by Allan Drummond In 2014 BC taxpayers and guest riders provided approximately $800 million in revenue to BC Ferries. This subsidy from the government that Kirk Handrahan, executive director of the marine branch, talks about in his letter to me (see below) is a “drop in the bucket” compared to the revenues charged to ride the ferries. “Our largest revenue source is vehicle and passenger tariffs” reads BC Ferries’ 2014 published Financial Statements.
While I do not dispute the fact that the ferries cost a considerable amount to operate, what I do dispute is the exorbitant fees that are charged to use what is in essence a major, essential, economic transportation highway.
What the users of BC Ferries are essentially being asked to do is pay an ongoing toll indefinitely. The highways in this province cost billions to build and millions more each year to maintain, yet the users of these highways are not asked to continually pay a toll in perpetuity for using them. While there have been tolls on some highways for a period of time (Coquihalla, as an example, $10 on average for 20 years) most roads in the province are paid for and maintained by the ministry of transportation and infrastructure (MOTI) on behalf of the taxpayers. The coastal ferry system is an integral part of the economy of BC, a fact I am sure no one will dispute, including the government. This is a transportation system that should be managed as part of MOTI. At this point I will remind everyone in Powell River that the ferry between Powell River and Little River used to be run by the ministry of transportation many years ago.
Handrahan responded to my letter, which was also printed in the Peak, December 10 “BC Ferries versus fresh water ferries.” He wrote:
“The vessels and terminals in the coastal ferry system are larger, sustain increased wear from salt water, and are significantly more expensive to operate and maintain. BC Ferries spent over $740 million to provide coastal ferry services during 2013/14, whereas the inland ferry services were provided by the ministry at a much lower cost of $26 million.
“Provincial taxpayers are providing approximately $23 per vehicle to support travel on the coastal ferries, while the provincial taxpayer support for the inland ferries is lower, at $19 per vehicle. As such, the taxpayer contribution toward both services is comparable.”
Should there be modest fees? Yes, there should. Should there be fuel surcharges? Absolutely not. This should be absorbed by the government. Every single British Columbian already pays a Carbon Tax when they fill up their vehicle, so these taxes should more than offset fuel price increases for the ferries. In essence, we have a major transportation route that we are held hostage to by a Crown Corporation that has as its major shareholder the provincial government. Do the ferries lose money? Yes some routes do, but others are profitable. Do highways lose money? Yes they do if you consider the cost of maintenance year after year on the many thousands of kilometres of public highways in this province. Taxpayers recognize that this is the cost of infrastructure and, as such, a necessity. The coastal ferries are a necessity and should be subsidized as a key component of the BC transportation infrastructure just like highways, inland ferries, and more.
Allan Drummond has lived and worked in Powell River for 48 years and just recently retired.
