New pistols for the Canadian military — defence industry told to expect request for bids shortly | The Telegram

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  October 21, 2018 | Local, Naval

  Design by British firm BAE picked for Canada’s $60B warship replacement program

  DAVID PUGLIESE, OTTAWA CITIZEN The Canadian Surface Combatant project will see the Halifax-based Irving build 15 warships, which will form the backbone of the future Royal Canadian Navy The Canadian government has selected a consortium closely linked to Irving Shipbuilding to provide it with a new warship design for the most expensive defence project the country has ever seen. Canada announced Friday it had chosen the Type 26 warship design by British defence firm BAE for the $60-billion program to replace the Royal Canadian Navy's Halifax-class frigates. Lockheed Martin Canada is leading the BAE consortium and will be the prime contractor. The group's win had been anticipated since 2016, however, after rival defence firms raised concerns that the competition had been rigged in favour of the British design. The Canadian Surface Combatant project will see the Halifax-based Irving Shipbuilding build 15 warships, which will form the backbone of the future Royal Canadian Navy. It will be the largest and most complex procurement in Canadian history. However, it is seen as a major departure from previous procurement processes, as Irving is playing a significant role in selecting the winning design. The previous federal procurement minister, Judy Foote, had said only mature existing designs or designs of ships already in service would be accepted for the bidding process, on the grounds they could be built faster and would be less risky — unproven designs can face challenges as problems are found once the vessel is in the water and operating. But the Liberal government and Irving accepted the BAE design into the process, though at the time it existed only on the drawing board. Construction began on the first Type 26 frigate in the summer of 2017 for Britain's Royal Navy, but it has not yet been completed. Both Irving and the federal government have insisted the procurement was being conducted in a way that ensures all bidders are treated equally, overseen by a fairness monitor with no unfair advantage given to any individual bidder. Nonetheless, while three consortiums submitted bids for the surface combatant program, several European shipbuilders decided against participating because of concerns about the fairness of the process. Others raised concerns about BAE's closeness with the Halifax firm. Last year a French-Italian consortium also declined to formally submit a bid and instead offered Canada a fleet of vessels at a fixed price. Officials with Fincantieri of Italy and Naval Group of France said they don't believe the procurement process as it is currently designed will be successful. The federal government, however, rejected the deal. The federal government had to remind Irving about the potential for conflict of interest when the firm joined forces with BAE in late 2016 to bid on a multi-billion dollar contract to provide maintenance and support for the navy's new Arctic patrol and supply ships. The Irving-BAE alliance was not successful in that bid, but it led the government to remind Irving it had an obligation to “ensure that the Canadian Surface Combatant competition is conducted in a manner that is free from real or perceived conflicts of interest,” according to February 2017 documents prepared for defence minister Harjit Sajjan and released to the Conservatives under the Access to Information law. Andre Fillion, assistant deputy minister for defence and marine procurement at Public Services and Procurement Canada, said Friday's decision is not a contract award. “It's an important step to getting to contract award in the coming months,” he said. Negotiations will now begin with Lockheed Martin. if negotiations proceed accordingly a contract is expected to be signed sometime between January and March 2019. But Fillion said if there are issues with those negotiations and an agreement is not reached, the government will then turn to the next highest-ranked bidder. The government has declined to identify that firm, but the other bidders were from the U.S. and Spain. The Canadian Surface Combatant program has already faced delays and rising costs. In 2008 the then-Conservative government estimated the project would cost roughly $26 billion. But in 2015, Vice-Admiral Mark Norman, then commander of the navy, voiced concern that taxpayers may not have been given all the information about the program, publicly predicting the cost for the warships alone would approach $30 billion. https://ottawacitizen.com/news/british-design-selected-for-canadas-60b-warship-replacement-program-amid-concerns-about-winners-links-to-irving/

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  November 30, 2018 | Local, Aerospace, Naval, Land, C4ISR, Security

  Why can't Ottawa get military procurement right?

