Atlantic Transport News – February 2021

Welcome to the February edition of Atlantic Transport News!

Here’s a look at what you’ll find in this edition:

NORTHERN NEW BRUNSWICK MOTORCOACH SERVICE SAVED

With Jacques Pelletier at the wheel, Maritime Bus departs Moncton for Campbellton on the afternoon of February 1. This essential service for residents of northern New Brunswick will keep rolling through 2021, after a last-minute deal was reached among the bus company and three levels of government. 

New Brunswickers in the northern part of the province will continue to benefit from motorcoach passenger and parcel service through the remainder of 2021, after an eleventh-hour solution involving Maritime Bus and three levels of government was reached. Faced with mounting operating losses, the bus operator announced indefinite closure of its services between Moncton and Campbellton and Fredericton and Edmundston, effective January 15, unless the provincial government was prepared to lend a helping hand. The deadline was subsequently extended to month-end to allow more time for a solution to be worked out.

Although the governments of Nova Scotia and Prince Edward Island had declared their willingness to offer financial support to keep buses running through the pandemic, Premier Blaine Higgs refused to contribute, saying his government wasn’t going to fund for-profit corporations. The position ignored the harsh reality that the company lost nearly $4 million on its line-haul operations in 2020 because of COVID-19 – not to mention the massive revenue losses when its charter operations were brought to a standstill by the pandemic.

Under pressure from a wide variety of interests (including Transport Action Atlantic), the government finally backtracked. In a rare display of non-partisan solidarity, 21 senators from the Maritime provinces signed a letter to the Prime Minister urging help for the struggling bus industry. With a federal government contribution under the Safe Restart program on the table, the Province allocated some money through its Regional Development Corporation, and saved face by transferring the provincial share to the City of Edmundston to be passed on to Maritime Bus.

The northern municipalities, although pleased that a solution has been reached, were less than satisfied with the process. Apparently, this money was diverted from funding that the RDC was already holding for eventual distribution to towns and cities under the Safe Restart agreement, so the already cash-strapped municipal coffers were in effect paying for what they viewed as a provincial responsibility.

Mike Cassidy of Maritime Bus credits Local Government Minister Daniel Allain and Frédérick Dion of the Federation of Francophone Municipalities with brokering the eventual outcome, with the support of the senators and federal Intergovernmental Affairs Minister Dominic LeBlanc. Curiously, the Department of Transportation and Infrastructure apparently wasn’t involved in the process at all.

Mr. Cassidy tells TAA that the level of political action in all this was incredible, commenting that it isn’t right to be so involved with politics when you are trying to save your company and industry, especially after the other two provinces agreed participate. Meanwhile, he is deeply concerned about the future of the motorcoach industry nation-wide, and is working with other operators to promote bus connectivity across Canada for both passengers and parcels post-COVID.

“Governments must understand that busing is part of the mobile infrastructure,” he says, adding that the first step should be getting all the provinces to co-operate in building back a cohesive coast-to-coast network.

MARINE ATLANTIC RATES INCREASED AGAIN

If you’re planning on taking Marine Atlantic’s Argentia ferry this summer, it’s going to cost you more. The Crown corporation has announced that most of its rates will be increasing as of April 1, in order to satisfy Transport Canada demands for 65% cost recovery.

It appears that Transport Canada is totally without mercy in its demands for 65% cost recovery on the constitutional Newfoundland ferry service provided by Marine Atlantic – global pandemic notwithstanding. On February 1 the federal Crown corporation announced that most of its rates would be going up at the start of the next fiscal year, beginning in April. A company spokesman told NTV News that Marine Atlantic had failed to meet its financial targets in 2020 because of dramatically reduced passenger revenues, and had no option but to aim for making up the shortfall in 2021.

There will be no increase in passenger and passenger vehicle rates on the North Sydney- Port aux Basques route, but both passenger and commercial users of the seasonal Argentia route (where Transport Canada requires full recovery on marginal costs) will pay 2.5% more. That, of course, assumes that the service actually runs this summer. It was cancelled entirely for 2020, but reservations are now being accepted for two round trips a week beginning in late June, with the possibility of a third sailing being added should demand materialize.

But far more critical is the two percent increase for commercial traffic on the company’s main route to Port aux Basques, coupled with a 3.4% hike in the drop trailer management fee. This is expected to have a noticeable impact on the cost of living on the island, as a large proportion of groceries and everyday household needs as well as building supplies are carried by drop trailers.

