Source: Radio New Zealand
An artist’s impression of one of the new ferries loading. FHL
Marlborough locals are being asked if they should pay Port Marlborough’s $110 million share of the Picton ferry redevelopment.
The work in Picton is estimated to cost $531m and is part of the $1.867 billion Cook Strait Ferry Replacement Programme.
The Marlborough District Council is proposing to borrow the money from the Local Government Funding Agency, with Port Marlborough to repay the loan in full, including interest, while also paying its annual dividend to the council.
The council previously agreed to borrow money from the Local Government Funding Agency on the port’s behalf to go towards the iReX upgrades, which has since been canned.
Marlborough Mayor Nadine Tayor said the community had fought for many years to keep the ferries in Picton, and Port Marlborough had successfully negotiated a 60-year commercial agreement to cement Picton’s role in the Cook Strait crossing.
“We have been here before of course, with public consultation in 2021/2022 to finance Port Marlborough’s contribution towards the previous ferry redevelopment programme. Since then, the government stopped the previous programme to replace the ageing Interislander fleet and progressed a revised approach, including different vessels and a new ownership model for infrastructure assets at Port Marlborough.
“Under the Local Government Act, Council is required to consult the public once again. This consultation proposal is for council to borrow the same $110 million through the Local Government Funding Agency at a favourable rate, to on-lend to Port Marlborough to pay for its share of the ferry infrastructure.”
The Bluebridge’s Connemara and Interislander’s Kaiarahi in Picton. RNZ / Samantha Gee
Taylor said the port’s business plan had been through a rigourous governance process.
“The financial principles and risk mitigations have been considered and approved by the boards of Port Marlborough and MDC Holdings, both of which have independent directors. The proposal has also been endorsed by councillors.”
She encouraged everyone with an interest in the project to read the statement of proposal document carefully, to attend one of the public meetings and to make a submission.
Public information meetings are being held on 13 May at the Port Marlborough Pavilion (1-3pm and 6-8pm) and at Lansdowne Hub, Blenheim on 14 May (6-8pm).
Submissions open tomorrow and close on 19 May and submitters can also choose to speak at hearings scheduled for 20 and 21 May, with a final decision to be made at council meeting on 26 May.
To make a submission, go to the online form at https://links.marlborough.govt.nz/haveyoursay
Queries can be emailed to portconsultation@marlborough.govt.nz
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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand