23 mai 2019 | International, Naval

Is Britain buying a warship? Depends who you ask.

By:

LONDON — Senior British defense procurement officials have found themselves on the wrong end of a verbal battering by the parliamentary Defence Committee.

Lawmakers on Tuesday kept up growing opposition to an international competition to build up to three logistics ships instead of favoring a local consortium.

Led by Defence Procurement Minister Stuart Andrew, ministry officials were forced to fend of repeated questions from the committee as to why they had opted for an international competition instead of awarding a contract to a consortium made up of Babcock International, BAE Systems, Cammell Laird and Rolls-Royce, known as Team UK.

The officials cited the requirement to adhere to European Union procurement rules, known as Article 346, as reasoning for their decision to open up bidding to international shipbuilders.

The fleet solid support ships could not be defined as warships and therefore could not be counted under rules allowing warships to be exempt from international bidding requirements, explained MoD officials.

But according to trade unions and lawmakers, thousands of jobs, sovereign capability and wider economic benefits are all at risk if the MoD opts for a foreign bid for the vessels, known locally as fleet solid support ships.

The deputy chief of the Defence Staff, Richard Knighton, warned the committee that stopping the competition, which could be worth up to £1 billion (U.S. $1.3 billion), would mean serious consequences.

“The competition is already running. To throw that away, the risk would be very serious. In fact there is the certainty we would deliver the capability late and there would be a capability gap,” said Knighton, who is responsible for financial and military capability at the MoD.

International shipyards Fincantieri, Navantia , Japan Marine United Corp., and Daewoo Shipbuilding and Marine Engineering were invited in 2018 to bid alongside Team UK for up to three large logistics ships earmarked to provide support for the Royal Navy's new aircraft carrier fleet.

In recent weeks the list of interested companies shrunk. Andrew said he could confirm Fincantieri's withdrawal but was unable to comment on reports Daewoo had also pulled the plug on its bid.

An MoD spokesperson declined to say whether Daewoo was in or out of the competition. “The MoD does not comment on speculation," the spokesperson said. “Any decision to withdraw from the competition is a matter for each tenderer.”

‘Ludicrous' explanations

The ministry's Article 346 explanation infuriated some committee members. Mark Francois, a former defense minister, termed the MoD's position as “patently ludicrous.”

“You are treating this like a game. If you declare this ship a warship under the national shipbuilding strategy, you have to award it to a U.K. yard. But you are worried you will be over a barrel in terms of the pricing, so in order to prevent that you insist it's not a warship so you can compete it internationally in order bear down on the price you have to pay,” Francois said.

Other members of Parliament said the position was indefensible and pointed to the fact that France and other nations had kept contracts in-house for similar ships.

“Some have chosen to class it as a warship and some have chosen not to class it as a warship, and we are trying to pretend we had to [define it as not a warship]. That seems to stretch credulity," Defence Committee Chair Julian Lewis said.

MoD officials added that by exposing local shipbuilders to international competition, they were trying to make U.K. industry more competitive, and not just for local orders but in the international market, adding that the industry can't solely rely on domestic work.

What are the ships for?

The logistic ships are part of the Royal Fleet Auxiliary, an organization separate from the Royal Navy that is tasked with supplying warships with ammunition, food, fuel and other stores at sea, including in war zones. The ships are registered as merchant vessels and crewed largely by civilian staff, although they do carry defensive weapons like the Phalanx gun.

Under the Conservative government's national shipbuilding strategy launched in 2017, the logistics ships were earmarked for international competition. The author of the original report, John Parker, is conducting a review of the strategy, which is due for publication this year.

The budget for the Royal Navy and the Royal Fleet Auxiliary for the coming decade has £60 billion earmarked for building surface ships and nuclear submarines. More than half of that is for renewing the submarine nuclear missile fleet.

BAE's shipyard in Glasgow is responsible for the construction of the first three of an expected order of eight Type 26 anti-submarine frigates. A competition is underway between three bidders to build five F-31e general-purpose frigates.

Babcock recently closed a small shipyard in Appledore, Devon, after finishing an offshore patrol boat order for the Irish Navy, and there are concerns over the future of the company's large shipyard at Rosyth, now that the assembly of the second Royal Navy aircraft carrier, HMS Prince of Wales, is nearly complete at the Scottish yard.

The Rosyth shipyard would be the likely venue to assemble the large logistics ships in the event Team UK succeeds with its bid.

