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Island Ferry singled out for possible Nanaimo-Vancouver service

Victoria-based Island Ferry Services has been picked as the preliminary preferred applicant to operate a foot passenger service between Nanaimo and Vancouver.
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Victoria-based Island Ferry Services has been picked as the preliminary preferred applicant to operate a foot passenger service between Nanaimo and Vancouver.

While Island Ferry is pleased with that choice, its director of operations wants the process to proceed more quickly.

Ernst and Young will be carrying out a financial and technical review of the company’s plan to evaluate its ability to provide the service.

The consultant is expected to begin work in the next week and have a report complete within a month, Bernie Dumas, president and chief executive officer of the Nanaimo Port Authority, said Friday. He could not say when the service might begin operating.

Island Ferry was up against Riverside Marine (V2V Vacations). Dumas said Island Ferry is proposing a commuter-style service while the other group had a tourism theme.

If Island Ferry’s plan is not successful, V2V remains in the running, he said.

The choice of Island Ferry was jointly announced by Nanaimo, the port and the Snuneymuxw First Nation, following a consultant’s review of proposals.

Clipper Navigation had been interested, but dropped out in September saying fares would not cover operating costs.

The city and port agreed in December 2015 to issue a request for proposals, which was followed by an expression of interest in March. Dumas said it is disappointing that the process has taken this long.

Ernst and Young will look at such matters as how the service would operate, finances and ships. The goal is to arrange a lease with the port.

Bill Corsan, City of Nanaimo manager of real estate, said in addition to the lease, a successful company is expected to engage with the Snuneymuxw First Nation.

David Marshall of Island Ferry said: “We are delighted to have been identified as the preliminary preferred proponent.”

However, “we are still concerned it has taken 13 months to get here. To be honest, we expected the results of their work would be to start lease negotiations sooner rather than later.

“But it now looks like those discussions won’t take place for some additional period of time until this next phase of due diligence is done, however long that is going to take.”

The company has expected due diligence would be part of any lease negotiation, Marshall said.

Lease negotiations, including details of infrastructure at the port, and due diligence could be done in tandem, he said.

Island Ferry has two 42-metre-long catamarans under construction in Asia, Marshall said. He would not be more specific about their location. They should be ready for sea trials in April or early May.

Each would be able to carry 376 passengers, have an operating speed of 37 to 38 knots, and do the Nanaimo-Vancouver trip in 68 minutes, he said.