Much has been made recently about cruise ship congestion in Alaska, so Royal Caribbean might have an answer.
Together with an Alaskan Native company, Royal Caribbean Group announced a new partnership to co-develop a new port in Juneau. Goldbelt Incorporated is a urban Alaska Native, for-profit corporation.
Some residents have wanted to limit cruise ship traffic in Juneau, despite the likely negative impact on local businesses. The reason is these locals have found the crowds cruise ships bring to be troublesome.
A resident-written ballot proposition was voted on recently to ban cruise ships on Saturdays, but 60% of voters rejected the measure. Unofficial tallies released by the city found that 2,586 residents voted in favor of the measure and 3,873 voted against it — also a 60% margin.
Royal Caribbean Group's plan would build a new port with the goal of, "strengthening the city's infrastructure while improving traffic congestion downtown and enhancing the local and visitor experience."
The new port would be located on Alaska Native Claims Settlement Act land on Douglas Island. Douglas island is west of downtown Juneau and east of Admiralty Island. It is separated from mainland Juneau by the Gastineau Channel.
The project is called, "The Port of Tomorrow" and it is expected to be completed during the 2027 Alaska cruise season.
The port would have two floating berths overlooking the Chilkat Range.
Once passengers disembark the ship, they would enter a recreated 1800s Alaska Native Tlingit village, where they "will experience Goldbelt Incorporated shareholders' ancestral history through stories, art, songs, dance, and traditional foods."
The existing port in Juneau includes three cruise terminals: the Ferry Terminal, South Franklin Dock, and Marine Park. In addition, ships may anchor and tender passengers ashore when more than three ships are present.
Fixing the traffic problems
In order to leverage the existing whale watching tour operations, passengers would depart directly from West Douglas Island onto whale-watching tours or shuttle boats to Mendenhall Glacier to counter downtown traffic.
Estimates are it would remove nearly one-third of bus traffic from Juneau's most congested roadways, from downtown Franklin Street to the Glacier Highway, enhancing the overall guest and resident experience, while also paying testament to Alaska Native culture.
Because Douglas Island is located directly in the major shipping routes alongside Steven's Passage, the proposal has other advantages beyond downtown Juneau.
It promises an environmental advantage, reducing time, speed, and fuel requirements for ships sailing north to Skagway or west to the Gulf of Alaska, making it the most ideal stop-over for routing to Sitka or Seward.
The capital of Alaska cruising
Juneau welcomes more than 1.6 million cruise ship passengers per year, and on its busiest days, 20,000 cruise passengers arrive at the city.
Nearly every major cruise line that sails in Alaska has a stop in Juneau, including Royal Caribbean, Carnival, Norwegian, Disney, and Viking.
The Alaska cruise season runs between April and October, but Royal Caribbean ships primarily visit between May and September.
According to Juneau's FAQ on the ballot initiative, in 2023, cruise visitors generated $30 million in direct spending and $3.7 million in revenue for the municipal government on Saturdays.
Royal Caribbean Group CEO Jason Liberty told Wall Street analysts during a quarterly earnings call in July 2024 that Alaska was one of his company's most sought-after destinations, "Alaska summer itineraries are performing exceptionally well."
In fact, summer Alaska season represents 6% of full-year capacity for Royal Caribbean Group. The company increased their capacity this year as a result of moving bigger ships into the Alaska market.