The B.C. transportation ministry says it is changing project managers for the new Kootenay Lake ferry, which will be four years late and at least $54 million over budget by the time it begins operations in 2027.
Western Pacific Marine, which operates two ferries on Kootenay Lake, was awarded the new ferry’s contract in 2021. At the time, the ferry construction was due to be completed by 2023 on a budget of $63 million that also included terminal improvements.
The ministry now says the ferry, which is meant to replace the 71-year-old MV Balfour, will be completed in late 2026 and operational in 2027 at a budget of $117 million.
The Ministry of Transportation and Transit said in a Dec. 3 announcement it is “exercising its step-in rights under the design-build agreement to complete the work” after what it described as “challenges with project delivery by Western Pacific Marine.” It is now in the process of hiring a new project management firm.
When asked by the Nelson Star, a transportation ministry spokesperson did not specify what issues with Western Pacific Marine’s management prompted the change.
Odai Sirri, general manager of Western Pacific Marine, declined to comment when contacted for this story, citing a non-disclosure agreement with the ministry.
Work on the new vessel at a temporary shipyard in Nelson has been complicated by what the ministry says are delays unique to its construction, such as the inland location of the construction site where most of the steel work and assembly are occurring outside. The ministry has also said the ferry and terminals are being prepped to run solely on electric power by 2030.
But it isn’t clear what issues with the construction will be solved by the change in contractors.
“The ministry included accountability measures in the design-build contract, ensuring the contractor is responsible for delivering the vessel within the agreed budget and scope. The contract also provides the ministry with rights to take direct action to address events of default.”
Western Pacific Marine meanwhile still has a contract with the province for the project. The ministry spokesperson did not say what role, if any, the company will have in the construction of the ferry going forward.