Atlantic Transport News – May 2022

Welcome to the May 2022 installment of Atlantic Transport News!

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

TRANSIT AGENCIES STRUGGLE AMID RECORD FUEL PRICES

Public transit – just recovering from devastating COVID deficits – faces another budget crisis amid soaring prices for diesel fuel, and there’s apparent reluctance on the part of most provincial governments to come to the rescue. SUBMITTED PHOTO

The soaring price of diesel fuel is having a severe effect on already-struggling municipal and urban transit systems and intercity bus operators in Atlantic Canada.  In most areas, the price per litre is at least a dollar higher than it was at the beginning of the year. In both New Brunswick and Newfoundland cities are calling on their provincial governments to take advantage of federal joint funding offers to help transit.

In St. John’s alone, Metrobus is predicting fuel costs will push the system $1.4 million over budget unless fares are raised or service reduced – which neither the agency nor City Hall wants to do. So far there’s no sign the Province is prepared to respond favourably. In fact, even though private autos and light trucks are getting a 50% rebate on registration renewals to help offset fuel costs, no such offer has been made with respect to transit vehicles.

A similar situation exists in New Brunswick, where the Premier Blaine Higgs has reached an agreement with Ottawa, under which federal contributions earmarked for transit and matched by the Province can be used for purposes other than what was originally intended. For NB, that means investment in highways and bridges, including highway twinning. Transport Action Atlantic views this as a most unfortunate turn of events – one that can only strengthen the car culture in a place where residents spend a far higher proportion of their income on motor fuel than any other Canadians.

PEI’S ISLAND TRANSIT REACHES MILESTONE AS ROUTES EXPAND WESTWARD

Funded by the provincial government and operated by Maritime Bus, PEI’s Island Transit now operates from Souris in the east to Tignish in the west. Soaring motor fuel prices are encouraging many islanders to park their cars and use the low-cost subsidized transit service instead. PHOTO – Maritime Bus

Canada’s smallest province continues to be a leader in public transportation. PEI’s Island Transit network was extended to the western end of the province effective 19 April. Residents are now able to effectively travel from one end of the island to the other for just a $2 fare, which includes a transfer to the T3 Transit service in Charlottetown.

Island transit reached a significant milestone on May 10. For the first time, the early morning bus arriving in Charlottetown from Souris had every seat occupied – a strong indication that Premier Dennis King’s transit-friendly policies are having the intended effect. Service in eastern PEI began in October 2021, and ridership has been growing steadily to the point where additional equipment may soon be needed.

Meanwhile, Mike Cassidy of Maritime Bus says the daily average of paid fares on their system continues to climb, from 266 in March, through 300 in April, to 349 for the first eight days of May. The fuel surcharge is set jointly by the regulators in Nova Scotia and New Brunswick based on a three-month weighted average, a process in which the company plays no part. It is currently 9.5%, but will increase for the next period based on the current price of diesel. Mr. Cassidy notes that base fares haven’t increased in ten years, because of the automatic adjustment for fuel costs. He says his corporate value philosophy is to keep fares affordable, and his biggest fear is overpricing the service.


VIA RAIL CEO RESIGNS ABRUPTLY

After just three years on the job, VIA Rail resigned – effective immediately – on May 20. PHOTO – theglobeandmail.com

Once again there has been a change in command at VIA Rail Canada. In a tersely-worded statement just before the May long weekend, Transport Minister Omar Alghabra announced the immediate departure of Cynthia Garneau, after just three years on the job and two years before her order-in-council appointment was due to end.

“I would like to thank Ms. Garneau for her service and her work over the past three years in contributing to the modernization of VIA Rail, and adapting VIA Rail operations during the height of the COVID-19 pandemic, while always ensuring the health and safety of employees and passengers,” the minister said, adding “I wish Ms. Garneau the best of luck in her future endeavours.”

No reason was given for the sudden resignation, with the former CEO saying only that her train had arrived at its destination, and she was leaving with a sense of accomplishment.

Ms. Garneau faced a difficult challenge from the day she arrived at VIA. She was new to the company and its culture, she had no railroad background, or any experience in an organization carrying passengers or with a need to appreciate customer relationships on a large but very personal scale. She’d been at VIA only ten months when COVID struck.

Her tenure will not likely be remembered as being positive for Atlantic Canada, or anywhere else outside the Toronto-Ottawa-Montreal-Quebec City corridor, where her focus had been clearly concentrated. Transport Action Atlantic was not able to obtain a meeting with her – not even a virtual one – during those three years, further reinforcing the perception that, in VIA’s view, Canada ends at Quebec City.

VIA board chair Françoise Bertrand announced that Martin Landry, who has served as the corporation’s chief commercial officer for the past eight years “will ensure business continuity”. Mr. Landry, who previously served in various senior roles at IBM, was recruited by former VIA CEO Yves Desjardins-Siciliano.

