More Delays and Cost Overruns for Troubled Scottish Ferry Glen Rosa

The deeply troubled construction project to deliver two LNG-fueled ferries for Scotland’s CalMac continued to experience problems. Shipbuilder Ferguson Marine confirmed that the delivery of the second of the ferries, Glen Rosa will yet again be delayed by up to nine months, while costs will be ballooning yet further for the program.

New chief executive Graeme Thomson of Ferguson Marine has had to provide the update just days after taking over the leadership role of the builder. Sitting down earlier in May for an interview a week into the role, Thomson had said, “The shipyard’s immediate priority is the build and delivery of MV Glen Rosa along with its efforts to secure work for the shipyard and modernize its infrastructure and equipment.”

Rumors of additional problems in the build began to circulate in recent weeks as news also spread of further problems with the first delivery Glen Sannox. The vessel, which was finally delivered in late 2024, is now reported to have a vibration problem.

On April 30, the Scottish Parliament gave the nationalized Ferguson Marine a two-week ultimatum to provide substantive details on the delivery timelines and updated costs for the second ship Glen Rosa. It went on to express its frustrations and disappointment over the shipyard’s handling of the project.

 

Glen Rosa was launched in April 2024 (CMAL)

 

Ferguson Marine started work on the CalMac ferry program in 2015 with the original deliveries scheduled for 2018 at a combined cost of £97 million ($123 million). However, the project became embroiled in controversies, resulting in cost overruns and delays. By November 2024, when Glen Sannox was delivered, the costs for both ferries had ballooned to over £400 million ($507 million).

The shipyard has blamed a flawed design concept by CMAL, repeated change requests, and supply issues for many of the problems. Part of the delays were also attributed to difficulties in completing the ferry’s LNG power system. The shipyard went bankrupt and was nationalized in 2019.

Ferguson Marine is now saying that while outfitting is underway, work remains especially on the complex systems for the LNG plant. Thomson further admitted that resources were diverted from the ship in 2024 by the prior management to complete Glen Sannox. The yard finally launched Glen Rosa in April 2024 and the previous update had said the vessel would be delivered in September 2025.

The yard is now reporting it will have the vessel “substantially complete” in the first quarter of 2026 before embarking on a commissioning plan and delivery between April and June. The new timeline is seven years late, but the BBC reports that when it pressed for a commitment, Thomson deferred, saying there would be a further review in six months.

The cost estimate for Glen Rosa has also soared, with the shipyard now reporting the ship will cost £172.5 million ($229.5 million) with an additional £12.5 million ($16.6 million) “risk contingency,” putting the total cost to £185 million ($246 million). The previous estimate was £150 million ($200 million). The ballooning amounts mean that both vessels will have cost over £460 million ($612 million), close to five times the original cost.

“This is not a financial position we are comfortable with, and we will continue to review our plan, assessing our risks to identify opportunities to bring this cost down,” said Thomson.

The Glen Rosa is being built for Caledonian Maritime Assets Limited (CalMac) to service the Arran route. The 102-meter (336-foot) dual-fuel vessel will be capable of operating on liquefied natural gas and marine gas oil and will have a capacity to carry up to 852 passengers plus at least 127 cars or 16 heavy goods vehicles, or a combination of both.