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Tasmanian Treasurer Michael Ferguson on rocks as ferry fiasco sinks TT-Line chief Bernard Dwyer

Another boss at Tasmania’s state-owned ferry company has resigned over bungled ship and wharf projects; now the opposition is looking to sink the state’s Treasurer over his role.

Spirit of Tasmania CEO Bernard Dwyer, whose resignation was revealed on Monday. Picture: News Corp
Spirit of Tasmania CEO Bernard Dwyer, whose resignation was revealed on Monday. Picture: News Corp

A deepening scandal over Tasmania’s new Bass Strait ferries and wharf projects has sparked another high-profile resignation and claims that the state’s Liberal Treasurer has misled parliament.

The resignation of Bernard Dwyer, chief executive and managing director of state-owned ferry company TT-Line, was revealed on Monday, moments before he was due to front a parliamentary inquiry.

It emerged that Mr Dwyer quit on Saturday, a day after TT-Line sent meeting minutes to the government that may shed light on opposition claims Treasurer Michael Ferguson misled parliament over his knowledge of the ferries fiasco.

The state faces a situation of $900m-plus Finnish-built Spirit of Tasmania ferries arriving – over budget and late – without adequate facilities at which to berth, despite years of notice.

TT-Line acting chairman Damien Bugg told parliament’s public accounts committee the company’s board had been concerned by Mr Ferguson’s evidence that he had been kept in the dark about key events. “The general statement that we hadn’t notified him of things when … the minutes (of meetings between TT-Line and Mr Ferguson) suggested in fact he was aware there was a problem with the delivery,” Mr Bugg said, when asked what had been concerning.

Tasmanian Treasurer Michael Ferguson was alleged to have been well aware of problems, despite saying otherwise. Picture: Stephanie Dalton
Tasmanian Treasurer Michael Ferguson was alleged to have been well aware of problems, despite saying otherwise. Picture: Stephanie Dalton

Mr Bugg, a former director of public prosecutions, said Mr Ferguson – who in August resigned as infrastructure minister – must have been well aware of the wharf problems, given he had appointed an “integrator” to address them.

Deputy Opposition Leader Anita Dow said Monday’s hearings revealed Mr Ferguson had misled parliament over a cost blowout, claims the government denied.

“Mr Bugg told the committee TT-Line sent a letter to Mr Ferguson on April 25, 2022, advising him of a $13m increase in the contract for the new ships,” Ms Dow said. “But Michael Ferguson told (a) ... parliamentary committee six months later that the price of the contract had not changed. It could not be any clearer. The price of the contract had changed.

“Under (his) watch, the Spirits project has spiralled into the biggest infrastructure stuff-up in ­Tasmania’s history.”

The minority government denied he had misled parliament. A spokesman said Mr Ferguson had merely told the committee the TT-Line contract with Finnish shipbuilder RMC had a fixed price. “Variations commonly occur to fixed price contracts in accordance with terms of that contract,” he said. “In this case, the business negotiated variations … based on changed circumstance in Europe.”

Acting chairman of TT-Line Damien Bugg at the inquiry on Monday. Picture: Linda Higginson
Acting chairman of TT-Line Damien Bugg at the inquiry on Monday. Picture: Linda Higginson

Mr Bugg said Mr Dwyer had been under “significant pressure” and did not appear before the committee for his “wellbeing”.

The committee quizzed Mr Bugg over Mr Ferguson’s “surprise” at learning TT-Line had dumped the wharf tender while the government was in caretaker mode and on his assurances the wharf would be operational in August.

Labor committee member Josh Willie said evidence from TT-Line’s previous chairman, Michael Grainger, who quit in August, was that problems with the wharf and possible alternatives were discussed with Mr Ferguson in December 2023.

He said Mr Ferguson’s version of events “may not have been entirely accurate”. “That’s a matter for you to decide,” Mr Bugg said.

Original URL: https://www.theaustralian.com.au/nation/politics/tasmanian-treasurer-michael-ferguson-on-rocks-as-ferry-fiasco-sinks-ttline-chief-bernard-dwyer/news-story/5b4b530963a731bf32ae9ff98dcb2e60