The Government of the Virgin Islands has redesigned the long-delayed West End Ferry Terminal Redevelopment Project after construction bids came in tens of millions of dollars above budget, prompting officials to scale back the plans and prepare to reopen the tender process later this year.

In an update issued by the Ministry of Communications and Works, headed by Minister of Communications and Works Hon. Kye Rymer, officials said the original tender process produced two bids — approximately $64 million from a joint venture of two local firms and $94 million from a Canadian company. Both proposals exceeded the approved budget and were deemed unaffordable.

The project was subsequently paused with the approval of the Caribbean Development Bank, which is financing the redevelopment under its Rehabilitation and Reconstruction Loan program.

The redesigned terminal, prepared by German engineering and architectural firm INROS Lackner SE, reduces the size of the building while retaining core facilities for passenger processing, customs and immigration. The ministry said engineering assessments also confirmed that additional land reclamation will still be required because the existing site is not stable enough to support the new structure.

“The Ministry recognises that this is not the outcome anyone had hoped for,” the statement said, adding that the redesign was necessary to keep the project within available resources.

The West End Ferry Terminal is one of the territory’s main transportation gateways and serves ferries, water taxis, private vessels and charter yachts traveling between Tortola, Jost Van Dyke and the neighboring United States Virgin Islands. Before Hurricanes Irma and Maria struck in September 2017, the terminal handled a significant share of the British Virgin Islands’ sea arrivals and was a critical entry point for tourists and residents.

The existing terminal was severely damaged during the 2017 storms, which disrupted transportation infrastructure across the territory and led to a broader reconstruction effort supported by international financing. The redevelopment project is part of the government’s post-hurricane recovery and resilience program and is intended to improve border security, expand passenger processing capacity and strengthen one of the territory’s most important links to regional travel and tourism.

The project has been in development for several years. In 2021, the government signed a $1.05 million contract with INROS Lackner SE to design the terminal and oversee construction. The original concept called for a modern, climate-resilient facility capable of accommodating growing passenger volumes while providing upgraded customs, immigration and security services.

The procurement process has faced repeated delays. After an initial prequalification exercise in 2023 did not yield qualified bidders, the process was restarted under revised criteria approved by the Caribbean Development Bank. Four firms were eventually shortlisted, and two bids were submitted in January 2025.

Officials said the revised design preserves the project’s essential features while aligning the scope with the approved budget. The Ministry of Communications and Works said the construction tender process is expected to reopen later this year.

“The Ministry understands that people are disappointed with the pace of this project,” the statement said. “Every effort is being made to move the project forward as quickly as possible.”

The West End Ferry Terminal Redevelopment Project is regarded as one of the government’s priority infrastructure initiatives and is expected to play a central role in improving transportation, tourism and economic activity in the Virgin Islands.

Soaring electricity bills, rising fuel prices and increasing import costs are placing growing pressure on households and businesses across the British Virgin Islands, prompting Claude Skelton Cline to warn during his Honestly Speaking radio program on May 19 that the territory should prepare for more difficult economic conditions and consider whether emergency measures may be needed to ease the burden.

Speaking on ZBVI Radio, Skelton Cline said the territory was entering a period of prolonged financial strain and urged residents, businesses and government officials to plan accordingly.

“The most dangerous position to be in right now is to be unprepared,” Skelton Cline said. “This thing is only going to intensify.”

Skelton Cline said higher utility costs were affecting nearly every sector of the economy, from households struggling to pay monthly bills to businesses facing decisions about staffing and operating expenses.

“These monthly utility bills are so exorbitant,” he said. “There is a domino effect of whether you can keep the same amount of staff.”

He questioned whether the government should consider using reserve funds and other measures to help stabilize fuel prices and provide relief to consumers.

“At what point does any of that trigger that creates a national state of emergency in this country?” Skelton Cline asked.

Skelton Cline noted that the territory has reserve funds and argued that policymakers should examine whether some of those resources could be used to reduce the impact of rising costs.

“There’s no reason why we should not be locking in fuel prices,” he said.

In addition to government action, Skelton Cline encouraged residents to take practical steps to reduce household expenses, including limiting electricity use and unplugging appliances when not in use.

“There are some things that are beyond our control, but there are some things that are within our control,” he said. “We must control those things.”

Skelton Cline said the British Virgin Islands had navigated difficult economic periods before and urged residents not to lose confidence.

“We cannot surrender to our frustration,” he said. “We cannot surrender to our cynicism and our skepticism.”

His comments come as consumers and business owners continue to face higher costs for electricity, fuel and imported goods, increasing concerns about the broader impact on employment, household budgets and the territory’s economy.