An Economic Analysis of FRDC Investment in Theme 2:
Habitat And Ecosystem Protection (Part B)
7 September 2012
Peter Chudleigh, Buyani Thomy and Jessica Lai
Agtrans Research
Project Number: 2011/504
Background
The Fisheries Research and Development Corporation (FRDC) has five programs. These are:
Program 1: Environment
Program 2: Industry
Program 3: Communities
Program 4: People development
Program 5: Extension and adoption
Within Program 1 (Environment), there are four themes:
Theme 1: Biosecurity and aquatic animal health
Theme 2: Habitat and ecosystem protection
Theme 3: Climate change
Theme 4: Ecologically sustainable development
The following economic analysis is concerned with part of Theme 2 (Habitat and Ecosystem
Protection). The objective of this theme is to minimise the effects of fishing, aquaculture,
pollution, habitat destruction and land-based activities, and non-fishing occurrences, on fish,
aquatic habitats and ecosystems.
Due to the large number of projects that belong to this theme, Theme 2 was split into two
parts for the purpose of the economic analyses. Part B includes those projects that were
categorised as “stocking” and “other”.
The economic analysis of Theme 2 (Part B) includes thirteen projects. The thirteen projects
include investment in understanding ecosystem and environmental impacts, spatial and multispecies management, recreational fish stocking and artificial reef management and rebuilding.
Summary of Projects
There are thirteen projects in Theme 2 (Part B) included in this analysis. Table 1 identifies the
projects and Table 2 provides a summary of each project.
Table 1: Projects Included in Theme 2 (Habitat and Ecosystem Protection Part B)
FRDC
Project
Number
2000/180
2002/017
2002/028
2003/034
2003/062
2004/002
2004/013
2004/063
FRDC
Project Title
Restocking of the Blackwood River Estuary with black bream
(Acanthopagrus butcheri)
Impact of environmental changes on the biota of Western Australian
south coast estuaries
Trophic dynamics of the eastern shelf and slope of the South East
Fishery: impacts of and on the fishery
An ecological approach to re-establishing Australian freshwater cod
populations: an application to trout cod in the Murrumbidgee catchment
Driving innovation in environmental performance in the Queensland
fishing industry
Spatial management of reef fisheries and ecosystems: understanding the
importance of movement
Towards integrated multi-species management of Australia’s SE reef
fisheries: A Tasmanian example
Determining ecological effects of longline fishing in the Eastern Tuna
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2004/201
2004/410
2007/057
2007/248
2008/076
and Billfish Fishery
Innovative Solutions for Aquaculture: planning and management –
addressing seal interactions in the finfish aquaculture industry
Reducing plastics in the Australian seafood industry – Phase 1
Towards responsible native fish stocking: Identifying management
concerns and appropriate research methodologies
Offshore Reefs – Best practice study
Tactical Research Fund: cost-benefit analysis of implementing alternative
techniques for rehabilitating reefs severely depleted by Abalone Viral
Ganglioneuritis epidemic
Table 2: Description of Each of the 13 Projects
2000/180 – Restocking of the Blackwood River Estuary with black bream
(Acanthopagrus butcheri)
Project
details
Rationale
Objectives
Organisation: Challenger TAFE
Period: December 2000 to June 2007
Principal Investigator: Greg Jenkins
There was an urgent need to rehabilitate the stock of black bream in
the Blackwood River Estuary and enable the stock subsequently to be
sustained at a higher level than present. This was addressed by
culturing black bream and restocking the estuary to confirm that
released black bream survive in the estuary and make a significant
contribution to the fishable stock.
1. To obtain baseline data on crucial biological parameters and catch
statistics of black bream in the Blackwood River Estuary.
2. To obtain mature sized black bream from the Blackwood River
Estuary to be used as brood stock for culturing juveniles on site.
3. To identify and determine the extent of habitats important to black
bream in the Blackwood River Estuary.
4. To compare the densities of black bream in important habitats
within the Blackwood River Estuary with those in similar habitats
within other systems.
5. To introduce cultured juveniles into the Blackwood River Estuary,
all of which will be tagged.
6. To estimate the proportion of released black bream, which
represent a known year class, amongst the total number of that age
class and thereby estimate the extent to which restocking has
enhanced the population.
7. To obtain data on the biological parameters and catch statistics of
black bream in the Blackwood River Estuary following restocking.
8. To evaluate the success of the restocking program by comparing
biological parameters and catch statistics prior to and after
restocking.
9. To provide advice that can be used by management to develop
plans to sustain the enhanced stock of black bream in the
Blackwood River Estuary.
10. Compare the growth rates of restocked and "wild" fish during the
FRDC
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Outputs
Outcomes
first three and a half years of their life.
11. Estimate the proportion of restocked fish amongst all fish of a
corresponding age.
12. Determine whether the length and age at maturity and age at
maturity and the age at the minimum legal length of hatchery
reared black bream are the same as those for the "wild" stock.
13. Estimate the average cost to produce each fish that will survive to
the minimum legal length and thus be available for exploitation.
 Baseline data on habitats, densities, and crucial biological
parameters and catch statistics of black bream in the Blackwood
River Estuary were assembled.
 Mature sized black bream from the Blackwood River Estuary were
caught and used as brood stock for culturing juveniles on site.
 Cultured juveniles were tagged and released into the Blackwood
River Estuary and later surveyed.
 Biological parameters (e.g. growth rates) and catch statistics of
black bream following restocking were assembled; hatchery reared
and wild stock were compared.
 Information on the cost to produce each fish to the minimum legal
lengths was assembled.
 Advice was assembled for developing plans to implement an
enhancement strategy and ensure the enhanced stock is sustained.
 Catch statistics were not available for wild catches prior to the
restocking. However, there was only one commercial fisherman
operating in the Estuary who had ceased fishing for black bream at
the time of restocking due to the low numbers of fish in the river.
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The planning for the development of the enhancement strategy took
place by way of a Blackwood River Workshop in 2003.
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The recreational value of the estuary has increased as
approximately two thirds of the legal size black bream currently in
the estuary were clearly identified (via chemical otolith marks) as
those restocked in 2002 and 2003, the total number of black bream
available to the recreational fishery is approximately 3 fold more
than if no restocking was undertaken.
The cost of rearing and release is less than the value of the
additional recreational fish generated.
The single remaining commercial Blackwood fisherman has
recommenced fishing for black bream in the riverine section of the
estuary, after giving it up for several years prior to the restocking
due to declining catches. He is now catching commercial quantities
of bream again, two thirds of them being of restocked origin.
The restocked fish are all now mature and quantities of juvenile
bream are again being observed in the Blackwood after an absence
of many years (Trevor Price, pers. comm., 2009), providing
evidence that the restocked fish are spawning and contributing to
juvenile recruitment.
This project has also clearly demonstrated how severely depleted
the black bream stocks were prior to this FRDC project.
Restocking of black bream has been a resounding success and a
proven management method for fisheries managers.
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FRDC
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Benefits
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However, the enhancement strategy developed has not been
adopted in the Blackwood River Estuary and therefore juveniles
are still not reared and released regularly.
WA Department of Fisheries research officers have not supported
the implementation of an enhancement strategy in the Blackwood
River Estuary for the past 8 years. This has rested on an argument
of a lack of understanding of genetic consequences and biological
data.
In May 2009, funding was granted from the Minister of Fisheries,
against the advice of his research officers, to study both the
genetics and the biology of restocked and wild fish in the
Blackwood River Estuary in more detail.
Preliminary indications are that the genetic compositions of the
restocked and wild Blackwood black bream did not differ
significantly from each other. Conversely, wild and restocked
samples differed significantly from other black bream samples
from a range of other Western Australian water bodies.
Hence, the benefits have therefore yet to be realised fully via ongoing restocking activities in Western Australia. WA Department
of Fisheries officers are now, on instruction by the Fisheries
Minister, developing a restocking guideline for estuarine/marine
finfish which may see restocking being viewed as a responsible
fisheries management tool into the future.
At a time when there is a well publicised decline in many
recreational fish stocks in WA, without the Blackwood study there
would now be little government or public interest or drive for the
restocking of estuarine or marine fish. The FRDC Blackwood
project has been instrumental in putting restocking on the fisheries
management agenda in WA.
The project results were reported at the Third International
Symposium on Stock Enhancement and Sea Ranching that was
held in Seattle in 2006 and the presentation voted in the top two
presentations at the Symposium.
As of 2009, the availability of black bream in the fishery was 3
times the previous availability so recreational fishers have
benefited.
Renewal of economic activity of one commercial fisher.
2002/017 – Impact of environmental changes on the biota of Western Australian south
coast estuaries
Project
details
Rationale
Objectives
FRDC
Organisation: Murdoch University
Period: June 2002 to December 2006
Principal Investigator: Ian Potter
Reliable data was urgently required to underpin strategies to conserve
or improve the ecosystems and fisheries of normally-closed estuaries
in the central region of the south coast of Western Australia.
1. Determine whether the compositions of the fish faunas of the basin
and riverine regions of the Stokes, Culham and Hamersley inlets
change seasonally and whether pools in the upstream regions of the
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2.
3.
4.
5.
6.
Outputs
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Outcomes
FRDC
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saline reaches of their major tributaries act as refugia for Black
Bream.
Relate any differences in the compositions of the fish faunas in the
three estuaries to differences in the environmental characteristics
within and between these estuaries, and in particular of salinity,
