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A leaked report from 2023 shows that the new BC Ferries vessels could have been partially or fully built in Canada, but instead, the newest ships are set to be built overseas, with a $1 billion loan from the Canada Infrastructure Bank.
“This Shirocca report essentially broke down how the provincial government and BC Ferries could see those ships built right here in British Columbia at Seaspan,” said Okanagan Lake West—South Kelowna MP Dan Albas.
“This kind of blows a big hole in the narrative that no shipbuilder had the capacity or was interested.”
Albas is on the federal transport committee examining BC Ferries' controversial procurement of four vessels from a state-owned shipyard in China and learned of the 2023 Shirocca report after it was acquired by CHEK News on Vancouver Island.
“I'm really unhappy that I'm reading about it online, that a reporter on Vancouver Island was able to access this document and BC Ferries did not, when asked for it–specifically says the Shirocca report and internal emails and documents that speak to it–they did not comply, and to me that's troubling," said Albas.
"That's something that I believe the committee needs to discuss.”
The report was apparently commissioned by Seaspan, and according to Albas, it created two scenarios.
One scenario saw 25% of the first ship built at Seaspan, then 50% of the second ship built in BC and by the time they got to the fourth ship, it would have been built entirely on home soil. The second option was to have 100% of the ships built in BC.
“Seaspan paid the Shirocca Consulting firm, probably a lot of money, to say exactly how these ships (would be built), and then were given various options, including having some of the ships done abroad with Canadian content requirements. They also produced a second plan that would say it would be all in Canada,” the MP stated.
“This isn't like they were just pie in the sky. Seaspan is not a fly-by-night operation. These people know their work. So, again, BC Ferries itself has not given my committee the document, the Shirocca report, and its internal discussions. They gave us lots of other things, but they did not give us that. So to me, the question is: what is BC Ferries hiding?”
Albas highlighted that both Davie Shipbuilding in Quebec and Seaspan were disappointed with the procurement process for the new BC Ferries vessels.
The MP added, “And by the way, folks, both Davie Shipyard in Quebec, as well as Seaspan, were very public about their disappointment in the way that BC Ferries ran this procurement. Essentially, the way that the RFP (Request for Proposal) was structured favoured a foreign shipyard.”
Albas explained that, alongside a state-owned Chinese shipyard having been chosen to build the vessels, the runner-up to build the vessels was another state-owned shipyard in China.
“When Davie and Seaspan, both very serious companies, say that BC Ferries had no intention when they saw their RFP to have it made here in Canada—I believe them,” said Albas.
Albas also touched on the potential impact of building the new vessels in Canada could have had by generating tax revenues and jobs.
“Everyone (BC Ferries and the BC government) knew in 2023 that these ships could have been done here in Canada, giving all the economic reasons why they should happen here in Canada and they didn't change course,” Albas explained.
“In fact, they went for what appears to be the cheapest option and totally ignored the once-in-a-generational nature of this because this would've led to a whole new generation of apprenticeships.”
Watch the above interview to hear more about what MP Albas had to say on the BC Ferries issue.