Latest news with #MVLordoftheIsles
Scotsman
21-07-2025
- Business
- Scotsman
Delivery of ferry fiasco vessel Glen Rosa marks ‘key milestone' as it enters dry dock
The MV Glen Rosa, second of Ferguson Marine's over-budget and delayed ferries, arriving at dry dock at Dales Marine Services in Greenock. The second of Ferguson Marine's over-budget and delayed ferries has reached a 'key milestone', the shipyard has said. Sign up for the latest news and analysis about Scottish transport Sign up Thank you for signing up! Did you know with a Digital Subscription to The Scotsman, you can get unlimited access to the website including our premium content, as well as benefiting from fewer ads, loyalty rewards and much more. Learn More Sorry, there seem to be some issues. Please try again later. Submitting... The MV Glen Rosa has now been moved to dry dock at Dales Marine Services in Greenock. The dry dock will allow the state-owned yard to carry out essential maintenance, repairs and inspections to the vessel. Advertisement Hide Ad Advertisement Hide Ad Works planned include rudder and stabiliser inspections, welding work to the bow clam doors and painting repairs. The Glen Rosa, which will serve the Arran route, is expected to remain in dry dock until August when it will return to Ferguson Marine's shipyard in Port Glasgow. The publicly owned Caledonian Maritime Assets Ltd (CMAL) is expected to be handed the ferry in the second quarter of next year following several delays. The ship, along with the now-delivered Glen Sannox, was meant to be delivered in 2018 and will now cost an estimated £460 million – up from the original price tag of £97 million for the two vessels. Advertisement Hide Ad Advertisement Hide Ad Graeme Thomson, chief executive of Ferguson Marine, said: 'Entering dry dock is a significant event in the build lifecycle of a new vessel and we are pleased we have reached this key milestone. 'I'm delighted to be able to demonstrate the progress that has been made and want to restate our commitment to delivering MV Glen Rosa, which we are currently confident will happen to schedule.' Kevin Hobbs, chief executive of CMAL, said: 'This is an important milestone, and we welcome this further step towards vessel completion and delivery.' Kevin Paterson, chief executive at Dales Marine Services, said: 'We are proud to play a role in the ongoing development of the MV Glen Rosa. Advertisement Hide Ad Advertisement Hide Ad 'Our team of experienced engineers at the Greenock dry dock will work closely with Ferguson Marine to ensure that the maintenance and repair work is completed to the highest standard. 'It is a pleasure to contribute to the journey of a vessel that will play a vital role in Scotland's ferry network.' Last week, the new boss of Ferguson Marine has said the business will 'struggle' in the future if it is overlooked for a deal to replace an aging ferry. With the MV Lord of the Isles having sailed for the first time in 1989, the Scottish Government – throughoperator CalMac and procurement body Cmal – is looking for a replacement. Advertisement Hide Ad Advertisement Hide Ad The tendering process has not yet opened but Ferguson – which is also owned directly by the Scottish Government – is expected to bid for the contract. Appearing before the Scottish Affairs Committee at Westminster on Wednesday, Ferguson chief executive Graeme Thomson pushed for a direct award of the deal to the yard. 'I do support a direct award for the Lord of the Isles replacement,' he said. 'I am not aware of what might be any challenges or blockers to that, but I know the Scottish Government are considering how that would be sentenced.'