Martin R Landry, VIA Rail’s chief commercial officer for the past eight years, has been named interim CEO at the Crown corporation. SUBM ITTED PHOTO


VIA TRI-WEEKLY SERVICE RESUMING – BUT AMENITIES REMAIN UNCERTAIN

VIA’s Ocean consist for the peak travel season in 2022 is expected to resemble this view from last summer, with a mix of Renaissance and Budd stainless steel cars. However, there’s still no indication of anything to replace amenities no longer offered to sleeper class passengers with the loss of the Park-series observation dome cars. PHOTO – Tim Hayman

Restoration of pre-COVID service frequency by VIA Rail’s Ocean is just a few weeks away. The Crown corporation confirmed in a mid-April media release that the tri-weekly schedule would resume effective June 3, with departures from both Montreal and Halifax on Sundays, Wednesdays and Fridays. However, it’s still unclear what the summer consists will look like. The online reservation system indicates that additional sleeping car capacity is on offer, using Chateau stainless steel cars, but there has been no word on what, if anything, will replace the Park-series observations cars which can no longer operate because the train cannot be turned in Halifax. Unless this issue is addressed, it will represent a significant downgrading of service quality for the higher-revenue sleeper-class passengers – one that will clearly make the product less attractive than it previously was.

Although dining car service is now available to sleeper passengers, other safety measures in response to COVID-19 remain in effect. Those include a continuous masking policy on trains (except in enclosed sleeper accommodation) and in stations, as well as mandatory vaccination as required by the federal government.

NS AIRPORTS GET GOVERNMENT CASH AS TRAFFIC REBOUNDS

Halifax Stanfield International is now a much busy place than it was just a few months ago. Overseas flights by both Air Canada and WestJet have resumed, and more transborder routes will reopen in June. PHOTO-Ted Bartlett

Activity at airports across Atlantic Canada is slowly rebounding, as people gradually regain their confidence about travelling. Although horror stories abound about excessive security and customs delays at some of Canada’s larger airports, this region appears to have been spared most of the grief, which has been generally attributed to staffing shortages. Schedules are slowly becoming more frequent, as both airliners and airport authorities look ahead to summer with cautious optimism.

Governments generally appear to be more focused on encouraging people to fly than on promoting greener forms of transportation. As a case in point, on May 6 the Nova Scotia government handed out nearly $20 million in funding to help airports in Sydney and Halifax recover from the pandemic and attract new airlines and flights. Of this $6.3 million goes to Sydney and $13 million to Halifax. In the latter case, the money will be spent on attracting U.S. and international flights, and also to re-establish domestic services that were cut during the pandemic. However, as reported last month in this space, both overseas and transborder operations at YHZ are already showing encouraging signs of recovery.

Meanwhile, at annual meetings held recently both the Moncton and Saint John airport authorities reported a much improved outlook for their respective bottom lines. Even the smaller airports are seeing increased numbers of arrivals and departures, with new flights being introduced at bargain prices by low-cost carriers.

LIVELY DISCUSSION EXPECTED AT TAA’S ANNUAL MEETING

Veteran NL politician Gerry Byrne believes the answer to the Marine Atlantic ferry rates paradigm may be “hiding in plain sight.” He’ll be discussing his theory as one of the confirmed speakers at TAA’s AGM on May 28.
PHOTO – NL House of Assembly

The agenda is almost finalized for Transport Action Atlantic’s annual general meeting, to be held virtually using the ZOOM platform on Saturday, May 28, beginning at 1400 ADT (1430 NDT). In addition to the required business, there’s extensive discussion planned on three major issues that TAA has been closely following over the past year – public transit, passenger rail, and Marine Atlantic ferry rates. Confirmed or tentative speakers and panellists include Newfoundland and Labrador cabinet minister Gerry Byrne, Maritime Bus founder Mike Cassidy, New Brunswick transit advocate Yves Bourgeois, long-time Trains magazine passenger rail columnist Bob Johnston, and Deatra Walsh, policy and advocacy director for the NL municipalities federation.

The business agenda includes annual reports and financial statements, appointment of an auditor, election of a board of directors, and any other organizational matters that may arise. This is expected to require about 45 minutes, after which the discussion portion of the meeting will begin.

As always, our AGM is open to the general public and the media. Non-members who’d like to attend should request credentials by e-mail to atlantic@transportaction.ca.

Atlantic Transport News – April 2022

Welcome to the April 2022 installment of Atlantic Transport News!

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

FEDERAL BUDGET COMES UP EMPTY FOR VIA’S OCEAN – BUT TRI-WEEKLY SERVICE TO RESUME IN JUNE

Don’t expect to see long-haul passenger motive power like this in Canada anytime soon. Amtrak has ordered 125 of these low-emission Siemens Charger ALC42 diesels, shown here on the point of the Empire Builder. The 2022-23 federal budget contained nothing for VIA service outside the Toronto-Quebec City corridor.
PHOTO – Justin Franz/Twitter

Atlantic Canadians are still no closer to seeing a modernized rail passenger service after the 2022-23 federal budget was unveiled on April 7. The Trudeau Government’s fiscal plan made no mention of any investment outside the Toronto-Quebec City corridor, despite the first tentative steps taken by VIA Rail in January towards a long-overdue equipment replacement program. VIA is revealing little about the initiative, but the Crown corporation does acknowledge that there is no funding for it at this time. Evidently they are testing the waters to learn what options might be available, but are not prepared to say even how many participants were involved at their virtual “market day” – much less identify any of them. Neither will they disclose what type of equipment they might be looking at.

