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  June 25, 2019 | Local, Naval

  Cost of 15 new Canadian warships rises to $70 billion: PBO report

  By Christian Paas-Lang Canada's 15 new warships will cost almost $70 billion over the next quarter-century, according to Parliament's budget watchdog, and the cost could change further depending on the final design of the ships and when they actually get built. The estimate, released in a report by the parliamentary budget office Friday, is up substantially from a Canadian government estimate in 2017 that pegged the price of the project at between $56 billion and $60 billion. The 2017 estimate was itself a revision of the project's original $26-billion price tag. Also in 2017, the PBO estimated the total cost of the ships to be $61.8 billion, but its report released Friday updates that to reflect the design of the ships — frigates known as “Type 26” — which wasn't known at the time. It also accounts for delays in the project. The Canadian government will now pay out $69.8 billion over 26 years, the PBO estimates. In a statement released shortly after the PBO report, the Department of National Defence said it remained “confident” in its 2017 estimate, and that the “vast majority” of the difference between the estimates came from the PBO's choice to include taxes in its projections. Taking away taxes brings the two estimates to within 10 per cent of each other, the DND said. But the department conceded that any small difference means hundreds of millions of dollars in costs for taxpayers. The PBO report says the difference in the estimates is due to a later start date for construction and a heavier ship design. The report assumes ships will start being built by the 2023-2024 fiscal year, three years later than its 2017 projection. As the timeline extends into the future, costs increase due to inflation. The PBO originally projected a displacement, or weight, of 5,400 tonnes for each ship but the Type 26 design is a heftier 6,790 tonnes per ship, an increase of more than 25 per cent. The report also includes an analysis of what effect further significant delays would have on the project. For a one-year delay, the PBO estimates, an extra $2.2 billion will be added to the project cost, and a two-year delay would cost the government $4.5 billion. In an interview Friday, the top bureaucrat in charge of procurement at the DND expressed skepticism that the heavier ships will result in as much increased cost as the PBO suggests, but he did say the potential for delays was something he is “watching more carefully.” “The labour piece is always where uncertainty can remain,” said Pat Finn, the department's associate deputy minister for material, noting labour can make up around 40 per cent of the cost of a ship. Finn said the DND is in the “same place” as the PBO on the cost of “slippage” — delays in the project — but that he is confident the structure of the National Shipbuilding Strategy will mean the project could benefit from a skilled workforce and ongoing expertise. The purchase of additional Arctic patrol ships, announced last month, means there will not be a lapse in efficiency at Irving's Halifax shipyard, which is building the warships, Finn said. He set a goal for start of construction earlier than the PBO assumes in its report. “We would say between mid-2022 and mid-2023, we're in-contract and cutting steel,” Finn said. Potential delays would certainly increase costs, and it would be “absolutely no shock if there was additional delays,” said Dave Perry, a procurement expert with the Canadian Global Affairs Institute. “To this point in time, the government has not been able to meet any of the timelines that have been put forward publicly,” he added. Still, the closer you get to construction, Perry said, the less uncertainty there should be about costs and the potential for further delay. The last thing that might change the final cost of the ships is the specifics of what components are chosen to fill out the design — which radar equipment, for example, Perry said. The DND is deciding on those components as it reconciles the requirements of the ships with costs. “You could potentially get a few-percentage-point swing” in price in either direction based on those choices, said Perry. “But if you're talking about several tens of billions of dollars, a few-percentage-points swing is real money.” https://globalnews.ca/news/5418997/canada-warships-cost/

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  December 18, 2018 | Local, Aerospace

