The Digby-Saint John ferry service will continue for another two years while the operators and government funding partners look for a longer term solution. The governments of Nova Scotia, New Brunswick, and Canada, as well as the city of Saint John and the municipality of the County of Digby, have reached agreement with Bay Ferries Limited to maintain the service for two years. “This ferry service is a critical commercial and passenger link and an important contributor to the local economy,” Nova Scotia Premier Rodney MacDonald said today, Oct. 30. “The two-year agreement provides some time for possible long-term solutions to be investigated.” The agreement will see Bay Ferries Ltd. receive $8 million in government funding to keep the service in operation until Jan. 31, 2009. The federal government will contribute $4 million, while the governments of Nova Scotia and New Brunswick will contribute $2 million each. “I am pleased an agreement has been reached that will see the ferry service continue for two more years,” said New Brunswick Premier Shawn Graham. “This service is essential to the economy of both provinces. We will continue to work with all partners to find a permanent solution in order to keep the service available into the future.” On June 30, Bay Ferries Ltd. announced it would end its service on Oct. 31 because of high fuel prices and a decrease in ferry traffic. “Now that we have an agreement to continue the service, we will work hard with our partners to identify a long-term solution for this important transportation link,” said Mark MacDonald, president and chief executive officer of Bay Ferries Limited. “I wish to express appreciation to the governments involved for making this possible and to our employees and customers for their patience and resilience over the past four months.” The agreement covers the period of Nov. 1, 2006 to Jan. 31, 2009.