Three Shipyards Expected to Compete for Washington State Ferries Vessel Construction Contracts

Three shipyards have expressed interest in building a long-awaited series of new hybrid-electric car and passenger vessels for Washington State Ferries (WSF).

Nichols Brothers Boat Builders in Freeland, Wash.; Eastern Shipbuilding Group in Panama City, Fla. and Philly Shipyard in Philadelphia have sent pre-qualification packages after WSF earlier this year invited shipbuilders to bid, Washington State Department of Transportation Assistant Secretary Steve Nevey, the head of WSF, said in a message sent to staff, colleagues and stakeholders.

Washington State law previously required all WSF newbuilds to be constructed by shipyards within the state, but new legislation passed in 2023 allows WSDOT to solicit bids nationwide, clearing the agency to potentially contract with multiple shipyards—either inside or outside Washington state—to accelerate delivery after the agency's ferry electrification program fell behind schedule.

Washington shipbuilder Vigor was originally tapped in 2019 to design and build up to five 1,500-passenger, 144-vehicle hybrid-electric Olympic-class ferries, but WSDOT opted in 2022 to relaunch the competitive bid process following disagreements with the shipyard over price and other contract terms.

The new series will include five new 1,500-passenger, 160-vehicle hybrid-electric ferries with propulsion systems designed and supplied by ABB.

"Our next step is to visit these shipyards while we finish the design for the new vessels," Nevey said. "Later this year, we’ll ask the qualified builders to submit bids."

Bids will be due in January and the contract awarded in February 2025. The contract or contracts must be for a minimum of two vessels, with options for up to five vessels in total. WSDOT is required to award a credit of 13% of the bid price for bid proposals for vessels constructed in the state of Washington.

WSF has said it prefers to split the contract between two low bidders so that two shipyards could build simultaneously to deliver the new ferries faster. If this approach is taken, the agency said the first two vessels could be expected in 2028, followed by two more in 2029 and the final in 2030, bringing increased reliability on WSF's Mukilteo/Clinton and Seattle/Bremerton routes.

WSF, which manages the largest ferry system in the United States, aims to run a zero-emission fleet by 2050.

The five new hybrid-electric ferries will be the first of 16 new vessels delivered as part of WSF’s $3.98 billion Ferry System Electrification plan. The electrification program also includes the retrofit six current diesel ferries to hybrid-electric, retirement of 13 diesel ferries and charging power installations at 16 terminals.

In 2023, Vigor was awarded a contract to convert up to three of WSF's Jumbo Mark II class ferries to hybrid-electric power. The first conversion is currently underway.