  Feds going ahead with plan to buy used jets, says Defence minister

  By Charlie Pinkerton Nothing will make the government reconsider its controversial plan to buy 25 second-hand, 30-year-old fighter jets as a temporary stopgap for its fleet, says Canada's minister of National Defence. “For us, (cancelling the purchase is) not even in the picture at all, because it would be absolutely irresponsible if we don't try to fill this capability gap,” Defence Minister Harjit Sajjan told iPolitics in an interview. “We have to invest.” When they came to power, Prime Minister Justin Trudeau's Liberals deferred a plan to buy 65 F-35 fighter jets, deciding instead to buy a much smaller number in the interim. They first sought to purchase 18 new Super Hornet jets built by American manufacturer Boeing, before canning that plan about a year ago as trade tensions between the countries boiled over. An announcement followed that Canada was buying 18 used F-18s from Australia to supplement its existing CF-18 fleet, which dates from the early 1980s, and was due for replacement after about 20 years. Over the summer, the government announced it would buy seven jets from Australia for parts. The Liberals had set aside $500 million for this purchase, but the final cost is still unclear. Since the announcement to purchase Australia's old planes, Sajjan has faced harsh criticism from opposition members who call the plan unacceptable, especially after a damning report from the auditor general of Canada less than a month ago. Yet when asked if the purchase could be stopped, Sajjan replied, “Why would you want to stop it?” One answer to that — cherrypicked from the auditor general's report — is that under the current plan, Canada will not meet its commitment to NORAD and NATO, which government officials, including Sajjan and Prime Minister Justin Trudeau, have cited as a major reason for the government's decision to buy the planes. The auditor general also casts doubt on the viability of the government's interim fleet because of a shortage of technicians and pilots capable of maintaining and flying the jets. “National Defence expects to spend almost $3 billion, over and above existing budgets, without a plan to deal with its biggest obstacles to meeting the new operational requirement,” says the report. “We know it's going to take time,” Sajjan said, “but at least we're investing in the problem so we can finally get rid of it.” National Defence doubled down on its current plan following the auditor general's report, saying it's seeking approval of “a number” of upgrades to keep Canada's CF-18 fleet in the air until 2032. It also says it will increase the number of technicians and pilots in the fighter force, even though it identified the shortage as far back as 2016. The first jets to replace the existing CF-18s, and those the government is buying from Australia, will arrive in 2025. A yet-to-be-chosen future fleet of 88 fighter aircraft are supposed to be fully operational by 2031, and last until the year 2060. https://ipolitics.ca/2018/12/17/feds-going-ahead-with-plan-to-buy-used-jets-says-defence-minister/

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  November 11, 2020 | Local, Naval

