Premier Peter Gutwein says there is no formal word on timing of new Spirit of Tas vessels

Premier Peter Gutwein has given no clear indication of when Tasmania’s two new Bass Strait ferries will be on the water. A $700 million contract remains in place but is it watertight?

It is not know when two new Spirit of Tasmania vessels will start crossing Bass Strait. Picture: SUPPLIED

TASMANIA’S new Premier is back-pedalling from confirmation earlier this week that the delivery of two new ferries to replace the Spirits of Tasmania on the Bass Strait run will likely be delayed.

The government promised the new ships – to be built by financially-troubled German company Flensburger Schiffbau-Gesellschaf (FSG) – would arrive in Tasmania in March next year but construction has not started.

LABOR SAYS TASMANIANS NEED TO KNOW IF FERRY DELIVERY DELAYED

And speculation has been growing that the shipbuilder’s cash flow problems could spell trouble for the deal between it and operator TT-Line.

Premier Peter Gutwein told media earlier this week that “FSG has got themselves into difficulties but at this stage the message from them is they are still able to build the ships. I think it is reasonable to expect there will be a delay.”

On Wednesday, Mr Gutwein said his suggestion that the ships would be late was in the context that FSG had some obvious challenges.

“We have no advice at this stage in terms of any changes to the contract. The contract remains in place and Tasmania’s interests remain protected,” Mr Gutwein said on Wednesday.

“Until we receive further advice from TT Line that contract remains in place and the state’s interests are protected.”

The Tasmanian contract is worth about $219 million euros ($A354 million) per vessel. Each ship will accommodate 1800 passengers and up to 600 vehicles.

In February last year, TT-Line said it was in close discussions with FSG about its “difficult financial situation” and any potential impact on its contract to build the Tasmanian ferries.

No payments have yet been made to the shipbuilder.

TT-Line was on Wednesday staying tight-lipped about any contract hiccups saying it was “unable to comment” at this stage and would make a statement as soon as it was able to.

Labor said the government had finally conceded what “everyone else” had known for months – that the contract to build the new Spirits of Tasmania vessels was in trouble.

Shadow Infrastructure Minister Shane Broad said Mr Gutwein’s “grudging acknowledgment” that a delay was inevitable was long overdue.

“It is going on two years since troubled German shipyard FSG was announced as the preferred shipbuilder for the new Spirit of Tasmania vessels, but not a single day’s work has been done on the two new ships,” Dr Broad said.

“What we now see is the new Premier acknowledging that a delay is certain, but failing to say how the government will get this project back on track, or whether that’s even possible.

“Tourism operators, exporters and travellers want to know when – or whether – the extra capacity will be available.”