Route Baselines

Overview

This chapter provides baseline information in relation to both the CalMac Ferries Ltd (CFL) Dunoon – Gourock (and the Western Ferries service where appropriate) and Kilcreggan – Gourock routes. It considers the:

• Background and historical context of the routes
• Delivery of the services from the perspective of the operator, CalMac Ferries Ltd (CFL)
• Route cost and revenue

The analysis set out in this chapter is used to support the subsequent CNAs in Chapters 3 and 4.

Background to the routes

In order to provide context for the CNA, it is beneficial to set out the historical context of the two routes, as both have a complex recent history.

Dunoon - Gourock

The Dunoon – Gourock route was historically a passenger and car carrying service and an integral part of the then Caledonian MacBrayne network. However, when Western Ferries commenced operation on the shorter route between McInroy’s Point and Hunters Quay in 1974, it was demonstrated that the crossing could be operated on a wholly commercial basis. Western Ferries gradually expanded their service, introducing new modern tonnage and providing a high frequency, reliable and resilient service across a long operating day.

In the early 1980s, government recognised that the primary benefit of the town centre subsidised service was to foot passengers and that there were difficulties in subsidising a vehicle service when a commercial operator was providing a vehicle service on a broadly equivalent route. A range of solutions were considered and the approach that was adopted involved the continuation of the Caledonian MacBrayne service but with the subsidy to be targeted only at the passenger element of the service. The vehicle element of the service was expected to pay for itself on a commercial basis. In addition, timetable restrictions were put in place (in terms of frequency and length of operating day) to reduce the potential for the subsidised service to harm the commercial interests of the successful commercial operator.

Given the above considerations, and after a lengthy period of engagement with the European Commission and local communities, the Dunoon – Gourock route was split from main CHFS bundle and let as a single route tender in 2005. Although three companies were invited to tender for the route, no bids were received in the end. In the aftermath of this tendering process, Cowal Ferries Ltd (a subsidiary of the David MacBrayne Group Ltd) took over the running of the route, and the service continued as before.

The Cowal Ferries service was latterly provided using a single ‘Streaker’ (generally MV Jupiter), a side-loading Ro-Ro vessel which could access the ferry terminal infrastructure at Gourock and the historic pier at Dunoon. This provided an hourly service each way and was supplemented by a passenger only vessel in the peak hours.

Following a number of complaints about Scottish ferry subsidies, including those paid to Cowal Ferries Ltd, the European Commission decided to undertake a state aid investigation in April 2008. In November 2009, the European Commission published its decision which accepted the justification for the continuation of subsidy to the Dunoon - Gourock town centre route (noting the sound economic and social justification for public support for a town centre to town centre passenger service) but required that: (i) the route was tendered by June 2011; and (ii) subsidy was provided for passengers only. The winning bidder would be allowed to provide an unrestricted and commercial vehicle transport service, subject to appropriate accountancy measures and audit monitoring to prevent cross-subsidisation from the passenger service to the vehicle service.

Following a further tendering process in 2011 (which allowed for a vehicle service to be provided at nil subsidy, in addition to the passenger service), Argyll Ferries (a David MacBrayne Ltd subsidiary) commenced a town centre foot-passenger only service on 1^st July 2011 using two passenger ferries, MV Ali Cat and MV Argyll Flyer. The previous restrictions on frequency and length of operating day did not apply once the route became fully passenger only and thus the service now operates over a long day and with a half-hourly frequency through much of that day. The route moved into the main CHFS bundle in January 2019

Gourock – Kilcreggan

As with the Dunoon – Gourock route, the Kilcreggan route was historically operated by Caledonian MacBrayne, but the last scheduled service ceased in 1974 (although a charter service to Holy Loch continued until 1995). From 1974, services were operated by Roy Ritchie but ceased when Mr Ritchie died in 1979. To plug this gap, Clyde Marine Motoring stepped-in and, from 1982, operated the services on behalf of the then Strathclyde Passenger Transport Executive (SPT), which subsidised the service. As well as maintaining the Kilcreggan - Gourock connection, Clyde Marine extended selected services to Helensburgh. 

