Ferry crisis what ferry crisis?

Written By: - Date published: 12:35 pm, October 17th, 2024 - 21 comments
Categories: Environment, national, nicola willis, nz first, same old national, transport - Tags:

The Cook Strait Ferry issue is getting to a critical point.

An announcement was expected in July. Willis said at the time that a decision was coming soon.

But we are still waiting. And there is a growing sense that National’s preference to remove rail capacity is meeting with staunch resistance from NZ First.

Last weekend at the NZ First Conference the party passed the following resolution:

Consider a policy that the important national railway system is always connected with at least two rail-enabled interisland ferries between North and South Islands.

And when asked about the Ferries Winston Peters claimed that with careful maintenance the current ferries could last for twenty years.

From Adam Pearce at the Herald:

New Zealand First leader Winston Peters believes the plagued Cook Strait Interislander ferries should be able to function for two more decades with sufficient maintenance.

That’s in contrast to KiwiRail’s assessments that have found the ferries can be safely operated up until 2029.

It comes amid apparent divisions within the coalition Government on the best replacement option for the ferries – with NZ First strongly advocating to retain the rail-enabled feature, while National didn’t appear as concerned in light of the extensive wharf upgrade cost estimates if the ferries needed rail access.

It’s understood it was unlikely NZ First would support a ferry replacement proposal without them being rail-enabled.

The sense of division and delay is reinforced in this article by Carl Findlay who is the National Secretary of the Maritime Union of New Zealand.

In the article he reviews the history of the cancellation of the original supply project. He says this:

Willis’ much vaunted ministerial advisory group was supposed to have the answer. But they reported back their recommendations to replace iRex in June and there is still no decision made. I think it’s fair to assume their answer isn’t politically viable.

Given the advisory group’s antagonism of key players in the freight and shipping industry, and their dismissal of the importance of a rail system that delivers $3.3 billion in worth to NZ Inc each year, it’s not surprising their recommendation has stalled. It is surprising they still seem to be on the payroll although nobody seems to know what they are doing. The rumour in the sector is someone from the Government is talking to Chinese shipyards on the quiet.

What a costly mess.

And the confusing messages from various ministers don’t offer much comfort. Willis said soon for a new option, then she said the September quarter, now she says by the end of the year. Paul Goldsmith says it could be next year until a decision is made on replacing ferries. When asked about rail ferries, David Seymour mused on Q+A that maybe the South Island doesn’t really need a railway system.

And he points out the bleedingly obvious solution, the Government should try and resurrect the original contract. From the article:

The government could go back to Hyundai and renegotiate the contract they are currently cancelling. We’d lose big dollars compared to the original deal but only a fraction of the billions we will lose every year if we cripple our freight system with cheap boats that can’t carry rail and will push more trucks onto our already damaged roads.

The problem is that to do what’s good for New Zealanders and New Zealand’s businesses would come at the cost of a reputationally bruising backdown from the Finance Minister. As much as I would hope she will, I don’t think she’ll put New Zealand’s wellbeing ahead of her pride

This incident could be a career ending move by Willis. Costing the country half a billion dollar plus in an anti rail knee jerk response should have a severe consequence.

And it could threaten the viability of the coalition. Winston Peters is showing no sign of backing down.

Tick tock tick tock …

21 comments on “Ferry crisis what ferry crisis? ”

  • Comments are now closed

    • Belladonna 1.1
      18 October 2024 at 10:57 am

      If this is a members bill (which it appears to be) – these are much more open to support by individual parties (and even individual MPs) — I doubt it's really illustrating 'cracks' in the coalition.

      It does show Peters (via Patterson) doing his usual grandstanding about 'carefully listening to all sides, before coming to a conclusion. And be willing to support it through to the next stage, so it can be considered further (and potentially altered) – or voted against, if he so desires.

      This message is designed to appeal to his voter base (emphasising that NZF aren't politically aligned with either side – and are willing to be swayed by evidence); and also to underline to the media that NZF is always good for a story (not to be taken for granted); and to Luxon to remind him that NZF can't be taken for granted.

