BC Ferries fares may be hiked again
Posted October 1, 2012 12:19 pm.
This article is more than 5 years old.
VICTORIA (NEWS1130) – It will likely cost you more to sail with BC Ferries beginning April 1st, 2013. The Crown Corporation has been given approval to raise its fares by about 12 per cent over the next three years.
Commissioner Gord Macatee breaks down the numbers.
“The price cap we provided for the next three years is 4.1 per cent, 4.0 per cent and 3.9 per cent. Those compare to the preliminary decision that was made in March 2011 at 4.15 per cent and 8.23 per cent per year.”
He adds it is significantly lower rate, however, there is still a concern about low ridership. “If ridership does go down, those capital costs are fixed and they have to be paid regardless of how many people ride the ferries.”
Approval from the independent regulator also comes with a goal aimed to find more than $54 million in efficiencies, including service cuts.
Macatee is responsible for setting and enforcing the fare cap, which also allows fares to rise and fall depending on fuel costs.
Last spring, the Liberal government passed the Coastal Ferry Act, which provides the company with $80 million to keep fares in line, but seeks $30 million in service cuts.
BC Ferries’ year-end financial report included losses of more than $16 million, with vehicle traffic at a 13-year low and the fewest passengers in 21 years.