By 2006, the Clyde Marine vessel MV Kenilworth was approaching the end of her serviceable life and they ordered a new vessel, MV Seabus, which entered service in 2007. 

Despite the introduction of new tonnage and the operation of a reliable service, Clyde Marine lost the next tender to Clydelink, which took over the service from 1^st April 2012. Clydelink immediately discontinued the Helensburgh connection, and thus 2012 was the year in which the route assumed its current form. As part of their winning tender, Clydelink had also promised a new 16m vessel capable of accommodating 60 passengers, but this never materialised. Instead, they purchased MV Island Princess, but quickly ran into difficulties with the safety management system. The service was suspended for a period and, despite the short-term introduction of a second vessel, Clydelink continued to be troubled by breakdowns and poor reliability. 

Following the troubled period between 2012 and 2018, Clyde Marine returned to the route as the contracted operator, bringing MV Seabus (now renamed MV Chieftain) back to the route. It should be noted that there was a significant increase in fares at this point. 

Given the long-term issues with the route and the diminished scale of ferry operations in the SPT portfolio more generally, SPT notified Transport Scotland of their desire to pursue a transfer of responsibilities for the Kilcreggan service. After negotiations, the services were transferred into the CHFS bundle on 1^st June 2020, with MV Chieftain leased from Clyde Marine and the crew making a TUPE transfer. The timetable and fares remained unchanged.

Dunoon – Gourock, service delivery

Vessels

The Dunoon - Gourock town centre to town centre service is operated by two passenger-only vessels, MV Ali Cat and MV Argyll Flyer. The main particulars of these vessels are set out below:

Table 2.1: Dunoon - Gourock vessels, primary characteristics (Source: Ships of CalMac)

Vessel Characteristic	MV Ali Cat	MV Argyll Flyer
Year of build	2000	2001
Speed (knots)	12	22
Maximum passenger capacity	250	224
Crew	3	3
Length overall (metres)	19	30
Beam (metres)	9	7
Draught (metres)	1.5	1.5
Gross tonnage	78	172

Whilst MV Argyll Flyer can operate at much higher speeds than MV Ali Cat, this is not done in practice due to a 12-knot speed restriction in the service operating area. Both vessels therefore provide the same crossing time. With both vessels also offering a high passenger capacity, they are largely interchangeable in terms of the operation of the timetable, albeit MV Argyll Flyer is understood to be the more comfortable and reliable vessel and is thus more popular as a consequence. The service operates with both vessels across much of the day, although reduces to a single vessel for rest periods in the middle of the day and in the late evening. It should be noted that, during the COVID-19 pandemic, the service was reduced to a single vessel service on an hourly timetable, consistent with service reductions across the public transport network.

Both vessels have been the subject of longstanding criticisms around passenger comfort and demonstrate poor reliability due to seakeeping on passage and manoeuvring at the berth, as is discussed later in this report.

Landside Infrastructure

The following sections set out the landside infrastructure at each of Gourock and Dunoon. It should be noted that as part of the proposed Gourock, Dunoon and Kilcreggan Infrastructure Programme, it is intended that Equality Act 2010 compliant access will be provided at all three ports.

Gourock

Both vessels berth overnight at Gourock and are accessed via a gangway deployed over the linkspan, as is shown in the figure below:

There is a signposted walkway to the railway station, with a walk time of around 1-2 minutes.

Gourock railway station has a 111-space car park with five accessible spaces (Source: National Rail). Bus stances and a taxi rank can be found at the station entrance, whilst National Cycle Route 75 also runs past the front of the station.

Dunoon

The passenger only vessels operate from the linkspan at Dunoon. A short vessel-based gangway is deployed from the stern of the vessel and rests on the linkspan, allowing passengers to embark and disembark. Passengers walk-up the linkspan and there are signposted footways to the bus waiting area at the head of the pier and also the town centre.

Timetable

This section summarises the timetables on the Dunoon and Kilcreggan routes, providing a basis for subsequent option development in this study. The commentary is based on the timetables as at 1^st December 2022.

