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January 7, 2022 | Local, Naval

Canada has no option but pivot away from current Surface Combatants path

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

    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

  • DND unable to say exactly when delays in $70-billion warship program began

    February 17, 2021 | Local, Naval

    DND unable to say exactly when delays in $70-billion warship program began

    David Pugliese, Ottawa Citizen, Postmedia News (dpugliese@ottawacitizen.com) Published: a day ago Updated: a day ago National defence says it doesn't know when it determined that a $70-billion project to buy new warships had fallen five years behind schedule, adding billions of dollars to the cost. That lack of knowledge about a massive mega-project is unprecedented, according to the department's former top procurement official, and is further proof the Canadian Surface Combatant project has gone off the rails. The Department of National Defence revealed Feb. 1 that the delivery of the first surface combatant ship would be delayed until 2030 or 2031. The first ship was to have been delivered in 2025, according to DND documents. The five-year delay will cost taxpayers billions of dollars, but the specific amount has yet to be determined. DND now acknowledges that while there were indications in early 2020 the project schedule was slipping, it doesn't actually know when it was determined the Canadian Surface Combatant program was facing significant delays. “There was no specific month/year,” DND spokesperson Jessica Lamirande wrote in an email to this newspaper. “It was an evolving schedule that continued to shift.” But Alan Williams, the former assistant deputy minister in charge of procurement at DND, said that lack of insight by DND staff is dangerous. On major equipment procurements, every step should be documented, as bureaucrats could be called on to justify future spending decisions and overall management of a project, he said. “It's totally absurd they can't even say when they first determined this project would be delayed by five years,” said Williams. “Is that not the definition of a total loss of accountability and control?” The Canadian Surface Combatant (CSC) project would see the construction of 15 warships for the Royal Canadian Navy at Irving Shipbuilding on the east coast. The vessels will replace the current Halifax-class frigate fleet. However, the project has already faced delays and significant increases in cost, as the price tag climbed from an original $14-billion estimate to $26 billion and then to $70 billion. The parliamentary budget officer is working on a new report on the CSC cost, to be finished by the end of February. Each year of delay could cost taxpayers more than $2 billion, the PBO warned previously. Although the DND has a new delivery date for the initial ship in the fleet, that doesn't mean that the vessel will be ready for operations at that time. “We expect delivery of the first ship in 2030/2031, followed by an extensive sea trials period that will include weapons certification and the corresponding training of RCN sailors, leading to final acceptance,” Lamirande said. No dates, however, were provided on when that final acceptance of the first ship would happen. Troy Crosby, the assistant deputy minister of materiel at the DND, denied the CSC project is in trouble. “I wouldn't call it trouble,” he said in an interview with this newspaper in November. “Is it hard? Is it challenging work? Absolutely. But I wouldn't say we're in trouble.” Other defence analysts are arguing the CSC program is salvageable with better governance and oversight. But Williams said the CSC is like a train rolling down a hill without brakes. “You're heading for disaster and people are talking about improving governance,” he said. “That won't save this project.” Canada has yet to sign a contract to build the Type 26 ship proposed by the consortium of Lockheed Martin and BAE for the CSC. So far, taxpayers have spent $739 million preparing for the eventual construction, according to figures tabled with parliament. Australia and the United Kingdom also plan to purchase the Type 26. But the first ship, destined for the U.K., has yet to be completed. The Canadian government originally said it would only accept a winning bid based on a mature existing ship design or a ship already in service with other navies. That would eliminate technical risk, as the design would be a known and tested commodity. The Type 26 carries extra risk as its design has not yet been proven. Williams said Canada could build an initial three Type 26 ships and then purchase other warships based on a proven design at a much reduced cost. Copyright Postmedia Network Inc., 2021 https://www.thechronicleherald.ca/news/canada/dnd-unable-to-say-exactly-when-delays-in-70-billion-warship-program-began-552869/

  • The Canadian Space Agency Announces the FAST 2019 Opportunity

    August 6, 2019 | Local, Aerospace

    The Canadian Space Agency Announces the FAST 2019 Opportunity

    CSA FAST Program. Credit: Canadian Space Agency. Facebook Twitter Stumbleupon LinkedIn Today the Canadian Space Agency announced the Flights and Fieldwork for the Advancement of Science and Technology (FAST) 2019 opportunity. According to the Canadian Space Agency the FAST program supports “research projects of Canadian universities and post-secondary institutions that will contribute to the development of new scientific knowledge and space technologies, while making it possible for students to acquire hands-on experience in space-like missions.” The last FAST program awards were in 2017 where $6.2 million was awarded for 31 projects. In this FAST program announcement the expected budget is $3.5 million going to approximately 19 awards. The maximum duration for the grants is three years. For FAST 2019 the grants will be awarded in two categories; Category A: Maximum grant of $300,000 for a maximum duration of three years for an end-to-end space-like mission project that includes the development or improvement of a technology, use of the technology during a flight or field or research site deployment, and data collection and analysis; the maximum amount available per year is $150,000. Those familiar with the program and interested in applying for Category A should be aware that FAST 2019 appears to be a merging of FAST 2017 Category A and B with the resulting median award of $300,000 being the new ceiling for grants. Category B: Maximum grant of $100,000 for two or three years, for a small space-related research project; the maximum amount available per year is $50,000. Category B is what Category C was in FAST 2017. The application deadline is October 18, 2019, 1:00 pm ET. http://spaceq.ca/the-canadian-space-agency-announces-the-fast-2019-opportunity/

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