Delivering benefits for Scottish business
£157 million worth of subcontracts and supply orders from the Forth Replacement Crossing (FRC) project have been awarded to Scottish companies.
Visiting Millar-Callaghan in Irvine today, Transport Minister Keith Brown was able to take a closer look at how one of these Scottish businesses has benefited from orders for the Queensferry Crossing.
Mr Brown said:
“Millar-Callaghan is a fantastic example of the positive impact of the project for Scottish business.
“The nine purchase orders they have secured from the FRC, worth £1.2 million have helped them create 17 new jobs, including 8 trainees and provided a reputational platform for them to secure future work.
“At this stage of the project around 80 per cent of the contractor’s procurement is complete and over 360 Scottish companies have been awarded work so far. This includes 92 per cent of supply orders on the Principal Contract, worth approximately £72 million, being awarded to Scottish firms.
“The FRC is vital to the economy of Scotland and is delivering significant economic benefits with over 1,000 people currently employed directly on site. In addition, around £85 million worth of subcontracts have been awarded to Scottish businesses with wider economic benefits through the project supply chain.”
David Millar, Managing Director of Millar-Callaghan said:
“Overall, the various orders from the Queensferry Crossing represents around a third of our current order book and annual turnover.
“The bulk of the work has been manufacturing all of the internal steelwork for the three bridge towers, including staircases and access platforms. Each tower is around 210 metres tall so that involves a significant amount of steel, approximately 310 tonnes.
“Working on such a high profile project has also become a calling card for us in securing new business. We have secured an order to supply steel for a major project in London, the Hammersmith Flyover, and we believe some of the key personnel down there are only aware of us because of our work on the Queensferry Crossing.”
Blake Group based in Leith are supplying the project with around £1 million worth of orders including temporary platforms and storage areas. Ronnie Blake, Managing Director said:
“The Forth Crossing work has been an integral element in allowing the business to invest in new technologies, shop floor equipment and re-establish an apprenticeship programme. As well as securing jobs we’ve actually been able to recruit during what have been the hardest times faced by the engineering and construction sectors.
“With our good working knowledge of the complexities of such a massive internationally significant project, we look forward to our continuing role in assisting with delivery of this iconic piece of infrastructure for Scotland.”
CV Carmichael based in Fife, are supplying the project with support frames and platforms for the bridge’s main tower structures. Managing Director Colin Carmichael said:
"We’ve had multiple orders over the past three years from the new bridge. That represents roughly a quarter of our turnover over that period and I’m obviously hopeful there will be more opportunities and orders over the next couple of years before the bridge opens.
"Work from the project has been of great assistance to us during the recession in the construction industry. It has undoubtedly been a help when other work has been quieter than normal and it has allowed us to maintain our workforce through a challenging period.”
- The FRC is Scotland’s biggest transport infrastructure project in a generation
- The Queensferry Crossing is being built on time and under budget
- The current budget range for the project is £1.4 to £1.45 billion, down from £1.45 billion to £1.60 billion in 2011
- The British Chambers of Commerce estimated the additional benefits through supply chain and sub-contract opportunities for Scottish businesses would be worth around £6 billion to the Scottish economy. (BCC press release, February 2010)
- Forth Crossing Bridge Constructors (FCBC) is a consortium comprising: Dragados, Hochtief, American Bridge International & Morrison Construction. The consortium led a successful bid for the design and build contract of £790 million, at 2011 prices, for the main Queensferry Crossing (principal contract)
- The overall Forth Replacement Crossing scheme is 13.7 miles (22 km) long and includes major motorway upgrades to the north and south of the bridge – the Fife Intelligent Transport System and M9 Junction 1A
- Around 80 per cent of the contractor’s procurement for the project has now been completed
- Millar-Callaghan Engineering Services Ltd was established in 1999 and currently employs around forty people. The company has worked on a number of Scottish bridges including the Tay Road Bridge, Erskine Bridge, Forth Road Bridge and Kessock Bridge
- Blake Group, established in 1939 are based in Leith, Edinburgh with a workforce of fifty people including four apprentices
- CV Carmichael are based in Mossmorran, Fife formed in 1977 and have a workforce of thirty four people.
Mark Dunlop : 01383 421 397 : 07920 595 449