 The next item of business is statement by Keith Brown and update on BiFab. The cabinet secretary will take questions at the end of his statement, so there should be no interventions or interruptions. I call on Keith Brown up to 10 minutes, please, cabinet secretary. Thank you for the opportunity to make this statement today. A Parliament will recall that on 22 November 2017, I gave a statement on the circumstances surrounding the future of burnt island fabrications, or BiFab, as it is known. Several months have obviously passed since then. I want to take this opportunity to return to the chamber to provide an update on the progress that we have made and the commitment that this Government gave to support the company to fulfil the bold contract and to try to identify a long-term future for the BiFab yards. Operating over three sites across Scotland, burnt islands, Methil and Fife and Arnish on Isle Lewis and the Outer Hebrides, in November BiFab had a permanent workforce of around 250 staff, with a further 1,100 employed via agencies to support specific contracts. However, as you will recall, in November the company filed a notice of intention to appointed administrators that triggered a period of intense discussion. Urgent further discussions led to a number of financial commitments that were made that gave BiFab the comfort that it needed to delay a decision to place a company into administration immediately and to continue toward the completion of the contract that they held for the Beatrice offshore wind farm limited bowl. All those involved in those discussions—SSE, partners in the bowl project, Siemens, Seaway heavy lifting, BiFab themselves and the trade unions that are united in the GMB specifically should be given credit for having taken a very proactive attitude towards achieving a solution. As an added security, the Scottish Government committed to making available, if necessary, a commercial loan to BiFab. Presiding Officer, that collective approach not only provided an opportunity for the continuation of the bowl contract but also created space for on-going work to secure third-party investment. At the time, both myself and the First Minister made clear that we would do everything that we could to identify a way of bringing in new investment and of giving BiFab the best possible chance of winning new orders and securing a long-term future for the company. I am delighted to say that that goal has been achieved. Earlier today, one of Canada's largest independently-owned construction companies, GVDriver, acquired BiFab through its subsidiary DF Barnes. In a deal broken by the Scottish Government, DF Barnes will combine their financial backing and project expertise with the international profile and skilled workforce of BiFab to secure fabrication and construction contracts in the offshore renewables, marine and wider energy sectors. DF Barnes has been a consistent employer in the oil and gas fabrication and marine industries for over 80 years. It has expressed its interest in global expansion and recognises the opportunities that are here in the Scottish market. As part of the agreement, the Scottish Government will expand the loan facility that is made available to BiFab for the completion of the bowl contract and convert that loan to a minority equity stake in the new company. That loan facility has been made on a fully commercial basis. The extent of the shareholding will be determined by the extent to which the loan facility is utilised in completing the bowl contract. The shareholding itself will not exceed 38 per cent. While, by its nature, elements of the agreement are commercially confidential, in the interests of transparency, we have shared the details of the loan facility with the Finance Committee, and I am happy to provide the committee with any further information that it requires. We also want to take this opportunity to pay tribute to the workforce on all three sites—Burnt Island, Methil and Arnish. Our focus has been and remains on the workers, their families and the surrounding communities. We acknowledge that the past few months have been an anxious time for them, their families and the communities involved. I appreciate their support throughout the process and the contribution that the trade unions, the GMB and Unite have made to securing the agreement. The First Minister and I met with the new owners, the existing management and the unions earlier today at Methil, and everybody there was committed to building a successful future for those yards. Although we are positive about today's announcement, the work cannot stop there. Offshore renewable energy and the offshore energy industry in general is a key strategic opportunity for Scotland's economy. Renewable energy is already providing significant levels of skilled employment, often in relatively rural or remote areas. However, all of us want the supply chain to develop and grow further. If you look at Scotland's oil and gas supply chain, that sector's success was not immediate. It took time to build the supply chain, but it is now globally renowned. It employs more than 100,000 people in Scotland, and it exports that expertise to countries across the world. We now want to create as rapidly as possible a similar success story for offshore renewable energy. That is why we are investing in infrastructure, supporting ambitious companies, promoting research and development, and also ensuring that people have the right skills. We want Scotland's renewable