Investment plans

Asset renewal

This Plan sets out the investment programme recommended to maintain and safely operate the current network of ferry services, in particular by:

  • renewing the fleet and upgrading ports in response to asset age and condition;
  • improving technical and weather reliability when investing in new vessels and port upgrades, and;
  • improving resilience through an expansion in the major vessel fleet and through increased interoperability of vessels and ports within the major and small vessel fleets.

The objective for vessels is to bring the average fleet age down to around 15 years whilst making necessary improvements in reliability and resilience.

The intention is for CMAL and the relevant operator to undertake reviews of assets at their approximate mid-life – this will inform decisions on planned life extension projects, redeployment of vessels and the planned timing of replacement or disposal. Such reviews would be part of asset management and the results will feed into future versions of this Plan. Longer-term forward planning will also assist all parties, and the services operators in particular, with workforce planning, recruitment and training.

Delivery phases

This Plan is broken down into 4 broad time phases:

  • Phase 1 – projects listed in the IIP for initiation or delivery 2021-2026.
  • Phase 2 – projects recommended for initiation or delivery 2026-2031.
  • Phase 3 – projects recommended for initiation or delivery 2031-2036.
  • Phase 4 – projects recommended for initiation or delivery 2036-2045.

The level of uncertainty increases for later phases. The pace and timing of delivery in practice will depend on a number of factors including the outcomes of community needs assessments, stakeholder feedback, availability of funding, capacity of suppliers and updated reviews of asset condition. To ensure this Plan remains up to date, it is intended to refresh it every 2-3 years and fully update it every 5 years.

Phase 1 – 2021-2026

Fleet and port enhancements

As stated previously, the Scottish Government’s IIP published in February 2021 set out a series of vessel and port projects that would be taken forward during the five years of the IIP from April 2021 to March 2026, in addition to the completion of the MVs Glen Sannox and Glen Rosa. The projects listed in that Plan were:

Replacement vessel projects for:

  • Islay
  • Gourock-Dunoon-Kilcreggan passenger services
  • Up to 7 small vessels for the Clyde & Hebrides network
  • Craignure-Oban
  • Mallaig-Lochboisdale
  • Northern Isles freighters

Major harbour development projects at:

  • Ardrossan
  • Little Minch: Uig, Tarbert and Lochmaddy
  • Gourock
  • Lochboisdale
  • Armadale
  • Kennacraig
  • Oban

Almost all of these projects are now underway: either under construction or at various stages of business case development. Given the long lead-times for vessel and port projects, it was always known that a number of these would require further funding for construction beyond the five-year period of the IIP. As well as these, Islay Vessel Enabling Works, Port Ellen Terminal Development and SVRP Port Works have also been progressed.

In addition, a number of other third party port projects are underway, notably:

  • Craignure – Argyll & Bute Council (ABC) are working towards an Outline Business Case for a major redevelopment of the existing port which is reaching asset life expiry;
  • Dunoon and Kilcreggan – As part of the replacement vessels project being led by CMAL, ABC is developing designs to accommodate future vessels for services to Gourock.

Increased fleet resilience

The delivery of new vessels during Phase 1 will also enable an increase in the resilience of the major vessel fleet through:

  • As a priority, the retention of a major CHFS “resilience vessel” following the delivery of new tonnage to provide network resilience until at least 2030; although remaining part of the CHFS fleet, this increased fleet size should also provide a potential option for responding to an unplanned outage on the NIFS network;
  • the deployment of two vessels, in summer, on the Uig-Tarbert/Lochmaddy services (“Little Minch”). This will strengthen resilience of the services to the Outer Hebrides as a whole (in case of disruption to the services to Stornoway or Barra, for example) and to the wider CHFS and NIFS networks.

These two decisions increase the size of the CHFS major vessel fleet from 10 to 12.

The future need for the “resilience vessel” will be reviewed once the major vessel fleet has been renewed and the improvement in resilience from a fleet of modern vessels can be assessed. The “resilience vessel” will be one in the current fleet retained for that purpose – it does not need another new vessel to be procured.

Replacements (newbuild or second hand) for 9 of the other 11 CHFS major vessels are envisaged in Phases 1 and 2. The replacements for MVs Finlaggan and Loch Seaforth are not due until Phase 4.

Eight of these nine replacements are already at various stages in the investment programme:

  • 801 (Glen Sannox) and 802 (Glen Rosa) – under construction;
  • two new vessels for Islay – under construction;
  • two additional “Islay class” vessels for the “Little Minch” – under construction;
  • replacement vessel for Mallaig-Lochboisdale – project in development but not currently funded, and;
  • replacement vessels for Craignure-Oban – project in development but not currently funded.

The introduction of new vessels will enable the re-deployment of some major vessels including MVs Finlaggan and Hebrides. Whilst deployment plans remain under review, this would allow for the replacement of the MV Isle of Lewis on the Oban-Castlebay service.

