Privatization: fisheries resources in Micronesia

Themes: Capacity Development | Economic Growth | Environmental Sustainability | Private Sector Development | Social Development

Our team of natural resource policy, commercial, legal and indigenous peoples’ experts undertook an analysis of policy options, impacts on fish stock management, value chain issues, indigenous rights and environmental issues with the potential privatization of the Micronesian Tuna fisheries industry in Pohnpei, Micronesia.

Fielding our team in the remote Micronesian island of Pohnpei our specialist experts undertook a series of cost/benefit analyses of various options to restructure the existing state-owned fisheries industry ranging from corporatization to full privatization. The analyses also addressed the impact of changes of various value chain elements of the fisheries sector and what the result would be if some were changed and some retained.

In undertaking the commercial analysis our specialists also examined and advised on possible changes to the regulatory framework, including the adequacy of the current regulatory environment and the resource management impacts of any possible structural changes, including the potential adoption of a private ownership model for fishing quota.

As part of the review our specialists analyzed the structure of a privatized industry and developed economic modelling for all of the restructuring options and possible environmental and resource management impact models.

A possible privatization model and process was then developed with legal and commercial advice on how to manage any due diligence process for investors. As part of the project Guinness Gallagher’s team performed regular training, capacity building and development for local officials.

The themes and sectors covered by this project were as follows: -

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Theme Sub-Theme
Capacity Development - Client relations, network and partnership development
  - Institutional development
  - Organizational development
Economic Growth - Knowledge, science and technological capacities
  - Promoting economic efficiency and enabling business environment
  - Promoting macroeconomic stability
  - Widening access to markets and economic activities
Environmental Sustainability - Eco-efficiency
  - Environmental policy and legislation
  - Global and regional trans-boundary environmental issues
  - Natural resource conservation
Private Sector Development - Policy refoms
  - Private Sector Investment
  - Privatization
  - Public Private Partnerships
Social Development - Human development
  - Indigenous people
Sector Sub-Sector
Agriculture, natural resources, rural development - Fishery
  - Water-based natural resource management
Finance - Infrastructure finance and investment funds
Industry and Trade - Industry and trade sector development
Public Sector Management - Reforms of state owned enterprises