Mapping ocean governance and regulation
This report provides an overview of ocean governance and regulations through the lenses of ocean-based industries, addressing international governance, key industries, emerging issues and regulatory developments, cross-cutting challenges and the role of the private sector through the UN Global Compact Action Platform for Sustainable Ocean Business.
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OVERVIEW
International ocean governance
The United Nations Convention on the Law of the Sea (UNCLOS) is the foundation of international ocean governance. UNCLOS codifies the rights and obligations of states, fostering international collaboration on the conservation and sustainable use of the ocean and its marine resources. The convention addresses various aspects, including maritime zones, rights of passage and navigation, peace and security, conservation and management of marine living resources, environmental protection, marine scientific research, and dispute settlement procedures.
Governance of some key ocean-based industries
Shipping
International shipping is a mature industry with well-established governance institutions. The International Maritime Organisation (IMO) develops conventions with detailed requirements that become binding upon ratification by a sufficient number of states. These conventions cover various aspects, including safety, training, ballast water management, carriage of solid bulk cargoes, maritime labour, pollution prevention, civil liability, and ship recycling. The International Labour Organisation (ILO) also contributes by developing frameworks for national legislation concerning seafarers’ rights.
Enforcement of regulations falls under the purview of flag states for ships flying their flag and port states exercising control based on domestic law. Additional domestic regulations may be introduced by flag and port states. Private governance mechanisms, such as classification societies, play a crucial role in developing and maintaining technical rules and standards for ships. Protection and Indemnity insurers (P&I clubs) also contribute to enforcing IMO conventions and safety rules.
Offshore oil and gas
Offshore oil and gas activities occur on the continental shelf of coastal states, where states have sovereign rights over resources. Due to varying social, political, and economic frameworks across regions, governance requirements for these industries differ significantly. In many states, multiple bodies are involved in governance, leading to complexity. Norway has introduced integrated management plans to address this complexity and provide a framework for sustainable resource use and ecosystem preservation.
Private sector governance is vital in driving sustainability and sharing best practices across regions. Companies, industry organisations, and standardisation bodies collaborate to document and share best practices throughout the lifecycle value chain, from investment decisions to ensuring consistent products, processes, and performance.
Offshore renewable energy
Offshore renewable energy (ORE) governance involves both public and private actors. State-led institutions and collaborative initiatives play a significant role in creating binding regulations and providing financing. Private sector organisations like WindEurope and Ocean Energy Europe (OEE) contribute by offering guidelines, standards, and certification schemes. Non-governmental organisations and social movements also participate due to the impact of energy governance on socio-economic development, social justice, and ecological sustainability.
Studies have highlighted the complexity of ORE governance due to overlapping functions and policy linkages with other issue areas. This complexity can hinder coordination and lead to fragmentation. A study in Ireland identified barriers such as lack of policy integration and enforcement, insufficient government oversight, and lack of trust from local communities.
Marine aquaculture
Marine aquaculture has experienced significant expansion, and further growth is expected to meet the increasing demand for seafood. However, challenges like ocean space availability, disease management, escapees, climate change effects, and reducing wild fish in feed need to be addressed. Progress has been made in reducing wild fish in feed, and many countries are updating regulations.
Governance of aquaculture is complex due to its interlinkages with various regulatory bodies responsible for regional planning, spatial planning, industrial development, environmental issues, and food safety. The EU is working on integrated maritime policy, but establishing adequate regulatory frameworks to address competing interests remains a challenge. Improved transparency in the supply chain is also needed to ensure consumer information on food safety, quality, and sustainability.
Marine fisheries
Marine fisheries are crucial for global nutrition, but challenges like climate change, overfishing, and illegal activities threaten their sustainability. The governance of marine fisheries is complex due to the diverse nature of fish stocks and their distribution across national jurisdictions and the high seas. UNCLOS and the UN Fish Stocks Agreement (UNFSA) provide the international legal framework, while regional fisheries management organisations (RFMOs) facilitate cooperation on managing straddling and highly migratory stocks.
