Ferry commissioner Gordon Macatee released a review of B.C. Ferries today, containing 24 recommendations that include more oversight and accountability, plus capping ferry fares at the rate of inflation.
Here's a portion of a release from the B.C. Ministry of Attorney General:
"Declining ridership and financial losses in the current year, coupled with substantial capital investment requirements for fleet renewal and terminal upgrades, is putting strain on the financial sustainability of B.C. Ferries. Ferry users consider further large fare increases to be unaffordable and are concerned that the operator is not sufficiently accountable. The Coastal Ferry Act, and its guiding principles, is not perceived to be giving consideration to the interests of ferry users.
"The review clearly indicates that all of the principle stakeholders will need to be part of the solution in order to achieve a ferry system which is both affordable and financially sustainable. Specifically, ferry users will need to be receptive to changes in how services and levels of service are delivered; B.C. Ferries needs to accept additional oversight and accountability measures, and will have to focus even more on cost control and new sources of revenue; and the Province needs to define a vision for the future of ferry services and should consider additional financial support to ensure the system's sustainability.
"To address this new direction for coastal ferry services, the review makes a number of key recommendations, including:
- Future price cap increases should be held to the rate of inflation.
- Capacity utilization of the ferry fleet should be improved.
- The commissioner should have more explicit authority to hold the operator accountable, and a new authority to conduct performance audits.
- There should be more oversight on capital plans and acquisitions.
- The Province should consider an increase in financial support for the ferry system and should further consider cushioning at least a portion of fuel price volatility, as is presently done on the northern routes.
- Municipal and regional governments should have the ability to play a role in keeping fares affordable and increasing ridership.
- B.C. Ferries should place a high priority on upgrading its reservation and point-of-sale systems.
- The commissioner should have additional tools when setting price caps to better consider the interests of ferry users and taxpayers.
For the full review, visit www.bcferrycommission.com/reports-press/whats-new/