25 septembre 2018 | Local, Naval
By BEATRICE PAEZ
Some industry observers say there are rumblings that the multibillion-dollar announcement on the Canadian Surface Combatant could happen in a few weeks' time, but Defence Minister Harjit Sajjan says he hopes a decision will be announced on the design by 'the end of the year.'
Ottawa could be close to settling on the winning bid for the $60-billion procurement of multi-purpose vessels that will form the backbone of the Canadian Navy, with rumours swirling that a decision could come in a few weeks' time, although Defence Minister Harjit Sajjan says the government will announce it by the end of the year.
Some industry observers have heard rumblings that the multibillion-dollar announcement on the Canadian Surface Combatant (CSC) project, the biggest procurement in the federal government's history, could happen as early as the upcoming defence and aerospace convention in Halifax, otherwise known as DefSec, slated for Oct. 2-4.
Asked if the government plans to announce the winner in Halifax, Byrne Furlong, press secretary to Mr. Sajjan (Vancouver South, B.C.) said, the minister would be attending the convention as he does every year. Mr. Sajjan, in an interview with The Hill Times earlier this month said, the preferred bidder will be named by the end of the year.
“We wanted to make sure that we gave industry enough time so that the right bid process is done correctly and we're hoping that by the end of this year, we will be able to make the announcement and a selection will be made on the design,” Mr. Sajjan said in a phone interview on Aug. 29.
Three companies are competing to help deliver 15 warships over the next 25 years. Those ships will eventually replace Canada's aging fleet, namely, the 12 Halifax-class frigates and the four Iroquois-class destroyers, which have been decommissioned. In its entirety, the CSC project is estimated to cost between $56-billion and $60-billion.
The cure process—a chance for the contenders to adjust their bids to fit the government's criteria—wrapped up in July.
“I don't expect there to be another cure process. I think they've got a decision ready to go,” said Brian Botting, principal at Earnscliffe Strategy Group. He added there are rumours suggesting the “evaluation has been completed, and it's a matter of getting the right announcement put together,” while noting that the chance of there being an announcement is 50-50. Mr. Botting is a defence-industry consultant, whose client, Naval Group, submitted a bid outside the competitive process. The bid was rejected.
DefSec is a major attraction in defence circles, and unveiling the winner in that venue would be a good play, from a communications perspective, Mr. Botting said.
Still, one observer said that Mr. Sajjan's noncommittal response on the precise timing of the announcement leaves the department some wiggle room.
Dave Perry, vice-president and senior analyst at the Canadian Global Affairs Institute, said he'd be surprised if the government had chosen a winner by then.
The preferred bidder will work with Irving Shipbuilding, which won a separate competition to build the 15 ships in the company's Halifax shipyard.
Three bidders are competing to supply the ships' design: a coalition that includes shipbuilder BAE Systems, Lockheed Martin, and L3 Technologies; Alion Science and Technology; and Navantia, a state-owned corporation in Spain.
Mr. Botting said that BAE Systems' Type 26 frigate appears to have an edge over the other two companies, thanks to the support it enjoys in the navy ranks, “There's a lot of supporters of Type 26 in the navy. It's not that much different than what the royal navy operates on. ... We tend to have a strong focus on submarine warfare, which this ship operates as.”
Type 26 is under construction in the U.K. for its navy and would be the first of its class. Construction under the CSC program is expected to start in the mid-2020s. That the navies of Canada and the U.K. face similar environments and needs makes for a compelling case in Type 26's favour, even in the face of criticism that BAE and Lockheed Martin's offer is still a design on paper, according to Mr. Botting. In addition to landing a contract with the U.K., BAE was also selected by Australia to build a new generation of warships.
Multiple requests for an interview with Lockheed Martin's executive were declined. A company spokesperson touched base with The Hill Times briefly on background.
In contrast, one of Alion's biggest selling points, as characterized by the company's chief operating officer, Bruce Samuelson, is that the company's offer is a “proven, off-the-shelf design” and does not carry the risks of going with a new design.
Unlike its competitors, Alion is not in the business of making products, but rather it takes a “vendor-agnostic” approach as an integrator. That means that, as the designer and engineering firm, Alion works to select the different components, from the sensors to the combat-management system, which make up the ship through what's available in the marketplace.
“The reason you'd buy straight off the shelf is like going to a car lot and buying a car. You know exactly what you're getting,” said Mr. Samuelsen. “Why do you change it a little bit? Because you have slightly different needs, but you really want to take advantage of what everyone else has done for that car.”
The anchor to its overall design is the De Zeven Provinciën-class frigate, which has been in service in the Dutch navy for more than a decade. Damen Schelde Naval Shipbuilding, the Netherlands-based company, has had experience tucking under another shipyard to produce its design, said Mr. Samuelsen. The winning subcontractor will have to work with Irving.
