July 6, 1999
(Tourism, Culture and Recreation)

Update on Gulf ferry issues

Charles Furey, Minister of Tourism, Culture and Recreation, and Rick Woodford, Minister of Works, Services and Transportation, today provided an update on government's efforts to convince the federal government to obtain a new vessel for the Gulf ferry service.

On June 3, government announced a series of initiatives that it would be taking to encourage the federal government to improve the Gulf ferry service. The replacement of the Atlantic Freighter was high on this list of initiatives. "The provincial government provided Marine Atlantic with information on the availability of a Super Sea Cat high speed ferry which could be leased from a company in Italy on a short term basis to relieve the traffic pressures in 1999. If feasible, this option would have the added benefit of experimenting with a new ferry technology. A high speed ferry could be tested to see if it makes sense as a long term solution for the gulf service," said Furey.

High speed ferries are in use in many places throughout the world. Such a ferry could reduce the sailing time between Port aux Basques and North Sydney to under three hours.

At the request of the provincial government, Marine Atlantic evaluated this option and advised on June 28, 1999, that it would not be feasible because of cost factors and the time delays in bringing on a new ferry. If this option had been identified at an earlier date, the vessel could have been integrated in a summer schedule to address the capacity problems.

Traffic on the ferry continues to set a record pace. Overall, from 1996 to 1998, passenger traffic increased 11.84 per cent; passenger vehicles increased 11.73 per cent; and commercial units increased 6.24 per cent. Year-to-date traffic in 1999 has increased over 1998 traffic as follows: passengers: 8 per cent, passenger vehicles: 10 per cent and commercial units: 8 per cent.

"Seventy per cent of all sailings on the Port aux Basques run were sold out in July and August last year," said Woodford. "If the growth we have witnessed so far in 1999 continues throughout the summer, it will mean a combination of more trucks delayed and more tourists unable to obtain passage to the province. This means lost economic benefits to Newfoundland and Labrador."

Marine Atlantic will introduce new traffic management incentives this year to carry more trucks than in 1998, in a partial effort to ease the capacity problem. The provincial government believes these measures are helpful, but not likely to solve the real problem. The best solution is a new ferry to replace the aging Atlantic Freighter. Marine Atlantic agrees with this solution, but federal Minister of Transport David Collenette, has asked for more studies before a replacement is approved.

Regular users of the ferry service, such as truckers, are becoming increasingly frustrated at the space problems. On the weekend of June 26, as many as 40 trucks were delayed in crossing from North Sydney because of insufficient capacity. The ministers stated that 1999 must be the last summer ever in which the economy of Newfoundland and Labrador is harmed by an inadequate ferry service.

It is essential that a new federal ferry be approved as soon as possible so that enough time is available to acquire the vessel before the year 2000. Growth expectations for trucks and tourists, especially given the Vikings 1000 celebrations next year, means that an early solution must be found. Major tour operators need to know the ferry schedules in the fall in order to sell their tours for the following tourism season. If a ferry decision is delayed, more economic losses will occur.

Media contact:

Tara Laing
Communications
(709) 729-0928

Gary Callahan
Communications
Works, Services and Transportation
(709) 729-3015

1999 07 06         4:30 p.m.