Plans to begin procurement of a new wave of seven vital lifeline ferries for Scotland's islanders has already been delayed by nearly two years, it has emerged.
It comes as ministers have been accused of 'sleepwalking' the nationalised firm at the centre of Scotland's shipbuilding scandal into oblivion by failing to support its bid for the ferry work.
The Scottish Government has been urged to act after decisions on key work the yard is hoping to rely on has been plunged into uncertainty.
The board of state-owned shipyard firm Ferguson Marine has admitted a lack of commitment over future Scottish Government investment in upgrading facilities at the last surviving commercial shipbuilder on the Clyde, means the ability to pursue a vital Scottish Government contract to build seven small ferries "remains uncertain".
In February, 2021, state-owned ferry owners and buyers, CMAL said that the procurement for the replacement vessels was "on course" to begin within the next 12 months. The Herald understands that in August, CMAL was finally expecting the first questionnaire stage of the procurement process to begin this month. It has yet to start.
READ MORE: Ferguson Marine: Demands to scrap 'nonsensical' bonus pay rules
Recent public events surrounding the procurement of the new ferries were told that the first vessel is provisionally expected to be delivered between July and August of 2026 with the last due in the last three months of 2028.
A Scottish Government infrastructure investment plan update in September, 2021 stated that all seven vessels would serve island communities "within the next five years".
Finance secretary Shona Robison has advised that the small lifeline ferries replacement plan had been "reprofiled" as had harbour improvements at Ardrossan and Gourock.
It means that an initial £41m spending plan on the ferries has been put back to the next financial year - 2024/25.
Also put off is an estimated £34m spend on harbour improvements at Ardrossan and Gourock.
Campaigners have been fighting for Ferguson Marine to get a direct award of the ferry contract from the Scottish Government which is already looking to do the same for ferry operator CalMac as it is the 'preferred option' for the next Clyde & Hebrides Ferry Services (CHFS) contract.
Loss-making Ferguson Marine (Port Glasgow) had pinned hopes on heavy involvement in the contract from the Scottish Government's Transport Scotland agency for the replacement of up to seven 50m ageing 'loch class' ferries vessels serving the Clyde & Hebrides Ferry Services (CHFS).
The board confirmed that the contract along with further work to support the warship programme with BAE Systems was "strategically important" for the firm.
The ferries are due to be electric motor-powered modern versions of the three 42m hybrid vessels Ferguson Marine built successfully, on-time and on-budget before nationalisation, between 2012 and 2015.
The vital contract work from BAE Systems - which is delivering City Class Type 26 frigates on the Clyde was trumpeted as "signalling a new dawn" at the yard but an initial deal was valued at just £2m.
The Herald previously revealed that the Ferguson Marine board admitted a lack of financial support from ministers has cast a "significant doubt" on the firm's future.
The directors of Ferguson Marine (Port Glasgow) pointed to a failure to get a committed investment of £25m from Scottish Government to support future work at the Inverclyde after the delivery of two long-delayed and over-budget ferries.
The Alba Party's general secretary Chris McEleny says that the yard will only remain open if the Scottish Government directly awards the contract to Ferguson Marine.
The former Inverclyde Council SNP group leader said failing to award the ferries contract to Ferguson by the end of the year was "akin to the Scottish Government sleepwalking the last remaining shipyard on the lower Clyde towards closure".
He believes that without the guarantee that the ferries contract award will go to Ferguson Marine it will no longer be a going concern after the final completion of the long delayed Glen Sannox and sister ship the Glen Rosa.
He said: "This cost cutting delay comes on the back of a failure to invest in a new plating line - which is essential for the yard to remain competitive.
"It isn't just a blow to island communities that are in desperate need of new ferries, it is a damaging announcement for the future of the commercial last shipyard on the lower Clyde.
"Simply put, if the Scottish Government do not directly award the contract to replace Calmac small vessels to Ferguson’s they will be choosing to close the gates on the yard.
"The decision to delay the small vessels replacement programme now means it is likely that when Ferguson launches the Glen Rosa in March next year the yard will be sitting empty with not a single piece of work being carried out in it within four months. "
Ferguson Marine has been dogged with issues with the delivery of lifeline ferries Glen Sannox and Glen Rosa which were due online in the first half of 2018 when Ferguson Marine was under the control of tycoon Jim McColl. With both now due to serve Arran, they are getting on for six years late and the last estimates suggest the costs of delivery could more than quadrupled from the original £97m cost.
