Mark Aikman of Silvers Marine (left) and SPT chair Jonathan Findlay with one of the new vessels
A small boat is to take over the Yoker to Renfrew ferry service across the River Clyde in Glasgow.
Strathclyde Partnership for Transport (SPT) has awarded the route to Argyll-based Silvers Marine.
The firm's craft, which carries up to 12 people, will replace two 50-passenger ferries later this month.
SPT announced in January that it was withdrawing the existing service at the end of March as it was making an annual loss of of £430,000.
The authority said each passenger using the two existing ferries on the route - The Renfrew Rose and Yoker Swan - had to be subsidised by about £2.69.
The new contract, approved at a meeting of SPT officials on Friday, will see no public subsidy with fares of £1.50 for a single journey and £3 for a return.
It is hoped the new service will begin on 29 March, with the old ferry services finishing on 31 March.
Silvers Marine was one of five firms to express an interest in running the service and emerged as one of two favourites, along with Inverness-based Clyde River Taxis.
SPT chairman Councillor Jonathan Findlay said the five-year route lease with Silvers Marine would maintain an important passenger service on the Clyde.
"There was a range of interest from the commercial sector, but we believe Silvers Marine will provide the best service - utilising SPT's slipways - and without any subsidy from the public purse," he said.
"This is an exciting time for those interested in river travel as Silvers Marine hope to undertake trials for an extended service in the near future."
The old ferries could hold up to 50 passengers
Silvers Marine managing director Mark Aikman said: "We would like to assure ferry users that we will continue to provide them with a reliable service that will take over the route seamlessly.
"This historic crossing has provided an important link to communities on both sides of the Clyde for a very long time.
"We will also be led by consumer demand when considering extension of the service in the future."
Approval of the new service was welcomed by Renfrewshire Council leader Derek Mackay.
"The 500-year-old river crossing link lives on, and I thank those who supported our local campaigns," he said.
"This was exactly the kind of outcome we have been working towards, a new fit-for-purpose continuation of ferry service across the Clyde to meet the demands from Renfrew and Yoker.
"We always believed there would be a credible private sector bid to take advantage of the commercial opportunity that existed on river transport. There is also scope for future expansion."