(S3O-8212) Ferry Services (Orkney)

7. Liam McArthur (Orkney) (LD): To ask the Scottish Executive what discussions ministers have had with Orkney Islands Council about the funding for the next generation of vessels for Orkney's internal ferry services. (S3O-8212)

The Minister for Transport, Infrastructure and Climate Change (Stewart Stevenson):





The Cabinet Secretary for Finance and Sustainable Growth first met councillors on 28 February 2008 and again on 26 August 2009, and he hopes to meet the convener of the council shortly to discuss the council's most up-to-date proposals for taking forward the ferry replacement project.

Liam McArthur: As the minister knows, those are lifeline ferry services that help to sustain some of the most fragile communities in the country. Is he aware that there are now serious concerns in Orkney about the lack of progress in the discussions with the Government during the past two years? Does he acknowledge that in that time, the point at which certain vessels will need to be removed from some of the more exposed routes has grown ever closer? Does he realise that expecting the smallest council in the country to bear the full cost of that investment is simply not tenable?

Stewart Stevenson: The member may recall—although he may not be old enough—that in the 1980s, the responsibility and the funding streams for supporting ferries in the Orkney islands were transferred to the council. Nonetheless, despite the fact that responsibility for the provision of services clearly lies with Orkney Islands Council, we will continue to engage with the council to ascertain the best way for it to use the resources that it has available and the assistance that we can provide to help to solve the problem, which I acknowledge exists.

David Stewart (Highlands and Islands) (Lab): I reinforce Liam McArthur's point, and stress that European Council directive 98/18/EC will not, although it allows retrofitting of Orkney's internal ferry fleet, prevent the inevitable need to replace all nine vessels in the fleet. Orkney Islands Council has already contributed a quarter of a million pounds for the programme. Will the minister make a commitment today to replace the fleet and save the first-class lifeline inter-island service in Orkney?

Stewart Stevenson: I am certainly not able to make that type of commitment today. I return to my point about the transfer of assets and funding streams to Orkney Islands Council that took place—by agreement with the council—in the 1980s. It is against that backdrop, which makes it clear that responsibility lies with Orkney Islands Council, that we will continue with discussions—which have so far been fruitful—to establish an appropriate way forward that reflects the need to replace all the vessels in the not-too-distant future.

Rob Gibson (Highlands and Islands) (SNP): Can the Scottish Government explain whether it is possible to consider the need to replace not only the Orkney ferries, but those in Shetland and in other places? Is there any potential for those lifeline service vessels to be built in Scotland?

Stewart Stevenson: We very much wish to see vessels being built in Scotland. The member will be aware that we currently have a vessel for the Islay service on order from a shipyard in Gdansk. When we were progressing that procurement, I specifically contacted Scottish interests to ensure that they were making every effort to see whether they could bid, but—alas and alack—they did not wish to do so at that stage. We will continue to engage with shipyards in Scotland that can build ferries for our services, and ensure that they are in a position to bid when vessels are being sought in the future.