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  • Boeing surprised Canada changed rules of jet competition to allow Lockheed Martin bid

    May 31, 2019 | Local, Aerospace

    Boeing surprised Canada changed rules of jet competition to allow Lockheed Martin bid

    David Ljunggren OTTAWA (Reuters) - Boeing Co is surprised Canada softened the rules of a competition for new fighters to allow Lockheed Martin Corp to submit a bid, but is still confident it has a chance, a top executive said on Wednesday. Following a U.S. complaint, Ottawa this month said it planned to drop a clause stipulating that bidders in the multibillion dollar race to supply 88 jets must offer a legally binding guarantee to give Canadian businesses 100% of the value of the deal in economic benefits. The original clause would have excluded Lockheed Martin's F-35 fighter, the plane the Canadian air force wants. The contract is worth between C$15 billion and C$19 billion ($11.1 billion to $14.1 billion). “I was surprised by the recommended change ... why would you deviate from a policy that's been so successful to accommodate a competitor?” said Jim Barnes, the Boeing official in charge of trying to sell the company's F-18 Super Hornet jet to Canada. The change in the rules around economic benefits was the latest wrinkle in a decade-long troubled-plagued effort to replace Canada's CF-18 jets, some of which are 40 years old. The final list of requirements for the new fleet of jets is due to be issued in July. “Right now we feel like we can put a very compelling offer on the table even with this change,” Barnes told reporters on the margins of a defense and security conference in Ottawa. Innovation Minister Navdeep Bains - in overall charge of the benefits aspect of procurement - said in response to Barnes's comment that Ottawa would ensure the competition was fair. Compelling bidders to offer watertight guarantees of economic benefits contradicts rules of the consortium that developed the F-35, a group to which Canada belongs. Boeing is offering a binding commitment and Barnes said the firm would stress to Canadian officials the potential economic disadvantages of entertaining a non-binding bid. An official from Sweden's Saab AB, another contender, told reporters that Canadians could lose out by ignoring contenders that had made firm investment commitments. “I am concerned that the ability to respond to a non-binding environment may not necessarily give Canadians the best value at the end of the day,” said Patrick Palmer, head of sales and marketing for Saab Canada. Airbus SE, the fourth firm in the race, declined to comment. Reporting by David Ljunggren; Editing by Susan Thomas https://www.reuters.com/article/us-canada-fighterjets/boeing-surprised-canada-changed-rules-of-jet-competition-to-allow-lockheed-martin-bid-idUSKCN1SZ2AA

  • Renewing Canadian Coast Guard fleet and delivering important services for Canadians

    May 23, 2019 | Local, Naval

    Renewing Canadian Coast Guard fleet and delivering important services for Canadians

