Woodrow (Carelton University): “What we’ve just witnessed is an example of leadership in small communities – leadership that is indigenous to the communities. I think it is really important that we celebrate it and celebrate our communities and really support the leaders that we have – Kyle and Agnus and Eddie Oake from Fogo Island – we have to remember that it is important.” -28- Euclid Chiasson (Maritime Fisherman’s Union): How does the Fogo Island Co-op manage to maintain people’s interest in the co-op? Eddie Oake (Fogo Island Co-op): In the Fogo Island case, the fish plant workers and the fishermen own the business. Our grandfathers and our fathers took it upon themselves to create this business and it has become part of our history. We also understood the need to diversify and make it unique so that it would survive. We could not depend on just one thing. It started as a fishermen’s co-op, but as it grew and evolved, everyone became involved, including the fish plant workers. The co-op has hired a general manager with a background in business, which was an important step. The co-op was unique and diverse and it has been kept alive by the people themselves. “We had nothing to lose and everything to gain. We dug in our heels and said nothing we can’t do’.” ‘there’s Kelly Vodden (Simon Fraser University): You hear a lot about youth involvement, about youth being a partner in various processes, but often it does not work very well. Is the Youth Council a good way to get youth involved in the region? Kyle Ledrew (Kittiwake Youth Council): Part of the problem is that when youth messages do get across and things are changed, the credit is not always given so we are not aware that they were involved. The provincial Youth Council does work, it is a great vehicle for addressing issues. This council has been around for approximately 3 years. BREAK-OUT GROUP DISCUSSIONS: IDENTIFYING AND MANAGING VULNERABLE COASTAL AND OCEAN RESOURCES Group One: Question One: What are the vulnerabilities and successful adaptations? Vulnerabilities include: • Loss of resources, especially fish • Out-migration – loss of a generation of people and skills • Lack of control over change • Lack of economic diversity • Lack of financial resources and access to extend money/resources • Decline of social capital • Lack of leadership or under unidentified leadership • Inward looking mentality, not looking at the big picture • Government policies • Negativity, lack of creativity • Lack of co-operation Adaptations include: • Become more aware of programs available • Diversify • Getting inventory of capacities/asset mapping • Full value processing • Distribution of services -29- • • • • • • Long-term strategy Attract people who work in migrational work Decentralization of services Cohesive strategic plan, focused community planning Incentives Partnerships/co-operatives Question Two: What are the major conflicts in ocean management within coastal communities? • • • • • • • • • • Conflict between resource users Sharing resources Politics Double standards Value conflicts between outsiders/locals, suburban values, locals/tourists Mistrust between locals and government Coastal versus island communities Competing communities may have competition for resources Needs of regions versus community Present versus future generation Group Two Question One: What are the vulnerabilities and successful adaptations? • • • • • • • • • • • • • Problem of the retention of youth in coastal communities. Problem of mobilization of the people to get things done. Problem of inclusion and participation. Problem of misconceptions and negative attitude and image. To the rest of Canada, the image that is portrayed is that we are like a youngster that wants more – they neglect the resources that we export. Not everyone thinks this way, but it is a common misconception. It is important to develop a more positive attitude and image while recognizing structural limitations; i.e., the economic and political forces that play upon these communities. Problem of the mainstream market-driven aspect or private investment property model that dominates resource policy. (Globalization, capitalization, conglomeration). How to attract financial investment? It is important to find out where the money might be – how to leverage the funds. For example, on Change Islands, they are getting money to develop the trails, but we need people to come out here – we need people to come out to the site, not us go out to them. Government commitment is needed outside of the nine to five time-frame. Problem of volunteer burnout. Few people actually do things, others just sit on the sidelines. There is only so much that a few people can do. The people of the province represent an invaluable resource. We know we have to diversify, but we have to determine are the costs of diversification. Ask the question: do people want to stay? If they are passionate enough about the place, they will stay. Staying in small, rural communities may be a lifestyle choice. There may be a slump, but people will come back if this lifestyle is what they are looking for. Currently, there are no reasons for the youth to stay. A new industry will not come to a place that has no workforce. -30- • • • • • There is a shift in attitude about the inevitability of globalization. Usually, the move to the centre is just accepted. Is it economically viable to keep these communities alive? Influxes of government money go to expanding the airport in Toronto, or the subway system there. There has been a lot of money put into the construction of the outer-ring road in St. John’s. The cost of the Change Islands ferry may pale in comparison. Population concentrated in the Avalon. The first thing we talk about when we move beyond the fishery is tourism. We should be cautious about tourism. Question Two: What are the major conflicts in ocean management within coastal communities? • • • • • • • • • • • • • • • Various commercial fisheries. What amount of resource development do we want? What is the total allowable catch? What about seal and capelin issues? There is a notion among some people that privatizing the commons is the way to go. How is the next generation going to get enough money to participate in a new fishery? The only people that can afford to buy are the rich capitalists. Are the most profitable fishing enterprises the best for small coastal communities? Why would industries seeking profitability care about small coastal communities? Trying to get things off the ground in rural Newfoundland and Labrador is a struggle. There is no community model yet. How to draw the financial resources? How to attract the bankers? Private investment approach versus the community approach. Risk is being downloaded on fisheries workers in these situations. Fishermen are paying for fisheries science. It is all about political priorities. Conflicts surround other industries in the province including petroleum and mining, tourism, and heritage sites. Aquaculture versus commercial fishery. Conflicting government policy – is this an issue? Government policy is usually implemented under the pressure of industry. Group Three: Question One: What are the vulnerabilities and successful adaptations? • • Out-migration is a significant vulnerability. The federal government has taken its cue from theoretical doctrines of economists and have changed the fisheries management system in a way that is very difficult to reverse – they have gone for individual quotas and they want the market to work. “The market gives one vote for every dollar, and if you have more dollars, that’s more votes. What happens then is that, in a fully operational quota system, those that have access to large funds will buy up the quotas and put them where it suits them best not where it suits people best. It is a plutocratic process - dollars rule, and the people who have the dollars rule. And that has resulted in a geographical concentration of fisheries access rights and that has destroyed communities unnecessarily.” The adaptation is for “communities to persuade the governments, through their political votes, that they want to have community access guaranteed.” The social and environmental consequences of the new management system can be disastrous, as we have seen. -31- • • • • • • • • • • • • • • There are examples of places where communities have spoken up – in New Brunswick and Nova Scotia. If the quota is in the hands of the processor instead of the community, for example, and if that processor decides to leave an area, the quota is also gone. If it is in the hands of the community, then it stays and another processor will come in. Non-transferable quotas may be more desirable in this sense, determined by geographical factors. In Arnold’s Cove there is a National Sea plant, which has been very successful, and they had an offshore clam quota and wanted to sell it. But it had been given to the community of Arnold’s Cove, and so they could not sell it without permission. They had to make commitments to upgrade the plant, and assign a trawler from Lunenberg to Arnold’s Cove. This was of great benefit to the community. That was key, because there was no way that the federal minister would have given the permission to sell that clam business. The community still has the employment and the business. Local ownership of the quota is key. There are some community management systems in Greenland as well, also Australia and New Zealand. The town of Fogo got a grant from ACOA to bring in an economic development officer. The officer got some money to do some tourism trails, and there are four to five other business ideas being worked with now. A smaller amount of product can be turned into a higher value product. Value-added is an important adaptation – use a more limited resource and further process it, creating more and longer employment as opposed to seasonal employment. Profit development is a big opportunity. We sometimes underestimate ourselves. At first we couldn’t see past cod. Now we are into crab and shrimp, and high-grade products. Look at economic diversification that does not fit with traditional Newfoundland resources. On the Canada-Vermont border, there was a person interested in archival paper conservation. He has started a strong business in this, even though it was not a traditional practice. He was thinking outside the box. We have to educate our young people to stay, not educate them to leave. This means educating them on how they can link technology with other things they are interested in and showing them that they do not have to leave. IT development is an important area of opportunity for the province. The issues surrounding transportation are eliminated. We need to have good strategic planning sessions to develop these ideas. In this province, we often sell ourselves short. We need to overcome this. DITRD has a program called “Getting the Message Out” that involves talks in school about new sectors and businesses. This is a good way to raise awareness of the possibilities and what we can accomplish in this province. It would be beneficial to have some of the regional hesdquarters of DFO moved to coastal communities. To make fundamental change in DFO they need to adopt ecosystem-based, integrated policies and procedures. Now is the time for fundamental change. A gesture that could be made would be to move some divisions. There is a marine conservation office in Halifax. We should be working hard to do something like this. This would be an adaptation for DFO. We need to work hard at the community level to see if a marine conservation model would be appropriate to Newfoundland and Labrador. There was one tried in Bonavista Bay that did not work, but the times have changed. Attention should also be paid to the terrestrial part of the province. There are opportunities here that may have been overlooked (E.g.: berries, hiking trails). We need to be able to think outside the fishery tunnel. -32- • People are the biggest resource – the minds of the province. Question Two: What are the major conflicts in ocean management within coastal communities? • • • • • • • • • • • • • • • People who have had accumulated quotas are about to lease them for 80% the value of the catch. A new person who wants to enter the fishery has to pay this off of the top, and then his boat and his crew on top of it. What does he have left? This is the system that the government is moving towards now. In Iceland, the only way people who enter into the fishery can afford it is to high grade – they choose the best fish that gets the top price and the rest gets dumped. This is a scandal in Iceland. Conflict between the department in power and the industry. It seems like there had not been downsizing. The government wants to downsize the fishery, but the numbers do not seem to have gone down. People are using crab and shrimp for political gain, they are not considering the stress and strain on these fisheries. That is what happened to the cod, and it culminated in the Moratorium. How much longer are we going to allow increased quotas and licenses in these fisheries? There is a conflict between crab fishers and shrimp fishers. Crab are coming in with broken legs because of the draggers. There is also damage caused to shrimp gear. Maybe there needs to be new technology. Different groups can be after the same resources for different reasons. For example, tour boats and iceberg harvesters were in conflict. There needs to be a mediator in place. The community is a huge stakeholder, but there is a disconnection between the community and the decisions being made by the federal government. There needs to be a mechanism through which the broader community interests can come into play. It is time to get back to the grassroots to find out what the people need. We have a fishing season open for 8 weeks for crab, and yet in order to qualify for EI you need 14 weeks. The qualification period should be cut back to 10 weeks. EI regulations for fishers versus plant workers are different. The way the unemployment system is set up, it is not relevant to the transition of rural communities from one job to another. It is not linked to the needs of people in rural communities. The provincial federal divide is a barrier. Communities that directors come from get the most resources. There is a need to educate adults as well as youth. There is a conflict in the industry between the harvesters, the processors and the buyers. There is a conflict with the labour force itself that works in the fish plants. There is a conflict with government. MONDAY, AUGUST 25TH INTERNATIONAL PERSPECTIVE Ottar Brox, Professor, Anthropology, University of Bergen, Norway Sigfus Jonsson, Fisheries Consultant, Reykjavik, Iceland Ottar Brox, Professor, Anthropology, University of Bergen, Norway As far as Europe is concerned, Northern Norway is one of the richest resource areas if you look at population in relation to value of the resources. After World War II, there were two different types of fisheries undertaken in Norway. First, there was the year-round offshore modern fishery -33- which took place in the Barents Sea with large trawlers. Second, there was the seasonal in-shore fishery which involved smaller boats fishing along the coast with selected gear such as gill nets or long-liners. The history of the Norwegian fishery after WWII is one of conflict between the two types of fisheries and the two