The Herald Scotland
16-07-2025
- Business
- The Herald Scotland
Ferguson Marine: Ferry fiasco chief warns of future 'struggle'
But there have been calls for further ferries in the programme and the replacement of the ageing MV Lord of the Isles to be directly awarded and questions have been raised over whether it is illegal. Ferguson's chief executive Graeme Thomson pushed for a direct award by the government to the yard saying that the yard lost out on the Scottish Government-backed small ferry deal over price. Asked about claims that any direct award would not break the law he said: "I don't know whether they could direct award or not." But he said he supported lobbying for a "shift in emphasis" over where it can get direct awards. The yard's business plan to 2029 had assumed that it would get a direct award for the Scottish Government's small vessel replacement programme. But the Scottish Government decided this was not possible due to UK subsidy laws and the yard lost out to Polish firm Remotnowa on the first phase of the programme to deliver seven ferries. With the MV Lord of the Isles having sailed for the first time in 1989, the Scottish Government – through its wholly-owned ferry operator CalMac and procurement body Caledonian Maritime Assets Limited – is looking for a replacement. The tendering process has not yet opened but Ferguson Marine in Port Glasgow, Inverclyde – which is also owned directly by the Scottish Government – is expected to bid for the contract. The yard's reputation has been marred in recent years due to the building of the Glen Sannox and Glen Rosa – intended to operate between the Isle of Arran and the mainland. The cost of the two vessels is expected to have risen over fivefold and repeated delays have seen only the Glen Sannox enter service so far. Mr Thomson said that he supported a direct award for the Lord of the Isles replacement. 'I am not aware of what might be any challenges or blockers to that, but I know the Scottish Government are considering how that would be sentenced," he said. Read more from Martin Williams: Asked about potential implications if the yard does not win the contract, Mr Thomson said: 'It would be very difficult for us, it would be very challenging.' The Scottish Government has previously been reticent to award contracts directly to Ferguson, fearing potential legal action under UK-wide state aid regulations which could hold up the building of ships needed for Scotland's west coast islands. If such a direct award move is not forthcoming, Mr Thomson said Government intervention is needed to ensure Ferguson is operating on a 'level playing field' with international yards that are able to undercut them on costs due to support for their own governments. 'We're okay with competition, as long as we're playing on a level playing field,' he said. 'As long as there's a situation that prevails that international yards can do it cheaper than us because of the tax breaks, the labour rates, whatever, then we'll never be playing on a level playing field.' Mr Thomson echoed calls from politicians to introduce a social element to the weighting of bids – which primarily focus on design and cost – which would take into account the impact on jobs created in the country, along with consideration of the benefit brought to local supply chains. He said: "There are ferries coming up... so there's a great opportunity there. We do engage with the workforce and through the management teams when we're preparing estimates, bids, build strategies, structure what we can do, and looking to try and make sure we strike the balance between giving our workforce confidence that they're going to be asked to do something that they believe is challenged but achievable, and actually then making sure we have something that goes to market that is cost competitive. He raised concerns that there was not a level playing field internationally - with foreign yards getting tax breaks. Ferguson Marine (Image: Colin Mearns) And he warned that if the market place was solely about cost competitiveness "we will struggle". The yard announced last week it had been awarded a contract by defence firm BAE Systems to build sections of one of the Type 26 destroyers being built along the River Clyde in Glasgow, with Mr Thomson saying Ferguson will have to 'demonstrate' its ability to BAE in the hopes of winning more work.