    QUÉBEC, May 22, 2019 /CNW/ - Canadians across the country rely on the Canadian Coast Guard to protect mariners and our environment, and to ensure the safe and efficient movement of ships that are key to our vibrant economy. Following an announcement by Prime Minister Justin Trudeau earlier today, the Honourable Jean-Yves Duclos, Minister of Families, Children and Social Development and Member of Parliament for Québec, visited Quai de la Reine in Québec to highlight the Government of Canada's new investments to renew the Canadian Coast Guard fleet and to provide up to 18 new large ships to be built in Canadian shipyards. These new vessels will help the Coast Guard continue to deliver its important services for Canadians. Canada's partners for large ship construction under the National Shipbuilding Strategy (NSS), Irving Shipbuilding of Halifax, Nova Scotia, and Seaspan's Vancouver Shipyards in British Columbia, will build the new ships. Irving Shipbuilding will build two new Arctic and Offshore Patrol Ships, which will be adapted for the Coast Guard to perform a range of critical missions, including Northwest Atlantic Fisheries Organization patrols. Seaspan's Vancouver Shipyards will build up to 16 Multi-Purpose Vessels to support a variety of missions, including light icebreaking, environmental response, and offshore search and rescue. In addition, the Government of Canada is investing in vessel life extensions, refits and maintenance work at shipyards throughout Canada, including in Quebec, so the current Coast Guard fleet can continue delivering critical search and rescue and environmental response services while the new ships are being built. Even with investments in maintenance, Coast Guard ships will eventually reach the end of their service lives, and more ships will be needed to fully renew the Coast Guard fleet. To support future shipbuilding requirements, and attract more talent and good jobs to our communities, the Government of Canada intends to add a third Canadian shipyard as a partner under the NSS. The Government of Canada will move forward with a competitive process to select the third shipyard in the coming months. Quotes "The Canadian Coast Guard saves lives at sea, maintains safe shipping, enables an otherwise ice-choked economy, protects the marine environment and supports Canadian sovereignty and security. With increasing shipping trade and the impacts of climate change already upon us, demands on Canada's Coast Guard will continue to grow. A renewed Coast Guard fleet ensures the confidence of Canadians and the confidence of industries that rely on Coast Guard services to remain competitive." The Honourable Jonathan Wilkinson Minister of Fisheries, Oceans and the Canadian Coast Guard "The National Shipbuilding Strategy is the right approach to ensure our Coast Guard, Navy and marine activities are supported by modern vessels. In addition to adapting to meet evolving federal shipbuilding requirements, the Strategy is creating jobs, generating benefits and prosperity in communities across Canada, and supporting a sustainable marine sector. We remain firmly committed to the National Shipbuilding Strategy, and will continue to work closely with our shipbuilding partners to continue its success into the future." The Honourable Carla Qualtrough Minister of Public Services and Procurement and Accessibility "The Canadian Coast Guard offers vital services while ensuring safety in the navigation of our waterways, particularly the St. Lawrence River and the Saguenay Fjord. Today's announcement is especially important since the government recognizes that we must add a third shipyard to the National Shipbuilding Strategy. This is a major change that will allow Chantier Davie to participate in the process of selecting a third shipyard in the coming months. Also, the announcement of $2 billion to prolong the life, refit and maintenance of ships is excellent news for shipyards in Quebec, allowing them to obtain numerous contracts." The Honourable Jean-Yves Duclos Minister of Families, Children and Social Development Quick facts The Canadian Coast Guard provides critical search and rescue, environmental response, and icebreaking services in the Central and Arctic region, with more than 1,400 employees, a fleet of 18 ships, as well as 6 helicopters. Search and rescue command centres in the Central and Arctic region (St. Lawrence and Great Lakes sectors) receive more than 5,600 calls annually. In 2018, the Coast Guard's Central and Arctic Environmental Response Program received 1,370 pollution reports, mainly cases of pollution from a vessel. The Canadian Coast Guard also oversees icebreaking operations in the winter along the St. Lawrence River and in the Gulf of St. Lawrence. In the spring, the Coast Guard helps to clear ice on the seaway between Montréal and the Great Lakes, an operation that allows commercial vessels to enter and exit ports in a safe and efficient manner. Its hovercraft help with spring icebreaking on about 15 rivers, mainly in Quebec. Total funding for the 18 new large ships is $15.7 billion, which represents early estimates of project budgets, including construction, logistics and support, contingency, project management and infrastructure costs. The costs of each ship will be announced following contract negotiations. The government will also proceed through a competitive process with the design of a new class of smaller ships, the Mid-Shore Multi-Mission Ship, which will complement the work of the large fleet in shallow areas and deliver mid-shore science activities. Repairs, refits and vessel life extension work will be carried out on the existing fleet until the new ships are delivered, with more than $2 billion to be invested on a competitive basis for this purpose. In addition to funding for shipbuilding, the Government of Canada is also providing $351.3 million to support ongoing Canadian Coast Guard capacity enhancements, such as strengthening management oversight and promoting green innovation. To date, the Government of Canada has awarded more than $11 billion in NSS-related contracts across the country. Of this value, approximately $1.6 billion, or 16%, has been awarded to companies in Quebec. https://www.newswire.ca/news-releases/renewing-canadian-coast-guard-fleet-and-delivering-important-services-for-canadians-862623694.html

