Memorandum 16
Submission from Gardline Environmental
Limited
USE OF THE PRIVATE SECTOR TO DELIVER COST
EFFECTIVE MARINE SCIENCE
1. EXECUTIVE
SUMMARY
It is widely recognised that the marine environment
contains huge resources of economic significance as well as supporting
marine food webs that are of global significance in maintaining
our climate. Many of these processes are poorly understood but
are likely to dominate political and economic policy in the coming
decades. Research in the marine environment is of particular importance
to the UK where our Exclusive Economic Zone (EEZ) includes resources
of enormous economic importance such as oil and gas, as well as
fisheries and resources of conservation significance that require
protection under the EU Habitats Directive and other legislation.
Thus the importance to the UK of properly funded and organised
research to our environmental and economic future has to be recognised,
and the Select Committee on Science and Technology's efforts on
this are applauded. For too long, research has been organised
almost exclusively from within the public sector with scant regard
for value for money.
Although the UK scientific community has for
many years sustained an internationally recognised expertise in
Marine Science, research effort in this field is expensive in
terms of manpower, ships and equipment. To sustain our leading
international expertise in Marine Science, and to meet the economic
and management requirements of the UK under the forthcoming Marine
Bill, as well as the UK's response to major global issues that
will affect our coastline in the coming decades, two fundamental
issues must be addressed:
(a) Marine Science needs to be funded effectively.
Without this the marine scientific community cannot provide the
necessary robust science for Government and Industry to make informed
decisions on how our marine resources can be managed in a sustainable
fashion whilst at the same time meeting the conservation requirements
of a changing global climate.
(b) Funding to Marine Science needs to be
managed cost-effectively. It is acknowledged that funding will
always be constrained, however, proper management will ensure
that the maximum amount of quality information is obtained from
the available funding to ensure the delivery of the goals as outlined
in (a).
This submission suggests ways in which these
two items may be addressed. It briefly discusses the present funding
of marine scientific research and goes on to suggest alternate
means of funding. It also addresses the issues of cost management
and how a wider use of the private sector in all facets of marine
science would result in better value for money.
In this submission it is assumed that "marine
science in the polar and non polar oceans" also includes
seas, territorial and coastal waters.
2. ORGANISATION
AND FUNDING
Funding for marine science must be increased,
particularly with regard to identification of seabed resources
that may require conservation and management in relation to infrastructure
and other developments in the UK Exclusive Economic Zone. In particular,
seabed mapping has been achieved in sufficient detail in only
relatively small areas of the UK's seabed and requires major investment
to meet the requirements of the Marine Bill and the EU's Habitat
Directive.
Currently there is no coherent funding strategy
to support the long-term requirements of marine resource management
in the seas and oceans that are of economic significance and in
the national interest of the UK. Some work is funded through the
Research Councils (notably the Natural Environment Research Council:
NERC). National funding is also directed through the Department
for Environment, Food and Rural Affairs' (Defra) R&D programmes,
as well as through specialist research initiatives such as the
Aggregate Levy Sustainability Fund (ALSF) which is directed towards
how aggregate mining on land and at sea can be managed in a sustainable
fashion. Funds derived from a levy on the offshore renewables
industry are managed through the Collaborative Offshore Wind Research
into The Environment (COWRIE) programme that is administered through
the Crown Estate. Like the ALSF, this programme has been developed
to assist in our understanding of how UK commitments to increase
renewable sources of power can be achieved sustainably in UK waters.
Other programmes are funded through international
collaborative initiatives including the Mapping European Seabed
Habitats (MESH) programmes in Irish waters and in the North Sea,
the Channel Habitat Atlas Resource Map (CHARM) funded through
the EU Interreg II programme, and the INFOMAR programme.
These National and international collaborative
programmes deliver significant benefits for UK Policy and management
advice. However, there is neither a strategic overview managing
the research that is currently carried out under the wide variety
of funding sources nor are these programmes generally required
to meet objectives that have been defined in a coherent fashion
to meet UK Policy objectives. The difficulty of matching long-term
requirements of marine research and short-term funding imposed
by arbitrary limits imposed by Financial Year management from
Government is also widely recognised.
There is clearly a case for a Marine Forum to
guide and oversee the research requirements for the UK in the
coming decades, and to ensure that this work is funded on a sufficiently
long-term basis that facilitates the studies that are required
to manage and sustain marine resources of economic and political
importance to the UK. This would provide a sound science-base
to UK policy in response to major global issues that will affect
our coastline in the coming decades.
3. EUROPEAN FUNDING
Historically, UK public sector research bodies
undertaking marine science have been slow to draw on the wide
range of EU funding available. This may be due in part to a general
reluctance to fund projects through the EU or simply due to the
sometimes onerous task of supplying the relevant information for
grant application and subsequent award.