ways of life. On the one hand, there was the 24-hour a day, yearround fishery involving the trawlers, and on the other hand, there was the in-shore fishery based on people living in coastal communities and fishing from small boats. In the early 1960s, fishers were exhibiting the perverse tendency of investing in smaller boats rather than bigger boats. Meanwhile, the authorities assumed that everyone engaged in the economic activity of the fishery wanted larger boats and the ability to fish all year-round. They pressured the fishers to acquire larger boats with more modern and efficient technologies. The reality was the contrary: the fishermen were interested in harvesting the fish during the season with the equipment and technology available to them. They were not interested in expansion. Fishermen felt that they would be compelled to fish all year-round and all season with the bigger boats. To understand this we must try to understand the character and the richness of the resources available to the fishermen. Take the example of a fisherman who went out on a fishing voyage in a small boat with a little motor and landed 700 kilos in 10 hours. For this, he would have received about 10 cents a kilo and made a total of about $70. His expenses would have been as follows: 1) For 10 hours fishing his labour expenses would amount to about $10. (Work ashore would be about $12 per hour.) 2) Depreciation of pre-war boat would have been about $10, plus gas which cost about $5. In this example, the fisherman was harvesting a resource rent of about $55 as compared to what he could have made onshore that day. This was not the situation every day, and if it was a good season he would have made more. Norwegian fishermen were living not from their personal investments in terms of gear or labour, they were simply harvesting their resource rent in the same way a farmer who inherits a big productive farm would. They were living off the ocean’s bounty. The conflict in the Norwegian fishery has revolved around the question of who has the right to harvest this resource rent? Everyone wants to claim the resource rent. The Fresh Fish Act - which was passed in 1938 due in large part to the political influence of fishers in Norway - benefited fishermen such as the one described above. It transformed the question of the price of fish from a matter of bargaining between local fish buyers and immobile fishermen into a national bargaining concern. By this Act, the local buyer had to pay at least as much as the national fixed price, which had a reasonable relation to export prices. Now imagine what would happen if fish prices were fixed to the free local bargaining prices. In that scenario, the buyer would have to pay just a little more than what he could have earned ashore. This would mean that for the 700 kilos of fish, the fisherman would get what he could have earned ashore - a little more than 2 cents a kilo rather than 10 cents. The accumulation of all the alternatives that he would forego - the “opportunity costs” - would determine how much he would receive. The Fresh Fish Act secured the resource rent for the primary producer; i.e., the one who has the right to harvest the resource. We can see from this calculation that the buyer would have to pay if the fishery was somewhat poorer. If the fisherman described above had fished 300 kilos instead of 700 kilos, by the same logic he would have had to have made a little more than $15 for his -34- voyage as opposed to considering what the fish buyers could earn on the international market for fish ($50/300 kilos implies that the price would be 5 cents rather than 2 cents). Securing the resource rent for the fisher meant that the small boat seasonal fishery became a relatively attractive occupation compared to relocating to industrial towns or to towns with a fish plant. The fishery became subject to a national wage level. This put a half end to poverty along the Norwegian coast. One result of this was a great interest in the small boat fishery and an increase in the number of small boats. People who had acquired big boats before the war began experiencing problems getting a crew. They also had to resort to small boat fishing. This was a very egalitarian influence. On the national level, the increase in small boats was considered a great problem as it was thought to hinder economic growth. It was difficult, for example, to introduce new forms of production such as fresh fish filleting since plants had to have so many tons on hand every week. The government tried to stop public loans to fishermen who were not interested in buying larger boats and they began to subsidize the trawler fleet. Some coastal skippers were tempted to take advantage of these favourable loans given to purchase bigger boats. This resulted in overinvestment and too many people fishing for a limited resource. Up until around the late 1960s and 1970s, nobody had been concerned with the limits of the resource because the landings had been increasing every year. It was commonly accepted that the fishery was an expansive industry. Over-fishing finally came onto the agenda. The effects of neglecting the limits of the resource became visible in the 1970s and methods of reducing or monitoring fishing were attempted but had little effect. In 1989, the cod catch was extremely low and the situation became desperate. The government acted on the premise that the common property theory of the tragedy of the commons held - that fishermen would be greedy, catching as much as they can and increasing their capacity until all the common-held resource was gone. A regime of boat quotas was enforced. The total catch allocated to the inshore fleet was divided between the boats that had been actively fishing during the very bad years of 1987-1989. As a result, the small boats that had gone ashore because they could not afford to fish during these years were penalized. Meanwhile, those that were contributing most to the destruction were rewarded with quotas. The system was an intermediate version of the Individual Tradable Quota (ITQ) system which is the standard solution offered by economists for the tragedy of greedy fishermen and limited resources. For example, one boat might receive a quota of 30 tons of cod and another might receive 12 tons. In order to fish, one had to buy a boat with a quota rather than buy the right to fish a certain volume of cod. Thus, a boat worth 1 million Kroners could be sold for 2 million Kroners because of the quotas attached to it. The cumbersome nature of the system has many practical shortcomings when compared to a truly developed ITQ regimen, which would imply outright privatization of the stocks. This must be considered an intermediate system which can only be developed into a tradable commodity or the right to buy and sell a certain amount of cod. The interesting point is that the fishery had essentially been closed because of the price that the market dictated for the right to fish. Those who lost their right to fish might never get it back again. The government had decided to exclude most of the coastal population from utilizing the resource that had been their “raison d’être.” People had lived in these northern coastal communities for one reason: to fish. By taking away their access to the fishery, the government had relegated the population to dependency on transfer payments or having to relocate. The -35- people had homes with all the amenities where they were and would never be able to obtain the same standard of living in the southern industrial towns. In the northern coastal villages, there would have been around 60 fishermen in the 1960s. Today, there are only two boats and five fishermen that are allowed to fish for a living. What is most striking about these villages is the new attitude to fishing. Prior to 1989, fishermen’s careers were usually initiated by fishing with relatives or more experienced shipmates, utilizing all types of small boats, during the summer vacations. Such activity does not necessarily evoke career planning, but some of these youths simply continued full time after their schooling was complete. They divided their time between crewing on larger boats and participating in the small-scale coastal fishery. Crewing on the trawlers provided an opportunity to acquire funds to buy a smaller boat. Today, very few young people from the fishing villages ever have a chance to become boat owners. In the past, the goal of all young fishermen in these villages throughout the decades after the war was to become the owner of a 25 foot to 35 foot boat. Today, the prospect of being a crewman for a lifetime does not appeal to anyone. The result is almost zero interest in fishing as a career. This has many implications. For instance, there used to be little difference between crew and owners. Now, there is a big difference. Cheap labour from other countries (e.g. the Philippines) presents operators with opportunities to reduce costs. Also, without the Fresh Fish Act, coastal fishermen would be powerless against the fish buyer who would dictate the prices. The Fresh Fish Act is justifiable under an open-access fishery but impossible to maintain in a restricted access fishery. At the same time that people are kept out of the fishery, the government - very contrary to the theory upon which they base their policies - continues to increase the incentive for capital to enter the fishing industry. For example, the current fisheries Minister claims that he wants to take unprofitable boats out of the industry in order to make room for new and modern equipment. By the government definition, the operation of a fisherman whose boat has been paid off many years ago but who continues to fish year after year is unprofitable, otherwise he would have stopped fishing. These are the types of operations that the Minister wants to remove from the fishery. In the process, the Minister gives quotas and state subsidies to very expensive new boats that can never be profitable. New boats that have to fish every day all year round in order to pay their debts even if they are subsidized by the government. The graph to the right demonstrates what this means. Economists know this graph very well. If you increase the effort and increase the catch, you eventually reach the resource limit. Any new capital invested in the fishery means increased effort and smaller profits or less money for the individual fisherman. Profitability will drop the more you invest without any chance to increase the yield. A point will be reached where the level of effort is sufficient. In economics, we say that the fishing industry experiences decreasing returns to scale. Decreasing Returns to Scale $ Cost Cost Limit Limit Profit Profit{ Effort Sufficient Sufficient -36- Effort Today, utilizing a very rich resource, the economy of the fishery on a national scale is no longer profitable. The authorities continue to make little money available to invest in the fishery, which runs contrary to most theories on deficient and aging economies. What do we see in the future for Norwegian coastal communities? Without the Fresh Fish Act, there is no benefit at all from living in one of the most resource-rich areas of the country and the world. Fishing as a career and way of life for people living in these communities is no longer a viable alternative due to government policies that deliberately removed the right to fish from small scale fishermen. Sigfus Jonsson, Fisheries Consultant, Reykjavik, Iceland There are many features of the Icelandic experience which make it an interesting case to compare with Newfoundland and Labrador. General comparisons between Iceland and Newfoundland and Labrador are given in the table below. General Comparisons: Iceland Newfoundland and Labrador Nation Province Island Island and Labrador Population: 280,000 Population 520,000 Coastal towns and villages Many small out ports, single industry resource towns 75% of population in Southwest region 50% of population in St. John’s region Population growth Stagnant/declining population Very low unemployment High unemployment Strong local government (national level and Weak local government (3 levels) local level) Large farming areas Small farming areas Lutheran state group Many religious groups Export-based Export based Fish, hydro-power and geothermal energy Fish, hydro-power, minerals, timber, offshore oil and gas Less urbanized More urbanized In terms of the fisheries in both these places, there are major differences in the size, type and governance of the industry in Iceland versus in Newfoundland and Labrador. For example, the value of the landed catch is approximately three times larger in Iceland than in Newfoundland and Labrador, and the value of landed catch per fisherman is approximately 4-5 times larger. Historically, throughout most of the 20th century, the groundfish catches were of comparable sizes, whereas pelagic catches have always been larger in Iceland. In recent years, the industry in Newfoundland and Labrador has become much more focussed on shellfish. The fishery in Iceland has been much more capital-intensive and less labour-intensive than Newfoundland and Labrador since circa 1900. The Icelandic fishery was spatially concentrated into about 60 strong fishing communities between 1900 and 1940; whereas in Newfoundland and Labrador, 600-800 fishing bases remained throughout the 20th century. The following table presents comparisons of the fisheries in both jurisdictions. -37- Comparing the Fisheries: Iceland Newfoundland and Labrador More pelagic and groundfish More shellfish 2,133,327 tonnes of low value species 267, 470 tonnes of high value species 5,300 person years fishing; 8,400 person years fishing; 6,400 fish processing 7,900 fish processing Domestic control of fish resources since 1977 External control of fish resources (federal) (within 200 mile limit) One Ministry Two Ministries No fishing zones Fishing zones Individual quotas are transferable (controversial Restrictions on transfer of quota/licenses issue–market fores are displayed as big companines buy out small ones) Unrestricted utilization or sale of ctaches (aside Restrictions on sale of catches from regulations for quality and health and safety) No licensing of fish plants Licensing of fish plants Law on auction markets for fresh fish (Health, No auction markets for fresh fish safety and quality regulations). Most small-scale fishers sell on auction markets Market price for fish Collective bargaining Special community quota (special allocation to No community quota communities who have lost out) Both Iceland and Newfoundland and Labrador exhibit strategic weaknesses in their fishing industries. The main ones are as follows: • In terms of the business environment, the two jurisdictions are in the same boat. They are supplying fish to the same market - a market in which there is a high demand for fresh fish and therefore no overwhelming need for freezing plants. The auction system in Iceland has helped to cater to the market demand for fresh product. Fresh fish fetches a higher value-added, which presents a threat to the future of finishing plants. • Workers coming from different parts of the world (such as East Asia) charge much less for their labour. Chinese fish plant workers, for example, cost 36 times less than their Icelandic counterparts. • Aquaculture has experienced a 10% annual growth since 1990. Currently, there are