resources to provide skilled employment, as well as sustainable energy for communities across the country. There are some real opportunities for the Scottish supply chain, including BiFab, from a number of consented wind projects, for example Concardin, Murray East, Inch Cape and NNG, which was discussed in Parliament earlier, and Seagreen, plus further opportunities south, for example, in Horns E2, East Anglia 3 and Doggar Bank. Of course, those are commercial decisions for the developers, but our aim is to secure as much work on as many projects for Scotland as possible. To help achieve that, we will combine our efforts and those of our enterprise and skills agencies with pressure on the UK Government to recognise the sector in developing their industrial strategy. Scotland has a competitive advantage and the building blocks that are critical to more expansion in the renewables sector via the skills of the Scottish workforce. Indeed, that was one of the main drivers for DF barns becoming involved in the work in the first place. Also, our existing port infrastructure and location and our innovative academic community add to that competitive advantage. With our relatively new industries, it is not always going to be straightforward and we will not, of course, win every contract, but as today's announcement shows, perseverance can achieve results. Presiding Officer, today's agreement gives the workforce, the company and the Government the best possible chance of securing a vibrant future for those yards. The Scottish Government believes that BiFab can be a thriving business, supporting Scotland's offshore renewables and oil and gas industry, as well as competing internationally for work. We will continue to work with the company to achieve that success. Again, another key attractor for the company, the involvement of the Government in coming to this decision today. As the current contract, the bull contract, comes to an end and while efforts go into winning new work, there will continue to be difficult times for the yard and for the workforce. However, I am confident that the agreement, which will see the Scottish Government become a minority shaleholder in the company, will deliver for BiFab's future in Fife and the Western Isles. Thank you very much. We have just over 20 minutes for questions. Can I urge, if members wish, to ask a question to press their request suite buttons now, and I call on Murdo Fraser. Thank you, Presiding Officer. Can I thank the minister for his statement and for advance sight of it? That is good news for BiFab, the workforce and the wider economies of Fife and Lewis. For months, a dark cloud has hung over the company and the local areas affected, and the announcement of the acquisition by DF Barnes today will be warmly welcomed. I would like to associate myself and my party with the cabinet secretary's remarks about the workforce and the contribution that has been made by the trade unions in helping to secure the future of the company. Along with a number of my Conservative colleagues, I was happy to join workers and trade union representatives at their recent rally outside Parliament. I would also like to give our support to the Scottish Government's ambitions for off-shore renewable energy and its on-going support for the oil and gas sector. I have two specific questions arising from the cabinet secretary's statement. Firstly, what assurances have been given regarding the number of jobs that will be secured at the three sites, burnt island, methyl and Arnish, including not just the permanent workforce of around 260 but the additional 1100 men and women who were previously employed through agencies? Secondly, while I acknowledge what the cabinet secretary had to say about the need for commercial confidentiality, is he able to outline to the chamber the total value of the Scottish Government's support for the new purchaser? I thank Murdo Fraser for his initial remarks. The dark cloud that he refers to as having hung over by fab is certainly true for each of the individual employees concerned. That is that human element to this particular situation, which has been very important. In relation to the jobs, the assurances only come from winning contracts. We have made this clear right the way through in order to grow the workforce, which is what we want to do. Many of the contract employees that Murdo Fraser refers to are no longer work there. The contracts have not been wound down, but it was pointed out today that by fab in the past has had more than 2,000 employees. The determination of those on all sides today at the announcement to try to make sure that we grow as many jobs as possible is very evident. The fact that it is shared by trade unions, by the new owners, by the existing management and the workforce generally is a very encouraging sign. The jobs fall winning work, winning contracts, and we are doing as much as we can, obviously within the constraints of the procurement process, to help with that. I have to say, unfortunately, that I cannot give more details on the quantum of money that is involved that is commercially confidential. I will, though, as I said already, share as much of that information as possible with the Finance and Committee. I realise that there is an interest there, but it is commercially confidential. Jackie Baillie, to be followed by David Torrance. I thank the cabinet secretary for an advanced copy of his statement and very much welcome the news about BiFab. I believe