Two new vessels will be chartered to replace Marine Atlantic's MV Caribou and the MV Smallwood.
That was the announcement made by Rob Merrifield, Minister of State for Transport; Rob Crosbie, Marine Atlantic's board chair; and Wayne Follett, president and CEO of the Crown corporation, this morning at a press conference in St. John's.
The vessels, built in 2006 and 2007, are being chartered from the Stena Group of Companies. The press release states the "vessels will significantly improve [the company's] ability to provide on-time, reliable service and meet increasing traffic demand between North Sydney, and Newfoundland and Labrador"
The money comes from this year's federal budget, which provided $175 million to Marine Atlantic over the next two years to help renew its fleet and shore facilities, and improve the quality and reliability of its services.
"Our government is supporting Canada's economy by investing in new ships to improve Marine Atlantic's service and reliability," said Minister Merrifield in the release. "This investment is another signal of our government's commitment to Atlantic Canada. I look forward to seeing an improved customer experience as these ships come into service."
The new vessels will bring about significant cost savings and operational efficiencies by lowering fuel costs and consumption. The new charter agreement is conditional upon Marine Atlantic obtaining all necessary governmental and other approvals as may be required.
"Chartering two modern vessels will significantly aid Marine Atlantic in improving its capacity and reliability," said Mr. Follett. "This can be attributed, in part, to the efficient design and the newness of the vessels. Once they join Marine Atlantic's fleet, the average vessel age will be reduced from 21 years to eight years."
In 2009, an estimated 27 per cent of all passengers, 50 per cent of all freight and 90 per cent of all perishable goods between the Island of Newfoundland and the Canadian mainland were carried by Marine Atlantic.
See upcoming issues of The Gulf News for more on this story.
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