  Murray Brewster · CBC News The last couple of weeks may go down in the Trudeau government's public record as the point when the desires of deliverology met the drawbacks of defence procurement. Remember 'deliverology'? That lofty concept — measuring a government's progress in delivering on its promises — was the vogue in policy circles at the beginning of Prime Minister Justin Trudeau's administration. While it's sometimes derided as an empty concept, deliverology must have seemed tailor-made for a new government inheriting a troubled defence procurement system. The Canadian International Trade Tribunal's decision Tuesday to step into the brawl over which multinational consortium will design and support the construction of the navy's new frigates is another lesson in how (apologies to Robert Burns) the best laid plans of mice and men go awry. The tribunal's decision to order Ottawa to put the frigate project on hold pending the completion of their probe into a complaint by a failed bidder comes at a politically awkward time for the Liberals. One week ago, Auditor General Michael Ferguson delivered an ugly report on the Liberals' handling of fighter jet procurement — specifically, the plan to buy interim warplanes to cover the gap until the current CF-18 fleet can be replaced with new aircraft. Self-inflicted wounds A cynic's reflex (given the checkered history of defence purchasing over the last decade) might be to consider these two events as just another day at the office for the troubled government procurement system. That might not be entirely fair. Still, experts were saying Wednesday that the government is suffering from numerous self-inflicted political and administrative wounds on this file. With a federal election on the horizon, and in a climate of growing geopolitical instability, the question of what the government has actually managed to deliver on military procurement is an important one to ask, said Rob Huebert, an analyst in strategic studies at the University of Calgary. While the system, as the Trudeau Liberals and previous governments have constructed it, seems to be the perfect model of the "evidence based" policy making promised by the champions of deliverology, it's also not built for speed. Some would suggest the deliverology model was followed to the letter in the design competition now tied up before the trade tribunal and in Federal Court. What seemed like endless consultations with the bidders took two years. The government made up to 88 amendments to the tender. And in the end, the preferred bid was challenged by a competitor that claims not all of the navy's criteria were met. Alion Science and Technology Corp. and its subsidiary, Alion Canada, argue the warship Lockheed Martin Canada and BAE System Inc. want to sell to Ottawa cannot meet the speed requirements set by the tender without a substantial overhaul. It does not, the company claims, meet the government's demand for a proven, largely off-the-shelf design. Michael Armstrong, who teaches at Brock University and holds a doctorate in management science, said the government could have avoided the challenges and accompanying slowdowns had it been more precise in its language. "They could have been more clear and firm when they use the words 'proven design'," he said. "Did they literally mean we won't buy ships unless they're floating in the water? Or did they mean that British one that doesn't quite exist yet is close enough? "If they would have been more firm and said, 'We want a ship that actually exists,' that might have simplified things at this stage." Huebert described the auditor general's report on the purchase of interim fighters as an all-out assault on evidence-based policy making. "It is just so damning," he said. A break with reality The Conservatives have accused the Liberals of avoiding the purchase of the F-35 stealth jet through manufacturing a crisis by claiming the air force doesn't have enough fighters to meet its international commitments. The auditor found that the military could not meet the government's new policy commitment and even ignored advice that one of its proposed solutions — buying brand-new Super Hornets to fill the capability gap —would actually make their problems worse, not better. That statement, said Huebert, suggested a jaw-dropping break with reality on the government's part. "They [the Liberals] were just making things up," he said. It might have been too optimistic to expect the Liberals to fix the system, said Armstrong, given the short four years between elections. But Huebert said Ottawa can't carry on with business as usual — that the government now must deliver on procurement, instead of doubling down on rhetoric. The problem, he said, is that governments haven't really paid a price in the past for botched military procurement projects. There was "no political pain for the agony of the Sea King replacement, as an example," he said, referring to the two-decade long process to retire the air force's maritime helicopters. "The thing that makes me so concerned, even outraged, is that we are heading into a so much more dangerous international environment," said Huebert, citing last weekend's clash between Russia and Ukraine over the Kerch Strait and ongoing tension with Beijing in the South China Sea. "When things get nasty, we have to be ready." https://www.cbc.ca/news/politics/why-can-t-ottawa-get-military-procurement-right-1.4924800

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  December 23, 2022 | Local, Aerospace

  Minister Anand announces Cormorant Mid-Life Upgrade and Simulator Solution Contracts Award to ensure continued Search and Rescue capabilities