over 40 million tonnes of fish farmed globally. In North America, about half of all the available fresh and frozen seafood is farmed. Aquaculture has brought a consistency of supplies and lower prices in comparison with the wild fisheries. • It is important to be cautious and keep in mind that once a fish stock is depleted, it does not necessarily come back. In Iceland, for example, the lost stock of herring never did recover. • A heavy reliance on export markets implies that a jurisdiction must adapt to the rules of the world. This applies to the Icelandic case. What are the lessons to be learned from the Icelandic experience? • With regards to the individual tradable quotas, while it may be good for the national economy, it is not favourable from the community perspective. • One critical lesson is that a reduced fishing effort yields greater returns, as shown in the graph above. • Fewer fishermen mean higher salaries. • Increased efficiency in the utilization of catches is important. -38- • • • • • • • In Iceland there is a concentration of fishing corporations in a few groups. These corporations trade on the Icelandic Stock Exchange. There are very few family-owned firms left. Big firms participate in various international operations. There has been some growth of small inshore fishing boats. These are very efficient 1-2 man operations. The economic reliance on the fisheries is declining in Iceland (40% of GDP versus 7580%), but there is strong economic growth. There is an unstable and bleak future for many fishing communities. There is no unemployment in Iceland as out-migration is high. There are many opportunities in Reykjavic. In Iceland, small peripheral communities receive a community quota. Extra privileges for long-liners have been promised by the government as a way of helping communities. Iceland has seen a steady growth in tourism, hydro-power schemes and aluminium smelters. Since 1995, new economy industries such as pharmaceuticals, information technology, biotechnology, financial services and professional services have also experienced growth. How can the province use the Icelandic experience? • Management of the fish resources needs to be addressed. • Unrestricted utilization of catches. • Too much government involvement - for example, why is there the need to license fish plants? • Overly generous employment insurance. • Take aquaculture seriously - both as a threat and as an opportunity. • Bring tourists from Europe - more direct flights would be needed. • Strengthen local government - fewer and stronger municipalities. • Fight for independent development of Churchill Falls. Discussion and Questions Following International Perspectives Sigfus Jonsson (Iceland): Discards from the groundfishery are a serious problem. Kelly Vodden (Simon Fraser University): There are many ecological issues associated with aquaculture. It is important to study and use best practices. Sigfus Jonsson (Iceland): Aquaculture is capital intensive. It should only be done in certain areas. The South Coast seems to have tremendous opportunities. Question: What is the impact of the ITQ system on the attitudes towards care of the resource? Comment: Some say that there is better utilization. Question: Where do you expect to get your fishermen from in the future? Comment: There are no opportunities, and therefore no interest. There is an argument for recruiting globally. Question: What about the labour shortages in processing in Iceland? -39- Comment: Workers often come from Poland. It is hard to get locals to work in the plants. In Alaska, they come from Mexico and Vietnam. This has been a problem for over 20 years. It provides low income, it is a remote location, and it is insecure. Sigfus Jonsson (Iceland): At one point, they looked at the possibility of bringing Newfoundland workers to Iceland. They said no because they would lose their unemployment benefits. Question: Is the concentration of wealth in the Icelandic fishery acceptable? Comment: This is a problem but the industry is much more effective and healthier. This is an economic and social trade-off. Ottar Brox (Norway): Geography makes for two very different starting points. Question: How widely held is the stock of the fishing companies? Comment: They are leading investors, but they do not have control. A portion of the pension program is invested in the stock exchange. Bill Broderick (FFAW): There seems to be a similar situation here in the province as in Norway. Cod stocks are being fished offshore, and then seasonally inshore. Here we have gone into a limited and then a closed fishery. Individual quotas will lead to small operations in coastal communities being shut out. We will start to see imported labour. The Norwegian situation that was described is where this province is headed - but there is still time to turn it around. Ottar Brox (Norway): The situation in Norway is similar to that of Newfoundland in terms of the inshore versus offshore conflict. There are unexplored alternatives to the individual traded quotas. RURAL DIVERSIFICATION/BUSINESS AND ENTREPRENEURSHIP Paul Stride, Executive Director, Kittiwake Economic Development Corporation, NL Herb Bown, President, Stages and Stores Heritage Foundation, Change Islands, NL Paul Stride, Executive Director, Kittiwake Economic Development Corporation, NL For a profile of statistics from the Kittiwake Zone, see www.communityaccounts.ca There are the 102 communities in the Kittiwake Zone, 92 of them are coastal, and 40% of the total population of the zone is concentrated in six communities which each have a population greater than 2,000 people. 39 of the communities are incorporated municipalities. The primary industries in the zone include the fishery, forestry, manufacturing, retail, government services, and tourism. The zone has been greatly affected by outmigration. The proximity of a community to regional service centres, the level of economic activity, and job creation all dictate a community’s ability to retain population. In the zone, there is an excess of lower educated, less mobile workers. Many young workers with the skills and education required of emerging sectors have -40- already moved away. Areas most heavily dependent on the fishery have been the most impacted by demographic changes. Technology and an aging workforce will continue to reduce employment in the fishery and thus also the population of rural Newfoundland and Labrador. By 2016, it is projected that the zone will lose another 10.3% of their population, against a provincial average of about 4%. These demographic trends are long-term and are not easily changed. In order to manage this change, there is a need for long-term strategic planning regarding the management of this demographic shift. The challenge facing rural communities is to stabilize the population base by providing employment and business opportunities that can thrive in a rural setting. Population Dynamics for the Kittiwake Zone 1986-2001 SOURCE: CANADIAN CENSUS 60000 58,276 57,020 55000 52,03 50000 48,164 45000 40000 35000 30000 1986 1991 1996 1998 2001 Challenges facing the province include: • Urban areas in the province (i.e.: St. John’s) will have to enlarge to compete with businesses between the Halifax/Moncton corridor; • Difficulties associated with lower-skilled workforce; • Attracting and retaining skilled employees is problematic; • Employment Insurance is proving to be a deterrent to economic development (labour market saturation); • Jobs are not being generated fast enough to employ young graduates; • The fishery is in a period of severe transition; • Economic growth is concentrated on the Avalon Peninsula and in the regional services centres. Opportunities for the province include: • Business development drives our economy. Only the private sector can create long-term, sustainable jobs. There is tremendous unrealized potential here. KEDC is working on creating the right climate for business growth (tools and resources, skills development, technology integration and marketing assistance). • The tourism industry has the capacity to grow. • Strategic sectors include light manufacturing, aviation/aerospace, innovative fisheries, agrifoods, and mining. • There is a high level of education among college, trade school and university graduates. Can we generate opportunities so that they will stick around? • Can we ignite the entrepreneurial spark among the aging population? • Global competitiveness is critical to the growth and survival of many manufacturing firms. • Biotechnology is a burgeoning industry. Opportunities here revolve around the use of natural resources (berries, marine proteins, by-catch). • Small fruit development also has great potential in this province. An example of a business venture of this nature in the Kittiwake zone is the Blueberry Cooperative. • Customer contact centres have great potential in the province. • New growth sectors include: o Agrifoods; o Nutraceuticals; o Light manufacturing; -41- o o o o o Commercialized fisheries and aquaculture; Peat, dimension stone, etc.; Environmental industries; Cultural industries, ecotourism; Information management. How we can grow the economy? • Focus on the private sector. • Import substitution. • Develop a balanced economy. • Get more from natural resources. • Develop human and physical infrastructure. • Export market development. • Create globally competitive businesses. Old Economy New Economy Exploiting traditional resources Find new uses/processes for traditional resources Selling unprocessed raw material Value-added processing Competitive locally Competitive globally Based on availability of Based on availability of Issues facing the growth of business resources skills in the province include: • Newfoundland and Labrador has the lowest number of patent applications per capita in Canada; • Newfoundlanders tend to be innovative, but not so much in terms of commercial applications; • Access to venture capital is poor; • More work needs to be done to foster a culture of entrepreneurs, particularly at a young age; • Transportation/communications infrastructure needs improvement; • Technical, human and physical resources are clustered in urban centres (i.e.; business best located adjacent to R&D facilities, university-fuelled labour pool). “The sustainability of rural Newfoundland is very much dependent on the ability innovative private sector to create long-term employment and wealth.” -42- for an Herb Bown, President, Stages and Stores Heritage Foundation, Change Islands, NL “What’s really important about this island is the people. What really concerns me is that we really have to address the future. Our biggest problem is the leadership at the provincial and federal level. Basically, it is the squeaky wheel gets the oil approach. Those communities, groups, or individuals who are tenacious, approach government agencies, and can, after a while, succeed. It should be done a lot more efficiently. The preparation of proposals takes a lot of time. We need to get a report back to these government agencies to say: “get a plan, get with it!” We should be more like a business at the level of how we spend money and we are not doing that. It is being done in all kinds of funny ways, and that is very hard. Also, when there is a change in government, there is usually a change in the way things work.” “The Stages and Stores Heritage Foundation is only one initiative, and we need more. We have to come together, have a common objective, bring together all of our talents and resources and focus on what we want to do over a long period of time. I want participation at that level, and it has started. It will bring some relief to some of the problems we have, but that is not the only answer. The answer lies in a lot of the other suggestions we have seen here. This focusing together and having a common objective is a very important thing. I think that if we do that we can make a difference, and what we can do can be magnified by having proper, better controls, better planning and better management of the resources spent by the provincial and federal governments.” According to Vogel (1998), vulnerability is “the capacity of communities to anticipate, cope with, resist and recover from the impacts of environmental change.” This definition applies well to the situation facing the coastal communities of Newfoundland and Labrador. In the past decade or so, coastal communities in the province have faced the challenges of the collapse of the cod fishery and subsequent Moratorium, the decline of the employment base, out-migration, and a peak in economic and social vulnerability. The keys to developing solutions in the local context to the challenges we face include: • Building trust; • Understanding the mindset; • Reinforcing sense of place. -43- The people and the community of Decreasing coping capacity Change Islands have strengths to build on includi ng: • A strong tradition of hard work and overcoming Coping Environmental difficulties; Capacity Stress • A long/strong history of traditional skills (knitting, • Social • Hazards woodworking, rug • Economic • Resource making, etc…); Depletion • Political • The traditional independent work ethic and entrepreneurship of local fishermen; • Change Islands fishing Increasing Environmental Stress heritage well preserved (over 200 stages and stores); • The community has a tremendous opportunity in tourism, in adventure tours and learning vacations. Challenges and risks facing the community include: • On-going youth out-migration and an aging population; • Employment reduction in the fisheries; • Declining enrolment in the public schools; • Difficulties in maintaining and increasing local public infrastructure; • Population decreasing (1901- 1,067 to 2001 - 360); • Government rules, regulation and policies favour urban areas; • General lack of confidence by the residents in the future of the town. POPULATION HISTORIC DATA CHANGE ISLANDS 1000 900 800 Population 700 600 500 400 300 200 100 0 1940 1950 1960 1970 1980 1990 2000 2010 Year Opportunities for the future include: • New fish species introduced to the local plant; • Designation of the town as a Registered Heritage District; • The Stages and Stores Heritage Foundation - master plan for restoration of the 200 stages and stores; -44- • • • Build on the extensive historic fishing heritage to increase tourism (specialized inns, adventure tours, learning vacations, special events, etc…); Opportunities in craft manufacturing coupling local heritage skills with modern technology and global marketing techniques; Design future business ventures to build on the traditional independent work ethic and entrepreneurship of local fishermen. Lessons learned include: • Locally-made solutions; • Link the local to the outside; • Long-term re-investment; • Multi-pronged strategy. The Stages and Stores mission statement is to “establish and maintain itself as the premier source of artisan products from the Change Islands – Fogo-Twillingate area and one of the leading wholesale suppliers of Newfoundland and Labrador arts and crafts.” The foundation seeks to “provide a first-class e-commerce and North American wholesale/merchandizing capability, serving the needs of Newfoundland and Labrador artisans and their communities.” Products include canvas mats, fused-glass designs, woollen apparel, and fine art. The marketing strategy pursued in one of extending the market reach by