For the hospitality industry the fare hike comes at a particularly inopportune time. In the aftermath of COVID-19, with air transportation in serious crisis and unlikely to recover in the near future, affordable ferry service will be particularly important to the struggling tourism sector. If the Atlantic Bubble is restored by summer 2021, Marine Atlantic will be uniquely positioned to bring significant numbers of visitors from the Maritimes – if the price is right.

With no expectation the rate increase was imminent, Transport Action Atlantic had already initiated an effort to get ferry rates on the table as an issue in the February 13 provincial election. Although the service is clearly a federal responsibility, TAA believes the issue will only be addressed if there is a strong protest from provincial politicians. Accordingly, the parties had been asked to present their positions by answering two questions:

  • Does your party support the principle that the ferry service between Port aux Basques and North Sydney is a part of the Trans Canada Highway, and as such the cost to users should be comparable to travelling the equivalent distance by road?
  • Regardless of the outcome of the February 13 provincial election, will your party demand a full review of the existing Marine Atlantic ferry rates to ensure that the Government of Canada is compliant with the spirit of the 1949 Terms of Union?

TAA plans to post any responses received on its website prior to polling day.

ANOTHER SEASON LOST FOR BAR HARBOR FERRY

The Cat will sit idle for another year, as the full 2021 ferry season has been cancelled. PHOTO – Tim Hayman

It will be at least another year until the international ferry service between Yarmouth and Maine resumes. On February 1, the provincial government announced that the entire 2021 sailing season would be cancelled, citing ongoing COVID concerns, continued international border restrictions, and the likelihood that a critical percentage of the general population will not be vaccinated until the summer. The move is anticipated to save on certain costs such as marketing and season preparations and hiring crew, which would otherwise have taken place if the season was scheduled and later postponed or canceled. Still, there will be certain fixed costs to keep up basic maintenance and infrastructure work in the interim.

This will be the third year in a row that the high-speed Cat ferry will sit idle. The service for the 2019 season was slated to move its American terminus to Bar Harbor after previously serving Portland, but the move ran into hurdles with the completion of the new American facility, resulting in repeated postponements and then full cancellation of the season. With the terminal then complete, the 2020 season was anticipated to see a return, but COVID restrictions once again caused postponements and an eventual cancellation of the full season.

The absence of the ferry service has continued to be a blow to the tourism industry in southwest Nova Scotia, though as COVID continues to restrict non-essential travel, those challenges will persist with or without the ferry in operation. Hopefully the 2022 season will find the region (and the broader world!) in better shape.


AIRPORTS PLEAD FOR HELP AS SERVICE CUTBACKS CONTINUE

Graphic by James Fraser

Just when we thought the air travel situation in Atlantic Canada couldn’t get much worse – it did. Just days after indefinitely suspending all service from Sydney and Saint John, Air Canada added Fredericton to its no-fly list. As of January 23, the only airport in New Brunswick with scheduled passenger service is Moncton. And, on the same date, the direct Air Canada service between Toronto and St. John’s which had existed for decades came to an end.

The cutbacks in scheduled service have had a drastic effect on all airport authorities in the region.  Even for those now deserted by Air Canada and WestJet, the bills still have to be paid as the runways must be kept open for general aviation and emergency medical flights. The total revenue loss for 2020 among members of the Atlantic Canada Airports Association is estimated a $140 million, which the ACAA says will have a substantial impact on cash flow and future financial viability, with a severe trickle-down effect on the respective communities. They’re asking for federal government help to keep the lights on while they await the end of the pandemic. But even then, they aren’t expecting a rapid recovery.

Meanwhile, a retired airline executive told CBC News that he isn’t anticipating a quick resumption of the cancelled services once the pandemic subsides. Duncan Dee, former COO at Air Canada, said reactivating idle aircraft and personnel takes time, adding that he suspects management will take a “wait and see” attitude and evaluate demand at Moncton before making a decision on other New Brunswick airports.

The chambers of commerce in New Brunswick’s three largest cities are not content to wait. They’ve joined together in a united campaign to oppose those who suggest that single airport scheduled passenger service for the entire province may the way of the future. That possibility was raised in the recent provincial budget speech.  Moncton, Fredericton and Saint John were all profitable airports pre-pandemic, with a combined economic impact of $765 million, the chambers note, insisting that economic prosperity demands that scheduled service be returned to all three as the public health threat subsides.

The one airline that seems to be bucking the pandemic trend has been forced to adjust its services from Moncton to Newfoundland and Labrador to accommodate the latest round of travel restrictions. St. John’s-based PAL Airlines has abandoned its service between Charlo NB and Wabush NL, and combined it with a new route linking Moncton with Deer Lake. And, until interprovincial travel restrictions are eased, non-stop service between YQM and YYT has been temporarily eliminated. As of January 10, a tri-weekly DASH-8-300 is flying St. John’s – Deer Lake – Moncton – Wabush and return. PAL’s Janine Brown says a daily St. John’s – Moncton – Ottawa routing is still their post-pandemic objective, with a separate service planned for Deer Lake and Wabush.

