V Ships withdraw from Ferry Tender
Friday, February 02 2007
In an earlier post I wrote about the ferry routes on the Clyde and Hebrides had to be put out to tender, due to EU regulations, giving other companies a chance to bid on these routes. This tender would also benefit the number of sailings and better timetables. Last week V-Ships announced to withdraw from the tender process according to this article in the Ileach.
Quote: V-Ships have withdrawn from the tender process to operate ferry services to the Clyde and Hebrides. The company issued the following statement:
“After careful consideration of the recently issued invitation to tender for the Clyde and Hebrides Ferries Service, V.Ships has decided to withdraw from the tender process. “V-Ships believes that various constraints within the tender do not enable the company to maximise its services to the communities directly involved and that with no direct control over the assets themselves, there would be little opportunity for added value via creative management and innovation. “V-Ships remains committed to the concept that outsourced management services could provide real long term benefit to those communities served by the Clyde and Hebrides Ferries and other routes, but feels that the current environment might not be conducive to embracing such change.”
Speaking after the announcement from V-Ships Jim Mather MSP said “What is important is that communities reliant on ferry transport for their needs and services are re-assured that the Clyde and Hebrides service will continue to be supported and that they will not be put through years of uncertainty again. “First the Northern Isles, then the failure of the Gourock-Dunoon tender and now this; that the tender is continuing with only one bidder makes a farce of the whole process.”
SNP MEP Alyn Smith added; “This tender was supposed to be about competition – it is clear that there isn’t any and that any competitors there may have been have no faith in the current administration’s handling of the process. “I’m sure many people will be happy that it appears Cal Mac will win, but we have spent years and millions on this process to see exactly the same company running exactly the same service. It is an absolute shambles.”
Local MSP George Lyon said “It is very disappointing that VShips have once again walked away from a tendering process leaving Caledonian MacBrayne as the only bidder for the routes. “This latest development raises serious questions as to whether the EU rules that force Governments to put lifeline ferry services out to tender make any sense. “The cost of the tender exercise would have been better directed at improving ferry services to island communities. “It is time for a serious discussion with the European Union about whether it is sensible to include lifeline ferry services in their Competition Rules as there appears to be little benefit to island communities and significant costs to Governments.”
CalMac issued the following statement following confirmation that the Company is now the sole bidder in the tender exercise for Clyde and Hebridean Ferry Services. Chairman Peter Timms told CalMac staff: “You may be aware that V-ships have today withdrawn from the tendering exercise for Clyde and Hebridean ferry services. The future of the tendering process is entirely a matter for the Scottish Executive. They have already assured us that they will be pressing ahead with the tendering process. While that remains the case, I have to stress that we will still have to produce a robust bid, which will convince the Executive that we are the company best placed to deliver lifeline ferry services. Today’s announcement by V-ships alters nothing as far as CalMac Ferries is concerned, nor any of our other companies. Please be assured that a lot of very hard work remains to be done and that we will have to produce a compliant and properly costed bid.”
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