Tue 24 Jun 2008, 10:01 GMT

EU Council meets to discuss emergency measures


Rise in bunker prices triggers aid proposal for fleet restructuring programme.



The Council of Fisheries Ministers is due to meet today to discuss the contents of an emergency package of measures to tackle the immediate social and economic hardship triggered by the dramatic rise in oil and bunker prices, whilst also tackling the underlying structural problems of the European fleet.

The meeting follows last week's announcement by the European Commission that it agreed in principle on the contents of the emergency measures. It also maintains that it is vital to focus aid on the fleets which are most dependent on bunker fuel, and thus most affected by the current overcapacity in the EU.

European Commissioner for Maritime Affairs and Fisheries, Joe Borg, will present a proposal for Member States to set up Fleet Adjustment Schemes (FAS), under which all limitations on access to permanent cessation (scrapping) premiums will be lifted. Additional aid for temporary cessation would be available for vessels involved in FASs, and partial decommissioning aid would be granted to operators who replace larger old vessels with smaller, more energy-efficient ones.

More specifically, temporary cessation aid would be available for all vessels for up to 3 months throughout the remainder of 2008, on condition that the vessels in question be included in a restructuring plan.

Speaking about the issue last week Borg said "The Commission understands the need for coordinated action at EU level to avert a severe crisis for the industry, and to ensure that the problem is not simply displaced, but really tackled head on.

"The European Fisheries Fund provides the tools we need to support fishers through this transition, and we continue to consult with stakeholders and Ministers to ensure that the package we propose next week will really do the job."

On the basis of the guidance given by Council in today's meeting, the Commission then plans to adopt a formal proposal on this subject early in July.



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