that everyone in this chamber wants this deal to work and we salute the efforts of the workers and their trade unions in their unstinting campaign. The cabinet secretary knows that we believe that too many renewable jobs go abroad, so this is a welcome respite. Redundancy notices still hang over a number of the core workers at BiFab. Can the cabinet secretary confirm if the new owners will move to lift and retain skilled labour? Will he ensure that there is a continuing role for the trade unions, not just in terms of recognition agreements, but sitting round the table helping to secure the future of the yard? Finally, I believe that the Government provided loan funding of £15 million in November 2017, a further £4 million in March 2018, and that will be providing a welcome additional £10 million for restructuring. Can the cabinet secretary confirm that the original £19 million loan is the equity stake in the company and tell us what happens when this is repaid? Will the Government's interests cease and over what timeframe this is envisaged? First of all, I should say that the quantum of monies that is eventually provided by the Government will be dependent on the extent to which it is drawn out and is required by the company itself. First of all, I think that the discussion that we had today at BiFab involved the trade unions, the management and the new owners. It was the first time that the trade unions had met the new owners formally. We left them having discussions on some of the issues that Jackie Baillie has raised and it is for them, the new owners, to take forward those propositions. They have no intention of sharing further staff. They have a commitment to try, as the trade unions and others have, to try to grow the numbers of staff there. However, of course, that is a decision for the new owners. It was also pointed out by the company DF Barnes, which has taken over BiFab the very productive relationship that they believe that they have had with trade unions in Canada. They want to seek to continue that productive relationship with the trade unions. That was reciprocated by the trade unions. There is no question that there is a very good basis for collaboration going forward with the trade unions. There is no intention to de-recognise or get rid of trade unions—a very productive start to that relationship. On Jackie Baillie's last point, we have said to the company, and one of the reasons why they were as keen as they were to get involved with BiFab is that the Government wants to stay in for the long term. We will have to wait and see how that develops in terms of the equity stake, and that, as I have said already, will depend on a number of different factors. However, we have said that we want to make sure that we do as much as we can, not just for BiFab but for the renewable sector in Scotland. The company is quite used to working with Governments, and it is keen to work with the Government. It is one of the reasons why we have managed to get the successful conclusion that we have had today. David Torrance is to be followed by Alexander Stewart. I am delighted with today's announcement that it secures the future of BiFab and the jobs of many of my constituents. Does the cabinet secretary agree with me that this deal provides long-term assurances for a company with opportunities for future growth? I agree with David Torrance, but what it does is to secure the work that is there to finish the contract, which has yet to be finished in relation to the bold contract. It allows the company to go forward to try and secure further work, as David Torrance mentions, with the backing of a very experienced new set of owners and the financial clout that they bring, and with the knowledge that the Government has invested in is quite literally in many different levels. That prevents a very positive potential future for BiFab. The crucial point will, of course, be in winning those contracts. There are two contracts coming up in the fairly short term, which BiFab will have an opportunity to win, but there is also other work that we can identify and work with the company to try to ensure that they have the best possible chance once again within the procurement regulations. However, I agree with David Torrance and the fact that his constituents, many of whom work at the location, will be hugely relieved by today's announcement. I welcome today substantial developments for the workforce and for the company. The Scottish Government believes that BiFab can be a thriving business, supporting Scotland's offshore renewables and the oil and gas industry. In your statement, you indicate that the loan facility will be expanded and converted into a shareholding. Is this a short term, a medium term or a long term arrangement? When would you see the timescale for the disposal of that shareholding being realised? As I said in my statement, the loan is on commercial terms and our commitment in terms of that investment and our support for the new owners will be as long as that is required in order to win the jobs and the work for the company. However, it is very important at this point that I refer Alexander Stewart back to his last question on this. When he accused himself and the First Minister of having said at November that we had saved the company, we have never said that, and this statement today does not say that either. We have made sure that the company continues to exist right through to the completion of the bow contract. We have made