When the warship is eventually built it will resemble a mini-city. The ship has to have the trappings of a town: there has to be a functional sewage system, provide food, shelter, medical care, and at the same time, it has to be built to respond to the hostile environment that is the ocean, said Mr. Samuelsen.
Navantia's proposal, which is a partnership with Saab Australia and CEA Technologies, is also based on an existing model, the F-105 frigate. Seven are in service with the Spanish and Australian navy, and there are five “smaller variants” in the Norwegian navy, according to the company.
In an email response to The Hill Times, Emiliano Matesanz Sanz, the company's business development manager, said Navantia is in the “best position to face the challenging task of working with the local industry,” given that it has operated in a similar scenario as the one set up under the CSC project. Its ship was built in a new shipyard in Australia, by ASC. Two frigates have, so far, been delivered, Mr. Matesanz Sanz said.
(Navantia initially agreed to a phone interview, but said due to the sensitivity of the file, an email Q&A was the only possible option.)
The government had initially stated a preference for a mature design—one that was already in operation in a NATO country, for example—to mitigate the risks of cost overruns that could, for example, tie up production. But the government appeared to have been convinced by the team behind Type 26 to consider its bid because it changed the parameters for considering bids, said Mr. Botting.
Due to inflation, for every year of delay, the program is projected to cost $3-billion or more, according to the Parliamentary Budget Officer.
If going with an untested design carries more risks, why would Canada potentially sweep those concerns aside?
Part of the answer lies in the argument that while there isn't a “physical ship in the water” yet, Type 26 stands to have “some of the most modern technology,” said Mr. Perry. The chance to hold the intellectual property rights to the design is also cited as a possible point in its favour.
“People would make the argument that if you have a ship that hasn't sailed and been tested yet, you can offer up the IP, because you don't have an understanding of what its full value is. Whereas if you have something that's more of a known quantity, you can put whatever premium you want on it,” he added.
Conflict-of-interest concerns flared up in late 2016 when it was announced that Irving Shipbuilding planned to work with BAE Systems to bid on a $5-billion contract to provide maintenance and support for Arctic patrol vessels and resupply ships, according to a CBC report, while BAE was pursuing the CSC project that Irving is involved in overseeing. Both Irving and Ottawa said at the time that they have taken steps to ensure the process is fair.
Mr. Perry dismissed conjectures that suggest changes to the bidding process have been made with the “explicit goal” of giving Type 26 the upper hand. “I don't think that's accurate. Because that's not the way the procurement system is set up. What the government has done is to try and make this environment as competitive as possible,” he said. “But you can never totally level the playing field. ... Some bids are always gonna be better than others in different respects.”
Billed as the most-complex, most-expensive procurement on record in Canadian history, CSC, and more broadly, Canada's shipbuilding strategy, has raised questions about whether the country has chosen the right approach in preserving its shipbuilding culture over working to develop the high-tech side of the business.
“We protected the lower-tech end of the business and not the higher-tech [end]. All the missile systems, sensors, all that stuff is being imported and assembled at the Irving yard,” Mr Botting said. “It's a different way of approaching it. The U.K. is slowly getting out of that business, but it's painful when you close down a yard.”
https://www.hilltimes.com/2018/09/24/feds-closing-winning-bidder-60-billion-warship-project/169844
26 septembre 2022 | Local, Aérospatial
The government announced in 2016 it was purchasing 16 C-295 aircraft for fixed-wing search and rescue, but the first planes won’t be operating until 2025 or 2026.
