SUPPLEMENTARY ESTIMATES (A) 2016-17

Standing Committee on Transport, Infrastructure and Communities 30 May 2016

1 • We are an essential service.

• Transport almost all non-air passenger traffic and half of all goods to the island, including 90% of perishable goods and almost all dangerous goods.

• As the continuation of the Trans- Highway, the service is a key economic enabler for the Year-round, daily service from North island and a critical Sydney, N.S. to Port aux Basques, N.L. transportation link for Atlantic/Eastern Canada. Seasonal summer service 3 times per week from North Sydney, N.S. to , N.L.

2 CURRENT FLEET MV Atlantic Vision MV Highlanders

MV Blue Puttees MV Leif Ericson

3 4 FLEET RENEWAL IMPACTS

Key Indicators Fiscal 2006 Fiscal 2016 Difference Auto Equivalent Units 509,008 523,144 +2.8% Trips 2,166 1,684 -22.3% Auto Equivalent 235 311 +32.2% Units/Trip

Fuel burn (litres) 40,925,575 32,838,177 -19.8% Onboard Revenue per $20.91 $39.12 +87.1% Passenger Revenue $68,169,193 $107,323,960 +57.4%

5 OPERATIONAL AND FINANCIAL IMPROVEMENTS

Cost Recovery On Time Performance 75% excluding Weather 91% 100% 86% 90% 89% 70% 84% 80% 68% 69% 65% 60% 60% 40%

55% 20%

50% 0% 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16

Revenue/AEU* Operating Subsidy / AEU* (Constant 2009-10 dollars) $220 $235

$200 $225

$180 $215

$160 $205

$140 $195

$120 $185

$100 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16

6 *AEU – Auto Equivalent Unit SUPPLEMENTARY ESTIMATES (A) 2016-17 Project 2016-17 2017-18 Total Mooring System $2,000,000 $6,000,000 $8,000,000 Fender Upgrades $2,400,000 $6,000,000 $8,400,000 Storm Sewer Replacement $1,700,000 $3,635,000 $5,335,000 Total $6,100,000 $15,635,000 $21,735,000

• Mooring System – Advances in mooring system technology offer significant potential gains in employee and vessel safety and risk reduction. Structural engineering design and initial modifications to prepare for installation will take place this year. • Fender Upgrades – Fenders protect the dock and the vessel from damage when docking, and the current system is insufficient with our current fleet of larger vessels. We will complete one dock in 2016-17, with the other three being completed next year. • Storm Sewer Replacement – The system handling rain water and ice and snow run-off at the Port aux Basques terminal is very old and needs to be replaced for safety and environmental reasons. Portions of the system will be replaced this year, with the remainder being completed next year.

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