Back to news

April 8, 2024 | Local, Land

Canada pledges billions in new defence spending, but doesn't reach NATO's 2% commitment | CBC News

Two years after being ordered on an urgent basis, a new defence policy for Canada that promises to bolster the military's surveillance and combat capabilities in the Arctic was unveiled Monday.

https://www.cbc.ca/news/politics/canada-defence-policy-russia-china-1.7166718

On the same subject

  • Like it or not, the U.S. needs to be a key part of Canada’s next-gen jet procurement process

    May 13, 2019 | Local, Aerospace

    Like it or not, the U.S. needs to be a key part of Canada’s next-gen jet procurement process

    ELINOR SLOAN, CONTRIBUTED TO THE GLOBE AND MAIL RICK BOWMER/THE ASSOCIATED PRESS Elinor Sloan, professor of international relations in the department of political science at Carleton University, is a fellow at the Canadian Global Affairs Institute. For a bid to buy a plane designed to cut quickly through the skies, Ottawa's pursuit of a future-generation fighter jet has been a long and torturous slog. In 1997, Jean Chrétien's Liberal government joined the F-35 Joint Strike Fighter program, a U.S.-led initiative conceived as a new way for allies to work together to design, develop and produce a fifth-generation fighter aircraft. In 2006, Ottawa signed a formal memorandum of understanding that gave Canada and the other eight partner nations the exclusive right to compete for contracts to produce such aircraft and, since 2007, Canadian companies have won more than US$1.3-billion in defence contracts related to the Joint Strike Fighter. With a production line that will be operating at full capacity starting this year, and is expected to produce about 10 times as many aircraft as exist today over the next few decades, this number promises to grow substantially. Meanwhile, Canada's nearly 40-year-old fleet of fighter jets – the CF-18s – continues to age. In 2010, the Harper government shelved its plan to sole-source buy the Joint Strike Fighter to replace them after a public outcry and a damning auditor-general's report that found significant weaknesses in the process used by the Department of National Defence. Then, when the Liberals took office in 2015 and promised an open and fair competition to replace the CF-18s, it also banned the F-35 from bidding – two contradictory positions. The Trudeau government quietly dropped that ban last year, and pre-qualified four companies to bid on a contract worth at least $15-billion: Sweden's Saab Gripen, Britain's Airbus Eurofighter, the U.S.'s Boeing F/A-18 Super Hornet and, yes, Lockheed Martin's F-35 Joint Strike Fighter. According to letters released last week, though, the U.S. government threatened to pull the Lockheed Martin F-35 from consideration last year over Ottawa's insistence that Canada receive industrial benefits from the winning bid. In response, Ottawa relaxed its requirement on Thursday: Where bidders once had to commit to spend 100 per cent of the value of the aircraft's acquisition and sustainment in Canada, bids will now only lose points in a three-category scoring system in the review process, instead. With such exhausting twists and incompatible statements, it's little surprise that it took three and a half years of the government's four-year mandate just to get to the formal request-for-proposal stage. But there is a way out of this morass: pursuing a back-to-basics focus on why we need this aircraft and what we need it to do. To do so, we must focus on the proposed jets' promised technical capabilities, which are paramount, and rightly weighted the highest of that three-category scoring system. The second category is cost, which of course is important to any government. The third is creating and sustaining a highly skilled work force within our own borders, a goal enshrined in Canada's industrial trade benefits (ITB) policy, which requires a winning bid to guarantee it will make investments in Canada equal to the value of the contract. Each bid is scored by these three categories, weighed 60-20-20, respectively. However, the Joint Strike Fighter program, which Canada has spent millions to join, does not fit neatly into the ITB policy. In those letters last year, the Pentagon and Lockheed Martin pointed out that Canada's ITB terms are inconsistent with – and indeed prohibited by – the memorandum of understanding Canada signed in 2006, which says partners cannot impose industrial compensation measures. The solution reached on Thursday allows that memorandum to be obeyed, but since Canada will still give higher grades to bids that follow its ITB policy, questions remain as to whether the playing field has really been levelled. All of this is important because of the growing competition between the major powers. Russian bombers and fighters, for example, are increasingly testing the boundaries of Canadian and U.S. airspace. More than ever, the focus needs to be interoperability with the United States, working together on NORAD and helping NATO allies in Europe. As a flying command-and-control platform, rather than a mere fighter, Canada's next-generation jet must work with the United States' most sophisticated systems, and include a seamless and secure communications capability – that is a critical and non-negotiable criterion. Indeed, as DND has said,the United States will need to certify the winning jet meets Washington's security standards. Some may question the federal government's decision to relax the ITB rules, and to grant this certification sign-off. But whatever Canada buys must be able to address threats to us and to our allies until well into the 2060s. Our relationship with the United States, both in terms of geopolitics and military technology, is crucial. Despite our trade tiff, the United States remains our most important strategic partner. Canada can either take an active part in our own security, or leave it to the United States. https://www.theglobeandmail.com/opinion/article-the-us-needs-to-be-a-key-part-of-canadas-next-gen-jet-procurement/

