B.C. ferry users will still be getting their fuel rebate – at least for now.
On Tuesday, Transportation Minister Claire Trevena managed to convince BC Ferries to leave prices as they are by offering up more money to offset the rising fuel costs.
Trevena sent a letter to the corporation Monday expressing her disappointment with its decision to ax the rebates that have been in place for two years. The government committed to freezing fares in its latest budget, and this move threatened that promise.
There’s a 1.9 per cent rebate on northern routes and a 2.9 per cent rebate on major and minor routes. Eliminating this would increase costs for ferry users by 50 cents per passenger and $1.70 per vehicle.
“During the last week, I was surprised and disappointed to learn that BC Ferries was going to announce publicly the removal of the fuel rebates of 2.9 percent on the Major and Minor routes and 1.9 percent on the Northern Routes, less than two months after government’s fare reduction strategy was put into place” Trevena wrote in the letter. “As Minister, I am personally committed to delivering on our government’s promise to freeze fares. As I expressed to you, I believe this action is contrary to that.”
Currently, the rebates cost the corporation between $750,000 and $1.7 million a month – depending on traffic and time of year.
With fuel prices on the rise, BC Ferries has been in discussion with the government for a month about how to balance all the costs.
Trevena did not reveal how much more money the government is prepared to offer in order to keep the rebates in place.
More to come.
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