The private sector is much more successful in
drawing down EU money for a wide range of services, including
product development, as demonstrated by the Advanced ROV package
for Automatic Mobile Investigation of Sediments (ARAMIS) and SEABEE
EU funded projects which included the UK private sector and other
EU research institutes, marketing and development initiatives
and even research programmes. This is most likely because some
organisations rely heavily on this type of funding but also because
the private sector is more used to the submission of detailed
technical and commercial documents to acquire work and, in this
case, funding.
Therefore, by inviting the private sector to
undertake or manage a greater portion of the marine science work
in polar and non polar regions it is likely that there will be
a larger volume of EU funding available to the marine science
sector. This case would be strengthened if the submissions for
funding submitted by the private sector were to be supported by
UK research or other public sector bodies.
4. COST EFFECTIVE
MANAGEMENT OF
RESEARCH ASSETS
AND PROGRAMMES
In marine scientific research the biggest drain
on funding is the offshore vessel. This is ably demonstrated by
the CEFAS research vessel Endeavour, which is purported to cost
in the region of £17,000 to £22,000 per day to operate
and cost £24 million to build, and the newly acquired James
Cook which cost £36 million to build.
These vessels will join a European public sector
research vessel fleet that is already oversupplied. A fleet where
each individual EU member state, and each research institute within
it, feels the need to have its own, dedicated resource. In addition
to the costs associated with the initial build and the subsequent
loan and depreciation on these assets, there is also the huge
duplication of base facilities required to keep these vessels
at sea or, in many cases, alongside for a large part of the year.
Given that there is a finite pool of money available
for marine science research as a whole, these costs limit the
total amount of research that can be done. Clearly it is therefore
very important to make sure that these costs are as low as possible,
consistent with the money being well spent to maximise the quality
of the science undertaken.
Compare this to the private sector of the UK
marine industry where there are upward of 20 vessels that could
undertake marine scientific research work in polar or non polar
regions operated by a number of companies. While some of these
vessels would not fall into the same category in terms of technical
excellence as the Endeavour and the Cook, many would be more than
capable of undertaking the research programmes required and as
an aside it should be noted the entire Gardline fleet of 10 ocean
going vessels costs less than the purchase price of the James
Cook alone.
In addition to the basic costs of the vessel,
there are also the resources to operate and support a fleet of
vessels. Clearly, the cost per vessel is drastically reduced when
it is combined in a fleet consisting of a number of vessels and
this still does not take in to account the significantly higher
costs of public sector manning over private sector manning, as
well as the more effective operation of private vessel fleets
as opposed to public vessels.
Therefore, by involving the private sector in
either the supply of research vessels or the operation of the
existing fleets, the research institutes and public bodies can
reduce the costs of the "tools" required to undertake
the work, and so release some of the funding for more detailed
and prolonged studies. This is already an approach that has been
implemented by EU member states, for example Briese Schiffahrts
GmbH and Company KG, a privately owned company, operates a number
of the German research vessels and indeed SMIT operate the Endeavour
on behalf of CEFAS.
5. THE ROLE
OF THE
UK IN MARINE
SCIENCE
The UK has been the leader of marine science
both in the public and private sector for many years and it is
a position we still hold today.
The main driver for development and innovation
within the private sector has been the strong offshore oil and
gas market. The technology and expertise that has been developed
over the last 35 years in this sector is now exported world-wide
and the UK is seen as a centre of excellence for offshore exploration
and development.
A focused partnership between the public and
private sector, funded through innovative solutions such as Public
Finance Initiatives, would enable the UK to retain its reputation
as a leader in marine science. This would also enable it to build
on the expertise of both sectors to offer assistance, guidance
and indeed acquisition of marine research programmes on an international
basis. However, this will only be achieved if the partnership
is mutually beneficial and if any private funding for such projects
is transparent and managed effectively.
6. DEVELOPMENT
OF TECHNOLOGY
By its very nature, the private sector is a
highly competitive environment where clients and companies alike
are constantly looking to differentiate between service providers
and where evermore demanding technical solutions offer combined
efficiencies of cost and schedule. This breeds a supply chain
that is constantly reviewing how it undertakes its operations,
how they can be improved and what new technology is available
to realise cost savings and maximise market share and profit.
The marine science market place is no different.
There are myriad examples that could be supplied
but one of the most significant in marine science in recent years
is in the development of systems able to undertake seabed stills
photography and video imagery. These are not Remotely Operated
Vehicles (ROV) which have been widely used for many years but
units specifically designed for use in marine environmental research.
In the past two to three years technology has moved along at pace
from analogue to digital and increases in picture quality, definition
and the depth capabilities of such systems. Whilst the private
sector has embraced these developments, a number of issues including
funding, running costs and lack of knowledge of the latest technologies
available have restrained the public sector and research organisations.
