Two ferries, same shipyard but CMAL’s is ‘twice price’
Islanders are investigating why ferries are ‘much better’ in Norway than in Scotland – and cost half as much, they estimate.
Mull and Iona Ferry Committee (MIFC) compared the costs of constructing CalMac’s two new ferries for Islay, and a new Norwegian ferry for the Lofoten islands, at the same Turkish shipyard.
Last month Caledonian Maritime Assets Ltd (CMAL), the national owner of CalMac’s ferries and ports, revealed their preferred bidder, Cemre in Yalova, for Islay’s two new vessels, due in 2024 and 2025.
MIFC’s post, titled ‘Two ferries, two buyers, same shipyard – but two very different prices’, said: ‘Each of the pair of diesel-electric ferries will carry 107 cars and 350 people, and cost £52 million.
‘This week, the Norwegian ferry operator Torghatten Nord announced an order from the same Turkish shipyard for a ferry of slightly larger capacity – 120 cars and 399 passengers.
‘Despite being such similar vessels being built beside one another in the same yard at the same time, the Norwegian ferry will cost as little as half the CMAL vessels, at £26-£31m. What accounts for such a price difference?
‘Is the Norwegian ferry less capable? No. In terms of passenger and vehicle capacity, the Norwegian ferry is a little greater. They are both designed to cope with the same kind of wind and wave conditions.
‘Is the Norwegian ferry using a cheaper and more polluting propulsion system? No. The Norwegian ferry will have a similar diesel-electric hybrid system, but more advanced and with far larger battery packs.
‘Maybe the Norwegian ferry doesn’t operate for as long each day? Actually, it will be operating around the clock, putting on 18 crossings per day and travelling 260 miles every 24 hours. The Islay ferries by contrast will cover half that distance, and will only operate for around 14 hours per day.
‘So what is it that CMAL have designed into their ferries that makes them cost so much? Cabins for 31 crew members, plus mess, kitchen, gym, and everything else required for crew living aboard. By contrast, the Norwegian ferry has a crew of just 10. Thanks to good design, this crew of 10 are sufficient to operate the ferry around the clock.
‘With each new ferry procurement, CMAL starts with a blank sheet of paper and develops a unique ferry, never before built. The Norwegian vessel by contrast uses a common design that will be repeated.
‘CMAL’s design includes expensive and complicated engineering. Large passenger spaces with on-board catering,’ they said, ‘all adds more steel, more fabrication, more weight, and more cost.
‘The current fiasco of ferry provision in the Hebrides has many causes. We have repeatedly said it’s not a lack of money that is the problem – it’s that the money is being spent very, very badly.
‘The Scottish Government has committed to spending £290 million on new ferries in the coming years – but how many ferries will we get for that? We could have 11 ferries of the Norwegian variety, or maybe five designed by CMAL.
‘The way to speed up ferry renewal is to make the ferries more affordable. Naval architects have to be working to a better set of priorities.
‘If we continue on the current course, nothing will change. The 801/2 fiasco is an extreme symptom of a dysfunctional ferry procurement process that designs in waste, complexity and high cost. It is being repeated again in the vessels for Islay; though this time the contract has been given to a competent shipyard.’
A Scottish Government spokesperson responded: ‘The needs of fleets differ across world, taking into account factors such as the bespoke nature of our ports and harbours and how routes are operated, so it’s difficult to compare and contrast them with other operations on a like-by-like basis.’
A Cemre spokesperson said the pricing of the Torghatten project was not shared publicly and that the authors’ ‘speculated’ numbers were ‘not very correct’.