Fish processor challenges N.S. moratorium on new licences

A Nova Scotia Supreme Court judge is being asked to overturn a moratorium imposed by the province's minister of fisheries and aquaculture that has prevented a company from expanding the types of fish it processes.

Lobster Hub Inc., a Nova Scotia company based in Meteghan, went to court Tuesday to ask for a review of a decision that has been made and upheld by three consecutive fisheries ministers.

"Year after year they are told: 'We're nearly at the end of our policy review, it'll be a couple more months,'" lawyer Richard Norman, who is representing Lobster Hub, said following the hearing.

"A year goes by, they get the same message and it just never seems to conclude. So they've received a number of letters in the past, going back, I think, to 2021 or 2022, saying just wait a little bit longer, but it just keeps going and going and going."

Norman said his client wants to expand operations by adding processing capacity for species like snow crab, rock crab, quahogs, herring and mackerel. Lobster Hub already processes lobster at its plant and the diversified product line would help increase employment, he said.

The government has repeatedly rejected the company's request for the different types of licences, citing the moratorium on new licences. But Norman said the government hasn't really provided a good explanation for it.

"Ultimately, there just isn't evidence that this moratorium is still required," Norman said.

"And yet it continues to live on, minister after minister, and nobody seems to be really looking into why it still exists."

In their response, lawyers for the province said it is not the role of a judge to second-guess discretionary decisions of government decision-makers.

The government also argues that Lobster Hub had the option of trying to purchase processing licences from other holders. But Norman said that would cost thousands of dollars and wouldn't make good business sense.

Justice James Chipman reserved his decision following Tuesday's hearing.

A spokesperson for the government said they could not comment further because the matter is before the courts.