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Caledonian Maritime Assets Limited, on behalf of the Scottish Government, negotiated the terms for the purchase of the MV Helliar and MV Hildasay with the vessels owners, Fortress. The purchase of these freighters was concluded on 25 March 2019.

The terms for purchasing the MV Helliar and MV Hildasay are commercially sensitive and release of this information would be in breach of the confidentiality agreement with Fortress. However, we believe this transaction represents good value for the taxpayer and will deliver significant ongoing operational savings.

As part of the National Transport Strategy (NTS) Review, Transport Scotland is working with stakeholders to review an extension of discounts on public transport available to those under the age of 26 (this incorporates a cost and benefits appraisal on extending free bus travel as any changes to concessionary travel schemes must fully consider financial sustainability). The initial stages of scoping out this work has just begun with a view to the outcomes informing thinking on actions which Government will take forward to deliver the NTS (due for publication at the end of 2019).

The position of the Scottish Government remains unchanged from the the answer to question S5W-18378 on 23 August 2018. All answers to written parliamentary questions are available on the Parliament's website, the search facility for which can be found at http://www.parliament.scot/parliamentarybusiness/28877.aspx

We continue to develop avenues to enable a public sector body to bid. However, a key consideration is the Williams Rail Review which is likely to lead to substantial change in the franchising process across the UK.

I will update the Reference Group after we have received and considered the findings from the Williams Rail Review, which is likely to lead to substantial changes in the franchising arrangements across the UK.

In the first year of the ScotRail Franchise no Committed Obligation Payment Adjustments were incurred. The second year Transport Scotland received £875,219.14, reducing to £466,941.84 in the third year. The Committed Obligation Payment Adjustments in the current year to date is £1,002,770.84.

Committed Obligation Payment Adjustments in relation to the late delivery of Class 385 trains are not contained in these figures due to ongoing commercial sensitivities with ScotRail and their supply chain which is still subject to on-going contractual disputes.

The Scottish Government provides financial support to local authorities for piers and harbours as part of the annual local government finance settlement. Since the concordat with local government was established, there has been no separately identifiable ring-fenced funding allocation within the block grant and it is the responsibility of each individual local authority to allocate the resources available to them to individual services including support for piers and harbours.

In addition, the Scottish Government provides direct grants to owners of ports serving lifeline ferry services in support of major capital projects and, since 2014, through the Ferries Accessibility Fund.

The following table details the amount of grant paid to Caledonian Maritime Assets Limited (CMAL) and to local authorities for pier and harbour projects from 2008-09 until 2017-2018. We are currently in discussion with a number of local authorities regarding the funding of a number of proposed pier and harbour projects which support lifeline ferry services in Scotland.

Information on recent and historic passenger carryings for CalMac Ferries Ltd, Serco NorthLink Ferries, Shetland Ferries and Orkney Ferries is published in the Scottish Government’s Scottish Transport Statistics publication. https://www.transport.gov.scot/publication/scottish-transport-statistics-no-36-2017-edition/

In addition, CalMac Ferries Ltd and Serco NorthLink Ferries publish passenger carryings on their respective websites.

It should be noted that it is not possible to apportion public subsidy paid to operator’s based on passengers’ age or disability.

Pentland Ferries and John O’Groats Ferries are privately owned and as such, the Scottish Government do not provide subsidy or hold any passenger carrying data.

Transport Scotland continues to keep under review the two Operator of Last Resort (OLR) companies and necessary documentation that is in place to ensure that a state of readiness is maintained in the event that either of the two current Scottish franchise operations requires to be operated by an OLR company.

I refer the member to the answer to question S5W-16302 on 26 February 2019 which details the amount of subsidy paid to Serco NorthLink Ferries from contract year one to contract year five (July 2012 – June 2017).

The Scottish Government paid Serco NorthLink Ferries £44,007,673 to operate the Northern Isles Ferry Service in contract year 6 (July 2017 to June 2018).

The total amount paid for contract year 7 (July 2018 to June 2019) has not yet been finalised.

It should be stated that the annual grant for each contract year includes the subsidy to support the services, fuel, port dues as well as all other maintenance and other necessary operational costs for all vessels including the vessel lease costs.

All answers to written parliamentary questions are available on the Parliament's website, the search facility for which can be found at http://www.parliament.scot/parliamentarybusiness/28877.aspx .

The pre-qualifying stage of the competition for the on-going Northern Isles Ferry Services involved inviting expressions of interest and asking prospective bidders to complete the European Single Procurement Document (ESPD). The ESPD allows bidders to provide clear evidence of their experience and their financial standing, to allow them to operate the ferry services.

Five expressions of interest were received and the three companies who passed the pre-qualification stage have been invited to tender.