Port Marlborough has signed an Interim Development Agreement (IDA) with Ferry Holdings Limited, unlocking the next phase of the Waitohi Ferry Redevelopment Project.

The agreement enables transition works to proceed while establishing the commercial, governance and management framework needed to advance the project to the final stage of delivery (subject to Shareholder approval) in June.

Importantly, it provides the basis for progressing work on the transition berth, and for consultation with the community and shareholder ahead of any final investment decision by Port Marlborough and the commencement of main contract works. 

Port Marlborough Chief Executive Rhys Welbourn said the approach is deliberate and measured.

“This agreement doesn’t make the final decisions – it enables the next ones,” said Mr. Welbourn.

“The IDA allows transition works to begin, while creating the structure needed to properly progress the next stage of the project. That includes consulting with the community and our shareholder, and working through the approvals required before any final commitment is made to the main construction programme.”

This staged approach allows work to continue while ensuring decisions are made at the right time, with the appropriate level of information and oversight. Following public consultation on Port Marlborough’s contribution, and subject to shareholder approval, the Development Agreement can be finalised, enabling the project to move into its main construction phase.

Ferry Holdings Chair Chris Mackenzie said the Interim Development Agreement is an important and appropriate step in progressing the project,

“The IDA reflects a disciplined, staged approach to delivery. It allows essential transition works to move ahead while putting in place the commercial and governance framework needed to support informed decision-making,” Mr Mackenzie said. 

“This agreement creates the space for local consultation and careful consideration ahead of any final investment decision, ensuring the project continues to be progressed responsibly, transparently and in the long-term interests of the ferry network and the communities it serves.”

The Waitohi Ferry Redevelopment Project is a nationally significant investment that will enable more reliable and resilient ferry services and strengthen connections between the North and South Islands. It will support Marlborough’s economy by facilitating visitor activity, freight movements, and local supply chains, while ensuring Waitohi Picton continues to play a central role in New Zealand’s transport network for decades to come.