The Use of Market Like Instruments in OECD Countries: Key Insights from an Organisational Framework

Research PaperIt is generally recognised that market-based instruments have a strong role to play in improving the efficiency of fisheries management. This belief was strongly reinforced at the 2002 IIFET Conference, where the use of ITQ systems was extensively discussed. While ITQ systems are commonly referred to as “rights-based management” (RBM), it is also recognized that RBM are not restricted to ITQ systems. Most of fisheries management instruments indeed possess some form of (property-) rights characteristics. In this context, The OECD Committee for Fisheries decided to launch in 2002 a project focusing on the role of all market-like instruments/incentives in the transition towards sustainable and responsible fisheries. Based on the preliminary findings of this project, the aim of the paper is to describe the extent to which market-like instruments are used in OECD countries. Using three criteria of classification (method of control, regulatory aim and variable of control), the paper first clarifies the place of “market-like” instruments within the regulator’s tool-box. The paper then presents the non-normative organizational framework developed, which is derived from the property-right theory. Finally, the paper shows how this framework can be applied to describe fisheries management instruments. Illustrations are limited to the Icelandic, Norwegian and Japanese cases. The Norwegian case in particular illustrates how the organizational framework can be used to compare different variants of a given instrument