  • DND unable to spend billions in equipment funds, pushing projects beyond next election

    June 11, 2018 | Local, Aerospace, Naval, Land, C4ISR

    DND unable to spend billions in equipment funds, pushing projects beyond next election

    Murray Brewster National Defence fell $2.3 billion short in its plan to re-equip the military in the past year — a failing that one defence analyst says guarantees many important decisions on warplanes, ships and vehicles will be pushed beyond next year's election. Defence Minister Harjit Sajjan revealed the figure Wednesday as he launched the department's long-anticipated investment plan at a major defence industry trade show in Ottawa. The plan is the Liberal government's spending roadmap for its defence policy, released a year ago, which pledged $6.2 billion in new capital spending in the first year. New figures show $3.9 billion was spent. Later in the day, the chair of the Liberal government's council of economic advisers underscored the importance of investment in the defence sector and how it will drive innovation in other sectors. "If we want to grow — and we can in Canada, and we want to grow more significantly — the defence sector is going to play an essential part in doing that," Dominic Barton said. Leading-edge military technology and the possibilities for its commercialization can transform the broader economy, he added. However, the investment plan presented by the Liberals on Wednesday leans heavily on refurbishing existing technology and equipment — mostly aircraft — in the coming decade. The Defence Capabilities Blue Print will see the air force's CF-18 fighter jets, C-140 Aurora surveillance planes, C-144 Challenger executive jets, C-150 Polaris refuellers and transports, CT-114 Tutor trainers and demonstration jets, C-149 search and rescue helicopters and CH-146 Griffons all given life extensions and upgrades. New aircraft, including drones, won't be introduced until the mid-2020s — or later. A defence analyst said that's no surprise since many major decisions will be pushed past the 2019 election. That means it will be up to the next government to make the tough decisions on how much to buy and how much to spend. "Unless we see an extremely busy June with a lot of announcements on milestone projects, a lot of the work is going to be left until later," said Dave Perry, an expert in procurement at the Canadian Global Affairs Institute. "They're not moving ahead as quickly as they suggested in the defence policy." The government could leave even more money on the table this year. Figures compiled by Perry, using the federal government's own budget documents and records, suggest as much as $3 billion could go unspent on military equipment in the current fiscal period. The former Conservative government was repeatedly criticized for promising the military big things in terms of equipment, but rarely delivering and allowing allocated funds to lapse. That cash was eventually kicked back to the federal treasury and used for deficit reduction. DND gets to keep money, spend it later Sajjan said defence spending is now guaranteed in the fiscal framework, the government's long-term financial plan. That means National Defence gets to keep the money and spend it later. "We always know we might not need the extra funds, but they have to be there just in case," Sajjan said. "Rest assured, the unspent $2.3 billion dollars is protected. Those funds remain available when we need them." He defended the spending "delta," saying that 30 per cent of it comes because projects came in under budget. Another 42 per cent was because of delays by defence contractors. Approximately one-third, though, relates to the department's inability to make a decision — or develop specifications on time. Sajjan took a shot at the government of former prime minister Stephen Harper, which used to regularly publish its defence spending plans, but never had specific funding attached to individual projects. Conservative defence critic James Bezan said there is a disconnect between the government's defence policy and its spending plans as outlined in federal budget documents. "Nothing seems to match," said Bezan, who treats the federal budget as the last word in spending. There was no mention of National Defence in Finance Minister Bill Morneau's latest fiscal, presented in February. Defence officials insist that is because the department's spending is already accounted for in the fiscal framework. The federal Treasury Board, however, must approve funding on a project-by-project basis — and Bezan said that hasn't been done. "There's no money to do the things Sajjan is out there talking about," he said. "We are still dealing with the problems of getting procurement done in a timely manner and getting it done on budget." The head of a defence industry group — Sajjan's audience as he made the announcement — said the government does deserve credit for consulting more about projects ahead of time, but there are obvious shortcomings. "Any time funding moves to the right, it is a predictability problem for us. We want as as predictable and as stable funding as we can get," said Christyn Cianfarani, the president and CEO of the Canadian Association of Defence and Security Industries. "I still think, systemically, there is a problem and if we don't turn it upside down and shake it — the whole procurement system — and do things differently ... many, many things differently, we'll still see sluggishness in the procurement system." He said the Liberal investment plan is not "aspirational" and states clearly where the cash is coming from. The Conservative guidebook in the end "did not deliver for the men and women in uniform," Sajjan told the audience of defence contractors. http://www.cbc.ca/news/politics/sajjan-dnd-equipment-funds-1.4683606

  • With F-35 deal pending, Top Aces prepares for more advanced adversary training - Skies Mag

    July 9, 2022 | Local, Aerospace

    With F-35 deal pending, Top Aces prepares for more advanced adversary training - Skies Mag

    As the Canadian federal government negotiates with its U.S. counterpart for the sale of the F-35 to replace the RCAF CF-188 Hornet, Top Aces is preparing for how best to deliver aggressor air training for a fighter far more advanced than the Hornet.

All news