wholesaling the world, and utilizing internet and e-commerce. The Stages and Stores Heritage Foundation believes in the “tradition and values of the Newfoundland and Labrador rural and outport way of life, the creativeness and resourcefulness of the people, and the maintenance and restoration of both the cultural and physical expressions of the community.” The main objective of the Foundation is to “preserve and promote the unique fishing heritage buildings of one of the last picturesque Newfoundland fishing outport communities.” This is achieved by “the restoration of selected stages and stores located throughout the community and by the arrangement of lectures and discussions, publications of papers, pamphlets or books, the preservation of records, and any other means that may be deemed appropriate.” Discussion and Questions Following Rural Diversification/Business and Entrepreneurship Question: Does the zonal board have any kind of strategic planning in place? Paul Stride (Kittiwake Economic Development Corporation): Last year the board did an update of their strategic economic plan, which is a five-year model. Consultations with the people took place. This SEP is available for anyone who is interested. Question: Where do you seek your business in terms of the future and your activity either as a region or as a business? Herb Bown (Stages and Stores): There are many opportunities in ecotourism and taking advantage of some of the beautiful marine shoreline that we have. One of the greatest problems we have is that to set up businesses and to create new things it takes capital. Getting things started in rural areas is harder that it is in urban centres. To start anything you need about $2030,000 just to get going. In rural areas you often have to build up your infrastructure which can be very costly. Electricity costs are very high in the province - the cost of electrical connections being at least double what it is in Ontario. This hurts the rural and remote areas more than it does the urban areas because the people here will do it themselves in most cases. There are also the -45- various levels of restrictions and regulations that you have to meet and get approvals for when starting up. Then there are all of the health regulations, water and sewer regulations, and in rural areas there are none of these kinds of services. When you try to do something you have to put that all in yourself and that is very expensive. For these reasons there needs to be a separate program to cater to rural areas and the special needs of people starting up in these locations. Comment: It seems that there is a gap in services – the zonal boards are doing strategic planning at the regional level, but we have communities that are trying to develop and write proposals. There needs to be strategic planning at the community level. Who is delivering those kinds of services? It is too much to dump on one small group. Comment: Support is needed in many forms, not just financial. Paul Stride (Kittiwake Economic Development Corporation): The community needs to be the driver, the community has to take ownership of the program and strategic planning can be sought through resources available if progress is made. People have to take control of their future. RURAL DIVERSIFICATION/HERITAGE AND CULTURE Claude Dubé, Doyen de la Faculté d’Aménagement, d’Architecture et des Arts Visuals, Université Laval, Québec, QC Candace Cochrane, Quebec-Labrador Foundation, Ipswich, MA, U.S.A Gordon Slade, Executive Director, One Ocean, St. John’s, NL Lillian Dwyer, Mayor, Tilting, NL Claude Dubé, Doyen de la Faculté d’Aménagement, d’Architecture et des Arts Visuals, Université Laval, Québec, QC Culture can be a vector for development in rural settings. There are three networks in Canada that are putting this idea into action. They include the network of “Economusées” or “Economuseums”, “La Fondation Rues Principales” or “The Main Street Foundation”, and the “Villes et Villages d’Art et de Patrimoine” or “Cities and Villages of Art and Heritage”. The Economuseum network is a micro-enterprise concept whereby artists open up their workshop to the public along with a small interpretation centre and store. The mission is to preserve, conserve and develop traditional crafts which are in danger of disappearing; while at the same time, boosting the local economy. The promotion of educational and cultural heritage tourism is a major objective of the network. The method is to build a partnership based on feelings of pride in local cultural heritage, and local ownership and control of the development of the project. The project started in 1992 and since then 36 Economuseums have opened up across Quebec and the Atlantic provinces. There are currently two Economuseums in Newfoundland and Labrador. Both of these are located on the Northern Peninsula. Borealis Crafts, which is located in Shoal Cove East, specializes in traditional bark-tanned and handmade sealskin boots, mitts, and other clothing. The Dark Tickle Company, located in Griquet, manufactures jams, sauces, vinegars, and drinks from hand-picked Newfoundland wild berries. In order for an enterprise to be considered for the Economuseum network, it must have been functioning for a minimum of 3 years. The Economuseum organization assists with technical aspects of project development, such as the addition of the interpretation centre to the site. Afterwards, the business must be self-sufficient; “l’économuséologie, c’est le patrimoine qui gagne sa vie.” -46- Each economuseum has six functions: 1. To receive people and give them the history of the enterprise. 2. To place old collections on display. 3. To display a new collection. 4. To demonstrate the technique in a production workshop. 5. To offer information in a documentation centre. 6. To offer a product for sale in a store. The “Rues Principales” Foundation was started first in the United States, then in Canada by the Heritage Foundation. The mission of the Foundation is as follows: • To promote the conservation of heritage by offering a process, a method and the expertise needed; • To boost the local economy; • To revitalize and inject value into traditional districts; • To develop a viable future for rural towns and regions. The objectives of the program include: • To establish a coherent democratic process involving dialogue between groups so that the range of interests can be represented and heard; • Demonstrate the pertinence and the profitability of local development based on the dialogue of locals and a dedication to true partnership building; • Raise awareness in each community of the importance of protecting and placing value in heritage and cultural assets in order to promote social and economic development; • Establish in each municipality a project office whereby the financing and the strategic planning will take place in order to ensure the continuation of the process of revitalization and socio-economic development. The goal of the “Rues Principales” Foundation is to revitalize the main streets in various towns. The foundation looks for a locality that has a main street with some distinguishing feature that would attract people. They also assess what kinds of businesses should be located there, or what kinds of activities should take place. This job is like David versus Goliath, you find yourself up against companies like WalMart. Usually, the foundation enters into a three year contract with the community. Recently they have started a continuing education process, which caters mostly to planners and architects. They do the majority of work in Quebec, but they operate elsewhere if there is a request. The project “Villes et Villages d’Art et de Patrimoine” was initiated in 1998 by the Ministry of Culture and Communications in partnership with other agencies such as the Quebec Employment Bureau, the Ministry of Municipal Affairs, and the University of Laval. The program is aimed at developing and promoting the cultural resources of an area by sponsoring the acquisition of knowledge and leadership in the area of cultural heritage. The program targets young people who are just completing their studies and offers them their first work experience. They develop various forms of art and heritage such as buildings, archaeological sites and artefacts, artistic objects, and cultural landscapes. The program started with the development of a diploma in cultural tourism. What began as a small project has now become a government program. The first project was a summer school in Percé (on the Gaspé Peninsula in Quebec) in art and architecture. Now, this is a specific graduate program, which includes a two-week stay in Percé. -47- Candace Cochrane, Quebec-Labrador Foundation, Ipswich, MA, U.S.A The Quebec Labrador Foundation (QLF) is a joint Canada-U.S. non-profit organization that focuses on developing programs that promote stewardship of the natural environment and cultural heritage. The approach to community development being used by the QLF inn the communities of Conche, Coake, St. Julian’s and Main Brook on Northern Peninsula is a common-sense approach that sociologist Doug House calls the Integrated Strategy for Social and Economic Development. This approach is made up of different categories, some of which will be described below. The first category is diversification. The communities mentioned above had experienced a decline in their primary industry, the fishery. At first, there was a resident fishery, but then that was also taken away. Faced with the collapse of the fishery, four communities in this part of the province got together and asked themselves: What assets do we have? All around them, there were several fancy heritage tourism projects under development. Each community had to go through the process of determining what unique assets they had that they could use to attract visitors. Certain assets, like the beautiful scenery, the icebergs, the moose, and the outport fishing industry were not unique. They decided to go back to a map of the Northern Peninsula and look at other major heritage tourism developments happening in the area. There were developments surrounding the Maritime Archaic Indians, the Vikings, and Dr. Grenfell. There were large-scale initiatives taking place in Port-au-Choix, Battle Harbour. The communities of Conch and Coake discovered that their French heritage was unique. Both were important communities for about 200 years in the history of the French migratory fishery where the French came from Normandy and Brittany, fished during the season and went back home. So they decided to focus on the French heritage as their asset, and build on this unique aspect of their cultural heritage. Because the French did things differently from the Newfoundlanders, the project would be interesting for both locals as well as for visitors. There were the different ways the French fished, as well as what the communities looked like when the French occupied the coves and bays. Fortunately, the French had left things behind. There were French cemeteries; such as the one in Coake that was kept up by the French Navy up until the late 1970s because the community had been the administrative headquarters for the French Navy during the French Shore fishery. The French had also left artefacts on the beaches such as cannons and bark pots. The communities recognized that their biggest assets of all were the people. There were motivated people, with knowledge and drive. The youth were a great asset - they had skills that were needed (e.g.; computer skills). They were also full of energy. All these people, including the youth in particular, had to be involved in the project in order for it to be a success. They took advantage of pre-existing programs such as the Green Team program offered by the Conservation Corps of Newfoundland and Labrador. The Green Team is a wonderful strategy for getting things done at the local level by involving youth in community development while providing them with gainful employment. There was also the HRDC which was greatly helpful at providing students with salaries to work in the summer time. The second category found in the Integrated Approach to Social and Economic Development outlined by Doug House involves defining the long-term goals. These goals included finding jobs for youths and creating a community in which young people would like to raise their children. It also included saving some of those things that made life in the outports special, including the traditions that mean a lot to the people who live there. The next category emphasizes starting where you are and building on your strengths. The most challenging thing to do was to get the locals to value the things around them which were no longer of any practical use to them. It was hard to get people to see value in, for example, old -48- “tools” such as an old dory. While it was attractive to look at and hinted at a rich and vibrant history, if the old boat did not float it was better put to use as firewood. “I keep this image on my desk because it makes me cry every time I see it. I walked by this boat and thought ‘this will be great in the exhibit’, this man is retired and he’s not using the trap boat, I put it down on my list of things to do and a week later he had taken his chainsaw to the trap boat and cut it up for fire wood. It was very hard to get people to see that what had been a tool that was no longer needed actually had value.” Another very important question they had to ask themselves was what kind of tourism did they actually want in the area? Cape Cod was not a good model as this destination was becoming flooded with people. The best model for them was Fleur-de-Lys where tourism had been built up around a Dorset site as well as some other local history. The fourth category is maintaining a positive attitude and image. The naming of the project - the “French Shore Historical Society” - was important in this regard. The society announced that they would focus on researching the history of the community, and in particular, trying to learn more about the people who came, fished, died, and left evidence of their lives behind. Early success and getting the message out is critical. The way things work in the province is that you cannot always work in a linear manner, you have to go where the money is to get something done. At that time, the money was in economic development and not research, so they had to go there to seek their funding. They also received funding from the Heritage Foundation and from the municipality of West Ste Modeste. Sometimes, these were matching grants which provided 50% of the funds required. It was a challenge to come up with the other half of the money needed. It was decided that an old Grenfell Nursing station that was not being used anymore would be turned into a community museum. Young people participated by setting up the exhibits, making brochures, putting out press releases and making signs for the community. Before the permanent exhibit could be set up, a temporary one featuring hooked rugs was created. Every year, the exhibit changed. The youth group joined the Traditional Skills Network and set up a place where people demonstrated traditional crafts. The three communities were trying to build on the French heritage, so in Coake they identified some carvings on nearby rocks that had been done by French fishermen as unique assets. A trail was then constructed