A proposal to turn the ports into a States-owned company by the start of 2015 has been published by the minister, who says that the incorporated ports could settle any debts, fund a capital programme and retain funds for investment and still pay the States £42m over the next 20 years, as well as providing £34m worth of services.
Politicians have been talking about incorporating the department for several years, following the conversion of JT and Jersey Post from States departments to States-owned companies.
The new ports company would be run by a board of directors and all 250 staff from the existing departments would be transferred to the new company with the same terms and conditions.
The proposition sets out a £1.8m budget for the incorporation, half of which would go on legal costs from legislative changes and contracts.
In the report accompanying the proposition, Senator Maclean wrote that the move would create more flexible ports that were capable of funding themselves.
He wrote: ‘Not only through the reduction in financial liability, but also through a significant return to the States and a better deal for customers, the ability for the States to meet public service obligations will be very considerably enhanced.
‘The incremental benefits to a range of stakeholders demonstrate substantial improvements for our customers, employees, the parishes and the public at large.
‘While there is a cost associated with the project of incorporation, this is an investment to achieve greater gains than is possible under the current arrangements.
‘There will no doubt be several challenges to be addressed on the path to incorporation, but in drawing on sound models developed through the previous incorporation of trading operations we have an excellent framework for the successful delivery of the project.’
The proposals would have knock-on effects for the parishes of St Helier and St Peter – the conversion from a States department to a private company would mean that the Airport and harbours would start paying parish rates, contributing to parish services.
The proposition has been listed for debate in September.