sure that we have helped to facilitate new investment by very credible new owners of that contract. What that does is give them the best possible opportunities for the future. We will stay in it for a long time, but we should all be clear. The workforce and the trade unions and everyone else who was there today is clear that there is a great deal more work still to be done, but they now have the opportunity to achieve those new contracts and also to further grow the workforce. I very much welcome the positive news today about the future of BiFab, and I believe that the workforce has shown determination, dignity and a huge commitment to their yards and to their communities, and today they should be proud of what they have achieved. The cabinet secretary is right in recognising that the work does not stop here and it is now crucial for BiFab to secure new contracts going forward. With the Government now having a minority equity stake in the company of up to 38 per cent, how involved can or will the Government be in supporting the company to secure future contracts which he recognises is crucial to their future? I thank Clare Baker and the group of MSPs who have been involved with us as we have gone through the previous months. It has been an extremely responsible attitude that has been taken, which has been helpful to the Government and to BiFab to get to the stage that we are now at in the way that the MSPs have gone around their business. It is also true to say that the support that we have, the fact that it has been united, has been very helpful to us both with BiFab, but also in relation to the substantive point that Clare Baker raises in relation to further opportunities. I know that the work that the MSPs, the group of MSPs that was established, did in relation to that and that has been mirrored within the Government. Both myself, the First Minister and Paul Wheelhouse have been involved in making sure that we do the work that is required with potential future contract opportunities to make sure that there is well place as possible. We do that as I keep saying and I have to keep saying within the procurement regulations that we work within, but the fact that we have been able to have that united front and the fact that we have been able to talk to some of those potential opportunities with now the backing of a substantial company with financial reserves and experience in this field has been hugely important, so that to me is a very encouraging aspect. As Clare Baker rightly says, we know that this is just the next stage, the next very important stage that follows after this is to make sure that we win that work and a great deal of efforts going into that. Jenny Gilruth I join with colleagues across Fife today in welcoming this news and congratulating all involved. What opportunities does the cabinet secretary think there are now for BiFab as a renewables industry continues to expand, particularly in the context of the wider Fife economy? I mentioned the different opportunities that we are aware of, but there will be other opportunities that come along. I also thank Jenny Gilruth for one of the MSPs that referred to previously in terms of their support for BiFab and, I think, for the Government's actions over the previous months. It is also true to say that, even as recently as this morning, new opportunities were being discussed with a company that perhaps had not been fully explored up to this point. It does tell me that this company is very hungry for this work. It is not just the case of course that they are interested in the renewables work that they are very interested in, and it is the main reason why they have come here in the first place because of the excellence of the workforce that is here and the expertise, but also in terms of oil and gas, which is a very important sector in this country, and a number of other engineering projects as well. It may not all be in terms of renewables, but even in terms of renewables, some of the opportunities that I mentioned already are not an exhaustive list, so there is plenty of opportunity out there, and our job now is to help to make sure BiFab takes opportunities when they arise. Mark Ruskell to be followed by Willie Rennie. Thank you. Today is certainly a great day of hope for communities in Fife and the Western Isles, who fought so hard to protect their livelihoods in recent months, but to take this day of hope and turn it into a secure future for these communities, it is clear that we are going to need investment. When will Scottish Enterprise be able to finalise their investment plans for these yards to make sure that we have a competitive supply chain and competitive yards? What work is the Cabinet Secretary doing with Baroness Brown to ensure that there is a sector deal for offshore wind coming from the UK Government? First of all, as part of today's statement—I cannot go into too much detail—there is investment being made already by Scottish Enterprise and by high in relation to making sure that this deal goes forward and that the new company or the new owners of the company are able to take the best advantage of those opportunities. The investment that the Government has made is substantially enough. The investment by Scottish Enterprise and by high adds to that. Of course, we will look to see what else is possible to do, but we have a purpose in trying to get a company like DF Barnes involved in this. They are the ones who have the expertise, they are the ones who know