dissolved oxygen and water levels.
Use age composition data to determine the extent of variations in
annual recruitment of Black Bream in the Stokes, Culham and
Hamersley inlets during recent years, and relate these variations to
environmental conditions, and particularly of freshwater discharge
and whether or not the bar at the estuary mouth had been breached.
Compare the growth of Black Bream in the above three estuaries
and consider any differences in the context of variations in the
environmental characteristics of those systems.
Determine the diets of Black Bream in the inlets and attempt to
relate any differences to any variations in the growth rates of this
species among those estuaries.
Provide to environmental and fisheries managers an assessment of
the levels at which salinity and dissolved oxygen influence the
abundance of the main fish species and how those critical levels
vary among species.
Data on the fish communities and environmental conditions in three
normally-closed estuaries (Stokes, Culham and Hamersley inlets) on the
central south coast of Western Australia have been obtained seasonally
for three years.
Fish faunas were sampled by seine and gill netting in each estuary, which
yielded only 5-8 fish species. The very low diversity of fish fauna is due
to a combination of these estuaries being normally-closed, which restricts
the entry of marine species, and the naturally low diversity of the fish
faunas of the estuaries in this region.
Salinities in all three estuaries rose as a result of a combination of salt
loading through land clearing, dry winters and high evaporation rates
during summer.
These increases were most marked in the Culham and Hamersley inlets,
eventually resulting in the salinities in these two estuaries exceeding by
several times that of sea water.
Massive mortalities of Black Bream occurred in these two estuaries when
salinities were approximately twice that of sea water, a finding that has
been published in an international journal.
Extremely high salinities were accompanied by a reduction in the
number of species and density of fish in Culham and Hamersley inlets,
with only a small species of hardyhead surviving when salinities reached
levels equivalent to four times sea water.
Dietary data emphasise that Black Bream is a highly opportunistic
omnivore and thus able to withstand major changes in potential food
types.
Survival by Black Bream over several years was greatest in Stokes Inlet,
the most environmentally stable estuary.
Growth of Black Bream varied greatly among estuaries, which appeared
to reflect differences in density rather than diet.
The results emphasise that the stocks of Black Bream can only be
sustained permanently in the basins of estuaries if the quality of
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Benefits
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environmental conditions in those systems is maintained at an
appropriate level.
The results also show that upstream pools can act as refugia for Black
Bream when extreme conditions exist downstream.
Potentially improvements in ecosystems and fisheries of normally-closed
estuaries in the central region of the south coast of Western Australia.
2002/028 – Trophic dynamics of the eastern shelf and slope of the South East Fishery:
impacts of and on the fishery
Project
details
Rationale
Objectives
Outputs
FRDC
Organisation: CSIRO Marine and Atmospheric Research
Period: April 2002 to June 2006
Principal Investigator: Catherine Bulman
The change in focus of fisheries management towards ecosystembased management is a worldwide trend. Within Australia it is
particularly evident in the requirements of the Environmental
Protection and Biodiversity Conservation (EPBC) Act, and in the
development of regional marine plans (RMPs) under Australia’s
Oceans Policy. The former requires strategic assessment of the
ecological impacts of fishing, including assessing trophic impacts. The
latter seeks to integrate management of entire regions through an
ecosystem approach that considers impacts from all uses of the marine
environment (including impacts of other users on fishery ecosystems).
The southeast region is the first to be evaluated under the Oceans
Policy.
1. Develop circulation and trophic models to describe the past and
present structure and dynamics of the food web on the eastern shelf
and slope of the South East Fishery (SEF), the impacts of
variability in primary production on catches, and to predict future
changes in response to recovery of marine mammals and major
reductions in discarding.
2. Provide a quantitative assessment of food web related risks, in
support of strategic assessment of the fishery under the
Environmental Protection and Biodiversity Conservation Act.
3. Contribute to a regional ecosystem model for use in the National
Oceans Office’s Regional Marine Plan for the South East,
including detailed scoping and preliminary trophodynamic models
for the Eastern Bass Strait (EBS) Shelf.
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A synthesis of existing knowledge about the trophic dynamics of the SEF
ecosystem which was achieved through the collation of data from:
o Targeted trophic studies and other physical, biological and
oceanographic studies within the study area and broader SEF zone;
o Studies on the same or closely related species within other regions;
and
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Identification of potential ecosystem responses to:
o Changes in environmental conditions particularly through their
impact on primary production;
o Current trends in the recovery of seal populations;
o Reductions in fishery bycatch; and
Other ecosystem models with similar characteristics.
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Outcomes
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o Changes in fishing effort.
Key tools and information to support the SEF in establishing an
ecosystem-based approach to management of the fishery and satisfying
EPBC requirements.
The models developed for the EBS have provided a good framework for
ongoing exploration of the response of the eastern Australian marine
ecosystem to environmental and anthropogenic disturbances.
While the model captures some of the complexity of the trophic
interactions that are fundamental to the ecosystem, there are still many
knowledge gaps particularly in relation to lower trophic levels.
The model has been used in a variety of subsequent studies such as the
Small Pelagic Trophodynamics project (FRDC 2008/023), the Marine
Stewardship Council investigation of global exploitation rates of small
pelagic fish and has been adapted to use in the investigation of the role
and management of Little Penguins in the ecosystem for the Phillip
Island Nature Park (Catherine Bulman, pers. comm., 2012).
Potentially improvements in sustainability of the ecosystem and of the
SEF.
2003/034 – An ecological approach to re-establishing Australian freshwater cod
populations: an application to trout cod in the Murrumbidgee catchment
Project
details
Rationale
Objectives
Outputs
FRDC
Organisation: Environment ACT
Period: July 2003 to November 2006
Principal Investigator: Mark Lintermans
Factors and stocking strategies that can enhance the chances of
fingerling stockings being successful were only just starting to be
investigated in Australia. There was identified a need to explore the
idea of re-establishing adult cod populations through seeding with
fewer but much larger individuals (not fingerlings).
1. To compare population responses in sub-adult Trout Cod that are
stocked at this developmental stage with those originally stocked
into the wild as fingerlings.
2. To compare population responses of sub-adult Trout Cod in large
verses small river habitats.
3. To apply and further develop innovative underwater video camera
technology as a tool for investigating habitat use in freshwater
environments.
 Information on population responses in sub-adult Trout Cod that
are stocked at a more mature developmental stage with those
originally stocked into the wild as fingerlings.
 Information on population responses of sub-adult Trout Cod in
large versus small river habitats.
 Development of underwater video camera technology as a tool for
investigating habitat use in freshwater environments.
 The first two information outputs above were delivered however
the third output on the video camera technology was severely
restricted due to poor visibility particularly through catchment
degradation following the 2003 Bush Fire.
 An additional output was that differential movement in small wild
fish as opposed to stocked sub adults was shown.
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Predations impacts on sub adult stocked fish were shown to be
extreme.
Major potential benefits were envisaged for recreational fishers in
the long-term following the re-establishment of cod fisheries.
The project demonstrated that significant post release mortality of
sub adult stocked fish was due to the lack of predator education of
hatchery raised fish (Sharon Lane, pers.comm., 2009).
The predation on uneducated sub adult fish was at such a level that
stocking efforts of the species or other cod species would be
severely compromised.
As such many of the anticipated outcomes and benefits were
undelivered.
The project has indicated that the grow-out of fish for recreational
and conservation stocking requires predator education to be
successful.
The project has led to a MDBA funded project in Queensland (DPI
Fisheries) investigating the survival of predator educated hatchery
reared recreational fish (Murray Cod, Golden perch, Bass and
Barramundi) being undertaken by Mike Hutchinson.
No benefits of significance are likely from this investment.
2003/062 – Driving innovation in environmental performance in the Queensland fishing
industry
Project
details
Rationale
Objectives
FRDC
Organisation: Reef and Rainforest Research Centre
Period: May 2003 to June 2006
Principal Investigator: Daryl McPhee
Environmental performance will be one of the most important drivers
of future fishing industry profitability. There was a growing
recognition amongst the industry’s grass roots that long-term
profitability will require maintenance of existing resource and market
access – access that is only possible with improved environmental
performance and demonstrated triple bottom line sustainability.
Projects that assist in motivating and demonstrating continual
improvement in the industry’s environmental performance are clearly
within industry’s interest, and will assist in increasing community and
consumer confidence in the sustainability of wild capture fisheries.
1. To develop and implement two Environmental Management
System (EMS) projects for industry participants that will have
utility for the fishing industry throughout Queensland.
2. To further refine the existing Green Chooser EMS methodology
with a focus on identifying and overcoming any impediments to
on-ground implementation.
3. To improve awareness of the triple-bottom line benefits of EMS
amongst both the seafood industry and broader community in the
pilot regions.
4. To provide EMS project officers, industry champions and industry
participants with the necessary knowledge and skills to optimally
carry out their roles and responsibilities.
5. To establish a grass roots culture amongst pilot regions of
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Outputs
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Outcomes
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Benefits
