$2.3 billion Saved On Ferries Welcome Relief for Taxpayers

The Taxpayers’ Union is welcoming today’s announcement of a new Cook Strait ferry plan that finally brings the project back under control. Rail Minister Rt Hon. Winston Peters has confirmed an overall cost of $1.86 billion for two new rail-enabled ferries, $2.3 billion lower than the previous $4 billion mega-project.

Taxpayers’ Union spokesman, Rhys Hurley said:

“This is a much more sensible and affordable plan than the multi billion-dollar blowout under the previous iReX scheme. Credit where it’s due, cutting out the gold-plating, resetting the scope, and forcing a return to basic value-for-money has saved taxpayers from a catastrophe.”

“Today’s announcement shows what happens when officials, ports, and ministers stop dreaming and start delivering. A fixed-price ship contract, maximum reuse of existing infrastructure, and a focus on getting the basics right is exactly what taxpayers expect.”

“However the core issue remains untouched: even a well-managed $1.86 billion programme is still enormous. The long-term answer isn’t for governments to buy new ferries every 30 years, with Bluebridge already demonstrating tjhat the private sector can run the Cook Strait perfectly well.”

“Today’s announcement is a big improvement, but the real win for taxpayers will be when the ferries are no longer a political project at all.”