PORTLAND — Plans to establish ferry service between Yarmouth, Nova Scotia, and Portland in 2011 have been ruled out because the entrepreneurs who expressed interest in providing it could not demonstrate the financial capacity.
All five prospective ferry operators – their identities are not being released – failed to show they were viable to operate a successful service this year, according to the Yarmouth Area Industrial Commission.
The commission said it has not given up on such a venture, but has moved its target date for starting service to May 2012. The commission oversees the operation of the port of Yarmouth.
Meanwhile, a sixth interested party – Scotia Cruises – announced Monday that it stands ready to provide a cruise ferry service between Yarmouth and Portland by next year. Scotia Cruises had been talking about starting a competing service between Halifax, Nova Scotia, and Portland.
“While the Yarmouth Area Industrial Commission shares the frustrations and disappointment of businesses and residents of Nova Scotia, New England, and particularly Yarmouth County, we feel that we also have a responsibility to ensure that any service provider is financially capable of starting a new service and sustaining that into the future,” the commission announced in a news release.
In October, Dave Whiting, the commission’s port director and interim CEO, said that he expected to have a ferry service by March 2011, and that Portland was at the top of the ferry operators’ list. Other ports being considered were Bar Harbor, Portsmouth, N.H., and Boston.
Proposals from five prospective operators were reviewed, but last week the commission announced that none was acceptable.
Whiting said one party lost its financing and another group never submitted anything in writing. A third party withdrew after expressing concern that it would lose money in 2011.
“We needed to have solid proof that they could make this work. Several of them had incomplete business plans,” Whiting said. “We’d rather do a good job than a fast job.”
Whiting said there is reason to be optimistic that one of those operators or Scotia Cruises – which did not present a proposal to the commission – might be able to start a ferry service by 2012.
Bruce McNeil, president of Scotia Cruises, said his company is interested in establishing service between Yarmouth and Portland in 2012, provided that Yarmouth provides financial assistance.
In October, Scotia Cruises expressed interest in starting a Halifax-Portland service. McNeil said he has not ruled out a Halifax line.
Scotia Cruises announced Monday that Henk Pols, the former CEO and president of Scotia Prince Cruises, will serve as its adviser.
The Scotia Prince, a cruise ferry that operated for years between Portland and Yarmouth, ended its run in 2004.
Scotia Prince Cruises is not affiliated with Scotia Cruises.
Pols, who lives in Cape Elizabeth, said he accepted an advisory role because he believes a ferry service is needed but will require some time before it can be profitable.
“It is going to take a couple of years at least, but the potential is there,” said Pols, who was Scotia Prince Cruises’ president for 30 years.
McNeil said Scotia Cruises has secured a vessel, but he refused to identify it. He said the ship would be capable of carrying 1,000 passengers and 300 vehicles. It would have a casino, a restaurant, a spa, a lounge with live entertainment and a duty-free gift shop.
Whiting said he has not ruled out McNeil’s group and plans to meet with him this month.
Portland officials say they are disappointed that ferry service won’t return this year, but remain hopeful that an operator can be found. The ferry would dock at the city’s Ocean Gateway terminal.
The city has been without ferry service to Canada since 2009, when Bay Ferries Ltd. stopped running its high-speed Cat between Portland and Yarmouth.
“I think we could certainly wait another year, but it would be better for our economy and for Yarmouth’s economy if we could have established a ferry service this year,” said Mayor Nicholas Mavodones Jr.
Mavodones said the service is desperately needed, especially by the commercial trucking industry, which now makes long drives to the Maritime Provinces with seafood and other products.
Staff Writer Dennis Hoey can be contacted at 791-6365 or at: dhoey@pressherald.com
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