The marine aggregate industry is licensed commercially by The Crown Estate, which owns the seabed to the 12-mile territorial limit and holds the non-energy mineral rights out to 200 miles as part of the hereditary possessions of the Sovereign. Under The Crown Estate Act 1961, The Crown Estate Commissioners have a duty to maintain and enhance the value of the estate’s assets and to secure revenue from them. In the case of minerals, it receives a royalty for every tonne extracted from licensed areas. In 2006-07, turnover from marine aggregates totalled £15.8 million, with the net revenue surplus being paid to the Exchequer.

Before dredging can commence, the operator must first obtain an environmental consent, termed a dredging permission. The process is administered by Defra’s Marine and Fisheries Agency, the Welsh Assembly Government or the Scottish Executive according to the location.

In Spring 2007, the Environmental Impact Assessment and Natural Habitats (Extraction of Minerals by Marine Dredging) (England and Northern Ireland) Regulations 2007 (the Marine Minerals Regulations) were introduced.  This provides a statutory framework for the environmental impact assessments required for proposed marine minerals extraction. The Marine & Fisheries Agency will carry out the licensing and enforcement duties resulting from the introduction of the regulations.

The regulatory process is transparent, and uses consultation to identify the issues that need to be addressed by an environmental impact assessment. An environmental statement and supporting studies are widely circulated to stakeholders, with the applicant then tasked with overcoming concerns. If the environmental consequences are considered acceptable at the end of the process, the administering government department can award a dredging permission.  Consent decisions are accompanied by a schedule of legally enforceable conditions that form an integral part of any Crown Estate production licence to dredge and must be adhered to by the licensee.