Project Manager Nigel Horwell said the work will involve developing plans for a new breakwater and marina, a two story terminal building and berthing facilities for the Isle of Scilly maritime link and visiting cruise ships. Other work is likely to include developing, letting and supervising a contract with a commercial developer/marina operator to develop reclaimed land for housing, coffee shops, wine bars and hotel.

As a result of the greatly improved marine facilities proposed as part of the project, upgrading of the ferry services to the Isles of Scilly can now be considered, along with the establishment of new ferry links to other destinations in the South West, English Channel and Irish Sea.

Currently, the Isles of Scilly ferries both dock along the South Pier, the Scillonian III (passengers) and Gry Maritha (freight). At present facilities for both ferries are substandard with no shelter, confusing baggage handling and dispersed parking arrangements for the Scillonian. There is also a lack of cargo holding facilities for the Gry Maritha and service vehicles are often required to reverse along the South pier as there is insufficient turning room.

Using the proposed improved dry-dock and ship repair facilities, more and better services can be offered to marine operators, enhancing the long-term prospects of employment in this industry.

Shoreside facilities will be included both in support of the improved water-side services and to enhance the environment on the immediate shore area.

With better and more 'all-tide' quay-side facilities, Penzance will become a much more attractive destination for visiting cruise ships while the planned marina will allow visiting, and locally based, yachting to expand giving the opportunity for a growth in these high-value tourist markets.

Horwell said the proposal seeks to take advantage of the opportunity provided by EU Objective 1 funding and anticipates a significant improvement in the local economy, countering recent loss of prosperity and jobs caused by the reduction of the local fishing fleet and the farming industry, until now the mainstay of Penzance and the immediate vicinity.

The work will involve developing plans for a sea defence scheme of the promenade to the south of the existing harbour in Penzance, including a detailed marine engineering/hydrological study.

To date, the Council has received expressions of interest from eight contractors, who hope to become involved in the work, based on a recent action plan prepared for Penwith Council by W S Atkins. At the time of writing, a firm of consultants was expected to be appointed in October or November.

The construction of the new marina and related facilities is expected to start in 2005 and be completed in 2007, assuming certain funding issues are resolved.

Coming hot on the heels of the proposed re-generation at Penzance is another important Cornish project, the Newlyn Regeneration Strategy.

The strategy confirms the need for a £67.43m development of the harbour area in order to provide new facilities and premises to meet the requirements of a modern fishing industry and to accommodate tourism and leisure activities.

Since Newlyn is less than a mile down the coast from Penzance, Horwell says the key challenge facing planners will be to successfully weld the two strategies together.