  • Federal government to buy two more Arctic ships from Irving to prevent layoffs

    May 22, 2019 | Local, Naval

    Federal government to buy two more Arctic ships from Irving to prevent layoffs

    By Lee Berthiaume, The Canadian Press OTTAWA — Prime Minister Justin Trudeau is expected to announce Wednesday that the federal government is buying two more Arctic patrol ships on the top of the six it has already ordered from Halifax-based Irving Shipbuilding. However, unlike the first six ships, which are being built for the navy at a total cost of $3.5 billion, a government source said the seventh and eighth will be built for the Canadian Coast Guard. The source, who was not authorized to comment publicly, said the move is intended to address the Canadian Coast Guard's desperate need for new ships. Documents obtained by The Canadian Press earlier this year warned that more than a third of the coast guard's 26 large vessels have exceeded their expected lifespans — and many won't survive until replacements arrive. And that advanced age is already affecting the coast guard's ability to do its job, including reduced search-and-rescue coverage, ferry-service disruptions and cancelled resupply runs to Arctic and coastal communities. The second problem is the threat of layoffs, which Irving has long warned will happen unless the government fills a gap between when the last Arctic patrol ship is finished and construction on the navy's new $60-billion warship fleet, the source said. The government sought to address that gap in November when it ordered the sixth Arctic patrol vessel for the navy from Irving and agreed to pay the shipyard to slow production for a total cost of $800 million. Government officials at the time defended the high cost of that move, saying a third-party assessment commissioned by the government, which has never been made public, indicated it would cost even more to allow a gap to persist. "Ultimately what happens is the workforce gets laid off, you rehire people, it's not the same people so you're retraining, and then you have this learning curve," Patrick Finn, the Defence Department's head of procurement, said in January. "From some of the data we've run, doing what we've done, if we don't do it, we're probably going to pay that much money anyways in inefficiencies and get nothing for it. So the analysis shows that this is really a prudent way forward." Even then, federal bureaucrats and Irving both warned more would need to be done as even with those measures, there was still the threat of an 18- to 24-month gap between construction of the two fleets. Lee Berthiaume, The Canadian Press https://www.nationalnewswatch.com/2019/05/21/federal-government-to-buy-two-more-arctic-ships-from-irving-to-prevent-layoffs-2/#.XOVcKshKiUm

  • Gentec will be able to increase its productivity and continue its expansion

    May 22, 2019 | Local, C4ISR

    Gentec will be able to increase its productivity and continue its expansion

    Gentec Inc. is a technology SME specializing in high-power electronics and electrical energy management. To continue its operations more effectively, it will receive a repayable contribution of $500,000 from Canada Economic Development for Quebec Regions. With this financial assistance, Gentec will be able to complete an expansion project to increase its productivity and modernize its operations by acquiring state-of-the-art equipment. The funding was announced today by Joël Lightbound, Member of Parliament for Louis-Hébert and Parliamentary Secretary to the Minister of Finance. More specifically, the Government of Canada's assistance will support Gentec's growth, as well as its project to purchase and install equipment required for the assembly of electronic components on printed circuits. Founded in 1959, Gentec Inc. specializes in the design, manufacture and marketing of customized solutions and products. A team of about 70 employees is dedicated to the manufacture and assembly of electronic and electrical products. Its electronic circuit assembly service is also sub-contracted to a large number of companies. Gentec employs a total of nearly 130 people. It expects the current project to create five jobs and total investments of more than $1.3 million. The Government of Canada is committed to supporting innovative Canadian businesses. A driving force of the economy, innovation is the key to success because it generates growth that benefits both businesses and communities. This is why we are committed to ensuring that businesses are able to rely on adequate resources to create and market innovative products. https://www.canada.ca/en/economic-development-quebec-regions/news/2019/05/gentec-will-be-able-to-increase-its-productivity-and-continue-its-expansion.html

  • C2MI ET VARITRON INAUGURENT LE PREMIER CENTRE DE FABRICATION DE POINTE AU CANADA CONSACRÉ À L’ASSEMBLAGE DE CARTES ÉLECTRONIQUES ET À L’ÉLECTRONIQUE IMPRIMÉE

    May 22, 2019 | Local, Other Defence

    C2MI ET VARITRON INAUGURENT LE PREMIER CENTRE DE FABRICATION DE POINTE AU CANADA CONSACRÉ À L’ASSEMBLAGE DE CARTES ÉLECTRONIQUES ET À L’ÉLECTRONIQUE IMPRIMÉE

