A Decade of Fuelling Dreams: Port Ellen Filling Station Celebrates Their 10th Anniversary
Port Ellen, on the Isle of Islay, “The Queen of Hebrides,” the fifth largest Scottish island in the southwest of Argyll and Bute Council area, is a scenic harbour haven with a strong community spirit. According to recent statistics, this beautiful island only has a population of just around 3300. The Port Ellen Filling Station, the only filling station in South Islay, is celebrating its 10th anniversary since its acquisition by the South Islay Trading Company (SITCo) a trading arm of charity organisation SID (South Islay Development) in May 2014.
Islay and the fuelling problem
Historically, Islay’s remote location and small population meant that many modern conveniences, including fuel stations, were very limited. In the early days, fuelling options were practically nonexistent, with residents relying on deliveries from the mainland or makeshift arrangements to meet their fuel needs. As transport and vehicle ownership on the island increased along with the number of visitors, the demand for reliable fueling infrastructure also increased.
In 2014, when the only fueling station in South Islay was on the verge of closing, the community felt concerned as the next nearest fueling station is a 20-mile round trip and as much as 38 miles for peripheral households. South Islay, being home to over 1000 inhabitants, and Port Ellen, being one of the busiest ferries that brings more than 50,000 tourists every summer, really needed a fueling station to support their needs.
How did SID take over Port Ellen Filling Station?
When the fuel filling station came up for sale, there was little interest in purchasing the business, due to the limited profitability of the business. However South Islay Development (SID) saw the need to purchase it with the purpose of continuing to offer fuel services in the local area. A swift community consultation indicated that there is collective support for community purchase of the filling station. The trading arm would enable any surplus to be channeled back into the charity, whilst also limiting risk.
SID’s primary challenge was financing the filling station acquisition. Business support was provided by Inspiralba, via Just Enterprise, which assisted in securing investment. Grants from Highlands and Islands Enterprise (HIE) and Scottish Land Fund, among others. This enabled SITCo to successfully acquire the Filling Station and the land site which measures 0.104 hectares (0.25 acres) in May 2014. Local benefactors like the Harbour Association also provided support, which has been now fully repaid.
The group’s great enthusiasm, included offers of soft loans to assist with working capital, to purchase of fuel.
What were the main challenges?
Throughout the years, the board and staff of SITco have faced and overcame multiple challenges for the filling station, such as; staffing shortages, equipment malfunctions, growing and expensive regulatory requirements, COVID, ferry schedule changes, and everyday issues that come with operating a small local business. Despite these continuing challenges and marginal profitability, of the business, fuel services have remained available for local residents and visitors to Port Ellen over the past ten years. The fuel station now employs one full-time member of staff, providing steady employment and ensuring consistent, reliable service for the community.
“Our staff have been loyal, innovative and gone the extra mile on many occasions. I don’t think they are seen so much as employees, as contributors to the success of our small community.”
Improvements and upgrades to date
Since community purchase of the fuel filling station there have been numerous improvements to the fuel filling services. The buildings have been refurbished, opening times adjusted, and over the years, the Port Ellen Community Filling Station has improved and expanded its services. These now include South Island gifts, confectionary, motoring supplies, fuel distribution, and 24-hour access to a car wash and air compressor. The team is always on the look to diversify the retail side to cater to the ongoing demands.
Recognising the demand and need, SITCo has also developed an Electric Vehicle charging point, an on-site motorhome service point that has four hard-standing hook-up points with access to water and electricity, overnight pitches, a disposal hut for chemical toilet disposal, general waste and recycling facilities, and access to Wi-Fi.
Plans for the future
As a small local business, staying in existence for a decade and making a profit is a big success for SITCo. Even though the profits are modest considering the turnover, they are reinvested into the primary charity, SID. The group is determined to continue operating for a longer stretch to supply fuel to the local community and visitors. With additional grant funding secured, SITCo plans on further renovations and more improvements. More recently, in conjunction with the playing fields redevelopment, an additional 8 motorhome pitches will be added. These will be fully serviced, offering a shower and toilet block, with washing facilities to supply more overnight pitches to visiting motorhomes. The board thinks that this is an important step as it could resolve the ‘wild camping’ issue of campervans causing problems across the island and offer another revenue stream to support SITCo.
What do the directors have to say?
John Findlay and Ian Faggetter, Directors of SITCo, says that observing and learning should be one of the best practices for communities looking to buy and manage local assets. “First, study similar projects to understand how they operate,” says Ian Faggetter. “It’s crucial to ensure the community supports the initiative by keeping everyone informed at every stage,” adds John Findlay. Hiring and retaining good staff is also essential. “Our staff have been loyal, innovative and gone the extra mile on many occasions. They too exist in the locality; I don’t think they are seen so much as employees as contributors to the success of our small community.” explains Faggetter.
Directors should be actively involved, and although there is no financial reward since it’s a charity, the true benefit lies in supporting and enriching the local community. “The business has evolved; however, it must be noted a significant amount of personal time is committed by a small number of individuals close to the business, and without this personal support it is unlikely the filling station would continue in its present form” says Findlay.
Download the pdf version of the case study here.