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continual improvement in environmental performance, and to
motivate the development of an industry-driven framework to
demonstrate ongoing improvements in environmental performance
post the life of the project.
The Moreton Bay regional EMS was completed and
implementation commenced.
The EMSs for fisheries in far north Queensland were not
completed within the project timeframe, however progress was
made despite budget and staffing cuts during the life of the project.
The seafood EMS methodology was refined further to meet the
needs of grass roots participants.
Fishermen involved in establishing the EMS have increased their
knowledge and skill-base in terms of facilitation, communication,
risk assessment and reporting practices.
In the pilot regions, the traditional culture of conflict and resistance
to change has slowly transformed into a culture of unity, common
goals and performance planning.
The development of common vision and goals means that the
seafood industry groups involved will be well placed to negotiate
with other stakeholders on a range of key issues.
The unified approach assists the State Government and other
stakeholders as they will now work with one group than a disparate
range of groups and individuals.
An increase in community and consumer confidence in the seafood
industry’s performance within the pilot regions, allowing
strengthened relationships between fishers and other members of
coastal communities, as well as better equipping the broader
community to develop informed opinions on the management of
fisheries resources.
The Moreton Bay EMS developed through the project has been
very successful, and had some flow-ons to the Mackay region.
Increased knowledge and skill-base of industry members with
respect to risk assessment and reporting practices.
Saved industry and government resources through a unified
approach to working with State government and other
stakeholders.
An increase in community and consumer confidence in the seafood
industry’s performance within the pilot regions, and therefore
increased probability of retaining access to the fishery.
2004/002 – Spatial management of reef fisheries and ecosystems: understanding the
importance of movement
Project
details
Rationale
FRDC
Organisation: University of Tasmania
Period: August 2004 to August 2008
Principal Investigator: Colin Buxton
Little was known of the movement patterns of most commercial reef
species, an aspect that is crucial for evaluating the effectiveness of
spatial management and interpretation of local stock dynamics. By
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Objectives
undertaking a broadly applicable movement study drawing on
examples over an Australia wide scale and using model species
representing differing life histories, the project will address a key issue
identified in several national strategic priorities. That is, understanding
the ecosystem effects of fishing and the need to assess the merits and
performance of spatial management.
1. To study the movement patterns of key reef associated fishes in
Tasmania and the Northern Territory.
2. To link movement patterns with critical life history events and
habitat utilisation.
3. To evaluate these results in the context of spatial management
options for specific fisheries, including performance of closed
areas.
Outputs
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FRDC
The Northern Territory component of the study focused on the black
jewfish Protonibea diacanthus. Fishers target spatially and temporally
predictable aggregations, and catches have increased substantially over
the past decade.
Acoustically tagged fish were monitored at two of the three known major
aggregation sites, Channel Point and Chambers Bay, to determine
whether the aggregations were separate populations and whether
management measures such as spatial and temporal closures might be
effective.
No evidence of movements between aggregations within the time frame
of the study was observed although there was evidence for different
behavioural types in the aggregations.
Fish monitored for ≥ 1 year showed a decreased presence during cooler
months, and an increased presence during warmer months, when peak
spawning occurs.
The existence of separate adult populations at each aggregation site has
significant implications for assessment and management of the
P.diacanthus resource in the NT, with the potential for each population
to be highly vulnerable to localised depletion.
Area closures during the peak summer spawning period may be a
practical way to manage the resource, and would protect fish moving in
and out of the aggregation sites to spawn.
However, given P.diacanthus appears to form resident spawning
aggregations, with fish present and caught at the sites year round, the fish
would remain highly vulnerable during other periods of the year,
potentially negating, or at least reducing the benefits of seasonal
closures.
Other management measures may need to be looked at in combinations
with seasonal closures, such as reducing catches in the different sectors
of the fishery.
The Tasmanian component focussed on two key large temperate reef
species, Cheilodactylus spectabilis and Latridopsis forsteri.
Large- and fine-scale acoustic monitoring was used to examine the
temporal/spatial movement patterns of both species on rocky reefs on the
Tasman Peninsula.
C.spectabilis only moved to depth during the spawning season,
suggesting that the deep water stocks that fishers believe act as a refuge
population are in fact temporary residents during the spawning seasons,
and the fishery may in fact target a major component of the stock.
Spatial protection, even at a small scale (<1km2), is likely to provide
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Benefits
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protection to C.spectabilis because they are highly site attached and are
shown to share small patches of reef.
L.forsteri, although relatively more mobile, are also likely to benefit from
spatial protection because some individuals were shown to be site
attached and were not detected moving across sand boundaries between
reefs.
An improved understanding of the temporal and spatial dynamics of
P.diacanthus aggregations in the Northern Territory.
An improved understanding of the temporal and spatial movement
patterns of C.spectabilis and L.forsteri in Tasmania.
Potentially improvements in sustainability of ecosystems and fisheries.
2004/013 – Towards integrated multi-species management of Australia’s SE reef
fisheries: A Tasmanian example
Project
details
Rationale
Objectives
Outputs
FRDC
Organisation: University of Tasmania
Period: January 2005 to September 2008
Principal Investigator: Stewart Frusher
The project addresses FRDC’s strategic vision to move towards
assessment and management of Australia’s fisheries at the ecosystem
level rather than the single species level. A concern in embracing
integrated multi-species or ecosystem-based management is the
breadth of ecosystem issues that can be tackled. By focusing on
specific issues identified by stakeholders, this project had the potential
to demonstrate the benefits of multi-species management in two of SE
Australia’s most valuable fisheries, and the need for this approach to
be adopted as the future management framework.
1. To determine the impact of rock lobster fishing on abalone
population dynamics.
2. To evaluate the effect of abalone fishing on the community
structure of the reef.
3. To understand rock lobster predator-prey relationships, particularly
in relation to changes that may have occurred as a consequence of
fishing.
 The key observation in the marine protected area (MPA) was that
the medium size class of abalone was missing compared to
adjacent fished sites.
 The increase in lobster abundance and size within the MPA was a
primary driver for this observation.
 Using standard survey techniques, it was identified that abalone
emerge at a larger size within the MPA and that this was probably
a behavioural response to the lobster biomass, the presence of
larger lobsters or both.
 A series of manipulative experiments identified that newly
emergent abalone were ten times more likely to be consumed by
rock lobsters than either non-emergent abalone or larger abalone
that had emerged earlier and survived the newly emergent phase.
 Using a novel approach that linked abalone shell markings to
lobster attacks, the project provided further supporting evidence
that lobsters were important predators of abalone and that the
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abundance and larger size of lobsters in the MPA resulted in higher
mortalities.
The project undertook a combined stable isotope and fatty acid
signature approach to evaluate the importance of abalone to lobster
diet. Although this method did detect differences between diets of
rock lobster found in MPAs and fished regions, the contribution of
abalone to the diet was relatively minor.
Using the latest technology in acoustic telemetry, the project
demonstrated that fishing has impacted on lobster behaviour.
Lobster activity patterns within the MPA demonstrated a degree of
segregation between small and large lobsters of each sex that that
these different activity patterns were not reflected in catchability of
lobster in traps.
Interviews with fishers indicated that the fished area of reefs is
dynamic and is affected by a complex relationship between
abalone abundance, the amount of catch to be taken and the
financial rewards to abalone divers.
Fishers stated that abalone populations fluctuated regionally
although a general trend in more resilient populations was found
further south in Tasmania.
Most divers recognised that the abalone populations that they were
fishing had been severely depleted.
Several divers identified that after the removal of abalone,
‘preferred’ abalone habitat changed to ‘less preferred’ habitat.
Outcomes
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This project has demonstrated a range of novel and innovative ways to
address species interactions and paths the way for an improved
understanding of the effects of fishing on ecosystems.
Benefits
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Potentially the use of an integrated multi-species approach to
fisheries management providing greater ecosystem sustainability.
2004/063 – Determining ecological effects of longline fishing in the Eastern Tuna and
Billfish Fishery
Project
details
Rationale
Objectives
FRDC
Organisation: CSIRO Marine and Atmospheric Research
Period: April 2005 to December 2008
Principal Investigator: Jock Young
If the Eastern Tuna and Billfish Fishery (ETBF) is to move
substantially toward ecosystem-based fishery management, as it is
required to do under the EPBC Act, greater understanding and
consideration of the broader ecosystem effects of fishing are required.
1. Identify the spatial extent and the temporal stability of the main
ecosystems of the ETBF based on their species composition and
physical environment.
2. Define the trophic structure within these ecosystems with emphasis
on the relationship between target, bycatch and threatened and
protected species.
3. Develop an ecosystem model for the ETBF fishery incorporating
data on the relative abundance of the species, trophic linkages and
the physical environment from which the impacts of longline
fishing on the ecosystem can be investigated and from which
Page 13
alternative future management strategies can be evaluated.
Outputs