  Royal Canadian Navy Unveils New Details On CSC Frigates

  The Royal Canadian Navy (RCN) released the latest details on the configuration of its next generation frigates: the Canadian Surface Combatant (CSC). They will be heavily armed, featuring Naval Strike Missiles, Tomahawk and both ESSM and Sea Ceptor! The RCN last week unveiled a PDF document shedding light on the latest configuration retained for its next gen class of frigate: the CSC. Naval News contacted various sources familiar with the program to confirm the selection of a number of systems listed in the document. What stands out in this new document is fact that the CSC will be fitted with a wide range of weapons, both offensive and defense, in a mix never seen before in any surface combatant. Naval Strike Missile (NSM) While NSM launchers were shown in the past on CSC scale models at various tradeshows (Surface Navy and Sea Air Space), the CSC model on display at DSEI 2019 was showing Harpoon launchers aboard the frigate To our knowledge, it is the first time that an official Royal Canadian Navy lists the NSM as the main anti-surface warfare (ASuW) weapon for the CSC. Contacted by Naval News, an industry source said Kongsberg was close to finalizing the deal. NSM has an operational range of 100 nautical miles (185 Km) and a high subsonic speed. It uses Inertial, GPS and terrain-reference navigation and imaging infrared homing (with a target database aboard the missile). The NSM is a fifth generation anti-sip missile, produced by Kongsberg and managed in the U.S. by Raytheon. NSM reached Initial Operational Capability on the Norwegian Fridtjof Nansen-class frigates and Skjold-class corvettes in 2012. It is also fielded by the Polish Navy (coastal defense batteries) and has been selected by the navies of Malaysia and Germany. NSM was also selected in 2018 as the winner of the U.S. Navy Over-The-Horizon Weapon System (OTH WS) competition and by the USMC last year. It will be fitted aboard the Littoral Combat Ship and the Constellation-class frigates. In the case of Canada, is selected, the NSM will likely be sourced from Raytheon via an FMS deal, rather than procured directly from Norway. Tomahawk land attack cruise missile If Tomahawk missiles end up in the CSC weapons package, this would be quite significant. So far, Raytheon's land attack cruise missile has only been exported to the United Kingdom in its submarine launched variant. Canada would become the second export customer for the missile and the only navy, with the US Navy to deploy it from surface vessels. Naval News contacted Raytheon for comment but we have not heard back yet. During the Sea Air Space 2019 tradeshow, representatives from Lockheed Martin Canada confirmed to Naval News the MK41 VLS aboard the frigate were “strike length”. The Tomahawk Land Attack Missile (TLAM) is a long-range, all-weather, jet-powered, subsonic cruise missile that is primarily used by the United States Navy and Royal Navy in ship- and submarine-based land-attack operations. Its latest variant, the RGM/UGM-109E Tomahawk Land Attack Missile (TLAM Block IV) has a range of 900 nautical miles (or 1,000 mi / 1,700 km). ESSM and Sea Ceptor The last thing that really caught our attention in the RCN document is the fact that both the ESSM and Sea Ceptor are listed. On paper, the two missiles are direct competitors and redundant: ESSM is a medium-range, all-weather, semi-active radar-guided missile used in surface-to-air and surface-to-surface roles. According to open sources, the RIM-162 Evolved SeaSparrow Missile (ESSM) has a range of about 27 nautical miles (50 Km) and a top speed of Mach 4+. Unlike ESSM Block 1, the Block 2's active radar homing seeker will support terminal engagement without the launch ship's target illumination radars. The improved ESSM Block 2 will be fielded by the US Navy from 2020. Canada is one of the 12 nations taking part in the NATO-led ESSM consortium and will be deploying the Block 2 variant aboard the future CSC. The will be launched from the Mk41 VLS. The missiles can be “quad packed” in a single cell. According to MBDA, Sea Ceptor is the next-generation, ship-based, all-weather, air defence weapon system. The Weapon System has the capability to intercept and thereby neutralise the full range of current and future threats including combat aircraft and the new generation of supersonic anti-ship missiles. Capable of multiple channels of fire, the system will also counter saturation attacks. It has a range of 25 Km, a speed of Mach 3 and features an active RF seeker. Also known as Common Anti-Air Modular Missile (Maritime) – CAMM(M), this new missiles has already been fielded aboard the Royal Navy's Type 23 frigates and the Royal New Zealand Navy ANZAC-class frigates. Sea Ceptor will also be fitted aboard the future Type 26 frigates. Contacted by Naval News, an MBDA source shed some light on how the Sea Ceptor was selected in addition to the ESSM. The two missiles were not competing against each other. Raytheon's ESSM was selected to provide “point defense”. Instead, MBDA pitched its missile for the RCN's close in weapons system (CIWS) requirement. The Sea Ceptor beat out systems usually used in that role such as the RAM, SeaRam or Phalanx. The final Sea Ceptor configuration aboard the CSC still needs finalized and confirmed but it will