Meanwhile, VIA has just confirmed that the third frequency of the Ocean will resume in the first week of June. Online bookings had been available for Friday departures from Montreal and Halifax effective June 3 for several months, but the company hadn’t been able to confirm that these would actually take place, citing COVID-19 uncertainty. But the April 14th media release means that the full tri-weekly pre-pandemic schedule will be restored for the summer, albeit missing some of the amenities previously offered to sleeper-class passengers.

VIA CEO Cynthia Garneau termed it “a celebratory and crucial milestone in our service resumption plan after an incredibly challenging two years. We look forward to welcoming more of our customers back on board our trains and doing our part to encourage Canadians and tourists to get out and explore this beautiful country for the summer travel season.”

The release said VIA’s objective has always been the safe resumption of services when conditions allowed it, adding that the decision to add frequencies during the pandemic has been based on various factors, including demand, employing a balanced approach in order to fulfill VIA Rail’s public service mandate and manage financial impacts. The company will revise its service offering in line with the latest developments if necessary, and existing safety measures in response to COVID-19 remain in effect. Those include a masking policy on trains and in stations, as well as mandatory vaccination as required by the federal government.

“The train remains one of the safest ways to travel this summer and we are pleased to be offering our passengers more frequencies and more flexibility,” the announcement concluded. No details are yet available on whether additional sleeping car capacity will be available. The Ocean has been operating with just four Renaissance sleepers for the past several months, and for a number of upcoming departures the reservation system is showing all space as sold out.

LITTLE JOY FOR TRANSIT IN THREE PROVINCIAL BUDGETS

St. John’s City Councillor Maggie Burton: “There can be no meaningful action on poverty and climate without investment in public transportation.”
(Image from Facebook)

Sustainable transportation is clearly not a priority for the provincial governments of Nova Scotia, New Brunswick, and Newfoundland and Labrador. All three tabled their 2022 budgets in recent weeks – and all three gave public transit short shrift. Where it did get a mention, only lip service was paid.

In St. John’s there’s a bit of a tempest brewing because the Furey Liberals tried to claim political points for the underfunded Metrobus pass aimed at low-income residents. The City is being expected to provide the free transportation to more people, but with a lower level of provincial funding than previously – despite much higher fuel costs. At the same time, the Province is refusing to give Metrobus a break on its taxes or the registration fees for its vehicles. City Councillor Maggie Burton perhaps said it best when she tweeted “there can be no meaningful action on poverty and climate without investment in public transportation.”

New Brunswick is apparently still adamant that it will not commit matching provincial funding in order to avail of available federal money for public transit, despite requests to reconsider from at least two city councils. Quoting Ottawa sources, Brunswick News reported that there is $112 million left on the table for transit investments in NB if the Province is prepared to come up with its share, but Premier Higgs continues to argue that the program isn’t flexible enough.

Instead, the Province unveiled a three-year $1.1-billion plan for improving and extending the life of existing roads and bridges – some of which admittedly are in dire need of attention. But this, of course, does nothing to reduce automobile dependency or promote sustainable transportation. Moncton economist David Campbell recently posted a graph indicating that New Brunswickers spend a higher proportion of their household income on motor fuel than any other Canadians.

In late breaking news from Ottawa, there has apparently been some sort of compromise hammered out that would allow New Brunswick greater flexibility in accessing the federal funds, which are scheduled to disappear if not used by the end of the new fiscal year. Brunswick News says influential federal minister Dominic LeBlanc brokered the arrangement, and Premier Higgs was quoted as being pleased with the outcome. Although details aren’t yet available it appears most of the money earmarked for transit may be diverted to projects preferred by the province.

Meanwhile, Nova Scotia’s capital plan for 2022-23 includes $507.8 million for roads, highways and bridges. The only discernable nod to green transportation in the budget is a $2-million allocation for electric vehicle charging stations across the province. It isn’t clear if NS is prepared to match Ottawa’s offer for transit funding.

Prince Edward Island remains the front-runner in sustainable public transportation policies. It’s now been confirmed that the Island Transit network will be extended to the western end of the province effective Tuesday, April 19, which means residents will be able to effectively travel from one end of the province to the other for just a $2 fare, which includes a transfer to the T3 Transit service in Charlottetown. The recent budget also provided for free transit for all Islanders under 18, as well as $100 point-of-sale rebates on bicycle purchases and $500 for e-bikes. To allay concerns about supply chain issues, the government has announced that the cycle rebate will be extended indefinitely.

MARITIME BUS GETS CASH INFUSION FROM PROVINCES – BUT NOTHING YET FOR DRL

Intercity busing in the Maritimes has just received another helping hand from the three provincial governments to help keep services operational in the face of massive losses during the pandemic. In Newfoundland, DRL Coachlines remains empty-handed. PHOTO – Maritime Bus

Struggling motorcoach carrier Maritime Bus got some good news from three provincial governments on April 12. In a joint news release, Nova Scotia, New Brunswick and Prince Edward Island announced a combined contribution of just under $900,000 to help the company defray some of the multi-million-dollar losses it has sustained during the pandemic. In addition to drastically reduced farebox revenue on its intercity and rural routes, the coach tour and cruise ship business disappeared, eliminating many of the economies of scale that kept the family-owned enterprise viable.

“It’s nice to feel needed and it’s nice to feel wanted,” said Maritime Bus founder Mike Cassidy in an interview with CBC News. It’s the second infusion of funds Mr. Cassidy’s company has received from the provinces, and is particularly important in enabling service to continue in rural areas like northern New Brunswick. He’s looking forward to the return of cruise ships, and hopeful that revenues during the upcoming tourist season will reach 90% of 2019 levels.

