Falklands : New Freight Rates Approved by Executive Council
Submitted by Falkland Islands News Network (Juanita Brock) 01.04.2008 (Article Archived on 15.04.2008)
Cllr Rendell briefed the media on new freight rates for Concordia Bay, due to arrive in June.
NEW FREIGHT RATES APPROVED AT EXECUTIVE COUNCIL
By J. Brock (FINN)
At Executive Council held on Wednesday, 26 March 2008 Councillors had quite a long discussion about freight rates on the Ferry. According to Cllr Rendell, who briefed the press shortly after the meeting concluded, said that Councillors realised it was an important issue, especially on the outlaying islands. And, he then outlined the arrangements.
1. Freight rates and the frequency of service to the islands will remain at the current level at £34.10 per cubic metre
2. The frequency is six weeks
3. Essential deliveries to places if they have difficulties in the winter will be provided if necessary
4. It was agreed that freight should go to Fox Bay on the 6-weekly service when the vessel sails from Fox Bay with fuel. Councillors could not accept that it would be right to require freight for West Falkland to go anywhere else (But the West Ferry Point). A commercial opportunity would be diminished as a result but Councillors felt their primary responsibility was to provide the most Cost-effective service as possible to people on West Falkland. More than 50% of the freight goes to Fox Bay and it wouldn’t make any sense at all not to put the bulk if it on the vessel
5. There was a discussion about commercial vehicles that were under 6 metres in length and it was agreed that no extra charge should be put on those vehicles.
6. A single ferry fare will be 50% of the return fare
7. Fuel delivery charges will remain at 1p per litre
8. FIDC will be instructed to arrange an interim consolidation service to the islands, excluding West Falkland, to keep the freight rate to the end user on the Islands at the same rate as it is at the moment.
9. Councillors want to continue to encourage the private sector to provide a consolidation delivery service as much as possible. Potential bidders for that business had wanted to see what the freight rates were before deciding what to do.
10. Wool freight rates for the Western Islands will be decided on later because there are disparities and Councillors want to make it as effortless as possible. More work needs to be done.
Councillors were aware of discussions that had taken place at public meetings held about proposed rates and the Ferry Service in general. There shouldn’t be any disappointment as the freight rates will remain essentially the same. In particular, Fox Bay will receive a freight run every six weeks as well as a 3 times a week service on the ferry at what Councillors believe to be very good rates. Councillors are optimistic that the outcome will be good for users of the service.
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