Fisheries agency desperate for funding
The Fisheries Observer Agency (FOA) has been instructed to develop mitigation strategies to stem losses following a negative cash flow of N$9 million.
The instructions come amid demands for a levy increase.
The agency is tasked with ensuring fishing companies do not exploit resources and collecting scientific data on the utilisation of species.
The agency currently charges a 0.9% levy and wants this adjusted upward to 1.5% of the landed value of each fishery and per species.
Persons who harvest in Namibian waters in terms of a fishing right, an exploratory right or a fisheries agreement must pay the 0.9% levy.
Namibian Sun understands that repeated calls have been made for the levy to be increased.
Worrisome
Fisheries minister Derek Klazen directed the FOA's CEO, Stanley Ndara, to stop the agency from losing money.
"Please note that the budget is approved as submitted; however, the negative cash flow of N$9 million as presented is worrisome, therefore you are advised to conduct a mid-term review of the budget to be submitted to the office of the executive director and also to come up with a turnaround strategy on how to reduce the cash flow," he told the agency in a letter dated 7 July.
Meanwhile, FOA board chairperson Inocencio Verde accused the Marine Resources Advisory Council (MRAC) of failing the agency.
“For the past three years, the FOA has not received any feedback from the MRAC as it pertains to the budget. The fact that no feedback is forthcoming causes repetitiveness in ensuing FOA budget presentations to the MRAC,” he said.
Extensive consultations
Ministry executive director Annely Haiphene said the agency’s request for a higher levy was being attended to and would be concluded before the end of March 2023.
"The matter of the increase of the FOA levy has been brought to the attention of the ministry. The increase of any levy requires extensive consultations with all relevant stakeholders before a final decision is made.
“The ministry is busy with this exercise, and hopefully it will be concluded within the course of this financial year," she said.
The instructions come amid demands for a levy increase.
The agency is tasked with ensuring fishing companies do not exploit resources and collecting scientific data on the utilisation of species.
The agency currently charges a 0.9% levy and wants this adjusted upward to 1.5% of the landed value of each fishery and per species.
Persons who harvest in Namibian waters in terms of a fishing right, an exploratory right or a fisheries agreement must pay the 0.9% levy.
Namibian Sun understands that repeated calls have been made for the levy to be increased.
Worrisome
Fisheries minister Derek Klazen directed the FOA's CEO, Stanley Ndara, to stop the agency from losing money.
"Please note that the budget is approved as submitted; however, the negative cash flow of N$9 million as presented is worrisome, therefore you are advised to conduct a mid-term review of the budget to be submitted to the office of the executive director and also to come up with a turnaround strategy on how to reduce the cash flow," he told the agency in a letter dated 7 July.
Meanwhile, FOA board chairperson Inocencio Verde accused the Marine Resources Advisory Council (MRAC) of failing the agency.
“For the past three years, the FOA has not received any feedback from the MRAC as it pertains to the budget. The fact that no feedback is forthcoming causes repetitiveness in ensuing FOA budget presentations to the MRAC,” he said.
Extensive consultations
Ministry executive director Annely Haiphene said the agency’s request for a higher levy was being attended to and would be concluded before the end of March 2023.
"The matter of the increase of the FOA levy has been brought to the attention of the ministry. The increase of any levy requires extensive consultations with all relevant stakeholders before a final decision is made.
“The ministry is busy with this exercise, and hopefully it will be concluded within the course of this financial year," she said.
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