Tag: ferries

Hyundai Mipo Shipyard Chosen to Build New Interislander Ferries

December 28, 2020 / WIL BALDWIN

KiwiRail has named world-renowned Hyundai Mipo Dockyard (HMD) based in Ulsan, South Korea as its preferred shipyard to build the two new Interislander ferries.

KiwiRail Chief Executive Greg Miller said the decision to work with HMD was a significant step forward for the new Interislander project and the culmination of a robust, competitive, year-long selection process.

“Our ship procurement team and the evaluation panel, including naval architects, ship brokers and maritime lawyers, have undertaken a rigorous process to select the right shipyard and this announcement, on schedule, is a great end to the year for our team,” Mr Miller said.

“KiwiRail has specified a Makers’ List of components – predominantly American and European, including the engines, propulsion system and navigation system – to ensure the new ships will serve New Zealand well for the next 30 years.

“The two new ferries and the upgraded terminals in Waitohi Picton and Wellington are a major investment in the future of the Cook Strait freight and passenger services, with a significant taxpayer contribution. It’s crucial that we deliver the best outcome for New Zealand and for our passengers and customers and with the selection of HMD shipyard, I am confident we have achieved that.”

Once commissioned and built, the two new ferries will replace KiwiRail’s three ageing Interislander ferries,which are nearing the end of their working lives. KiwiRail operates around 3800 services a year, transporting about 850,000 passengers, 250,000 cars and up to $14 billion worth of freight, but with significant growth predicted.

New terminals and berths in Waitohi Picton and Wellington are planned to accommodate the new ferries and improve the Interislander service for customers and staff.

HMD is the world’s sixth-largest shipbuilder globally with decades of experience building complex ships, including HMNZS Aotearoa for NZDF.

It is over 20 years since New Zealand introduced a brand-new purpose-built ferry to its fleet. Once built, the two new ferries will be more efficient and support KiwiRail’s goal to reduce carbon emissions by 30 per cent by 2030 and be carbon neutral by 2050. The new ferries will be designed to use different energy sources through their life if these are available in New Zealand, and at day one will provide for battery operations when docking and plug into local power supply at each port.

The Government committed $400 million in Budget 2020 to the New Interislander project, building on a $35 million-dollar investment in Budget 2019.

Massimo Soprano, Ships Programme Manager at KiwiRail, said the selection process had been highly competitive with some of the best shipyards in the world putting in tenders for the contract.

Mr Miller said that despite the complexity and number of parties involved in the purchase of the two new ferries and the terminal upgrades in both Waitohi Picton and Wellington, things were progressing well with the new Interislander project.

A Letter of Intent (LOI) has now been signed with HMD. A LOI is a non-binding agreement that allows KiwiRail and HMD to progress to more detailed contract negotiations and is a normal step in the procurement process for large-scale ship building.

KiwiRail to Resume TranzAlpine Service on July 4th

June 29, 2020 / WIL BALDWIN

KiwiRail is delighted to announce the return of its acclaimed TranzAlpine train service between Christchurch and Greymouth.

“I’m excited to be able to say that this award-winning train, which last ran on March 22 before the lockdown, will be back from July 4,” KiwiRail Group Chief Executive Greg Miller says.

“We will resume with a weekend and school holiday timetable in July and August as KiwiRail continues to assess demand in a difficult season for tourism, with borders still closed to international visitors.

“We’re conscious of how important this service is to the West Coast economy and we’re looking forward to bringing visitors to the Coast again, allowing them to see the snow-capped Southern Alps along the way.

“This will be an ideal time for New Zealand families to try something new, and together experience what Lonely Planet has described as one of the world’s 10 most amazing rail journeys.”

During July and August, the TranzAlpine will run on weekends, departing Christchurch at 8.15am, and spending an hour in Greymouth before leaving at 2.05pm on Saturdays and Sundays. It will also run every day of the school holidays, July 6-17 inclusive, on the same timetable as weekends. KiwiRail hopes this will be an opportunity for families to share this unique experience. All fares will be changeable, fully refundable and available at the winter special rate of $75 per seat one way.

Opening the TranzAlpine is KiwiRail’s priority for its scenic train services which, on average, have more overseas than domestic customers. The company also operates the Coastal Pacific train between Picton and Christchurch, which does not run during winter, and the Northern Explorer between Auckland and Wellington which is not currently considered financially viable. No decisions have yet been made on the return of the Northern Explorer and Coastal Pacific. KiwiRail also runs a commuter rail service between Palmerston North and Wellington, which resumed in late April.

“Covid-19 has taken a heavy toll on tourism everywhere and unfortunately, like other tourism providers, KiwiRail and the communities we serve have suffered the impact,” says Mr Miller.

“We have utilised this downtime to look at exciting opportunities and options, including offering different classes of service onboard the TranzAlpine, beginning this spring. We are confident we can serve the market at different levels with an enhanced service for those who want something extra, while still ensuring more accessible fares are also on offer.”

The booking system at www.greatjourneysofnz.co.nz/tranzalpine/ is open now for TranzAlpine bookings in July and August, and bookings will open shortly for September and beyond. KiwiRail will be contacting those people who have bookings on services that have been cancelled. Those people already booked on the Northern Explorer – which has very light advanced bookings – will be given a 100 per cent refund or, if they prefer, a letter of credit. People booked on the TranzAlpine on days when it will not now run can choose to be rebooked, or receive either a 100 per cent refund, or a letter of credit for a future booking.

In addition, anyone with an existing booking on the TranzAlpine for one of the winter weekends or the July school holidays will receive a refund of the difference between the higher fare they paid, and the new winter special rate of $75 per seat. For example, if you have already paid $150 for a ticket on the TranzAlpine, we’ll either refund you the $75 difference, or give you a voucher for $75 to spend onboard, or you could use the difference to buy another ticket for a friend or family member.