Dunoon - Gourock

The Dunoon - Gourock route is typically operated as a two-vessel service, providing an approximately 30-minute frequency throughout the day, with an hourly service during the early afternoon and in the late evening.

A summary of the first departure, last departure and number of connections by day is displayed in the tables below:

Table 2.2: Gourock - Dunoon timetable summary (Source: www.calmac.co.uk)

Day	Mon-Thurs	Fri	Sat	Sun
First departure	06:20	06:20	06:20	08:20
Last arrival	23:35	01:50	01:50	23:15
No. of sailings	29	31	31	15

Table 2.3: Dunoon-Gourock timetable summary (Source: www.calmac.co.uk)

Day	Mon-Thurs	Fri	Sat	Sun
First departure	06:20	06:45	06:45	08:50
Last arrival	23:35	01:25	01:25	22:45
No. of sailings	29	31	31	15

The main points of note from the above tables are as follows:

• The two-vessel operation allows for a half-hourly service across most of the operating day on a weekday and Saturday. The service reduces to a single vessel between 12:20 and 15:20 to accommodate mandatory safety drills, maintenance and bunkering. There is a single vessel operation from 22:40 onwards, with the second vessel standing down for the day upon arrival in Gourock at 22:05.
• The length of the operating day is akin to that of an urban rail service, with additional late evening services on a Friday and Saturday.
• As is common with most public transport operations, the service is less frequent on a Sunday and is operated by a single vessel on an hourly basis. Whilst the service commences later than on a weekday (08:20), the last arrival (23:15) is not materially different to a weekday (23:35).

McInroy’s Point – Hunters Quay

Western Ferries provides a commercial passenger and vehicle service between McInroy’s Point (Inverclyde) and Hunters Quay (Cowal).

A summary of the first departure, last departure and number of connections by day for this route is displayed in the tables below:

Table 2.4: McInroy’s Point – Hunters Quay timetable summary (Source: www.western-ferries.co.uk)

Day	Mon-Thurs	Fri	Sat	Sun
First departure	06:30	06:30	07:30	07:30
Last arrival (based on 20-minute crossing)	22:20	23:50	23:50	23:50
No. of sailings	43	52	46	40

Table 2.5: Hunters Quay-McInroy’s Point timetable summary (Source: www.western-ferries.co.uk)

Day	Mon-Thurs	Fri	Sat	Sun
First departure	06:10	06:10	07:00	07:00
Last arrival (based on 20-minute crossing)	22:50	00:20	00:20	00:20
No. of sailings	43	52	46	40

The main points of note from the above tables are as follows:

• Western Ferries’ operating day is on the whole similar to that of CFL in terms of its overall length, albeit their service finishes slightly earlier in the evening, except on a Sunday.
• However, they offer a much higher frequency service, operating e.g., 52 sailings in each direction on a Friday compared to 31 on the CFL Dunoon - Gourock route. In several hours across the day, there are three and sometimes four sailings per hour, thus ensuring that capacity is effectively matched to demand.

Overall, when combining both CFL and Western Ferries’ operations, there is a very high service frequency and considerable passenger and vehicle capacity for crossings between Inverclyde and Cowal. There is also a road connection from Cowal to the Central Belt, which supports freight, personal and business travel for those with access to a vehicle.

Crewing

The crewing arrangements for the two CFL vessels are set-out below.

MV Ali Cat

MV Ali Cat operates with four crews of three, 12 crew in total. There is a crew changeover in the middle of the day. All crew are shore-based.

MV Argyll Flyer

MV Argyll Flyer operates with four crews of four, 12 crew in total. There is a crew changeover in the middle of the day. All crew are shore-based.

