The company, Flagship Cruises & Events, plans to spend $21 million replacing two diesel-powered boats with electric ferries that will reduce pollution on San Diego Bay and nearby neighborhoods.
Shipbuilders have until Jan. 9 to submit bids to build the new vessels. Flagship officials say they plan to select a builder in early February.
The boats will take over for two long-running vessels — the Cabrillo and the Silvergate — and operate two existing ferry routes, one from Coronado to Broadway Pier and another from Coronado to the convention center.
In addition to reducing emissions to zero and ending decades of the boats spewing harmful particulate matter into the air, the switch will eliminate fumes and make the boats quieter.
Flagship has estimated the new boats will be ready to take over in fall 2026.
Flagship got a $15.3 million grant from the California Air Resources Board to cover the lion’s share of the cost. Flagship will cover the other $5.5 million.
“Bringing in a shipyard to construct the first purpose-built ferries of their kind — with capacity for 275 passengers — marks a major step forward in advancing sustainable transportation on the waterfront,” said Flagship president Brad Engel.
The company is partnering with Aurora Marine Design on the project.
“This is a once-in-a-generation opportunity for a shipyard to help deliver the next chapter in American ferry design,” said Aurora president Shaun Green.
The new ferries will include space for bicycles and strollers and be equipped with shoreside charging infrastructure. Flagship plans to help train 50 local workers in clean maritime technologies.
The new ferries are expected to reduce pollution in nearby neighborhoods, including long-polluted lower-income areas such as Barrio Logan and National City.
When plans for the new ferries were first announced last summer, Assemblymember David Alvarez, D-San Diego, praised the decision to award Flagship the large state grant.
“This investment by the state of California in fully electric zero-emission ferries is a critical step toward cleaning our environment and reducing air pollution in San Diego,” Alvarez said.
The switch to electric ferries also fits with the San Diego Port District’s “green port” initiative.
Flagship says fares won’t rise when the new boats begin operating.
The company has raised fares steeply in recent years, from $5 one-way in 2021 up to $9 one-way beginning last summer.
The California Public Utilities Commission approved the increases based on Flagship’s claims that it has faced significantly higher costs for fuel, labor and other expenses.
The fare hikes haven’t affected the ferry’s free commuter service, which includes six trips each morning from Coronado to Broadway Pier and six trips each morning from Broadway Pier to Coronado.
Commuters using the federally-subsidized service receive a voucher to take a return boat back later in the day at no charge. The commuter service is open to anyone, not just people who live or work in Coronado.
The new ferry boats will also operate the commuter trips.
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