THAT SINKING FEELING

BC Ferries Slams Islands Communities With Another Fare Increase

By
William Thomas



It's official ferry fans, BC Ferries Corp. raised ferry fares on the Denman-Hornby and other short-haul Southern Island runs a whopping 18% on August 1, 2008. But continuous fuel surcharge increases are allowed every three months under the Coastal Ferries “Hijack” Act. ) In effect, this hidden tax on all ferry users spells doom for Ferry and Tourist-dependent communities.

Already, the most-often repeated remark by longtime visitors reeling from the latest fare hikes for the 8-minute run from Denman is: “I won't be coming to Hornby again.”

But Transport Minister Kevin “Boo Hoo” Falcon remained unfazed by the havoc unleashed by his government on hostage island communities.

On a July 23 CKNW radio show, host Christy Clark commented: “There have been eight fare hikes over the last five years. In some routes that means an over 80% increase in fares since you have been in government. When is enough enough?”

Attempting to duck the question, Falcon revised it, suggesting, “I guess the question really becomes: Is the government, the Province, doing enough on behalf of island-dependent communities?”

Here was a new twist! All this time, we thought we were ferry-dependent communities.

“That's the nub of the debate,” Falcon ventured on into perilously deep waters. “Now we provide $150 million each and every year to subsidy minor routes and northern routes and try and keep fares affordable, and that is a substantial amount of money, and I get that people think we should spend a lot more but, you know, it gets very, very expensive very, very quickly.”

“Well, you are spending 14 billion dollars on a rapid transit plan for the lower mainland,” Ms. Clark came right back. “You've got billions going into the Gateway project that will make it easier to get to your constituents, among others, out in Surrey, Minister. Why are you allowing all these increases to be borne solely by ferry users?”

But we're borrowing billions to pay for the new fuel-guzzling “Super C” behemoths, Falcon reminded his host - neglecting to add that that the two new ships made $70 million each last year, according to internal BC Ferries figures. If these ships, with their immensely profitable concessions, had not been “decoupled” from revenue sharing with the so-called “minor” routes at the stroke of Falcon's pen, the southern islands would not be strangled now. Even as 14 mainland and Interior ferries continue to connect for free to expensive-to-build-and-maintain public highways - also provided without tolls.

“Our cost of fuel has doubled,” Falcon went on. “Last year they were paying $86 million in fuel. This year it's 140 million dollars. That is a big jump, and, you know, someone's got to pay for it.”

“Why not the government?” Clark asked. As governments do in places like Newfoundland and New Brunswick, Scotland and Scandinavia.

“We now provide $150 million a year,” Falcon came back. “To put that in perspective, for the Southern Gulf Islands, part of what they call the Islands Trust area, that's about $59 million a year for 25 thousand people. That works out to a subsidy of over $2,300 per person per year… “
It's also fake reasoning that does not factor in the many thousands of non-island residents who use those ferries every year, contributing not only to the economic vitality of the islands but the entire province, as well.

“I bet you couldn't even tell me what the subsidy is for the people who live in Whistler that are going to benefit from the massive amounts of money your government's spending on the Sea-to-Sky Highway,” Clark responded.

Falcon: “That's true, but the people driving that highway… “

“So how can you make that statement when you can't even tell me that?” Clark wanted to know.

Well, they're paying for their own gas, Falcon finished.

Well, GUESS WHAT? The ferry crossing 1.4 miles of water between Denman and Hornby burns less than 12 liters of diesel for each run. According to crewmembers, ONE VEHICLE PAYS THE ENTIRE FUEL COST of each run. The “fuel surcharge” for each remaining vehicle is nothing of the kind. It is extortion as blatant as the theft of BC's public ferry system by the current government and its American henchman, David Hahn -whose last noted corporate “achievement” was the destruction of Ogden Aviation and the lives of 25,000 employees.

Clark had primed both barrels for this particular bird of prey. “But you haven't increased the subsidy for BC Ferries, though, significantly. When you go out and you spend $14 billion on a transit plan for the lower mainland, that is an increase. You haven't seen the same kind of increase for the ferries. What you've done is you've dumped all those increases are the feet of users,” she said, pulling both triggers.

“Now why is the northern route getting special treatment, getting [more fully] subsidized for their fuel surcharges and the southern routes aren't?” she went on. “Because their fares aren't going up 18%. Their fares are going up zero.”

Falcon: “Well, they're getting some more help because it's a unique situation where they've got a long travel time. It's totally different from the lower mainland and the Gulf islands” - WHERE THE SHORTEST RUNS TO DENMAN AND HORNBY ARE BEING HIT WITH THE BIGGEST FUEL SURCHARGES!

“Now at what point do you think the fares are going to get so high that coastal communities will be harmed, minister?” Clark next wanted to know.

Falcon: “Well, look, frankly I'm a little surprised that you haven't seen a drop-off in ridership. I think there… “

Clark: “Apparently there has been.”

Falcon: “Well, there's been some…”

The tourism barometer used by ferry crews serving Hornby is the July 1st long weekend. Two years ago, there was a seven sailing wait on Canada Day. Last year, a three sailing wait. This year - no sailing wait.

