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Ferry operators to be engaged as airport expansion certain- Hodge-Smith

The extension to the Terrence B. Lettsome International Airport will proceed despite concerns raised by ferry operators about its potential adverse impact on their businesses. Photo: Internet Source
Hon Luce D. Hodge-Smith (R4) during the inaugural Virgin Islands Voice where she confirmed the expansion of the T.B Lettsome International Airport. Photo: Facebook
Hon Luce D. Hodge-Smith (R4) during the inaugural Virgin Islands Voice where she confirmed the expansion of the T.B Lettsome International Airport. Photo: Facebook
Premier and Minister for Finance, Dr the Honourable Natalio D. Wheatley (R7) acknowledged the financial pressures on ferry operators and said the government is willing to support them in adapting to the changing economic landscape. Photo: Government of the Virgin Islands
Premier and Minister for Finance, Dr the Honourable Natalio D. Wheatley (R7) acknowledged the financial pressures on ferry operators and said the government is willing to support them in adapting to the changing economic landscape. Photo: Government of the Virgin Islands
ROAD TOWN, Tortola, VI—The Government of the Virgin Islands is firmly committed to the extension of the Terrance B. Lettsome International Airport. The anticipated development will proceed despite concerns raised by ferry operators about its potential adverse impact on their businesses.

Anticipated Uptick 

Addressing  concerns directly during the inaugural broadcast of Virgin Islands Voice—live on April 16, 2025—Junior Minister for Culture and Tourism, Honourable Luce D. Hodge-Smith (R4), reiterated  “The airport is going to happen, there's no ifs, ands, or buts about it.” 

With this in mind, she acknowledged that traditional travel patterns, especially ferry travel from the US Virgin Islands, may be disrupted by the anticipated uptick in direct airlift to the Virgin Islands (VI). 

“The fact that the airport is going to happen, we’re going to see larger planes coming as well because of the extension of the runway,” she said, but stressed that the government is not turning a blind eye to these concerns and pledged to engage the affected operators directly.

Scenic Experience

To this end, she disclosed having a very important meeting with these ferry operators, because “we need to get an idea of what are the issues; The fact that one ferry is saying that they saw a decrease by 25%—what do all the other ferry operators say?” 

According to Minister Hodge-Smith, “We have to sit down, have a discussion… and find ways in which to assist the ferries to market their services; Because I believe that there is still relevance with the ferry services, although there’s going to be an increase in the flights coming through the airport once it’s extended.”

The Junior Minister suggested a marketing push to highlight the scenic experience of travelling from the US Virgin Islands to the VI by sea.  

Qualifying this position, she adumbrated, “It is a beautiful journey coming from the US Virgin Islands to the British Virgin Islands, so we can market it that way.”

Broader Economic Strategy

Minister Hodge-Smith also revealed that discussions are ongoing with cruise lines to increase visits during the slow season. “It was brought to the attention of the cruise lines that we would be interested in them extending their visits to the slow season,” she explained. “The answer was yes, they are considering those things.”

Meanwhile, Premier and Minister for Finance, Dr the Honourable Natalio D. Wheatley (R7), also spoke to the commitment to dialogue and adaptation, while also seeking to add context to the broader economic strategy behind the airport 

A Reality Persons Must accept!

Acknowledging the financial pressures on ferry operators, he said the government is willing to support them in adapting to the changing economic landscape.

“We need to get together and have a conversation about where the economy is going and how we can help to support persons to make adjustments and transition to areas to be able to sustain their business; We also may have to speak to the Ports Authority… and perhaps see if we do have reduced numbers—how can we adjust the scheduling to accommodate?”

He was adamant nonetheless,  “There is a reality that persons must accept, that with an extended runway, there will be less need to fly out of the US Virgin Islands.”

23 Responses to “Ferry operators to be engaged as airport expansion certain- Hodge-Smith ”

  • we the people (21/04/2025, 08:36) Like (10) Dislike (18) Reply
    The runway expansion is a MUST
    • @ we the people (21/04/2025, 12:19) Like (10) Dislike (0) Reply
      That being the case, why then don’t you offer to contribute a few millions towards it. If you don’t have millions, then offer whatever you can. Start a GoFund me./ Govt does not have the money (they just borrowed $ 100 mil for other stiuff). They keep telling us they’ll make a business case for the project, and now they’re just saying forget about dat, if we build it they will come. This ain’t no $ 7 million ghost airline. You talking about a project that will cost more than half a billion of public money.
    • @We the People (21/04/2025, 13:55) Like (3) Dislike (5) Reply
      If there is an airport expansion, that means bigger planes from the US can make direct flights to and from the BVI there would not be a need for ferry services between the USVI and the BVI.
  • Hum (21/04/2025, 08:50) Like (9) Dislike (14) Reply
    You killing your contry
  • what we need to midigate is.. (21/04/2025, 08:58) Like (20) Dislike (0) Reply
    What we need to midigate are the high prices they have been charging while been subsidized by the Government. They never passed on any of those monies to thier customers. Instead they raised the prices even higher and now we are supposed to feel sorry for them. If you arrive in STT at 5 Pm forget abot gett to BVI , how about they coordinate with Airlines to ensure you can get connecting Ferry for late arrives. In other words adapt to needs of your customer not what is convenient or you. They will be no public sympathy for the ferry operators. For years they have gouged the customers . The 1 ferry operator that never received susidies Speedys seems to have the best services and prices . Maybe because they had to follow a business model that respected thier customer and structured processes to ensure the customer returned again and again. Nobody wants to see any business fail but after being taken advantaged of for so long well ut is what it is.
    • not ferry (21/04/2025, 10:30) Like (7) Dislike (1) Reply
      its not the ferry operators that are the problem with late night runs, its Customs and immigration...
    • Get your facts right (22/04/2025, 07:06) Like (1) Dislike (0) Reply