Nova Scotia and New Brunswick will each contribute $400,000 to the company, while Prince Edward Island is providing $90,000. The media release from Nova Scotia said the contributions are proportional to the ratio of kilometres driven by the service in each province.

DRL Coachlines, also a privately-owned carrier that provides daily service across 900 kilometres of the Trans Canada Highway in Newfoundland, has also been trying to get some financial support from government to help offset its pandemic losses. Owner Jason Roberts says nothing has been forthcoming to date, despite assurances last fall that help was on the way. The province has cut registration fees in half for 2022 to help compensate car owners for higher fuel prices, but hasn’t offered anything to public transportation operators.

Meanwhile, there’s been no word from Ottawa about any change in federal policy regarding the
Rural Transit Solutions Fund. The $250-million program was unveiled last year, but the federal government has been adamant that only not-for-profit agencies qualify for the capital assistance it offers. That specifically excludes companies like Maritime Bus and DRL – despite the fact that both have been losing massive sums of money over the past two years.

Mike Cassidy had the opportunity for a face-to-face meeting with federal Transport Minister Omar Alghabra in early March, and expressed hope afterwards that the political will for change was beginning to come round. But he’s still waiting for talk to turn to positive action.

URBAN TRANSIT: “CLAWING ITS WAY BACK TO NORMAL”

With another difficult winter behind them, urban transit systems are tweaking schedules in an effort to win back riders. New initiatives at Halifax Transit include a dedicated transitway on Spring Garden Road, a program to make using transit easier for people with special mobility needs, and additional help for newcomers in learning how to navigate the system. SUBMITTED PHOTO

As more and more people transition towards a new normal after nearly two years of working from home, and the masking guidelines on public transit switch from “mandatory” to “recommended”, the bus systems in the region’s major urban centres are adjusting routes and schedules as they ride the challenging road to recovery.

Halifax Transit introduced some large-scale service changes back in November, primarily affecting communities on the Dartmouth side, but also reaching to Halifax, Spryfield and Porters Lake/Seaforth. Most of these changes had been in the works long before the pandemic hit, and were included in plans approved by the Regional Municipal Council last spring. They are not part of the longer-term rapid transit plan unveiled in 2021, but they have the same objective – to make it easier for Haligonians to get to their destinations more quickly and conveniently, and without resorting to cars. Although the agency announced a return to its full pandemic schedule several months ago, staffing issues have forced periodic cancellation of both bus runs and ferry crossings.

Meanwhile, significant improvements to public transit in St. John’s were launched in January, after City Council allocated funding for the so-called “Zip Network”, aimed at increased frequency on multiple Metrobus routes. The upgrades are part of a commitment originally approved in 2019, but implementation was put on hold due to pandemic restrictions.

The Zip Network offers increased and consistent frequency throughout the day on routes 1, 2, 3 and 10, beginning earlier in the morning and extending later in the day, with 15-minute frequency at peak hours on weekdays and 30 minutes for most other times. Metrobus general manager Judy Powell says user feedback from the changes has been positive, but the COVID factor makes the total impact difficult to measure. For example, Zip was introduced at the same time that most university students returned to campus. She added that ridership continues to gradually improve, and by March had reached 88% of pre-pandemic levels.

Greater Moncton’s Codiac Transpo is also tweaking its routes and schedules as it “claws its way back to normal”, says operations manager Alex Grncarovski. The system is now at 90% of pre-pandemic service hours, and is showing a steady ridership increase. With a new automated fare collection system now fully implemented, there’s a wealth of new data available for planning purposes that simply wasn’t there before. And, they’re hearing a lot from employers who are recognizing how important availability of transit is in recruitment. All this means more “thinking outside the box” to get the best bang for the buck as routing and expansion changes are contemplated.

Codiac Transpo is especially pleased that the Town of Riverview is showing a stronger commitment to public transit. Council has maintained funding for expanded service that was first introduced last year to help residents cope with the extended closure of one of the Petitcodiac River crossings. Riverview has a history of being very car-centric, and presents a special challenge, Mr. Grncarovski says, because it is very spread out and much more difficult to adequately serve than Moncton and Dieppe. But the coverage area has recently been extended, and residents appear to be reacting positively to more reliable and quicker service.

RATES UNCHANGED THIS SUMMER ON MARINE ATLANTIC FERRIES

Sailing to and from Newfoundland by Marine Atlantic this summer won’t cost any more than it did in 2020. The Crown corporation has apparently been granted an exemption from the 65% cost recovery requirement again this year, and it’s hoping to return to the full range of onboard amenities. PHOTO – Marine Atlantic

Marine Atlantic has confirmed that there will be no rate increase on its ferries to Newfoundland this summer. Evidently the federal government did not want to either rain on the province’s Come Home 2022 parade or exacerbate the rising cost of living by increasing the charges for trucking goods to the island. In effect, this means that fares will remain at the same level as in 2020, with the 65% cost recovery requirement evidently held in abeyance for another year. And, because the Crown corporation has a fuel hedging program with their own tank farm, there’s unlikely to be any immediate impact on the fuel surcharge as a result of world events. Ferry bookings for the summer are running well ahead of pre-pandemic norms for this time of year – no doubt a consequence of pent-up demand among ex-pat Newfoundlanders.

