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Canada's new fleet of supply ships get hit by another delay
Now, the first joint support ship won't be delivered until at least 2025, while the second is supposed to arrive in 2027.
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Hundreds of billions in planned military spending ‘secure’ despite COVID-19: Sajjan
By Lee Berthiaume, The Canadian Press — Sep 15 2020
OTTAWA — Defence Minister Harjit Sajjan says hundreds of billions of dollars in planned spending for the military over the next two decades is "secure" despite the ballooning federal deficit to deal with COVID-19.
Fears have been rising in defence circles that the Liberals will look to the military's budget to rein in what is now projected to be a $343-billion deficit this year alone as the government keeps spending to help Canadians with the pandemic.
Those fears are based on past experience as the Canadian Armed Forces was hit by deep cuts when Ottawa struggled to balance the books during the 1990s and again in the early 2010s after the last economic downturn.
But Sajjan says the government has no intention of abandoning its defence strategy, unveiled in 2017 and known as Strong, Secure, Engaged (SSE), which included a plan to spend $553 billion on the military over 20 years. Much of that is to buy new equipment such as jets and warships.
"As we look into the future, we're not just going make a knee-jerk decision on where we're going," he said in an interview with The Canadian Press on the sidelines of this week's federal cabinet retreat.
"We're going do a very thorough analysis, just like we did in the past, make a good case about it and then make a decision of where we want to go. But absolutely, the SSE funding is secure. ... We're continuing on with SSE investments."
Sajjan argued that the pandemic, along with the growing number of natural disasters in Canada in recent years and mounting instability abroad, underscore the need for a strong Canadian Armed Forces more now than ever.
At the same time, he suggested money spent on the Canadian Armed Forces should be considered an investment in both the military and the economy, given the industrial benefits associated with building new ships, armoured vehicles and aircraft.
"If you just look at our national shipbuilding strategy, we know dollar for dollar, that money goes into our economy," he said, adding that it would involve creating jobs across the country.
Sajjan did indicate there may be "adjustments" to the Liberals' defence plan. While he didn't offer much detail, the minister suggested the Liberals have been looking at ways to speed up spending on the military during the pandemic because of the economic benefits.
At the same time, there are some unknowns on the horizon, including whether a study being conducted by the parliamentary budget officer will find that the $60 billion set aside for 15 new warships for the navy isn't enough.
The Liberals also have yet to decide on a plan for replacing the string of radars in the Arctic used to detect airborne threats approaching North America. Military commanders have said they are obsolete and will likely cost billions.
Much of the speculation about potential cuts has been linked the government's search for a military commander after longtime chief of the defence staff Gen. Jonathan Vance last month announced his plan to retire. The government interviewed potential replacements last week.
Some defence insiders and observers have suggested the choice will signal the Liberals' priorities for the military over the next few years. Asked about those priorities, Sajjan listed the continued implementation of the defence policy alongside fighting sexual misconduct and racism in the military.
"At the end of the day you look at the reality of what's in front of you and then you look at who is the best person to be able to lead during this time," Sajjan said when asked about the search.
This report by The Canadian Press was first published Sept. 15, 2020.
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Failed bidder files trade challenge against Ottawa's frigate design pick
Murray Brewster · CBC News Move comes after Alion Canada challenged frigate design pick in Federal Court The federal government's decision to select a group of companies led by Lockheed Martin Canada to design and support the construction of the navy's new frigates is now facing a trade challenge, on top of a Federal Court challenge filed last week. Alion Science and Technology Corp. and its subsidiary, Alion Canada, have asked the Canadian International Trade Tribunal to look into the procurement deal. They're telling the tribunal that Lockheed Martin's design will need substantial changes to meet the federal government's requirements, which would mean higher costs and more delays. The company last week separately asked the Federal Court for a judicial review and an order quashing the decision, which saw Public Services and Procurement Canada select Lockheed Martin Canada as the preferred bidder on the $60 billion program. Alion pitched the De Zeven Provinciën Air Defence and Command (LCF) frigate, a Dutch-designed warship that is already in service in other countries. More delays? Depending upon how they play out, said defence procurement expert Dave Perry, both challenges have the potential to further delay the frigate program. Federal procurement officials had hoped to nail down a fully fledged design contract with Lockheed Martin by the winter. Perry, who works with the Canadian Global Affairs Institute, said he expects those negotiations to continue — unless the Federal Court orders them to halt. "Unless there is a compelling reason to stop, they are going to keep going," he said. "There is a recognition of the urgency across the board." That urgency is partly due to the program's legacy of delays, which have stretched the design competition out for almost two years. Public Services and Procurement Canada would not comment on the matter because it is before the courts, but a senior official, speaking on background Thursday, said the federal government has up to 20 days to respond to the court challenge. The official — who was not authorized to speak on the record because of the sensitivity of the file — said there is flexibility built into the timeline and the government is optimistic it can meet its goal of an early 2019 contract signing. Perry said there are aspects of both the court challenge and the application to the Canadian International Trade Tribunal that he finds puzzling. Alion claimed in its court filing that the winning bid was "incapable of meeting three critical mandatory requirements" of the design tender. Speed bump The company said, for instance, that the Type 26 cannot meet the mandatory speed requirements set out by the navy and that both Public Services and Procurement Canada and Irving Shipbuilding, the yard overseeing the construction, should have rejected the bid outright. Perry said the criteria cited by Alion were among the first the federal government evaluated. "The rest of Lockheed Martin's bid wouldn't have been looked at if the Crown and Irving was not satisfied that the bid met each of those [initial] criteria," he said. "It's a weird dynamic." Alion's trade tribunal application argues in considerable detail that in order for the Type 26 to meet Ottawa's speed requirement, it will have to undergo considerable redesign. The court application also cites the fact that the design tender was amended 88 times and those changes "effectively diluted the [warship] requirements" and allowed the government and Irving to select "an unproven design platform." Unlike its two competitors, the Type 26 has yet to enter service with the Royal Navy. Competitors have privately knocked it as "paper ship." Navantia, a Spanish-based company, was the other bidder in the competition. https://www.cbc.ca/news/politics/failed-bidder-files-trade-challenge-against-ottawa-s-frigate-design-pick-1.4916881