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Committee

Net Zero, Energy and Transport Committee 10 March 2026 [Draft]

10 Mar 2026 · S6 · Net Zero, Energy and Transport Committee
Item of business
MV Glen Sannox (Hull 801) and MV Glen Rosa (Hull 802)
Duncan Anderson Watch on SPTV
Thanks, convener. As you pointed out, I am the recently appointed chair of Ferguson’s. I joined as a non-executive director in March last year. Although we are here to talk about the ferries Glen Sannox and Glen Rosa, it is probably also worth my pointing out, as a new chairman, the potential of this shipyard on the Clyde. With an effective modernisation programme and improved build processes, it could be a leader in the industry. It may not seem like that now, but it is entirely possible.The past management of vessel construction has involved mistakes, largely due to the use over several decades of poor or outdated shipbuilding techniques. The staff have remained hard working and dedicated to their jobs—which is remarkable, in my view—despite having been driven to those poor practices and without a clear future for the yard prior to recent announcements. That said, the governance and management of those workers’ tasks have been very poor indeed, and it appears that we have built the ships twice. The logical sequencing of workbacks and processes was historically poorly thought out and poorly implemented. That has been and will be our main challenge with Glen Rosa until its delivery.We seek to dismantle those poor practices and implement new ones, while keeping the processes and tasks clear for the workforce. With the appointment of a new senior management team, I have seen considerable changes in the yard and much improvement. However, decades-old problems and neglect of support for commercial shipbuilding in the United Kingdom cannot be repaired in months—it will take years.There is a shortage of trained and experienced workers and subcontractors in the shipbuilding business environment in general. Across the UK, the shipbuilding sector has brought in a considerable amount of foreign labour to compensate for that. Ferguson’s shipyard, however, remains committed to training and developing the young people of Inverclyde and beyond.The processes and the on-board build management for Glen Rosa have improved a great deal in recent months, but we remain in recovery mode for the build, with a hull that has been in the water for too long and machinery that has been dormant in the vessel that should have been commissioned a long time ago.That said, we are getting over those challenges. We are powering up the switchboards as we speak, and we are close to full engine commissioning as per the recent schedule, so the last of that long-term legacy is being overcome. We look forward to delivery in the fourth quarter of this year as we move into our modernisation programme.We also look forward to working on the new vessel projects that were recently announced in the Parliament. We will turn FMPG into an efficient and profitable shipyard that supports both the local community and the resurgence of commercial shipbuilding in Scotland, and into a business that people can be proud of again.Thank you for the opportunity to make that statement, convener. Graeme Thomson, David Dishon and I are happy to answer any questions that the committee may have.

In the same item of business

The Convener Con
Welcome back. Our third item of business is an evidence session with Ferguson Marine (Port Glasgow) Ltd. Today’s session is our final opportunity before diss...
(Ferguson Marine (Port Glasgow) Ltd):Duncan Anderson
Inaudible.
The Convener Con
We cannot hear you yet. Hold on. Let us just wait until I get the nod.
Duncan Anderson
Is that better?
The Convener Con
Yes, it is definitely better, because we can hear you. Off you go.
Duncan Anderson
Thanks, convener. As you pointed out, I am the recently appointed chair of Ferguson’s. I joined as a non-executive director in March last year. Although we a...
The Convener Con
Excuse me, but I will start off by saying that that is the fourth time I have heard that speech. I heard it when I went to Clyde Blowers, I heard it when I l...
(Ferguson Marine (Port Glasgow) Ltd):Graeme Thomson
First, I would say that, in the letter of 13 May, I diligently reviewed the schedule and costs, aware of the appetite and keenness for a response on where th...
The Convener Con
My problem is that there were eight months between your writing that letter in May and our finding out that the cost had gone up and that there was a delay. ...
Graeme Thomson
Until we went into the dry dock in August, we were still sitting within the quarter 2 schedule. We were having some issues—some challenge with the schedule—b...
The Convener Con
You went into the dry dock in August.
Graeme Thomson
Yes.
The Convener Con
You must have got a report pretty quickly from the dry dock. If it was my boat, I probably would have gone down and looked at it myself. That still left four...
Graeme Thomson
I will set out what happened in those four months from August. We got the report. We looked at what we originally thought would be hull paint recovery and st...
The Convener Con
You wrote to the committee on 15 September, saying that significant milestones for the committee had been met, that there was increased confidence in the del...
Graeme Thomson
In August, we had not understood the scope. We thought that we could do the work in parallel and that that it could be contained within a week or two, so we ...
The Convener Con
But the price would go up.
Graeme Thomson
Not necessarily—
The Convener Con
Something in that 15 September update to the committee was fundamentally flawed—it was wrong. Either the price was going to remain the same and the boat was ...
Graeme Thomson
Given the information that I had at the time, I believed that the letter was correct—that we could contain it. Until we had done the work and analysis to ful...
The Convener Con
Were you comfortable on 15 October?
Graeme Thomson
No, because at that point I started to understand the scope of the work.
The Convener Con
Do you not think that it would have been appropriate to let committee members know that the letter that you had written to them in September was factually in...
Graeme Thomson
I think that it was appropriate to do the work so that I could fully inform the committee of the impact, because at that point we were still assessing the im...
The Convener Con
When did you complete that work?
Graeme Thomson
I completed it at the end of November.
The Convener Con
Wow. To me, it seems to be a bit of a guddle, especially given the fact that, based on some of what you have said regarding LNG, you must have known that LNG...
Graeme Thomson
No, we knew that LNG could not go in there. The original schedule was that we would go into dry dock in March and the LNG transfer would happen after that—be...
The Convener Con
Are you confident in the details that you gave in the letter of 30 January—that the increased cost of £197.5 million will not be exceeded and that the ferry ...
Graeme Thomson
I have a high confidence in that number and the schedule for Q4 2026, but I do not think that any CEO who is dealing with a complex vessel such as this would...