down to these rocks. Throughout the process, it was important in this case to seek help from experts. They sought advice and knowledge from professors at Memorial University in the archaeology and history departments, however, local citizens and citizens of the wider area were also involved linking scientific knowledge with local knowledge. The project has made great progress, and they are now looking at how they can link to other communities and other strategies. The project has given people hope. In the communities, other people are starting projects. Young people are buying up the stores and revitalizing them. A woman from the area who makes quilts found a market in the “gone-aways” and is doing great business. There are some hurdles - such as business conflicts between the iceberg harvesters and the boat tour operators. The community has become very environmentally conscious and are investigating waste management options. Challenges do remain, including the old dirt road, the run down waterfront and old houses which need renovating because it is so hard to find money to renovate private homes. The harsh winters of the Northern Peninsula also present a challenge. -49- “When people become stewards of their community they also become stewards of their environment and they are getting more and more involved and wanting to know how they can preserve what they have.” Gordon Slade, Executive Director, One Ocean, St. John’s, NL The project of the Battle Harbour Historic Trust in Battle Harbour (which is located on Battle Island in the Labrador Sea) was based on the notion of building a future based on the past. Today, Battle Harbour looks a lot like it did back in 1900. In the early 1770s, West-Country England merchant John Slade established a mercantile saltfish premises there as an outpost of operations located on Fogo Island and in Twillingate. It soon became an important centre for the cod, salmon and seal fisheries of the region, and a permanent settlement was established. People settled on the headlands because they could start fishing earlier in the season at this location. If they had settled in the bay, it would have been June or later before they could start fishing. People moved to Battle Harbour from Poole, Devon and Dorset to start fishing in the spring. The economy of Battle Harbour peaked around 1850. In 1848, Bishop Field visited the settlement and documented 92 schooners tied up in the tickle. At this time, there were over 1000 people in Battle Harbour and the surrounding area working in the fishery. This was tremendous activity given the size of the place. The fishers employed primitive technology in the fishery at that time. The fish were taken by three groups of people - the floaters, the stationers and the lifters. The floaters were the ones who lived on the schooners and brought their fish back to the northeast coast of Newfoundland. The stationers went up with their families and had their own spot where they stayed for the summer and brought their fish back when the fishing season was over. The lifters lived on the coast of Labrador permanently. There was a permanent settlement in Battle Harbour up until the resettlement program of 1968. In 1992, after the Moratorium, the community was entirely abandoned. The Island of Battle Harbour is about half a mile long by about half a mile wide, and it retains the original institutions: the church, the only remaining Newfoundland ranger station, an RCMP detachment, the only remaining complex of salt fish mercantile fish premises in the country, a hospital set up by Sir Wilfred Grenfell (the first in Labrador), and about 500 artefacts of the salt fish era. Today, the community is a tremendous resource. In other places, this heritage all disappeared. Perhaps the preservation of the heritage can be attributed to the remote location, or to the presence of nothing but the salt fish industry right up until 1992 when the fishery closed. In contrast to Change Islands where heritage and culture are being harnessed as a means to diversify the local economy; in the case of Battle Harbour, they were starting with a community that had been abandoned after the Moratorium. All that was left were the heritage resources which were neglected. What could be done with these heritage resources to help build a future for people who had moved to the mainland communities of Mary’s Harbour, Lodge Bay and St. Lewis? “First when I broached this idea with a provincial cabinet minister he said: “you must be nuts! There are people like you who periodically experience the right side of their brain going haywire - but this is a ridiculous idea - who would want to go to the coast of Labrador off on an island in the Labrador Sea to see old buildings, things that are finished in the fishery?” Anyway, there were a number of us who weren’t deterred by that. We developed a plan.” One of the most important things that the Battle Harbour Historic Trust did was to seek professional expertise. It is important to have a cultural resources management expert who will -50- help with the development of the site in the right way. The best investment that the Trust ever made was to engage a coastal resource management expert. That expert stayed for 10 years until all the major properties had been restored. Now, the old buildings and historic premises have all been restored so that visitors can stay in them. The entire community has been transformed into a historic district, similar to the town of Lunenburg in Nova Scotia. There are a whole lot of things happening related to the development of the heritage and tourism industry in southern Labrador. Battle Harbour is only one example. There is also a 3-year project to document all of the abandoned communities between Red Bay and Cartright. A book will be produced about those communities. There is a film under production with CBC which examines the end of the Labrador fishery – which is really the end of the inshore, family-owned, 2-3 member trap-sciff type of operation where people would leave Mary’s Harbour in the summer and go out to Carol’s Cove or go out the Cap Islands and spend the summer as a family unit fishing with gillnets and with lines, hooks and so on. The district currently employs 10 local people in the summer, pays out $80,000 in salaries and another $80,000 in goods and services all of which is procured locally. From the start, everyone involved in the operation came from the area. When the project started, it was very important to get heritage carpentry expertise. They took 15-20 fishermen and trained them in heritage carpentry at Algonquin College in Ottawa (which has the best heritage carpentry program in Canada), and with the community college in the province in a program taught by restoration experts. The side benefit to the restoration of Battle Harbour is that these 20 people - fishermen who were out of work due to the fishery closures - can now find lucrative work outside of the project. They have also trained interpreters, administrators, cooks, etc. “I can see in the future that Battle Harbour and all the things that Battle Harbour wants to do will surpass what is going on in the fishery in that little area of St. Lewis Inlet. I am absolutely convinced. It might take ten years to happen, but there are enough heritage cultural resources that this will be the kind of anchor required. It will be important for the future of the people who live in southeastern Labrador.” Dale Jarvis, Heritage Preservation Officer, Heritage Foundation of Newfoundland and Labrador, St. John’s, NL “I don’t think we are here to preserve the things that are here - I don’t think our job is to pickle history and keep it in a museum, but really to encourage people to develop heritage as a living part of their community.” The Heritage Foundation of Newfoundland and Labador was established in 1984 by the Department of Culture, Tourism and Recreation through the Historic Resources Act. Their mandate is to “stimulate an understanding of and an appreciation for the built heritage, the architectural heritage of the province.” There are a number of ways in which the Foundation fulfills its mandate. They run several programs, and they have the power under legislation to designate buildings and other structures as registered heritage structures. They also provide grants for the preservation and restoration of heritage structures. “The province’s cultural landscape is unmistakenly different of that of our North American neighbours and there are distinct ties that link the fishing rooms and the mercantile premises of the outports with the homes, lodges and churches of these communities. Taken together these form recognizable cultural landscapes -51- clustered at the water’s edge centred on and connected to Newfoundland and Labrador’s fisheries heritage. The need for a place to land, process and dry fish, and to shelter the fishers during the season produces characteristic building types and fisheries related structures which were once common around the Atlantic rim and while structural remnants of traditional fishing premises can be found in New Brunswick, Nova Scotia and the Québec shore, today they are most numerous in Newfoundland.” The Heritage Foundation is extremely concerned about the loss of the built heritage and material culture associated with the 500-year old fishing industry in the province. There is a long list of cultural resources that have been lost since confederation due to neglect or intentional demolishing. A few examples in this area include the Earle Premises, a large fishing premises on Fogo Island; the Carter Premises in Herring Neck; and the Ashbourn Premises in Twillingate. While many larger structures have been lost, even more dramatic has been the loss of the smaller fisheries buildings; for example, the vernacular fishing stages and flakes which were once the defining architectural character of our communities and that are vanishing rapidly. Other aspects of our cultural landscape - such as traditional fencing - has also largely disappeared. “Folklore, and culture and built heritage are completely interwoven. The loss of these buildings, vessels, structures and material and intangible culture is not only a loss of our landscape, but it is also a loss of our sense of who we are as a people. ” Much of the remaining fisheries heritage in the province can be preserved and saved. The Heritage Foundation has started to make inroads in the preservation of fishing heritage and designating examples of commercial premises, stages, fishermen’s houses, houses of sealing Captains, twine lofts, and other buildings associated with the fisheries. There are many examples of successful projects out there. There is the Custard Head fishing premises in Hants Harbour, which was designated in 1999 and represents a wonderful example of what a community with absolutely no funds can do to preserve their fishing heritage. In Carbonear there is the Rorke Stores, built by John Rorke, a successful merchant of the fleet of ships for trading goods from fishing and sealing. The restoration of the Rorke Stores is a success story on many levels. Designation and granting through the Heritage Foundation allowed the community to lever money out of other government agencies and they have created a museum dedicated to the rural fishing industry in Carbonear. The museum has proven to be a tourism generator for the town and for the region, an example of a good adaptive re-use of a former fisheries building. They have also started to use the building for other activities such as theatrical pageants and that sort of thing. A very different example of an adaptive re-use of a building is from Jeffrey’s on the west coast. The Hulan House was built in 1865-1866 by Leonard Hulan senior, who did all the work himself including using his own pit saw, wooden pegs, and some cut nails to hold the house together. It is one of the last structures of its type in the area. Originally built to store salmon nets, there is another net loft in the back of the structure. The current property owner has taken the buildings and converted them into a private residence. The structure was awarded the Southcott Award for heritage restoration by the Newfoundland Historic Trust and it is a good example of what a homeowner can do on a individual level to help preserve fisheries heritage. The old program of the Heritage Foundation had some limitations. It focussed mainly on larger, architecturally significant buildings, and ignored certain types of cultural features that are really important on the landscape such as fences, outbuildings, and sheds. The program is set up as a -52- cost-sharing arrangement - the Foundation funds 50% up to a certain amount - and community groups often have to struggle to pull together the matching funds. There is a high level of bureaucracy, and it has been accused by many in the community to be a classist type of granting programbecause it tends to celebrate the merchants’ houses, the big churches, the buildings built by people with lots of money. Those are not necessarily the buildings that are most reflective of the culture here in the province. Starting with five pilot projects in 2002 (Change Islands, Salvage, Tilting, Grand Bank and Woody Point), the Heritage Foundation created a new program called the Fisheries Heritage Preservation Program. The pilot project was funded through the Provincial-Federal Comprehensive Economic Development Agreement, with some money from the province and some money from ACOA. The project has continued and is now wholly funded by the province. The program was designed to allow the Heritage Foundation to expand upon the work of promoting restoration of everyday Heritage structures in the fisheries. A great example is the Torraville Stage on Change Islands. This was the first structure to be restored on Change Islands, and the first structure to be completed under the new program, was John Whitt’s stage, originally built in the 1880s. Currently, around the community of Change Islands, there are about four properties being worked on. In Tilting, a Green Team partnership was formed through funding from the program. Not everybody can do the same thing; it is important that each community identify its own unique stories. This uniqueness is what should be commemorated. There are measurable social and economic spin-offs associated with these projects, such as employment, enhanced tourism, and increased community pride. Other programs being promoted this year at the Heritage Foundation include the Registered Heritage District Program which enables the Foundation to designate an entire district. This allows a movement away form looking at one building to looking at the bigger picture. Tilting was the first district to be designated under this program. The Tidy Towns competition provides motivation and rewards hard work. “We realize that heritage preservation is not going to be the saviour of coastal Newfoundland and Labrador, but it is one piece of the puzzle, and we want to try to work with communities to figure out how heritage fits into an overall plan.” -53- Lillian Dwyer, Mayor, Tilting, NL Tilting is a small community on Fogo Island with a significant Irish population and a long and proud history in the inshore fishery. When the community first became aware of the importance of their cultural landscape - their stages, stores, traditions and culture - they were at a low point. A