The Herald Scotland
16-07-2025
- Business
- The Herald Scotland
Trade group warns of hit to Scotland from Labour's Invest 2035 plan
They warn that the strategy "does not fully reflect Scotland's unique industrial profile or specific challenges communities" and "lacks specific mechanisms for supporting regions heavily exposed to oil and gas decline". It also comes as concerns continue to surface over the future of the last remaining commercial shipyard firm on the Clyde, the nationalised Ferguson Marine which has until recently and just one contract remaining on its books - to finish the long-delayed and wildly over-budget ferry MV Glen Rosa. READ MORE by Martin Williams Why are there concerns for Scotland over the UK Government's Invest 2035 'Shut it down' demands as Scotland's last nuclear plant breaches a safety limit Union seeks more public money support for bus firm looking to move to England Row over ScotGov failure to track jobs supported by public millions The yard's business plan to 2029 had assumed that it would get a direct award for the Scottish Government's small vessel replacement programme. But the Scottish Government decided this was not possible due to UK subsidy laws and the yard lost out to Polish firm Remotnowa on the first phase of the programme to deliver seven ferries. Sir Keir Starmer launched Invest 2035 (Image: Simon Dawson / No 10 Downing Str) Inverclyde MP Martin McClusky has been further urging the Scottish Government to award the contract for a future replacement for the ageing MV Lord of the Isles directly to Ferguson Marine. The SMI has warned UK ministers that traditional shipbuilding and marine engineering, particularly on the Clyde and Rosyth will remain "vulnerable to international competition" which they say is dominated by state-owned and state-supported shipyards with "readier access to finance and cyclical demand unless underpinned by strategic sovereign procurement". Sovereign procurement is a strategic approach where purchases are made with the explicit goal of benefiting the nation or local economy and often involves prioritising domestic businesses, including small and medium enterprises (SMEs), and supporting local industries and jobs. It pointed out that the sector was once the global leader centred around the Clyde, but had declined rapidly from the 1960s onwards due to global overcapacity, the size of vessels required in the market outgrowing UK yards, the cost of competition from East Asia and also a "lack of state support, and underinvestment in innovation and productivity". HMS Glasgow is manoeuvered onto a barge at the BAE Govan shipyard in Glasgow (Image: PA) It said: "Transition was not effectively managed, leading to a collapse in employment, decimation of skills, and widespread economic deprivation in riverside communities. Defence contracts have revitalised the sector but at a different scale to pre- and post-war years." And it added in an analysis: "Without sustained investment in shipyard modernisation and green vessel innovation, the sector risks further erosion." It said that the North Sea oil and gas industry was entering a "structural decline" due to decarbonisation, maturing fields and shifts by investors away from fossil fuels and that it was crucial that UK wind farms bought British. It said the transition would have a "profound impact on Aberdeen and surrounding areas, affecting supply chains, services and skilled employment. They said: "While the energy sector is pivoting towards renewables, a managed transition plan is essential to retain industrial capacity and employment. It is essential for ports like Aberdeen to win renewables work with UK windfarms, if the UK wants to maintain its sovereign capabilities in these crucial sectors." But they warned that the "key risk" was not in transitioning, but in "failing to equip Scottish communities and firms with the tools, skills and investment to navigate it successfully. A place-sensistive, sector-specific response is needed". It said that while the ambition of Invest 2035 was to drive growth, productivity and innovation across the UK, the strategy "does not fully reflect Scotland's unique industrial profile or the specific challenges facing its coastal and energy-transitioning communities". It said that while the strategy references a shift to Net Zero, it "lacks specific mechanisms for supporting regions heavily exposed to oil and gas decline, such as north-east Scotland". The SMI added: "Despite Scotland's significant shipbuilding, port, and marine technology capabilities, the maritime sector is underrepresented in Invest 2035's eight growth-driving sectors. This risks overlooking critical opportunities for coastal regeneration, sovereign manufacturing, and decarbonisation leadership. "Scotland is well placed to contribute to the UK's global competitiveness in maritime defence, offshore renewables, and digital ocean infrastructure. Invest 