Promotion and Management of Marine

1
Promotion and Management of Marine Fisheries in
Indonesia
Laode M. Syarif Faculty of Law University of
Hasanuddin Makassar-Indonesia June 2006
2
The String of Emeralds on the Equator
3
Territorial Sea EEZ of Indonesia
4
Indonesias Code of Arm
Bhinneka Tunggal Ika (Unity in Diversity)
5
Quantity and Value of Oil and Gas Export in
Indonesia, 1991 - 2004
6
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Export of Non Oil and Gas by Sector and
Commodities 2003- 2004
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9
Aerial view of mangrove forests that have been
cleared for farming and aquaculture
10
Overhead view of shrimp aquaculture and industry
complex in Java
11
Coral Reefs Condition

12
Fishing Blast
13
Reefs at Risk in Indonesia
14
Fish Catchment Production 1999-2003
15
Total Fishing Fleets Based on Category 1991-2000
16
Economic Value of Fish Catching Production
2000-2003
17
Multiple Demands on Coastal Zones

• fishermen villages,
• traditional and modern ports,
• trade centres,
• industrial estates,
• housing complex,
• tourist attraction, and
• water-front cities, etc

18
Trend of EU Import of Frozen Shrimp from
Indonesia
19
Perception/non-perception of basic fisheries
issues

• Government Officials,
• Fishing Industries, and
• Traditional small-scale fishermen

• Political debate and public awareness with
  respect to
• the state of fishing industry,
• overfishing,
• (iii) exploitation of adjacent seas by foreign
  fleets,
• (iv) implementation and coherence of fisheries
  policies, etc

20
Number of Illegal Foreign Fleets Captured by
Coordinated Operation
21
Level of Education of Fishery Human Resources
22
Fisheries governance in the Coastal Zone

• prior to the 1999 Local Autonomy Law, and
• after the 1999 Local Autonomy Law.

The government first addressed the marine and
fisheries sectors in 1984 in its Five Years
Development Planing (Rencana Pembangunan Lima
Tahun REPELITA IV), but it was not until 1994,
in REPELITA VI, that the central government
considered marine sector as an independent
sector.
23
The 1999 Local Autonomy Law
The power of CENTRAL Government is limited to the
following aspects (1) foreign affairs, (2)
defence and security, (3) justice, (4) finance,
and (5) religion.
The 1999 Financial Balance Law
The 1999 Financial Balance Law also introduced a
new radical formula on the distribution of
revenue derived from natural resources
extraction, especially those from forestry,
mining and fisheries. Under this new law, local
government gets 80 of natural resource revenues,
while the local government gets 20, a reversal
of the 80/20 split in favour of the central
Government prior to 1999.
24
The Impact of the Autonomy Financial Balance Law
These two Acts, however, also contributed to the
inconsistency in Indonesias legal system,
especially on natural resources sectoral
legislation. As a result, all sectoral
legislation on natural resources including
fishery had to be modified to suit the new
regime. For instance, there were at least 22
statutes and more than a hundred of government
regulations governing about 14 sectors and
addressing some aspects of coastal resources,
that were substantially altered by the above two
statutes The two Acts also created tension
between Central Local Government.
25
New Autonomy Financial Balance Law

• Law No 32/2004 on Local Government
• Law No 33/2004 on Financial Balance between
  Central and Local Government
• The 2004 Autonomy Law introduced a greater
  emphasis on the relationship between central
  and regional (provincial and regency)
  governments, rather than the autonomy of the
  regional government
• Article 18(3), regional governments are granted
  the power to explore, exploit, manage and
  conserve marine resources within their
  jurisdictions, including on spatial planning and
  law enforcement.
• Under Article 18(4), provincial government is
  given the authority to manage its waters up to 12
  nautical miles, while regency/municipality has
  the power to manage up to four nautical miles
  seaward from shoreline.