poem by a local poet Pearce Dwyer tells us from where we start to build. This year, Lillian Dwyer was very proud to be able to respond to Pearce’s poem. -54- “Tilting is being presented as having ‘come of age’ but it many ways we have the cart before the horse. We have a wonderful little community, and we have managed to do a lot of preservation work, but now we are faced with the situation that ‘here we are, we’re wonderful, we’ve done all this work’ but at what point is this going to make us survive, how can we capitalize on all of this? That is the reality. We need to keep it going. The reality here on Change Islands is that while there are beautiful stages and stores here, we can’t maintain and restore them all.” -55- “We have to recognize the strength and the special things we have. We can compliment each other. We have so much heritage wealth, on Change Islands and Fogo. We have to present ourselves as a package. We have so much to offer. How can we present this to the world as the wonderful place that it is? We have to develop stronger and larger municipal governments to represent an area as opposed to a tiny area. On the small Island of Fogo, we have 4 incorporated towns and then the regional government as well - 5 municipal governments? There is no way we can continue to survive following that track.” How did Tilting achieve what it has achieved? Tilting has a long history of losing its young people. Tilting expatriates have done and continue to do a lot for the town. In 1984, they formed a group called The Tilting Expatriate’s Association that operates out of St. John’s. These people have worked closely with the town of Tilting. There is also the Tilting Recreation and Culture Society – a group formed in the 1980’s. At first they worked towards developing a trail. They then started to work on the restoration of properties within the town – our stages and stores, the Dwyer Premises, etc. In 1993, The Tilting Expatriates Association started an annual magazine. This magazine is an invaluable resource for people looking to do restoration work because it has the history from the older people who built the town and who experienced life there. “Locals have begun to recognize their own strengths and the special things they have to offer. One unique feature is that the Irish heritage preserved through isolation. Also, on Fogo Island there is one of the four corners of the world - Brimstone Head. Recently, there has been a book written by Robert Mellin about the community of Tilting entitled Tilting: House Launching, Slide Hauling. Potato Trenching And Other Tales From a Newfoundland Village. Sometimes it takes people from away to come here and to show us what we do have. It is very important to have the community behind it and to have the community take a really good look at themselves. Identifying, promoting and developing our differences is also important because we compliment each other and I think there is a bigger package then and we have more potential for development then.” Glen Blackwood, Director, Centre for Sustainable Aquatic Resources, Marine Institute, St. John’s, NL (Note: This presentation was originally planned for the session on “Ocean Management Vulnerable Coastal and Ocean Resources” on the first day of the workshop.) The global fisheries are the “last wild round up on the planet,” the “last free-for-all”. The sea exists as “the final frontier” for humans, and our lack of understanding of the ocean is a major problem. When you find a concentration of something, one boat goes there, 3 days later there are 10 boats, then 15, then 20. The Flemish Cap is a perfect example. A couple of boats went there in 1994 and discovered shrimp and it has been pillaged ever since. There are rising expectations now from the market and the public when it comes to managing the fisheries. Historically the markets have wanted a consistent quantity and quality. More recently, the markets have been demanding greater responsibility and sustainability in the coduct of the fisheries. Thomas Huxley once stated that “all great sea fisheries are inexhaustible.” There was no concept of the fishery as a finite industry. In the 1960s and 1970s, fisheries had been declining worldwide. The late 1970s saw the establishement of the 200-mile limits and national management systems. However, 25 years later the rising expectations of the markets are not met and the fisheries management process is changing again. The market has become a major force in the management of the fisheries. It is dictating where and when people fish. Also, there is the demand for stewardship councils, eco-labelling, and dolphin friendly tuna. Newfoundland has -56- had problems marketing fish. Industry has become aware of these problems and is working with governments and researchers on trying to find solutions. The allocation of coastal resources - which is just as important as stock rebuilding - is beyond the control of communities. George Feltham in Eastport is doing some interesting work. We must ask ourselves how the resource changes bring about changes in communities that have historically depended on those resources? Communities may be vulnerable in the face of these changes, but that is only part of the problem. “Will sustainable resources mean sustainable communities? ... NO” Some resources are still abundant, and yet Fish Landings by Species Group communities are and , 1989-2000, (tonnes) declining. The groundfish have not tonnes increased, and the 600,000 spawning concentrations that are Shellfish 500,000 out there form a 20 Pelagics mile long school of fish Groundfish 400,000 that are very vulnerable to exploitation. 300,000 Shellfish have increased, and this is a 200,000 very high-value fishery. The irony is 100,000 that the landed value of the fishery is the 0 highest it has been now 89 90 91 92 93 94 95 96 97 98 99 00(P) that we are not fishing cod. We have been Not Including Lumpfish Roe or Sea Mammals / P = Preliminary lucky that crab and Source: DFA & DFO shrimp increased in the absence of cod. It is imperative that we practice better conservation of the crab and shrimp stocks. For example, 50% of the crab that are dropped are not surviving, they usually die within a week. If the cod do come -57- back, the crab and shrimp will likely go back to historic levels and the value of the fishery will go down. Currently, there are by-catch problems in the shrimp fishery. Also, people are travelling further out to fish for shrimp. In Alaska, when the shrimp stock declined, it never re-established itself. The situation there was the reverse of what has happened here - the flatfish catch increased. Foreign fishers continue to be a major problem beyond the 200 mile limit on the high seas over the Grand Banks. Also, the total amount fished has not changed, we have only replaced foreign capacity with our own capacity. In 1978, the top 15 landing sites in Atlantic Canada were all in Newfoundland and Labrador. In 1988, there was not one site north of Cape Freel. Landed Value by Species Group and , 1989-2000 millions $700 Shellfish $600 Pelagics $500 Groundfish $400 $300 $200 $100 $0 89 90 91 92 93 94 95 96 97 98 99 Not Including Lumpfish Roe or Sea Mammals / P = Preliminary Source: DFA & DFO T o p Fi v e S p e ci e s L an d e d Va l u e 2002 (preliminary) 1989 Plaice $14 Lobster $18 Lobster $27 Capelin $19 Surf Clam $11 Shrimp $144 $18 Shrimp $236 $120 Cod Crab -58- $29 Cod 00(P) The current scale of management does not encourage stewardship. In terms of allocation of coastal resources, this is beyond the control of communities, and there are winners and losers. The future of these communities depends on fisheries management. NAFO has not worked very well. If stocks are rebuilt, how people will gain depends on the efforts of people in the coastal communities around the province. There needs to be a change – we must be proactive instead of reactive. POLICY FOR SUSTAINABLE RURAL LIVELIHOODS Mildred Brown, Policy Analyst, Atlantic Canada Opportunities Agency, St. John’s, NL Heather MacLellan, Assistant Deputy Minister, Culture and Heritage, Department of Tourism, Culture and Recreation, Newfoundland and Labrador Herb Bret, Vice President, Newfoundland and Labrador Federation of Municipalities, St. John’s, NL John Wickham, Director, Regional Economic Development, Department of Industry, Trade and Rural Development, Government of Newfoundland and Labrador, St. John’s, NL Mildred Brown, Policy Analyst, Atlantic Canada Opportunities Agency (ACOA), St. John’s, NL “Sometimes policy is remote and it can seem like only words. Policy development is like plucking something out of the air and trying to turn it into something tangible.” “I hope that you will appreciate that when you dump on organizations like ACOA for not helping you out, it is not because there are not a lot of people in the organization who have their hearts in the right place and would do everything they could to help you. It is that it is the nature of these bureaucratic beasts that things do not always work smoothly, try as we might. But what I will go through with you today I hope shows you that we are trying our very best to do the right thing, and be inclusive…” A lot of what is done in policy is foundational to programs. It is to get the projects funded on the ground, to help promote economic development in remote, rural communities. Policy is a basis for support programs. Lately, ACOA has been doing a lot of foundational work – such as determining the rational for action, and addressing key questions such as “what is sustainable livelihood?” This is part of what is needed for a larger government plan of what to do. The shift over time has been from individual income support to private sector support to governmental sectoral priorities and, finally, community empowerment. These shifts have been evident in the various federal responses to the fisheries closures over the years. In terms of economic development, since 1992 ACOA has had a number of different focuses. Prior to 1992 there was the Fisheries Adjustment Program - a federal economic development program focussed on the private sector. Following the 1992 Moratorium there was the Northern Cod Adjustment and Recovery Program and The Atlantic Groundfish Strategy. These focussed on individuals and had a community development component. After that, we moved into the Economic Renewal Agreement, a federal-provincial agreement targeted by and large at government-identified sectoral opportunities particularly in tourism, agriculture and the knowledge-based economy. Then there was the Strategic Regional Diversification Agreement (SRDA) which provided the funding for the start-up of the Regional Economic Development Boards. The Fisheries Restructuring Adjustment and Measures - Economic Development (FRAM-ED) came out around the same time. Both represented federal responses to more recent fisheries closures and were targeted at community-identified opportunities. What is most relevant right now is the latest closure and the latest response in-progress. When the latest fisheries closure was announced in -59- April, the government of Canada made a few commitments through ACOA. One of them was called Cod-SCIF (Strategic Community Investment Fund) which is a short-term, make-work response to these cod closures. ACOA is generally focussed on the long-term, and this is only the first step towards a longer-term solution. The approach to developing a long-term response was to involve stakeholders in the designing of the program. The hope is that this will ensure a sustainable solution focussed on economic development. The stakeholder engagement process is a contribution to developing the long-term response. A multi-stakeholder perspective is being sought. This is more than only a consultation process in that ACOA would like to get together and actually do things with stakeholders. Perhaps there will be a marriage after the engagement. All summer ACOA has been gathering suggestions from communities, REDBs, the Newfoundland and Labrador federation of municipalities, industry, unions (FFAW), other federal departments, provincial government and education and research institutions. 70 communities have been involved in the consultation process. The engagement with the provincial government has taken a while, as intergovernmental business can get more complicated. In August, three federal Ministers met with the Premier and three provincial Ministers and they all agreed that they would look at a long-term adjustment response in terms of managing the fisheries. So far, they have heard many good ideas during the consultation process. Some are part and parcel of a bigger idea (packaging ideas together), some are far-fetched, others very feasible and innovative. There will be an interim report on the results of the consulation process which will express the kinds of ideas they have been receiving. There have been three main clusters of ideas. First, regional or zonal clusters of opportunities focussing on affected areas. Second, there are sectoral clusters of opportunities, for example, focussing on tourism, aquaculture, forestry, and manufacturing. There are also others related to mining, IT, and KBE. Third, there are thematic clusters of ideas such as diversification away from the fishery, needing capital investment, capacity-building, and innovation. It is important to stay goal-oriented, in this case the goal being sustainable rural livelihood. The plan is to develop a framework for further analysis and to identify strategic opportunities based on the following: • Priorities: What are the priorities for this particular region? REDBs are doing a lot of work here. What are the priorities for developing the industry? For example, there has been a lot of work determining what is and is not feasible in terms of aquaculture. What are the priorities for the levels of government involved? • Pillars: Things will be useful for long-term strategic adjustment if they: Capitalize on existing assets and previous investments - that is, if they build on existing strengths; Cultivate innovation and economic diversity; Create long-term social capital; Catalyze community, industry and government partnerships. • Programs: We already have tools - there are also programs available. For example, at ACOA alone we have the Business Development Program, the Atlantic Innovations Fund, and the Strategic Community Investment Fund. • Partners: We hope to gather together partners that can bring other assets to the table Communities, REDBs, industry associations, provincial and federal governments. -60- Heather MacLellan, Assistant Deputy Minister, Culture and Heritage, Department of Tourism, Culture and Recreation, Newfoundland and Labrador The Department of Tourism, Culture and Recreation is a big department with a budget of approximately $35 million annually. They are in charge of a variety of programs including recreation (for example, the Winter Games), tourism and culture. In terms of tourism, a big focus of the department is the marketing of Newfoundland and Labrador outside the island. They are not involved with private sector or community-based tourism facilities; this is the responsibility of ACOA. Culture is the biggest division in the department. Other programs include wildlife management – looking after the health of wildlife in the province and licensing for big game. They also deal with land claims agreements