The Ally J, a cycle-ferry fitted with bike racks will transport eight people and their electric bikes from Back Beach in Port Chalmers to Portobello.
Ally J owner and Wheels Over Water owner-operator John McLachlan said if the trip was successful he hoped to establish regular services across the harbour in about six weeks.
"For years now people have been talking about having a ferry on the harbour to cart bikes around and instead of talking about it we are doing something about it," Mr McLachlan said.
Mr McLachlan said while he was not an avid cyclist, he appreciated there were many spots around the harbour that cyclists could enjoy.
Preparations for the cycle-ferry were 80% complete, with consent granted for the boat to operate as a taxi vessel, he said.
At present, he was waiting on approval from the Dunedin City and Otago Regional Councils to attach an additional pontoon to the existing pontoon at Back Beach so the boat could remain in the water.
The Elsie Evans provided the last regular ferry service across the harbour in 1954.
"A lot of the older people around here can remember her operating (Elsie Evans) ...
"We are going to offer something a bit different to that.
"We are going to offer a service anywhere in the harbour where we can land bikes," Mr McLachlan said.
The cost of the service would be dependent on distance.
For example, a trip between Port Chalmers and Portobello would cost $8.
Frequency of the service would be decided when demand for it could be gauged, he said.
He believed the service would still be popular despite ongoing delays in the construction of a cycleway linking the harbour and city.
The cycle-ferry had already booked cruise ship jobs and he hoped it would appeal to both visitors and Dunedin residents wanting to shorten the commute across the harbour.
The 15-year-old 7.5m vessel could transport 12 people and eight bikes while in harbour waters, Mr McLachlan said.