Canada's exclusion from the AUKUS security pact reveals a failing national defence policy

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  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

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  June 22, 2018 | Local, Aerospace

  Aerospace firm drops lawsuit against DND as defence officials award it multibillion-dollar contract

  David Pugliese, Ottawa Citizen An Italian aerospace firm dropped a lawsuit against Canada over what it claimed was a rigged aircraft purchase shortly before the federal government awarded it a new sole-source deal potentially worth billions of dollars. But the Canadian Forces and officials with Italian defence company, Leonardo, say the ending of the legal action in May had nothing to do with the company being picked for a new project the same month. Leonardo has been selected by the Royal Canadian Air Force to upgrade its Cormorant search-and-rescue helicopters and provide seven additional aircraft. It is estimated the project will cost taxpayers between $1 billion and $5 billion, a price tag that includes the purchase of simulators and support equipment. Leonardo had been fighting the Canadian government in Federal Court over its 2016 decision to award its rival, Airbus, a contract to build fixed-wing search-and-rescue planes as part of a $4.7-billion program. The company was asking the court to overturn the contract to Airbus and instead award the lucrative deal to Leonardo and its Canadian partners. It alleged the Airbus aircraft failed to meet the government's basic criteria. But that legal action was stopped in May just as the Canadian government was awarding Leonardo the new helicopter deal. The Department of National Defence suggested the decision to drop the lawsuit was not related to its decision to select Leonardo for the sole-source deal. “The Government of Canada's priority is to select a best-value package for the Cormorant Mid-Life Upgrade,” the DND noted in an email. “Decisions related to this procurement were made based on consultations with industry and our subject matter experts and follow standard procurement reviews.” But the sole-source deal to Leonardo caught the aerospace industry by surprise. The RCAF had asked companies just last year for informal proposals on how Canada's future search and rescue helicopter needs could be met. One firm, Sikorsky, went as far as launching a campaign to promote its civilian S-92 helicopter as a cost-effective solution. It proposed that it was cheaper to buy new helicopters than to upgrade the older Cormorants. The federal government acknowledged that it has now received correspondence from aerospace firms raising issues about the sole-source deal with Leonardo. “We have received some responses,” Pierre-Alain Bujold, a spokesman for Public Services and Procurement Canada, stated in an email. “PSPC officials are currently reviewing the responses, in collaboration with the Department of National Defence and Innovation, Science and Economic Development Canada.” “Once this review is complete, officials will determine appropriate next steps and inform respondents accordingly,” Bujold added. But defence industry insiders say the review is simply for the sake of appearances and it is expected the deal with Leonardo will proceed. Leonardo officials said their decision to drop the lawsuit was made in April but it took until the next month before that process could be completed. The Cormorant fleet entered service in the year 2000 and the modernization would allow the helicopters to operate for another 25 years at least. One of Leonardo's subsidiaries was the original manufacturer of the Cormorants. The decision to sole-source the deal moved through the federal system quickly. On April 20, RCAF spokesman Maj. Scott Spurr stated the air force was still examining options on how to proceed and that the next phase of the project wouldn't come until 2019. But on May 24 the Canadian government announced it had decided to go with Leonardo on the exclusive deal. Department of National Defence officials say it was determined that it was more cost effective to stay with the Cormorant fleet as it is a proven aircraft the RCAF knows well. The upgrade program is expected to include the latest avionic and mission systems, advanced radars and sensors, vision enhancement and tracking systems. http://nationalpost.com/news/politics/aerospace-firm-drops-lawsuit-against-dnd-as-defence-officials-award-it-multibillion-dollar-contract

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  January 8, 2021 | Local, Aerospace, Naval, Land, C4ISR, Security, Other Defence

  Poor IT support hurting Canadian military operations, internal review finds

  Lee Berthiaume The Canadian Press OTTAWA -- An internal Defence Department report has warned that Canadian Armed Forces operations and security may be at risk due to major problems with how the military's computer networks are built and supported. The report follows a review of the Defence Department's information management and technology systems, which are described as "critical" to the success of Canadian military operations and training. That review uncovered a patchwork of IT systems across the Defence Department and Armed Forces that was not only inefficient and expensive to maintain, but also often out-of-date and poorly supported. The brunt of the report's criticism is directed at the technical support provided to the military by another federal entity, Shared Services Canada, the agency that took over management of most federal networks in August 2011. Nearly all defence and military officials who participated in the review were upset by the amount of time it took Shared Services to respond to requests for help, according to the report. In some instances, those delays harmed operations. The report cited one instance in which an email server that went down during an unspecified domestic mission couldn't be fixed right away because it was a weekend and Shared Services did not have staff on call. The reviewers also found that a quarter of requests for assistance made to Shared Services remained unresolved after six months, and the agency did not have anybody in Europe to help the hundreds of Canadian troops posted there. While the problems were partly attributed to a lack of appropriate IT resources and staff, the report also flagged the lack of an agreement between the Defence Department and Shared Services establishing clear expectations for network support. Without such an agreement, the report, defence and military officials believed Shared Services not only didn't understand their needs but also wasn't required to respond quickly, "which led to putting clients at great risk on a number of fronts, including security." Delays in tech support weren't the only point of contention between the Defence Department and Shared Services, with the latter upsetting the navy by requiring the removal of equipment that had increased bandwidth on warships. Shared Services also stopped supporting some older intelligence systems while they were still being used by the air force, army and navy, according to the report recently published on the Defence Department website. Defence Department spokesman Daniel Le Bouthillier on Monday described the review as a "valuable tool" for improving IT support even as he defended the department's relationship with Shared Services Canada. "We have a good working relationship with Shared Services Canada and the two departments continue to work collaboratively to ensure the appropriate and timely delivery of IT services to DND/CAF," he said. "We are also reviewing our relationship with Shared Services Canada with a focus on improving the service delivery model to help better support the department and the Canadian Armed Forces." The internal report also took aim at the military's troubled procurement system, which was found to deliver IT equipment with inadequate or out-of-date technology. Poor planning was partly to blame but the report also blamed onerous levels of oversight. While that oversight was described as the result of cost overruns and delays on past IT projects, the report said that it nonetheless created new problems in delivering modern equipment. "The complex processes associated with the capital projects and procurement are very slow and cumbersome," according to the report. "The process cannot keep up with the rate of change of technology." Those delays -- and their potential impact on operations -- were also cited as a major reason for why a patchwork of IT systems and programs now cover different parts of the Defence Department and military. While that patchwork might serve the day-to-day needs of the military, it was also found to be inefficient and expensive. To that end, the reviewers could not pinpoint exactly how much was being spent by the Defence Department and military on IT services and support every year, but estimated it at more than $700 million. In response to the report, senior officials told reviewers that they were looking at ways to better calculate annual spending on IT and address the problems that have contributed to the creation of so many systems in the first place. This report by The Canadian Press was first published Jan. 4, 2021. https://www.ctvnews.ca/politics/poor-it-support-hurting-canadian-military-operations-internal-review-finds-1.5253148