    C2MI et Varitron inaugurent le premier centre de fabrication de pointe au Canada consacré à l'assemblage de cartes électroniques et à l'électronique imprimée Bromont et Saint-Hubert (Québec), 17 mai 2019 – C2MI etVaritron sont fières d'annoncer officiellement l'ouverture du premier centre de fabrication de pointe au Canada consacré entièrement à l'assemblage de cartes électroniques et à l'électronique imprimée. Établi dans le centre de recherche de C2MI à Bromont, le centre de fabrication de pointe sera doté des équipements à la fine pointe utilisés dans les domaines de l'électronique imprimée, de l'assemblage de circuits, de la nanoprotection et des techniques de refroidissement avancées ainsi que d'une chaîne d'approvisionnement intégrée qui permettra une fabrication à grande échelle. Cette annonce a été faite dans le cadre du CPES2019, le plus important congrès canadien sur l'électronique imprimable, flexible et hybride, organisé par intelliFLEX à Bromont les 16 et 17 mai derniers. Des installations uniques pour accélérer le développement des technologies émergentes L'objectif de ces nouvelles installations est de veiller à ce que des entreprises de tous les segments de marché demeurent des fournisseurs de premier plan par leurs capacités à offrir de nouveaux produits, de nouvelles possibilités et de nouvelles applications, restant ainsi à l'avant-garde du processus de l'offre et de la demande. Des équipes hautement qualifiées composées d'experts et de scientifiques chevronnés provenant de l'industrie et du milieu universitaire aideront les entreprises dans leur développement de produits et leur processus de conception, tout en continuant de se concentrer sur des cibles de production à grande échelle pour les diverses solutions qu'elles proposent. Les entreprises pourront avoir accès à des services à la carte ou proposer des technologies qui n'ont pas encore été testées ou développées en utilisant un éventail de services allant de la conception à la commercialisation. La Politique des retombées industrielles et technologiques (RIT) est un incitatif significatif pour les entreprises étrangères qui choisiront d'utiliser les services du centre de fabrication de pointe puisque cette politique exige que les entreprises à qui l'on octroie des contrats dans le domaine de la défense exercent leurs activités au Canada. Le projet du centre de fabrication de pointe, qui représente un investissement total de 6,5 M$, a pu être réalisé gr'ce à la collaboration scientifique de l'Université de Sherbrooke et de Varitron, ainsi qu'au financement du Ministère de l'Économie et de l'Innovation du Québec de l'ordre de 3 M$, du C2MI pour 2,1 M$ ainsi qu'aux fournisseurs d'équipement qui ont contribué jusqu'à 1,4 M$ en capacités à valeur ajoutée. « Le centre de fabrication de pointe jouera un rôle déterminant pour que les entreprises canadiennes demeurent en tête de peloton de la concurrence en accélérant le développement de solutions et de produits novateurs afin que ces derniers soient commercialisés plus rapidement. En tant que centre de recherche et de développement, l'un de nos objectifs principaux est de veiller à ce que nos installations soient dotées d'équipements qui assureront la compétitivité de nos clients et de nos membres, peu importe le secteur industriel dans lequel ils évoluent », a indiqué Normand Bourbonnais, chef de la direction de C2MI. « Ce centre de fabrication de pointe est une étape importance pour s'assurer que l'écosystème d'innovations a accès à des installations et des équipements de pointe et à la plus récente expertise scientifique pour accélérer son développement technologique », a dit Michel Farley, président et chef de la direction de Varitron. « Après plus de quatre ans de planification et de peaufinage, Varitron est fière de voir ce projet se concrétiser. » http://www.c2mi.ca/communique-de-presse/c2mi-et-varitron-inaugurent-le-premier-centre-de-fabrication-de-pointe-au-canada-consacre-a-lassemblage-de-cartes-electroniques-et-a-lelectronique-imprimee/

  • Mobilizing Insights in Defence and Security (MINDS)

    May 22, 2019 | Local, Aerospace, Naval, Land, C4ISR, Security, Other Defence

    Mobilizing Insights in Defence and Security (MINDS)