      No ferry running to st thomas is subsidized by the government. NONE

  • A Capitalist Who Loves the BVI (21/04/2025, 09:56) Like (18) Dislike (7) Reply
    If it indeed goes through, the Beef Island Airport expansion project will be the biggest mistake ever made by this Territory's government (so-called), which is dominated by a cadre of corrupt and economically illiterate people. The same folks who brought you BVI Airways, the Anegada Solar Farm and other photo-op vanity projects now want to plunge the citizens into an amount of debt that will never be capable of repayment. And also, notice how the vaunted "business case" that was supposed to be a predicate for this project's economic feasibility has now been shunted aside and deemed an irrelevancy? The ferry operators will be the least of the problems that will arise.
    • @ Capitalist (21/04/2025, 12:14) Like (4) Dislike (1) Reply
      Well said. I am neither an accountant or an engineer, but first of all, there has never ever been a capital improvement project in the BVIs that has been completed within budget or even deadline. The expansion project is very ambitious. If memory serves, there were two options: fill in and pilings. The interest in fill in waned when initial serious interests were waving budgets in the $ 500 million range. That was a few years ago, everything is more expensive now, so not at all unrealistic to think final costs will be about $ 1 billion. That money has tom come from somewhere. At 5% over 20 years, payments will be in the $6.6 million per month year round, or about $80 million per year, plus operating costs That will get passed on to the travelers in fees and taxes. Sure, the project could be sold to an operator who builds it and runs it, but they too might be left wondering how to make the monthly note. And, what does the government do if operator defaults? As you point out, the business cases has been abandoned. That being true, that will also make it harder to obtain financing. The subterfuge behind all this is also quite disturbing. Utterly reckless.
      • A Capitalist Who Loves the BVI (21/04/2025, 13:44) Like (2) Dislike (2) Reply
        @ Capitalist, thank you. It's infuriating to see no serious discussion of the numbers, nor will anyone explain how the "Business Case" died a crib death, without a whimper. Thanks for laying out more math than anyone in "da gub mint" has yet to do, and your interest rate of 5% is an optimistic assumption; it will likely be far more like 6.5% to 7%. It's just shocking how NOBODY is talking about the math, which is so basic, but yet apparently inscrutable to the elected solons.
    • Do you really love BVI?? (21/04/2025, 12:34) Like (1) Dislike (6) Reply
      So while the STT goes under a $375 million upgrade , we should remain inconveniened because of your myopic view . It is noted that you dont make a case that the airport is not neeeded and customer surveys and the demand for the current flights clearly shows that it is needed but rather you point to the process by which the expansion will be accomplished and potential corruption. There are checks and balances that can be put in place to prevent mismanagement. You sound like one of those greedy operators that rather than adapt and give the public fair prices you prefer to continue to price gouge BVIslanders with the same high prices and poor service while fattening your pockets with government sunsidies.
      • A Capitalist Who Loves the BVI (21/04/2025, 13:40) Like (3) Dislike (1) Reply
        My "myopic" view is based upon the math. The upgrade at STT is being financed by a government that has far more capital borrowing power, and ability to sustain subsquent payments on the obligation, than does the BVI. You also mention "customer surveys" so please post them here - in other words, data, NOT rumors and folk tales.

        Also, when were they done - before or after the recent increase in airlift by American Airlines? Finally look at the math that was laid by @ Capitalist, and note that s/he is assuming a 5% interest rate, which is exceedingly optimistic. Please address that math in a reply, and tell me where we are wrong about what it would take to repay the borrowed obligation.

