Cheaper fares for residents, more services and two new vessels are promised with SeaLink securing a long-term contract to continue running ferry services to and from Kangaroo Island.

SeaLink has provided ferry services to KI since 1989 and has now won a tender to operate the service until at least June 2039, with two further five year performance based extension options.

The new contract takes effect on 1 July 2024, but resident fares will be cut from early March 2022.

A standard adult fare for KI residents will drop from $31 to $6.80 and the standard vehicle fare for residents will be reduced from $98 to $65.

Non-resident fares will be subject to dynamic pricing and will fluctuate according to season and demand, similar to airline fares.

Under the new contract SeaLink will deliver a 40 per cent increase in services provided over the year and a 37 per cent reduction in freight charges.

It will commission two new modern larger vessels with improved passenger amenity, reduced motion sickness and drive through capability for vehicles.

The company will iinvest in new port infrastructure; upgrade the passenger terminal facilities at Cape Jervis and Penneshaw; and improve customer technology innovations.

Minister for Infrastructure and Transport Corey Wingard says the new contract is a big win for Kangaroo Island and all South Australians.

“This will deliver a significant reduction from current fares for residents and will include discounts for concession holders, students and children who live on the Island.

“There will also be 11 services each direction per weekday from September through April under the new contract.

Clint Feuerherdt is CEO of SeaLink’s parent company Kelsian Group Limited.

He says SeaLink will drive new investment and visitation to South Australia while delivering an incredibly affordable, reliable and regular transport outcome for Kangaroo Island residents.

“We have a 32-year history of the safe and reliable delivery of this critical ferry service across the treacherous and exposed Backstairs Passage and under this new contract we will continue to serve the residents, businesses and tourists of Kangaroo Island until at least 2039,” he said.

“We will also deliver a significant increase in our schedule and capacity that will help sustain the future growth of the Kangaroo Island economy. The additional capacity and confidence we have in continuing to build visitation is the key to being able to offer cheaper fares to residents on this route.”