2035 should embed export-oriented growth strategies for these subsectors and provide a framework for long-term sovereign procurement that supports Scotland's shipyards and marine engineering firms. Nicola Sturgeon at Ferguson Marine (Image: PA) "In summary, Invest 2035 requires greater regional tailoring, stronger maritime inclusion, and deeper integration with Scotland's economic strategies to realise its full potential north of the border." Analysis from the Robert Gordon University last month warned that the oil and gas industry could lose up to 400 jobs every two weeks for the next five years unless action is taken. It says that the UK risks losing tens of thousands of offshore energy jobs by 2030 unless urgent and coordinated action is taken immediately. It is estimated that 43% of the UK's oil and gas jobs are in Scotland. Demands have been made for an independent public inquiry as it was claimed hundreds of millions of pounds of taxpayers money has been 'lost' by a 'scandalous' ministerial failure to properly consider a Clyde shipbuilding revolution. Ministers have given the nod to contracts to build 13 ferries in the past decade, pushing a billion pounds with only one so far delivered and the responsibility for only two given to Scottish firms. The cut price catamaran ferry revolution which promised to create and secure hundreds of Scots jobs and save state-controlled Scots shipyard firm Ferguson Marine while helping solve the nation's ferry crisis involved the creation of a fleet of 50 catamarans. It was part of an £800 million scheme - a fraction of the cost of those currently being built. The proposal works out at £16m per catamaran while the cost of the Scottish Government's 13 is at around £70m to date. It was envisaged that the major catamaran project would be based at nationalised Ferguson Marine, Inchgreen dry dock in Inverclyde and Govan dry dock. A UK Government spokesman said: "Our commitment to shipbuilding was made clear when we secured a deal to save thousands of jobs at Harland and Wolff, including in Scotland, ensuring future investment in the industry." 'Our Modern Industrial Strategy will go even further to ensure a bright future for Scottish shipbuilding with lower energy costs, major infrastructure investment and strengthened skills and innovation as part of our Plan for Change.' Deputy First Minister Kate Forbes said the Scottish Government agreed that Scotland must receive a fair share of spending, including on naval shipbuilding, "at which we have proven expertise". She added: 'The shipbuilding sector plays a vital role in supporting jobs and driving economic growth across Scotland. We are committed to promoting manufacturing and innovation and continue to engage with businesses in the sector as part of that commitment.'
The Herald Scotland
01-07-2025
- The Herald Scotland
Ferry service to resume between Ardrossan and Arran
The company will deploy either MV Lord of the Isles or MV Isle of Arran on the route if MV Caledonian Isles is forced to go into dry dock for further lengthy repairs. The Ardrossan to Arran service is expected to run between Monday, July 7 and Monday, July 21. READ MORE: That's the period when the second ferry running to Arran from Troon - the chartered MV Alfred - will be removed from service for essential maintenance. A CalMac spokesperson told The Herald his week that there remained a chance that the troubled and ageing MV Caledonian Isles could be fit to return to the Ardrossan service. An announcement is expected within days. MV Lord of the Isles (Image: Newsquest) If the Caley Isles does have to return to dry dock, the spokesperson said either MV Lord of the Isles or MV Isle of Arran would sail from Ardrossan until MV Alfred returns to full service. Ardrossan has been without a ferry service since January. Back in January 2024, MV Caledonian Isles went in for an annual service - and didn't return. Major issues were discovered and lengthy repairs began. At first, it was hoped the vessel would be back on the route by summer that year. Return dates were announced... and cancelled. MV Isle of Arran was redeployed to the Ardrossan route, with hopes high that the Caley Isles would be fit to return to service by January 2025. That month, the new MV Glen Sannox set sail for Arran from Troon, rather than Ardrossan. The vessel can't sail from the North Ayrshire port until a major upgrade of Ardrossan Harbour is completed. Hopes remained high that the Caley Isles would be fit to return to service that same month. It didn't happen. And when MV Isle of Arran had to return to the Hebridean route in January, Ardrossan was left without any ferry service at all. Now, at last, it seems that a regular service between Ardrossan and Arran will be back... for the duration of MV Alfred's maintenance at least.
The Herald Scotland
21-06-2025
- The Herald Scotland
Why are there issues with CalMac ferries this summer?