Shift patterns

Across both vessels, each crew works a four-week rotation of week-on, week-off with alternating early and late shifts. As the CFL Dunoon – Gourock route operates entirely within categorised waters, maximum hours of work are defined by Merchant Shipping Notice 1876. Shift patterns are summarised in the table below:

Table 2.6: MV Ali Cat and MV Argyll Flyer crew shift patterns

Week	Crew 1	Crew 2	Crew 3	Crew 4
1	Early	Late	Off	Off
2	Off	Off	Early	Late
3	Late	Early	Off	Off
4	Off	Off	Late	Early

Shift lengths are as follows:

• MV Argyll Flyer
  • Early shift Monday – Saturday: 05:30-18:15
  • Early shift Sunday: 07:30-19:15
  • Late shift Sunday – Thursday: 11:15-23:30
  • Late shift Friday and Saturday: 15:15-02:45
• MV Ali Cat
  • Early shift Monday – Saturday: 06:00-17:45
  • Early shift Sunday: 07:30-20:00
  • Late shift Monday – Sunday: 10:00-22:30
• Working hours are inclusive of lunch

CFL Dunoon – Gourock, Cost and Revenue

Any change to service patterns, whether an increase or decrease in services, will have implications for cost and revenue. To this end, baseline cost and revenue is set out below, together with the annual operating deficit. This is based on 12-months of data from October 2021:

Table 2.7: CFL Dunoon – Gourock route cost, revenue and operating deficit October 2021 – September 2022 (Source: CFL)

Item	MV Ali Cat	MV Argyll Flyer	Total
Fuel and lubricants	[redacted]	[redacted]	[redacted]
Crew costs	[redacted]	[redacted]	[redacted]
Berthing	[redacted]	[redacted]	[redacted]
Technical	[redacted]	[redacted]	[redacted]
Insurance	[redacted]	[redacted]	[redacted]
Overhauls	[redacted]	[redacted]	[redacted]
Charter fee	[redacted]	[redacted]	[redacted]
Total Costs	[redacted]	[redacted]	[redacted]
LESS ticket sales revenue	No information	No information	[redacted]
Operating deficit	No information	No information	[redacted]

It should be noted that CFL has indicated that this is just revenue for route ticket sales and therefore does not account for e.g., hopscotch and rover tickets, which would be additive to the figure cited in the table.

The Dunoon – Gourock route operates at a significant annual deficit, circa £3.4m for the period October 2021 – September 2022, with revenue accounting for only 15% of route operating costs in that year. It should be noted that these figures will be affected by the impact of COVID-19 on both the demand side (i.e., reduced passengers) and the supply-side (i.e., fewer sailings), and therefore a settled position is still to be reached in terms of the overall operating deficit. The key point however is that subsidy per passenger is, and is likely to remain, significant.

When interpreting the above figures, it should be noted that:

• CFL does not allocate overhead costs to routes, and thus the costs presented in the above table are direct route operating costs only.
• The proposed new vessels to be delivered as part of the Gourock – Dunoon / Kilcreggan Infrastructure Programme would have a different cost profile. This cost profile is not yet known – the vessels may potentially be more fuel efficient and lower cost to maintain but berthing dues could increase at Dunoon and Kilcreggan if gross tonnage is higher and / or dues are increased to partially or fully recover the cost of investment.
• That said, passenger volumes and hence revenue are likely affected by both actual and perceived service reliability concerns, which could reduce if fit-for-purpose vessels and landside infrastructure are introduced.
• CFL does not own any of the three ports and thus pays berthing dues to third party providers, albeit payments to CMAL for use of Gourock are to some degree an internalised transfer within government. For completeness, the arrangements at the two ports are as follows:
  • At Gourock, the Statutory Harbour Authority (SHA) is CMAL. CFL prepares an annual projection outlining the number of sailings and total vessel berthings at Gourock. This projection is used to calculate the estimated annual berthing dues. CMAL will then invoice the projected berthing dues in 12 equal instalments in advance. This is done together with all other CMAL ports and sent to CFL for payment.
  • At Dunoon, the SHA is Argyll & Bute Council. CFL pays berthing dues monthly in arrears to the Council, which are made based on actual berthings at ports. CFL send the Council a report each month that details actual berthings, with an invoice returned based on this report.