VIA SERVICE WON’T BE BACK BEFORE MID-MAY

It will be May 15 at the earliest before VIA Rail’s Ocean again pulls out of Montreal’s Gare Centrale – and likely not even then if interprovincial pandemic travel restrictions are still in place.

In what continues to be a pattern fitting of Groundhog Day, VIA has extended the cancellation of the Ocean through at least May 15, 2021. This continues the rolling pattern of recent months, where bookings for the next few months were first blocked and then outright cancelled as time approached. It also now guarantees that the earliest possible service resumption on the east coast will be the beginning of what would normally be the peak season for the year, though it’s unlikely to be anything resembling the normal travel season, and leaves Atlantic Canada without passenger rail service for more than a year. It still remains to be seen what exactly the service offering will look like when the train does resume.

The exact date that service will actually resume still remains unclear. The passenger carrier continues to insist that it intends to resume service when it is safe to do so, but it is likely that this date will be dependent on when travel restrictions between Quebec and the Atlantic provinces ease – and that remains heavily dependent on COVID case numbers and dynamics between the provinces.

VIA has also extended the modified service offering on the Canadian, with only one weekly departure west of Winnipeg and heavily modified onboard services, through the middle of May, and the Winnipeg-Churchill’s economy-only service will also continue through that time. Meanwhile, further Corridor service reductions have rolled out in recent weeks in light of further restrictions in Ontario and Quebec. It’s clear all across the country that the interruptions to VIA will be here for some time yet.


TAA AWARD HONOURS TRANSIT AND MOTORCOACH DRIVERS

Metrobus operator Amy Bonnington is one of hundreds of transit and motorcoach drivers who’ve kept essential public service rolling throughout the pandemic. Transport Action Atlantic has collectively honoured all of them with the 2020 John Pearce Award.

Transit systems throughout the region continue to struggle under the pandemic burden of greatly reduced ridership revenue coupled with higher operating costs. But they were pleased to receive a bit of recognition from Transport Action Atlantic recently. TAA has decided to confer its John Pearce Award for 2020 collectively on all the transit and motorcoach drivers throughout the four provinces who have continued to report for duty without interruption during COVID-19 in order to transport essential workers to their jobs and ensure mobility within their communities. They faithfully fulfilled their daily responsibilities, and not without significant risk to their personal health and safety despite all the precautions that had been put in place.

“Halifax Transit’s bus operators and ferry crews’ pride in public service during COVID-19 has been exemplary,” said Dave Reage, director of Halifax Transit. “I am so proud of their ongoing commitment to our customers and community. Throughout these challenging times, they have worked together to keep Halifax moving!”

Judy Powell, general manager of Metrobus Transit in St. John’s commented “During this difficult time, they put our customers ahead of themselves to ensure the people of our communities could access essential goods and services.”

The John Pearce Award is given annually to recognize an outstanding contribution to the public transportation cause. It was created by TAA in 2017 to commemorate the lifetime achievements in public transportation advocacy by the late Mr. Pearce, a founding father of the association’s predecessor Transport 2000 Atlantic, a past president, and long-time member of the board.

Newfoundland Ferry Rates – a provincial election issue?

Transport Action Atlantic is an all-volunteer non-partisan advocacy organization, with a history dating back nearly half a century. Our mandate is to promote and campaign for convenient, affordable and sustainable public transportation services for Atlantic Canadians. That’s why we’re asking what we believe is an important question during the current Newfoundland and Labrador election campaign.

TAA has been increasingly concerned at the serious escalation in Marine Atlantic ferry rates, which have more than doubled over the past two decades because of increased cost recovery demands from Transport Canada. An updated backgrounder on this issue is available HERE.

Why should a federally funded ferry service be an issue in a provincial election? Because it’s apparent that the Government of Canada is not meeting its obligations under the 1949 Terms of Union, and provincial politicians should be taking them to task.

We are inviting parties and candidates in this campaign to present their views on this critical issue. TAA believes that the ferry service between Port aux Basques and North Sydney should be considered a part of the Trans Canada Highway, and that the cost to users should be comparable to driving the same 180-km distance. That principle was incorporated in the 1949 Terms of Union, under which Newfoundland and Labrador became Canada’s tenth province, which specifically addressed railway rates as that was the dominant transport mode at the time. Highway has now completely superseded rail, but we maintain that the spirit in which the Terms of Union were originally drafted should be fully respected. The Government of Canada appears unwilling to do this – despite a commitment made by Justin Trudeau as opposition leader prior to the 2015 federal election. Clearly, it falls to provincial politicians to speak out and demand that Ottawa meet its constitutional obligations.