9 janvier 2019 | Local, Naval, Sécurité
DAVID PUGLIESE, OTTAWA CITIZEN The Canadian International Trade Tribunal is recommending a review of key performance requirements used in the procurement of two emergency towing vessels for the west coast. Heiltsuk Horizon, a partnership of majority partner Heiltsuk Nation of Bella Bella, British Columbia and Horizon Maritime Services Limited, a Canadian marine services company, complained to the CITT in August that the winning supplier did not meet important safety requirements of the tender process. The CITT has recommended Public Services and Procurement Canada re-evaluate some of its mandatory requirements and that no further expenditure under the contact be undertaken. However, the tribunal also recommended that the contract remain with the winning bidder, Atlantic Services Limited/Atlantic Towing, until the evaluation can be completed. In August, the federal government announced the firm had been awarded a three-year contract worth $67 million for the lease of two emergency offshore towing vessels that would operate in the waters off the coast of British Columbia. The vessels were to be capable of towing large commercial ships in distress, such as tankers and container ships, before they get too close to shore, according to the federal government. As part of the contract, the firm, which is an Irving company, would also provide training in offshore emergency towing to Canadian Coast Guard personnel and partners, including Indigenous communities, involved in marine safety. But Heiltsuk Horizon challenged that award, pointing out that the contract was awarded without the required proof the vessels met the mandated towing power. The firm welcomed the CITT ruling. “From day one, we stated the procurement process was flawed,” Chief Councillor Marilyn Slett, Heiltsuk Nation, Bella Bella, BC, said in a statement Tuesday. In a letter to Heiltsuk Horizon, the CITT recommends Public Services and Procurement Canada reevaluate the “bollard pull” (towing power) of the vessels in all bids received. The CITT also awarded Heiltsuk Horizon costs incurred in submitting the complaint. In a statement late Tuesday, Public Services and Procurement Canada noted it is currently reviewing the CITT's reasons and recommendations in order to determine its next steps. “The contract with Atlantic Towing remains in place,” it added. “Given the importance of the services provided by the Emergency Offshore Towing Vessels in the context of Canada's Oceans Protection Plan, these services will continue. It is important to note that one of the two vessels has already been used in an emergency situation.” Mary Keith, vice president of communications for Irving, issued a statement from Atlantic Towing, pointing out that the tribunal did not declare the firm's bid non-compliant. “This is good news and reaffirms the integrity of the rigorous and transparent award process by PWGSC that also involved a third party fairness monitor,” the statement added. “The Tribunal has requested verification of one item and we are confident in our full compliance. The Bollard Pull on our vessels are verified and certified by one of the world's leading marine certification companies.” https://ottawacitizen.com/news/national/defence-watch/trade-tribunal-calls-for-review-of-west-coast-vessel-contract
23 mai 2019 | Local, Naval
QUÉBEC, le 22 mai 2019 /CNW/ - Toute la population du pays compte sur la Garde côtière canadienne pour protéger les équipages et notre environnement, et pour assurer le mouvement sécuritaire et efficace des navires qui contribuent grandement à la prospérité de notre économie. Après l'annonce faite par le premier ministre Justin Trudeau plus tôt aujourd'hui, l'honorable Jean-Yves Duclos, ministre de la Famille, des Enfants et du Développement social et député de la circonscription de Québec, s'est rendu sur le quai de la Reine, à Québec, pour parler des futurs investissements du gouvernement du Canada en vue de renouveler la flotte de la Garde côtière canadienne, et de faire construire jusqu'à 18 nouveaux grands navires dans des chantiers navals canadiens. Gr'ce à ces nouveaux b'timents, la Garde côtière pourra continuer d'offrir aux Canadiens et aux Canadiennes des services de première importance. Les partenaires du Canada retenus dans le cadre de la Stratégie nationale de construction navale (SNCN), Irving Shipbuilding d'Halifax (Nouvelle-Écosse) et Vancouver Shipyards de Seaspan (Colombie-Britannique), construiront les nouveaux navires. Irving Shipbuilding d'Halifax construira deux nouveaux navires de patrouille extracôtiers et de l'Arctique, qui seront adaptés aux besoins de la Garde côtière pour accomplir une panoplie de missions essentielles, y compris les patrouilles de l'Organisation des pêches de l'Atlantique Nord-Ouest. Vancouver Shipyards de Seaspan construira jusqu'à concurrence de 16 navires polyvalents devant servir à diverses missions, dont les services de brise-glace léger, d'intervention environnementale et de recherche et sauvetage en haute mer. De plus, le gouvernement du Canada investira dans la prolongation de vie, le radoub et l'entretien de navires, des travaux qui seront confiés à des chantiers navals partout au Canada, y compris au Québec. Ainsi, la flotte de la Garde côtière actuelle pourra continuer d'assurer les services essentiels de recherche et sauvetage et d'intervention environnementale pendant que les nouveaux navires seront en construction. Malgré les sommes investies pour entretenir les navires de la Garde côtière, ceux-ci en arriveront néanmoins à la fin de leur vie utile, et il faudra d'autres navires pour