Key themes

We have also reviewed existing feedback from communities provided during a number of engagement events and public consultations carried out by Transport Scotland and Scottish Government Islands Team, the delivery of the Ferries Plan and other recent evidence, in particular the Scottish Parliament’s NZET Committee report and a consultation report on “Project Neptune”. Through this work, and the strategic context of the National Transport Strategy and the National Islands Plan, we have identified the following key themes needing to be addressed through future ferries policy:

• Community voice and transparency
• Reliability and resilience
• Accessibility
• Timetables, unplanned and essential travel
• Integration of services
• Capacity and demand
• Freight services
• Vessels and ports
• Low carbon and environmental impact
• Ferry fares
• Local authority services

We discussed each of these themes and related options with ferry key stakeholders. We have structured the remainder of this paper around the 11 key themes, set out in the table below, where we set out work already underway and proposals, informed by ferry stakeholders, which enable progress towards the Vision and Priorities meaning overall improvements to our ferry services.

Community Voice and Transparency

We have heard from communities that they are not being heard when it comes to decisions on ferry services and that there is a lack of clarity on how said decisions were made. We have also heard that there is “consultation fatigue”, mainly around lack of understanding on how the responses from consultations and engagements influence decisions being made.

We fully agree that it is important to hear from a wide range of voices, and Ministers and Transport Scotland officials regularly engage with a range of users and stakeholders. There are a range of opinions on ferry issues and not a consensus.

We will work to improve the quality of communication with communities on ferries issues – policy, services, vessels, and ports – so that people are included, listened to and receive explanations for decisions being made.

We have:

• Reflected on past feedback received from communities and key stakeholders to identify key issues related to delivery of ferry services in Scotland and used those issues to inform the strategic approach set out in this paper.
• Established standard approaches with CMAL for community engagement on vessel and port projects – see the draft Vessels and Ports Plan for details.
• Engaged positively with the Ferries Community Board since its creation by CalMac in 2017.

We will:

• This should include how and when engagement or consultation with communities and their representatives should take part when formulating decisions affecting people’s lives, including a post engagement/consultation statement on how the proposals were considered.
• Work to ensure that ferry committees, or equivalent bodies, are in place to speak on behalf of all communities served by CHFS and NIFS ferries.
• An Islands Communities Impact Assessment is being carried out to inform the development of the overall Islands Connectivity Plan. This process aims to ensure that the impacts on island communities are captured and considered in the development of policies and plans detailed in the draft Islands Connectivity Plan.

The above actions will ensure our ferry services will be transparent: communities will be listened to and decision making will be clear.

Reliability and Resilience

Ferry users and island communities have told us that the most important thing about ferries is that they are reliable. Figures 2 and 3 show that over the last decade reliability of services has been decreasing which is particularly seen on the CHFS network. The actual reliability has also been lower than the contractual reliability on both CHFS and NIFS networks. There has been an increasing number of cancellations and delays caused by weather and breakdowns. Reducing breakdowns, improving weather reliability, and increasing network resilience is, therefore, the first Priority and will support the overall island transport connectivity.

A recent Met Office report quoted in Parliament’s Net Zero, Energy and Transport Committee provided evidence on whether the climate of Scotland has been getting stormier and noted that “a perception that it has become stormier in recent years (2011-2020) is a valid belief, and the period 1981-2020 is stormier than the mid-20th century."

Reliability can be improved through changes to vessels and ports. When buying replacement vessels, designs that will reduce the risk of disruption, in particular from weather, will be the first priority.

Resilience of services can be improved by having spare ferries available in case of breakdowns and by increasing the number of vessels that can work from different ports (“interoperability”) including by having the same, or similar, designs (“standardisation”).

Our detailed plans for the CHFS and NIFS services are set out in the draft Vessels and Ports Plan.

In addition, we have:

• Supported the maintenance of the CHFS and NIFS fleets through the Resilience Fund. Between financial years 2018/19 and 2021/22, £10.5 million was invested, with a further up to £8m made available during financial years 2022/23 and 2023/24.
• Relaunched the Islands Transport Forum for the Minister for Transport to work with islands councils on transport resilience issues.
• Worked on a Weather Monitoring Systems project to assist ferry operations. CMAL is advising on the installation and servicing of tide and weather monitoring systems. Under this scheme, port owners will install the system and meet the low annual electricity costs with technical support from CMAL.
• Researched and reviewed changing climate and wave climate when undertaking both vessel and infrastructure projects. This is undertaken by CMAL as part of each of the individual project working groups during the design and planning stage.
• Committed to awarding the next CHFS contract as a single bundle: this will provide resilience through the operator’s ability to move vessels and crew around the network.

