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PERFORMANCE & ACCOUNTABILITY Annual Reports of British Columbia Ferry Services Inc. & BC Ferry Authority and Business Plan 2018-19 CONTENTS WELCOME Message from the Chair 4 Message from the President 5 Our leadership team 6 Our vision, mission, values 8 Our year in review 10 EXECUTIVE SUMMARY BC Ferries by the numbers 12 Safety and performance 16 How we sustain a safe and reliable service 22 WHAT WE BELIEVE, OUR ACHIEVEMENTS, WHAT’S NEXT FOR 2020 1 Customer and community centred 24 2 Prepared for the future 28 3 An employer of choice 32 4 A leader in the transition to a more sustainable future 36 5 A significant contributor to the BC economy 40 6 Innovative and continually improving 44 BUILDING A FLEET FOR THE FUTURE How our company is governed 48 The Skeena Queen Our capital plan 50 at Fulford Harbour Terminal, Salt Spring Island. Forward looking statements 54 Connecting the Southern Gulf Islands and Vancouver Island. Incorporates the Annual Reports of British Columbia Ferry Services Inc. and BC Ferry Authority for the year-ended March 31, 2019 and the Business Plan of BC Ferries for the year-ended March 31, 2020 WELCOME | MESSAGE FROM THE CHAIR The past year has been an extremely busy one for BC Ferry Services and the public. The Board of BC Ferries ensures a succession plan is Inc. (BC Ferries). Traffic volumes are at record highs, the company in place for the CEO and key members of management, and reviews has undertaken a range of planning initiatives for major terminal the goals and strategies developed by BC Ferries in light of emerging upgrades, and has developed a comprehensive capital plan to risks and opportunities. ensure BC Ferries continues to provide exceptional service to our The members of BC Ferries’ Board are independent of management, customers and communities. Recognized as a leader in environmental and meet quarterly to review financial objectives, and the progress stewardship, BC Ferries is reducing our carbon footprint as we the company is making towards its strategic goals and objectives. transition some of the fleet from diesel to liquefied natural gas (LNG) Directors ensure the company always keeps sight of its core values: and ultimately, to electric power. Through these efforts and other safe and reliable service, environmental leadership, well-managed environmental initiatives, the company has earned Green Marine operations and is fiscally prudent. We work to ensure BC Ferries is an certification for the fifth year in-a-row. employer of choice and a company that works in the public’s interest, The Directors of BC Ferries serve as stewards of the company, always putting people at the centre of every decision we make. primarily responsible to set strategy, which focusses the company’s On behalf of the Board of Directors, I would like to thank all our activities, and to ensure all major issues affecting BC Ferries are employees for their continued commitment for delivering on our given proper consideration. The British Columbia Ferry Authority goals and objectives. This document speaks to the valuable work is the owner of BC Ferries and appoints the Directors of BC Ferries. BC Ferries completed and initiated over the past year, in service of our The Boards of both organizations work collaboratively to meet our customers and the communities that depend on reliable, safe marine respective responsibilities. To do this, we consider the interests of transportation. those who rely on the coastal ferry system; customers, communities, JOHN A. HORNING CHAIR OF THE BOARD OF DIRECTORS BRITISH COLUMBIA FERRY SERVICES INC. 4 | BRITISH COLUMBIA FERRY SERVICES INC. MESSAGE FROM THE PRESIDENT & CEO Welcome to the first edition of BC Ferries’ Performance and each year, as well as significantly reduce operating costs. BC Ferries Accountability Report. We have compiled the information in this now has five ships that operate on cleaner natural gas – the two Spirit document to provide our customers, the communities we serve, and Class and three Salish Class ferries, more than 22 per cent of our fleet the general public with a transparent accounting of our performance capacity. over the past year. Progress is occurring in other areas, too. The Baynes Sound Connector, BC Ferries employs more than 5,000 dedicated staff who ensure our cable-ferry that travels between Buckley Bay and Denman Island, coastal communities that depend on marine transportation have has dramatically reduced that route’s environmental impact, dropping safe and reliable service throughout the year. We welcome visitors fuel consumption and associated air emissions by about 50 per cent. to the province as they are an important part of BC’s tourism Later in 2019, BC Ferries will introduce the world’s most advanced economy. Island communities depend on BC Ferries to transport and electric battery hybrid ferries to serve inter-island routes. deliver goods and services, as well as transport residents to school, We know our customers want us to move quickly to all-electric ships. appointments and work. We