As a result, outdated systems are being employed on research programmes,
resulting in poor data quality, slow acquisition speeds and resultant
cost implications.
The private sector with its higher utilisation
of newly developed systems can offer the marine science community
better quality data with the resultant improvement in the strategic
decisions based on these data, and in all probability with little
or no overall increase in cost. In fact, it is more likely that
such technology will significantly reduce the length of research
programmes and save costs that could be employed on additional
programmes.
Conversely, there are systems and technologies
that have been developed either exclusively by, or in close association
with, the public sector or research institutes. However, rather
than offer this equipment to the private sector and thereby promote
better practice through better technology (and also recovering
some of the costs of development, construction and maintenance)
use of these systems is so restricted or prohibitive due to inflated
charges that they remain unused within the organisations. The
result is that research and development within these organisations
is reduced because funding is limited and there is little or no
return on developed systems. Often the private sector then goes
on to develop systems that supersede the publicly funded systems.
Examples of this would be the (Wide-Angle Seabed Photography (WASP)
system developed by the then Southampton Oceanography Centre that
has been surpassed by modern systems and the Sediment Profiling
Imagery (SPI) camera system at CEFAS that would have real benefit
and great potential if it could be used more widely in the private
sector.
7. UK RESEARCH
AND SKILLS
BASE
The issue of the reduced number of suitably
trained marine scientists available to public and private sector
organisations and in particular the lack of support for the training
of marine scientists was recently raised in the House of Lords.
This is clearly an industry-wide concern and
an issue that will have a major impact on the ability of the UK's
to deliver our own marine research programmes and our standing
within the marine science international community.
For many years the public and private sectors
have supported student placements, student sabbaticals, and gap-year
employment. However, when it comes to taking these individuals
to the next level of their professional rather than academic training
then the process becomes much more difficult.
There is a case for the public and private sector
to work much more closely in the future to meet the industry's
training needs. There are a number of ways that this could be
achieved but in essence two concepts are at the core. Firstly,
that either the public or private sector offer and receive funding
for more vocational training following the completion of formal
academic training. Secondly, that the private sector employ personnel
who obtain training from the private sector but who also have
designated roles within the public sector or research bodies.
The first option is attractive because it offers
a discrete mechanism for staff training, which then can be apportioned
funding, or operate on a commercial basis. The second option enables
the public and private sectors to co-operate and spread the costs
of both staff employment and training whilst enhancing the links
between the public and private sectors: it would also go a long
way to enhancing the joined-up thinking required to develop cost
and time effective strategies for the delivery of crucial marine
science research to address issues such as those surrounding climate.
8. USE OF
MARINE SPECIAL
AREAS OF
CONSERVATION (SACS)
It should be a major consideration of the Committee
that coastal and territorial waters are the location of both the
greatest productivity and the greatest pressure on the marine
environment from a wide range of factors including resource removal,
global warming, pollution and recreational use.
The UK has an obligation under the EU Habitats
Directive to conserve and sustain the biodiversity of the marine
ecosystem. This is implemented through the identification of "Special
Areas of Conservation (SAC)" in UK coastal waters.
The main issue with regard to the identification
and management of marine SAC's relates in many ways to all the
items detailed previously in this submission. There is not enough
funding presently available to effectively delineate Special Areas
of Conservation let alone to monitor the impact of other legitimate
users of the seabed. Recent plans to map the UK's marine candidate
Special Areas of Conservation (SAC's) were severely curtailed
due to overspill from the Department for Environment and Rural
Affairs (Defra) farm subsidy budget overrun.
In addition, the funding that is available is
not being effectively employed with poorly targeted surveys or
surveys which overlap with other programmes, thus duplicating
effort and expenditure. It should be considered that private sector
research carried out on behalf of oil and gas exploration companies
in UK waters could provide a wealth of as yet untapped information
on seabed habitats, often where no other information exists.
If SAC's are to be identified and managed then
significant additional funding will need to be employed. The alternative
is a series of "white elephants" around the UK that
have limited scientific value and alienate a raft of potential
users whose access to these areas is restricted through a lack
of understanding of the potential impacts.
9. CONCLUSION
In summary, more funding is needed for the research
that will underpin our marine policy over the coming decades.
It is realised that this will always be limited, so it beholden
on all of us in the marine sciences to ensure the best use is
made of this funding. The UK private sector should have a major
part to play in the coming decades, not only in drawing in and
potentially providing additional funding, but also in effective
management of research facilities and funding. Only with the private
and public sectors working with one another will we ensure that
we have a marine environment that is suitably protected but also
is well understood and effectively utilised by a wide range of
potential users.
January 2007
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