exactly what equipment and what facilities they need in order to win that work. Those are the experts and they are the owners of the company and we will work with them. In relation to sector deals, Mark Ruskell may be aware of the frustrations that we have had in terms of the consultation and collaboration on sector deals with the UK Government, but this Parliament's Committee, the Economy and Fair Work Committee has the chance to question Greg Clark on Thursday when he appears before the committee. I would imagine that that is a question that Mark Ruskell would want to take up with the UK Government, but, for our part, we are very keen to engage in this very important sector. Just crucially to add that Mark Ruskell was again one of those MSPs who provided that support, and I am grateful to him for that. Willie Rennie to be followed by Gillian Martin. I thank the minister for an advanced site of the statement. The minister, I think, is right to be measured about today's progress. It is indeed good news for BiFab workers Lewis and Fife, but, as he says in the statement, there will continue to be difficult times ahead. So can the minister perhaps set out a wee bit more detail on some of the pressure points, the milestones, the order gaps that he is predicting and how the company and the Government intend to try to address them? Again, I thank Willie Rennie for his question and I acknowledge the role that he has also played in terms of that support from the group of MSPs that have been most involved. I think that it is true to say that the company is well aware of some of the pressure points, and Willie Rennie is quite right to say that this is a very encouraging, very positive statement. If he wants any confirmation of that, he could check it with the shop stewards and the employees. The First Minister met the employees across the site as well this afternoon, and the relief and the positivity from them were palpable. In relation to the pressure points, one is to make sure that we have the bowl contract, because that is crucially important, so that we can move on. Of course, two other immediate, if you want to call them, pressure points should be the two contracts that I have mentioned, which we are very keen to see BiFab succeed with. Beyond that, of course, there will be the other opportunities that come up—perhaps not pressure points—but those three things, I would imagine, are landmark events for the company. First of all, making sure that the bowl contract is completed helps, of course, with the reputational building that it will have to do in order to win those contracts, and the winning of the two immediate contracts that are in front of them. Gillian Martin to be followed by Liz Smith. I am picking up on what the cabinet secretary has said in his statement on oil and gas and the answer to Jenny Gilruth. Can he expand a little bit more on the opportunities that BiFab has discussed about expanding into the oil and gas sector? Obviously, bringing the knowledge of the renewable sector into the oil and gas sector will only be a positive thing. I can see opportunities around learning from the oil and gas sector, from the expertise in BiFab, as well as those that they expand into renewables. Can he give me a little bit more information on what support they are going to get to access those markets? Can I thank Gillian Martin for his question and say that he will get every support that it is possible for us to provide, in addition to that support that we have already provided financial and otherwise? Gillian Martin makes a very good point about some of the opportunities here. DF Barnes would tell her, if she met with her, that she is very keen to see not just that they can serve some of the contracts that I have mentioned, but that they want to export the expertise that has been built up by BiFab over a number of years. As I said, they have global ambitions. Obviously, those things have to be worked through, the work has to be won, but the potential is there for this company to take BiFab to a greater level even than previously it reached in terms of the renewables industry, but also in terms of oil and gas. Oil and gas is a very important sector in Canada, as well as it is here in Scotland. Of course, there is no harm at all. In fact, there is a great deal of benefit from a company with that background coming into the oil and gas supply chain. There are major opportunities here. DF Barnes has been a consistent employer in the oil and gas fabrication and marine industries, as I said, for over 80 years. As I said, this is a very positive investment, which we will ensure that BiFab can build on its reputation in both those sectors. Liz Smith is followed by Graham Day. The cabinet secretary has quite rightly said that the enterprise and skills agencies are extremely important when it comes to the development of industrial strategy. Can I ask the cabinet secretary whether he will include universities and colleges in that strategy, given their increasing importance in innovation and the training of a dedicated, skilled and flexible workforce? Of course, universities and colleges are fundamentally involved in the skills strategy that we have already produced, but in relation to this particular area, of course, we would want to see that expertise being deployed for that purpose. It will be the responsibility of those enterprise agencies and the skills agencies to make sure that that support is there. Obviously, if it is the case that it