High fares hurt tourismNovember 22, 2011Dear Sir,I noticed your editorial today on cruise ship policy and the tie-in to existing or lack of connecting transport systems to accommodate cruise ships. You correctly highlight the need to increase air travellers to the Island and the promotion of “bed and breakfast and guest houses which can offer more competitive rates and make up for the lack of facilities with superior, personal service”.I recently sent the below e-mail to the Premier pointing out the poor choices, which is serving to erode ferry service to the Pink route, which is the exact area of guest house hotels you address in your editorial ... If these hotels and guest houses are stripped of affordable transport, they lose their tourist clients, and thus the air customers you wish to attract to the Island, who spend significantly more while here in purchases of goods and services. Transport systems are a sunk cost, and they can be run more efficiently to add frequency and greater service to Bermudians, residents as well as tourists.The Government should look at privatising the service as an alternative, in a public and transparent way. Regardless of their final choice, they need to make the transport system clean, attractive, efficient and timely to the demands of the users at an affordable price ... This has to be government policy for an Island as spread out as it is in order to take pressure off the roads and reduce the pollution footprint of this beautiful island.R COLT BAGLEY IIIPagetPremier,I e-mailed you on 14 May protesting the unilateral cuts to the ferry service schedules, and while I never heard a peep from you, I was very happy that my concerns had the positive effect of bringing back the ferry service to its normal schedule, especially reinstalling the suspended weekend service, even if reduced. This is a considerable public service with wide appeal to Bermudians, especially those who commute into Hamilton. The ferry service keep the roads uncongested, lowers the pollution and consumption of fuels.Clearly your ferry transport system makes a significant inflow of revenue to the Government, as any citizen can see in the tourist months if they venture to Dockyard, or St George’s where seats are hard to find. In addition the ferry service serves the hotels and condominium units in the inner harbour area with its desirable service. Having no service or limited service would cut land values as well as profitability to hotels and tourism in general. We are delighted that service has been returned to near past schedules, even if reduced.Since my last e-mail, I have twice e-mailed the Minister of Transport to enquire why having restored service more broadly, it was decided to increase the ferry fare on the Pink Route Ferry by 100 percent? I desire a clear understanding of the logic of pricing out government service for citizens, residences and tourists in lieu of having to go back to road transport and all the negatives that private transport lead to, including greater costs of cars, roads, pollution and congestion into and around the major centres of commerce.While every economic cycle has winners and losers, and everyone must help in this regard, it seems unfair and unnecessary to make the drastic increases in ferry costs on one route only, to the point that people can not afford it, or refuse to pay it because there is no logical argument expressed by government in so doing so.Further, pricing of the ticket is one of the prime motivators to use in any study that is available. There is no study which suggests by doubling the cost there is any, I repeat any, benefit, short or long term in providing a viable and usable service for transport. Why is Government taking this approach to increase the cost of the Pink Route? Is it to eventually argue that the service is not warranted and a reason to cut the service all together? What type of logic is this?Government owns the equipment, and there is a clear need to supply alternative services for transport. It has been Government policy since the Cox family sold their ferry business to Government so it could be upgraded to meet future demand. Is it now Government policy through pricing to snuff out the service to the harbour residences and hotels? What madness is this? Surely there has to be some positive sensitivity to transport needs for commuters, residents and those in the tourist business, and the odd guest of residents who depend on public transport (like ferries) to allow people to roam the island and enjoy themselves (including family members who come from abroad and are unable to rent cars) without having the mentality that any service has to pay its way. Surely the revenues from the larger services can be shared to help cover cost for the Pink Service at affordable and incentive levels to increase usage rather than encourage road use, which the government appears to be doing.And of course, the larger question is, if only a high cost ferry service is available, why would business come to such a high cost place like Bermuda to set up new businesses, or invest in nearby new hotels? Why would anyone encourage friends to visit if the public transport system is only going to gouge users? My family of six, which is coming to Bermuda for Thanksgiving, is now faced with a $60 dollar ferry cost to go to town and have dinner and return. Will they go and pay this to have dinner in town at a restaurant? No! Is this what Government intends to do to businesses in Hamilton? How can Bermuda be in the tourist business when they raise existing transport system costs to the unaffordable level, which forces alternative choices and spending habits? On top of this, are the citizens and residents who then also choose not to spend their dollar because of the ridiculous increase cost of ferry transport to shop and dine in Hamilton?Where is the intelligent logic in raising fees by 100 percent at one time, other than to kill the service all together? If a $2.50 one way ticket needs an increase to help meet costs today and the future, doesn’t it make sense for government to first decide its revenue priorities and if it really needs the money, to raise over ten years, 50 cents every two years to get additional revenue? As pointed out in my 14 May letter to you, “How is this possible, when Government owns a modern full fleet of ferries, but then chooses to have those same ferries parked half the week? ... A major rethink in this area is needed in order to stop the negative slide of commerce, loss in tourism to visitors and travellers using the public system, while adding to road congestion, accidents etc. We have an existing public transport system that needs to be run smarter, in order to make it viable long term, but also more user friendly, both concepts lost on government changes in 2011.