Transportation and Works
June 13, 2014

Sound Approach to Strengthening Transportation Infrastructure

$5.8 Million in Ferry Service Contracts Awarded in La Poile and Rencontre East

Contracts totalling $5.8 million have been awarded to Puddister Trading Company and Norcon Marine Services to deliver ferry services to La Poile and Rencontre East. The two contracts begin on June 15, 2014, and end on March 31, 2016, with the option of extension for an additional year.

“This province has many communities that rely on ferry service for their economic and social well-being. Partnering with Puddister and Norcon through these contracts, totalling $5.8 million, means that the Provincial Government is continuing to provide a key piece of our province’s transportation infrastructure. By doing so, the residents of La Poile and Rencontre East are able to remain connected to the rest of the province.”
- The Honourable Nick McGrath, Minister of Transportation and Works

Of the 17 ferries operating in Newfoundland and Labrador, seven are owned and operated by the Provincial Government, two are owned by the Provincial Government and operated by private service providers, and the remaining eight vessels are owned and operated by private service providers, like the ferries in La Poile and Rencontre East.

“We continue to review our ferry operations and ferry renewal planning to ensure optimum service to ferry users. We are confident that the best possible ferry services will be provided to the residents of Newfoundland and Labrador.”
- Minister McGrath

Budget 2014 Shared Prosperity, Fair Society, Balanced Outlook included significant investments in ferry service. Those investments included $71.5 million for ferry vessel replacement and ongoing maintenance; $69.9 million to deliver ferry services to 23 communities and 41 terminal ports; and $8.5 million for improvements to marine terminals and wharves to accommodate the new ferries.

QUICK FACTS

• The Provincial Government has awarded $5.8 million in contracts to provide ferry service to the south coast communities of La Poile and Rencontre East.
• The contracts are in effect from June 15, 2014, until March 31, 2016, with the option of extending for an additional year.
• Puddister Trading Company was awarded a $2.2 million contract to deliver passenger ferry services to La Poile and Norcon Marine Services was awarded a $3.6 million contract to deliver passenger ferry services to Rencontre East.
• In 2013-14, the Provincial Government invested $88 million in provincial ferry services and received $6.5 million in ferry paid revenue.

- 30 -

Media contacts:

Scott Barfoot Director of Communications Department of Transportation and Works 709-729-3015, 690-6290 scottbarfoot@gov.nl.ca

2014 06 13      1:15 p.m.