likely be 24x missiles launched from Lockheed Martin's Extensible Launching System (ExLS) located amidship. The RCN would become the launch customer for that new launcher alongside the Brazilian Navy (for its new corvette design based on the TKMS MEKO A-100) depending on who signs the contract first. CSC latest configuration Surveillance & Weapon Sensors Solid State 3D Active Electronically Scanned Array (AESA) Radar – LMC SPY-7 Solid State AESA Target Illuminator – MDA Navigation Radars – X & S Band Electro-Optical and Infrared Systems Electronic Warfare & Countermeasures Suite Radar/Radio ESM Frequency Identification Laser Warning and Countermeasures System Radio Frequency and Electronic Jammers Electronic Decoy System Naval News comments: An industry source informed us that except for the Torpedo decoy systems (to be provided by Ultra) the decoy launchers for CSC and their ammunition is one of the few systems that are still “up in the air”. We were told however that the RCN wants the full range of decoy types available on the market today: Infra red, chaff, corner reflectors, smoke for masking / screening and even offboard active decoys (such as Nulka). The EW suite of the CSC will be known as the RAVEN. Designed by Lockheed Martin Canada, it is based on the RAMSES system currently fitted aboard the Halifax-class frigates. Command & Control Combat Management System – LMC CMS 330 with AEGIS USN Cooperative Engagement Capability – Sensor Netting Integrated Cyber Defence System Integrated Bridge and Navigation System – OSI Internal and External Communication Suite – L3 Harris Aviation Facilities 1 x CH-148 Cyclone Helicopter Space for embarking Remotely Piloted Systems Helo Hauldown and Traverse System – Indal Technologies Inc. Weapons Missile Vertical Launch System 32 Cells – LMC MK 41 Area Air Defence Missiles – Raytheon Standard Missile 2 Point Defence Missiles – Raytheon Evolved Sea Sparrow Naval Fires Support – Raytheon Tomahawk Main Gun System – 127mm Lightweight Torpedoes MK54 & Twin Launch Tubes Close-In Air Defence System – MBDA Sea Ceptor Surface-to-Surface Anti-Ship Missile – Kongsberg Naval Strike Missile 2 x Stabilized Rapid Fire 30mm Naval Gun System – BAE Naval News comments: The main gun is another system on which the RCN has yet to formally make a choice. According to our sources, Italy's Leonardo 127/64 LW is still in competition against BAE System's Mk45 Mod 4. Note that the CSC scale models and illustrations (above) have always shown the American gun. In addition, the UK's Type 26 and Australia's Hunter-class frigates will both use the later naval gun system. A possible FMS of SM-2 Block IIIC missiles for the CSC was approved last week. Reconfigurable Mission & Boat Bays 1 x Rescue Boat – 9 metres 2 x Multi-Role Boats – 9-12 metres Mission Bay Handling System – Rolls Royce Modular Mission Support Capacity – Sea Container, Vehicles, Boats Propulsion & Power Generation Combined Diesel-Electric or Gas Propulsion System (CODLOG) 2 x Electric Motors – GE 1 x Gas Turbine – Rolls Royce MT 30 4 x Diesel Generators – Rolls Royce MTU Integrated Platform Management System – L3 Harris Integrated Underwater Warfare System Towed Low Frequency Active & Passive Sonar – Ultra Electronics Hull-Mounted Sonar – Ultra Electronics Sonar S2150 Towed Torpedo Countermeasures – Ultra Electronics SEA SENTOR S21700 Sonobuoy Processing System – General Dynamics Expendable Acoustic Countermeasures Specifications: Length: 151.4 metres Beam: 20.75 metres Speed: 27 knots Displacement: 7,800 tonnes Navigational Draught: ~8m Range: 7000 nautical miles Class: 15 ships Accommodations: ~204 Naval News comments: The displacement figure (7,800 tonnes) shown on the RCN document is probably the “full load” displacement. For comparison, the official figure for the Royal Navy's Type 26 frigate is 6,900 tons standard displacement while the official figure for the Royal Australian Navy's Hunter-class frigate is 8,800 tons at full load. In addition to the PDF unveiled last week, the Royal Canadian Navy Director of Naval Strategy, Captain Nucci, published an article on CSC in USNI's proceedings: “Canada is pursuing a single class of 15 surface combatants for the Royal Canadian Navy (RCN), unlike some of its allies who are building multiple classes of more specialized ships. A single variant Canadian Surface Combatant (CSC) is better than the project's original vision of two variants based on a common hull (the first a task group command/air-defense version, the other a more general-purpose/antisubmarine warfare version). While all naval force structure is essentially driven by national strategic defense and security interests, a single-class solution is based on three principal factors. First, it fits best for Canada's unique naval requirements shaped by its geography, modest fleet size, and the RCN's operational needs. Second, it optimizes effectiveness now and into the future, while responsibly seeking maximum cost efficiencies. Finally, it is an innovative approach that has only recently become both practical and advantageous because of recent technological developments, such as convergence and digitization.” Captain Christopher Nucci, Royal Canadian Navy, Proceedings, USNI, November 2020 https://www.navalnews.com/naval-news/2020/11/royal-canadian-navy-unveils-new-details-on-csc-frigates/