A 1.9 per cent cap on ferry fares per year could begin in 2016 if confirmed.
The annual caps could remain until March 31, 2020.
BC Ferry Commissioner Gord Macatee announced the preliminary caps Wednesday, March 18. He based his decision on BC Ferries’ capital plan, cost projections, financial results and an efficiency plan.
Macatee called on BC Ferries to make further productivity improvements of $27.6 million.
He noted in his report that the ferry corporation was on track to exceed its current efficiency target of $54 million. The quasi-private company has cut overtime, lowered administrative costs by $5 million since 2009 and reduced executive pay by $1.2 million a year.
Price caps were first set in 2012 and over the past three years fares have increased about four per cent each year. A 3.9 per cent increase is scheduled to start April 1.
The public has until June 30 to comment on the preliminary caps. Macatee will make his final decision by September 30.
Readers can email the commission at [email protected] or call 1.250.952.0112.
