Caledonian Maritime Assets Limited Announces New Ferry Order for Islay to be delivered in 2011

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Caledonian Maritime Assets Limited Announces New Ferry Order for Islay to be delivered in 2011
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02 November 2007

Caledonian Maritime Assets Limited (CMAL) has today (Friday, November 2, 2007) announced an order for a new ferry which will be operated by CalMac Ferries Ltd (CFL) on the routes serving Islay from the mainland.
Agreement has been reached with the Remontowa yard in Gdansk, Poland to build an 89.90m long vehicle/passenger ferry and delivery is expected in spring, 2011. The cost of procuring the vessel and bringing her into service will be £24.5 million and is being financed by a loan from the Scottish Government. All interest and capital repayments will be met by CMAL.
CMAL’s Managing Director, Guy Platten said: “The Remontowa tender was one of 4 received and represented extremely good value in a very challenging shipbuilding market. The delivery of the vessel in spring 2011 reflects the huge demand for new shipping worldwide and the scarcity of vital components including engines. CMAL and CFL have been working very closely together on this project and are convinced that the ship will be cost-effective, provide value for money, and will meet all of our technical requirements. This new vessel demonstrates the Scottish Government’s commitment to continue to modernise and improve CMAL’s assets and to maintain reliable and affordable lifeline links to island communities. Once delivered it will provide the operator with the resources needed on the routes from Kennacraig to Islay to offer a first-class service.”
Welcoming the news the contract has been signed, the Minister for Transport, Infrastructure and Climate Change, Stewart Stevenson MSP said, “We are absolutely committed to delivering first class ferry services for our remote and island communities. That is why we recently announced a study into a road equivalent tariff, and that is why we are today giving a firm commitment to a new vessel for Islay. This service is a lifeline for the community on Islay. Once delivered, the new vessel will provide much needed additional capacity, as well as bringing service improvements to local residents, businesses and tourists. Our commitment to ferry improvements does not stop there. We want to deliver a fairer deal for ferry passengers across Scotland."
The new vessel will be a modern Ro-Ro Euro Class B passenger vessel designed to carry 550 passengers, up to 88 cars, as well as coaches and commercial vehicles. The ship will also be capable of carrying dangerous goods.
Passengers will be accommodated on two well-appointed decks, with access gained at the lower of the two from an enclosed passenger gangway. There will be two lifts, one on each side of the ship, to all decks. The ship will also be built in line with DPTAC guidance on facilities for customers whose mobility is impaired.
The overall cost of £24.5 million is broken down as follows: Shipyard build cost - £21.75 million. Additional overheads such as project supervision, vessel spares, training and delivery into service bring the total cost of the project to £24.5 million.

Background note:
Until 1 October 2006, Caledonian MacBrayne Ltd provided the majority of Clyde and Hebrides ferry services and owned the associated vessels and a number of the harbour facilities. That company was wholly owned by Scottish Ministers. These services required an annual revenue deficit grant from the Scottish Executive to maintain lifeline service levels.
In order to comply with European guidelines on State Aids in Maritime Transport, an open public tender was deemed necessary in respect of these ferry services. The then Scottish Executive tendered the Clyde and Hebrides Ferry Services (CHFS) as a single bundle, with the exception of the Gourock-Dunoon service.
In recognition of the uniqueness of the fleet and in order to ensure a level playing field for all bidders on 1 October 2006 Caledonian MacBrayne Ltd was split into an asset-owning company, Caledonian Maritime Assets Ltd (CMAL), and a new operating company, CalMac Ferries Ltd (CFL). This was done by Caledonian MacBrayne Ltd transferring its operations (but not its assets) to CFL. Caledonian MacBrayne Ltd, now CMAL continues to own all vessels and land-based assets (ports, harbours, etc) and makes them available to an Operator through an open tendering process. From 01 October 2007 CalMac Ferries Limited continues to operate the services having won the tendering process with their bid. Under the terms of the tender CFL is bound to use the vessels of CMAL.
Caledonian Maritime Assets Limited, like CalMac Ferries Ltd, is a publicly owned company with Scottish Ministers as the sole shareholder. The Caledonian Maritime Assets Limited Board has appointed an executive management team and supporting staff at its headquarters is in Port Glasgow.
Ends.
For further information on the contents of this News Release, please contact CMAL CONTACT Guy Platten, Managing Director, 07872 398831 or 01475 749920 email guy.platten@cmassets.co.uk
Or
Grenville Johnston, Chairman CMAL – 07774 120 202

Issued: Friday, November 2, 2007 : TIME.

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Caledonian MacBrayne and CalMac are trading names of CalMac Ferries Limited (SC302282)