The Donegal super-trawler owner, Mr Kevin McHugh, may lose out on a €60 million deal to dispose of tonnage from his vessel, Veronica, if a new EU regulation to cap tonnage entitlements in the Irish fishing industry is agreed by European Commission officials this month.
Smaller vessel owners will also be hit by the move, which was discussed at a meeting in Dublin yesterday of the Oireachtas Joint Committee on Communications, Marine and Natural Resources. The continued threat to the integrity of the Irish Box and opposition to new harbour charges were also raised by industry representatives.
The industry has expressed anger at the latest issue to emerge from Brussels - the Commission's proposal to delete fishing entitlements held by Irish fishermen whose "tonnage" was not actually registered on the Irish fleet register as of January 1st of this year.
The Minister for the Marine has said his officials are "in active negotiation" in Brussels to protect the interests of the industry as far as possible.
Under a system administered with EU knowledge since 1990, fishermen seeking a licence for a new vessel must "retire" or "withdraw" equivalent capacity, known as "tonnage", equivalent to that being introduced. Not only was the European Commission aware of the system, but it owes its origins to the EU - it was introduced as a response to EU limits on fleet size.
A recognised market in tonnage developed as a result, and it was recognised as an asset or "property right" by the courts. It was also used to underpin bank loans to vessel owners.
Fishermen in the midst of negotiations to buy new and second-hand vessels will be severely hit by the measure, according to the Irish Fish Producers' Organisation (IFPO), the Irish South and West Fishermen's Organisation (IS&WFO) and the Killybegs Fishermen's Organisation (KFO).
The IFPO estimates fishermen could lose up to €120 million by the move. All three industry organisations stressed the importance of opposing the Commission's move at yesterday's Oireachtas committee meeting.