Operación

Tasmania had a population of 516,600 in June 2015 (Australian Bureau of Statistics 2015); 40% of this population is settled in Hobart and surroundings, and another 40% inhabit Launceston and the North-West coast. The rest of the population is scattered in sparsely populated small towns, with the lowest density along the West and South-West regions (Tasmania Top Ten 2011). The growth rate in Tasmania is low (0.4%) with a significant portion of young people (15-29 years old) emigrating to the mainland or overseas.

Tasmania consistently has a low level of economic performance when compared to the rest of Australia. Having a small economy, Tasmania is also subject to more pronounced periodic

81

variations than other regions in Australia. A high proportion of Tasmania’s production is export-oriented, which results in external forces having a strong influence on Tasmania’s economy. These external forces include the exchange rate and commodity price movements. These cycles are closely related to population levels, creating vicious and virtuous cycles; when the economy is low, more people emigrate, and a lower population slows the economy; on the other hand, when the economy grows, more people are attracted to live in Tasmania, and a larger population helps the economy to grow even more (Bureau of Infrastructure Transport and Regional Economics 2008). Skilled labour also has an impact on these cycles, and the fact that the population seems to be “maturing”, further affects potential external investment (West et al.

2012).

The economy in Tasmania has been historically linked to the extraction and export of natural resources. Forestry, for example, has a long history in Tasmania, having been one of the main economic sectors for many years. Very early on, in 1885, Tasmania started to regulate forestry activities and research (Elliott et al. 2008). Due to several factors, forestry has gradually decreased its contribution to the State Gross Product and employment levels (Krien 2010). Being an island, the extraction of marine resources has also been important. For early European settlers, whaling and sealing were prosperous ventures, attracting many people in search of financial opportunities. By the end of the 1800s, however, the stocks had been depleted to the point that most operations were no longer profitable (Crowther 1919; Parks and Wildlife Service 2008). Prior to the current system of fisheries management, a lack of regulation accelerated the decline in catches of some fisheries, such as crayfish or rock lobster (Jasus edwardsii) and scallops (Pecten fumatus) (Harrison 1994). Today, most fisheries in Tasmania are regarded by the Department of the Environment as sustainable (Department of the Environment). Fisheries contributed around A$152 million to the State’s economy in 2012. The largest contributors were wild-caught abalone (A$84 million) and rock lobster (A$63.4 million), most of which were exported to China (Tasmanian Seafood Industry Council 2014). To put it in perspective, Bennett et al. (2015) calculated that these two fisheries in the Southern Reef (temperate reefs of South Australia, Victoria, Tasmania and the South of New South Wales) are worth over four times all commercial fishing operations in the Great Barrier Reef.

Agriculture and aquaculture have been identified as some of the most promising sectors for diversifying the economy, both for their current contribution and for their innovation capacity (West et al. 2012). In particular, the growing marine farming sector contributed over A$500 million dollars to the State economy in 2011-12 (Tasmanian Seafood Industry Council 2014).

82

The natural resources of Tasmania are the base of the more recent tourism industry. Tourism has grown substantially, becoming a key element of the economy in Tasmania, particularly nature-based tourism. Tourism contributes over A$1 billion to the Gross State Product, and employs 16,000 and 22,000 people directly and indirectly (Tourism Industry Council Tasmania 2013). An important fraction of the tourism development benefits for coastal communities is driven by an interest in ocean activities, such as diving, fishing, surfing and whale watching (Bennett et al. 2015). In Tasmania, around 5,000 tourists participate in diving or snorkelling activities, over 15,000 sail and/or kayak, and more than 25,000 fish (Tourism Tasmania 2015). While tourism has grown rapidly over the last few years, and is currently an important component of the economy, the analysis by West et al. (2012) suggests that it has a low innovative capacity; this would make it less competitive in the face of external factors, when compared with other countries and regions. Recent recognitions, however, suggest otherwise, as Tasmania won more medals than other states and territories in the Qantas Australian Tourism Awards 2015 and was in the top ten regions to visit according to Lonely Planet in 2015 (Tourism Tasmania 2015).

Bennett et al. (2015) calculate that there are many economic benefits derived from the marine environment in the Southern Reef that are not accounted for in traditional economic indicators. For example, they highlight that the substantial productivity, which is often higher than intensive agricultural systems, supports not only important commercial fisheries, but also recreational fisheries. In the last report on recreational fisheries in Tasmania, Lyle et al. (2014b) estimated that around 98,000 people fished during the previous year, of which 91% fished in saltwater. There are approximately A$439 million invested in boats, and during 2012-13 the expenditure was A$93 million on goods and services related to fishing.

Other benefits derived from the ocean that are usually unaccounted for include: climate regulation, carbon stocks, and recreation and well-being (Bennett et al. 2015). Australians have a strong connection with the coast and the ocean (Hammer 2012). This is reflected in the high proportion of the Australian population (85%) living within 50 km from the coast; this proportion is even higher (99%) in Tasmania (Australian Bureau of Statistics 2006). A survey in 2000 indicated that around 18,500 and 17,000 Tasmanians participated in kayaking and diving/snorkelling activities respectively (Australian Bureau of Statistics 2000). Your Marine Values project identified what local residents in the lower Huon Estuary and D’Entrecasteaux Channel in Tasmania valued most about their coastal and marine environments. Seventeen

83

values were highlighted, ranging from Aboriginal, to social, economic and ecological aspects (Ogier and MacLeod 2013).

This economic and cultural context influences the MPA governance system in several ways. The economy of the State is small and vulnerable to external forces. For this reason, it is expected that politicians give priority to development, rather than conservation. The only exception is when there is a strong link to an economic activity, as in the case of nature-based tourism. Diving, however, is not considered an important economic activity, and therefore marine resources are not valued for their contribution to such tourism-related activities. A divide between development and conservation is particularly apparent in Tasmania, given the economy is strongly connected to the extraction of natural resources. Kellow (1989) suggests that in fact certain pro-development positions are already embedded in existing institutions. Assumptions that inform decisions can therefore be biased, even if they are not apparent, explicit or even conscious.

Another important influence is the large proportion of Tasmanian recreational fishers. Members of this sector have been among the most notorious opponents to MPAs, although the policies of the representative body accept them under certain conditions (TARFish n.d.). As recreational fishers can potentially make an appreciable difference to electoral outcomes, it is not surprising that politicians pay particular attention to their perceived preferences. On the other hand, fishers and others who enjoy beach and water activities, or who live next to the sea, usually have an interest in marine and coastal conservation. Not surprisingly, there are many local volunteer groups along the coasts of Tasmania focusing on conservation activities. This interest in the health of marine ecosystems and species, under certain circumstances, can result in important political support for MPAs or other relevant conservation measures.