We will:

• These would be in addition to contractual measures which reflect the impact of weather, the responsibilities of operators and the overriding priority of safety.
• This will recognise the importance of reliability of ferry services in our Vision and set Reliability and Resilience as the top Priority in this Strategic Approach Paper and in our Vessels and Ports Plan.
• This will also help ensure Transport Scotland, CMAL and operators have good information on disruption and long-term reliability issues and trends so that public money can be spent where it is most needed, and where it will have the greatest impact.

The above actions, and the commitments which are set out in more detail in the draft Vessels and Ports Plan, will ensure our ferry services are reliable and resilient.

Accessibility

We aim to improve accessibility to ferry services for all users.

Our ferry services should be easy to use for all and recognise that people have different needs and capabilities, and we will work to ensure that everyone can use the services with as few barriers as possible.

We have:

• Improved accessibility through vessel and port design: improving accessibility is a feature of CMAL vessel and port projects based on statutory requirements, industry guidelines and best practice.
• Supported improvements through the Ferries Accessibility Fund – set up as an outcome of the Ferries Plan, has delivered approaching £1 million in targeted improvements.

We will:

• Work to develop an Accessibility Standard in partnership with user group representatives including the Mobility and Access Committee Scotland (MACS), ferry and port operators and welcome the involvement of councils and other ferry and port operators. A Standard could include such things as inclusive and disability awareness training to be carried out frequently, and an accessibility review done periodically on ferry services, ports and vessels.
• Use this Standard as the basis for measuring current levels of accessibility at locations on the ferry networks and measuring improvements over time.
• Targeting future spending, including through the Ferries Accessibility Fund, where improvements are most needed and can be delivered most efficiently.

An Equalities Impact Assessment will be carried out on the overall Islands Connectivity Plan. This process aims to ensure that the impacts on people with the protected characteristics are captured and considered in the development of policies and plans detailed in the draft Islands Connectivity Plan.

Delivery of the above actions will ensure that our disadvantaged communities and individuals have fair access to ferry services they need. This will include reducing inequalities and advancing opportunities for equality, including the protected characteristics under the Equality Act 2010.

Timetables; unplanned and essential travel

The Ferries Plan set out proposals for changes to service levels based on assessments of needs. Further assessments have been carried out since the publication of the Ferries Plan: mainly by councils for their own services but also by Transport Scotland for the Northern Isles Ferry Services and the Outer Hebrides.

As part of the ICP, we intend to carry out further assessments using an updated methodology as discussed above on Community Needs Assessments.

Ferry travel has become more popular and there are now, in particular, more people who want to take their car on a ferry. This means that some services cannot accommodate short notice demand for essential vehicle travel by island residents and key workers. At the same time, for some islands, travel demand in the winter is very low and transport connections are noticeably reduced as a result.

We have:

• Ensured CalMac has a medical protocol in place which guarantees islanders a booking on the ferry and a taxi, should they have an urgent medical appointment, on the mainland, if the ferry sailing does not have the capacity available for their vehicle.
• CalMac has introduced a procedure for “Advanced Standby” for vehicles which has replaced the previous waiting list. There are set criteria that passengers need to meet in order to be placed on the list.

We will:

• Consider, based on evidence from the current Deck Space Reservation pilot project, whether a different approach to releasing vehicle space for booking on some CalMac routes will better facilitate island essential travel. This should allow greater opportunity for island communities and those who require travelling at shorter notice. If the pilot is successful, then Transport Scotland and CalMac will discuss rolling this out further with individual communities.

• Explore whether, and how, the current frequency of sailings to an island could be distributed differently between seasons or during the week – or, where applicable, between routes – in response to community requests. This would reflect the principle of the “bank” system used in the Scottish Government’s Aviation Public Service Obligations for Barra, Tiree and Campbeltown. The “bank” system was introduced in 2019 by removing a number of little used flights to create a “bank” of flights that can be deployed at the discretion of these communities.

The confidence we will have in our journey will enable us to plan our lives, access medical services, to get to work on time, access education, to deliver goods efficiently and keep businesses running smoothly.

Integration of services

Ferry services, supported by other transport services, play an important part in providing transport connectivity to Scottish islands. We have heard that ferry services could sometimes be better integrated with public transport on islands and on the mainland in terms of timetables, ticketing, and fares, as well as information about services being more easily available.

