Gov. Bob Ferguson on Tuesday announced he has selected Eastern Shipbuilding Group Inc., Panama City, Fla., to build three new hybrid-electric ferries for Washington State Ferries (WSF).
Eastern was one of two bidders for the program to construct three new 160-vehicle ferries. The other contender was in-state shipbuilder Nichols Brothers Boat Builders, Freeland, Wash.
Nichols Brothers CEO Gavin Higgins had previously urged the governor to consider dividing the contract between the two firms. However, Ferguson ultimately opted for Eastern’s $714.5 million bid, which came in 6% below WSF’s engineering estimate and approximately 25% less than Nichols Brothers’ bid. In-state shipyards were granted a 13% bid credit as part of the evaluation.
“After careful consideration and conversations with legislative leaders, I believe Eastern is the best option to build these critically important vessels at a fair cost to our taxpayers,” said Ferguson, noting WSF will now move forward with the contracting process.
The move, which marks the first time since the 1980s that WSF has turned to an out-of-state builder for its vessels, comes as the agency — a division of the Washington State Department of Transportation and the largest ferry system in the U.S. — works to restore its service to pre-pandemic levels.
Deputy Transportation Secretary for WSF Steve Nevey said, “As we follow Governor Ferguson’s direction to focus on service, it’s exciting, as we restore additional vessels on three routes, to also move forward with constructing new ferries.”
Joey D’Isernia, CEO of Eastern Shipbuilding Group, said, “We are honored to be selected for this transformational project in the great State of Washington. For over four decades, our skilled team has built high-performing ferries — many of which remain in service today — including the Long Island and Staten Island Ferries. We look forward to delivering best-in-class vessels that will serve the residents and visitors of the Puget Sound region for generations to come.”
The new ferries are scheduled to be delivered to WSF from 2028 and will operate on the Mukilteo-Clinton and Seattle-Bremerton routes.
Designed by Elliott Bay Design Group, Seattle, each vessel will have capacity for 1,500 passengers and be powered primarily by water-cooled batteries supplied by ABB, with diesel engines installed for backup power.
The new ferries are part of WSF's long-term plan to electrify the entire fleet and reduce diesel consumption. WSF currently burns approximately 19 million gals. of diesel annually.
Ferguson, who took office in January, announced in March that WSF’s three-vessel hybrid conversion program would be paused until after the 2026 FIFA World Cup, prioritizing a return to full service instead.
One hybrid-electric conversion — on the Wenatchee — has been completed at Vigor's Seattle shipyard, and the vessel is expected to return to service later this month, according to WSF.
“We’re restoring domestic service to pre-pandemic levels years ahead of schedule, improving crew retention, and soon will bring our first hybrid-electric vessel into service,” said Ferguson.