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HomeNewsPeters: Rail ferries enter final procurement stage

Peters: Rail ferries enter final procurement stage

Times Team
By Times Team
September 3, 2025
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Rail Minister Winston Peters. File photo supplied.

Ferry Holdings has secured the preferred supplier of two new ferries to serve passengers, road and rail in New Zealand for the next 30 years, Rail Minister Winston Peters says.

“Nobody can accuse us of a lack of pace when Ferry Holdings is delivering a multi-year procurement process within nine months,” Peters says.

“Ferry Holdings has conducted wide market engagement, led a closed tender process with six shipyards, and has now signed a letter of intent with the preferred ship builder to start the final stage of technical negotiations.

“The letter of intent is a key milestone in any procurement process as it means the two parties are on the same page for the deal and can now iron out the technical points before signing later this year.”

Peters says the shipbuilder and Ferry Holdings have agreed a fixed price, completion in 2029, and full delivery of ship specification for 200-metre-long ferries with road and rail decks, room for 1,500 passengers each, and an “extraordinary” 2.4km on each ferry of lanes for trucks, cars and 40 rail wagons.

“The shipyard will be named once the contracts are signed, and we thank the other five shipyards for their competitive engagement throughout this process.

“This deal builds on more than six decades of Interislander serving New Zealand on the Cook Strait and readies the Strait for another 30 years of service.

“In a few short months we will show the taxpayer exactly how we have saved them billions by returning to the no-nonsense ferry replacement solution that was supposed to happen in 2020 but was so wantonly disregarded between 2021 and 2023.

“In Tasmania, two ferries arrived with nowhere to berth and had we followed the previous Government’s mismanaged course we would have spent $4 billion to have exactly the same outcome, but thankfully commonsense is at the helm again.”

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