Forth hovercraft moves closer

CITY chiefs have formally started the hunt for an operator to provide a cross-Forth ferry service - but admitted they may not be able to stump up any cash for the project themselves.

The city council has teamed up with Fife Council to launch a "market-sounding exercise" where it asks companies to come forward with proposals for the service.

Any service would be likely to operate between Kirkcaldy and Portobello, although the council said that Burntisland, Granton and Leith would also be considered as potential pick-up points.

Scottish transport giant Stagecoach has already piloted a cross-Forth hovercraft service and has confirmed that it remains interested in providing the service.

But the Perth-based firm, headed by entrepreneur Brian Souter, has always insisted that it needs "kick-start" funding from the public purse to make the project a reality. That means that any lack of public funding could scupper the plans for the service.

However, it emerged today that Stagecoach has secured 500,000 of European funding to help take its plans forward.

In the public contract notice, the council states that there is "no preferred vessel type" but said that the capacity should be no less than 75 passengers. It also said that the crossing time should be a maximum of around 20 minutes.

It also says that the crossing should operate every day for 16 hours a day with a 30-minute or better frequency.

But in a warning about the lack of available public funds, council chiefs said: "It is expected that this will be a self-financing operation and no public subsidy will be available for its operation.

"It is expected that arrangements should be in place for integrated public transport on both sides of the Forth and passenger-waiting facilities should also be provided.

"It is anticipated that the capital costs associated with the construction of port/landing infrastructure would be borne by the operator."

The idea is seen as a way of reducing congestion on the Forth Bridge, while also helping reduce the environmental impact of Fife commuters travelling into Edinburgh.

In the summer of 2007, Stagecoach held a successful pilot of its hovercraft service, which was used by around 32,000 passengers. The company estimates that up to 870,000 passengers would use the service every year.

Stagecoach also confirmed last year that it is on the brink of completing a deal with the Bland Group, which owns hovercraft manufacturer Griffon Hoverwork and Hovertravel, that would see both companies pledge 7m of funding.

The companies lodged plans for a landing slip and terminal at Portobello in January.

A spokesman for Stagecoach said: "We are continuing to examine the potential for a permanent service.

"We are aware of the council market-sounding exercise and we will study the outline specification in detail.

"Last month, the European Regional Development Fund approved 500,000 of match funding towards the hovercraft project following a joint application by Stagecoach and SEStran. In the meantime, planning applications for landing facilities on both sides of the Forth are continuing to be considered."

Councillor Gordon Mackenzie, the city's transport leader, said: "We are inviting the private sector to come to the table with hard numbers. Only then will we consider committing public resources."

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