Fast Ships seeks delay

Fast Ships' chairman Mr Alf Salter has asked that Gosford Council delay the signing of the deed of agreement, lease and sub-lease for the proposed fast ferry wharf and terminal at Ettalong.

Mr Salter asked for the delay, stating that the company's progress had been "slower than anticipated" due to "vessel issues" and the need to obtain valuation information for the proposed Ettalong Promenade development.

A meeting was held on March 21 with Gosford mayor Cr Laurie Maher, general manager Mr Peter Wilson, council's legal officer and Mr Salter.

It had been resolved at a meeting on October 4 that subject to council and Fast Ships Limited entering into the deed of agreement for the proposal, council enter into a lease and sub-lease with Fast Ships Limited.

The deed of agreement requires Fast Ships to commence construction of the wharf and terminal within a year of signing the leases, and to commence service of a high-speed ferry within two years of signing of the leases.

A report from council stated that there was nothing to prevent it from accepting Fast Ships request, nor anything to prevent it from terminating dealings with Fast Ships.

It stated that "in view of the nature of the matter, it is recommended that council (agree) to Fast Ships' request to delay signing of the relevant documents".

However, it suggested that Fast Ships report to council by no later than June 30 in respect to whether it had been successful in negotiations to gain investors and hence a commitment to build the fast ferry vessels.

Gosford Council has also increased Fast Ships legal and administrative expenses from $22,000 to $32,000.

Council officers have also recommended that a further report be made to council in July outlining whether Fast Ships Ltd had been successful, or not, in obtaining financial support and hence be in a position to sign the legal documents.

Fast Ships had also sought to have the project accepted as a major infrastructure project under State Environmental Planning Policy (Major Projects) 2005.

However, the proposal did not qualify.

Gosford Council will decide on Tuesday, May 2, whether to delay signing the documents.

Just seven months ago, Mr Salter was criticising Gosford Council for delays in signing the lease agreement.

"The company has been in a position to sign the document for the last six months and yet council continually defers the matter with requests for yet more information and guarantees," he said in a press release issued on September 8.

Council agenda COR.42, May 2