    Policy Direction: Strong, Secure, Engaged Strong, Secure, Engaged recognizes that collaboration with academia and other experts strengthens the foundation of evidenced-based policy-making. To that end, it provides direction to increase annual investment in a revamped and expanded defence engagement program. The Mobilizing Insights in Defence and Security (MINDS) program answers this call. Building on Success MINDS builds on the successful Defence Engagement Program (DEP), expanding the program thoughtfully, with an end result that is not just bigger, but better. Consultations have been at the heart of these renewal efforts. They started with the Defence Policy Review and have continued through ongoing dialogue with experts across the country. The DEP effectively helped the Defence Team access external advice through its Expert Briefing Series and Targeted Engagement Grant program. These successful program elements will continue. A New Approach to External Engagement Expanding on the DEP, MINDS delivers a program that: Responds to the need for relevant and timely advice from defence and security experts; Fosters the next generation of experts and scholars; and, Contributes to Canadians understanding of defence and security issues. However, MINDS provides even greater opportunities for collaboration between the Defence Team and the defence and security expert community. There are five key pillars of MINDS: Expert Briefing Series, Targeted Engagement Grants, Collaborative Networks, Scholarships, and a Rapid Response Mechanism. Each offers a different means for the Department of National Defence and the Canadian Armed Forces to access relevant, timely expertise that incorporates a diversity of viewpoints and provides well-rounded advice. The program is committed to reflecting key Government of Canada priorities in the work it delivers, ensuring the incorporation of Gender Based Analysis Plus (GBA+) and supporting Indigenous reconciliation and youth engagement. Defence Team Collaboration MINDS is different from, but complementary to, the Innovation for Defence Excellence and Security (IDEaS) program, using different approaches to tackle defence and security challenges. While IDEaS advances critical solutions to challenges relating to applied capabilities and technology, MINDS is focused on policy thinking and the generation of knowledge in the public policy realm. Together, MINDS and IDEaS drive innovation and help address defence challenges. Strong, Secure, Engaged calls for concrete steps to enhance the Defence Team's ability to anticipate and understand threats, challenges and opportunities. Leveraging the expertise of Canada's defence and security expert community through MINDS is central to meeting this objective. https://www.canada.ca/en/department-national-defence/programs/minds.html