The board has received a letter of comfort from the Scottish Government reaffirming a commitment to supporting a "sustainable future" for FMPG, but have admitted there remained a "material uncertainty" that casts "significant doubt" over the Ferguson Marine group of companies to continue as "a going concern".
Mr McEleny added: "When Jim McColl owned the yard, one fact that cannot be disputed, is that he invested close to £30m to modernise Ferguson. We are now well over four years into public ownership and it is hard to see where any investment has been made other than into the pockets of directors put in charge of running the yard.
"If the Scottish Government do not directly award the contract to replace Calmac small vessels to Ferguson they will be choosing to close the gates on the yard. Without the assurance this work would provide to the yard I cannot see how it can be classed as a going concern as there will be no new orders from the private sector until the yard is on a steady footing that delivers vessels to time and cost."
One ferry user group official said delays over the procurement of the ferries was a "deep concern" but might be a blessing in disguise for the shipyard.
"Delay could buy Ferguson Marine time to get their ship in order to be able to bid for the vessels," he said. "But it is is not something that will benefit islanders who will feel that after all that has happened these ferries should be a priority.
"A direct award of a contract may work for CalMac but it is doubtful the Scottish Government would do the same for Ferguson Marine due to its history.
"The main concern would be that a Scottish Government failure to invest in the yard for now to make it capable of getting the extra work it needs clearly threatens its future and the ability to build these important ferries for islanders in this country."
Ms Robison has said that the small vessels plans had been "reprofiled, allowing time to fully consider the business case work, vessels design criteria, and help ensure alignment of the related shore power and port improvement works".
German ship design consultants handed £360,000 two years ago to help with the concept the seven ferries and try to provide better and greener lifeline services for Scotland's islands.
Flensburg-based Navalue, which was formed four years ago, was brought in to help provide planning direction for a the project to replace some of the country's oldest vessels on the Clyde and Hebrides Ferry Services network.
She said that despite the putting back the spend to the next financial year "the programme remains on track".
A CMAL spokesperson said: “The SVRP programme is on track and the concept design phase is now complete. Payments will only become due when a shipbuilding contract is signed, which will be during financial year 2024/25.”
A Scottish Government spokesman added: “The Scottish Government is committed to doing all it can to secure a sustainable future for the yard and its skilled workforce. This includes working with the board to build on its initial proposition and develop a new business plan and investment case. As previously set out, these must reflect deliverable market opportunities and be compliant with subsidy control rules.”
The new vessels were to replace 37-year-old MV Loch Striven on the Oban to Lismore route, 37-year-old MV Loch Riddon on Largs to Cumbrae, 36-year-old MV Loch Ranza on Tayinloan to Gigha, 32-year-old MV Loch Dunvegan on Colintraive to Rhubodach, 32 year-old MV Loch Fyne on Mallaig to Armadale, 31-year-old MV Loch Tarbert on Tobermory to Kilchoan and 37-year-old MV Loch Linnhe, the relief vessel.
Why are you making commenting on The Herald only available to subscribers?
It should have been a safe space for informed debate, somewhere for readers to discuss issues around the biggest stories of the day, but all too often the below the line comments on most websites have become bogged down by off-topic discussions and abuse.
heraldscotland.com is tackling this problem by allowing only subscribers to comment.
We are doing this to improve the experience for our loyal readers and we believe it will reduce the ability of trolls and troublemakers, who occasionally find their way onto our site, to abuse our journalists and readers. We also hope it will help the comments section fulfil its promise as a part of Scotland's conversation with itself.
We are lucky at The Herald. We are read by an informed, educated readership who can add their knowledge and insights to our stories.
That is invaluable.
We are making the subscriber-only change to support our valued readers, who tell us they don't want the site cluttered up with irrelevant comments, untruths and abuse.
In the past, the journalist’s job was to collect and distribute information to the audience. Technology means that readers can shape a discussion. We look forward to hearing from you on heraldscotland.com
Comments & Moderation
Readers’ comments: You are personally liable for the content of any comments you upload to this website, so please act responsibly. We do not pre-moderate or monitor readers’ comments appearing on our websites, but we do post-moderate in response to complaints we receive or otherwise when a potential problem comes to our attention. You can make a complaint by using the ‘report this post’ link . We may then apply our discretion under the user terms to amend or delete comments.
Post moderation is undertaken full-time 9am-6pm on weekdays, and on a part-time basis outwith those hours.
Read the rules hereLast Updated:
Report this comment Cancel