Outcomes

Benefits

Detailed observations were made as well as a series of measurements
were taken on a research voyage to the main region of the ETBF.
Detailed acoustic data collected on the voyage was analysed to provide
an estimate of prey biomass for the region.
A desktop analysis of the spatial variability of the region was developed.
A series of studies of the trophic ecology of target and prey species taken
by the ETBF was completed, before a more focussed analysis of the
trophic ecology of the ten major predator species.
Predator prey matrices developed from the trophic analyses were used to
compare the trophic pathways of the ETBF with other fisheries in the
Pacific Ocean using a qualitative model. This study was the first of its
kind and showed the differing effects of climate change on top predators
across the Pacific.
A quantitative model was developed for the ETBF using EwE (modelling
software to address ecological issues).
The model indicated that increased fishing effort on individual target
species had a relatively minor effect on the abundance of other
components of the ecosystem.
Climate change scenarios indicated that predator abundance would
increase under a warming ocean, through increases in the biomass of
squids which are the prey of many predators in the region.
Recommendations for further research include:
o A comprehensive study of the inshore ecosystem adjacent to the
ETBF so that impacts of commercial and recreational fishing in
inshore waters can be evaluated against that of the offshore longline
fishery.
o Establishment of a mechanism for future monitoring of key
biological indicators (e.g. trophodynamics, age, growth and
reproduction) of target and non-target species within the ETBF so
that early detection of ecosystem change, from fishing or climate
change, is possible.
The research has provided a much needed empirical and process
understanding of the ecosystem of the ETBF.
Greater understanding and consideration of the broader ecosystem effects
of fishing in the ETBF that could lead to greater ecological sustainability.
2004/201– Innovative Solutions for Aquaculture: planning and management –
addressing seal interactions in the finfish aquaculture industry
Project
details
Rationale
Objectives
FRDC
Organisation: South Australian Research and Development Institute
Period: August 2004 to June 2008
Principal Investigator: Simon Goldsworthy
Community groups such as the Marine and Coastal Community
Network have expressed concern about the impacts that marine finfish
aquaculture pose to the conservation of seals. The SA Department of
Primary Industries and Regions (PIRSA) Aquaculture Policy Group
and the marine finfish industries have identified that improving zoning
issues of finfish aquaculture relative to seal colonies and their foraging
grounds as a key management need for the industry.
1. Assess the nature and extent of interactions between seals and
finfish farms in the Port Lincoln region, to provide a baseline
Page 14
against which future changes can be assessed.
2. Determine the distribution of foraging effort of seal populations in
proximity to existing finfish aquaculture farms off the southern
Eyre Peninsula.
3. Determine the distribution of foraging effort of seals, relative to
the distribution of breeding and haulout sites off the west coast of
the Eyre Peninsula in regions currently zoned for finfish farms, but
where none currently exist.
4. Develop strategic GIS tools to assist in planning finfish
aquaculture sites to minimise the costs of interactions to industry,
and risks to seal populations and make specific recommendations
on the positioning of finfish farms relative to seal colonies, seal
haulout areas and seal foraging grounds.
Outputs










Outcomes


FRDC
Tuna farmers participated in a questionnaire to determine the types of
equipment used on farms to deter seals and assess the nature and extent
of seal interactions.
Surveys were undertaken at finfish cages during the day and at night to
determine the rates of seal sighting, and to provide a baseline against
which changes in the abundance and activity of seals around finfish
cages can be assessed.
Extensive satellite tracking studies of Australian Sea Lions (ASL) were
undertaken.
Information was assembled on the behaviour of ASL and New Zealand
fur seals (NZFS) that breed in close proximity to current or proposed
aquaculture lease sites.
The study provides the most comprehensive appraisal of the status of
ASL populations in southern Spencer Gulf and the Nuyts Archipelago,
and identifies several new breeding populations.
Several management recommendations to minimise finfish mortality
from seals include:
o Incorporation of seal fences on pontoons
o Regular and frequent net maintenance including repair of holes
o Regular and frequent removal of tuna carcasses
Recommendations for further research include:
o Fish mortality forensics and industry training to assist accurate
identification of seal caused mortality of fish, and the development
of industry and management performance indicators;
o Assessment of the risk of new farm systems to threatened ASL (e.g.
sea cage technology for abalone);
o Use of seal traps and new GPS tracking technology to target seals
that interact with finfish farms.
Efforts should be made to improve procedures for recording causes
of death of farmed finfish.
New technologies for caging kingfish and mulloway should be
investigated.
Universal proximity recommendations for the future siting of
finfish farms relative to seal colonies may be inappropriate and
where possible colony based assessment of critical foraging habitat
and movement corridors should be undertaken.
While the recommendations on siting and zoning of aquaculture farms
are still relevant, no changes in these aspects have occurred.
This has been due in part to the project showing that the extent of
Page 15


Benefits



interactions of the ASL with aquaculture farms was less than what was
previously thought as foraging of the ASL is over a far wider area
(Simon Goldsworthy, pers. comm., 2012).
No improved mitigation methods emanated from the project regarding
ASL as this was not a prime focus of the particular study.
Partly as a result of the project, the emphasis by industry has changed
from ASL to NZFS; the increasing NZFS population and their position as
an obvious and smart predator of fish on aquaculture farms has led to
potential further research studies on the NZFS (Simon Goldsworhty,
pers.comm., 2012).
Increased behavioural knowledge of ASL and NZFS.
Avoided urgency of aquaculture farm siting and zoning changes that may
have been costly to industry without any significant conservation impact.
Assisted with further resource allocation with respect to aquaculture farm
predation.
2004/410– Reducing plastics in the Australian seafood industry – Phase 1
Project
details
Rationale
Objectives
Outputs
Outcomes
Benefits
Organisation: OceanWatch Australia Limited
Period: June 2005 to April 2007
Principal Investigator: Anissa Lawrence
There was a trend by groups such as Planet Ark, local councils, DEH
and other industries to reduce plastics and other non-recyclable
materials such as polystyrene. There was no forward planning in the
Seafood industry to cover this issue, and due to the need for leak proof
packaging, the issue needed to be addressed.
1. To undertake a desktop study to review where plastics are used
within the Australian Seafood Industry (post harvest) and whether
potential alternatives/substitutes are available.
 A desktop feasibility study was completed to quantify the size of
the plastics problem in the industry, review alternative materials
and packaging and handling options and suggest recommendations
for the industry to move forward.
 The study indicated a great deal of R&D has been and is being
undertaken to develop sustainable alternatives to virgin plastic
products.
 The study also identified that there is an opportunity for the
Australian seafood industry to undertake actions to replace plastics
usage across the supply chain.
 Recommendations were made as to a number of surveys and pilot
studies that could be undertaken by the Seafood industry to explore
opportunities for alternatives and their adoption.
 The project has not directly led to any significant changes or
developments with respect to the use of plastics in the capture
industry.
 This project has increased knowledge regarding the use of plastics
in the industry, but has not had any direct benefit.
2007/057 – Towards responsible native fish stocking: Identifying management concerns
and appropriate research methodologies
FRDC
Page 16
Project
details
Rationale
Objectives
Outputs
Organisation: Department of Agriculture, Fisheries and Forestry
(QLD)
Period: September 2007 to September 2008
Principal Investigator: John Russell
Better understanding of the impacts of stocking was flagged as a key
national issue at the National Workshop on Research, Development
and Extension Priorities for Stock Enhancement, Fish Stocking and
Stock Recovery (FRDC project 2005/323). The continued success of
freshwater fish stocking in Australia is contingent on demonstrating
that it is sustainable under the principles of Ecologically Sustainable
Development (ESD). The impacts of fish stocking on recipient
ecosystems and wild fish stocks are poorly understood and these
activities have drawn adverse criticism from conservation groups and
environmental management agencies.
1. Identify the major management concerns regarding the impacts of
native freshwater fish stocking activities on recipient ecosystems
and wild stocks.
2. Hold a workshop of experts to agree on appropriate methodologies
to address the previously identified management issues.





