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Transport Scotland, in partnership with a Working Group of key stakeholders, jointly commissioned an Inter-Island Transport Study for services within Orkney Islands. The study undertook a Scottish Transport Appraisal Guidance (STAG) appraisal across Orkney’s internal air and ferry network. A report in the form of a Strategic Business Case was published in late 2016.

Additional revenue funding of £5.5 million has been provided by the Scottish Government to Orkney Islands Council in 2018-19 to support their inter-island ferries. Discussions are continuing through the Working Group around future support for Orkney’s inter-island ferry routes.

The Scottish Transport Appraisal Guidance is publicly available on the Transport Scotland website: www.transport.gov.scot/media/41507/j9760.pdf .

The Working Group for Orkney Islands Council and Shetland Islands Council internal ferry services meets monthly, most recently on 21 June 2018. The Working Group consists of key stakeholders including both Councils, Transport Scotland, Regional Transport Partnerships and Highlands & Islands Enterprise.

Discussions include the future of inter-island ferry services. Strategic Business Cases were jointly commissioned and published on the Council websites in late 2016. Discussions are taking place around future support for Orkney’s inter-island ferry routes.

The Scottish Government was informed by Audit Scotland of the membership of Audit Scotland's advisory group in the early part of 2017, prior to the group's one meeting on 3 May 2017. I understand this likely to occurred in February 2017 but unfortunately an exact date is not available.

Transport Scotland sent its initial response to the Public Audit and Post-Legislative Scrutiny (PAPLS) committee on 20 November 2017. A further letter was sent to the PAPLS committee on 29 January 2018. Transport Scotland officials gave evidence to the PAPLS committee on 1 February 2018. The Minister for Transport and the Islands, Humza Yousaf MSP, wrote to the PAPLS committee on 20 April 2018. These documents should all be available on the Scottish Parliament's website.

As set out in these letters and in the oral evidence given to the PAPLS committee, Transport Scotland is developing an action plan to implement the recommendations set out in Audit Scotland's report. Further detail was provided in the letter of ‎29 January 2018. An internal steering group has been established to oversee this work. An early output of this work was the outline long-term strategy attached to the letter of 29 January 2018. The action plan will include a response to any conclusions reached by the PAPLS committee. In addition, Transport Scotland continue to engage with Audit Scotland on their report.

This is a matter for Audit Scotland, who were wholly responsible for the appointment of members of the advisory group.

Representatives of the National Union of Rail, Maritime and Transport Workers were invited to the Scottish Maritime Forum on 20 June where the Scottish Maritime Strategy was discussed.

We will continue to seek views of maritime stakeholders on the Strategy, including Unions, over the next few months.

We aim to publish the strategy by the end of the year.

(a) I refer the member to the answer to question S5W-11184 on 20 September 2017. 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 .

(b) I refer the member to the answer to question S5W-06946 on 23 February 2017. 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

It is not possible to give an indication of costs for a future procurement.

The Scottish Government paid Peter Brett Associates £258,852 for work relating to the appraisal of Northern Isles Ferry Services, including the final report published on 25 April 2018.

As part of their bid for the Northern Isles Ferry Service Public Service contract, Serco NorthLink Ferries made a number of improvements, details of which are available from the redacted version of the contract, which is on the Transport Scotland website at the attached link;

https://www.transport.gov.scot/public-transport/ferries/ferry-services/#45751

The Scottish Ministers, as stipulated within the contract, may in terms of section 70 of the Transport (Scotland) Act 2001 make grants on such conditions as they determine.

Specific examples of improvements made to the services include; a) subsidy reduction of 36% during the first four contract years, b) introduction of the Magnus Lounge for customers, c) Investors in People accreditation award for staff d) procurement of local products and services for business.