National governments are primarily responsible for managing fisheries within their jurisdictions. However, challenges like ineffective regulatory systems, non-compliance by vessels flying flags of convenience, and the impacts of climate change on fish stocks pose significant threats. Technological advances in monitoring and enforcement, such as Global Fishing Watch and blockchain technologies, offer potential solutions for improving transparency and traceability in seafood supply chains.
Seabed mining
Seabed mining is an emerging industry with a developing regulatory framework. UNCLOS and the 1994 agreement on Part XI of UNCLOS provide the international legal framework. Coastal states have exclusive rights to resources on their continental shelves, while the deep seabed beyond is considered the common heritage of mankind, regulated by the International Seabed Authority (ISA).
Regulations for prospecting and exploration are still under development, and a draft regulation for exploitation was issued in 2017. The private sector can engage in developing ISA governance through participation in workshops, seminars, and meetings. On the continental shelf, regulatory frameworks vary between countries, with some having combined frameworks for mineral exploitation.
Emerging governance issues and regulatory developments
There is a growing consensus on the need for more effective ocean governance to address increasing pressures like pollution, overexploitation, competition for space, climate change, acidification, and biodiversity loss. While international conventions and agreements exist, challenges remain in their implementation and enforcement. Late ratification, non-adherence by states, and difficulties in reaching agreements can hinder progress.
Efforts are underway to enhance coordination between international organisations involved in ocean management. However, continued strengthening of coordination and greater coherence are needed. Many ocean activities impact each other but are regulated separately, and linkages to land-based activities are often overlooked. There is a need for improved alignment of regulations across national jurisdictions and collaboration on best practices to prevent unsustainable behaviour and ensure a level playing field for businesses.
Specific challenges exist in each sector. In shipping, the ratification of conventions and establishing consensus among members are ongoing issues. Overlapping international and national regulatory regimes can create complexity. In offshore oil and gas, cross-border jurisdictional issues and the need for stronger transnational governance principles are evident. Offshore renewable energy governance faces complexity due to overlapping functions and policy linkages, leading to fragmentation and coordination challenges. Marine aquaculture requires adaptable regulations to accommodate innovation while ensuring sustainability. Marine fisheries face challenges related to climate change impacts, regional management, and illegal activities. Seabed mining needs further development of regulations and standards, especially for emerging technologies and operations in the Area.
Cross-cutting challenges for the ocean
Climate change
Climate change is significantly impacting the ocean, causing warming, acidification, sea-level rise, and increased frequency of extreme weather events. Ocean industries are already adapting to these changes, such as using new shipping routes and addressing disease outbreaks in aquaculture. Climate change adaptation and mitigation efforts are crucial, and ocean industries can play a role in both. However, the interplay between adaptation and mitigation can be complex, and careful consideration is needed to avoid unintended negative consequences.
Conserving biodiversity in areas beyond national jurisdiction (BBNJ)
Areas beyond national jurisdiction (ABNJ) comprise a vast and largely unknown part of the ocean, crucial for planetary health and biodiversity. While UNCLOS and sectoral bodies regulate certain activities in ABNJ, legal gaps exist regarding biodiversity conservation and sustainable use. There is no international mechanism for establishing marine protected areas in ABNJ, and sectoral bodies have limited and fragmented approaches to conservation.
The UN General Assembly has initiated negotiations on a new implementing agreement under UNCLOS to address BBNJ conservation and sustainable use. The treaty will cover area-based management tools, marine genetic resources, environmental impact assessments, capacity building, and technology transfer. Private sector actors have had limited formal involvement in the process so far.
Ocean plastics pollution
Ocean plastics pollution is a pressing issue, with millions of tons of plastic entering the ocean annually. The diverse sources of plastic, including packaging and fishing gear, pose significant threats to marine ecosystems and human health. There is currently a legal gap in global governance regarding marine plastic litter and microplastics.
The United Nations Environment Assembly (UNEA) has established an expert group to recommend strengthening international governance structures. While a global convention or treaty is a possibility, voluntary action by corporations can play a crucial role in promoting sustainable practices, reducing single-use plastics, and increasing recycling and reuse.