Outcomes


Benefits

A questionnaire was developed for distribution to pertinent stakeholders
to identify the major management concerns regarding the impacts of
native freshwater fish stocking activities on recipient ecosystems and
wild stocks.
Of the 36 surveys that were sent out, 29 completed responses were
received including 13 and 11 respectively from management and
research organisations or personnel and 5 from industry or academia.
Identified high priority issues fell into the following core areas: marking
techniques, genetics, population dynamics, introduction of pathogens and
exotic biological material and ecological, biological and conservation
issues.
A meeting of selected expert researchers and managers was held at the
Joondoburri Conference Centre on Bribie Island in southeast Queensland
on the 25-26 March 2008.
Participants at the workshop agreed on a range of methodologies for
addressing priority sustainability issues and decided under what
circumstances that these methodologies should be employed.
The identification and prioritisation of the major management issues
related to the ecological impacts of fish stocking and the elucidation of
appropriate research methodologies that can be used to investigate these
issues.
As a direct result of this project, FRDC funded a major three year
research project titled “Fish stocking programs – assessing the benefits
against potential long term genetic and ecological impacts” (2009/40)
(John Russell, pers. comm., 2012).
Potential continuation of effective and sustainable fish stocking.
2007/248 – Offshore Reefs – Best practice study
Project
details
FRDC
Organisation: Department of Primary Industries (NSW)
Period: September 2007 to August 2008
Principal Investigator: John Diplock
Page 17
Rationale
Objectives
FRDC
In 2004 an estuarine artificial reefs program was initiated with funding
from the NSW Recreational Fishing Saltwater Trust. Reefs have been
deployed in 3 coastal lagoons using concrete “reef ball” modules.
Undertaking an environmental assessment is a precursor to expanding
the artificial reefs program into inshore ocean waters. FRDC
highlighted the need to ensure best practice in artificial reef
technology.
Well funded research and development on artificial reefs has been
conducted in Korea and Japan for more than three decades. A study of
the resultant sophisticated suite of tailored reef designs and
deployment regimes was considered timely given the renascent interest
in artificial reefs in Australia.
1. To investigate artificial reef construction and deployment
methodologies to ensure that the NSW program employ world’s
best practice.
2. To study artificial reef site selection techniques and site specific
location criteria to maximise reef effectiveness.
3. To observe and record techniques for monitoring and measuring
the effectiveness of artificial reefs in improving recreational
fishing particularly those using innovative technologies to deliver
enhanced fishing and environmental outcomes from NSW artificial
reefs.
4. To provide up-to-date advice on artificial reef methodologies
available to interested Australians by reporting to the NSW
Advisory Council on Recreational Fishing (ACoRF), the NSW
Recreational Fishing Saltwater Trust Expenditure Committee
(RFSTEC), NSW Planning Dept. and FRDC, and through
publications in the recreational fishing media, scientific journals,
meetings of fishing organisations and fisheries managers, and on
the web.
5. To improve the skills of key personnel responsible for artificial
reef projects in NSW by meeting with artificial reef experts and
inspecting artificial reefs in countries with extensive successful
reef development experience.
6. To satisfy the FRDC that the deployment of artificial reefs in
inshore ocean waters off NSW meets the highest environmental
standards and is therefore eligible for FRDC funding.
7. To note the processes used for assessing the environmental impact
of artificial reefs to ensure that artificial reefs in Australia are
deployed and managed in an environmentally responsible way.
Page 18
Outputs





Outcomes




Benefits


Mr Diplock and Mr Folpp visited Korea from 2-8 September 2007
and Japan from 8-16 September 2007 to investigate artificial reef
construction and deployment methodologies to ensure that the
developing NSW program employ world’s best practice.
They visited government research institutions, universities, and
artificial reef construction sites and met with reef design and
construction companies in both countries.
The information obtained has been widely disseminated in
Australia through presentations to government agencies and
stakeholder groups, and to recreational fishers through radio and
popular print media.
The project has provided information otherwise unavailable in
Australia that will assist the implementation of best-practice
artificial reef design, construction and deployment throughout
Australia.
The project provided access to Japanese and Korean government
and business contacts that will allow Australian artificial reef
proponents to access state of the art artificial reef technology.
The project provided an in-depth examination of artificial reef
technology in Japan and Korea that fundamentally changed the direction
of artificial reef design and construction for use in the new Offshore
Artificial Reefs Program in NSW through adoption of purpose built,
sophisticated reef designs and materials, and species-specific reef module
groupings.
The skills of the fisheries management team responsible for the artificial
program in NSW has been significantly enhanced through exposure to
Korean and Japanese artificial reef technology.
The Environmental Assessment that was underway in NSW has been
significantly improved through the incorporation of new reef technology
observed in Korea and Japan, and through expert advice obtained from
overseas experts met via the study.
The information has been used in NSW, Victoria and Western Australia
which has seen the deployment of purpose built artificial reefs.
More effective artificial reefs in Australia.
Increased catch rate for recreational fishers.
2008/076 – Tactical Research Fund: cost-benefit analysis of implementing alternative
techniques for rehabilitating reefs severely depleted by Abalone Viral Ganglioneuritis
epidemic
Project
details
Rationale
FRDC
Organisation: Western Abalone Divers Association
Period: December 2008 to May 2009
Principal Investigator: Harry Peeters
Following the epidemic in 2006 and 2007 caused by Abalone Viral
Ganglioneuritis (AVG) through the Victorian western zone, the
Western Abalone Divers Association (WADA) began discussing the
relative merits of alternative methods for rehabilitating the most
heavily impacted reefs. A workshop of experts convened by WADA in
December 2007 recommended that prior to initiating costly field
programs quantitatively rigorous analyses should be conducted
comparing likely costs and benefits of pursuing alternative strategies
Page 19
Objectives
Outputs
involving reseeding, translocation or natural recovery processes.
Subsequently the National Abalone Health Workplan Priority Setting
Workshop held in June 2008 also gave high priority to conducting an
economic cost benefit analysis of rebuilding intervention.
1. Review of current and past research related to abalone reseeding to
determine whether the approach is initially feasible.
2. Construct a quantitative economic and population dynamics model
of reseeding, translocation and natural rebuilding for blacklip
abalone reefs and use it to analyse the likely costs and benefits of
alternative techniques of rehabilitating a reef code in the Victorian
western zone.
3. Prepare and present a written and audio-visual report to WADA at
their October 2008 and February 2009 reef assessment workshops
detailing modelling methods, underlying assumptions and results
of evaluating alternative rehabilitation techniques.






