CalMac ferries are 'vulnerable'
SCOTLAND'S largest ferry network – operated by the state-owned Caledonian MacBrayne remains – "vulnerable" to cherry-picking. Economics professor Neil Kay, of the University of Strathclyde, said Scottish Government policy did not protect routes from private firms choosing the best ones.
He said high value freight and busy short crossings could be targeted. In October, concerns about government funding of lifeline services were rejected by an official inquiry. Services in the Clyde, Hebrides and Northern Isles are provided mainly by CalMac and Northlink.
Following an inquiry, the European Commission said this was "compatible with state-aid rules". But it insisted on an open and accountable tender for operators to run the Gourock-Dunoon ferry route.
Prof Kay gave his response to the inquiry's decision in the latest Fraser of Allander Institute's Economic Commentary.
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Sunday 27 May 2012
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