Or how about lunch breaks missed to continuously “shuttle” overflow traffic to Hornby? There used to be 20 a month during the summer peak season. So far this July, there have been two.

“What is the difference in your mind between subsidizing roads out to, for example, Surrey and subsidizing a ferry service on the operating cost for fuel surcharges from Vancouver to Victoria?” Clark pressed.

Falcon: “What is the big difference?”

Clark: “Yeah.”

Falcon: “Well, if you are driving from Vancouver to Surrey, you're spending and you're three hours in traffic. You're going to be burning up a pretty fair chunk of fuel, and you're going to be paying those costs yourself without any subsidy from the government.” Blah blah blah

Clark held the minister to her point: “But you are subsidizing the building of the road. In fact, you're financing it.”

Falcon: “Well, sure, the ferry corporation is financing billions of dollars of improvements to the ferry service too, and… you don't get something for nothing...”

Finally, the truth from Mr. Falcon: This unnecessary fuel surcharge screwing Hornby and her sister islands to the wall is actually a hidden TAX TO PAY FOR THE BIG BOATS STEAMING TO AND FROM VANCOUVER!

Clark: “Show me how much you've increased the subsidy to BC Ferries over the last five years versus the subsidy for the increase for your roads and rapid transit construction budgets.”

Falcon: It's all the NDP's fault.

Is BC Ferries Corp coming to the provincial government asking for more money to help offset rising fuel prices?

Yes, said Falcon.

“Is there going to be any more money from the Province to help bear the burden of these increased fuel costs or is the rest of it all going to go on users, Minister?” Clark pressed.

Falcon: “Well, there's - certainly not in the short term.”

We've got to pay for that big new bridge, and the widened highway out to Whistler, and all those other Olympic costs for a brief blow-out in 2010 that will see airline fares so high, only a fraction of the expected visitors will be coming to BC - and most of those in private jets intruding on the residents of Pemberton.

Are you going to be reducing service on the island runs that have no political clout, Clark also wanted to know.

Yep, Falcon admitted. “Possibly reducing the number of trips to certain of the islands… We'll be as creative as we can.”

While 14 interior and mainland ferries continue to provide service for free.

Responding to Falcon's inanities, Hornby -Denman Ferry Advisory Committee chair Tony Law wrote to the Times Colonist on
July 23, 2008:

”Transportation Minister Kevin Falcon is using a way of accounting for the costs of ferry service that is not applied to any other part of the province's transportation infrastructure. Falcon is resisting any additional provincial contribution towards ferry service by citing how much subsidy is provided per individual Gulf Island resident.

”Such assessments have not been used to limit expenditures on costly roads to serve places like Mount Washington or to address the free ferries operating in the interior of BC. Just like the free ferries, BC Ferries 'minor' routes connect portions of BC's highways system. Just like the free ferries, the coastal ferries are used by British Columbians, not just local residents, to access parts of our province.

”Our mountainous, coastal province does have difficult transportation challenges. The government has not backed away from providing roads to small mountain communities. The same commitment is required to provide access to coastal communities. The governments of both Scotland and Newfoundland have made such commitments to their coastal communities by reducing ferry fares. The BC government has made a commitment to north and mid-coast communities by contributing more money to support their ferry service, realizing it is not sustainable without appropriate provincial support. The same is required for the south coast. The present regime of escalating fares and declining traffic is not sustainable, particularly when BC Ferries has to replace aging vessels and terminals that were neglected when the province ran the system.

”Coastal residents are not expecting a free ride. We do expect fair fares based upon provincial responsibility for a provincial transportation system.”


Two days previously, a dozen FAC chairs had warned: “Surging ferry fares could threaten the viability of BC Ferries' whole system and cause substantial economic and social trauma to coastal communities… as ferry users face new fuel surcharges.”


NOW HEAR THIS
In a July 22, 2008 BC Ferry Commission MEMORANDUM 24A addressed to BC Ferries, Deputy Commissioner Sheldon Stoilen credited the latest opportunity to subsidize runaway expenses on the backs of short-haul ferry users with “the dramatic rise in marine diesel fuel prices” that will have virtually zero effect on the costs of running the Denman and Hornby ferries.

According to BC Ferries' figures the fuel costs for the Hornby run have risen an additional $13 for each round-trip. But BC Ferries continues to purchase its fuel based on older contracts locked into much lower prices. The $6.50-per-run fuel “increases” being used as justification for the August 1st Hornby sailing hikes will not be felt until December!

Better to gouge island residents and riders now, Stoilen basically told cabinet - AND MAKE OUR NEW BOND ISSUES MORE ATTRACTIVE TO INVESTORS BY SHOWING INCREASED REVENUES NOW - than to hit ferry hostages with even bigger fuel surcharges in December.

Plan on more fuel hikes in another three months. And three months after that… until more Hornby residents end up trying to get around dangerous Chrome Island light in leaky skiffs in the dead of winter.

And I do mean, “dead”.

Rock The Boat is promising a response that goes beyond placard-waving. To learn more, contact your nearest Rock The Boat representative.Or use this contact link here.

Photos by William Thomas