  • Defence Investment: Strong, Secure and Engaged

    May 22, 2019 | Local, Aerospace

    Defence Investment: Strong, Secure and Engaged

    By Jon Robinson What the RCAF gains in Canada's 20-year Defence plan A few straightforward statistics – among mountains of convincing data available to be pulled – describe Canada's need for its historically aggressive Strong, Secure, Engaged policy first introduced in mid-2017 for the Canadian Armed Forces. This includes the pending, marque procurement of a new-generational fighter fleet, given the age of Canada's current CF-188 Hornets first procured in 1983. What's more, the Canadian Armed Forces (CAF) pegs its responsibility as covering an area greater than 15 million square kilometres. Statistics from the Department of National Defence (DND) indicate approximately 600,000 aircraft enter and exit Canadian air-space annually, among some 4.3 million total flights, including 90,000 transpolar flights. There are 800,000 ship movements annually within Canadian waters, according to DND, and more than 8,000 search-and-rescue call outs per year. At the Canadian Aerospace Summit held in Ottawa in mid-November 2018, Brigadier-General Michel Lalumière shared these statistics on the opening slide of his presentation to members of the Aerospace Industries Association of Canada, along with succinct words about the importance of the Royal Canadian Air Force (RCAF): Canada's defence and security depends on air power – Geography determines; history proves it. From search and rescue (SAR) missions and disaster response to NORAD cooperation and NATO commitments, the RCAF in terms of spending allocation will be the biggest benefactor of Strong, Secure, Engaged (SSE) among all branches of the CAF. SSE is built on a 20-year horizon to meet more than 200 CAF objectives, but it is being driven by a significant, initial 10-year increase in defence cash spending from $18.9 billion in 2016/17 to $32.7 billion in 2026/27 – an increase of more than 70 per cent. The government of Canada's total defence spending over the next 20 years is projected to reach $553 billion on a cash basis. By 2024/25, defence spending in Canada will grow to 1.4 per cent of GDP, while the expenditure on major equipment will also reach 32 per cent, exceeding the NATO target of 20 per cent. These near-term projections are largely based on the timeline of CAF's Future Fighter Capability Project, targetting a commitment to acquire 88 advanced fighter aircraft with first deliveries anticipated in 2025. SSE is now organized under the government's Defence Investment Plan, which was made public for the very first time in late May 2018 by Defence Minister Harjit Sajjan. For continued transparency, the Investment Plan will be refreshed annually and approved by the Treasury Board every three years. RCAF investments The 20-year plan for the RCAF with new investments alone will reach $46.5 billion, which accounts for 49.4 per cent of the CAF's total spend of $93.9 on capital projects. This will be focused on what is described as 52 critical equipment, infrastructure and information technology projects. There are some discrepancies in the numbers with SSE being introduced in 2017 and the Investment Plan launching in 2018. The latter document pegs total spending on capital projects at around $107.9 billion, when also including services and goods, with $47.2 billion earmarked for the RCAF. The increase in capital project spending outlined in SSE is attracting the attention of domestic and international suppliers from every facet of aviation and aerospace; largely because the policy moves well beyond the Future Fighter program to touch on 16 other large projects, including: Acquiring space capabilities to improve situational awareness and targeting; integrating new command and communications systems; replacing air-to-air tanker transport, utility transport and multi-mission aircraft fleets; investing in medium-altitude remotely piloted systems; modernizing air-to-air missile capabilities; upgrading air navigation, management and control systems; acquiring new aircrew training systems; recapitalizing existing capabilities until the arrival of next-generation platforms; sustaining domestic SAR capabilities; and operationalizing the CAF's new fixed-wing SAR fleet. The majority of SSE spending on capital projects, when categorized by asset class under the Investment Plan, is earmarked for equipment, accounting for approximately $76.9 billion, followed by what the government labels as “other” at $14.1 billion; IM/IT at $12.1 billion; and infrastructure at $4.9 billion. As BGen Lalumière explains, the scope of SSE has developed a need for expansive Request for Proposals, including the first draft sent out in October 2018 for the Future Fighter program, inviting Boeing, Dassault, Eurofighter Jagdflugzeug GmbH, Lockheed and Saab to participate in the process. The formal RFP for Canada's Future Fighter program is expected to be released this spring, with a contract then awarded in 2021/22. “You need to fully understand the size of the challenge... by and large our geography can be described as four and a half time zones, or six and a half time zones depending how far out to sea, including the economic exclusive zones we care deeply about. We are 45 degrees of latitude north to south,” explains Lalumière. “When you are in defence you do not wait for what is fast and easy to come at your border. Of course, we look much further than this and [therefore] we are quickly interested in a quarter of the planet at all times.” In February 2019, the RCAF took delivery of two Australian F/A-18A Hornets, at 4 Wing Cold Lake, Alberta, as part of an interim measure until Canada's new fighter fleet is secured and delivered. Canada initially planned to buy 18 new Boeing Super Hornets, but scrapped that plan in late-2017 in favour of 18 Australian F-18 Hornets – expected to be delivered at regular intervals until the end of 2021. This is part of SSE policy to ensure Canada has mission-ready aircraft to meet domestic and international obligations. The move was also linked to political motivations following Boeing protests with the World Trade Organization (WTO) around unfair subsidies provided by the Canadian government to Bombardier for its CSeries aircraft program, now under majority control of Airbus and renamed as the A220 Series. This same logic, however, would place the Saab Gripen E/F bid in the Future Fighter program at a disadvantage after Brazil in 2018 registered its own WTO complaint around Bombardier subsidies. With Brazil's 2014 commitment to the Saab Gripen platform, Embraer became a major partner to manufacture the aircraft and to also help develop the two-seat F variant of the Gripen – with the E variant being the single seater. With Dassault's self-removal from the Future Fighter RFP (confirmed on November 8 by Agence France-Presse), the idea of WTO disputes impacting procurement would leave just one viable Future Fighter candidate in the Eurofighter Typhoon, but even this multi-nation platform (Airbus, Leonardo, BAE) would create