Transporting New Zealand Welcomes Ferry Certainty But Warns Of Risks

Transporting New Zealand has welcomed the detail provided by Minister for Rail Winston Peters in today’s procurement update about Cook Strait ferries.

"It is positive that the road freight industry has some certainty around the Cook Strait connection. This includes a Christmas 2029 deadline for delivery of two new vessels, the fact they will be rail enabled, and that combined passenger and commercial vehicle lane metres will increase from 4,380 vehicle lane metres to 4,800 vehicle lane metres," says Policy and Advocacy Lead Billy Clemens.

"However, it is frustrating for many of our road freight members that it’s taken so long to get to this point, and that scheduled delivery now sits close to the end of the current fleet’s natural design life.

"The Government cannot afford further delays. This tight timeframe makes bipartisan support for the current project particularly important.

"Back in June 2024, the Ministerial Advisory Group on Future Ferry Services on the Cook Strait recommended that a contract for new ships be signed by 1 October 2024 at the latest. It noted this would mitigate the risk that ‘potentially advantageous options could be taken up by other operators and lost to the Crown while KiwiRail works to settle the HMD [iReX] claim’."

Transporting New Zealand also warns that procuring rail-enabled vessels will mean the Government has to keep a close eye on the project budget.

"Transporting New Zealand hasn’t taken a fixed view on rail-enablement vs rail-compatibility, but we have noted that Ministry of Transport advised the Government in December 2023 that the rail-enabled iReX ferries and the associated land-side infrastructure were a key factor in the project’s cost escalation."

Transporting New Zealand looks forward to continuing to work with the Minister for Rail, Ministry of Transport, and KiwiRail to ensure a resilient Cook Strait Connection.

About Ia Ara Aotearoa Transporting New Zealand

Ia Ara Aotearoa Transporting New Zealand is the peak national membership association representing the road freight transport industry. Its members operate urban, rural and inter- regional commercial freight transport services throughout the country.

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