There are particular problems when one mode is disrupted by weather or breakdown. This makes travel by ferry more difficult for people who do not have access to a private vehicle, or who would prefer to travel without one. Better integration of ferries with public transport, active travel, and other more sustainable alternatives like car clubs, should offer more and better onward and connecting travel options – creating a more efficient transport network.

This would bring additional patronage and thus sustainability to bus and train connections, give increased choice for travellers, enable more sustainable or “greener” travel and, potentially, ease the growing pressure on ferry vehicle deck space.

Our ferry services will support integrated travel choices: better integration between our ferries’ networks and other modes of transport will be the key when delivering the Strategy – in particular, active and sustainable modes - both on the mainland and those islands or rural communities to which they connect.

By promoting active travel choices, we will encourage walking, cycling and public transport usage. This will deliver more social interaction, support local businesses and services, and create more vibrant communities.

We have:

• Included in the second Strategic Transport Projects Review 2 (STPR2) a recommendation on “Supporting Integrated Journeys at Ferry Terminals”. This work is intended to be taken forward as part of the ICP in 2024-25.
• Supported Mobility as a Service (MaaS) options through the “GoHi” system covering our ferries areas. Tying in our ferries networks to MaaS systems enables users to access integrated journey planning information and ticketing.

We will:

• In 2024, we will build on initial preparatory work to engage with communities and other stakeholders in a programme of work on Onward and Connecting Travel. This will include investigating smart ticketing, with more integration across modes and how travel information can be improved.
• Use the outputs of the baseline study to inform discussions with communities, transport operators, local authorities, and other stakeholders on improvements.

The delivery of above actions will help us provide ferry services that will support people making sustainable and active travel choices, which can have a significant positive effect on an individual’s health as well as physical and mental wellbeing, and for the benefit of our environment.

Capacity and demand

We have heard that the space for vehicles on busy ferry routes fills up quickly at popular times, especially in summer. This makes it difficult for residents of those islands, and visiting key workers, to travel with a vehicle at short notice. People in Shetland and Orkney have reported the same problem securing cabins on overnight sailings.

At other times, and on other routes, there is space available for more vehicles to be carried and there is almost always space for people on any sailing at any time. These empty spaces are an opportunity for more people and freight to be carried, making better use of the ships, and bringing more people and trade to the islands.

As set out in the National Transport Strategy, decisions will reflect the Sustainable Transport Hierarchy. This means that priority will be given in decision-making to more sustainable modes such as active travel and public transport.

We have:

• Increased carrying capacities through vessel size, service frequency and vessel charters.
• As set out in the Timetables section in this Paper, worked with operators and communities to explore new ways to manage capacity when this is scarce.

We will:

• Use refreshed Community Needs Assessments to identify different options for service frequencies and vessel size.
• In collaboration with operators and communities identify ways of using existing and planned capacity better – see separate sections on Integration, Freight and Fares in this Paper.
• Identify the key “pinch points” on the CHFS and NIFS networks and consider options for additional vehicle capacity where this is practical, beneficial and affordable. The best time to do this is when plans are being made for replacement vessels – noting that in some locations vessel size and vehicle carrying capacities will be constrained by the capacity of ports and roads.

Delivery of our proposals above will allow for ferry services to provide certainty on how long a journey will take, and that it will be a simple and comfortable experience. The confidence we will have in our journey will enable us to plan our lives, access medical services, to get to work on time, access education, to deliver goods efficiently and keep businesses running smoothly.

Freight

A key role of ferries is to move goods and service vehicles to and from islands. This supports local businesses especially those exporting products to the Scottish mainland and beyond. Most freight travels in goods vehicles which share the ferries with people and cars.

We have:

• Ensured Serco NorthLink have 2 freight vessels which serve Shetland and Orkney from Aberdeen because of the high volume of freight travelling to and from the Northern Isles.
• CalMac Ferries operate a Stornoway-Ullapool overnight sailing for freight using the regular passenger vessel: the MV Loch Seaforth.
• Chartered vessels are used to provide more capacity or to deliver bulk or specialist cargos. For example, the Islay distilleries arrange for delivery of grain by bulk freighter.
• There are also small volumes of freight moved by air and growing interest in new options such as using drones to deliver small but vital loads such as medical supplies.

We will:

• Encourage collaboration between operators, hauliers and businesses for greater forward planning and management of current and future capacity and current and forecast demand.
• Consider whether the costs of sea freight transport could be shared differently between users, developers, and public funding and, alongside this, how financial support to island businesses could be more effectively targeted.
• Revisit the Freight Fares Review (see Fares section in this Paper).

