The announcements, confirmed by Minister for Transport Nicol Stephen in Parliament today (Wednesday, December 8) arise from the Executive’s  2004 Spending Review, which considered CalMac’s long-term capital investment needs.

The Minister has confirmed that CalMac should order a further 2 new vessels.  The first will be a second new vessel for Wemyss Bay-Rothesay service costing an estimated £9.5 million.  The other new vessel will serve on the Largs-Cumbrae route, costing an estimated £5.8 million.  Both new vessels are likely to come into service by 2007.

CalMac Managing Director Lawrie Sinclair said: “CalMac is delighted to have confirmation today of the new build commitment. We are currently building a new ship for the WemyssBay to Rothesay service and this will enable us to further enhance the links between the island and the mainland. It is vitally important now that all the relevant organisations come together to improve the infrastructure to enable us to operate at maximum efficiency and that means having a new linkspan in place in Rothesay as quickly as possible. The new vessel for Largs to Cumbrae slip is also great news in that it benefits the Oban to Lismore service which will see one the current Largs vessel cascaded to Oban to work that route bringing with it significant improvements in terms of capacity”.

The ordering of new vessels will be conducted in accordance with EU public procurement procedures and Mr. Sinclair confirmed that the process will begin immediately with a view to both new vessels being in operation by 2007. The Company will place individual orders in accordance with those procurement procedures with value for money, reliability and delivery being key factors.

In addition to the ongoing terminal developments at Oban the Executive also confirmed today that it plans to provide Piers and Harbours Grants to CalMac towards new projects totalling around £15.8 million over the period to March 2008.  These new projects include a major upgrade of berthing facilities at Kennacraig, which serves the route to Islay, and works at Largs, Cumbrae Slip, WemyssBay, and Lismore to accommodate the vessels to be introduced, as well as a replacement linkspan at Brodick.

CalMac Chairman Dr Harold Mills said: “ We are obviously also delighted that the Minister has agreed to look further at CalMac’s future capital investment needs, in particular for Islay, following recent appraisal work carried out by CalMac. Enhancements to that service now moves to the top of our wish-list and we look forward to receiving Ministerial guidance on that in due course.”

ends

For further information on the contents of this News Release, please contact Hugh Dan MacLennan, Head of Communication and Customer Care, Caledonian MacBrayne.   Tel: 0776 435 4021; e-mail hugh.maclennan@calmac.co.uk.

Issued:  Wednesday, December 8,  2004  : 1700