UNIONS have attacked minsters for failing to show a way forward following discussions over the future of Burntisland Fabrications (BiFab) which is on the verge of collapse.
The BiFab unions have spoken out after economy secretary Fiona Hyslop defended the Scottish Government's role in pulling out of an agreeement to underwrite a vital wind farm contract saying that to have continued to do so would have broken state aid regulations.
She expressed disappointment over the Canadian owners of Burntisland Fabrications at a "lack of investment and zero risk approach" while ministers pumped in over £37.4m.
A probe is being called for into ministers' handling of the part state-owned BiFab seen as a key part of the future of Scotland's wind farm revolution which is close to collapse after ministers withdrew support for a major wind turbine contract.
The Herald on Sunday revealed that while the Scottish Government injected over £37.4m in loans to support struggling BiFab and for that gained a third of the firm, the Canadian firm JV Driver took total control for just £1.
BiFab, which once employed around 1,400 workers was rescued from the brink of administration when it was purchased by the Canadians although hundreds of jobs were subequently shed. Just 30 staff remain.
Ministers decided to do a U-turn after its new legal advice felt that providing key support for the ailing company at the centre of a wind farm jobs row would be seen as illegal state aid under European Union regulations.
The support came by way of a commitment to effectively underwrite a contract to have a part in the the £2 billion Neart Na Gaoithe (NnG) offshore wind farm project in the Firth of Forth to the tune of £30m.
Ms Hyslop told the Scottish Parliament that it is not that the Scottish Government does not want to support BiFab, it is that "we can't" and said the "lack of investment" from JV Driver was "problematic".
BiFab joint trade union secretaries Gary Smith and Pat Rafferty hit out at Mr Hyslop's stance.
“Today’s statement amounts to little more than an attempt to deflect from the Scottish Government’s role in BiFab’s predicament, rather than providing accountability and a way forward for the workers’ and communities dependent on these yards."
“The legal advice given to the ,inister concerning the withdrawal of guarantees for the NnG contract can and should be released, it is a matter of public interest because any credible hopes of kick-starting the much touted ‘green jobs recovery’ depend on it.” A top QC claimed the Scottish Government could face a judicial review over ministers' decision to refuse to continue to back BiFab which is now believed to be on the brink of financial collapse.
The Herald on Sunday revealed that ministers stand to lose up to £54.2m of taxpayers money which it has pumped into the firm - seen as a key part of the future of Scotland's wind farm revolution - if it collapses.
Her comments come as government environment advisers issued a rebuke to ministers over their handling of the BiFab yards in Fife.
The Just Transition Commission, which advises on making the transition to a low-carbon economy has warned this switch could be undermined if ministers fail to secure manufacturing jobs.
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