Meanwhile, there’s optimism that onboard amenities will return to near-normal this summer, after two seasons of very limited food and beverage offerings. Colin Tibbo, the executive in charge of customer experience, says public health considerations may dictate some adjustments in how the food actually gets to the plate, but he’s looking forward to offering the same standard of service that received high satisfaction levels from passengers pre-pandemic.

OVERSEAS FLIGHTS RETURNING TO HALIFAX STANFIELD

MAX is back. The once-controversial Boeing 737 MAX 8 will be the workhorse of overseas flights from Halifax Stanfield International this summer. PHOTO-courtesy of HIAA

“Travel is getting easier again,” proclaims a recent e-mail blast from WestJet to its customers. And, the Calgary-based airline appears to be as good as its word for overseas travel this summer from Halifax Stanfield International Airport. It’s forging ahead with the restoration of seasonal direct service to four destinations across the pond, beginning on May 1. This summer there will be a daily flight from YHZ to London Gatwick, and tri-weekly service to Glasgow and Dublin, plus four times a week to Paris.

Air Canada is also resuming its non-stop, year-round service to London Heathrow, beginning with a five-times weekly operation effective April 30, increasing to daily for the peak travel period. And starting June 24 the national flag carrier will resume daily Halifax- Boston service. American Airlines, meanwhile, will start daily service to Philadelphia on June 3, and also offer once-a-week direct flights to Boston and Washington. And, two carriers will offer seasonal service to Frankfurt beginning this spring. Condor Airlines and Lufthansa subsidiary Eurowings Discover will both fly to and from YHZ three times a week.

“We are very pleased that many of the non-stop overseas and U.S. flights that were offered at Halifax Stanfield pre-pandemic will return for summer 2022,” says airport spokesperson Tiffany Chase, although she acknowledged that some routes will be offered at lesser frequencies until more travel demand returns. “We will continue working with our airline partners to bring back more routes and increase flight frequencies in the coming months and years for the benefit of our communities.”

Even though it’s some 470 nautical miles closer to Europe than Halifax Stanfield, the picture at St. John’s International Airport is not quite so rosy. Apart from flights to and from the French territory of St. Pierre and Miquelon, YYT will remain devoid of direct service on any international route. Three years ago WestJet decided to permanently centralize all its Atlantic Canada overseas flights at Halifax. Air Canada cancelled its on-again, off-again service to London Heathrow in 2019, when the controversial Boeing MAX 8 airplanes were grounded worldwide over safety concerns. And then came the pandemic.

Air Canada told CBC News by an e-mailed statement in mid-March that there were currently no plans to add any international flying out of St. Johns, blaming the continued suspension on pandemic effects.

Interestingly, all the overseas flights resuming from Halifax by both Air Canada and WestJet will use the MAX 8 aircraft, with all safety issues apparently now resolved to the satisfaction of the regulatory authorities. 

TAA’S ANNUAL GENERAL MEETING SET FOR MAY 28

Mark your calendar! Transport Action Atlantic will hold its annual general meeting online using the Zoom platform on Saturday afternoon, May 28. An informative program focusing on convenient, affordable and sustainable transportation is being planned. interested members of the public are welcome to attend – details below!

Once again, this year’s Transport Action Atlantic’s annual general meeting will be held virtually using the ZOOM platform on Saturday, 28 May 2021, beginning at 1400 ADT (1430 NDT).

The agenda includes annual reports and financial statements, appointment of an auditor, election of a board of directors, and any other business that may arise.

Current members of Transport Action Atlantic may nominate (with their consent) any other member in good standing for a position on the board. It is the board’s responsibility to choose the executive officers. Nominations should be made in advance of the meeting, and may be submitted by mail to the TAA Nominating Committee, P.O.Box 268, Dartmouth NS B2Y 3Y3, or (preferably) by e-mail to TAA secretary Michael Perry at mikeper5@nb.sympatico.ca.

Besides the required business, we plan to include guest speakers focusing on critical public transportation issues in our region, with ample opportunity for questions and discussion. Please watch for further details on our website as this program is finalized. TAA members for whom we have an e-mail address will automatically receive an invitation to the meeting. Others who’d like to participate should request credentials by e-mail to atlantic@transportaction.ca. As always, our AGM is open to the general public and the media.

Atlantic Transport News – February 2022

Welcome to the February 2022 installment of Atlantic Transport News!

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

VIA HOLDS “MARKET DAY” FOR LONG-HAUL EQUIPMENT SUPPLIERS

One of the first of VIA’s new Siemens Charger locomotives and its consist of Venture rolling stock undergoes real-world winter testing during a snowstorm on the Alexandria Sub near Ottawa in January. The long-haul version of this engine will no doubt be in contention to replace an aging fleet of GMD F40s, now in their fourth decade of active service. PHOTO – David McCormack

VIA Rail Canada has confirmed it is preparing a business case for the renewal of its aging long-haul locomotives and cars – some of which are more than 70 years old. The Crown corporation hosted a virtual “Market-Day” event with suppliers on January 20 to discuss the project and seek their input on various elements including schedule, budget, procurement and delivery timeline. Those discussions will inform the submission to the federal government, which will ultimately have to approve the necessary funding. The latest version of VIA’s 5-year Corporate Plan, which has just been released to the public, is rather pessimistic on how long the process will take, suggesting that delivery of new equipment may well be 10-15 years in the future.

