The Premier has admitted he is "not proud" of the new cruise ship pier rising 70 percent over budget, but blames design changes and Government inefficiency.

Dr. Ewart Brown appeared to fault his own administration for the soaring costs of the Dockyard project yesterday at a Tourism press conference.

Asked why the costs of the new pier had risen from $35 million to a budget of $60 million, Dr. Brown said: "I do not condone or enjoy projects going from a predicted low cost to a high cost.

"Anyone who has ever built anything knows that with changes come costs. For example, 'I don't want this door here, I want it over there, I don't want this thruster (wall) here, I want it over there'.

"I am not proud that we couldn't do a better job of getting closer to what the end project could be, but that's part of Government and of Bermuda. We are not the most efficient model."

He continued: "I'm not going to stand here and make any excuses for that."

Dr. Brown added moves were underway to increase Government efficiency. He appeared to allude to plans announced in the Throne Speech "to craft a modernised Legislature and to equip Bermuda with an efficient and effective model of legislative democracy, fashioned through an inclusive, participatory process".

The Royal Gazette this week revealed our findings into an investigation into how costs for the new dock rocketed.

Yesterday, former Home Affairs Minister Quinton Edness called on the Bermuda Police Service to investigate the rising costs, and for the Premier to demand an inquiry.

Mr. Edness CBE said: "I am expecting the Police service fraud squad to investigate this company, Correia Construction, following the comments made in the press by the boss of the company, Mr. Dennis Correia, regarding the handling of the taxpayer's money on the docks project.

"According to The Royal Gazette story, Mr. Correia claimed in an e-mail to his subcontractor, [Mr. Gardella, – Louis (Skip) Gardella, owner of Norwalk Marine International] more than six weeks before he was awarded the contract for the job: 'Hey Skip, dock is in the bag'. How can this happen? Why is it allowed to happen?

"When Mr. Gardella said the crane rental was to be $8,000 a month, Mr. Correia, according to the story, came back and said, 'No, we want you to charge us $10,000 a week', according to Mr. Gardella. "The plan was to split the profits on the equipment rental. It was further stated in that same story by another contractor that the cost in Bermuda for renting a similar crane was $10,000 a month, approximately $2,500 a week not $10,000.

"The taxpayers will want to know, indeed, have a right to know, if this was a genuinely correct price or a price designed to make an enormous profit for someone and rip off the taxpayer, particularly since Mr. Correia said in an e-mail to Mr. Gardella, 'We are going to make tons of money and we can sit back and watch under a palm tree'.

"Further, a project which was supposed to cost around $35 million has blown out to cost $60 million and still going."

Mr. Edness, a former United Bermuda Party MP, said: "Another serious aspect to this project as reported was that Mr. Correia purchased both a Link-belt crane and the vibratory hammers from Mr. Gardella and continued to pay Mr. Gardella's company, NMI, equipment and management fees, and when asked why he continued to pay, Mr. Correia's answer was to the press: 'It was to appease him'. This of course is with the taxpayers' money.

"There are many aspects to this ordeal beyond the handling of taxpayers' money by Correia Construction.

"For instance, who from Government was overseeing the Government's interest and ensuring that payments were properly applied for work done and the purchase of services?

"How did Correia Construction know six weeks in advance they would get the contract, and as Mr. Correia stated, the work permits? The taxpayers of Bermuda deserve answers, so it is now up to the Bermuda Police Service to investigate what appears to be major discrepancies, coming incidentally, from the mouths of the very people involved.

"The Premier should also order an inquiry into the matter to find out just why this project is now costing $60 million.

"Failing that it will be up to the taxpayers of Bermuda to rise up and demand a proper inquiry. Especially the young people on whose shoulders the debt will fall."

The Royal Gazette investigation was prompted by figures released from Government to explain why measures to protect animals at Dolphin Quest cost taxpayers an extra $3.7 million.

Company bosses from contractor Correia Construction and subcontractor NMI both told this newspaper the Ministry of Tourism and Transport's figures given in Parliamentary Answers to the Senate, were inaccurate. Government however, this week maintained its figures were correct.

Among the findings of our investigation were that:

• rental fees for a crane quadrupled from the subcontractor's original quote from $8,000 a month to $10,000 a week;

• two vibratory hammers to drive the pile foundations were billed as an extra under "dolphin mitigation";

• the design of the thruster wall a barrier against sediment surge from ship propellers, changed four times according to Correia, tagging millions of dollars in extra costs onto the project;

• the terminal building doubled in price to $3.9 million.

Both the United Bermuda Party and Bermuda Democratic Alliance have demanded answers from Government on how the new cruise ship pier costs has soared to $60 million.