with Aboriginal people in the province. “I have seen such tremendous growth in the last 10 years in the tourism sector, in the cultural sector, and it is due to the accomplishments of hard work and the ability of people to adapt to a new and complex environment. The biggest change I have seen is that we have gone from a province that has had one industry and we have moved into a multi-industry jurisdiction. Even within tourism and culture, if you take all the markets we have, each one of them is its own industry - you have to target differently, you market to it differently, you need a different product. And in culture, we just don’t just have culture, we have culture and cultural industry - the music industry is very different from the film industry which is very different from the literary and publishing industry. We are having to adapt as a province and in regions to whole new industries. We are in the early stages.” “There is no such thing as an accidental tourist in Newfoundland and Labrador. So the growth that has been created since 1993 was well-planned, and required strategic investment, and we have accomplished every goal that was set 10 years ago. We are now at the stage of setting new and different goals.” Tourism is critical for this province. In 1992, when the cod fishery closed, tourism was targeted as a major industry for growth. In 1993, we were creating the industry - most of the activity was provincial and federal. At the community, regional and business level, there were very few people participating in this industry. So the strategy was to develop those products that could get us the best international appeal. There were key decisions made about where those investments were to go. We looked at generators, and now it is important to look at satisfiers - which are those regions that may not draw internationally but are part of the experience while people are here in the province or as Newfoundlanders and Labradorians drive around their own province. The industry has grown to $600 million dollars worth of activity annually - half of this coming from non-residents. The industry creates 25,000 jobs annually. It is the third largest industry in the province, having doubled since 1993. There has been a serious cooperative investment by both levels of government. It has been a tremendous accomplishment. It is a seasonal industry and very dependent on sustaining significant marine, natural, cultural and human resources. Integrated and sustainable management programs are necessary as we move forward. Since 1996, there has been a 35% increase in visitation. The province is leading the country in growth in tourism. This year has been the first year in ten years that there has not been growth. This is attributable to external factors, such as SARS, the war in Iraq, and the economy. Air Canada and access is an issue we are constantly monitoring. We may need to work more with the private sector, for example, more of our own airlines and our own business to places outside of Newfoundland and Europe directly. -61- Tourism highlights include the development of significant national and international markets. We have developed relationships at the tradeshows with a variety of people. The province was successful in launching a world-class, award-winning marketing campaign. The province has also been successful in developing tourism resources here in the province. Special celebrations, such as Cabot 500 and the Vikings, were marketing campaigns to raise awareness in international markets and they have generated much of this success. The key markets in Canada include Ontario and the Maritimes, and the New England States in the U.S. Outdoor and cultural adventure tourism comes mostly from North America and Europe. In Europe, Germany, Holland and England are being targeted. Educational travel is growing and there are many different initiatives underway particularly with the national parks and national historic sites as well as with The Rooms, the new provincial cultural facility. Hunting and fishing continues to be very important, with $30 million a year spent by people who come in to hunt wildlife, particularly from the U.S. The bus tour and convention tourism caters to the North American market. The cruise ship industry is growing and we are dealing with issues of infrastructure. The winter tourism options are being developed - the winter ski and snowmobile expeditions in the Western regions are very important. Lately, the province has been successful in raising our profile through the arts - for example, by hosting the Juno Awards and through the films Random Passage and The Shipping News. We have worked in collaboration with the music industry to profile Newfoundland and Labrador artists. Forming Partnerships has been the key to this success. A variety of partnership initiatives are available at the regional and community level. Investment products include: • People • Icebergs • Whales • Seabirds • Caribou and other wildlife • Adventure • Arts (traditional and contemporary)/culture • Architecture and landscape • History, sites, archaeology and museums • World Heritage Sites (these are important generators. • National/provincial/community parks and historic sites Future considerations at the national and provincial level: • We are in the early stages. • Maximizing our world – nationally, provincially and regionally. Significant human, culture, marine and natural heritage. • Two new national parks (Torngats and Mealey Mountains). • Feasibility for national marine parks. • World Heritage designation submissions (3 new submissions). • Generators and satisfiers – partner with generators. • Operational support and grants for municipalities, associations. • Managing quality for complex integrated experience. • Focus on air and ferry access. • Policies and legislation. • Support integrated professional planning, partnerships and packaging. Future considerations at the community level: -62- • • • • • • • • • • • • • • Establishment of community goals and plans: vision and 10-year goals. Seasonality and new structures/organizations to develop tourism. Strong leadership and working together – the Viking Accord. Municipalities and communities to engage in greater resources protection and management to sustain the resources upon which their tourism depends (scenic coastlines and vistas, important habitat, geological and fossil features, wooden boats, vernacular architecture, flakes, cellars, fences, horses, stores, archival, artefacts, all themes). Sustainable development of resource attractions. Municipal planning act delegation of authority. Tourism services – food and accommodation – Canada Select. Water and sewer. Access for coastal communities to professionals and to regional tourism association activities and committees. Visitor centres at entrance point. Research and guidebooks. Education for residents and youth. Access. Promotional packaging and partnerships. Cultural development is also in its early stages, and it is growing. We have lots to offer including a diversity of ancient and contemporary peoples (nine distinct ancient Aboriginal cultures, three remaining contemporary Aboriginal cultures, six early primary European cultures). The province is renowned for archaeological treasures, a rich history, and a significant arts community. Cultural policy should focus on the following: • Artists • Arts professionals • Heritage professionals • Volunteers • Aboriginal and European-based tradition bearers. • Industries, provincially-owned arts and heritage crown corporations, programs, organizations and enterprises. • Strengthening provincial programs (Strategic Plan – sustainable tourism, The Rooms, CEDP - fisheries heritage, research, presentation and conservation, professional development). Best practices include: • Viking Accord • Bonavista Townscape Project • Cuslett • Dr. Gunn Project • Fisheries Heritage Project • Elderhostel and educational learning • Norway’s fishing stores • Eco-museums Some ideas for Change Islands: • There is a need to define one’s position in the region - one’s uniqueness. Change Islands could build on its unique character as the “Squid-jiggin’ Grounds.” The community could build on the history of the squid fishery. • Emphasis could be placed on the geological uniqueness of the area. -63- • • • • • • • • • • • Emphasis could also be placed on the “Islands Experience” and the ocean frontage. Many people are coming in and buying ocean frontage. The value of this property will be very important in the future. Hiking and other outdoor adventure activities (bird-watching, boating, kayaking) need to be expanded. There is a critical need to work with adjacent communities - like Twillingate and Fogo and to find linkages with these communities. For example, many tourists visit Twillingate to view the icebergs, and Change Islands is also part of this “Iceberg Alley”. These connections could be maximized, while at the same time, emphasizing the uniqueness of Change Islands. Decide what element of the market to go after. For example, do you want to attract the resident market or the international market? Mentorship is important. The work that is being done by Stages and Stores is wonderful, and it is an example of how regions have grown in our past. Other mentors will be important. More workshops like this would be desirable - to bring back cultural resource specialists, tourism specialists and heritage specialists to help with planning. Heritage co-ordinator/facilitator. People can be brought in from the Strategic Social Plan, from the zonal board, from HRDC, to put the focus on some of the things that need to be done. The first thing to do is to take advantage of opportunities including the ACOA programs. Write up a proposal for a project stating what you want done. There is a need to articulate short and long-term goals - these should be high-level goals. It is important to place the right value on your product. Projects: o Inventory of natural, cultural, marine, historic, geological, etc, resources. o Guide-book to give visitors when they come so they can orient themselves. o Conservation and protection. o Strategies around expanding trails, services, etc. Herb Bret, Vice President, Newfoundland and Labrador Federation of Municipalities, St. John’s, NL “I believe that attitude is 80% of what life is all about. The best 10 two-letter words I ever heard in my life are: ‘If it is to be, it is up to me.’ Some people in Newfoundland say, ‘If it is to be, it is up to we.’ There is no saviour that is going to save us. Our challenge is to find a way to do what we want to. It all goes back to attitude. It’s our attitude and not our aptitude that will determine our altitude. We can do anything we want to do, we just have to figure out our attitude and how we are going to do it.” The Federation of Municipalities represents 289 incorporated municipalities across the province. Members of the Federation can benefit from several programs including free legal referral services. One particular challenge facing the Federation of Municipalities is to try to get people to work more with each other. We have a certain attitude towards the different levels of government and the bureaucrats, and vice versa. This is a hindrance. During the year, the Federation tries to represent all their members in discussions with both levels of government. Municipal governments can play a critical role, but our municipalities are weak because we have 600 municipalities in total, with several unincorporated areas. If we can start working to get all these areas organized, we can be a lot more successful. We have had a meeting with the federal minister and have some funding in place now, and a project in place called -64- LADR (Local Action for Developing Regions). We recognize the need to bring people together, and with this funding, we will bring people together at round-table discussions (zone boards, municipal reps, etc) and sit down and do some strategic planning. It is important to start developing some actions to to address the problems. With the co-operation of the provincial government, we have set up the CCRC (Co-operative Community Resource Centre). We are going to hire a person there and start to work on getting interested regions of the province together. We have some good examples of that – Melrose, Port Union and Catalina are coming together as a group when three years ago they would not even talk to each other. They have realised that, by working together, they can have a few dollars to do something and limit duplications. John Wickham, Director, Regional Economic Development, Department of Industry, Trade and Rural Development, Government of Newfoundland and Labrador, St. John’s, NL “The strongest resource that we have is our people and we should never forget that. The attitudes and the people themselves is the resource we have got to develop and work on the most.” The Department of Industry Trade and Rural Development (DITRD) offers several community development initiatives. One example is the Community Capacity-Building Program, which is a tool for small communities to get together to do some planning. Another example is the Business Retention and Expansion Program which is offered in conjunction with the Regional Economic Development Boards (REDBs) to help small businesses identify any problems before they get out of hand. Community economic development, from the point of view of the DITRD is citizen-led development dedicated to improving lifestyles though wealth distribution, poverty reduction and job creation. Community economic development also provides infrastructure in support of business development. Early Development Associations were established for a number of reasons, and we are seeing organizations being created for some of those same reasons now. Some of the reasons for the formation of the early Regional Development Associations included the resettlement program, the need to provide access to employment, the need to address the problem of out-migration, and a lack of attention to fishery development which together were making rural communities in the province vulnerable. These early organizations were intended to promote a commitment to traditional lifestyle. In the early 1990s, the collapse of the groundfishery created a community crisis. There was a need to refocus regional development efforts. Government was downsizing, there was less money and a need for greater accountability. As a consequence of these changes, we have a new approach that began with the creation of regional economic development boards. There are currently 20 REDBs in the province. The history of the process included: • The release in 1992 of a government report entitled Change and Challenge - a strategic planning document. • In 1993, the Newfoundland and Labrador Rural Development Council requested a study of regional economic development. • In 1994, the Task Force on Community Economic Development travelled across the province. The objective of this Task Force was to review and make recommendations -65- • regarding the organizational structures of economic development and related programs and services and how they are used. In 1995 the government approved the creation of regional economic development boards based on the report of the Task Force entitled Community Matters. First, provisional boards would be formed. These would be made up of major stakeholders in the zones responsible for: o Identifying stakeholders for the REDBs. o Developing formulae for their representation. o Developing bylaws and ensuring Incorporation. o Finalizing boundaries and providing a name. The five core functions of the REDBs include the following: 1. Provide leadership in the development and implementation of a strategic plan for the zone which involves: o Initiating partnerships. Partnerships are key to the whole planning process. They are better than they were, but they need to get even better. o Marketing and promoting the zone and the strategic economic plan (SEP). o Ensure the SEP is current and up-to-date. o Ongoing monitoring and evaluation of the impact of the SEP implementation relative to the larger zonal economy. 