Issues
[Ferries and R.E.T] [Ferries and R.E.T] [R.E.T report by A Parker] [Fuel Costs]
Fuel costs
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Fuel costs and their
effects on island communities
The Federation recently
took views from a range of communities
throughout Scotland about the rising cost of
fuel and its effects. Below, is
an article written for the newsletter.
Fuel costs rising by a reported 300% in the
last year are threatening to bring the
islands’ economy down.
Alastair Mackie, a fisherman
for more than 20 years on Mull said " Things
are looking very bleak. It is getting to the
point that we will not be able to afford to
go to sea at all, which effectively makes
the fishing industry here redundant. There
are probably more than 20 households
principally dependant on fishing income. The
loss of that income to the local economy
will be devastating and will seriously
affect the whole community. Our main asset,
the boats themselves, are virtually
unsaleable and when people on the mainland
talk of 'negative equity' , they have no
clue as to how bad it could really get."
Shane Cadzow of Cadzow Bros,
who breed the famous Luing cattle, said:
'The cost of producing winter feed from
silage has gone through the roof - at least
doubled in the year - as has the cost of
fertiliser. Farmers get no tax rebate for
petrol used in quad bikes, and no rebate on
the tax on red diesel, unlike fishermen, and
our fuel bill has gone up by many thousands
of pounds in the year. It will all force up
food costs in the shops.'
As well as fishing and farming, major island
contributers to the Scottish economy, such
as the Islay whisky industry are struggling
to cope with massive increases in production
and distribution costs.
Small island hauliers who
provide the day to day essentials from the
mainland to islanders are finding their
already tight operating margins quickly
dwindling.
Pensioners are terrified to
run their new oil fired central heating
provided by the Scottish government due to
the huge rise in the costs of heating oil.
Tourism is equally affected: Eileen
MacDonald, the proprietor of the Doune Braes
Hotel (F.S.B.) on the west side of Lewis,
said that she set her rates for customers
last year when the cost of her heating oil
was 39p a litre. Her last delivery cost 65p
per litre. This by itself would not have hit
her too hard, but, the 'combination effect
is cutting in again, and tourism on the
Western Isles is well down. The hotels that
she has contacted up and down the islands
say that they are down by between 40 and
60%. They too are on oil.
Ian Gillies, the Scottish
islands Federation chairman, is calling for
government to take immediate and practical
measures to overcome the fuel price rises’
crippling effects. “The current crisis is
going to drive our primary industries, and
therefore our island communities, to the
very edge of banktrupcy and eventual
extinction. Something real and practical has
to be done now. We are looking for positive
and immediate action: a reduction in the
excise duty on fuel for farmers and
fishermen, a reduction in VAT and in road
tax for islanders would be a start.”
The Island clearances
Click this link to go to an article written
in the Scottish Sun newspaper
What can be done?
Article by F.S.B.