The successful delivery of all these projects will, therefore, leave one further CHFS major vessel during Phase 2.

Small vessel replacement programme

The IIP includes a commitment to a Small Vessel Replacement Programme (SVRP), reflecting the age of many of this type of CHFS ferry, and to replacement passenger ferries for services from Gourock to Dunoon and Kilcreggan, reflecting the reliability and condition of the former rather than strict vessel age.

An Outline Business Case (OBC) which has been undertaken for the first phase of SVRP, recommending the number of vessels to be replaced, the type of vessel replacements and the timing of procurements is expected to be completed in early 2024. Based on the emerging OBC, this draft Plan includes replacements for up to 7 of the oldest vessels in the fleet. Proposed deployment of new and current vessels, associated port works and vessel redeployments and disposals are being developed for the OBC and will be shared through that programme. The small vessel fleet already benefits from the resilience provided by additional vessels - currently MV Loch Linnhe and MV Loch Bhrusda. We aim to retain these resilience benefits through the replacement programme.

It is recommended that the proposal from the Ferries Plan,(2012) to work towards a single passenger and vehicle crossing from Point to Port Appin, which is the shorter of the two crossings to Lismore, is carried forward. Any business case to support this proposal will be informed by discussions with stakeholders, the community needs assessment and engagement with the communities of Lismore and Appin.

The SVRP will continue into a Phase 2, with the objective of replacing a further series of small vessels, including serving the Sound of Harris.

Gourock-Dunoon/Kilcreggan

The Gourock-Dunoon/Kilcreggan vessel replacement project is also moving towards the completion of an OBC following the conclusion of a refreshed assessment of community needs and service options through the Islands Connectivity Plan. The community needs assessments for Cowal (Dunoon) and Rosneath (Kilcreggan) have already been completed and will need to be considered as part of this process.

Northern Isles freight vessels

A CMAL-led project to replace the two Northern Isles freight vessels with an improved design, adding capacity and reducing passage time, and potentially adding some flexible passenger-carrying capacity, is now at the design stage and moving towards the preparation of an Outline Business Case.

Ports and harbours

A number of major port projects are expected to conclude or significantly progress during Phase 1: Tarbert (completed), Lochmaddy (nearing completion), Uig, Troon enabling works (available for use) and Islay enabling works. Other CMAL port projects are under development but not funded: the most significant of these projects in terms of scale are Gourock terminal redevelopment, Port Ellen terminal redevelopment and Gasay (Lochboisdale) port construction. The Ardrossan project is currently undergoing a business case review and cost exercise, which is of vital importance in defining the scope of works, allowing greater certainty of the project costs and the financial packages required from each of the funding partners to deliver an improved service for the Arran community. 

Additional developments

During Phase 1 we also propose to commence work to develop business cases for a number of other projects, in addition to those listed in the IIP, to ensure that later phases of this draft Plan are on track:

  • Small Vessel Replacement Programme Phase 2, including consideration of future vessels for Mallaig-Armadale;
  • Small Isles vessel replacement project and associated port works;
  • CHFS major vessel replacement project for MV Hebrides, and;
  • NIFS replacement project for MVs Hrossey, Hjaltland and Hamnavoe.

Phase 2 – 2026-2031

Fleet and Port enhancements

Phase 2 will require significant further investment planning and delivery of vessels and ports on the CHFS and NIFS networks. Based on an assumed vessel operating life of 30-years on these networks, recommendations include:

  • Completion of Phase 1 and much of Phase 2 of the CHFS Small Vessel Replacement Programme;
  • replacement of the two NIFS freighters (not before 2028);
  • completion of the renewal of the CHFS major vessel fleet including vessels for Craignure-Oban and Mallaig-Lochboisdale;
  • new tonnage for the Small Isles (before 2030/2031);
  • port enabling works associated with the above vessel projects;
  • significant progress on CMAL port projects at Armadale, Oban and Castlebay in addition to the completion of the majority of the projects commenced during Phase 1;
  • development/procurement of replacements for the 3 NIFS RoPax vessels;
  • planning for the replacement of CHFS “medium” vessels (see below), and
  • possible life extension projects – for example MVs Hebrides or Clansman.

Northern Isles passenger services

Two large vehicle and passenger vessels, MVs Hrossey and Hjaltland, serving Shetland and Orkney from Aberdeen, will both be 30 years old in 2032 and the MV Hamnavoe, serving Orkney across the Pentland Firth, will reach that age a year later. Work on planning for and procuring their replacements will commence during Phase 1 with a view to the delivery of new tonnage in the early part of Phase 3. This will include engagement with the Orkney and Shetland communities and liaison with the 4 port owners.

Small Isles

The Small Isles vessel, MV Lochnevis, was built in 2000 and, therefore, is expected to be replaced during Phase 2. There is an outstanding proposal in the Ferries Plan for a change to the number and type of vessels serving the Small Isles which was not taken forward following further engagement with the communities. Work on replacement tonnage will follow the conclusion of a refreshed assessment of community needs and service options through the Islands Connectivity Plan. This project is scheduled for initiation in Phase 1 and will include engagement with the 4 Small Isles’ communities and liaison with the port owners.