“We know that our customers all look forward to their trips with us, just as we look forward to serving them. We apologise to affected customers for any inconvenience as we urgently consider how to make long-distance train journeys more attractive, more diverse and more financially sustainable.

“Our Interislander ferries and scenic trains play a significant role in New Zealand’s tourism sector but 2020 has turned out to be difficult for all operators. We are focussed on our return, and on better days ahead.

“We’re working hard on options and opportunities, are looking forward to making further announcements. In the meantime, we will welcome families and holidaymakers aboard the TranzAlpine from Saturday, July 4.”

Next Step for New Generation Interislander Ferries

May 28, 2020 / WIL BALDWIN

KiwiRail is taking the next step to procure a new generation of Cook Strait ferries which will increase the capacity on this vital transport link, and increase its resilience.

A Request for Proposal (RFP) to find a preferred shipyard to build two new ships for the Interislander is being issued today, the next step in the procurement process.

“The new ships will strengthen and enhance the vital transport link between the North and South Islands and represent a once-in-a-generation opportunity to transform the Cook Strait crossing,” Group Chief Executive Greg Miller says. The ferries are extensions of State Highway 1 and the Main Trunk Line across Cook Strait, linking road and rail networks between the two islands.

Currently, Interislander operates a fleet of three ferries, moving some 800,000 passengers and up to $14 billion worth of road and rail freight between the North and South Islands each year.

The $400 million contribution in Budget 2020 has enabled KiwiRail to go out to international tender to build the new ships, which are intended to arrive for service in 2024 and 2025. When the ferries are delivered, it will be over 25 years since New Zealand last introduced a brand-new purpose-built ferry to its fleet.

The $400 million towards the ferries and KiwiRail’s infrastructure at the ports in Wellington and Picton builds upon a $35 million-dollar investment in last year’s Budget for ferry design and procurement work.

The two new ferries will be technologically advanced, have significantly lower emissions, a greater carrying capacity – including rail wagons – and provide an enhanced visitor experience, Mr Miller says.

“On behalf of New Zealanders, we are grateful to the Government for enabling this acquisition,” says Mr Miller. “It is exciting to issue this RFP, to move the project forward and to find a shipyard to partner with KiwiRail to deliver the ships to our specifications, quality and timeline requirements.”

“Only overseas shipyards have the ability to build ferries of the size and standard needed for the Cook Strait. However, the project also involves new infrastructure including terminals, linkspans, and marshalling yards which will create numerous Kiwi jobs in Picton and Wellington. Community engagement has already begun in Picton for the proposed new terminal there.

“We are engaging our Interislander staff in the design of the ferries to ensure the ships are not only great for passengers, but also for those who work on them.

“Our new ferries and the associated port infrastructure will provide greater resilience for this crucial link that unites our country and will serve New Zealand for the next generation and beyond.”

Kiwi Rail Plans $1.2 Billion Investment to Rebuild New Zealand

May 18, 2020 / WIL BALDWIN

The Government’s $1.2 billion rail investment in Budget 2020 will help KiwiRail attract more customers and get more freight on rail, KiwiRail Group Chief Executive Greg Miller says.

Building on the Government’s $1 billion investment in Budget 2019, this second round of funding includes $400 million towards replacing the aging Interislander ferries and $421 million to continue the replacement programme for some of KiwiRail’s oldest locomotives.

The funding also includes $246 million, plus a $148 million top up of the National Land Transport Fund, towards ensuring New Zealand’s rail network, which includes more than 3000km of track, more than 1000 bridges and nearly 100 tunnels, is reliable and resilient.

“I welcome this substantial funding, which is another major boost for rail in New Zealand. For our customers this investment sends a clear signal that rail has a big future and gives them the confidence to get on board,” Mr Miller says.

“Our customers want to make greater use of rail and we’re seeing more road operators reach out for our support as their networks contract. We’re here to help them.”

“The Government’s investment allows us to continue with our locomotive replacement programme and raise the standard of our rail lines, bridges and tunnels across the country. This will enable KiwiRail to offer better and more reliable train services for our customers, and move more of New Zealand’s growing freight task onto rail.

“This funding recognises that rail has a greater role to play in New Zealand’s transport sector, and that it can make a valuable contribution towards lowering our transport emissions, reducing road congestion and saving in road maintenance costs – which benefits our nation as a whole.

Fifteen new Gen 2.3 DL locomotives depart KiwiRail’s Mt Maunganui yard, shortly after arriving at the Port of Tauranga, in 2018.

“The range of track renewal and facility upgrades we are planning will also support our workforce of almost 4000, as well as numerous civil contractors and material supply businesses across the country.”

“I’m very grateful to the Government for this level of support and I know that KiwiRail’s customers will be pleased by this demonstration of our shareholder’s commitment to rail.”

Mr Miller says the $400 million contribution to replacing Interislander’s three aging ferries and necessary landside infrastructure highlights how important the ferry connection is to New Zealand.

“Our Cook Strait ferries are an extension of State Highway 1, moving 800,000 passengers and up to $14 billion worth of road and rail freight between the North and South Islands each year.

“They are a must have for NZ Inc. The two new rail-enabled ferries will be more advanced, have significantly lower emissions and last for the next 30 years.

“This is a once-in-a generation investment and I am thankful for the Government’s support. It gives us the security to go out to international tender to build the ships, which we hope to see arriving on our shores in 2024 and 2025.”

Hyundai Mipo Shipyard Chosen to Build New Interislander Ferries

KiwiRail to Resume TranzAlpine Service on July 4th

Next Step for New Generation Interislander Ferries

Kiwi Rail Plans $1.2 Billion Investment to Rebuild New Zealand

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