      • Bearded Git 1.1.1
        18 October 2024 at 11:39 am

        As soon as I heard they (NZF) were backing this bill it reminded me that they could bring the government down at any time.

  2. Mike the Lefty 2
    17 October 2024 at 1:22 pm

    Perhaps we won't need rail ferries soon anyway. Sounds like the whole lot will either be shut down or sold off pretty soon.

  3. gsays 3
    17 October 2024 at 1:31 pm

    My reckons say a ferry upgrade is so important that if Willis does a U turn and backs the original idea, I promise never to denigrate her again and only praise her decision.

    • georgecom 3.1
      17 October 2024 at 10:12 pm

      Willis is increasingly showing that the finance minister job is too much for her ti habdle. A $12 billion deficit after promising she wont need to borrow for tax cuts, the ferry debacle…….

  4. Mountain Tui 4
    17 October 2024 at 1:38 pm

    Hi Micky. I think National have lost this battle and rail enabled ferries are back on the cards.

  5. Maurice 5
    17 October 2024 at 1:41 pm

    Really BIG wakas capable of carrying a rail flat car with two containers may do the job … Only need 1,000 paddlers a side so should cure the unemployment as a bonus. //s

  6. Macro 6
    17 October 2024 at 2:11 pm

    So Look! The govt have been really smart here. I have been investigating this, and have come to the following conclusion. Cancelling initiatives on cutting greenhouse gasses is all part of the master plan! The quicker sea level rises, the sooner people will be demanding amphibious vehicles. They will need them to drive to their beach house which remains just above the new shoreline! Obviously the Govt is in secret consultation with Toyota on this. Nicola let the cat out of the bag. So when finally Toyota develops the amphibious Corolla! Bingo! The govt will buy 3. No need for Ferrari's. No need for expensive infrastructure they can use the existing boat ramps at Evans Bay.

    Arn't you glad we have such a smart lot ruining the country.

  7. KJT 7
    17 October 2024 at 2:22 pm

    I predict it will go ahead anyway. But cost 5 billion because of cancellations and dithering.

  8. Tiger Mountain 8
    17 October 2024 at 2:29 pm

    That Winfield Peters cannot be trusted is rather obvious, on rail though there is some evidence from his time with Labour that NZ First are rail fans.

    In Northland efforts were being made under PGF to revitalise in the North including a freight depot in Moerewa, line to North Port, replacement of tracks, including lowering lines under certain bridges to permit wagons with containers to pass rather than building new bridges. Most of this has come to a grinding halt now thanks to CoC.

  9. Ad 9
    17 October 2024 at 3:06 pm

    Kiwirail is now offering redundancy to ALL staff.

    • SPC 9.1
      17 October 2024 at 6:03 pm

      Must have rented an AI predictive algorithm to manage budget forecasts and typed in second term.

  10. Swede 10
    17 October 2024 at 5:34 pm

    There is a very similar situation playing out in Tasmania. There govt got cold feet on the cost of replacing ferries to mainland oz. Result? Stuffed up berthing facilities, higher costs, lost revenue and a deputy leader resigning.

  11. feijoa 11
    17 October 2024 at 5:50 pm

    If they revive it they might find all the expertise has left the country. They all upped sticks and went to Canada to work on light rail.

  12. SPC 12
    17 October 2024 at 6:11 pm

    Winston Peters, in lying that the current ferries can be used for another 20 years, is admitting that his coalition partners will not replace them with rail enabled ones.

    2029 is at the end of a second term and it takes some time to order and receive new ones.

    Thus we will be without such (rail enabled) ferries, if this lot get a second term.

    Who does he think he is fooling?

  14. Ad 14
    18 October 2024 at 4:12 pm

    Sure hope a Labour- (Green or NZF) government does what it should've last time and folds Kiwirail into NZTA.

    CE Reidy clearly acting as if they need strong institutional safety or face high risk of full privatization and sell-off.

    Amazing to see National merge or kill departments and Crown agencies. It won't stop.