Appearance at TRAN: Supplemental Mandate Letter and on the pre-entry testing requirements

MV VILLA DE TEROR

Interim Replacement Vessel For The Mv Madeleine

LOCATION: EASTERN CANADA

Issue: ACQUISTION OF THE MV VILLA DE TEROR (TO BE RENAMED THE MV MADELEINE II) - AN INTERIM SOLUTION TO ENSURE FERRY SERVICE CONTINUITY TO THE REMOTE COMMUNITY OF ÎLES-DE-LA-MADELEINE

Date: JANUARY 31, 2021

Suggested Responses

  • The Government is committed to providing safe and reliable ferry services to Canadians, tourists and businesses in Eastern Québec and Atlantic Canada.
  • In Summer 2020, the Government made a decision to acquire the MV Villa de Teror, to be renamed the MV Madeleine II, to replace the MV Madeleine on an interim basis because the vessel is at the end of its cycle.
  • The MV Madeleine II is expected to enter service in June 2021 and will ensure the continuation of safe and reliable service to the remote community of Îles-de-la-Madeleine until the new replacement ferry, the MV Jean Lapierre, is ready in 2026/2027.
  • The Government remains fully committed to building two new ferries built at Chantier Davie to replace the MV Madeleine and the MV Holiday Island.

BACKGROUND INFORMATION

  • Transport Canada provides financial support to the Coopérative de Transport Maritime et Aérien, a local and private cooperative, to provide year-round ferry services between Îles-de-la–Madeleine (QC) and Souris (PEI).
  • The route is currently serviced by two vessels: (i) the federally-owned MV Madeleine, which is 40 years old and is used to provide service on the route for 10 months of the year, including peak summer season; and (ii) the MV Vacancier, the Coopérative de Transport Maritime et Aérien’s summer cruise vessel, which Transport Canada leases for winter service during heavy ice-conditions (February and March).
  • Budget 2019 announced that the Government would build a new vessel at a Canadian shipyard to replace the MV Madeleine. The MV Madeleine replacement vessel (named the MV Jean Lapierre) is currently expected to be delivered by Chantier Davie in 2026/2027.
  • On September 16, 2020, the Government announced that would purchase the MV Villa de Teror for approximately $155 million as an interim replacement for the MV Madeleine. The MV Madeleine is at end of its useful life and its continued use represents a considerable risk of an extended service disruption.
  • The MV Villa de Teror, to be renamed the MV Madleine II, is a virtually new ice-class vessel that will be used to provide service between Iles-de-la-Madeleine and Souris on a year round basis.
  • Transport Canada and Public Services and Procurement Canada are working to finalize the purchase of the MV Villa de Teror. Canada is expected to take possession of the vessel currently located in the Canary Islands this winter
  • The vessel will be drydocked in Spain to complete certain work (e.g., applying a suitable winter coating to the hull) prior to sailing the vessel to Canada. The vessel will undergo additional fit-up work in Halifax before entering into service in summer 2021.