do, too. However, the technology is not yet ready. We need to This past year, we experienced strong traffic volumes – 22.3 million balance our responsibility to maintain reliable, affordable service, passengers and 8.9 million vehicles – some of the highest numbers in while adopting clean technology. Before we can achieve a large- the company’s history. Given the number of passengers and vehicles scale transition to all-electric, we need stable technology and an we transport, we take seriously our responsibility for safe, reliable, affordable supply of power. We don’t think we are far away from that efficient and sustainable marine transportation, and have set as a goal reality, and are designing our new vessels to be “future ready”. to improve further our environmental stewardship activities. Being a leader in meeting the public interest is just one of our In the past year, we have made serious progress towards this goal. priorities at BC Ferries. This document provides an accounting of our We have expanded the use of liquefied natural gas (LNG), which other priorities: working to ensure we are customer and community emits significantly lower GHGs compared to ultra low-sulphur diesel. centred, preparing for the future and the changes in the way people This past spring, the Spirit of Vancouver Island returned to service will travel, being an employer of choice for our 5,000+ employees, following a successful mid-life upgrade, including switching to LNG. and a significant contributor to the BC economy. We will accomplish The ship is the second Spirit Class vessel to complete the conversion. these goals by listening, learning and leading alongside the We estimate fuel switching to reduce CO2 emissions by 12,500 tonnes communities we serve. MARK F. COLLINS PRESIDENT & CHIEF EXECUTIVE OFFICER BRITISH COLUMBIA FERRY SERVICES INC. 2018/19 PERFORMANCE & ACCOUNTABILITY REPORT | 5 WELCOME OUR LEADERSHIP MARK COLLINS PRESIDENT & CHIEF EXECUTIVE OFFICER TEAM JANET CARSON VICE PRESIDENT, MARKETING & CUSTOMER EXPERIENCE BC Ferries is committed to operating ALANA GALLAGHER in an open and transparent manner. VICE PRESIDENT & CHIEF FINANCIAL OFFICER Our Executive Team understands CYNTHIA LUKAITIS VICE PRESIDENT & CORPORATE SECRETARY the importance of a safe, reliable, CAPTAIN JAMIE MARSHALL sustainable ferry service to people’s lives, VICE PRESIDENT, BUSINESS DEVELOPMENT as well as to the social and economic & INNOVATION well being of BC’s coastal communities. ERWIN MARTINEZ VICE PRESIDENT & CHIEF INFORMATION OFFICER Our leadership team brings strong, GLEN SCHWARTZ diverse expertise and experience to EXECUTIVE VICE PRESIDENT, HUMAN RESOURCES the tasks of planning world-class safe, & CORPORATE DEVELOPMENT affordable, environmentaly and financially CORRINE STOREY VICE PRESIDENT & CHIEF OPERATING OFFICER sustainable marine transportation. We MARK WILSON work to meet the expectations of British VICE PRESIDENT, STRATEGY Columbians, and include our employees, & COMMUNITY ENGAGEMENT the public, and our stakeholders in the decisions we make. 6 | BRITISH COLUMBIA FERRY SERVICES INC. WELCOME OUR VISION, Our Vision MISSION, Where we aspire to be VALUES Trusted, valued Everything we do at BC Ferries is framed by our Vision and Mission. Our Mission We strive to become trusted How we will get there and valued by our customers, We connect communities and customers stakeholders, shareholders and to the people and places important employees. We know we are in their lives expected to do more than provide marine transportation: we connect communities and customers to the people and places important in their lives. 8 | BRITISH COLUMBIA FERRY SERVICES INC. Our Values The principles which guide our actions and decisions SAFE Safety is our highest value RESPECTFUL Respect is paramount in our interactions with others CARING We operate from a position of kindness and empathy for those who travel SUSTAINABLE Our environmental, social and and work with us economic impacts are central to the business decisions we make HONEST We conduct business with integrity, honesty and accountability COLLABORATIVE We collaborate with others to enhance the customer experience WELCOME OUR YEAR IN REVIEW BC Ferries is one of the largest ferry operators in the world. For For some of our customers, BC Ferries is their only transportation almost 60 years, we have proudly provided safe, efficient, year-round option, while many other customers have a choice – whether to travel travel up and down the west coast of British Columbia. We offer to a destination we serve, and whether to travel with BC Ferries. more than just marine transportation. BC Ferries provides an essential Our key priorities are fare affordability, travel certainty, reliability link that connects coastal communities and facilitates the movement and ensuring every customer feels they receive value for the money of people, goods and services. they spend. BC Ferries began in 1960 with two ships, two terminals, and around We place our customers at the heart of all we do.
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