26
The 2004 Financial Balance Law
Articles 10, introduced three types of funds (a)
revenue sharing fund (DBH), (b) general
allocation fund (DAU), and (c) special allocation
fund (DAK). Article 11(3) states that the DBH is
derived from (a) forestry, (b) general mining,
(c) fisheries, (d) oil mining, (e) natural gas
mining, and (f) geothermal mining. Article
14(d) states that revenue from fisheries
received on a national basis shall be divided 20
for the Central Government and 80 for all
regencies and cities. (Italic added)
27
Structure of the Indonesian Government
President Parliament
Cabinet Ministries
Governor Provincial Parliament
Regent/Mayor Regency Parliament
Head of Sub-Regency (Camat)
Head of Village (Lurah)
28
Undang Undang No. 31 tahun 2004 tentang
Perikanan (Law No. 31/2004 on Fishery), Article
7. Functions of the Department of Marine Affairs
Fishery (DKP) include establishing

• fisheries management planning
• fish resources
• total allowable catch (TAC)
• location for aqua culture
• potency of brood stock and fingering allocation
  of certain fish
• types, amount, size of catchment equipment
• types, amount, size, and allocation of
  supporting catchment equipment
• zone, route, and time of catchment season
• requirements and operational procedure standards
  of catchments
• fishing fleets surveillance system

• new type of fish for aqua culture
• fish species, location of redistribution, and
  cultured fish catchments
• fish culture and its protection
• pollution prevention
• rehabilitation of fish resources and its
  environment
• minimum size and weight for allowable catch
• fish sanctuary
• epidemic and fish epidemic areas
• species of prohibited traded fish and for
  import-export purposes
• species of protected fish.

29
Additional functions powers of the DKP
In addition, the DKP has the power to regulate
the use of infrastructure and of water resources
for aqua culture purposes. Article 17 18(1)
Furthermore, the DKP is also responsible for
assessing fishing licences operating in
Indonesian water. The small-scale fishermen and
small-scale fish farmers are exempted for licence
requirement. Article 26 (1 2) Other
functions of the DKP in fisheries governance in
the coastal zone are determining the basic
planning for special fish-ports and their
allocation, Article 41 designing and managing
fishery information system including fishery
statistics, Articles 46-47 and encouraging
research and development in the fishery sector.
Articles 52-56 The DKP is also responsible in
providing education, training, and information
dissemination on fisheries. Article 57-59. The
DKP has the responsibility to ensure that all
aspects of the Fishery Act are well implemented
at both national and regional levels. This
monitoring and surveillance function is new to
the DKP. As a consequence, the DKP has to equip
itself with sufficient patrol boats, modern radio
communication equipment, and weapon if necessary.
Articles 66-70
30
Other Government Agencies Responsible for
Fisheries Management

• Provincial Office for Marine Affairs and Fishery
  (12 nautical miles)
• Regency Office for Marine Affairs and Fishery (4
  nautical miles)