complications considering newly proposed U.S. tariffs targetting civil aircraft from the European Union, specifically what the Office of the U.S. Trade Representative labels as launch subsidies given to Airbus and impacting Boeing. Given today's range of WTO aviation disputes, it becomes difficult to predict how political pressures of the day might influence Canada's Future Fighter RFP, particularly when the fleet is projected to last into the 2060s. Canada, as an early industrial partner of the F-35 Joint Strike Fighter Program, has not been immune from domestic pressures concerning its Future Fighter decision. Despite its participation in the F-35 program since 1997, Justin Trudeau's Liberal government in November 2015, just days after being elected into office, cancelled an order for 65 Lockheed Martin F-35 aircraft. The order was made in 2010 by Stephen Harper's Conservative government, which in 2012 was then accused of lying to Canadians about the cost of the F-35s. The Conservatives, according to the National Post (April 2012), pegged the cost at around $16 billion, including $9 billion for the aircraft and another $7 billion for maintenance and training, even as the government knew the true cost would be around $25 billion. In October 2018, however, The Globe and Mail reported Canada paid another $54 million toward development of the F-35 stealth fighter, bringing its total investment in the joint program to approximately half a billion dollars over the last 20 years. Participating in the program provides countries with access to supplier contracts and price reductions on the purchase of F-35 aircraft, which will ultimately be a major factor in determining which supplier wins the Future Fighter bid. From fighters to strategic transport On April 17, 2019, Lockheed Martin announced it has moved some F-35 suppliers to what it calls longer-term Performance Based Logistics contracts and Master Repair Agreements – beyond what had been one-year contracts – to improve supply and reduce costs. The F-35 Joint Program Office (JPO) states the F-35's newer production aircraft are now averaging greater than 60 per cent mission-capable rates. Lockheed Martin has reduced its portion of operating costs per aircraft by 15 per cent since 2015. The F-35 JPO goal is to deliver 80 per cent mission capable rates in the near term, and achieve a $25,000 Cost per Flight Hour by 2025. In April 2019, Inside Defense reported the F-35 JPO has been working with the prime contractor Lockheed Martin and engine-maker Pratt & Whitney to reduce the cost of the F-35A to $80 million by 2020. Inside Defense also reported that Lockheed Martin expects to increase production rates by 40 per cent in 2019 with the delivery of 131 F-35 aircraft. These projections are significant in that it aligns the initially expensive F-35 platform with the other Future Fighter contenders on both cost per flight hour and cost per unit. A primary difference between the Future Fighter contenders is that the F-35 is classified as a true fifth-generation fighter relative to fourth-generation platforms, which are sometimes noted as 4.5 generation based on potential upgrades. Fourth-generation fighters are naturally less expensive based on per-unit costs, but also raise concerns around upgrades and effectiveness against potential threats out to 2060, as Russia prepares to introduce the Sukhoi Su-57 in 2019 and China continues developing the Chengdu J-20 – both being fifth-generation fighters. The new SSE vision for Canadian defence translates Strong as Home, Secure as North America, and Engaged as World. The Secure portion of the policy outlines Canada's intent to eliminate threats in North America primarily through its NORAD partnership with the United States. Dassault noted Canada's extensive interoperability requirements with U.S. forces as a primary reason for its RFP withdrawal. The opening of the Arctic – and clear intentions from Russia and Nordic countries to gain control in the polar region – places more emphasis on developing defence capabilities in tandem with the U.S. But this cooperation can also be found in SSE surveillance and communications projects. SSE does not expressly account for a North Warning System Replacement, but it is on the table as a NORAD project. The Defence Investment Plan also holds a range of measures for improved sensors and control. BGen Lalumière in October describes these as SSE highlights, including the acquisition of new Tactical Integrated Command, Control and Communications, radio cryptography, and other necessary systems (Tic3Air), as well as upgraded air navigation management and control systems (MFATM); space-based development projects like the RADARSAT constellation mission; medium earth orbit search and rescue (MEOSAR); defence enhanced surveillance from Space (DESS-P); and Surveillance of Space 2 (SofS 2). Lalumière also points to SSE highlights directly affecting the future of CAF aircraft (around 350 among all current Canadia military fleets). The new Strategic Tanker Transport Capability project to replace the CC-150 and CC-130T is to provide a first draft proposal in 2027, although the CAF has expressed a desire to accelerate that timeline. The fixed-wing SAR C295W project expects to see its first proposal in 2019. The Utility Transport Aircraft project to replace the CC-138 Twin Otter is expected to begin in 2025 and the Canadian multi-mission aircraft project, to replace the CP140 Aurora, is expected in 2033. The timeline for the Remotely Piloted Aircraft System project for medium-altitude ISR & Strike capabilities is still to be determined, but companies are already positioning themselves to be a part of the process. The Cormorant Mid-Life Upgrade modernization project is currently ongoing and noted by Lalumière as a key part of SSE. The Future Fighter program also relates to major investments in training, defined in part as the Fighter Lead-In Trainer project. Current training is provided under contract with CAE for what is defined as NFTC (NATO Flying Training in Canada). The CFTS portion for advanced flight training of both multi-engine and rotary-wing is currently under contract with KF Aerospace. A third component for Air Combat Systems Operators and Airborne Electronic Sensor Operators is currently provided by 402 Squadron, which will be rolled into an overall SSE training project called Future Aircrew Training (FAcT). The CAF is clearly putting an emphasis people as the ultimate SSE ingredient to achieve its objectives. This includes programs around health and wellness, civilian life transition, tax relief and diversity. SSE targets an increase to the CAF's regular force by 3,500 personnel, as well as an increase of 1,500 in the reserve force. Approximately 12,000 personnel are currently in RCAF's regular force, as well as 2,100 reserves and 1,500 civilians. “People will be the limitation in our ability to move at this pace,” explains Lalumière. “Twenty years, 10 years happens very quickly when it is all dependent on people.” https://www.wingsmagazine.com/defence-investment-strong-secure-and-engaged/