A Business and Regulatory Impact Assessment will be carried out on the overall Islands Connectivity Plan. This process aims to ensure that the impacts on business are captured and considered in the development of policies and plans detailed in the draft Islands Connectivity Plan.

In delivering the above proposals we will get people and goods where they need to get to: ferry networks and services will be integrated effectively with other transport modes, helping economic development, and adapting to changing requirements of island communities, businesses and visitors while supporting opportunities for developing and new industries.

Vessels and ports

Many Scottish ferries – CHFS, NIFS and local authority ferries – are ageing and some are overdue for replacement. This makes them more likely to break down and it can take longer to repair them when specialist parts are needed. Many ferry ports are also in need of major renewal or replacement works.

We have:

• Ordered six new major vessels for CalMac scheduled for delivery in 2024-2025.
• Committed to introducing a second summer vessel to the “Little Minch” routes, further increasing route and network resilience.
• Funded port upgrades at Tarbert (Harris), Lochmaddy and Uig which are complete or well underway.
• Through CMAL we have been actively monitoring the effects of climate change on rising sea levels to inform the design or improvements to port infrastructure.

We will:

• Retain a major CHFS vessel to provide resilience.
• Increase “standardisation” across both CHFS and NIFS fleets and increase “interoperability” of vessels and ports across network. There is already a level of interoperability within the CHFS major and small vessel fleets, and within the NIFS fleet. Increased standardisation, such as the procurement of the four “Islay Class” vessels and ongoing development of the Small Vessel Replacement Programme, will contribute to improved efficiency, resilience, and overall network performance. Given the wide variety of communities and routes served by these fleets, increased standardisation does not need to mean identical vessels but should allow for increased interoperability of vessels and ports.
• Interoperability and standardised ports also opens up possibilities for new or different routes between islands and the mainland or between islands.

The above actions, and the commitments set out in more detail in the draft Vessels and Ports Plan, will ensure our ferry services are reliable and resilient.

Low carbon and environmental impact

Most Scottish ferries run on Marine Gas Oil, a fossil fuel. This produces carbon emissions that contribute to climate change as well as local air pollutants and noise.

Our long-term goal is to reduce carbon emissions very substantially by 2045 and, ideally, to eliminate them. However, this is dependent on alternative fuels becoming commercially available. This is a challenge facing the whole shipping industry. For islands, there is an opportunity to provide future ferries with cost-effective fuels using the abundant renewable energy sources available.

We have set a target in the Scottish Government’s Climate Change Plan that 30% of the Government (CMAL) owned fleet should be low or zero emission vessels by 2032. The successful delivery of the Small Vessel Replacement Programme will enable that goal to be met.

In the short-term, there are actions that can be taken by ferry operators:

• Review operations to improve fuel efficiency For example, ensuring operational vessel capacity is maximised, monitoring of fuel consumption on a monthly basis and upgrading vessels and equipment during scheduled maintenance helps both vessel resilience and prevents unnecessary fuel wastage. This also reduces costs.
• Design vessels that are more fuel-efficient. This is achieved by optimising the hull form design on all new vessels and utilising low emission technologies where possible, as is the case for the all-electric vessel designs in the Small Vessel Replacement Programme. Vessel design options, propulsion options and fuel efficiencies are key in new vessel projects and are considered by CMAL and independently progressed and verified via Naval Architect consultant studies.
• Use electric power supplied from the shore when in port, especially overnight. This also reduces noise which benefits local residents and crew living on board and improves fuel efficiency.
• Explore the use of batteries for small ferries either on their own or alongside normal engines (as a “hybrid”).

We will:

• In 2024, we will build on initial preparatory work to work with operators, CMAL and other stakeholders on options and opportunities for reducing greenhouse gas emissions from ferries. This work will feed into the next Scottish Government Climate Change Plan.
• Adopt the principle that all new ferries should be designed with future zero emission propulsion where possible. Local authorities are encouraged to consider this principle for their own ferry fleets.

A Strategic Environmental Assessment is being carried out on the overall Islands Connectivity Plan. This process aims to ensure environmental and sustainability aspects of the Plan are captured and considered in the development of policies and plans detailed in the draft Islands Connectivity Plan. 

These proposals will contribute towards achievement of our climate action ambitions. We will set out further information in the next Scottish Government Climate Change Plan due for publication in 2024.

