Shipyard boss tells of ‘risk’ of further delays and cost increases to ferry
There is a “risk” the remaining ferry being built at Ferguson Marine will be delayed and costs could rise, MSPs have been told.
Officials from the yard, including the chairman and interim chief executive, appeared before the Public Audit Committee on Wednesday, just weeks after the first of two ferries built at Ferguson Marine – the Glen Sannox – entered service.
The Glen Rosa remains outstanding as the total cost of both vessels approaches £400 million – more than four times the initial £97 million figure.
While the Glen Rosa is expected to be delivered in September, the yard has said there is a chance that will need to be extended.
Following a report in the Scotsman on Wednesday that the ferry could be further delayed because of parts being removed for use on the Glen Sannox, Scottish Conservative MSP Graham Simpson asked representatives of the yard about a potential delay.
Yes, there is a risk
Interim chief executive John Petticrew said: “We are in the process of doing a bottoms up on the Glen Rosa, including all the lessons learned that we got at the tail end of the Glen Sannox, and it’s our intention to provide a schedule to (chief financial officer David Dishon’s) department to then look at it cost wise and get something to the board, in the next two weeks, three weeks, by the end of February.”
Pressed on whether that will likely result in a delay, Mr Petticrew said he could not definitively comment.
Yard chairman Andrew Miller, who attempted to answer the question but was accused of “waffle” by the Tory MSP, added: “The answer is we don’t have the information to tell the committee.”
When pressed, Mr Miller said the yard has “the data” on issues with the ferry but it has yet to be verified.
Asked if there is a risk of further delay, Mr Petticrew added: “Yes, there is a risk.”
If more cash is required, the committee heard from the yard’s chief financial officer, it will have to be secured directly from the Scottish Government.
The chairman was also critical of the extensive media coverage of the yard since it was taken into public ownership in 2019 and the discovery of major issues with the two ferries, claiming the “constant drip-feed of criticism” was “one of the most damaging things to the future of Ferguson Marine”.
He claimed some reporting was “totally ill-informed and comes from spurious sources”, though he did not specify which.
Later in the committee, Mr Miller appeared to compare press reporting of the saga to child abuse.
“It’s like raising a child and abusing it, physically abusing it, and expecting him to turn into a well rounded man,” he said.
“It’s very difficult to do.”
The yard has been without a permanent chief executive since last year, when David Tydeman was sacked over worries about his performance.
Mr Petticrew was put in place on an interim basis and told the committee on Wednesday he would have taken the job permanently were it not for family commitments in Canada.
Mr Miller told MSPs the yard had come close to securing a new head, but the candidate had backed out at the last minute.
“We did get very near in the appointment of a new CEO before Christmas, the candidate had signed the contract,” he said. “I can’t name the person, obviously, but two or three weeks before he was due to start at the beginning of January this year, he withdrew from the process.”
Mr Miller joked the candidate had “probably looked at some of the video tapes from committees such as this”.
But changes in UK-based shipyards Harland & Wolff and Navantia, Mr Miller said, mean there are more senior managers available and he is in advanced talks with another potential chief.
MSPs also discussed Ferguson Marine in the Scottish Parliament’s debating chamber later on Wednesday.
Mr Simpson said a “source” had suggested the Glen Rosa could be delayed until April next year.
Deputy First Minister Kate Forbes said she does not “operate on the basis of sources” but instead the official updates from the shipyard.
Mr Simpson’s Conservative colleague Edward Mountain then rose to tell the chamber that an update from Ferguson Marine which was due at the end of January has not yet been received by the Transport Committee.
Ms Forbes also told MSPs she would not comment on the ongoing procurement process for new CalMac vessels.