Outcomes


Benefits

Past and current research related to abalone reseeding, translocation and
mortality rates was surveyed.
On the basis of the literature, a quantitative model of the population
dynamics and economic processes underlying reseeding, translocation
and natural rebuilding of a blacklip abalone reef in the western zone of
Victoria was constructed, and used to analyse the likely costs and
benefits of the alternative techniques of rehabilitating the Kilarney reef
code in western Victoria.
Taking into account the cost of capital, natural rebuilding is the most cost
effective approach to recovering western zone reefs following AVG.
Augmentation of breeding biomass immediately after a die-off will come
closest to covering the cost of the capital involved.
Translocation of adults was estimated to at least pay for direct costs but
not cover the cost of capital.
Reseeding only covered direct costs when the price of abalone exceeded
$40/kg and seed is cheap.
There has been no further outbreak of AVG in the Western Zone since it
disappeared in 2007. Should there ever be another major die off of the
resource the information from the project would be used to immediately
implement a rebuilding program (Harry Peeters, pers. comm., 2012).
Consideration is being given to use the information from the project to
rebuild areas where the resource has collapsed due to other factors than
disease (Harry Peeters, pers. comm., 2012).
Potential (actual) cost savings from using natural rebuilding, the most
cost effective approach, to rehabilitate a reef following AVG.
Project Investment
The following tables show the annual investment by project for both the FRDC (Table 3) and
for researchers and other investors (Table 4). Table 5 provides the total investment by year
from both sources.
FRDC
Page 20
Table 3: Investment by FRDC by Project for Years Ending June 2001 to 2010 (nominal $)
Project
2000/180
2002/017
2002/028
2003/034
2003/062
2004/002
2004/013
2004/063
2004/201
2004/410
2007/057
2007/248
2008/076
Total
2001
37,020
0
0
0
0
0
0
0
0
0
0
0
0
37,020
2002
115,248
0
40,287
0
0
0
0
0
0
0
0
0
0
155,535
2003
80,603
42,379
57,150
0
16,000
0
0
0
0
0
0
0
0
196,132
2004
0
37,633
63,710
110,784
48,000
0
0
0
0
0
0
0
0
260,127
2005
57,037
14,288
0
146,368
0
128,759
197,082
87,243
149,813
0
0
0
0
780,590
2006
0
14,937
40,288
91,996
16,000
(21,250)
71,815
128,784
47,978
4,000
0
0
0
394,548
2007
32,175
11,937
0
79,905
0
102,932
202,435
111,372
0
1,000
0
0
0
541,756
2008
2009
2010
0
0
0
0
0
71,476
40,000
149,319
98,896
0
24,000
19,000
0
402,691
0
0
0
0
0
59,916
18,916
55,639
0
0
3,000
0
18,860
156,331
0
0
0
0
0
0
58,916
0
0
0
0
0
17,150
76,066
Total
322,083
121,174
201,435
429,053
80,000
341,833
589,164
532,357
296,687
5,000
27,000
19,000
36,010
3,000,796
Source: FRDC project management database
Table 4: Investment by Researchers and Others by Project for Years Ending June 2001 to 2010 (nominal $)
Project
2000/180
2002/017
2002/028
2003/034
2003/062
2004/002
2004/013
2004/063
2004/201
2004/410
2007/057
2007/248
2008/076
Total
2001
176,569
0
0
0
0
0
0
0
0
0
0
0
0
176,569
2002
76,488
0
20,518
0
0
0
0
0
0
0
0
0
0
97,006
2003
68,664
133,862
180,497
0
165,283
0
0
0
0
0
0
0
0
548,306
2004
41,626
73,683
79,157
197,357
439,150
0
0
0
0
0
0
0
0
830,973
2005
2006
42,870
0
63,597
0
0
0
156,969
104,532
0
0
183,454
160,108
514,885
538,409
931,557
163,633
57,500
77,500
0
5,000
0
0
0
0
0
0
1,950,832 1,049,182
2007
2008
2009
0
0
0
0
0
166,350
539,588
148,009
0
0
0
0
0
853,947
0
0
0
0
0
0
0
58,869
0
0
33,545
350,600
0
443,014
0
0
0
0
0
0
0
0
0
0
0
0
40,000
40,000
Source: FRDC project management database; applicant and other investment based on project proposals.
FRDC
Page 21
2010
0
0
0
0
0
0
0
0
0
0
0
0
0
0
Total
406,217
271,142
280,172
458,858
604,433
509,912
1,592,882
1,302,068
135,000
5,000
33,545
350,600
40,000
5,989,829
Table 5: Annual Investment in Cluster (nominal $)
Year ending June
FRDC
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
Total
37,020
155,535
196,132
260,127
780,590
394,548
541,756
402,691
156,331
76,066
3,000,796
Researchers and
Others
176,569
97,006
548,306
830,973
1,950,832
1,049,182
853,947
443,014
40,000
0
5,989,829
Total
213,589
252,541
744,438
1,091,100
2,731,422
1,443,730
1,395,703
845,705
196,331
76,066
8,990,625
Benefits
Table 6 summarises the major benefits by category delivered by each of the projects.
Table 6: Type of Benefit Delivered by Projects
Project
number
2000/180
2002/017
2002/028
2003/034
2003/062
2004/002
2004/013
2004/063
2004/201
2004/410
2007/057
2007/248
2008/076
Increased
catch rate
for
commercial
fishers

Increased
catch rate
for
recreational
fishers

Type of benefit
Industry Maintain Increased
cost
access to
industry
savings
fishery
capacity
Retained
ecosystems
and species;
biodiversity
Public
cost
savings

















