News release

Governments Invest in Continued Operation of the Digby-Saint John Ferry Service

The Digby-Saint John ferry service will continue operating until 2011 with further investments from the governments of Nova Scotia, New Brunswick and Canada.

The two-year extension allows more time to investigate a possible long-term solution and look at the transportation requirements for the entire southwest Nova Scotia region.

"The governments want to sustain the economic ties that we have built over the years through the ferry service," said Environment Minister Mark Parent on behalf of Economic Development Minister Angus MacIsaac. "With this funding, we continue to provide a safe and reliable service, and maintain important economic and tourism links within our region and within the country."

The governments of Nova Scotia and New Brunswick will each contribute an additional $2 million and the government of Canada will invest $11.1 million to ensure the Digby-Saint John ferry service continues to run until Jan. 31, 2011.

"We recognize the importance of the ferry to the economy. We have listened to community and business leaders who rely on these important assets and delivered results for them and the people of Nova Scotia and New Brunswick," said Peter MacKay, Minister of the Atlantic Canada Opportunities Agency (ACOA), on behalf of Lawrence Cannon, Minister of Transport, Infrastructure and Communities.

Mr. MacKay said the two-year extension to the ferry service will be used to assess commercial transportation alternatives and economic strategies, should the ferry service be discontinued in the future. ACOA, working with its provincial government partners, will invest up to $1 million for this assessment.

The Digby-Saint John ferry service received $8 million in government funding in 2006, including $2 million from Nova Scotia. The province also invested up to $4.4 million in the Yarmouth-to-Maine ferry service. Both operations are run by Bay Ferries Ltd., and both are being impacted by high fuel costs and declining ferry traffic.