VICTORIA: In response to skyrocketing global fuel prices, BC Ferries has announced that it will implement a temporary five per cent fuel surcharge on all of its passenger and vehicle services, effective June 16. The sharp increase in international oil prices stems from market volatility and supply disruptions following the closure of the strategic Strait of Hormuz amid the ongoing US-Israel conflict with Iran. BC Ferries stated that it had been absorbing the financial burden internally for the past few months, but a price hike has now become unavoidable under current conditions.
The company had previously utilized a “fuel deferral account” system designed to protect travelers from sudden spikes by absorbing short-term market fluctuations. However, with fuel costs remaining persistently high over an extended period, officials noted they were left with no choice but to introduce the levy. Dallyn Willis, Chief Financial Officer of BC Ferries, described the decision as the most balanced approach to navigating the crisis while minimizing the impact on consumers. He assured the public that the surcharge would be reduced or entirely removed if global fuel prices stabilize or decline in the coming days.
The five per cent surcharge will apply universally to all ticket categories, impacting both foot passengers and those traveling with vehicles. The increase will affect both advance reservations and tickets purchased directly at the terminals. This regulatory measure has been formally approved by the BC Ferry Commission under the provisions of the Coastal Ferry Act. Such decisions are strictly evaluated based on fluctuations in fuel prices, projected timelines for market stabilization, and the remaining balance within the fuel deferral account. This newly announced levy follows a separate 3.2 per cent average annual fare hike that went into effect earlier this year on April 1.
Due to the ongoing geopolitical crisis in the Middle East, several businesses across Canada, including major shipping corporations and commercial airlines, have already introduced similar fuel surcharges. Jennifer Lannan Emekoba, President of the Salt Spring Island Chamber of Commerce, expressed hope that BC Ferries’ decision would remain strictly a temporary measure. Meanwhile, Sam Holland, Chairman of the transit advocacy group “Better Transit YYJ,” pointed out that the surcharge would most heavily impact car commuters who already pay higher base fares. He urged the government to improve accessibility for commuters to reach ferry terminals via walking, cycling, or public transit to help shield ordinary citizens from these recurring financial burdens.
