Bay Ferries will charter the high speed boat, built to carry passengers and freight between the Hawaiian Islands, from the U.S. Navy to operate between Portland and Yarmouth, Nova Scotia.
A high speed ferry built to carry passengers and freight between the Hawaiian Islands that proved so controversial that it was forced to withdraw from the trade will now operate between Portland, Maine and Yarmouth, Nova Scotia.
Canada’s Bay Ferries has signed a deal to charter the ship, originally known as the Alakai, from the U.S. Navy’s Military Sealift Command. The ship, a catamaran, has been renamed The Cat.
The Province of Nova Scotia said in a statement it has reached a 10-year agreement with Bay Ferries to manage and operate the service.
The province will provide annual funding for the ferry service, including marketing, at $10.2 million for the first season and $9.4 million for the second. There will also be $4.1 million for start-up costs that will include terminal upgrades and $9 million towards the ferry’s retrofit, in lieu of two years of charter fees.
“This long-term support for a solid ferry operator provides stability and predictability for Nova Scotia businesses and tourism operators from all across the province,” said Transportation and Infrastructure Renewal Minister Geoff MacLellan. “The Yarmouth Ferry is a vital link in Nova Scotia’s transportation system. It is as essential as the TransCanada highway.”
Hawaii Superferry built two high speed ferries, the Alakai and Huakai, to operate between the Hawaiian islands, but was unable to do so after opposition by environmentalists. The cost of building the two ships was estimated at $178 million and the U.S. Maritime Administration committed $139.7 million for a Title XI loan guarantee in January 2005. Only one of the two ferries ever sailed and it was only for a short period.
The company eventually went bankrupt and defaulted on the Title XI loan guarantee that MarAd had given it. MarAd bought the ships back for $35 million.
The ships were built by Austal USA in Mobile, Ala.. Powered by waterjet engines, the catamarans can each carry 288 cars and 866 passengers.
New home for Hawaii Superferry: Gulf of Maine
