Infrastructure Minister Michael Ferguson offers resignation to Premier Jeremy Rockliff

After Treasurer Michael Ferguson stepped down as Infrastructure Minister, Jacqui Lambie has called for him to step away from another portfolio. Latest.

Michael Ferguson MP. Picture: Nikki Davis-Jones

Updated: The state’s Infrastructure Minister Michael Ferguson has resigned amid the delayed rollout of new Spirit of Tasmania ferries, apologising for the debacle but blaming TT-Line for the litany of issues plaguing the project.

While Mr Ferguson will remain as Deputy Premier and Treasurer, Premier Jeremy Rockliff will now assume responsibility for the infrastructure portfolio.

In a statement issued on Monday morning, Mr Ferguson said he recognised “the impact of the delay in constructing the portside infrastructure” for the new Spirit vessels in Devonport, apologised for the “disappointment that represents”, and pointed the finger at TT-Line for holding up the development.

“In the absence of the company owning up to this profoundly disappointing situation, as the former Minister for Infrastructure and Transport and current Minister for Infrastructure, I will,” he said.

“The ongoing commentary concerning the project is proving an unnecessary distraction and I don’t want that to continue at the expense of a proper and disciplined focus on delivering the ships and the berths, as Tasmanians would expect,” he said.

“Also, I cannot allow the government to be distracted from the final preparations for the upcoming 2024-25 state budget during a time of significant national economic headwinds affecting our state.”

Spirit of Tasmania leaving Corio Bay on route to Devonport. Picture: Alan Barber

The Deputy Premier’s decision to step down as Infrastructure Minister comes after TT-Line chairman Mike Grainger was sensationally forced to resign after he disputed evidence given to a parliamentary committee by Mr Ferguson and TasPorts a fortnight ago.

TT-Line is awaiting the delivery of the two replacement Spirits as part of a billion dollar-plus upgrade to the Bass Strait passenger and freight sea link. The state-owned company and Tasmania’s port authority have blamed each other for delays to upgrades at Devonport’s berth 3 amid mounting budget and timeline blowouts.

The new vessels are anticipated to run at much reduced capacity out of berth 1 for at least the first year of operation because the new berth won’t be ready in time for their delivery.

Mr Rockliff accepted the minister’s resignation and said he himself would now take on the infrastructure portfolio.

Mr Ferguson will be appointed Small Business and Consumer Affairs Minister, with Clark MP Madeleine Ogilvie to also take responsibility for science and technology, which has been reinstated as a standalone Cabinet ministry.

The Premier thanked Mr Ferguson for “his tireless work and dedication” in the infrastructure portfolio since 2019.

“I understand and sincerely appreciate his desire to end the distraction associated with the current challenges involving portside infrastructure for the arrival of new Spirits,” Mr Rockliff said.

He reiterated the state government’s commitment to deliver the two new Spirit ferries “alongside the necessary port infrastructure”.

Tasmanian senator Jacqui Lambie had publicly called for Mr Ferguson’s resignation as controversy escalated over the Spirit delays.

A refusal by Jacqui Lambie Network (JLN) MPs Rebekah Pentland and Miriam Beswick to echo Senator Lambie’s comments led to an implosion of the party on Saturday and the pair’s expulsion.

Senator Lambie did not mince words as she weighed in on Mr Ferguson’s announcement, welcoming his decision but saying he had proven to be “incompetent” and should also hand over the reins for the Treasury.

“All ministers have a responsibility to the people of Tasmania to carry out their duties to the highest standard, and where that obligation can’t be met, they must be moved on,” she said.

The sole remaining state JLN MP, Andrew Jenner, took credit for Mr Ferguson’s resignation on behalf of the party and urged the government to prioritise the planned upgrade of Macquarie Wharf 6 to guarantee Tasmania’s “viability to operate as an Antarctic gateway”.

Minister’s shock resignation call amid Spirit ferries fiasco

August 26, 11:10am: The state’s Infrastructure Minister Michael Ferguson is set to resign from the portfolio, recommending Premier Jeremy Rockliff undertake a Cabinet reshuffle amid controversy over delayed infrastructure for the new Spirit of Tasmania ferries.