• Other Actors
• Fishermen Groups Associations
• Fishing Industry
• NGOs

31
Instrument in Promoting Fisheries
Structural policies
The DKP has developed policies and programs to
promote the fishery sector, such as enacting the
Fishery Act, simplifying administrative process
of fishing licences, providing technical
assistance for fishermen, initiating
cross-departmental co-operations, and promoting
the availability of soft loans to traditional
fishermen, and providing subsidised fuel to
traditional small-scale fishermen.
Flowchart of the Administrative Process to Obtain
a Catching Licence (IUP)
32
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33
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34
In order to narrow the gap and to reduce the
sectoral ego between certain government agencies
and regional governments, the DKP has established
cooperation with relevant institutions, such as
Cooperation with the Department of Trade,
Cooperation between the DKP with four Governors
to develop Karimata Straight, and Cooperation
between the DKP and the Ministry of
Transmigration and Labour on the relocation of
fishermen to other islands. In addition,
the Government has established an
inter-departmental cooperation of six Ministries
(Ministries of Agriculture, Forestry, Marine
Affairs and Fishery, Man Power and
Transmigration, State Ministry for the
Acceleration of Less-Developed Regions, and State
Ministry for Cooperation and Small and Medium
Enterprises) through a program called the
Integrated Economic Development Program for
Villages based on Agribusiness to assist
potential local players to establish business in
fishing, agriculture, and forestry related
industries.
35
Market organisation
The process of marketing fish may involve one or
more participants in the market chain, such as
(i) fisherman, (ii) small intermediary, (iii)
retailer, (iv) fish broker, (v) wholesalers, and
(vi) fish export and processing company. The
government have a very limited involvement in the
fish market, because they have no direct control
over fish price. The involvement of the
government is limited to setting the standards
and mechanism in fish market. In addition, the
Government also provides special fish ports.
Special fish ports are divided into four
categories (i) Pelabuhan Perikanan Samudra
(PPS), (ii) Pelabuhan Perikanan Nusantara (PPN),
and (iii) Pelabuhan Periakan Pantai (PPP), and
(iv) Pangkalan Pendaratan Ikan (PPI). PPS is
designated for fishing fleets with a capacity of
more than 60 GT, while the PPN is for fishing
boats with a capacity of 15-60 GT. In addition,
the PPP is designated for smaller size (5-15 GT),
and the PPI is for fishing fleets less than 5 GT.

36
Coherence with pertinent international trade
agreements
Indonesia has become a member of the WTO since
1 January 1995. Since then Indonesias practices
in international trade, especially in fisheries
commodities, have complied with some WTO rules
and regulations. However, certain practices on
shrimp products, such as import ban on shrimp,
except for shrimp seeds, can be classified as
contradictive to WTO rules. In defending its
position, the Government argues that the import
ban of shrimp from Thailand and Vietnam is made
based on health considerations because they use a
lot of antibiotics in their shrimp farms.
37
Legal instruments of fisheries management
The main legal instrument of fisheries management
is the 2004 Fishery Act. This Act repealed the
Undang-Undang No. 9/1985 tentang Perikanan (the
1985 Fishery Act) and the criminal sanction
provisions of the Undang-Undang No 3/1983 tentang
Zona Ekonomi Eksklusif Indonesia (the 1983
Indonesian Economic Exclusive Zone Act). The
Fishery Act consists of 17 Chapters and 111
Articles that cover (i) fisheries management
zones, (ii) fisheries management, (iii) fisheries
industries, (iv) information system and fishery
data statistics, (v) fisheries taxes, (vi)