renouveler comme il se doit la flotte de la Garde côtière. Afin de répondre aux futurs besoins en construction navale, d'attirer des personnes talentueuses et d'offrir de bons emplois dans diverses collectivités, le gouvernement du Canada ajoutera un troisième chantier naval canadien, à titre de partenaire dans le cadre de la SNCN. Le gouvernement du Canada mettra en œuvre un processus concurrentiel pour sélectionner ce troisième chantier dans les prochains mois. Citations « La Garde côtière canadienne sauve des vies en mer, assure la sécurité du transport maritime, soutient une économie autrement paralysée par les emb'cles, protège l'environnement marin et appuie la souveraineté et la sécurité du Canada. Étant donné la croissance du commerce maritime et les changements climatiques dont nous ressentons déjà les effets, la demande pour les services de la Garde côtière canadienne continuera de croître. Le renouvellement de la flotte de la Garde côtière garantit la confiance des Canadiens et des secteurs qui comptent sur les services de la Garde côtière pour demeurer concurrentiels. » L'honorable Jonathan Wilkinson Ministre des Pêches, des Océans et de la Garde côtière canadienne « La Stratégie nationale de construction navale est la bonne approche à adopter pour garantir le soutien de la Garde côtière, de la Marine et des activités maritimes au moyen de navires modernes. En plus d'assurer une adaptation pour répondre aux besoins changeants du gouvernement fédéral en matière de construction navale, la Stratégie permet de créer des emplois, de générer des avantages et de la prospérité pour les collectivités de tout le Canada, ainsi que d'appuyer un secteur maritime durable. Nous demeurons fermement résolus à suivre la Stratégie et, pour en assurer le succès à l'avenir, nous poursuivrons notre étroite collaboration avec nos partenaires de construction navale. » L'honorable Carla Qualtrough Ministre des Services publics et de l'Approvisionnement et de l'Accessibilité « La Garde côtière canadienne offre des services essentiels en assurant la sécurité de la navigation dans nos cours d'eau, notamment le fleuve Saint-Laurent et le fjord du Saguenay. L'annonce d'aujourd'hui est particulièrement importante, car le gouvernement reconnait que nous devons ajouter un troisième chantier à la Stratégie nationale de construction navale. Il s'agit d'un changement majeur qui permettra au Chantier Davie de participer au processus pour sélectionner ce troisième chantier dans les prochains mois. De plus, l'annonce de 2 milliards de dollars pour la prolongation de vie, le radoub et l'entretien de navires est une excellente nouvelle pour les chantiers navals du Québec, qui pourront obtenir de nombreux contrats. » L'honorable Jean-Yves Duclos Ministre de la Famille, des Enfants et du Développement social Les faits en bref La Garde côtière canadienne fournit des services essentiels de recherche et sauvetage, d'intervention environnementale et de déglaçage dans la région du Centre et de l'Arctique, avec plus de 1 400 employés et une flotte de 18 navires et 6 hélicoptères. Les centres de commandement en recherche et sauvetage dans la région du Centre et de l'Arctique (secteurs du Saint‑Laurent et des Grands Lacs) reçoivent plus de 5 600 appels par année. En 2018, le Programme d'intervention environnementale du Centre et de l'Arctique de la Garde côtière a reçu 1 370 rapports de pollution, principalement des cas de pollution par un navire. La Garde côtière canadienne supervise également les opérations de déglaçage en hiver le long du fleuve Saint‑Laurent et dans le golfe du Saint-Laurent. Au printemps, la Garde côtière aide à dégager les glaces sur la voie maritime entre Montréal et les Grands Lacs, une opération qui permet aux navires commerciaux d'entrer et de sortir des ports de façon sécuritaire et efficace. Son aéroglisseur aide au déglaçage printanier d'une quinzaine de rivières, principalement au Québec. Le coût total des 18 nouveaux grands navires est de 15,7 milliards de dollars, ce qui correspond à l'estimation préliminaire des budgets de projets, y compris les coûts de construction, de logistique et de soutien, des éventualités, de gestion de projet et d'infrastructure. Le coût de chacun des navires sera annoncé une fois que les contrats auront été négociés. De surcroît, le gouvernement procédera, par l'entremise d'un processus concurrentiel, à la conception d'une nouvelle classe de navires plus petits, le navire semi-hauturier polyvalent, qui sera un complément à la flotte de grands navires, car il servirait à des missions en eau peu profonde et à des activités scientifiques semi-hauturières. Des travaux de réparation, de radoub et de prolongation de la durée de vie des navires seront effectués sur la flotte existante jusqu'à ce que les nouveaux navires soient livrés, et plus de 2 milliards de dollars seront investis sur une base concurrentielle à cette fin. Outre le financement destiné à la construction de navires, le gouvernement du Canada consacre 351,3 millions de dollars pour renforcer, sur une base permanente, les capacités de la Garde côtière canadienne, notamment en améliorant la supervision de la gestion et en faisant la promotion de l'innovation écologique. À ce jour, le gouvernement du Canada a conclu des contrats de plus de 11 milliards de dollars dans le cadre de la SNCN dans l'ensemble du pays. De cette somme, environ 1,6 milliard de dollars, ou 16 %, ont été versés à des entreprises au Québec. https://www.newswire.ca/fr/news-releases/renouveler-la-flotte-de-la-garde-cotiere-canadienne-et-offrir-d-importants-services-a-la-population-canadienne-870410190.html