In a statement issued on Monday morning, Mr Ferguson said he recognised “the impact of the delay in constructing the portside infrastructure” in Devonport and blamed TT-Line for the issues plaguing the project.

“The ongoing commentary concerning the project is proving an unnecessary distraction and I don’t want that to continue at the expense of a proper and disciplined focus on delivering the ships and the berths, as Tasmanians would expect,” he said.

Infrastructure Minister Michael Ferguson. Picture: Stephanie Dalton

“Also, I cannot allow the government to be distracted from the final preparations for the upcoming 2024-25 state budget during a time of significant national economic headwinds affecting our state.”

Mr Rockliff said he will take on the responsibilities of the Infrastructure portfolio.

“It is my intention to take on the Infrastructure portfolio and continue to deliver our 2030 Strong Plan for Tasmania’s Future,” he said.

“Michael will continue as Deputy Premier and Treasurer and take on the portfolio of Small Business and Consumer Affairs.”

More to come...

Infrastructure Minister Michael Ferguson’s full statement:

Tasmanians are excited by the coming new Spirits but are rightfully confused and disappointed that the necessary berthing infrastructure has not been adequately prepared in proper time.

This morning, I provided the Parliamentary Accounts Committee with substantial details regarding the handling of the new Spirits and associated infrastructure project.

The record is clear as to how this situation has developed and the significant interventions that the Liberal Government has been forced to take in November, June and August to help TT-Line keep it on track.

This project is vital to Tasmania’s economic prosperity, and I am thankful for the work that has been undertaken to deliver it.

I recognise the impact of the delay in constructing the portside infrastructure and sincerely apologise to all Tasmanians for the disappointment that represents. My team and I truly tried to keep the project on track, but it proved impossible with actions taken during Caretaker rendering those efforts wasted.

Treasurer and Infrastructure Minister Michael Ferguson. Picture: Stephanie Dalton

In the absence of the Company owning up to this profoundly disappointing situation, as the former Minister for Infrastructure and Transport and current Minister for Infrastructure, I will.

The ongoing commentary concerning the project is proving an unnecessary distraction and I don’t want that to continue at the expense of a proper and disciplined focus on delivering the ships and the berths, as Tasmanians would expect.

Also, I cannot allow the Government to be distracted from the final preparations for the upcoming 2024-25 State Budget during a time of significant national economic headwinds affecting our state.

With all this in mind – and in the best interests of the project, the budget and the elected Government, I have today spoken with and written to the Premier recommending he undertake a reshuffle and offer to relinquish my responsibility as Minister for Infrastructure. I now believe this is the only way to end the blame game once and for all, and allow the right people to focus on the solution in a stable parliament.

I thank all those who have worked tirelessly on this project for many years as we close in on the new Spirits sailing proudly up the Mersey.

Spirit of Tasmania 2 at Hobart. Picture: Chris Kidd

I am so grateful to have managed the billions in new infrastructure investment that has been delivered by our Liberal Government since 2019. Be it the COVID-19 infrastructure and construction blitz; the Bass Highway upgrades, the Midland Highway safety action plan, the Tasmanian Freight Rail Revitalisation Program, or my passion project, the new Bridgewater Bridge – these are all intergenerational assets that have been delivered right across the state that will set up our state for a very prosperous future. And there’s so much more to come in next month’s budget

I cannot praise more highly the wonderful people I have worked so closely with since 2019 in the Department of State Growth and the civil contracting industry for their incredible support, resilience and can-do attitude. I’ve appreciated so many great contributors in TasPorts, TasRail and TT-Line who believed in and implemented our plan. By working together we created an economic lifeline for Tassie and achieved so many new facilities and safer infrastructure for the people of our growing state.

My mission in serving Tasmanians as a deeply loyal member of our Liberal Party will never change and I look forward to delivering for our Tasmanian families, communities and businesses.