research and development of fishery, (vii)
education, training and dissemination of fishery
information, (viii) empowerment of small-scale
fish culture, (ix) distribution of power from
central to regional government, (x) fishery
supervision, (xi) fishery special court, (xii)
rules of procedures in fishery special court,
(xiii) criminal sanction, and (xiv) transitional
provisions.
38
Unique ACT
This Act is unique compared to any other
Indonesian Acts, because it not only contains a
wide range of measures in fisheries management,
but it also has its own rules of procedures for
its implementation. Under the Fishery Act, the
power to investigate fisheries-related cases
belong to three government agencies (i) civil
servant investigator, (ii) the navy officer, and
(iii) the general police. The Act also
established Special Fisheries Court. However,
since the DKP has no control over the Supreme
Court, the establishment of this Court depends on
the discretion of the Supreme Court.
39
Access and catch restrictions, technical measures
The Fishery Act established several measures such
as licence, potential allowable catch in certain
zones, and protected fish species in national
marine parks. Article 26 of Fishery Act requires
business actors who are involved in catching,
processing, culture and marketing of fish
products to have a fishing licence. This
provision, however, does not apply to small-scale
fishermen. This Act also imposes a restriction
to foreign fleets or companies to operate within
the territorial sea of Indonesia. The Fishery
Act also places a strict condition on fishing
boats. For instance, every person intending to
build, import, or modify a fishing boat should
first obtain an approval from the DKP. Apart
from the formal limitation to access imposed by
the Fishery Act, the hukum adat (customary law)
or traditional wisdom in certain islands still
play an important role in fisheries management
and access to fish resources. Example Sasi Laut
in Maluku.
40
The Fishery Act also prohibits certain activities
and the use of certain equipments that are
considered not environmentally sound. Article 8,
for instance, prohibits catching methods that use
chemicals, explosives, or other equipments that
can endanger the sustainability of fisheries
resources or endanger the environment.
Furthermore, every person is prohibited to own,
carry or use fishing gears that do not comply
with the size or standards determined by the
legislation
41
The impact of and coherence with pertinent
international agreements and organisations
Indonesia is only a party to general
conventions such as the United Nations
Convention on the Law of the Sea (UNCLOS) the
United Nations Convention on Biological
Diversity. Indonesia has not ratified the
following specific conventions (i) Agreement
to Promote Compliance with International
Conservation and Management Measures by Fishing
Vessels on the High Seas (ii) Agreement for the
Implementation of the Provisions of the United
Nations Convention on the Law of the Sea of 10
December 1982 relating to the Conservation and
Management of Straddling Fish Stocks and Highly
Migratory Fish Stocks (iii) Code of Conduct for
Responsible Fisheries. Since Indonesia is only
bound by the UNCLOS which has very limited
provisions on fisheries management in coastal
zones and archipelagic waters, Indonesias
responsibility is limited to (i) conserving the
living resources of the sea (ii) preventing
infringement of the fisheries laws and
regulations (iii) preserving the environment and
preventing and reducing marine pollution. The
above obligations, however, can be used to hold
Indonesia responsible if fishing methods used in
its territorial sea can cause marine pollution or
environmental damage or if the Indonesian
government failed to prevent or control the use
of fishing methods or gears that can cause
environmental damage.
42
Empirical case studies on Coastal Zone Fisheries
Management

