A GOVERNMENT minister has confirmed that there has always been the possibility of a rival freight service in the Island - but said the Steam Packet's passenger service is "the best the Island has ever had".
Infrastructure Minister Phil Gawne MHK said the government must act fairly over the current freight controversy between The Steam Packet Company and rival firm Mezeron.
The company has recently lost a number of freight contracts – including those with Tesco and Shoprite – to Mezeron which has left them claiming that passenger services will be affected and they are not ruling out the possibility of job losses.
In a statement to isleofman.com Mr Gawne said: "The department readily acknowledges that the Steam Packet Company (SPC) has delivered a good quality, regular and reliable ferry service since the outset of the user agreement – in fact the ferry service that we have now is probably the best the Island has ever had.
"The Harbours Act, which governs how the department must provide harbour facilities, contains a basic requirement for the department to act fairly and reasonably towards all harbour users by making facilities equally available on payment of harbour dues.
"Other than the Linkspan berth in Douglas all other berths are subject to common user rights contained within the Harbours Act.
"The effect of the order on the linkspan berth gives the SPC a principle position in the shipment of vehicle traffic including roll-on roll-off freight to and from the Island.
"In exchange for this long-term preferential use the SPC is required to provide a minimum roll on-roll off freight and passenger service.
"The SPC has met and exceeded these obligations which has been of benefit to the Island and consequently in the best commercial interests of the company.
"The statutory requirement for the department to grant equal access to all harbour users for all areas not excluded by the order existed for many years before the user agreement and continues to exist now. There has therefore always been the possibility of a rival freight service."
Mr Gawne concluded: "The department remains highly supportive of the company but must at the same time act fairly and equitably towards all harbour users."
Also see: Steam Packet release new statement on freight situation
Steam Packet: job losses are a last resort - WITH VIDEO
What do you think? Let us know by leaving a comment below.
