Opposition questions the Labor government's significant increase in pearl farm lease fees, citing concerns about revenue exceeding costs and lack of consultation. Government defends the increase, stating it aligns with cost recovery and previous recommendations.

AnsweredQoN 230Legislative Council
Asked
20 March 2019
Portfolio
Fisheries

QuestionView source ↗

PEARLING LEASE FEES
230. Hon KEN BASTON to the minister representing the
Minister for Fisheries:
I
refer to the large increases in annual fees for pearl farm leases announced by
the Labor government in December 2018 .
(1) Will the minister outline the reason for the
increase in fees together with the method used to determine the new fees?
(2) Does the
minister concede that under the new fees, the government is recovering more
revenue than costs; and, if so, what is the government using the new revenue
for?
(3) Is the minister intending to reconsider the large
fee increases that he plans to impose on one of WA's oldest and
most iconic industries?
(4) Did the minister consult with the industry
prior to increasing the fees; and, if so, with whom did he consult, on what
dates and how did the consultation take place?

AnswerView source ↗

I thank the member for the question.
The following information has been provided by the Minister for Fisheries.
(1) Prior to
2019, the fees paid by the pearling industry did not cover the government's
cost of managing the fishery, effectively delivering a taxpayer subsidy. A
review undertaken by the previous government recommended a significant increase
in pearling lease fees. The 2019 lease is less than the figure recommended by
this review.
(2) No. The
expected revenue that will be raised from pearling access and lease fees in
2019 is in line with the government's expected cost for managing the
fishery. It is longstanding government policy, including during the period of
the Barnett government, that fisheries should return a dividend to the
community for accessing a community resource.
(3) No.
(4) Pearl farm lease fees have been the subject of
significant previous review. The Pearl Producers Association was also
consulted on the 2019 fee in November and December 2018.

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