Calmac Ferries contract subsidies: FOI release

FOI reference: FOI/17/02545
Date received: 20 October 2017
Date responded: 17 November 2017

Information requested

'In respect to the CHFS PSO can you provide the following information under FOI legislation:

1. The detailed explanation and the associated financial impact thereof which therefore illustrates the increase in subsidy level from £868m to £975m.

2. The breakdown of the £975m subsidy payments by contract year, split between fuel payments and non-fuel subsidy payments.

3. The actual subsidy payments for contract year 1, split between fuel payments and non-fuel subsidy payments.

4. A detailed breakdown and explanation of any difference between the contract figure (Question2) and actual subsidy payment (question3).'

Response

I am writing with the formal response to your request.

1. The detailed explanation and the associated financial impact thereof which therefore illustrates the increase in subsidy level from £868m to £975m.

The original Bid Subsidy for the Contract was £868m. The increase to £975m includes the following approved contract variations:

• Summer 2016 & Winter 2016/17 Timetable - £68.4m
• Fleet Investment: Update to Vessel Enhancement Programme - £1.2m
• CalMac Pension Fund Employer's Contribution Increase - £22.7m
• MV Catriona New Vessel Base Case - £14.6m

2. The breakdown of the £975m subsidy payments by contract year, split between fuel payments and non-fuel subsidy payments.

The following table includes details of the £975m subsidy by Contract Year, showing the fuel element:

	CY1	CY2	CY3	CY4	CY5	CY6	CY7	CY8	Total
Contract	£m	£m	£m	£m	£m	£m	£m	£m	£m
Subsidy	139.6	125.5	120.7	118.8	117.8	117.7	117.4	117.4	974.9
Fuel	14.6	14.4	14.4	14.3	14.3	14.3	14.3	14.3	114.9

3. The actual subsidy payments for contract year 1, split between fuel payments and non-fuel subsidy payments.

While our aim is to provide information whenever possible, in this instance we are unable to provide the actual subsidy payments for contract year 1, split between fuel payments and non-fuel subsidy as the actual finances have not been finalised and are still to be agreed with Transport Scotland. This is a formal notice under section 17(1) of FOISA that the Scottish Government does not have the information you have requested.

4. A detailed breakdown and explanation of any difference between the contract figure (Question2) and actual subsidy payment (question3).

While our aim is to provide information whenever possible, in this instance we are unable to provide the detailed breakdown and explanation of any difference between the contract figure (Question 2) and actual subsidy payment (question 3).

The Scottish Government does not hold the information requested because the actual subsidy for contract year 1 is not currently available. This is a formal notice under section 17(1) of FOISA that the Scottish Government does not have the information you have requested.

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