Back to news

January 30, 2018 | Local, Aerospace

Auditor general to issue new fighter jet report in the fall

Lee Berthiaume, The Canadian Press
Published Monday, January 29, 2018 2:03PM EST
Last Updated Monday, January 29, 2018 4:31PM EST

OTTAWA -- Six years after his explosive report on the F-35 derailed the Harper government's plan to buy the controversial stealth aircraft, federal auditor general Michael Ferguson is diving back into the fighter-jet file.

Ferguson's staff have been going over internal government records for several months, though the auditor general's office won't reveal exactly what aspects of the program are under the microscope.

The final report is scheduled for release in the fall.

Ferguson's last report on fighter jets in April 2012 was a bombshell which found senior defence officials twisted rules, downplayed problems and withheld information about the Harper government's plan to buy 65 F-35s.

The report forced the government to suspend the project pending a complete review, which eventually pegged the full cost of buying and operating the F-35s at more than $45 billion.

Six years later, Canada still has not chosen a new fighter jet to replace its aging CF-18s.

It is unlikely the auditor general will find the kind of serious problems with the government's efforts to buy fighter jets as the last time, as the overall procurement system has been revamped with a variety of checks and balances.

The new review could instead turn on the government's plan to buy interim fighter jets and its arguably slow progress in holding a competition to replace the CF-18s, said defence analyst David Perry of the Canadian Global Affairs Institute.

"How much benefit and at what cost will Canada obtain fighter aircraft by virtue of going through an interim fighter purchase as well as doing a life extension?" Perry said.

"For me, one of the biggest concerns is that the process from this point forward is not exactly lightning quick."

The Liberals announced in November that they plan to buy used fighter jets from Australia -- rather than new Super Hornets from Boeing -- as a stop-gap until the entire CF-18 fleet can be replaced.

The new planes were originally expected by 2025, but documents provided to industry last week show the new target is 2031, as the government plans to take its time with a competition.

The delay is almost certain to mean another round of expensive and complicated life extensions to the CF-18s, which will be 50 years old by the time the last are retired.

Previous reports have determined that any life extensions to the CF-18s beyond 2025 would be "a high-risk option in terms of cost, schedule and technical factors."

Many defence analysts and retired military officials have questioned the need for interim fighters and urged an immediate competition, rather than waiting several years.

https://www.ctvnews.ca/politics/auditor-general-to-issue-new-fighter-jet-report-in-the-fall-1.3780244

On the same subject

  • Purchase of three spy planes from the U.S. could cost Canada $140 million more than planned

    October 11, 2018 | Local, Aerospace

    Purchase of three spy planes from the U.S. could cost Canada $140 million more than planned

    DAVID PUGLIESE, OTTAWA CITIZEN Canadian companies had wanted to provide the aircraft, but the Canadian military decided it needed the planes quicker than they believed Canadian firms could deliver The cost of three small surveillance aircraft Canada is buying from the U.S. could be $140 million more than the Canadian military had originally estimated. The three Beechcraft King Air planes, to be based at CFB Trenton in Ontario, will be outfitted with sensors and equipment to intercept cell phone and other electronic transmissions. Canadian special forces and, potentially, other government departments will use them for missions overseas and in Canada. On Oct. 1 the Canadian Forces told Postmedia the three outfitted planes and initial in-service support would cost between $100 million and $249 million, as outlined in the Liberal government's defence policy documents. However, on Oct. 4 the U.S. Defense Security Cooperation Agency revealed the final tally, informing Congress that the deal was underway with an estimated cost of US $300 million — around $389 million. Canadian companies had wanted to provide the aircraft and on-board equipment, and several have formed alliances with U.S. firms who supply the Pentagon with the same or similar aircraft. But the Canadian military decided it needed the planes more quickly than they believed Canadian companies could deliver, and that U.S. security regulations governing the on-board sensor equipment might cause delays. As a result, it determined the U.S. government was the only supplier capable of providing the planes. The Canadian Forces says it hopes to get a better deal. The cost the U.S. government agency presented to Congress is not the final tally and the “final cost is anticipated to be much lower,” the Canadian Forces claimed in an email. “Over the coming months, we will work to more clearly define our interests and requirements for the purchase, and negotiate an acceptable price with the U.S.,” the email said. Department of National Defence spokeswoman Ashley Lemire said in an email to Postmedia that the delivery of the first plane would take place sometime between 2020 and 2021. The final delivery of the three aircraft would be wrapped up by 2022. The main contractor is Beechcraft in Wichita, Kan. The Canadian government will run a separate program to allow companies to compete to provide in-service support for the planes. The government expects to ask for bids for that 20-year contract sometime in the spring of 2019, said Lemire. DND declined to provide an estimate of what that long-term support would cost taxpayers. Industry representatives have complained over the years that the Canadian Forces cut domestic firms out of the project and reduced the role they could play. Lemire rejected that claim, saying Canadian firms would have a role in servicing the planes. https://calgaryherald.com/news/purchase-of-three-spy-planes-from-the-u-s-will-cost-canada-140-million-more-than-planned

