Individual transferable quotas (ITQs) in Canadian and US fisheries

Individual transferable quotas (ITQs) are market-based allocation systems that have received much attention in resource management. The two ITQ fishery management systems studied were implemented in 1990 and are still in the early stages of development: Surf Clam and Ocean Quahog ITQs in the US Extended Economic Zone, and Under 65ʹ Mobile Gear Groundfish ITQs in the Scotia-Fundy region of Atlantic Canada. We note differences and similarities in the two fisheries and factors that precipitated the decision to switch to ITQs, the process itself, the design of the two ITQ systems and some of the consequences. Among the lessons learned from the comparative study are the critical importance of decisions about transferability of quotas and the political and historical context, and pre-existing industry structure, to the acceptance and performance of ITQs. In addition, the research shows mixed results for questions about relationships between exclusive property rights and stewardship, on the one hand, and between individual quota systems and co-management on the other. We consider these and other findings in the light of evaluative criteria such as economic efficiency, social equity and stewardship.