In the aftermath of the COVID-19 pandemic, with air transportation in serious crisis and unlikely to recover in the near future, affordable ferry service is particularly important to the struggling tourism sector. If the Atlantic Bubble is restored by summer 2021, Marine Atlantic will be uniquely positioned to bring significant numbers of visitors from the Maritimes – if the price is right.

Accordingly, we are requesting answers to these questions:

1.         Does your party support the principle that the ferry service between Port aux Basques and North Sydney is a part of the Trans Canada Highway, and as such the cost to users should be comparable to travelling the equivalent distance by road?

2.         Regardless of the outcome of the February 13 provincial election, will your party demand a full review of the existing Marine Atlantic ferry rates to ensure that the Government of Canada is compliant with the spirit of the 1949 Terms of Union?

TAA has sent the above questions to the parties, and we are awaiting their responses. Meanwhile, we suggest that voters who are concerned about ferry rates should engage their local candidates on the issue.

Atlantic Transport News – January 2021

Happy New Year! Welcome to the January edition of Atlantic Transport News!

Here’s a look at what you’ll find in this edition:

MOTORCOACH SERVICE IN NEW BRUNSWICK UNDER THREAT

Thousands of New Brunswickers are about to lose their only remaining public transportation link. With the provincial government unwilling to extend a helping hand to assist it through the COVID-19 crisis, Maritime Bus has announced indefinite closure of its services between Moncton and Campbellton and Fredericton and Edmundston, effective January 15.

Company founder Mike Cassidy, who came to the rescue after Acadian Lines abandoned its service in the Maritimes in 2012, has been providing line-haul motorcoach service ever since. However, he says, his passion for “public transit on provincial highways” has to be balanced with available financial resources. In April 2020 as the first wave of the pandemic took hold, Maritime Bus carried just 650 passengers – a dramatic plunge from 14,500 in the same month of 2019. The three provincial governments provided a one-time grant at that point to help offset the company’s losses, and indicated a willingness to negotiate an ongoing agreement for the duration of the crisis. The tentative deal to help cover the May to December was concluded with officials of all three provinces, but New Brunswick Premier Blaine Higgs refused to endorse it, citing his government’s policy of not subsidizing for-profit companies.

“Unfortunately, one province didn’t want to play in the same sandbox as the other two,” Mr. Cassidy said in a CBC interview. “The only way to reduce my operating costs is to travel less kilometres in the province of New Brunswick.”

The Higgs government decision ignores the reality that Maritime Bus lost over $3 million in 2020, and has continued to provide an essential public service on all its existing routes throughout the pandemic – albeit at a reduced level. Transport Action Atlantic has urged the Province to reconsider this regressive policy, which will leave residents of the North Shore and the Upper Valley without any public transportation options.

New Brunswick Green Party Leader David Coon also called on the premier to come to the rescue and keep the bus routes operational. He said the service loss will, among other things, deprive residents in the affected areas of vital access to healthcare services, adding that the buses are essential for people who cannot afford a car or are unable to drive.

For his part, Mike Cassidy says he’s committed to maintaining passenger and parcel service throughout the three Maritime provinces, noting that his company has a proven record over eight years, with no public funding except for the one-time contribution from the three provincial governments last spring.

“I want to take the high road by staying in business and keeping a base of bus service for our region until we are back to the new normal of people travelling again sometime this year when certain stakeholders and political decision makers are in a better place and a better frame of mind to make impactful social community decisions,” he said, adding that “it goes without saying Maritime Bus optimistically hopes public bus transportation will be a key strategic component in future community connectivity discussions.” 

ATLANTIC BUBBLE STAYS DEFLATED AMID NEW TRAVEL RESTRICTIONS

Don’t expect to see the Atlantic Bubble return anytime soon. That’s the clear message emerging from provincial premiers and health authorities in the aftermath of a relatively subdued and travel-restricted holiday season across the region. But all the precautions and restrictions were clearly not sufficient to keep the pandemic’s second wave contained. New Brunswick in particular recorded a dramatic upsurge in COVID-19 infections in the first week of the new year, prompting a return to the more restrictive “orange level” throughout the province effective at midnight on January 5.