  • CCGS Hudson to be responsibly deconstructed

    December 7, 2022 | Local, Naval

    CCGS Hudson to be responsibly deconstructed

    Dartmouth, Nova Scotia - Following an illustrious 59 years of service supporting ocean science work in Canada and around the world, the CCGS Hudson is taking its final voyage and is set for deconstruction and environmentally-responsible disposal. On November 28, 2022, after an open competitive process, Public Services and Procurement Canada, on behalf of the Canadian Coast Guard (CCG), awarded the contract for the vessel’s deconstruction to Antigonish-based marine contracting company R.J. MacIsaac Construction Ltd (RJMI). The cost for this environmentally-responsible disposal contract is $1.6 million. In the coming weeks, the Canadian Coast Guard will sign over the care and custody of the decommissioned vessel to RJMI. The vessel will then be towed from the Bedford Institute of Oceanography in Dartmouth, Nova Scotia to a temporary storage site in Halifax Harbour for a few months. In Spring 2023, RJMI will tow the vessel to their Sheet Harbour facility where the hazardous material remediation and disposal process will be performed. By Fall 2023, the vessel will be removed from water and the hull and superstructure will be disassembled. The overall project is expected to be completed by the end of Fall 2023. RJMI will ensure that any steel, stainless steel, aluminum, or other recyclable materials onboard the vessel are recycled while non-recyclable materials are disposed of in an environmentally-responsible manner, in compliance with federal, provincial, and municipal regulations. As well, the contractor will salvage and return the CCGS Hudson’s hull transducers and propellers to the CCG.  Quotes “Today is a bittersweet day as the Canadian Coast Guard responsibly disposes of the CCGS Hudson, a trailblazing vessel that has served Canadians and Canadian scientists for nearly 60 years. The Canadian Coast Guard taking this step serves as a reminder to all vessel owners across the country to have a plan to dispose of their ships in an environmentally responsible way to protect our lands and oceans.” The Honourable Joyce Murray, Minister of Fisheries, Oceans and the Canadian Coast Guard "For over half a century, the CCGS Hudson has proudly served our country. As this vessel retires, I’m thrilled to see a local company in Sheet Harbour receive the contract to deconstruct the vessel which will create jobs in Sheet Harbour and support the local economy." The Honourable Sean Fraser, Minister of Immigration, Refugees and Citizenship “As we mark the final chapter of CCGS Hudson’s illustrious history, I’m reminded of all of the Canadian Coast Guard personnel that sailed on the ship and left their mark on Canadian ocean science. I am particularly proud that some of the CCGS Hudson’s history will be preserved as a reminder to celebrate the past as we navigate the future in oceanographic science missions.” Mario Pelletier, Commissioner of the Canadian Coast Guard Quick facts Prior to the handover of the ship to R.J. MacIsaac Construction Ltd., Canadian Coast Guard personnel removed a number of items including the ship’s bell, the wheel, chronometer, anchors, and photographs from the CCGS Hudson which are currently being safely stored. The historic items will be archived or donated to maritime museums, installed on the future Offshore Oceanographic Science Vessel currently under construction at Seaspan’s Vancouver Shipyard, installed on other CCG vessels where appropriate, or placed as historical decorative pieces at departmental sites. The CCGS Hudson was a key platform for Fisheries and Oceans Canada’s oceanographic science program. The yet to be named Offshore Oceanographic and Science Vessel, isn’t expected to be delivered until 2025. The Canadian Coast Guard continues to work closely with Fisheries and Oceans Canada to mitigate the impacts on science programming. The future Offshore Oceanographic and Science Vessel is being built as part of the Government of Canada’s National Shipbuilding Strategy (NSS).  The Offshore Oceanographic Science Vessel (OOSV), the second class of Canadian Coast Guard vessels being built by Seaspan’s Vancouver Shipyards, is a critical step in the renewal of the Coast Guard Fleet. The OOSV will support the Government of Canada’s next 30 plus years of cutting edge scientific research that will help inform decisions about protecting our fisheries, oceans and coastal areas.  https://www.canada.ca/en/canadian-coast-guard/news/2022/12/ccgs-hudson-to-be-responsibly-deconstructed.html

