Marlborough Mayor Nadine Taylor has welcomed the agreement reached between Ferry Holdings, Port Marlborough, CentrePort and KiwiRail on the new ferries’ infrastructure scope, announced by Rail Minister Winston Peters in Picton this morning.

“Confirmation that the Dublin Street overbridge will be built and paid for by central government as part of the wider project is great news for Picton and the Marlborough region.”

“I’d like to thank Minister Peters for coming here today and showing his commitment to the ferries project and securing a fair deal for Marlborough residents and ratepayers.”

Minister Peters said this morning the agreements set out the scope of physical work and equipment to be delivered by 2029 when the new ferries arrive, with port and KiwiRail agreements to be entered into later this year to confirm the funding arrangements between Ferry Holdings and each company, and associated commercial terms.

“We will now revisit the previously approved on-lending arrangement whereby Council would borrow from the Local Government Funding Agency a loan of up to $110 million, on behalf of Port Marlborough.”

“Although the previous loan agreement was never drawn on, it remains a prudent, cost-effective financing option for regional infrastructure of this scale. The approach provides access to lower interest rates than commercial lending, supports timely delivery of the project, and enables Port Marlborough to continue returning prosperity to Marlborough via its annual dividend to its shareholder, Marlborough District Council,” Mayor Taylor said.

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“My intention is that the loan is entirely cost neutral for ratepayers. We will now explore whether a new loan arrangement requires public consultation, and if so, when that consultation will occur.”

Today’s announcement confirmed the following for Picton:

Port Marlborough delivering:

• Construction of a new wharf to accommodate the larger, rail-enabled ferries
• New linkspan to connect the ferries to the terminal and landside infrastructure
• Upgrades to the existing terminal interface, reusing passenger and commercial vehicle facilities

Other project information

• The new terminal building to be renovated for longer term use
• Reuse of as much of the existing rail yard as possible
• Relocation and reuse of the existing passenger walkway
• Construction of a new overbridge at Dublin Street, separating road and rail to improve safety and efficiency.

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