VIA is being somewhat coy about which potential suppliers might be involved. The invitation posted in December on the MERX public tendering website was extended to “all tier 1 original equipment manufacturers of intercity and long-distance rail cars and locomotives”, adding that the day would be dedicated to both informing the market about the fleet renewal opportunity and addressing the context of the Government of Canada’s 2022-2023 Budget.

A spokesperson in the office of CEO Cynthia Garneau did say the participating suppliers at the market day came from “across the world”, but was not in a position to say how many there actually were. However, it’s a safe bet that Siemens Mobility will be among the contenders to at the very least build new locomotives. Siemens is already supplying 32 bi-directional trainsets to replace VIA’s entire corridor fleet by the end of 2024. The first of these is currently undergoing testing in real-life winter conditions on the Alexandria Sub between Ottawa and Coteau QC. The first revenue service is set to take place later this year. The testing is reportedly going well.

Each of the new VIA trains includes a Siemens Charger locomotive, the current state-of-the-art in low-emission diesel-electric traction. The company also builds a long-distance version of the Charger. As of February 8, Amtrak now has a total of 125 of the so-called ALC42 units on the way, having just exercised an option to add 50 more to its current production order.

The ALC42 boasts a 1000-kilowatt head-end power capability for car heating and hotel services, compared to 600 kilowatts on the ones in VIA’s current order, as well as 20% more fuel capacity for longer range. Amtrak has had the first two units for testing over the past six months, and they’ve just been placed in revenue service on the Chicago-Seattle Empire Builder.

Meanwhile, the union representing many of VIA’s employees wants Ottawa to pour “significant dollars” into the corporation’s long-haul fleet renewal, and it views the Halifax-Montreal Ocean as a priority.  Unifor spokesperson Scott Doherty told the Campbellton Tribune that upgrading passenger rail transportation is a key factor across the country. He said that the Trudeau Government needs to follow the lead of the Biden White House, which as just committed to the largest public investment in Amtrak’s entire history.

“It can’t just be fast rail service from Toronto to Ottawa or Montreal to Windsor,” he said. “That can’t be the only place where investments get made.” He added that rail travel is “a green, environmentally acknowledged form of transportation, and it’s got to be affordable.”

 -Ted Bartlett

HALIFAX AIRPORT TRAFFIC “STALLED” IN 2021

This view of the main departures concourse at Halifax Stanfield International Airport on a November afternoon in 2021 was all too typical of the feeling of emptiness that prevailed here and at other terminals throughout the region last year. PHOTO – Ted Bartlett

2021 was another turbulent year for air traffic through Atlantic Canada’s busiest airport. For the second year in a row, passenger activity at Halifax Stanfield airport was down roughly 75 per cent compared to pre-pandemic levels. 1.1 million passengers travelled through the airport in 2021, compared to 4.2 million passengers in 2019.  Domestic travel reached roughly a third of 2019 levels in 2021, but US and international travel was nearly non-existant due ongoing international travel restrictions, and limited direct international flights to and from Halifax. This has resulted in significant financial losses for the Halifax International Airport Authority (HIAA).

“The past two years have been the most challenging years in Halifax Stanfield’s history,” said Joyce Carter, President and CEO, HIAA, in a news release. “We anticipate that it will take several more years for the airport to fully recover from the effects of COVID-19, and the recovery path will have many ups and downs along the way.”

After a slow start to the year, travel began to pick up through the late summer, as travel restrictions eased, and increasing vaccination rates helped raise traveller confidence. The return of air service created a sense of optimism, and more passengers were served during the month of August than the months of January to July combined. However, much of this progress was blunted by the pre-Christmas spike in COVID-19 cases due to the Omicron variant and restored caution against non-essential travel.

The overall decrease in passenger traffic during the pandemic has had a significant financial impact on the HIAA, airlines, and other businesses connected to the airport, including food, beverage, and retail concessions. According to a news release from the HIAA, approximately 45 per cent of concessions in the air terminal building remain closed because of the low passenger volumes, while others have reopened on limited hours due to less frequent flight activity and ongoing labour shortages.

Other airports throughout the region reported similar news, while also looking ahead with some cautious optimism. St. John’s International, Atlantic Canada’s second largest in terms of passenger numbers, has yet to release statistics for 2021, but Greater Moncton’s Roméo LeBlanc Airport – number three in the region – confirmed that its passenger arrivals and departures showed only slight improvement from the previous year.

In a media release on February 7, the airport authority acknowledged the uncertainty hanging over YQM in 2021. Even though it was the only New Brunswick airport handling passengers during the first half of the year, the facility saw only 10% of normal activity during that period.

A stronger recovery over the summer months meant that YQM was able to close the year at 177,040 passengers – a slight improvement over the prior year’s total of 173,404. Still, this remains down 74% compared to pre-COVID 2019 activity levels of 674,406 passengers.