  December 22, 2022 - National Defence / Canadian Armed Forces – Ottawa, Ontario Today, Minister of National Defence Anita Anand, on behalf of Minister of Public Services and Procurement, Helena Jaczek, announced the award of two contracts to support the CH-149 Cormorant helicopter fleet and ensure the continued contribution of the fleet to Canada’s search and rescue (SAR) operations. The two contracts for the Cormorant Mid-Life Upgrade and its simulator solution, valued at up to $1.24 billion (taxes included), were awarded to CAE Inc. of Montreal, Canada and to Leonardo U.K. Ltd of Yeovil, United Kingdom. The CH-149 Cormorant fleet has been providing reliable and crucial service to Canada since 2001 and requires upgrades to remain operationally effective. Through the contract with Leonardo U.K. Ltd., we will upgrade our current fleet to the most advanced version of the helicopter, and acquire additional airframes/parts to increase our fleet size from 13 to 16 aircraft. This will ensure that we can continue to perform SAR operations from Comox, B.C., Gander, N.L., Greenwood, N.S., and add to the SAR capacity from Trenton, Ont. Moreover, this project addresses the need for an improved training solution. By providing a domestic flight simulator configured to our modernized aircraft, our aircrews will have dedicated training capacity in Canada that is representative of our modernized fleet; and will no longer need to travel to the United Kingdom to train on simulators that may not be consistent with our aircraft. As outlined in Canada’s defence policy, Strong, Secure, Engaged, the Government of Canada is making investments to ensure the members of the Royal Canadian Air Force have the equipment they need to fulfill their domestic and international missions, including SAR operations here at home. Quotes “The top item in my mandate letter from the Prime Minister is to ensure that the Canadian Armed Forces has the capabilities, equipment and culture needed to implement the objectives in our Defence Policy. The CH-149 Cormorant helicopter is a critical asset for search and rescue operations in Canada – and these contracts provide the best solution for Canada to upgrade its fleet and provide the accompanying training tools to our aviators so that they can continue to keep Canadians safe – now, and in the years to come.” - The Honourable Anita Anand, Minister of National Defence   “I am pleased that today’s contract award announcement to CAE Inc. and Leonardo U.K. Ltd will enable our government to continue to provide the Royal Canadian Air Force and its members with the advanced equipment they need to do their job, at the best value for Canadians.”  - The Honourable Helena Jaczek, Minister of Public Services and Procurement “Through these contracts, our government will provide the Canadian Armed Forces with the equipment it needs while ensuring long-term economic benefits for Canadians. This procurement will advance Canadian innovation in our world-class defence and aerospace industries while creating jobs and contributing to economic growth in Canada” - The Honourable François-Philippe Champagne, Minister of Innovation, Science and Industry Quick facts These contracts are valued at $1.168 billion for the helicopter upgrades, and $78 million for the training solution (taxes included). Capability enhancements and equipment improvements will be implemented on the CH-149 fleet to improve service to Canadians and meet the operational availability requirements to support the national 24/7 SAR service. With this project the CH-149 fleet will be upgraded to the most advanced version of the helicopter, the AW101 612; the same model Norway has recently procured to conduct its rotary-wing SAR missions. Using this already established configuration accelerates the project considerably. Training solutions will also be acquired under the project to move aircrew training home to Canada. Additional airframes/parts will be acquired from Leonardo U.K. Ltd to increase the fleet size from 13 to 16 helicopters. These additional aircraft, will be produced with predominantly new parts and some used parts in inventory from the VH-71 and current CH-149 fleets which include transmissions, landing gears and control surfaces to reduce costs and ensure value for money. CH-149 Cormorant aircraft are currently based at 19 Wing Comox, 9 Wing Gander, and 14 Wing Greenwood and the addition of aircraft will enable a return to 8 Wing Trenton. Delivery of these upgrades and training systems are expected to begin in 2026, and anticipated to be fully operational in 2029.  The Industrial and Technological Benefits Policy will leverage economic benefits for Canadian industry equal to the value of the contracts. Leonardo U.K. Ltd and CAE Inc. are working with several Canadian companies as part of their industrial commitments to Canada including in Key Industrial Capability (KIC) areas such as defence system integration, training and simulation, aerospace systems and components.  Through the application of Canada’s Industrial and Technological Benefits (ITB) Policy, both CAE Inc. and Leonardo U.K. Ltd will enter into high quality business activities within the world class Canadian aerospace and defence industry.  https://www.canada.ca/en/department-national-defence/news/2022/12/minister-anand-announces-cormorant-mid-life-upgrade-and-simulator-solution-contracts-award-to-ensure-continued-search-and-rescue-capabilities.html