Ferry Holdings, the Crown-owned company charged with negotiating procurement contracts for two new inter-island ferries, has confirmed core infrastructure agreements with CentrePort, Port Marlborough and KiwiRail.
The agreements define the physical works and equipment to be delivered by 2029, when two new ferries are scheduled to enter service.
Further agreements to confirm investment splits and commercial terms are expected later this year, Rail Minister Winston Peters says.
“This is not our first regatta, as this no-nonsense infrastructure focus is what was supposed to happen in 2020 until poor management and a lack of oversight allowed iReX to blow out,” Peters says.
“We will save the taxpayer billions through our disciplined approach. The agreements entered into effectively mean the ports and KiwiRail are in, boots and all, with Cabinet’s preferred low-cost option.”
The agreements primarily cover marine infrastructure. In Wellington, the existing Aratere wharf will be strengthened and extended to accommodate the new vessels. The current terminal, passenger and vehicle facilities, and much of the rail yard will continue to be used. A new linkspan and related infrastructure will also be installed.
In Picton, a new wharf and linkspan will be built. However, existing terminal and vehicle facilities, the passenger walkway and most of the rail yard will be retained.
“We are pleased to confirm for the locals in Picton that the Dublin Street overbridge will be built – ridding the town of the blocked streets it will experience when freight-laden trains arrive at the port,” Peters says.
“The road and rail will be grade separated before 2029 as a safety and an efficiency improvement for road and rail.”
Ferry Holdings has also released its first Statement of Performance Expectations and Statement of Intent, outlining its work programme through to 2029.
“The teams at Ferry Holdings, CentrePort, Port Marlborough and KiwiRail are doing an outstanding job in the service of the taxpayer, and we thank them for it,” Peters adds.
The ship procurement process remains under way. Ferry Holdings is managing a closed tender involving six international shipyards, which are competing on price and quality. A final shortlist will be drawn up before a recommendation is made to Ministers and a contract awarded later this year.