2. Coordinate business development support which involves: o Assisting businesses, development groups and entrepreneurs to identify funding sources, investment opportunities and local and global investment potential. The REDBs have taken a lead role in investment prospecting in this province. We have several examples of REDBs going down and taking businesses back with them, which has been very helpful to the provincial economy. 3. Support organizations and communities within the zone which involves: o Accessing resources and expertise in support of stakeholders. o Promoting community organizational capacity building. o Promoting leadership and skills development. o Empowering sub-zonal agencies. Boards must work in conjunction with local agencies - municipal governments for example. They must not be set apart as a different group. So far they are doing a good job in this regard. 4. Coordinate social and economic initiatives related to economic development which means ensuring the following: o That the SEP is successfully implemented. o That development is consistent with the goals and objectives of the SEP. o That social and economic objectives are integrated. 5. Promote public participation and community education means ensuring the following: o The participation of all sectors of the community including youth, women and other minorities and groups that are feeling disenfranchised. o Access to information and skills for community decision-making. o Citizens’ responsibility for becoming functional in decision-making, the development process and government operations. This is a complicated process when dealing with government - we have seen examples above in which people had to go to government several times before receiving approval for a project, but the other side of the story is illustrated by the words of an economic development officer in government who said that “the approval process starts when I say no.” This illustrates the fact that community is not the only one confused about the decision-making process. -66- o Board empowerment through community support. They cannot do it on their own, and they must be accountable to the communities. The REDBs have been working closely with the Strategic Social Plan (SSP) in each area, which play an important role in the process. This collaboration further illustrates the need to integrate social and economic development. One of the key functions of the REDB process is performance contracts. These are renewed annually, although they are multi-year contracts. The performance contacts are: • Agreements to undertake mutually agreeable objectives. • Mechanisms for providing core finding. • A means to define the relationship between government and REDBs. • Developmental versus regulatory. • A means to identify an accountability framework. The process of establishing the REDBs took place in 2 phases. Phase One included the hiring of expertise to assist with the development of the SEP and policy manuals, as well as to monitor and provide input on economic development proposals which for the most part were going to costshared arrangements at the time. Phase Two involved a five-year framework agreement based on the five core functions of the REDB. Phase Two also provided for an annual renewal of the budget, work plan and monitoring and evaluation scheme as well as procedures for dispute resolution, reporting and other administrative details. The Boards are very accountable for the money they get, and they do a very good job with very limited resources. The issues facing the REDBs include the following: • Planning • Mechanisms for governance of the board. • Resources • Capacity-building • Pan-provincial issues. • Communication - they need to take credit for the work that they do. • Government partnerships - is government committed to this process? Actions that are being jointly undertaken to address these issues include: • Integrated workplans. The boards cannot do a plan without consulting with the communities. The plans have to be integrated with the community and with various levels of governance. The community and the boards have to be pro-active in this respect. • Monitoring and evaluation programs are underway. • Partnerships with ACOA, LMDA • Business retention and expansion • Capacity-building program • Newfoundland and Labrador Regional Economic Development Association (NLREDA) formed to tackle pan-provincial issues • Communications strategy being developed. • Protocol committee – between REDB, provincial government and ACOA is a response to the partnership requirements. -67- Discussion and Questions Following Policy for Sustainable Rural Livelihoods Ray Andrews (Fisheries Products International [FPI]): The following two issues are very important: 1. It is very important to get a full view of the industry. For example, while there is little cod here, FPI is buying product from Russia and Alaska, shipping it to China for processing, and then bringing it back to Massachusetts and the Burin Peninsula where we value-add and ship to the retail sector in North America. In the context of Change Islands, and the province, and the country, it is nice sometimes to remember the global picture. 2. In 2002, FPI was squashed because they wanted to modernize the groundfish industry and there is not even supposed to be any! There is one stock in Newfoundland and Labrador that has almost 30 million pounds of groundfish - yellow-tailed flounder coming to the company each year. When they tried to modernize, they tried to do it in isolation. This was a mistake. When they turned it around and did what people here at the conference are talking about, the opposite was the result. They modernized at a cost of $50 million in private investment, this year alone. At the beginning, they didn’t work in conjunction with other interest groups. Once they did begin to work together as a group - which included visits to China, Iceland, Norway and Denmark with the union and employees who came back and together helped to develop a plan - believe it or not; Mary’s Town, Harbour Breton and Fortune are now the most modern groundfish processing plants probably in the world. Now, at least three or more rural communities in Newfoundland and Labrador have a future because of modernization. We had two choices: We could go the Chinese route, which was not an option because you get 36 days of work there for the price of one here, and we could not compete with that. The other option was to follow the European modern model which is the high-tech route. We chose the latter. Maybe this is only the start for Change Islands and some other regional and local areas, but working together will at least give us a better base to proceed from instead of trying to do things in isolation. Jerry Dick (Association of Heritage Industries): There will be a conference in St. John’s October 3-5th entitled “Sustaining Heritage and Communities.” Find out more at ahi@nfld.net. Comment: In the consultation process (in ACOA, or DITRD, etc.) it is important not to forget the people who have been successful and those organizations that ACOA has helped in the past that have the capacity to do things and continue to do things; organizations like the REDBs, the Federation of Municipalities, and so on. It is important to also consult with those who have succeeded in accomplishing things in rural Newfoundland and continue to accomplish things. You might think that if you go to the REDB you will automatically have access to successful people and will have their input, but that is not necessarily always the case. Comment: There is a problem with by-catch on the boats dragging for shrimp - they also catch small turbot and redfish and throw them back in the oceans. There are also lots of crabs coming up with legs missing due to shrimping vessels dragging over crab fishing grounds. Is the same thing happening with crab that happened with cod? Glen Blackwood (Marine Institute): There are red flags being raised in the crab fishery right now. The shrimp by-catch issue is being addressed. We are working on fisheries technology and fisheries development, in particular on the problem of by-catch. One of the other problems we have identified in the shrimp fishery is the question of clearing of the bottom and the damage to crabs. In central Baie Verte, there has been more shrimp traffic and 60% of the crabs caught have -68- had missing legs. The mortality rate of soft-shelled crab is probably as high as 90%. In terms of the crab fishery being in trouble like the cod fishery, one safeguard would be to not harvest female crabs. Also under development are crab pots that will target 4-inch crab. LESSONS FROM CHANGE ISLANDS WORKSHOP The knowledge acquired at this workshop will be invaluable. Several main themes were constantly revisited throughout the workshop. These can be identified as lessons to assist us in the creation of a more feasible plan of action for Newfoundland and Labrador’s vulnerable coastal communities. Some of the recurring themes and lessons were as follows: • • • • • • • • • • • • • • • • • • We must admit that the northern cod fishery might be gone and begin to focus on the future, not dwell on the past. The starting point must be the communities themselves. They must be proactive and not merely wait for government to reach out to them. The communities must initiate an action plan and they must receive assistance from both levels of government. We need strong community leadership. Our people are our best resource and we must develop and utilize this resource We must coordinate our efforts with adjacent and similar communities as well as with regions experiencing similar problems. There must be a coordination of efforts on a larger scale. This needs to be a team effort. We must forge partnerships with all levels of organization. We need cooperation between community groups, university organizations and different levels of government We must change our self-defeatist attitude. We must stimulate positive thinking in order to have positive results. We must identify our strengths and weaknesses. We must perform a strength assessment. We need to identify our niche and work to protect it and use it to help the province’s rural communities. We must learn to appreciate those things around us which we may have taken for granted in the past. Communities must assert their independence while working with government to gain back some level of control over natural resources. We require a new governance structure in which these communities have a stronger voice in the management process. We must work together to preserve the culture of outport Newfoundland or it will be lost forever. Our vibrant history and culture is very important and we must protect it and celebrate it. We must identify what options are available to us (e.g.; government programs). We need to work together to develop a strategic action pan for the future that is appropriate for these communities We must foster innovation and creativity. Our people have always had a great inspired resourcefulness. Now is the time to use it. We need to harness the spirit of our people to persevere and use this enthusiastic community spirit constructively to make real change. We cannot be afraid of change. We must take an internationally comparative approach in order to learn from areas of the world that are experiencing similar problems. We must identify our mistakes and learn from them to work towards the future. The time for decisive action is now. We need to work towards enhanced social inclusion. It is important to involve youth in social and economic development. We also need to listen to the voices of women and Aboriginal people in the province. -69- • • • • • We need to emphasize sustainability in our use of natural resources. We cannot let what happened to the cod fishery happen to the crab fishery. We must understand the role we play in the ecosystem. We must be aware and understand global economic trends. Government policies need to be more sensitive to rural areas. Unemployment is a critical issue that needs to be addressed. We need to understand the role of politics. Politically-motivated decisions are critical. CONCLUSION Newfoundland and Labrador is currently in a precarious position. We live in one of the most resource rich areas of the world, yet we lack control over those resources. The cod fishery is closed, but this does not have to be the end of rural Newfoundland and Labrador. We must see this as an opportunity. This is our chance to diversify and explore other avenues to sustain the rural communities in our province. These areas have much to offer. This coastal planning workshop was a major step towards a plan of action that may lead to a more viable future for these vulnerable communities. The Change Islands workshop was an unqualified success. The workshop featured a great variety of presentations and allowed for intensive dialogue between various stakeholders and interested parties. It provided an opportunity for individuals representing a range of interests communities, unions, industry, government, academia - to share information and collectively devise possible solutions. The venue gave participants an opportunity to speak with local people and to get a taste of life in rural communities. This experience offers invaluable insight into the challenges that are faced on a daily basis by people living in these communities. It also presented an opportunity for participants to discover the great potential that exists in these small communities. We must use the lessons learned at this workshop to move forward and create a strategic plan of action. The most important lesson is that the time for action is now. The most common concern expressed at the workshop is that all of these lessons were discussed but will not result in concrete action. A legitimate fear is that all of these great ideas will be forgotten once the workshop is over. This seems to be a common complaint of many people involved in coastal communities and ocean management. The main message we must take away from this workshop is that we must employ all of these lessons in working towards action, and it is up to the community to take the initiative and take charge. We cannot afford to merely be satisfied with an identification of the weaknesses and strengths of rural Newfoundland and Labrador. Now we must strive for the implementation of the action plan that is based on all of these lessons. Only with such a strong commitment to action and change can these vulnerable communities of the province emerge with a more productive and self-sustaining economy that can contribute to their revitalization and renewal. -70-