Lochboisdale pier development plans spark heated debate

At the Stòras AGM, the Lochboisdale pier development was an issue of hot debate, with members clashing with the board on matters relating to the ownership of the project, the scope of the development, the terms of the CMAL lease and the possible amendment of a Harbour Empowerment Order. 

In 2019, the SnBM board made the decision to progress the new pier with Caledonian Maritime Assets Limited (CMAL) as developer, agreeing the broad principles of a lease that would see CMAL build and own the structure and receive the income derived from it; in return, CMAL would pay an annual rent to the estate for the length of the lease.

At the meeting, the view was expressed that Stòras had undervalued the opportunity of the new pier by allowing CMAL to take ownership of the project.

CEO Darren Taylor said: “It has been, and remains, the position of the board that the best interests of the community are served by the new ferry terminal being built by CMAL. This also means ongoing repairs and liability will sit with them and not us.”

A Stòras member accused the board of selling the community short, asking: “why tie us to a 50 year lease?”

Chair Mary Schmoller replied: “Because that’s what they asked for. This is a £50m project and CMAL are not going to build it without a 50 year agreement.”

The question of income from the pier was also raised. One member cited the example of the publicly owned Lochmaddy Pier, which earned the Comhairle substantial income from pier duties. 

Darren Taylor confirmed current pier income for the Gasay marina was in the region of £100k per annum, with £50k coming from aquaculture and the rest from fishing and leisure activities.

After the meeting, Am Pàipear asked for clarification on this issue, and Mr Taylor confirmed:

“No lease has yet been finalised but when the Heads of Terms were agreed back in 2019, the lease was set at 50 years. Those negotiations were based on an expected start date of 2025 and given that the project is so late, I think it’s fair to say there could be room further discussion.” 

Mr Taylor added that the expected annual income from the lease would be in the region of £75k to £100k per annum, but confirmed this too was still open for negotiation and stressed all design, construction and maintenance would not sit with Stòras.

At the meeting, disappointment was expressed that the project had been limited to a ‘just a ferry port’, rather than the wider harbour development opportunities laid out at the time of the community buyout.

The board said the decision to progress the project in its current scope was a pragmatic approach to the urgent requirement for a new ferry port.

A member called from the floor saying Stòras didn’t understand the value of their asset. Another concern raised was the potential for CMAL to turn away cruise ships and other opportunities that could generate income for the estate.

Mr Taylor said the organisation had no intention of ‘giving away the golden goose in terms of cruise ships’ and later added that a CMAL ferry terminal would not preclude future port developments.

The ‘Lochboisdale and Gasay Port (Harbour Empowerment) Order is a legal document conferring statutory harbour authority status to Lochboisdale Development Ltd and setting out the powers and duties associated with the harbour’s operation.

The application for the Order was lodged at the end of 2014, and finally granted by Scottish Government ministers in March 2016. 

At the meeting, it was explained that necessary changes to the Order were being considered.