By Brian Major From Travelpulse

The Cayman Islands’ government this week approved a detailed outline of the country’s long-discussed project to create permanent cruise ship piers in Grand Cayman, and issued the report for public review. Construction of the piers would require the “direct involvement” or support of Carnival Cruise Lines and Royal Caribbean International, according to government officials.

The Cayman Islands government will next develop a request for qualification outlining the scope of the project and inviting prospective developers to “confirm that they have the capacity to design, build, and finance and deliver cruise passenger volumes,” said Moses Kirkconnell, the country’s tourism minister.

In the Outline Business Case for the Cruise Berthing Facility report, government financial advisers PricewaterhouseCoopers (PwC) recommend the formation of a public/private partnership with a cruise line or an organization with the ability to “control cruise volumes.”  PwC estimates the project’s cost at up to $200 million.

The proposal calls for two piers to be built in the waterfront capital of George Town. The piers would generate $250 million to $1.2 billion for the local economy and create up to 1,000 jobs over 20 years, according to the report.

Carnival and Royal Caribbean currently account for more than 80 percent of cruise calls in the Cayman Islands. “Royal Caribbean is still interested in developing the pier and will continue to work together with the government of the Cayman Islands,” said a Royal Caribbean spokesperson Thursday.

“Six Carnival Corporation brands call on Grand Cayman, with close to 800,000 passengers per year, and our market share on the island is about 60 percent of the total cruise business,” said Roger Frizell, a Carnival Corp. spokesman. “We have been in discussions with the Government of the Cayman Islands, stressing the need to develop a berthing facility to secure long-term the cruise business.”

Under the proposed public/private partnership, the cruise line or operator would enter a long-term agreement with government to design and build the piers. The cruise line would pay for all construction costs, recouping their investment through berthing fees. The Cayman Islands’ port authority would retain responsibility for day-to-day operation of the piers while the cruise line would control vessel access. The government would assume ownership of the piers at the end of the agreement.

“I am extremely pleased with the integrity of the process and with the progress being made to finally provide the Cayman Islands with a cruise berthing facility,” said Kirkconnell. “The project milestones are being achieved on time and it is anticipated that the tender process will begin early in the New Year.”

The government is embarking on the preparation of an environmental impact assessment, Kirkconnell said. “The EIA will be conducted by an independent consultant who will study many factors including waves, currents, tides, dredging, reefs and wrecks. It is recognized that the design of the facility cannot be concluded until the EIA is completed.”

The government will also assess “the effect of cruise tourism on George Town and its environs,” said Kirkconnell. “[We] have commenced an initiative to revitalize the town center and waterfront areas and understand that independent to the installation of cruise berthing, these areas require upgrading to maintain a positive visitor experience.”

For more on this story go to:

http://www.travelpulse.com/cayman-ship-pier-study-calls-for-support-from-major-cruise-lines.html

See related iNews Cayman Editorial dated November 7 2013 “The Editor Speaks: Cruise ship terminal won’t be coming soon” at: http://www.ieyenews.com/wordpress/the-editor-speaks-cruise-ship-terminal-wont-be-coming-soon/