Seward’s planned “Port of Tomorrow” moved a step closer to reality thanks to new legislation that allows the Alaskan port’s owner to issue the bonds that will finance a two-berth dock and cruise terminal.

The state-owned Alaska Railroad Corporation owns and operates the Port of Seward, a popular destination located on an inlet of the Kenai Peninsula in southern Alaska. In a typical season, more than 100 cruise ship calls are made to Seward.

Its existing dock and terminal date from the 1960s and are in need of replacement. The so-called “Port of Tomorrow” was announced in March 2024 with a price tag of $137 million.

Since Alaska Railroad Company was previously authorized to issue bonds up to only $60 million, the Alaska House of Representatives was called upon to raise the limit. It did so on February 17, 2025 with House Bill 65, which enables a bond issue up to $135 million.

Once completed, the upgraded port will have a 68,000-square-foot terminal building and a 750-foot, two-berth floating dock large enough to accommodate Royal Caribbean’s Quantum-class ships.

Parent company Royal Caribbean Group is a partner in the project, and a 30-year lease already is in place between the cruise company and the port.

The Alaska Railroad Corporation’s board of directors approved the project in August 2024. Under the agreement, ships from Royal Caribbean Group’s three brands — Royal Caribbean, Celebrity Cruises, and Silversea Cruises, will have access to the berths, and Alaska Railroad Corporation can assign available dock space to other vessels as well.

“The replacement dock and terminal facility must accommodate Alaska marine highway system vessels with side loading doors. The maximum principal amount of bonds that the Alaska Railroad Corporation may issue under this section is $135,000,000,the text of the bill reads.

The modernized port had previously received a $45 million federal grant to install shore power technology, and the construction of the power infrastructure is set to be completed by mid-2026.

Hooking into shoreside power enables cruise ships to turn off their engines, substantially reducing emissions, while maintaining hotel operations.

The grant, issued by the Environmental Protection Agency, will finance the expansion of an electrical transmission cable to the port, as well as switchgear technology, and a battery storage system. 

Seward Cruise Port

Power to the port is provided by Seward Electric Services, which is owned by the city. The full cost of the shore power installation project is estimated at $50.8 million, leaving about $5 million to be paid for by the Seward Company, a public-private partnership whose members include Alaska Railroad Corporation, Royal Caribbean Group, and Turnagain Marine.

Royal Caribbean’s Quantum-class ships are equipped with shore power connectivity technology, as are several Celebrity Cruises ships. 

Multiple Cruise Lines Include Seward on Alaska Itineraries

Ships from the three cruise brands owned by Royal Caribbean Group routinely offer Alaska itineraries that feature calls at Seward. The destination is considered the gateway to pristine Kenai Fjords National Park, and is home to the well-known Alaska SeaLife Center.

Read Also: What to Pack for an Alaska Cruise: Full List

The Alaska cruise season begins in early April and continues through September. In 2025, six Royal Caribbean ships are slated to offer sailings to the Great Land — Quantum of the Seas, Ovation of the Seas, Radiance of the Seas, Serenade of the Seas, Brilliance of the Seas, and Anthem of the Seas, although not all of them will call at Seward. 

Silversea Cruises’ Silver Moon and Silver Nova will call at Seward in 2025, along with Celebrity Cruises’ Celebrity Summit, and Royal Caribbean’s Radiance of the Seas.

Other notable ships that will bring guests to Seward in 2025 include Cunard’s Queen Elizabeth, Viking’s Viking Orion and Viking Venus, and Princess Cruises’ Ruby Princess, among others.

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