AQUA 2024

August 26 - 30, 2024

Copenhagen, Denmark

FUTURE DEVELOPMENT AND PRODUCTION GROWTH IN NORWEGIAN SALMON AQUACULTURE: THE ROLE OF REGULATION

M. S. Olsen*, T. C. Osmundsen

 

NTNU Samfunnsforskning AS, 7491 Trondheim, Norway.

*E-mail: marit.olsen@samforsk.no

 



The Norwegian  aquaculture industry  have experienced remarkable success in terms of production growth ,  and both the industry and the government  have ambitions for further  growth and development of a sustainable aquaculture industry. However, in recent years, the growth has levelled off , and increasing sustainability concerns have  sparked debates about  potential solutions and  calls for governmental initiatives for improvement. Transitioning to more sustainable practices in salmon aquaculture is imperative, but achieving this goal requires effective governance at all levels to mitigate negative impacts and ensure alignment to societal objectives, while still fostering increased production.

 Regulation of  salmon aquaculture production in Norway has been under governmental oversight since the industry’s beginning in the 1970s. Regulatory frameworks have evolved over time in response to emerging challenges and shifting political priorities. Government intervention plays a crucial role not only in environmental protection, but also for addressing social considerations and societal expectations , such as job creation and economic development in coastal  regions, and ensuring equitable distribution of economic benefits.  Numerous regulations have exerted influence on the industry’s trajectory, alongside other contributing factors. Notably, the licensing system hold significant importance, governing the expansion of production, as well as access to suitable production area.

 Since 2017, with the introduction of a traffic light system, growth has primarily been governed by the environmental performance ( with the use of an indicator) of industry actors within designated geographic areas. While t his marks the implementation of a novel regulatory framework aimed at managing both growth and environmental concerns within the industry,  it has not been without criticism and unintended consequences.  With current production technology and  regulatory framework,  growth  potential is limited. Thus, th e  industry’s  further progression  depends on political prioriti zation and the selection and implementation of regulatory measures.

 We investigate the potential impacts of regulatory  alterations on the industry’s future trajectory, encompassing aspects and effects of measures such as the introduction of new licensing systems, stricter operational standards , alterations in area allocation, among others. Several factors have the potential to drive  production growth, including enhanced production efficiency , adaption of barrier technologies, and access to new geographical areas. Nevertheless, implementation of stringent regulations, such as those concerning fish health and environmental protection, production flexibility constraints, and scarcity of suitable production area, may curtail growth prospects. Consequently, a spectrum of regulatory interventions may either impede or expedite potential industry developments and various  potential  pathways for the industry in the forthcoming years. Additionally, t he design and  implementation of regulatory measures  must consider governance capacity, the  existing policy-mix , and the inevitable tensions and conflicts arising from divergent political and industry agendas, while addressing all dimensions of sustainability.