Nash splashes out with a $900,000 investment in the blue economy (or is it more corporate welfare?)

Buzz from the Beehive

Stuart Nash, speaking as Minister of Oceans and Fisheries, one of his remaining portfolios after he was dropped down the Hipkins Government batting order, has drawn attention to the blue economy and its potential.

Nash says the government is investing in the blue economy, or – more specifically, it is backing a project which will help ocean-related businesses in the Nelson Tasman region to accelerate their growth and boost jobs.

This makes it look suspiciously like corporate welfare, no matter its  environmental virtues.

The new project will establish a blue economy cluster – a group of seafood and aquaculture companies with a common interest in growing the sector’s sustainability and success – which will enable the local sector to move forward together and pool resources and expertise, Nash said.

The Government is contributing $500,000 over two years to the new Moananui – Blue Economy Cluster project through the Ministry for Primary Industries’ (MPI’s) Sustainable Food and Fibre Futures fund.

A further $400,000 will be invested by the Nelson Regional Development Agency, Cawthron Institute, Sealord, Pharmalink Extracts, Plant and Food, Port Nelson, Kernohan Engineering, Wakatū Incorporation, and MacLab.

The announcement was the only new one we found when we checked the Beehive website this morning.

New project set to supercharge ocean economy in Nelson Tasman

A new Government-backed project will help ocean-related businesses in the Nelson Tasman region to accelerate their growth and boost jobs.

Point of Order found just a few previous mentions of the “blue economy” on the Beehive  website.

The earliest reference we found in our search (albeit a cursory one) was in  a speech delivered by Winston Peters in April 2019 when he was Minister of Foreign Affairs.

Speech to the Norwegian Institute of International Relations

A few months later, “blue economy”was mentioned in a statement from Climate Change Minister James Shaw when he welcomed Barbados Minister of Maritime Affairs and the Blue Economy to New Zealand for discussions.

 New Zealand welcomes Barbados Minister for Maritime Affairs and the Blue Economy

Shaw said Humphrey was the first Minister of the Blue Economy in the world.

Megan Woods, then Minister of Research, Science and Innovation, in October 2019 was the first of our ministers to announce a government investment in the blue economy –

Government invests in Te Reo, environmental data research

The sum involved was $13 million over 7 years, given to Victoria University of Wellington for A data-science driven evolution of aquaculture for building the blue economy: This (she said) would develop innovative data science techniques that will enable the aquaculture industry to produce high quality, low-carbon protein efficiently and at large scale, without impacting the environment.

In June last year, Conservation Minister Kiri Allan announced –

Launch of The Breaking Wave oceans report

She said she was  working  closely with the Minister for Oceans and Fisheries to deliver the oceans and fisheries work programme.

This is a package of critical initiatives to drive marine protection and a sustainable blue economy.

None of the ministerial statements enlightened us much about what the blue economy comprises.

But this United Nations document gives us these definitions:

According to the World Bank, the blue economy is the “sustainable use of ocean resources for economic growth, improved livelihoods, and jobs while preserving the health of ocean ecosystem.”

The European Commission defines it as “All economic activities related to oceans, seas and coasts. It covers a wide range of interlinked established and emerging sectors.”

The Commonwealth of Nations considers it “an emerging concept which encourages better stewardship of our ocean or ‘blue’ resources.”

Conservation International adds that “blue economy also includes economic benefits that may not be marketed, such as carbon storage, coastal protection, cultural values and biodiversity.”

The Center for the Blue Economy says “it is now a widely used term around the world with three related but distinct meanings- the overall contribution of the oceans to economies, the need to address the environmental and ecological sustainability of the oceans, and the ocean economy as a growth opportunity for both developed and developing countries.”

In his statement, Stuart Nash said

“The Nelson Tasman region is home to more than 400 blue economy businesses, accounting for more than 30 percent of New Zealand’s economic activity in fishing, aquaculture, and seafood processing,” Oceans and Fisheries Minister Stuart Nash said.

“There’s an enormous opportunity to leverage the good reputation of Nelson Tasman’s seafood and aquaculture sector to help connect with potential investors to boost innovation and growth.

“This new project will establish a blue economy cluster – a group of seafood and aquaculture companies with a common interest in growing the sector’s sustainability and success.

“The blue economy cluster will enable the local sector to move forward together and pool resources and expertise.”

Stuart Nash says there are similar clusters operating overseas, which our seafood and aquaculture sector can tap into.

“New Zealand has a lot to offer and, equally, there’s a lot we can learn from similar clusters overseas, such as in USA, Canada, Norway and Iceland.”

Nash hailed the project as a great example of Government working in partnership with local businesses and regional leaders enhance our competitive advantage overseas, create more jobs to boost the local Nelson Tasman economy, and focus efforts on low carbon, sustainable initiatives.

The  project was a great fit with the Fisheries Industry Transformation Plan currently under development, he said.