        Finally, why am I being "myopic" when I point out how the vaunted "Business Case" was jettisoned? Tell me how that can possibly be defended - and note that it has NEVER been publicized in even a summary format. You know why? [rhetorical question]. Answer: because the numbers don't work - period full stop. And as a coda, I'm talking about the numbers not only attendant to repaying the obligation, but also showing a NEED for more airlift via larger aircraft. Can anyone make the case, again via data, that there villas and resorts that are underutilized due to inadequate airlift? Can you make that case, or are you just running your mouth? Prove me wrong in a reply with hard data.
        • Happily (21/04/2025, 18:54) Like (0) Dislike (0) Reply
          The starting point of the argument is in bad faith - the amount is overstated - in 2017 St Vicent extended their runway to accomodate 747 at a cost of $259 Million , accounting for infation of 25% that would be $325 today . The enginerring included THE REMOVAL OF 2 MOUNTAINS , FILLING OF 2 VALLEYS , REROUTING A MAJOR RIVER AND RELOCATING A CEMETARY- I would make a guess that Beef Islands does not require anywhere near these topographical challenges. . If you are in fact a Captailist that loves the BVI then surely you believe that we have a product that many would be confident to invest in and the cost should not exceed $400 M. Why is it that St Vincent is able complete a major project like this accomplished but we cant? Are you truly say that EVERYONE in the BVI is imcompetant? As for making a case for underutilization the only data needed is those Hotels closing for 2 to 3 months because they cant operate due to lack of guests and negatively impacting the most vulnerable in our society (most econmonically disadvantaged NOT WORKING). Where else are Hotels closing for 2 to 3 Months? Certainly not STT. Most Hotels lower rates to attract a more economically minded guest. Lastly " myopic" because infrastructure projects should be forward looking , so we should build/expand not to what we currently require but what we will need in 20 YEARS . I consider a reactive response rather than proactive measures myopic.
  • Heart of Stone (21/04/2025, 10:49) Like (25) Dislike (0) Reply
    The ferry operators have been merciless to customers over the years. Their prices are ridiculously high and so are the luggage fees. Some even charge a $10 fee for assisting them by booking online. The one that goes to Red Hook charges for packages by weight and if you miss the boat or decide to come back on another day, they also charge $10 (per person) to change your ticket. I have no sympathy for these businesses as they have no compassion for their customers.
    • Exactly (21/04/2025, 13:08) Like (4) Dislike (0) Reply
      And all while getting money from the Government to operate. And the Goverment had the ability to stop this , the could have simply said we will no longer provide you with subsidies if you continue this behaviour.
  • D4 (21/04/2025, 12:39) Like (0) Dislike (0) Reply
    What does Luce, GM and Dr.Dolittle have in common?
  • Trojan horse (21/04/2025, 12:50) Like (6) Dislike (1) Reply
    Unless the UK step in the airport expansion will result in:
    1. Several very rich politicians
    2. China gaining a foothold in the BVI
    HOA members should stop moaning about the UK and read the tale of the Trojan Horse.
  • BuzzBvi (21/04/2025, 13:31) Like (7) Dislike (0) Reply
    How can this be. They are saying nothing is decided. What about the KPMG report to help us decide. How is this another done deal without deciding. Who is getting the kickbacks?
    • A Capitalist Who Loves the BVI (21/04/2025, 15:42) Like (1) Dislike (0) Reply
      The airport business case was supposedly premised upon KPMG using the UK Green Book model, which seems fairly solid. Below is a link to a December of 2024 letter to The BVI Beacon by Peter Wickham, who for thirty years was an economist at the International Monetary Fund, and note this excerpt:

      "Apparently, the premier thinks that a decision to move ahead is a “piece of cake” and a “no-brainer,” to paraphrase his public utterances on the subject! But at a minimum, he and other House of Assembly members should await the full assessment of the cost-benefit analysis currently being prepared by consultants.

      This, in fact, is what his administration (and previous administrations) have pledged to do, only seemingly to renege despite agreements with the United Kingdom Foreign, Commonwealth and Development Office and the UK Treasury.

      The airport expansion would be the largest infrastructure project undertaken by the VI, and it would be advisable for the government to provide the fullest possible information to the electorate rather than engage in obfuscation.

      At least at this juncture, more data for analysis and sober reflection is available than for previous efforts (which principally used guesswork). Data, for instance, exists for American Airlines’ direct flights between the VI and Miami, including passenger totals, load factors, customs and immigration handling, baggage and so on. So any business case should be strengthened by the availability of this firm data."
      https://www.bvibeacon.com/commentary-economist-weighs-in-on-airport-project/

      "No brainer" indeed, but unfortunately, that has become a metaphor for the Premier and this Territory's government.
  • On hold (21/04/2025, 14:48) Like (0) Dislike (0) Reply
    We can’t keep holding back our country for the benefit of a few while the future of the country suffer. 90%of the people who are saying no to the expansion of our airport have international airports where they from. Premier let’s hurry up and get those international European flights in here so our tourism economy can grow exponentially
  • Trellis Bay (21/04/2025, 18:00) Like (0) Dislike (0) Reply
    Has the govt made public the PLAN for what will be the future of Trellis? If that runway is NOT built with ENOUGH large culverts to suffice water flow and propermtc of same culverts, Trellis will end up becoming a marina. I do not believe that is what the future generations desire.

    PLEASE save Trellis Bay!!
  • ausar (22/04/2025, 04:50) Like (0) Dislike (1) Reply
    Don't you dare listen to " A Capatalist who loves, et al", !

    THIS COUNTRY IS IN NEED OF GROWTH!

    And, our people is in need of the opportunities that an expanded runway provides!

    I wanna bet, that "Capitalist", is from an area of the world, with expansive airport and travel, opportunities!

    Let's not listen to those, who want to keep our territory behind!

    NOW, is the time to repurpose ourselves, in an expanding, and changing world!


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