-Tim Hayman, with files from Ted Bartlett

ST. JOHN’S AIRPORT PARALYZED BY FIREFIGHTERS DISPUTE

Chris Bussey, regional vice-president of the Union of Canadian Transportation Employees, said St. John’s Airport firefighters complained about harassment and bullying after bringing health and safety concerns to their employer. PHOTO – Jeremy Eaton/ CBC

It was neither a consequence of COVID nor winter weather, but for a four-day period in mid-January the region’s second busiest airport was brought to an effective standstill. The issue was a long-festering labour dispute with firefighters at St. John’s International Airport.

The first flight cancellations came on January 17, after two-thirds of fire hall staff went on leave due to concerns about what they claimed was a toxic workplace. Chris Bussey, the regional vice-president of the Union of Canadian Transportation Employees, told CBC News that firefighters were complaining about harassment and bullying after bringing health and safety concerns to their employer. Mr. Bussey said his members had reached a point where they had nowhere else to turn.

He said six out of nine firefighters asked their family doctors to take them out of the workplace to “protect their psychological health and safety”, leaving just three to respond to potential emergencies. He noted that airport firefighters require specialized training under international aviation regulations, which means staff can’t be supplemented by the St. John’s Regional Fire Department. At that point there was only one firefighter with one crash truck serving the airport – a service level sufficient for small planes, like a Dash 8, but not for larger aircraft.

A spokesperson for the St. John’s International Airport Authority confirmed operations had been affected by staffing levels, but declined to specifically address the issues with the media. By next day YYT was essentially at a complete standstill, except for medevac and cargo flights. For obvious geographic reasons, St. John’s is arguably more dependent on its airport than any other Canadian city of comparable size. Federal Labour Minister Seamus O’Regan, who represents one of the city ridings, said he was working with Transport Minister Omar Alghabra to try to find a resolution.

It took several days of apparently-intense negotiation with the aid of senior federal mediator Barney Dobbin, during which time a limited number of flights were able to operate under an interim arrangement, while others were diverted to Gander. A cryptic media release from the airport authority late on the fourth day of the disruption announced that the matter had been resolved and normal operations could now be resumed. Without giving any details, the statement said only that the issues had been addressed, adding that “we are committed to work with the union to ensure that this does not reoccur.”

It was several days more before flight schedules had fully returned to their COVID-reduced normal levels.
-Ted Bartlett

CAT TO SET SAIL FROM YARMOUTH AGAIN IN 2022

After more than three years of inactivity, the CAT may be about to resume service from Yarmouth NS. PHOTO – Tim Hayman

After yet another year out of service due to ongoing pandemic related travel restrictions, Bay Ferries is finally anticipating a return to service for the much maligned CAT ferry between Yarmouth and its new terminus of Bar Harbor, Maine. The company has announced a service resumption date of May 19, beginning with four crossings a week – Thursday, Friday, Saturday, and Monday. The service will expand to daily crossings from June 23 to September 11, dropping to six days a week until October 10, when sailings will end for the season.

The ferry will depart from Yarmouth at 9:30am, and depart for its return trip from Bar Harbor at 3:00pm. The shorter schedule facilitated by the new US terminus, at 3 ½ hours, makes this tighter turnaround possible, and facilitates better scheduled times in each direction. Tickets for the season can be booked via the Bay Ferries website. Adult fares are $115 one-way for walk-on passengers, or $210 for a round trip ticket, with discounted rates for seniors and youths; children under 6 years of age are free. Vehicle fares begin at $199 for a standard car, with increasing rates for larger vehicles and trailers, added to the initial passenger fare. Fares for smaller vehicles are lower, beginning at $20 for a bicycle. A special “Atlantic Adventure” package is also available, which offers discounted rates for walk-on round-trip travel where both crossings are completed within 72 hours. Canadian passengers may be disappointed to realize that all fares are presented in US funds, which means that the ferry pricing will be much steeper for Canadians depending on the exchange rates.

As with any travel in this time, scheduling and the actual return to service remain contingent on the public health situation, and any cross-border travel restrictions that may exist or evolve as the year unfolds. Full refunds are available on any trips cancelled at least 24 hours before departure.

FOOT-DRAGGING ON CAMPOBELLO FERRY ISSUE “OUTRAGEOUS”, SAYS NEW BRUNSWICK’S NEWEST SENATOR

Former Port Saint John CEO Jim Quinn is the newest member of the Senate from New Brunswick, and he intends to take an active role on transportation matters – including the Campobello ferry. SUBMITTED PHOTO

The normally-seasonal ferry serving Campobello Island has received yet another extension – this time until May. Scheduled to tie up for the season at the end of December, the tug-and-barge operation linking Campobello to the New Brunswick mainland via Deer Island is continuing to run four days a week, weather permitting and at the discretion of the operator. The Department of Transportation and Infrastructure foots the bill, which is about $60,000 a month.

Reaction among the island’s 800 permanent residents was generally positive, even though it’s widely recognized that the current ferry is poorly suited to the task at hand for a variety of reasons, not the least of which is that it was never designed for operation under winter conditions. Advocates are seeking a permanent, year-round solution with a more suitable vessel that ensures residents won’t have to travel through the US to access services in mainland New Brunswick. The Province has balked at the idea, maintaining that the island has a bridge to the state of Maine, and the federal government has so far refused to come to the table – even though an ACOA-funded study identified clear economic benefits from a year-round ferry, both to the island and the province as a whole.

