Transport / NorthLink fuel bill projected to drop by £2.5m as costs decrease
THE COST of fuel this financial year for the various Northern Isles ferries that serve Shetland is expected to be around £2.5 million less than it was for 2022/23.
A freedom of information request from Shetland News shows that the total projected cost for 2023/24 for the passenger ferries Hjaltland and Hrossey and freight vessels Hildasay and Helliar is around £19.9 million.
The cost for 2022/23 came to £22.36 million.
The reason behind the shift is the lower cost of fuel. However it is still relatively high following a surge in costs over the last couple of years.
For example, Transport Scotland – which contracts the Northern Isles ferry service to operator Serco NorthLink – previously said the fuel cost for running the vessels in 2019/20 was £12 million.
The drop in fuel costs this year is also being experienced locally at Shetland Islands Council (SIC) when it comes to its internal ferries.
A report to councillors on Monday showed that the SIC budgeted for spending 85p a litre on ferry fuel this financial year.
However, the average spend to date has been 59p a litre, creating an underspend against budget of £1 million.
Become a supporter of Shetland News
Shetland News is asking its many readers to consider start paying for their dose of the latest local news delivered straight to their PC, tablet or mobile phone.
Journalism comes at a price and because that price is not being paid in today’s rapidly changing media world, most publishers - national and local - struggle financially despite very healthy audience figures.
Most online publishers have started charging for access to their websites, others have chosen a different route. Shetland News currently has over 600 supporters who are all making small voluntary financial contributions. All funds go towards covering our cost and improving the service further.
Your contribution will ensure Shetland News can: -
- Bring you the headlines as they happen;
- Stay editorially independent;
- Give a voice to the community;
- Grow site traffic further;
- Research and publish more in-depth news, including more Shetland Lives features.
If you appreciate what we do and feel strongly about impartial local journalism, then please become a supporter of Shetland News by either making a single payment or monthly subscription.
Support us from as little as £3 per month – it only takes a minute to sign up. Thank you.
Already a supporter? Sign in to hide this message.
