This item was published during the term of a previous administration that ended in April 2007
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Rural airports aid 'Highland renaissance'
07/11/2005
A funding package of around £6 million had been agreed to create a new regional air hub in Oban and new licensed airfields on the islands of Coll and Colonsay.
First Minister Jack McConnell, at the Convention of the Highlands and Islands at Inverary today, said creating the new island airfields will mean islanders and tourists have an alternative to the existing ferry service - opening up the area to increased business and tourism.
The new air service will integrate with the existing scheduled air services between Tiree/Glasgow and allow the Argyll Island air network to link with the pan-Highland and national services.
The First Minister said:
"Since the creation of the Highlands and Islands Development Board 40 years ago, this part of Scotland has been transformed. The economy is strong, tourism is booming and people are being attracted to live and to work here.
"Where once people were leaving their communities in search of jobs, they are now staying and helping their area to thrive.
"These new airports will make sure that this Highland Renaissance can continue. They will open up some of the most spectacular scenery in the world to more tourists. They will make sure that businesses can remain connected. And they will make sure that more and more people choose to make the Highlands and Islands their home. This is an exciting project that will bring benefits to all of Scotland."
William Roe, chairman for Highlands and Islands Enterprise (HIE), said:
"The HIE network have been supportive of this project since its inception because it has the potential to genuinely revolutionise life and work on the Argyll Islands providing improved accessibility between the islands, Glasgow and Oban.
"These islands don't have a daily connection to the outside world during the winter which makes travel of any sort difficult, be it for personal, work or educational reasons. This new air service will represent a step change in transport provision.
"Of particular importance in boosting the islands attractiveness as a place to live and work will be the opportunity for schoolchildren to travel home to be with their families at weekends."
The capital cost of the project is £6.2 million with European Regional Development Fund (ERDF) and Highlands and Islands Enterprise providing support of £2.986 million and £1.493 million respectively.
The revenue cost in the first year of operation of the scheduled services is estimated at £790,000 and this includes support from Argyll and the Isles Enterprise of £0.578million which will be met by the Council. In subsequent years the cost is estimated at £594,000.
These figures do not include the funding for the operation of Oban Airport.
The project is HITRANS' top priority and involves the upgrading of Oban Airport and forming new airstrips on Coll and Colonsay to create licensed airfields which can support scheduled air services. This will allow the commencement of an Argyll islands air network feeding into the Oban hub. The air services will be provided following the imposition of Public Service Obligations, on the Argyll islands routes, and subject to competitive tendering.