  • Reflex Photonics will be able to pursue its growth

    May 21, 2019 | Local, C4ISR

    Reflex Photonics will be able to pursue its growth

    The Government of Canada awards $500,000 in funding to this highly innovative Greater Montréal business May 21, 2019 – Kirkland, Quebec – Canada Economic Development for Quebec Regions (CED) Reflex Photonics is a leader in the design, manufacturing and marketing of electronic optics and photonic products for the defence, aerospace and telecom sectors, and for data centres. It supplies rugged embedded transceivers for interconnection in harsh environments. This highly innovative company has posted impressive growth in recent years; in 2018, it invested over $2 million in research and development. To help it maintain its momentum, the company has been awarded a $500,000 repayable contribution from Canada Economic Development for Quebec Regions. This financial assistance will allow Reflex Photonics to acquire specialized state-of-the-art equipment, including an error rate tester and analysis software, as well as process automation equipment. The funding was announced today by the Member of Parliament for Lac-Saint-Louis, Francis Scarpaleggia. Specifically, this Government of Canada assistance will allow Reflex Photonics Inc. to meet the growing demand of prime contractors, increase its production and ensure better quality control of its products. With a total investment of almost $2 million, this project will also result in the creation of high-value jobs that will help increase economic opportunities for the middle class. The Government of Canada is committed to supporting innovative Canadian businesses. A driving force of the economy, innovation is the key to success because it generates growth that benefits both businesses and communities. This is why we are committed to ensuring that businesses are able to rely on adequate resources to create and market innovative products. Quotes “Support for high-tech companies helps strengthen the Canadian economy, maintain our international competitiveness and generate wealth. High-performing and forward-looking, Reflex Photonics unquestionably contributes to the economic growth of both Montréal and Canada as a whole, and creates jobs for the middle class.” Francis Scarpaleggia, Member of Parliament for Lac-Saint-Louis “Our government gives Canadians the means to become more competitive and to thrive in the global economy. The funding announced today for Reflex Photonics is in line with Canada's competitive advantages generated through this company's expansion project, and will boost economic growth.” The Honourable Navdeep Bains, Minister responsible for CED “We are privileged to have loyal, passionate and dedicated employees that have contributed immensely to the success of Reflex in the recent years. Certainly, our strategic partners, both clients and suppliers have also been a source of continuous motivation to develop new products and technology with high added value. I am also very honoured to lead Reflex, which is now recognized internationally as a leader in its industry. The investments from our financial partners, as well as the expansion of our head office, allow the company to continue its growth while adapting to the needs of the markets that we service.” Noël Dubé, President and CEO, Reflex Photonics Inc. https://www.canada.ca/en/economic-development-quebec-regions/news/2019/05/reflex-photonics-will-be-able-to-pursue-its-growth.html

  • Questions abound over ‘ugly’ defence procurement system following Mark Norman case

    May 14, 2019 | Local, Aerospace, Naval, Land, C4ISR, Security, Other Defence

    Questions abound over ‘ugly’ defence procurement system following Mark Norman case

    By NEIL MOSS Canada would be 'better served' if defence projects are overseen by a non-partisan body, says a retired Armed Forces colonel, who oversaw procurement and equipment management policy. https://www.hilltimes.com/2019/05/13/questions-abound-over-ugly-defence-procurement-system-following-mark-norman-case/199729

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