Kangaroo Island Ferry

The Hon. C. BONAROS (14:46): I seek leave to make a brief explanation before asking the Minister for Tourism, representing the Minister for Transport and Infrastructure, a question in relation to the Kangaroo Island ferry.

Leave granted.

The Hon. C. BONAROS: The SA government announced last year that it will put the KI ferry service, currently one of the most expensive ferry services in the world, to a competitive tender. The current long-term operator is Adelaide-based SeaLink, which has provided the vital service linking the mainland to KI since 1989 and whose licence expires in July 2024. On the back of the government's decision, SeaLink has revealed it has delayed millions of dollars in new investment until it 'has clarity' on its position in South Australia.

I note that in a letter to our hardworking federal colleague, Centre Alliance's member for Mayo, Rebekha Sharkie, the Minister for Transport and Infrastructure, Stephan Knoll, has advised that DPTI is 'currently working through the procurement process and options for future operating models to support an appropriate ferry service tender release time frame to market'.

1. Can the minister provide an update on the current status of the tender process, including whether that includes an international tender process?

2. Will the criteria and subsequent assessment of the tender process to ensure value for money be made public; if so, when?

3. How will the government ensure value for money for KI residents in its eventual ferry service tender process?

4. Is the government willing to consider direct subsidies to the successful ferry service operator, as has been suggested in some quarters as presenting value for money?

5. Would the minister describe subsidies as a preferred option; if so, why, or if not, why?

The Hon. D.W. RIDGWAY (Minister for Trade, Tourism and Investment) (14:48): I thank the honourable member for her question and for her ongoing interest in regional South Australia. I will take that question and refer it to the minister, the Hon. Stephan Knoll, member for Schubert.