The current assumption is that timing of major port works by CMAL at Coll and Tiree will be after the delivery of the CHFS major vessel projects initiated in Phase 1. This points towards the final vessel in the series being one that can serve those communities reliably in the meantime, as well as the retention of suitable overall cover within the fleet. However, this should be considered alongside the timing, feasibility and affordability of port investment options at Coll and Tiree.

Due to assets reaching life expiry, a number of major port renewal projects are being led by CMAL with business cases being developed, notably Lochboisdale, Armadale, Kennacraig and Oban. The funding decisions whether to support these projects will consider affordability and Value for Money as this work progresses.

With regards to Lochboisdale, although being progressed by CMAL alongside the new vessel project, the new vessel is not expected to be dependent on the completion of the proposed newbuild port at Gasay and would be able to operate to the existing Lochboisdale port in the meantime.

Replacement of ‘medium’ size vessels

During Phases 2 and 3, replacements for a number of “medium” CHFS vessels will require consideration for:

  • Mallaig-Armadale, currently served by MV Loch Fyne (1991) and MV Coruisk (2003);
  • Wemyss Bay – Rothesay, current served by MVs Bute (2005), Argyle (2007) and (winter relief) Coruisk;
  • MV Loch Frisa (2015, into service on CHFS 2022) recently introduced to the Craignure-Oban service alongside the major vessel MV Isle of Mull (1988).

These 3 routes share some characteristics that distinguish them from both the major vessels and small vessels used on CHFS both now and as planned for the future. They are all in more sheltered waters, which is reflected in the vessel classification requirements, and are also relatively short crossings of less than an hour with high volumes of passenger and vehicle traffic particularly in summer. Whilst future service requirements for each of these routes will be examined through community needs assessments under ICP, the potential for a class of vessel suitable for these routes, but potentially with wider resilience benefits beyond these locations, is one we consider worth exploring. The initial decision point for this will be the replacement tonnage for Craignure-Oban during Phases 1 and 2.

Phase 3 – 2031-2036

Fleet and port enhancements

The five years from 2031-2036 will require continued significant investments, again based on an assumed operating life of 30 years on these networks. Recommendations include:

  • Delivery of replacements for the three NIFS passenger and vehicle vessels;
  • Replacement of CHFS “medium” vessels including replacement tonnage for the Wemyss Bay-Rothesay route to Bute;
  • Replacement of the MV Loch Shira, currently serving Cumbrae, potentially as part of a third phase of the Small Vessel Replacement Programme;
  • Significant CMAL port projects at Colonsay and Coll and completion of projects commenced during Phase 2;
  • Comhairle nan Eilean Siar has indicated that works are anticipated to be required to the port infrastructure supporting the Sound of Barra and Sound of Harris services around this time, subject to a fuller assessment;
  • Mallaig Harbour Authority (MHA) has indicated that significant works will be required to the port assets supporting ferry services; MHA has published ambitious proposals for the future development of the port which would include improved facilities for ferry services;
  • Planning of “life extension” projects.

As they approach normal working life expiry, replacements should be procured to replace the MV Loch Shira serving Cumbrae, the 3 hybrid vessels introduced in the last decade and the smallest vessel in the fleet, MV Carvoria, which provides the short crossing to Kerrera.

Other CMAL major ports recommended for major investment due to advancing age during Phases 3 and 4 are Coll, Tiree, Colonsay and Wemyss Bay. The planning and delivery of these projects will need to be considered alongside vessel replacement plans but also to support network resilience through the flexible deployment of the future fleets.

During Phases 3 and 4 of this Plan, we will explore vessel life extension projects to smooth the future investment programme and also, in line with commercial and technical feasibility, enable the conversion of vessels to zero/low emission technology.

Phase 4 – 2036-2045

Recommendations for the final decade of the proposed plan could see:

  • Continued replacement of vessels as they reach operational life expiry, including MVs Finlaggan and Loch Seaforth;
  • Significant port work at Tiree and the completion of projects commenced during Phase 3;
  • Lerwick Port Authority has indicated that the main port assets used by the NIFS ferry service will be required to be upgraded during this Phase;
  • Life extension options planned in for mid-life of vessels;
  • Decarbonisation requirements ahead of 2045 – including those vessels delivered and/or procured in the 2020s;
  • The commencement of planning for the replacement of the vessels now due for delivery in the early 2020s.

Phase 4 would see the replacement of MVs Finlaggan (2011) and MV Loch Seaforth (2014). Alongside this – although subject to analysis and decisions closer to the time – we envisage a number of the major vessels (from either or both networks) delivered in the 2020s undergoing “life extension”. This would help smooth the future investment programme and also provide the opportunity for retrofitting of zero emission propulsion – subject to technical and commercial feasibility.