• promotion regimes
• It is fair to say that promotional regimes
  introduced by the government as
• discussed previously may work for modern
  fishermen but the common traditional
• and small-scale fishermen are still the poorest
  in the society.
• Subsidised fuel price for fishermen, for
  instance, has failed to reach its target due to
• inefficient distribution and the existence of
  many black markets, especially after fuel
• price increase earlier this year.

43
The DKP claimed that as a result of its
promotional regimes, such as Program
Pemberdayaan Masyarakat Pesisir (Empowerment of
Coastal Communities Program), the average
fishermen income has increased as indicated by
the following table
44
Promotion regimes In relation to the state of
fish stock and marine environment, it can be
concluded that there is no significant
improvement as a result of such promotion
regimes. As believed by many environmentalists
and the Government itself, the restoration of
fish stock in coastal zone and marine environment
still needs a serious effort. The total number
of fishing fleets has increased approximately
6.64 per year. Motorised fishing boats with the
capacity of 50 to 100 GT have significantly
increased and un-motorised boats decreased about
2.38 in 2003. Due to the promotional regimes
introduced in the last 5 years, the Government
also enjoys a significant new Pendapatan Negara
Bukan Pajak-PNBP (State non-tax revenue) from the
fishery sector, which was not available before
the establishment of the DKP. The government
revenue from fisheries PNBP increased from Rp
4,033 billion in 2001 to 211,746 billion in 2003
45
2. management measures
Management measures introduced by the Fishery Act
are a significant development in fisheries
management in Indonesia, because its provisions
have adopted all the necessary bases for
sustainable fishing practices, such as TACs,
protected areas, stakeholders involvement,
licensing system, certain practice restrictions.
However, the Fishery Act still needs a
subsidiary legislation to be fully functioned.
For example, it has no detailed provision on TAC,
taxation, and formal standard for fishing gear
and fishing boats. As a result of the
incomplete provisions, the impact of the
Fishery Act on fisheries management measures is
still less than it should be. Until now, for
instance, the DKP has not determined the TAC in
various areas of the Indonesian waters, because
the lack of scientific data on potential
fisheries resources. in relation to the
integration of multiple demands on coastal zones,
the Fishery Act has no sufficient provision in
dealing with such issues, because it requires the
involvement of other government departments and
regional governments.
46
Management measures (Cont) The DKP has
determined the types of legal and illegal-fishing
gears to support the full implementation of
several restrictions introduced by the Fishery
Act. The legal gears include seine net, gill
net, lift net, hook and lines, tuna long line,
traps, and prohibits the use of explosive,
poison, chemical, electricity, trawl, and shrimp
and fish net operated by two boats. Although the
DKP has established these criteria, it does not
mean that Indonesia is free from illegal fishing
gears. In relation to protected areas, the DKP
has established conservation areas that are
divided into seven categories, namely (i) taman
nasional laut (national marine park), (ii) taman
wisata alam laut (recreational marine parks),
(iii) cagar alam laut (marine conservation), (iv)
suaka margasatwa laut (marine sanctuary), (v)
daerah perlindungan laut (marine protected zone),
(vi) daerah perlindungan mangrove (mangrove
protected zone) and (vii) suaka perikanan
(fisheries sanctuary). The Fishery Act has
established the basic foundation for sustainable
fisheries management in Indonesia, but it
requires subsidiary legislation to be fully
functioning.
47
3. enforcement and compliance issues
Lack of compliance may be caused by several
factors such as (i) lack of personnel to
supervise the implementation of the legislation,
(ii) lack of supporting facilities for civil
service investigators, the police, and the navy
to patrol and investigate IUU (iii) lack of
knowledge and skill of the law enforcers to
conduct their jobs and (iv) acute corrupt
practices among law enforcers in fisheries.
Lack of political will of the Government,
especially from Soehartos to Megawatis
administrations, in enforcing the existing law
can be seen in the common practice of using
explosives and poison throughout Indonesia.
Inadequate enforcement also occurs in the use
of illegal gears and the breach of licence
conditions. The 2005 report of the DKP admitted
that apart from increasing the number of capture
of domestic and foreign illegal fishing boat, the
DKP and other government agencies responsible for
the enforcement of all fisheries-related
legislation did not meet their target. The report
also indicated that in order to increase the
level of success of their operation, they need to
have a better coordination among themselves.
48
Enforcement and compliance issues (Cont)
The DKP has also developed a strategic planing to
boost the level of enforcement, which includes
(i) intensifying coordinated patrol between the
DKP, navy, air force, and water police in nine
vulnerable areas (ii) building international
cooperation, especially with ASEAN countries to
conduct coordinated patrol (iii) developing
fishery supervision agencies in five locations
(Bitung, Tual, Pontianak, Belawan, and Jakarta)
(iv) establishing five fishery special courts in
five cities (Belawan, Jakarta, Pontianak, Bitung,
and Tual) (v) prosecuting government officials
involved in illegal fishing (vi) developing the
capacity of human resources involved in fisheries
management and (vii) developing people network
in the supervision of the enforcement of
fisheries legislation.
49
4. the divergence between law in the books law
in action
50
5. realisation of reforms
The establishment of the DKP did not only change
the old assumption that fisheries resources is a
second class sector, but also lifted the status
of fisheries and other marine resources in the
same position with other sectors such as
agriculture, mining and industry. The
realisation of reform introduced by the DKP and
the Fishery Act are still in its early stage and
still requires serious efforts from the
Government and other stake-holders to be
realised. As a result, only a small proportion
of promised reform introduced by the DKP and the
Fishery Act has been realised.
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From Makassar to Sydney, Stop over in Shanghai
and Hong Kong.. to BREMEN with LOVE and FAKE
Rolex ? Terima kasih