  • Business group wants National Shipbuilding Strategy reopened for Quebec shipyard

    January 16, 2019 | Local, Naval

    Business group wants National Shipbuilding Strategy reopened for Quebec shipyard

    Murray Brewster · CBC News Association puts pressure on Liberals to direct new projects to Davie yard A Quebec-based business association claiming to represent over 1,000 companies inside and outside the province is launching a high-profile campaign to convince the Liberal government to reopen the oft-maligned National Shipbuilding Strategy. The group is demanding the federal government include the Davie shipyard, in Levis, Que., in the policy and plans to make it a major issue in the October federal election. The Association of Davie Shipbuilding Suppliers, which has been around for about a year, represents companies that do business with the shipyard. It plans an online campaign, beginning Thursday, and will lobby chambers of commerce as well as federal and provincial politicians. It is hoping to use its extensive membership and thousands of associated jobs to put pressure on the government in an election year to direct the building of additional coast guard ships exclusively to the Quebec yard, one of the oldest in the country. The shipbuilding strategy, conceived under the previous Conservative government but embraced by the Liberals, has turned into a giant sinkhole for federal cash with little to show for it, Simon Maltais, the association's vice-president, told CBC News. "We can call it a boondoggle," he said. "It has been seven years in the making. At the moment, there is absolutely no operational ship afloat and working for Canada." The Conservatives under former prime minister Stephen Harper chose two shipyards — Irving Shipbuilding of Halifax and Seaspan in Vancouver — as the government's go-to companies for the construction of new warships and civilian vessels. The Davie shipyard was, at the time, emerging from bankruptcy, and under the strategy it only became eligible for repair and refit work on existing vessels and perhaps the construction of smaller vessels. Delays and cost overruns Irving and Seaspan have invested hundreds of millions of dollars in modernizing their yards and have just begun to produce new vessels. The first Arctic offshore patrol ship for the navy is being outfitted in Halifax and others are in various stages of construction. Three offshore fisheries science vessels, constructed in Vancouver for the coast guard, are undergoing repairs after defective welds were discovered last year. The entire program has been beset with delays and rising cost estimates. Last year, Public Services and Procurement Canada refused to release a revised timeline for the delivery of ships from Seaspan, including construction of a heavy icebreaker and the navy's two joint support ships. Politics and shipbuilding Maltais said it makes no sense to keep excluding Davie from full-fledged ship construction work when much of the coast fleet is over three decades old and in dire need of replacement. Refreshing the strategy would insure the federal government gets the ships it needs and Quebec companies "get their fair share" of the program. "We know it's an electoral year and, yes, we want the federal government and the people in the election to talk about it," he said. Maltais clams members of his association have been talking to federal politicians on both sides of the aisle in the province and they support the idea. "They seem to be on the same page as us," he said. Defence analyst Dave Perry, an expert in procurement and the shipbuilding program, said the political campaign has the potential to make the federal government uncomfortable, but he doubts it will achieve the objective of reopening the strategy to add a third shipyard. "That would certainly be a major change in the strategy," he said. "There had been a view of doing something less than that." The proposal being put forward by the association would not take any work from Halifax or Vancouver, but instead direct all new work, on additional icebreakers for example, to the Quebec yard. Just recently, Davie was awarded a contract to convert three civilian icebreakers for coast guard use, but the association argues the need is greater. The federal government did debate an overhaul of the strategy, according to documents obtained and published by CBC News last summer. The size and scope of the "policy refresh" was not made clear in a heavily redacted memo, dated Jan. 23, 2018. So far, nothing has taken place and government officials have insisted they were still committed to the two-yard strategy. During the last election campaign, the Liberals pledged to fix the "broken" procurement system and invest heavily in the navy. https://www.cbc.ca/news/politics/business-group-wants-national-shipbuilding-strategy-reopened-for-quebec-shipyard-1.4979592

All news