Electronic Herald Dec 16 1998

Attempts to derail funicular

DAVID ROSS

HIGHLANDS and Islands Enterprise has overestimated the number of people who would use the Cairngorm funicular railway by at least 100,000 and is not justified in spending £10m of taxpayers' money on the project, it was claimed yesterday. As a consequence the European Commission should now suspend its £2.7m support for the funicular on economic and environmental grounds, said one of the top tourism operators in the Highlands after the publication yesterday of new research. The work was done by a former chief executive of the Scottish Tourist Board, Dr David Pattison, who was also for many years head of the tourism division in HIE's predecessor body, the Highlands and Islands Development Board. Secretary of State Donald Dewar, however, yesterday insisted the project was going ahead.

Dr Pattison is now a consultant and was commissioned by the owner and operator of the Landmark Centre in Carrbridge, Mr David Hayes, to independently assess the likely number of visitors the controversial railway might attract. Dr Pattison's report concludes "a quantification of the available market volumes and the likely penetration rates indicates that the funicular project could anticipate a main season market of between 77,000 and 104,000". According to Mr Hayes this figures is 50,000 visitors short of what would be required to make the funicular viable, and over 100,000 less than that originally projected by Highlands and Islands Enterprise. He said: "I have long known that HIE have grossly overstated the economic benefits of the funicular." Dr Pattison's report bears out my contention that HIE are being less than honest in their justification for spending £10m of taxpayers' money on this project. "The real national attraction is not the funicular but the recently proposed Cairngorms National Park. Imaginatively developed, the park would be of enormous benefit to the local tourism industry. "The location of a highly commercial business, dependent on high volumes of traffic, at the very heart of this national park, would be nothing short of a national disgrace."

Mr Hayes has sent Dr Pattison's report to the Commission and urged officials to withhold support already agreed under the European Objective One programme. He argues that feasibility studies of the project were flawed and had never been published or subjected to independent scrutiny. He said: "While the funicular project was conceived by the Cairngorm Chairlift Company, the railway is being built on land owned by HIE. "The principal feasibility studies have been commissioned and paid for by HIE, and almost all funds are being provided by the public sector, principally HIE, Moray Badenoch and Strathspey Enterprise, and the European Union. "With virtually no private sector investment in the project, it would appear that insufficient concern has been shown for the project's viability."

Instead of a funicular, Mr Hayes joins those advocating a gondola running from Glenmore to the top station on Cairn Gorm. But last night a spokesman for HIE robustly rejected the analysis presented by Mr Hayes. He said: "The economic and environmental arguments have been carefully examined not just by HIE but also by the Scottish Office, the Highland Council, Scottish Natural Heritage, the Highlands of Scotland Tourist Board and the Highlands and Islands Objective One Partnership. The project also enjoys the overwhelming support of the local community." HIE received powerful backing from Mr Dewar, who was in the north yesterday. He recognised the issue remained controversial, but stressed: "It is going ahead. I think it is in everybody's interests, including others who are in the tourist business in the area."


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