Summary of Benefits
Table 7 provides in a triple bottom line framework a summary of the principal types of
benefits associated with the outcomes of the investment.
Table 7: Summary of Benefits in a Triple Bottom Line Framework
Economic
(1) Increased catch rate for
commercial fishers
(2) Industry cost savings
(3) Maintain access to fishery
(4) Increased industry
capacity
Environmental
(5) Retained ecosystems and
species; biodiversity
Social
(6) Increased catch rate for
recreational fishers
(7) Public cost savings
The benefits identified above (1 to7) have been classified into subjective beneficiary
categories and a subjective estimate of their magnitudes is provided in Table 8.
Table 8: Categories of Benefits from the Investment
Benefit type
Economic
Environmental
Social
*** Major contribution
Fishing industry
Spillovers
Other industries
(1) *
(2) *
(3) *
(4) *
(5) **
** Some contribution
Public
(5) **
(6) **
(7) *
* Minor contribution
Public versus Private Benefits
Both private and public benefits will arise from the investment. On the basis of the
distribution of the eight benefits listed in Table 8, and equal weighting for each benefit, it
could be concluded that public benefits to Australia could make up 37.5% of the total
benefits. If the subjective weightings are taken into account, the public benefits would make
up 45% of the total benefits.
Distribution of Benefits Along the Supply Chain
The private benefits accruing to commercial fishers are likely to be shared along the supply
chain including seafood consumers.
Benefits to Other Industries
It is likely that most industry benefits will be confined to the fishing industry.
Benefits Overseas
It would be unlikely that there would be any significant spillover benefits to overseas interests
from the project investments.
Additionality and Marginality
In the event that FRDC did not receive funding from government, it is likely that many of
these investments would still have been supported by FRDC (albeit at a lower dollar amount),
assuming a levy system was still in place. A summary is provided in Table 9.
Table 9: Potential Response to Reduced Public Funding to FRDC
What priority were the projects in this cluster
when funded?
Would FRDC have funded this cluster if only
half of public funding of FRDC had been
available?
Would the cluster have been funded if no
public funding for FRDC had been available?
Medium
Yes, but with a lesser total investment (50%75%) of actual total investment
Yes, but with a lesser total investment (2550%) of actual total investment
Match with National Priorities
The Australian Government’s National and Rural R&D Priorities are reproduced in Table 10
(updated in May 2007 and still current).
FRDC
Page 23
Table 10: Australian Government’s National and Rural R&D Priorities
1.
2.
3.
4.
Australian Government’s National and Rural R&D Priorities
National Research Priorities
Rural Research Priorities
An environmentally sustainable Australia 1. Productivity and adding value
Promoting and maintaining good health
2. Supply chain and markets
Frontier technologies for building and
3. Natural resource management
transforming Australian industries
4. Climate variability and climate change
Safeguarding Australia
5. Biosecurity
Supporting the priorities:
1. Innovation skills
2. Technology
The investment has contributed to National Research Priorities 1 and 3, as well as and Rural
Research Priorities 1 and 3, with both supporting priorities addressed.
Quantification of Benefits
Benefits valued
Of the seven in dividual benefits produced from this investment, there are four benefits
valued. They are:
 An increased catch rate for commercial fishers
 An increased catch rate for recreational fishers
 Maintenance of access by commercial fishers
 Retained ecosystem and species biodiversity
Benefits not valued
The three benefits not valued included:
Public cost savings
Industry cost savings
Increased industry capacity
These three benefits were not valued as their magnitude was thought to be relatively minor.
Increased catch rate for commercial fishers
This benefit from the restocking of the Blackwood River Estuary with black bream was the
renewal of commercial fishing by a single operator with one boat. The commercial catch was
about 875 kg black bream per annum (WA Department of Fisheries, 2004) valued at about $8
per kg (Recfish West, 2004). This gave a reinstated benefit of about $7,000 per annum, a
relatively minor benefit.
FRDC
Page 24
Increased catch rate for recreational fishers
The three projects contributing to this benefit varied in their scope and are of impact so they
are difficult to value jointly. In a previous study the enhanced stocking of the Blackwood
River Estuary was valued at $0.31 m per annum; this was based on 16,500 recreational fisher
days per annum (WA Department of Fisheries, 2004), an improvement in the experience of
20%, and a willingness to pay estimate for this improvement by fishers based on a
Queensland study for the Bjelke Petersen dam of $19 per day (Rolfe and Prayaga, 2007). The
NSW project on offshore artificial reefs is likely to lead to more effective reefs with a likely
increase in the recreational catch rate. The third project was more strategic in nature and may
have had a potential impact on the maintenance of all restocking activities into the future due
to improve understanding of the ecological impacts of restocking.
Given this diversity and uncertainty of impact, a broad estimate of the value of the benefits
was made from the Rolfe and Prayaga (2007) willingness to pay study. Details are provided in
Table 11.
Maintaining access and biodiversity
This benefit is likely due to the industry being able to demonstrate that it is caring for the
environment and the ecology of wild catch fisheries. It is likely that without this research
investment, perceptions of environmental damage would have led to pressure from the
community for regulators to place further limits on the take from wild catch fisheries.
Understanding the marine ecology of fisheries and the potential environmental impact of the
wild catch industry (and to some extent aquacultural impacts) can lead to improved regulatory
management of fisheries that in turn leads to greater long-term sustainable commercial
catches/fish farming as well as protection of the ecological systems that underpin biodiversity.
Two elements of this benefit are valued. First, the maintenance of access is valued. A second
benefit valued is the value of maintaining ecosystem and species biodiversity.
Maintaining access
There are also a number of potential benefits from the investment cluster that could be
embedded in this value such as reduced legislation enforcement costs, potential industry cost
reductions, and some potential increases in demand due to clean and green branding of
fisheries products.
The influence on the community and regulators is valued through assumptions on the
probability of the wild fisheries extracted tonnage being more conservatively viewed than it is
currently. For example, assuming there was a probability before the investment of 0.50 of
regulators moving to a more conservative take across some fisheries, this could have fallen to
a 0.40 probability with the investments as described. The fall in catch avoided is assumed to
be a 5% fall for 20% of the fisheries as it is assumed that the probability change will not apply
to some fisheries. The 5% fall in catch would be accommodated by 50% of the input
resources applied previously being made redundant and therefore having no opportunity
value. The total wild catch production before any impact is assumed to be 241,123 tonnes per
annum (ABARE, 2011) and the average price received for wild catch is assumed to be $9.03
per kg whole fish (ABARE, 2011). A full set of assumptions for the valuation is provided in
Table 11.
Retained ecosystem and species biodiversity
The improved knowledge regarding environmental and management impacts on ecosystems is
expected to lead to improved management practices that in turn lead to environmental
sustainability and the protection of biodiversity. The impact of the investment on ecosystems
and species biodiversity was valued from willingness to pay studies. Details are summarised
in Table 11.
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Page 25
Summary of Assumptions
A summary of the key assumptions made is shown in Table 11.
Table 11: Summary of Assumptions
Variable
Assumption
Source
Increased catch rate for commercial fishers (Blackwood River Estuary WA)
Annual catch
875 kg per annum
WA Fisheries (2004)
Commercial value of black
$8 per kg
Recfishwest (2004)
bream
Year of first benefit
2006/07
Agtrans Research
Increased catch rate for recreational fishers
Improvement in recreational
20%
Agtrans Research
fishing experience
Value of a 20% increase in
Average willingness to pay
Rolfe and Prayaga (2007)
recreational fishing
per annum for three
experience
restocked dams in
Queensland was $0.246 m
Number of restocked dams in 70
Based on discussions with
Queensland
Daniel Smith (2009)
Queensland population as % 19.9%
Based on 4,513,009 divided by
Australian population
22,710,197 in 2012
Proportion of restocking
5%
Agtrans Research
areas that may be enhanced
due to these projects
Probability of this impact
10%
Agtrans Research
occurring
Year of first benefit
2006/07
Agtrans Research
Maintenance of access by commercial fishers
Total wild catch tonnage
241,123 tonnes
ABARES (2011)
Average price received for
$9.03 per kg
ABARES (2011)
wild catch product
Access reduction
1% (based on 5% reduction
Agtrans Research
for 20% of fisheries)
Proportion of reduced catch
50%
Agtrans Research
where there is no opportunity
value of inputs
Probability of loss of access
50%
Agtrans Research
without project
Probability of loss of access
40%
Agtrans Research
with project
Year of first impact
2007/08
Agtrans Research
Year of maximum impact
10 years after first impact
Agtrans Research
Retained ecosystem and species biodiversity
Willingness to pay per
$0.89 per household per
Agtrans Research based on van
Australian household for
annum
Bueren and Bennett (2004) and
preventing one species
Lai (2011)
extinction
Agtrans Research; conservative
estimate of 8 million
households based on
population of 22.5 m and
Number of Australian
household size of 2.5 persons
households
8,000,000
per household
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Total value per species saved
Probability of usage of
information in fisheries
management
Probability of species lost
without investment
Probability of species lost
with investment
Number of species at risk and
addressed by the investment
Year of first benefit
$7,120,000 per annum
0.25
8,000,000 x $0.89
Agtrans Research
0.50
Agtrans Research
0.45
Agtrans Research
Agtrans Research
3
2007/08
Agtrans Research
Results
All past costs and benefits were expressed in 2010/11 dollar terms using the CPI. All benefits
after 2010/11 were expressed in 2010/11 dollar terms. All costs and benefits were discounted
to 2010/11 using a discount rate of 5%. The base run used the best estimates of each variable,
notwithstanding a high level of uncertainty for many of the estimates. Investment criteria
were estimated for both total investment and for the FRDC investment alone. All analyses ran
for the length of the investment period plus 30 years from the last year of investment
(2009/10) to the final year of benefits assumed.
