Plans to build new Parramatta ferries in Australia sunk

Plans to build new Parramatta River ferries in Australia have fallen at the first hurdle, with the tender process failing to award a contract.

NSW Labor has accused the state government of dudding Australian boat-building companies out of a chance to build new ferries set for the Parramatta River by deliberately making the tender process too short.

It comes after a contract to build seven new Parramatta River ferries was opened for applications on November 29 last year, before closing on January 16.

Jo Haylen, Labor’s opposition spokeswoman for transport, described the Liberals’ widely publicised move to build the next generation of ferries in Australia as a “stunt”, given the short tender period.

“(Transport Minister) David Elliott said that this contract was proof of the Liberals’ commitment to domestic manufacturing, but this delay shows that the Liberals haven’t changed,” she said.

“They never wanted to build ferries, trains and trams here, and this shows that even if they changed their policy, they wouldn’t know how to do it.”

The Cheryl Salisbury ferry pictured leaving Barangaroo Wharf and heading towards Parramatta. Picture by Damian Shaw

The Telegraph reported last year that Mr Elliott had ordered transport bureaucrats to shred plans to buy the new ferries using the same maligned design on the current Indonesian-built River Class ferries.

Those ferries were revealed in 2020 to be too tall to safely pass under certain bridges on the Parramatta River while passengers were on the top deck, meaning travellers were forced to move downstairs as they approached bridges.

Jo Haylen says the failed tender process calls into question the Liberals’ commitment to local manufacturing …

… but Transport Minister David Elliott has hit back, saying ‘nothing has changed’ about the government’s stance.

As part of his orders to bureaucrats late last year, Mr Elliott demanded the next order of Parramatta ferries be built in Australia.

“Given the UK procures ferries from Australia, I’m not willing to spend another cent on a ferry for Western Sydney unless it is Australian designed and manufactured,” Mr Elliott said in October.

But the bid appears to have fallen flat, with applicants told earlier this month the tender resulted in no contract being awarded.

Mr Elliott said on Thursday “nothing has changed” about the government’s bid to build more vessels locally.

“Local manufacturing and local content is at the forefront of the state’s record $76.7 billion investment in transport infrastructure over the next four years,” he said.

“The tender process for the Riverclass ferries is being independently managed by TfNSW (Transport for NSW), with the direction from the NSW government that the ferries are to be redesigned and built here in Australia.”

A Transport for NSW spokeswoman said the tender process for the ferries was now being reviewed, and that finding a local builder was still “a significant proportion” of awarding a contract.

“The market response to the tender did not meet our expectations or all of the tender evaluation criteria,” she said.

“The procurement strategy has been reviewed and Transport is re-engaging with the market.

“The new Parramatta River Ferries procurement activity will continue to encourage proposals from ship builders of all sizes, including smaller Australian and New Zealand-based builders.”

Local boat builders EV Maritime also criticised the short tender, with their CEO Michael Eaglen saying electric ferries were also not included as an option.

“Most reputable boat builders will tell you 6 weeks, over the Christmas holidays, is not a lot of time to put together a serious bid,” he said.

“Making it even harder, there was no scope for electric ferries – so that ruled us out – which is a shame for any Sydney commuter hoping for an end to dirty diesel ferries on their harbour.”

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