A FENCE has been erected around the Begonia Princess which remains stranded on Lake Wendouree.

The move comes after the City of Ballarat granted the ferry owner a reprieve after threatening to destroy the boat if it was not removed from the dry lake bed.

The ferry's owner Greg Austin argued that it was impossible to remove the boat because no company was prepared to put their equipment on the lake's unstable surface.

He yesterday said the fence was "something that could have been suggested in the first place". The fence is aimed at protecting members of the public from the ferry.

It was installed last week and surrounds most of the vessel.

However, it is still easy to access the boat because the fence stops at the jetties located on both sides.

A City of Ballarat spokeswoman yesterday said the fence was intended to stop loose items flying off the boat.

Mr Austin said he would undertake some repair work on the boat while it remained stranded.

Mr Austin has received expressions of interest from people across the state including Mildura, Shepparton and Deniliquin about buying the ferry.

It is expected the boat will be floated to the edge of the lake and removed when there is sufficient water.