Lennon announces Spirit III sale

Mr Lennon says the loss-making ferry must be sold to prevent TT-Line from becoming insolvent.

Cabinet has approved an additional $22 million to divest the ship.

The Tasmanian Government has spent more than $65 million propping up the service, which has been running for two-and-a-half years.

Mr Lennon says he does not regret ignoring advice to sell the ship during that time.

The two Melbourne ferries will be retained.

The Maritime Union organised rallies in three states this morning, in a show of support for the ferry service.