NZ to Lose Millions Because of Compromise

Business & Finance

Not proceeding with the full expansion plans for the Ports of Auckland jeopardizes the fast-growing cruise sector, and will cost Auckland and New Zealand’s economy millions of dollars, according to Cruise New Zealand.

The decision means the brand new Ovation of the Seas will not be able to visit Auckland as planned next year. The Ovation’s maiden visit to New Zealand was announced just two weeks ago.

The ship would be the largest cruise liner ever to visit New Zealand, at a length of 348 meters, 167,800 gross tonnage and a maximum capacity of 4900 passengers and 1300 crew. This is the equivalent of 12 Airbus A380s arriving at the same time.

Cruise New Zealand estimates that Auckland could lose $12.4 million next year, while the cost to the wider New Zealand economy could be 120,000 passenger port days which translates to $40.4 million.

Ports of Auckland has advised that due to the change in its development plans, it will not now be able to accommodate the Ovation of the Seas,Cruise New Zealand chairman Kevin O’Sullivan said.

If the ship is unable to call at Auckland, it is unlikely to come to New Zealand at all. An itinerary that does not include Auckland is much harder to sell and hence is unlikely to happen.”

The situation will potentially harm the growth of the cruise sector for several years, concluded Mr O’Sullivan.

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