Kilcreggan – Gourock, Operational Practice

Vessels

The Kilcreggan – Gourock service is operated by a small passenger-only monohull vessel, MV Chieftain. The main parameters of this vessel are set out below:

Table 2.8: MV Chieftain, primary characteristics (Source: Ships of CalMac)

Vessel Characteristic	MV Chieftain
Year of build	2007
Speed (knots)	8.6
Maximum passenger capacity	100
Crew	2
Length overall (metres)	19.5
Beam (metres)	6.2
Draught (metres)	2.8
Gross tonnage	60

Landside Infrastructure

Gourock

Access to MV Chieftain at Gourock is via a vessel deployed gangway onto a set of boat steps. The service is tidally constrained, with high tides in particular leading to the gangway being deployed at a steep angle.

Gourock railway station has an 111-space car park with five accessible spaces (Source: National Rail). Bus stances and a taxi rank can be found at the station entrance, whilst National Cycle Route 75 also runs past the front of the station.

Kilcreggan

MV Chieftain berths parallel to the end of the pier at Kilcreggan. A vessel-based gangway is used to embark and disembark passengers.

The service is again tidally constrained during high tides. The current vessel belting sits above the top level of the fenders on the berthing face during high tides and can catch, potentially damaging the boat and / or pier. The angle of the gangway sent from the vessel to the pierhead can be extremely steep during high tides, which can make it challenging for the CFL crew to deploy / recover the gangway and can be challenging for passenger access.

There is a small free car park and bus stop at the head of the pier.

Timetable

The sailing time between Kilcreggan and Gourock is 13-minutes. A summary of the Kilcreggan – Gourock timetable is shown in the table below (timetables are again correct as of 1^st December 2022):

Table 2.9: Gourock-Kilcreggan timetable summary

Day	Mon-Fri	Sat
First departure	06:41	08:04
Last arrival	18:49	18:49
No. of sailings	13	12

Table 2.10: Kilcreggan - Gourock timetable summary

Day	Mon-Fri	Sat
First departure	07:04	08:27
Last arrival	18:26	18:26
No. of sailings	13	12

The main points of note from the above table are as follows:

• The Kilcreggan – Gourock route is one of the few in Scotland that does not operate on a Sunday. A Sunday service was previously operated on a trial basis between 1^st April and 14^th October 2012, and then extended into the summer 2013 period. However, low passenger numbers (1,061 in 2012 and 742 in 2013) led to SPT withdrawing the service.
• The timetable is structured around a single crew day (see ‘Crewing’ below) and runs from 06:30-18:30 when start-up and close down are factored in. There is one additional sailing on a weekday than on a Saturday, this being an early morning departure (06:41 from Gourock and 07:04 from Kilcreggan) to facilitate commuting.
• There is a circa one hour break in the service after the 11:52 arrival into Gourock (Monday – Saturday) to allow for a crew lunch break. Moreover, the service is not clockface across the day, which may reflect the need for additional gaps in the timetable to facilitate rest periods.

Crewing

The crewing model on the Kilcreggan route is relatively straightforward, with three crews (six crew in total) of two operating a single shift (circa 12-hours) on a one week on, one week off roster with four weeks of leave. The third crew provide cover for leave etc.

The crew consists of:

• Two Boat Masters
• Two Assistant Boat Masters
• Two Deckhands

Dunoon – Kilcreggan, Cost and Revenue

The equivalent cost and revenue data for the Kilcreggan route to that presented for Dunoon is shown below. This is again based on 12-months of data from October 2021:

Table 2.11: Kilcreggan – Gourock route cost, revenue and operating deficit October 2021 – September 2022 (Source: CFL)

Item	MV Chieftain
Fuel and lubricants	[redacted]
Crew costs	[redacted]
Berthing	[redacted]
Technical	[redacted]
Insurance	[redacted]
Overhauls	[redacted]
Charter fee	[redacted]
Total Costs	[redacted]
LESS ticket sales revenue	[redacted]
Operating deficit	[redacted]

The Kilcreggan – Gourock route operated at an annual deficit of circa £667k for the period October 2021-September 2022. Revenue accounted for only 16% of operating costs in the aforementioned year. The qualifications applied to the Dunoon figures are relevant for this route also.

Next Steps

The next two chapters set out the Community Needs Assessments for Cowal and Rosneath.