Fares

The Ferries Plan established Road Equivalent Tariff (RET) as the basis for the Scottish Government’s ferry fares policy for passengers and their vehicles. It is now in place across the CHFS network for passengers, cars, coaches, and small commercial vehicles (under 6 metres). The basic intent of the system is for ferry users to pay the same rate per mile, regardless of where they are travelling from and to, and a fixed element to contribute to infrastructure costs. This resolved many previous issues of comparability and consistency within the CHFS fare structure. 

The 3 key principles of RET are: 

• Simplicity and Transparency - the basis for fares must have an established rationale and simple for a user to understand.
• Comparability and Consistency - the basis for fares should be the same for each community.
• Public Sector Affordability versus Community Sustainability - fare-setting needs to balance the different requirements of public sector affordability with community sustainability.

Fares Policy is a key element of ICP. Some initiatives on fares are currently being taken forward through Transport Scotland’s Fair Fares Review (FFR) which will report shortly. The direction of future ferry fares policy will be established through the FFR and through consultation with stakeholders and communities. After that, further work will be required with operators and stakeholders to develop implementation plans and timescales. Additionally, detailed policy development on ferry fares will be taken forward beyond the FFR while recognising the importance of building confidence in our island businesses and supporting inclusive, sustainable economic development and growth.

We have previously responded to proposals from some island communities to increase fares for motorhomes and from the Ferries Community Board to pilot discounted fares for school buses.

We are also committed to giving our young people the very best chances to succeed in life. Young people rightly challenge us to invest in a sustainable future for them and free bus travel for all under 22s, including islanders, will help to deliver that. Ahead of the full report, we have recently announced the extension of free travel vouchers for young islanders to under 22s.

Building on the Fair Fares Review, we will take forward detailed consideration of proposals to:

Short-term:

• Retain RET for island residents and consider fares for non-islanders, particularly vehicle fares during the summer timetable period.
• Review and update the RET formulae as a key element of the above work.
• Provide free foot passenger travel on inter-island ferries for under 22-year-old island residents within the Outer Hebrides, Orkney, and Shetland Island groups.
• Extend the existing National Ferry Concessionary Scheme to under-22-year-old island residents.

Medium to longer term:

• Revisit the Freight Fares Review.
• Consider, based on evidence from the current Deck Space Reservation pilot project, whether a different approach to releasing vehicle space for booking will better facilitate island-essential travel. This should allow greater opportunity for island communities and those who require to travel at shorter notice. If the pilot is successful then Transport Scotland and CalMac will discuss rolling this out further with individual communities.
• Undertake work to consider how to utilise dynamic pricing, within agreed parameters, in order to better manage demand and utilise capacity.
• Deliver improved collaborative working between CalMac and Scotrail, especially during disruption, timetable development and a future digital solution for Rail & Sail tickets.

By delivering the proposals outlined above we will ensure that our ferry services will be affordable and sustainable with costs more fairly shared across government, businesses and society.

Local authority ferry services

Four local authorities – Shetland Islands Council, Orkney Islands Council, the Highland Council and Argyll & Bute Council – are responsible for operating a number of ferry services within their areas and also various aviation services and existing fixed links. They do so effectively and are best placed to respond to their local communities’ needs. Local authorities have a role to play in achieving a well-integrated onward and connecting travel for their local communities. A collaborative approach between all local authorities and Transport Scotland will be essential going forward to enable for more sustainable island transport connectivity.

Councils face the same challenges as the Scottish Government of meeting transport connectivity needs with ageing vessels and ports with limited public money. Future connectivity could include the consideration of fixed links and increased aviation schedules, in place of or as well as renewing ferry fleets. We recognise that each island’s needs will be different and there is no one size fits all solution. These 4 local authorities are encouraged to adopt the agreed Vision and Priorities as an example of the desired standard for our ferry services across Scotland.

The Scottish Government has provided more than £178 million between 2018/19 and 2023-24 to support the running of these services. Councils are now working on vessel replacement and port renewal plans with support from the Scottish Government. The Scottish Government remains committed to the Orkney and Shetland Internal Ferry Replacement Task Forces and working with the councils to ensure robust business cases are in place.

CMAL is keen to provide any advice and learning from the Small Vessel Replacement Programme to local authorities to help with planning new vessels and infrastructure and have already engaged with all the four local authorities.

As part of the Islands Forum Connectivity Task and Finish Group, announced by the UK Government in Stornoway in October 2023, procurement, transport integration and fixed links will be discussed with a view to sharing best practice and experience from all UK islands. Scottish Government and local authority officials are part of this Group and will continue to meet to progress tasks and to present at the next Islands Forum in Anglesey in Spring 2024.