Norwegian Cruise Lines (NCL) is set to make a big contribution to improve port facilities in Bermuda, The Royal Gazette has learned.

Tourism Minister Renee Webb said the company had agreed in principle to pay money towards infrastructure, particularly at Dockyard.

The deal has been struck because a plan announced by NCL last year to give passengers dining vouchers worth up to $50 each to spend onshore is being scrapped because it is too difficult to administer.

When the scheme was announced last summer, then Tourism Minister David Allen said the vouchers would pump around $2 million into the local economy.

The company said at the time it was the first cruise line anywhere in the world to offer onshore dining vouchers for passengers.

Ms Webb told The Royal Gazette: "It has been an administrative nightmare to run so a decision had to be made as to how to replace it.

"We negotiated and we have got agreement in principle that the cruise line will make a donation towards the infrastructure.

"It is to make sure the ports are improved by whatever needs to be done. I know it concerns Dockyard but I am nor sure about St. George's or Hamilton.

"It will be beneficial to them as well as to Bermuda, so it is a win-win situation."

Bermuda was praised last week by Berthia Parle - who will shortly become the new president of the Caribbean Hotel Association - for leading the way in getting onshore benefits from the cruise industry.

Ships had dodged paying for environmental improvements in the Caribbean and threatened to stop visiting countries which planned to increase the head tax by a few dollars, she said.

But Bermuda has a $60 head tax, the onshore voucher scheme from NCL, and a $1.5 million scholarship scheme to help Bermudians get into hospitality, all funded by the cruise industry.