ECONOMY Secretary Fiona Hyslop has admitted the chances of eight wind turbine jackets being built in Scotland “are receding” after BiFab was placed in administration.
Ms Hyslop stressed Siapem and Neart na Gaoithe (NnG) developer, EDF, have started work to “seek alternatives” to provide the contract for eight jacket foundations for the 450MW wind farm.
She confirmed that the Scottish Government will cover the costs of the wages of permanent staff at BiFab sites while the administration process takes place – but the additional public money will “depend on how much the existing resources within the company can be used”.
She added: “I think it’s very important that we support the wages of the staff through this very difficult time.”
But Ms Hyslop was accused of “secrecy and a lack of transparency” after refusing to reveal the legal advice ministers received before becoming a minority shareholder in BiFab in 2018 as part of a £37 million rescue package.
Canadian firm DF Barnes took on a majority share in the three BiFab yards for just £4 - with the Scottish Government ploughing £37 million of public money into BiFab and becoming a minority shareholder.
READ MORE: BiFab demise blamed on lack of 'viability' after 'rotten deal'
Speaking in Holyrood, Ms Hyslop said: “While the chances are receding, I would reiterate my desire to see the NnG contract fulfilled from these yards.
“I have written to Siapem on two occasions in recent weeks expressing my hope that the NnG contract for eight jackets can still be completed in Scotland but I am aware that they have gone to the market to seek alternatives.
“We are setting up a joint working group with the United Kingdom Government, to rally the collective efforts of Government around securing a strong future for BiFab’s sites. While that group must respect the live administration process, it will position both governments to stand ready to work with potential new investors.”
The Economy Secretary added: “Despite our efforts BiFab is now in administration.
“My view is the best outcome is if the business can be sold as a going concern. For that reason, and to support the workforce, I have agreed to fund the administrators work in the short term, in the event that there are insufficient funds available in the business to do that.”
Labour MSP Claire Baker told MSPs that securing the contract could result in “up to 500 jobs and apprenticeship” opportunities in Fife.
She added: “The Cabinet Secretary says she has written to Siapem in recent weeks – I'm afraid that’s not good enough.
“What does the Cabinet Secretary have to say to those workers who are relying on the NnG contract and what are the conditions that will mean these jobs can be brought to Fife?”
Scottish Liberal Democrat leader, Willie Rennie, added: “To tell us that Bifab Scotland probably won’t be building the eight NnG jackets – when is the minister going to deliver the jobs that she promised instead of managing decline?”
Ms Hyslop insisted that “even before the period of administration”, talks were being held with Siapem and EDF “to secure the NnG contract”.
She added: “If there was a possibility that Siapem, even at the tendering they are doing just now for those eight jackets, could secure the tender from somebody that’s prepared – and we understand there may have been interest, in doing that at BiFab, we will do what we can to ensure that happens.”
But Tory business spokesperson, Gordon Lyndhurst, pointed to Ms Hyslop indicating she will not publish legal advice the Scottish Government received over the 2018 BiFab deal.
He added" “How is anyone to know what efforts the Scottish Government has actually made without sight of the relevant paperwork – why the secrecy and lack of transparency?”
Ms Hyslop said she has been “extremely transparent”.
She added: “It is not available to me under the ministerial code to release legal advice we have received.”
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