There are currently three ferries sidelined - with two more scheduled in the pipeline in the height of the summer season for Scotland's islands. What is the latest concern? The 32-year-old CalMac veteran MV Caledonian Isles has been sidelined indefinitely - after 17 months out of action for repairs - at height of the summer season, but there are already two ferries out of action and user have been told there will be three more in the pipeline. What causes frequent breakdowns and service disruptions? The primary issue is the ageing ferry fleet, caused by a lack of investment in the ferries which continues to hit services, as the state-owned ferry operator CalMac looks to juggle its resources to cover what are lifeline services as best it can. Four years ago, more than half of Scotland's lifeline ferry network was operating outwith its working life expectancy - being over 25 years old. MV Isle of Cumbrae (Image: Newsquest) The oldest in the CalMac fleet is the Isle of Cumbrae which is now 23 years past its working life expectancy at 44 years old. The MV Lord of the Isles, serving South Uist, is itself over 30 years old and has experienced multiple mechanical failures, including corroded steel, radar faults, and engine issues. Such problems necessitate extended repairs, during which no replacement vessels are available due to fleet limitations. How do these disruptions impact the local economy? Local businesses, especially those dependent on tourism and ferry traffic, suffer significant losses during service outages. For instance, a food takeaway near the Lochboisdale ferry terminal on South Uist reported losing hundreds of pounds per sailing, leading to reduced staff hours and cancelled tourist bookings. Read more from Martin Williams: What is being done to address the ferry service issues? The Scottish Government pledged £580 million over five years to improve ferry services, including procuring new vessels. However, delays in constructing new ferries, such as Glen Sannox and Glen Rosa at the state-owned Ferguson Marine shipyard, have hindered progress. The Glen Sannox finally commenced service in early 2025, with the Glen Rosa now not expected to arrive till between April and June next year. Additionally, new ferries like the MV Isle of Islay and MV Loch Indaal are planned to enhance service reliability. A contract has also been awarded to a Polish firm for the construction of seven new electric battery-powered vessels for smaller routes. How are the ferry services paid for? CalMac, under a contract awarded by Transport Scotland, gets subsidies to cover operational costs not met by fare revenues. The current £975m eight-year Clyde and Hebrides Ferry Services (CHFS) contract expired in September 2024. But CalMac are getting a contract directly from ministers without going to a competitive tender to continue running services for another ten years. The contract is worth £3.7bn. While passengers pay fares to use ferry services, they typically cover only a portion of the operating costs. CalMac (Image: PA) The subsidies are in place because some ferry routes are not commercially viable due to low passenger volumes and high operating costs. Subsidies ensure that island communities remain connected to the mainland, supporting local economies and access to essential services. Last year it was announced that ferry fears would increase by 10% from this year to allow the continued support of the ferries network in future years. How are new ferries paid for? The Scottish Government, or the taxpayer provides capital funding for new ferries via Transport Scotland. This funding is often channelled through "voted loans" to a separate state-owned company, Caledonian Maritime Assets Limited, which owns the ferries, ports, harbours and infrastructure. While funding mechanisms are in place, critics say challenges in procurement and project management have highlighted the need for ongoing oversight and reform. Why did the Scottish Government decide to go ahead with the award directly to CalMac while there is a level of upset over how ferry services are delivered? The transport secretary, Fiona Hyslop, said that a direct award "fundamentally changes the ethos of the service by shifting from a commercial arrangement to a model more focused on the delivery of a public service engaged on the particular needs of the communities it serves". The Herald has asked what this means and has still been awaiting a response. The way CalMac operates means that profits are already not distributed to shareholders but are instead reinvested into the company to maintain and enhance ferry services. She said she expects it will become a "catalyst for positive change across the Clyde and Hebrides network, based on a more efficient, flexible model of delivery that fully reflects community interests." Transport Scotland was asked to explain whether there were any value for money benefits. What is the community's stance on this approach? While the Scottish Government sees a direct award as beneficial, some community representatives have voiced opposition. Concerns include potential service quality issues and the lack of competitive pressure to drive improvements. What is the ferry operator CalMac saying about the latest issues? They told users: "Although we plan and prepare for multiple eventualities – this is not what we hoped for. Everyone at Caledonian MacBrayne is disappointed that MV Caledonian Isles is not yet ready to carry passengers. "This is keenly felt by our team, and we know that will be the case for customers and communities – especially so close to her planned return to service. We continue to work closely with the gearbox manufacturer onsite. Thank you to the communities and customers for your patience while we work at pace to resolve this further issue – and to return her to service. "
