Thursday, September 20, 2007

Backlash brews over BC ferry rate hike


While B.C. Ferries management and a number of government ministers and bureaucrats gather in Germany for tomorrows launching of the Super C class ferries, back home the passengers and would be passengers of the provinces ferry fleet aren’t exactly raising a glass in toast.

While the idea of new and modern ferries for the fleet probably won’t meet with much disdain from the travelling public, (though to be fair, there is a large group that still feels the ferries should have been built in BC), the idea of having to pay more to take any of the Ferry Corporations vessels is starting to stick in the craw of many a B C resident.

Last week we examined how David Hahn the President and CEO of the Ferry Corporation had announced that rate increases were on the way. Mainly it was said, due to the need to modernize the fleet and pay the ever increasing cost of marine fuels. Twenty five percent was suggested as what to expect, however as it turns out that was a rather optimistic forecast, the B.C. Ferries commissioner has added on an extra two percent, making it a total fare increase of 27 per cent over four years.

Tuesday’s Daily News looked at some of the frustration of the province’s travelling public, over the prospect of digging deeper into their purse or wallets to travel the coastal waters of the province.

FURY AT FERRY FARE HIKE AS 25 PER CENT IS TOUTED
By Leanne Ritchie
The Daily News
Tuesday, September 18, 2007
Pages one and three


B.C. Ferries users in Prince Rupert and on the Queen Charlotte Islands are looking at fare increases in the range of 25 per cent during the next four years, said B.C. Ferries CEO David Hahn.

Speaking last Thursday, Hahn said the biggest hikes will be on the government-subsidized "minor routes" operated by B.C. Ferries, while users of the major routes between the Lower Mainland and Vancouver Island will see increases of up to 15.5 per cent.

The hikes were conditionally approved by the B.C. Ferries Commission in the spring, but were subject to review by both the provincial government and the B.C. Ferries Commission.

Hahn said the province has indicated it will not increase the baseline subsidy it pays for the minor routes, so he now expects B.C. Ferries commissioner Martin Crilly to approve the price increases set in the spring.

Crilly must issue his report by September 30. The first of the four-year rate hikes would go into effect on April 1, 2008.

“I don’t think anybody wants price increases,” Hahn said. “But the fact remains we have a very big system that was allowed to deteriorate for a very long period of time.

“We can’t sail ships that are unsafe, we can’t stop fixing the terminal structures that were allowed to deteriorate and we can’t have computer information systems that are behind the times. It’s not a good answer, but these are required expenditures.”

Gary Coons, North Coast MLA, said the price increases on the provinces’ marine highway are outrageous. He is asking the Minister of Transportation Kevin Falcon to step in.

“Northern and coastal communities depend on our ferries for their livelihood, for business, for prosperity, for tourism and for vital services,” said Coons, New Democrat Critic for Ferries and Ports.

“Fare increases of this magnitude will put a further strain on the lives of the rural communities and their business.”

The increases predicted by Hahn last week, coupled with fuel surcharges could amount to increases of 30 per cent by 2012.

“The economic viability of our coastal communities is in peril due to the Campbell Liberals,” said Coons.

“The Minister of Transportation needs to step in and act in the public interest to ensure coastal ferries are reliable safe and affordable.”

Coons also noted that Hahn’s behaviour was somewhat strange, predicting the independent B. C. Ferries Commissioner would give final approval to the rate increase before the commissioner’s report comes out Sept. 30.

“It is interesting that the CEO did not mention this at all at the B. C. Ferry AGM in Powell River (on Thursday,) said Coons.

“He was noticeably silent to the huge crowd that expressed concerns about past huge fare increases and the devastating impacts. One community has had a 100 per cent increase in fares.”

Coons said Hahn is once again showing his arrogance and political interference with the “independent” ferry commissioner by predicting what fuel surcharges are to be before waiting for the final decision.

“This is not the first time the CEO has used his “crystal ball” to determine the new surcharges prior to Mr. Crilly’s calculations,” said Coons.

“The minister responsible needs to get control of this runaway train.”

With files from CanWest News Service

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