Defence Minister Anita Anand to visit Singapore to advance Indo-Pacific security

On the same subject

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  December 8, 2017 | Local, Naval

  French and Italian governments endorse long-shot bid for 15 new ships for Canada's navy

  DANIEL LEBLANC OTTAWA PUBLISHED DECEMBER 8, 2017UPDATED 3 DAYS AGO The French and Italian governments are officially backing an unsolicited proposal to supply 15 military vessels to the Royal Canadian Navy outside of the ongoing competition for the $60-billion contract, documents show. The French and Italian ministers of defence submitted a letter last month to their Canadian counterpart, Harjit Sajjan, stating that they "fully support" the joint bid by Naval Group and Fincantieri to replace the RCN's existing frigates and retired destroyers. The support from the French and Italian governments could give additional weight to the long-shot proposal, which aims to bypass the official procurement process for new Canadian Surface Combatants. "Under the umbrella of an intergovernmental agreement, we will provide project management support so that the Royal Canadian Navy can operate the purchased warships, sustain their operational capabilities and manage their evolving capabilities throughout their entire lifecycle," said the letter from French Defence Minister Florence Parly and Italian Defence Minister Roberta Pinotti. The submission from Naval and Fincantieri has shaken up the process put in place by the federal government to acquire 15 new vessels. Halifax-based Irving Shipbuilding Inc. is the government's prime contractor, with a competition under way to select a warship design. Defence-industry sources said the leading contender in the process is a joint bid by U.S.-based Lockheed Martin and British-based BAE Systems. The same sources said only three of the 12 prequalified bidders submitted a formal proposal by the Nov. 30 deadline, a number the federal government will not confirm. Under Canada's defence policy unveiled earlier this year, the federal government is planning to get its first Canadian Surface Combatant in 2026, with the entire project costing between $56-billion and $60-billion. Under the Franco-Italian proposal, the 15 vessels would also be built at the Irving shipyard. Based on production costs in Europe, the two companies said they could provide the vessels to the Canadian government for $20.9-billion (€13.8-billion), with construction starting in late 2019. The bid from Naval and Fincantieri was unsolicited, essentially relying on the possibility that none of the bidders under the existing process will be deemed compliant. The defence-industry sources described the offer as a "Hail Mary" that could succeed if the ongoing process unravels, like many previous military procurements. "Everything depends with what happens with the process that is under way right now," said David Perry, senior analyst at the Canadian Global Affairs Institute. "If they can get two compliant bids or ideally all three ... I wouldn't see a need to go back and do a comparison with the [Naval/Fincantieri] bid." The federal government said this week that it will not even analyze the unsolicited bid. "To be clear, any proposals submitted outside of the established competitive process will not be considered," Public Services and Procurement Canada (PSPC) said in a statement. "The submission of an unsolicited proposal at the final hour undermines the fair and competitive nature of this procurement suggesting a sole-source contracting arrangement. Acceptance of such a proposal would break faith with the bidders who invested time and effort to participate in the competitive process, put at risk the government's ability to properly equip the Royal Canadian Navy and would establish a harmful precedent for future competitive procurements," the statement said. In addition, the government rejected the notion that the Franco-Italian bid could generate significant savings, stating that the acquisition of the ships accounts for only about half of the price tag. "It is important to note that a warship project budget must cover more than just delivering the ships. It must also include the costs associated with design and definition work, infrastructure, spare parts, training, ammunition, contingencies and project management," PSPC said. The Naval/Fincantieri proposal is based on the European multimission frigate program, under which the two firms are supplying 18 ships to the French and Italian navies. The two companies said their "off-the-shelf solution" is less risky than other projects still in development. https://www.theglobeandmail.com/news/politics/french-and-italian-governments-endorse-long-shot-bid-for-15-new-military-ships/article37275099/ CSC

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  December 3, 2020 | Local, Aerospace, Naval, Land, C4ISR, Security

  After agreeing to $2B in deals with U.S.-based defence companies, Liberals ask DND for list of Canadian firms to quickly buy from