develops, as we all want to see it developing, it should have an increasing workforce, and the demand for those skills is going to be increasing over time. It is important that we anticipate that and provide every support possible to facilitate it. Graham Day is to be followed by Lewis MacDonald. The cabinet secretary referred to the potential opportunities presented by BiFab by consented offshore windfire developments in the North Sea, including inkscape of the coast of my constituency. For those opportunities to be fully realised, such developments will require contract for difference, and most do not have that at present. Will he join me in encouraging the UK Government to now play their part in supporting inkscape, other developments, and potentially BiFab by providing that contract for difference backing? I repeat that we are confident that BiFab has a bright future. Of course, they are currently tendering for a number of contracts that will need to be secured under a competitive process, but it is not within the Scottish Government's gift to award contracts, but I am confident with the expertise of the workforce across the three yards. Of course, the knowledge skill and track record that DF Barnes brings that will ensure that any bid made by BiFab in future is competitive. In relation to the UK Government, I would say that the group of MSPs that has been referred to and many others, including the Government, have made representations to the UK Government in that respect. It is also in the UK Government's interests to see a thriving industry here, and I would hope that we will continue to see positive support in that. It is also being receptive to some of the requests that have been made by MSPs and others, including the company trade unions, to ensure that the best possible situation for BiFab is going forward. Lewis MacDonald will be followed by Clare Adamson. Thank you very much. Jobs in the offshore energy sector matter in Fife and in Lewis and across Scotland. The world's largest wind turbine, for example, is about to be commissioned in Aberdeen Bay. I wonder whether the cabinet secretary expects DF Barnes to be interested in fabrication or in decommissioning or in both. Can he tell us whether a minority shareholding will in any way involve Government in decisions about where to bid for what across the energy sector? In relation to the first part of Lewis MacDonald's question, yes, it is the case that DF Barnes will want to look across a range of activities and take opportunities where they find them. I have already mentioned that their background is in oil and gas and fabrication. Of course, they would be interested in decommissioning if it fits their skillset. It is not for the Government to put any limits or strictures on what DF Barnes wants to compete for. That is obviously a decision for them. The same thing applies in relation to the Government becoming too involved as well. We are not the experts. We are not seeking to run the company. We realise that somebody from the private sector with the background that DF Barnes has is our best place to do that. It will be their decision to make. It does not mean that the Government is not going to be a disinterested party. Obviously, we are not going to be shown that by what we have done up to this point, but it is the case that the company coming to BiFab, taking over BiFab in our best place to take advantage of those opportunities. Anchlure Allison. Thank you, Presiding Officer. As a member of the Scottish Steals Task Force, whose work contributed to the successful purchase by Liberty Steel of Clydebridge and DL Mills, I know how effective the dedication of all involved, the collaboration of workforce unions, Governments and community, will have contributed to the successful result today. Can I wish everyone well in that? I will also ask the cabinet secretary what investment the Government is making now to ensure that our manufacturing in all the sectors mentioned this afternoon will have to ensure a viable and competitive future. We have developed and implemented a wide range of policies that Clare Adamson knows with our industrial and economic ambitions at their core. That includes city deals, enterprise and skills review phase 2, the manufacturing action plan and the innovation can do plan. In particular, we have recognised Scotland's strengths in manufacturing, not least with the examples that Clare Adamson has given. That is why we have announced the location and our partners in delivering the £65 million national manufacturing issue for Scotland in Renfrewshire. That is why the strategic board for enterprise and skills has been tasked with focusing our billions of pounds investment in key sectors and harnessing the knowledge of our universities and colleges. That is why this Government has shown the commitment to try and get to the position that we are now in today. That is a very good day for Fife and the Western Isles and a very good day for the employees of BiFab. That concludes the cabinet secretary's statement. We turn now to decision time and there is only one question to be put. Today, the question is that motion 11643 in the name of Graham Day on air quality in Scotland inquiry be agreed. Are we all agreed? We are agreed and that concludes decision time. We will now move to members' business in the name of Lewis MacDonald on the 150th anniversary of Aberdeen trade union council. We'll just take a few moments for members and the ministers to change seats.