Transportation and Works
February 26, 2019

New Ferry Contracts for South Coast of Newfoundland to Save Almost $3 Million Annually

The Department of Transportation and Works has awarded contracts for ferry services for seven communities on the south coast of the island portion of the province.

The total cost of all five contracts will be approximately $6.8 million. In 2017-18, the same services cost approximately $9.6 million representing an annual savings of approximately $2.8 million.

There will be no change to existing service schedules or capacities under the five new contracts, which have been awarded to companies already operating in the region. A list of contracts is in the backgrounder below.

Two of the five services will continue to use the same vessel. Three others – South East Bight - Petite Forte; Rencontre East - Bay L’Argent - Pool’s Cove; and Hermitage - Gaultois - McCallum – will see vessels that formerly serviced other runs in the region and are of similar age and capacities as the previous vessels.

All contracts have been secured for a two-year term, with the possibility of two further one-year renewals.

Quote
β€œIt has been a challenge to finalize ferry services that will continue to meet the needs of residents on the south coast in a way that is responsible for all taxpayers. We have found a solution that strikes a good balance, allowing the same level of service for area residents to continue while realizing substantial annual savings.”
Honourable Steve Crocker
Minister of Transportation and Works

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Marine Services

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Media contact
Rod Drover
Transportation and Works
709-729-1758, 730-4607
rodneycdrover@gov.nl.ca

BACKGROUNDER

Route Service Provider Vessel Annual Cost
La Poile Puddister Shipping Ltd. MV Challenger One $1,257,790
Francois - Grey River Puddister Trading Co. Ltd. MV Marine Voyager $1,436,650
Hermitage - Gaultois – McCallum Puddister Trading Co. Ltd. MV Marine Eagle $1,436,640
Rencontre East Puddister Shipping Ltd. MV Terra Nova $1,432,990
South East Bight Puddister Shipping Ltd. MV Marine Coaster III $1,268,740

2019 02 26                              3:05 p.m.