  David Pugliese • Ottawa Citizen Dec 03, 2020 Companies must be based in Canada and the work has to be completed relatively quickly, creating or maintaining domestic jobs. After committing to spend more than $2 billion with American companies, the Liberal government wants to give a major boost to homegrown defence firms by moving ahead on projects that can purchase equipment for the Canadian military quickly from domestic companies to either create or shore up jobs. Department of National Defence officials began looking in late April at options to provide support to the defence industry as the new coronavirus pandemic rocked the economy. DND and the government hoped the fast-tracked purchases would help Canada's economic recovery. But so far, the four major purchases over the last several months for the Canadian military saw the Liberal government make major commitments with U.S.-based companies for work that will be done almost entirely in America and create or support hundreds of U.S. jobs. That includes the acquisition of new surveillance aircraft for Canadian special forces, the purchase of new systems and missiles for the air force's CF-18s, missiles for the navy and parts and equipment for C-17 transport planes. The particular equipment ordered isn't built in Canada. In some cases, the U.S. firms receiving the work are exempt from the government's requirement to match the value of the contracts with the reciprocal purchasing of services or supplies from Canadian companies. Now, the government has ordered DND officials to draw up lists of equipment that can be bought from Canadian firms. Companies must be based in Canada and the work has to be completed relatively quickly, creating or maintaining domestic jobs. DND spokesman Dan Le Bouthillier confirmed options are being examined to help minimize the impact of COVID-19 on the defence industry. “We are looking at ongoing procurement projects to determine what we may be able to prioritize in order to ensure our defence industry partners are supported,” he said. “This is ongoing at this time, though no decisions have been made at this point.” But Tamara Lorincz, a peace activist and PhD candidate in Global Governance at the Balsillie School for International Affairs, says many more jobs could be created in Canada if the money was directed into non-defence sectors of the economy. She pointed to the 2009 U.S. study by University of Massachusetts, which examined the impact of spending $1 billion on both military and non-military areas. The non-military areas included clean energy, health care, and education, as well as for tax cuts which produce increased levels of personal consumption. The study concluded substantially more jobs were created by non-military sectors. Lorincz noted that there were no comparable independent studies which have looked at the Canadian situation. Lorincz and various peace groups are also questioning the Liberal government's plans to spend $19 billion on new fighter jets in the coming years. The money should instead go towards programs like national pharmacare or child care, she added. Lorincz noted it costs $40,000 an hour to operate a F-35, one of the fighter jets being considered by the Liberals. That amount is close to the yearly salary of a long-term care facility employee, she added. Christyn Cianfarani, president of the Canadian Association of Defence and Security Industries, said the country's defence industry can play an important role in the federal government's COVID-19 economic recovery plan. The association has recommended to government that it accelerate military equipment project approvals, favour domestic firms as much as possible for future work, as well as focus on Canadian-based cyber firms for associated purchases as the government moves its employees to more remote work. Construction projects on bases could also provide local contractors with work, she added. Canada's defence industry actually fared better than other economic sectors during the pandemic, Cianfarani noted. There were no significant layoffs and most firms have been able to continue operations and production. In addition, some companies switched to producing medical equipment or protective gear for use by hospital staff during the pandemic. The Liberal government announced Monday it wants to spend up to $100 billion between 2021 and 2024 to help the economy recover from COVID-19. https://ottawacitizen.com/news/national/defence-watch/after-agreeing-to-2b-in-deals-with-u-s-based-defence-companies-liberals-ask-dnd-for-list-of-canadian-firms-to-quickly-buy-from

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  September 24, 2018 | Local, Aerospace

  Canadian military ditches plan to paint new search-and-rescue planes grey, will stick with familiar yellow

  David Pugliese, Ottawa Citizen Canada's military has reversed its plan to abandon the familiar yellow paint scheme for the country's new search-and-rescue planes after debate within the ranks over the aircraft's need to be visible on such missions. The new fleet of 16 Airbus C-295W planes will replace the main Royal Canadian Air Force search-and-rescue fleet of Buffalo aircraft as well as the Hercules transport planes which are also used at times in a search-and-rescue role. Postmedia reported last year that RCAF leadership had requested the new planes be painted tactical grey, asking for a change to the original contract which had stipulated the familiar yellow colour scheme, because they wanted the aircraft to be available for other missions, including combat. But the move to the grey paint scheme has now been reversed. “While there was, last year, a stated interest in painting the C-295W grey, a decision was made following further consultation to maintain the iconic yellow colour scheme of the RCAF's current SAR fleet, such as the Buffalo, Twin Otter, Cormorant and Griffon,” the Department of National Defence said in a statement Wednesday. “This colour, which provides a higher level of visibility and recognition in the ground and the air, is also widely known by Canadians — especially those who might find themselves in a situation requiring our aid.” Asked last year about the plan to ditch the yellow paint scheme, the Forces said in a statement to Postmedia that “the RCAF has made the decision to use a grey colour scheme for the C-295W fleet to enable surging flexibility for the very wide range of missions the RCAF is required to conduct, from humanitarian and disaster relief missions, to security missions with partners, and all the way to full spectrum operations.” Military sources said RCAF leadership wanted to redirect some of the planes for use on international missions instead of search-and-rescue. But that unilateral decision sparked heated debate inside the military and DND and, sources said, the air force was forced to abandon its plans. When the federal government awarded the contract to Airbus in December 2016, cabinet ministers highlighted the importance of having the right aircraft for the search-and-rescue job. “With this technology, we are giving our women and men in uniform the tools they need to continue to deliver effective and essential search and rescue operations,” defence minister Harjit Sajjan said at the time. Construction of the first aircraft began in 2017 and the first new planes are expected to be delivered in 2019. They are outfitted with sensors that allow RCAF personnel to share real-time information with searchers on the ground. Equipment also includes sensors for searching in low-light conditions. A centre, equipped with simulators, is being built at Comox, B.C. to support training for the air crews. The RCAF's Buffalo and Hercules aircraft assigned to search and rescue perform more than 350 missions annually, according to the Canadian Forces. The Canadian military is responsible for providing aeronautical search and rescue operations. But the project to purchase the new planes has faced a rough road over the years. The competition was announced in 2004 by the then-Liberal government and re-announced by the Conservative government in 2006. But it took another decade before it could be completed and Airbus declared the winning company. Even then, Leonardo, an Italian aerospace firm, launched a lawsuit against Canada over what it claimed was a rigged purchase that favoured Airbus. That lawsuit was dropped earlier this year, shortly before the federal government awarded Leonardo a new sole-source deal potentially worth billions of dollars to upgrade Cormorant search-and-rescue helicopters. Officials with the Canadian Forces and Leonardo say the ending of the legal action in May had nothing to do with the company being picked for the new project the same month. https://nationalpost.com/news/canadian-military-ditches-plan-to-paint-new-search-and-rescue-planes-grey-will-stick-with-familiar-yellow