While per-capita case counts remained low in comparison to Quebec, Ontario and Alberta, the region’s leaders were taking no chances. Nova Scotia, which had continued to allow other Atlantic Canadians to enter without self-isolating after the other three provinces had suspended the bubble in November, imposed restrictions at the border with New Brunswick on January 8. Meanwhile, Newfoundland and Labrador Premier Andrew Furey announced that his province would remain outside the bubble at least into February. And, New Brunswick announced that owning property or having family members in the province would no longer entitle non-residents to visit under the latest travel restrictions. All provinces were actively discouraging “non-essential” travel, but there appeared to be a variety of interpretations as to what that actually meant. One obvious complication is the relatively high number of residents who travel outside the region to find employment.

As of noon on January 10, the total reported active case count in the region stood at 212, over 80 percent of which were in New Brunswick.

Alerts continue to be issued about possible COVID exposure aboard flights into Atlantic Canada, while travel companies and some airlines appear to be flouting the advice of political leaders and public health officials by actively promoting offers to lure people onto planes and into resorts.  Intergovernmental Affairs Minister Dominic LeBlanc was clearly not amused, telling Brunswick News in a recent interview that he views the practice as “absurd”. The minister added that the Government of Canada won’t be interested in helping airlines financially if they aren’t interested in restoring regional routes.

ANOTHER SETBACK FOR AIR SERVICE IN THE REGION

In what one airport CEO described as a “massive blow”, Air Canada is implementing further flight suspensions throughout Atlantic Canada, effective January 11. The move includes a total shutdown until further notice of all scheduled passenger operations at Sydney and Saint John, as well as suspension of four routes serving Charlottetown, Fredericton, Deer Lake, and Halifax.

Derrick Stanford, president of the Atlantic Canada Airports Association, said the latest round of cuts has whittled down service to an unsustainable level, adding that this is the third significant round of service reductions in six months. It follows hot on the heels of major cutbacks implemented in November by WestJet that wiped out most of that airline’s presence in the region.

“Our industry cannot survive and operate in these conditions, and we are seeing the worst-case scenario playing out here today,” Mr. Stanford said. “This will have a huge impact on our region’s economy, on the ability of families to reconnect, on the movement of essential workers, and on airport employees and businesses.”

Meanwhile, St. John’s-based PAL Airlines is adjusting its services from Moncton to Newfoundland and Labrador to accommodate the latest round of travel restrictions as best it can. The airline has abandoned its service between Charlo NB and Wabush NL, and combined it with a new route linking Moncton with Deer Lake. And, until interprovincial travel restrictions are eased, non-stop service between YQM and YYT has been temporarily eliminated. Effective January 10 until further notice, a tri-weekly DASH-8-300 flight will run St. John’s – Deer Lake – Moncton – Wabush and return. PAL’s Janine Brown says a daily St. John’s – Moncton – Ottawa routing is still their post-pandemic objective, with a separate service planned for Deer Lake and Wabush.

ST. JOHN’S WALKS BACK A LITTLE ON METROBUS CUTS

Metrobus users in St. John’s will not have to deal with schedule cutbacks during the worst months of winter after all. Faced with mounting criticism, City Council has backtracked somewhat on its plan to implement the reduced summer schedule in January, in an effort to meet a severe budget crunch. The 2021 transit subsidy will still apparently be hit by the intended cut of $800,000, but the savings will now be achieved by deferring planned service improvements, rather than cutting back on frequency during the three most severe months of the year. The reductions will now begin in April. Frequency changes in summer are a normal response when student ridership drops substantially and more people are biking or walking.

Meanwhile, service is back to near-normal schedules on most urban transit systems in the region, although ridership, and consequently revenues, remain a long way below pre-pandemic levels.

CAMPOBELLO FERRY GETS ANOTHER EXTENSION

The Campobello ferry normally runs only in summer, and was not designed for operation under winter conditions. PHOTO – Maurice Haddon

The normally-seasonal Campobello Island ferry has received yet another extension. The New Brunswick government will now continue its financial support until February 7, 2021, to enable service four days a week (weather permitting) between Campobello and Deer Island, which is in turn connected with the NB mainland by year-round ferry. The only permanent access for the island’s 700 residents is through an international bridge to Lubec, Maine – a circuitous connection complicated by COVID-19 travel restrictions.

The Campobello ferry usually operates only during summer, and the privately-owned vessel is not well suited to sea conditions often encountered at this time of year. The schedule is therefore a bit of a moving target, and the operator, East Coast Ferries, is using social media to keep its customers informed.

Meanwhile, Campobello’s plight has found its way to the pages of the Toronto Star.  This detailed item was published on January 3: https://www.thestar.com/news/canada/2021/01/03/cut-off-by-geography-and-covid-19-this-canadian-island-is-calling-out-for-a-link-to-the-rest-of-canada-to-no-avail.html