31 Aug 2010

Future of Whanganui port in doubt

9:53 pm on 31 August 2010

The future of Whanganui's port is in doubt after the district council ousted the company operating the harbour.

Mayor Michael Laws wants the city's port closed and turned into a marina for pleasure boats that could possibly be privatised.

The district council has paid River City Port Limited $275 million for its assets and as compensation for cancelling its lease on publicly-owned former harbour board land.

The company and the council battled in court for six years over lease details, and council officers expect to save more $7.3 million in legal costs over the next six years.

The next council will determine the the port's future after local body elections in October but Mr Laws says it is not viable and hopes it will become a marina for pleasure boats.

River City Port general manager Ray Lambert says the fate of the working harbour is now in voters' hands.