Tables 12 and 13 show the investment criteria for the different periods of benefits for both the
total investment and the FRDC investment.
Table 12: Investment Criteria for Total Investment ($m)
(discount rate 5%)
Investment criteria
Benefit period (number of years since last year of
investment)
0
5
10
15
20
25
30
Present value of benefits
($m)
Present value of costs ($m)
Net present value ($m)
Benefit–cost ratio
Internal rate of return (%)
2.04
8.13
14.07
14.07
-12.03
-5.94
0.15
0.58
Negative Negative
14.44
14.07
0.37
1.03
5.3
19.45
14.07
5.38
1.38
8.1
23.38
14.07
9.31
1.66
9.2
26.46
14.07
12.38
1.88
9.8
28.87
14.07
14.80
2.05
10.1
Table 13: Investment Criteria for FRDC Investment
(discount rate 5%)
Investment criteria
Present value of benefits
($m)
Present value of costs ($m)
Net present value ($m)
Benefit–cost ratio
Internal rate of return (%)
Benefit period (number of years since last year of
investment)
0
5
10
15
20
25
30
0.67
2.68
4.57
4.57
-3.89
-1.88
0.15
0.59
Negative Negative
4.77
4.57
0.20
1.04
5.5
6.42
4.57
1.85
1.41
8.3
7.72
4.57
3.15
1.69
9.5
8.73
4.57
4.17
1.91
10.1
9.53
4.57
4.96
2.09
10.4
The annual cash flow of undiscounted benefits is shown in Figure 1 for both the total
investment and for the FRDC investment.
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2.00
Annual Benefit ($)
1.80
1.60
1.40
1.20
1.00
Total
0.80
FRDC
0.60
0.40
0.20
0.00
Years
Figure 1: Annual Cash Flow of Benefits
The present value of benefits (PVB) from each source of benefits was estimated separately
and then summed to provide an estimate of the total value of benefits. Table 14 shows the
sources of each benefit, its PVB, and its percentage of total benefits.
Table 14: Source of Benefits (discount rate 5%, 30 year period)
Benefit
Commercial catch Blackwood River
Estuary
Increased catch rate for recreational
fishers
Maintenance of access by commercial
fishers
Retained ecosystem and species
biodiversity
Total
Present Value of
Benefit ($)
% of Total Benefits
0.14
0.5
7.95
27.5
16.17
56.0
4.60
28.87
16.0
100.0
Table 15 shows a subjective assessment of the different benefits against the rural research
priorities. Bear in mind that this assessment refers only to those benefits that were valued.
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Table 15: Benefits Valued and Rural Research Priorities
Benefit
PVB
($m)
Productivi
ty and
Adding
Value
Supply
Chain and
Markets
Natural
Resource
Manageme
nt
Climate
Variability
and
Climate
Change
% subjective allocation to each priority
0
0
0
Biosecurit
y
Commercial catch
Blackwood River
Estuary
Increased catch rate for
recreational fishers
Maintenance of access
Retained ecosystem and
species biodiversity
Total ($m)
Total (%)
0.14
100
7.95
100
0
0
0
0
16.17
4.60
50
0
0
0
50
100
0
0
0
0
28.87
100
16.18
56
0
0
12.68
44
0
0
0
0
0
Sensitivity Analyses
Table 16 presents a sensitivity analysis carried out on the discount rate for the total
investment. The sensitivity analysis was performed with benefits taken over the life of the
investment plus 30 years from the last year of investment. All other parameters were held at
their base values.
Table 16: Sensitivity to Discount Rate
(Total investment, 30 years)
Investment criteria
0%
Present value of benefits ($m)
Present value of costs ($m)
Net present value ($m)
Benefit-cost ratio
53.41
10.63
42.78
5.02
Discount Rate
5% (base)
28.87
14.07
14.80
2.05
10%
18.83
18.52
0.32
1.02
The sensitivity analysis on the discount rate demonstrates that the investment criteria are
sensitive to the discount rate, potentially because of the time period between the investment
costs and the benefits, particularly for the principal benefit that contributed 56% of the total
benefit. At a 10% discount rate, the investment just breaks even.
None of the four individual benefits on their own will pay for the investment except for the
access maintenance benefit. Table 17 presents a sensitivity analysis carried out on the major
benefit (maintenance of access) by varying the assumption of the averted fall in access. The
averted fall in access can be reduced to 0.85% of GVP and the investment will still break even
at a 5% discount rate.
Table 17: Sensitivity to Wild Catch Fisheries GVP Fall Averted
(Total investment, 30 years)
Investment criteria
Present value of benefits ($m)
Present value of costs ($m)
Net present value ($m)
FRDC
Averted Fall in Access (% Wild Catch
GVP)
0.5%
1% (Base)
2%
20.78
28.87
45.03
14.07
14.07
14.07
6.71
14.80
30.96
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Benefit-cost ratio
Internal rate of return (%)
1.48
7.7
2.05
10.1
3.20
13.8
Confidence Rating
The results produced are highly dependent on the assumptions made, many of which are
uncertain. There are two factors that warrant recognition. The first factor is the coverage of
benefits. Where there are multiple types of benefits it is often not possible to quantify all the
benefits that may be linked to the investment. The second factor involves uncertainty
regarding the assumptions made, including the linkage between the research and the assumed
outcomes.
A confidence rating based on these two factors has been given to the results of the investment
analysis (Table 18). The rating categories used are High, Medium and Low, where:
High:
denotes a good coverage of benefits or reasonable confidence in the
assumptions made
Medium:
denotes only a reasonable coverage of benefits or some uncertainties in
assumptions made
Low:
denotes a poor coverage of benefits or many uncertainties in assumptions
made
Table 18: Confidence in Analysis
Coverage of Benefits
Medium
Confidence in
Assumptions
Low
Observations for Future Investment and Evaluation
Observations for future investment and evaluation include:
The ratio of FRDC funding to total funding for projects funded by FRDC in this cluster was
33 (FRDC) to 100 (total) or 33%, somewhat below the average percentage of 40% found for
18 clusters in 2009. This result was driven largely by the high leverage exerted by FRDC
within four major joint projects (2003/062, 2004/013, 2004/063 and 2007/248), joint projects
with a diverse range of partners including an NGO, a university, CSIRO and NSW DPI.
These percentages are worth summarising as they may be important in assessing the FRDC
current and prospective roles in different R&D areas and where public benefits are manifest
but external funding is difficult to attract.
Improved knowledge of ecosystems is difficult to value as it has several different dimensions.
The knowledge produced has implications for fisheries management that may result in
supporting or discouraging a potential or planned restriction on commercial or recreational
fishing activities. In turn these decisions have both short and long-term implications for
fishers, but also short and long term implications for maintaining ecological and species
biodiversity.
Presumably the knowledge produced in these projects is used as one input to policy
formation. There is usually limited evidence that can be identified to establish the importance
of the knowledge produced to policy change and indeed how policy and fisheries
management developments are formed with regard to increments in knowledge. This area
may form the basis for a useful social science project that may better inform those producing
the knowledge to focus on the key information and elicit key information needed by those
involved in management and policy development.
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Key Performance Indicators
The two Theme 2 key performance indicators (KPIs) are described in Table 19. While the
investments covered in the evaluation were funded well before the current strategic plan and
therefore before the KPIs in Table 19 were developed, some commentary may be useful.
Table 19: Key Performance Indicators for Theme 2 (Part B)
KPI
Description
1
Demonstrated improved sustainability performance
from the use of RD&E outputs
Development of innovative technologies to reduce
fishery take and interaction with by catch and with
threatened, endangered and protected species.
2
Number of
projects
contributing
11
7
Seven of the thirteen projects were considered to have contributed to both KPIs. It was
considered that four projects contributed to only KPI 1 and two projects were assessed as not
contributing to either KPI.
The first KPI required demonstration of improved performance but this could not be pursued
in detail within the time constraints of the current evaluation. Furthermore, sustainability
performance is difficult to assess as it covers many dimensions and drivers and often a project
has not demonstrated sustainability but that there may be some contribution or potential in the
future. If this KPI is to be reported on meaningfully with regard to the investments in this plan
in future, greater attention than is currently given to monitoring outcomes after the completion
of projects will be required.
The second KPI addressed innovative technologies. Many of the projects were innovative but
produced knowledge rather than technologies. Also, it was not clear what was meant by
“reduce fishery take”. Some stocking projects actually “increased fishery take”.
Conclusions
Investment was made in a total of 13 projects within the cluster with the FRDC contribution
approximating 33% of the total costs of investment.
On the basis of the distribution of the eight benefits listed in Table 8, and equal weighting for
each benefit, it could be concluded that public benefits to Australia could make up 37.5% of
the total benefits. If the subjective weightings are taken into account, the public benefits
would make up about 45% of the total benefits.
Of the benefits valued, the productivity benefits made up some 56% of total benefits with
environmental benefits contributing 44%.
Overall, the investment criteria estimated for the total investment of $14 million (present
value of costs) in the cluster were positive with a present value of benefits of $29 million, a
net present value estimated at $15 million, and a benefit-cost ratio of 2 to 1, all estimated
using a discount rate of 5% (benefits estimated over 30 years from the final year of
investment).
Acknowledgments
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Catherine Bulman, CSIRO
Daniel Smith, Fisheries Queensland
Greg Jenkins, WA Maritime Training Centre
Harry Peeters, Western Abalone Divers Association
John Diplock, DPI NSW
John Russell, DAFF Qld
Sharon Lane, Environment ACT
Simon Goldsworthy, SARDI
Trevor Price, Commercial Blackwood fisherman
References
ABARES (2011) “Australian Fisheries Statistics 2010”, Canberra.
Lai J (2011) “Willingness to pay to prevent the extinction of vertebrate species in Australia
and New Zealand”, Paper prepared by Agtrans Research for Australian Biodiversity
CRC bid.
Recfishwest (2004) “Submission to Fisheries Management Paper no 169 – Hardy Inlet
Estuarine Fishery: Management Issues and Options”.
http://www.recfishwest.org.au/SubHardyInlet.htm
Rolfe J and Prayaga P (2007) “Estimating Values for Recreational Fishing at Freshwater
Dams in Queensland”, Australian Journal of Agricultural and Resource Economics,
Vol 51, No 2.
van Bueren, M and Bennett, J (2004) “Towards the development of a transferable set of value
estimates for environmental attributes”, Australian Journal of Agricultural and
Resource Economics, 48:1 pp 1-32.
WA Fisheries (2004) “The Hardy Inlet Estuarine Fishery: Management Issues and Options”,
Fisheries Management Paper no 169.
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