TT-Line faces debt until 2052 as parliamentary committee reviews ferry project

During a public accounts committee hearing, representatives from TASCORP confirmed that TT-Line will retain a substantial debt burden until 2052, a result of the troubled ferry replacement programme. The project, which began in 2018, has exceeded its original budget by $717 million, largely due to overruns at the new Devonport berth. The new Bass Strait ferries are now expected to start operating in October after prolonged delays.

The Tasmanian government responded with a $506 million rescue package and an increase in TT-Line’s borrowing capacity to $1.4 billion. Committee chair Ruth Forrest questioned the viability of the company under such debt, to which TASCORP chair Gary Swain replied that failure is unlikely given the public ownership and government guarantee. Ongoing monitoring of the debt profile and a forthcoming recommendation on longer-term borrowing limits were also noted.