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March 10, 2020 | Local, Aerospace, Naval, Land, C4ISR, Security

Government doesn’t know when a defence procurement agency might be created

In the last election campaign the Liberals promised to create a defence procurement agency as part of its efforts to improve purchasing of equipment for the Canadian Forces. No details were released at the time.

In December, Prime Minister Justin Trudeau, in his mandate letter to Procurement Minister Anita Anand, outlined how she would lead an effort to bring “forward analyses and options for the creation of Defence Procurement Canada, to ensure that Canada's biggest and most complex National Defence and Canadian Coast Guard procurement projects are delivered on time and with greater transparency to Parliament.”

Anand would do this with the support of the Minister of National Defence and the Minister of Fisheries, Oceans and the Canadian Coast Guard, according to her mandate letter.

At the time Defence Minister Harjit Sajjan claimed much of the work was already underway. “A lot of work has already started on (Defence Procurement Canada) and the goal of this is to make sure that we get the procurement projects done as quickly as possible to make sure the Canadian Armed Forces has what they need,” Sajjan told iPolitics the day before his mandate letter was released.

Strangely, when asked about that work, Sajjan's department pointed out that he wasn't specifically referring to the DND and that Anand's Public Services and Procurement Canada (PSPC) had the lead on the file.

So, Defense Watch requested the timetable for this effort. Among the questions asked of Anand's department was when the new agency could potentially be expected to be stood up, will there be consultations done and whether there were any concepts already put forward for the agency that could be shared with the public? If this were such an important effort then of course the department would have an idea of at least a timeline on how things might unfold.

Here is the answer provided by PSPC: “The Minister of Public Services and Procurement has been tasked to work with partner departments to bring forward analyses and options for the creation of Defence Procurement Canada. Public Services and Procurement Canada is leading this work with support from National Defence, Canadian Coast Guard, and Innovation Sciences and Economic Development Canada. This initiative is aimed at ensuring that Canada's biggest, most complex procurement projects are delivered on time and with greater transparency to Parliament. Work on this important initiative has just begun.

This answer provides little more than what was in the mandate letter. No details on what actual work was being contemplated or taking place was provided. There is no schedule or target date for even producing options and reporting back to government on those.

In fact, this PSPC answer seems to undercut Sajjan's earlier claims that “a lot” of work had already started even before the mandate letters were released.

Some in the defence industry don't expect much to come from the Liberal election promise of a single defence procurement agency. They point out their case is bolstered when the department leading the initiative doesn't know, or can't provide, even a timetable for such an initiative.

The public, as well as industry, will have to wait and see whether Defence Procurement Canada ever becomes a reality.

(Analysis)

https://ottawacitizen.com/news/national/defence-watch/government-doesnt-know-when-a-defence-procurement-agency-will-be-created

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Forward-Looking Statements Certain statements and other information included in this release constitute "forward-looking information" or "forward-looking statements" (collectively, "forward-looking statements") under applicable securities laws. Statements including words such as "may", "will", "could", "should", "would", "plan", "potential", "intend", "anticipate", "believe", "estimate" or "expect" and other words, terms and phrases of similar meaning are often intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Forward-looking statements involve estimates, expectations, projections, goals, forecasts, assumptions, risks and uncertainties, as well as other statements referring to or including forward-looking information included in this release. Forward-looking statements are subject to various risks and uncertainties which could cause actual results to differ materially from the anticipated results or expectations expressed in this release. As a result, although management of the Company believes that the expectations and assumptions on which such forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company can give no assurance that they will prove to be correct. 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