It’s a situation that the province’s newest member of the Red Chamber in Ottawa finds “outrageous”. In a wide-ranging virtual discussion with a delegation from Transport Action Atlantic, Senator Jim Quinn said it’s a matter he’s prepared to pursue, and that a situation like this just wouldn’t happen in a part of Canada considered more politically important. He’s in a good position to know, having served many years as a senior federal public servant before becoming CEO of Port Saint John.

Senator Quinn is a member of the non-partisan Canadian Senators Group. He’s supportive of many of the issues on TAA’s sustainable transportation agenda.
-Ted Bartlett


REMEMBERING TWO ATLANTIC TRANSPORTATION LEADERS

Two prominent industry personalities from the late 20th Century, have passed away in recent weeks. Harry Steele and Rupert Tingley were both in their 90s. Mr. Steele, who died in St. John’s on January 28, has been widely described as a business titan. He achieved initial fame at Eastern Provincial Airways –“the little airline that could” – and served as chairman of Canadian Airlines International for over a decade. Mr. Tingley passed away in Moncton on February 2. He was a railroader whose career track led him down to the sea, whose name was synonymous with ferry service in Atlantic Canada for 15 years.

Lieutenant Commander Harold R. Steele was a career navy man, whose final military posting placed him in command of CFS Gander, not far from his birthplace in the remote Newfoundland outport of Musgrave Harbour. While there, he and his business-savvy wife Catherine acquired a bankrupt hotel named, perhaps somewhat inappropriately, the Albatross. By the time he left the forces in 1974 the hotel was doing well, and he accepted an offer as a vice-president with Eastern Provincial Airways, then part of the Crosbie group of companies. He lasted less than a year in that job – but long enough to recognize the struggling airline as an opportunity.

Harry Steele acquired control of struggling Eastern Provincial Airways in 1978, turned it around in just four years, and sold it to Canadian Pacific at a handsome profit. Before exiting the transportation business completely in the late 1990s, his interests also included stakes in Halterm, Oceanex, and Clarke Transport. PHOTO – Langan Business Report

The Steeles mortgaged their home and the hotel to augment the money they’d earned in some astute stock market trades, and by 1978 had acquired control of EPA. He turned it into a money maker, built a reputation for customer service and satisfaction, played politics and overcame the Transport Canada bureaucracy to defeat the much-larger CP Air in a struggle to win the lucrative Halifax-Toronto route, and took on striking pilots in a bitter and very public dispute. (During the labour troubles, Harry Steele was widely quoted as referring to the strikers as “overdressed, overpaid, oversexed bus drivers” – something he always maintained he never said – but the legend persists to this day.)

He also lost some friends in Newfoundland, and Gander in particular, by moving the airline’s operational hub to Halifax. It was a sound economic decision in light of the new Toronto routes, and no doubt facilitated the sale of EPA to CP Air at a substantial profit in 1984.

Mr. Steele was soon named to the board of CP Air, and eventually became non-executive chairman of Canadian Airlines International. But his aspirations to lead the new carrier into an enduring national and world-wide presence came to naught. Battered by the turbulent skies of the 1990s, Canadian ceased to exist with the arrival of the new millennium, and was acquired and merged into Air Canada. In later years, Harry Steele’s business focus was in broadcasting, but it was said he always refused on principle to fly Air Canada. At the time of his death, the Albatross Hotel was still in the family.

Rupert J. Tingley, shown here front and centre with his senior management group, was named Marine Atlantic’s first president and CEO when it became an independent Crown corporation in 1986. He was previously V-P and general manager of East Coast Marine and Ferry Service and CN Marine from 1973. PHOTO – Marine Atlantic Archives

Rupert J. Tingley, a native of Petitcodiac NB, also served in Canada’s military as a member of the RCAF. On release from the service he attended the University of New Brunswick, earned his engineering degree, and like many young New Brunswickers of the postwar era found employment with Canadian National Railways in 1952. His assignments around Atlantic Canada involved him in a number of marine-related projects, including building a dock for the new Newfoundland ferry William Carson at North Sydney.

Returning to the region after postings in Montreal and London Ontario, he became interested in a new and emerging technology – containerization. It was still early days, but he became an avid student, as was soon assigned to establish the railway’s container development branch. This led to a promotion as regional marketing manager, and then came a move that plunged him head-long into the ferry business as area manager for Newfoundland. To his everlasting embarrassment, he became deathly seasick on his first voyage from Argentia to North Sydney.

A few years later CN management and Transport Canada agreed to consolidate the various railway-run marine services into a single operating entity. The unwieldy-named East Coast Marine and Ferry Service was launched in 1973, with headquarters in Moncton just down the street from CN’s regional HQ building. Rupert Tingley was appointed general manager of the division, which was renamed CN Marine and given the now-familiar “wavy-navy” logo in 1976.

He oversaw the development of the region’s first custom superferry design that resulted in the 1980s construction of MV Caribou and MV Smallwood, and on creation of a separate Crown corporation to manage federally-supported ferry services in the region, he was logical choice to lead it. Following passage of enabling legislation in Parliament, Marine Atlantic was officially inaugurated on September 3, 1986, with Rupert Tingley as its first president and CEO.

Soon after his 1988 retirement, maybe remembering the long-ago encounter with mal de mer, or perhaps correctly anticipating that the immense concrete Confederation Bridge would replace the PEI ferries within a decade, he purchased controlling interest in two companies specializing in the trucking of cement.

-Ted Bartlett