The Defence Committee hearing was the latest effort to crank up pressure on the MoD to change its mind over whether international companies can bid on the deal for the logistics ships. Recently, an all-party parliamentary shipbuilding group released a report recommending the government "choose to build new Royal Fleet Auxiliary ships in the UK and thus retain the skills needed for the construction of complex warships.”

Bids for two fleet solid support ships, with an option on a third if the MoD can find the money, are due in late July 2019. The winning contractor would agree to a firm fixed-price design and build deal by July 2020. The first ship is due in service by 2026.

The new defense secretary, Penny Mourdant, has also stepped into the fray, perhaps decisively. In her first speech as defense secretary last week, she signaled that the MoD is reviewing projects such the logistics ship program.

Francois, the former defense minister, claimed Mourdant's announcement effectively awarded the contract to Team UK, although that was denied by MoD officials.

“The secretary of state did not say that. She was explicitly asked in the questions after the speech whether she could confirm that fleet solid ships order would go to a British shipyard, and she said, ‘No,' ” the defense procurement minister explained.

Britain has previously purchased logistics ships overseas. Four fleet oilers were recently delivered from South Korean shipbuilder Daewoo. The ships arrived months late, and the fixed-price deal cost the shipyard a pile of money remedying faults with the oilers.

On that occasion there was no British bid for the work, although a domestic shipyard did secure a deal to equip the oilers with sensitive equipment like sensors and weapons.

https://www.defensenews.com/naval/2019/05/22/is-britain-buying-a-warship-depends-who-you-ask

Sur le même sujet

  • Saab and FMV Extend Support and Maintenance Contract for Gripen

    6 avril 2021 | International, Aérospatial

    Saab and FMV Extend Support and Maintenance Contract for Gripen

    The order value amounts to approximately SEK 1.6 billion for the period from 1 April 2021 to 31 December 2022

  • Army's $5.1B wish list to Congress would ramp up modernization, infrastructure efforts

    14 avril 2022 | International, Terrestre

    Army's $5.1B wish list to Congress would ramp up modernization, infrastructure efforts

    Among the items included in the Army's unfunded requirements list are fielding another half of a Brigade Combat Team of Abrams tanks, infrastructure improvements and more money to manage homeland contingencies.

  • Contract Awards by US Department of Defense - April 29, 2020

    30 avril 2020 | International, Aérospatial, Naval, Terrestre, C4ISR, Sécurité

    Contract Awards by US Department of Defense - April 29, 2020

    ARMY FN America LLC, Columbia, South Carolina (W56HZV-20-D-0024); and Colt's Manufacturing Co. LLC, West Hartford, Connecticut (W56HZV-20-D-0025), will compete for each order of the $383,311,941 firm-fixed-price contract to provide M16A4 rifles for Foreign Military Sales (Afghanistan, Grenada, Iraq, Lebanon and Nepal). Bids were solicited via the internet with three received. Work locations and funding will be determined with each order, with an estimated completion date of April 28, 2025. U.S. Army Contracting Command, Detroit Arsenal, Michigan, is the contracting activity. Travis Association for the Blind, Austin, Texas, was awarded a $12,483,935 modification (P00004) to contract W56HZV-18-C-0067 to support repairing, cleaning, warehousing and distribution of organizational clothing and individual equipment. Bids were solicited via the internet with one received. Work will be performed in Austin, Texas, with an estimated completion date of April 30, 2021. Fiscal 2020 operations and maintenance, Army funds in the amount of $12,483,935 were obligated at the time of the award. U.S. Army Contracting Command, Detroit Arsenal, Michigan, is the contracting activity. Cepheid, Sunnyvale, California, was awarded a $9,933,000 firm-fixed-price contract (W911QY-20-P-0154) for up to 333,000 COVID-19 assays. Bids were solicited via the internet with one received. Work will be performed in Sunnyvale, California, with an estimated completion date of March 31, 2021. Fiscal 2020 operations and maintenance, Army funds in the amount of $9,933,000 were obligated at the time of the award. U.S. Army Contracting Command, Aberdeen Proving Ground, Maryland, is the contracting activity. (Awarded April 27, 2020) Manson Construction Co., Seattle, Washington, was awarded a $7,675,998 modification (P00002) to contract W912P8-20-C-0010 to exercise option hours for the dredge Glenn Edwards. Work will be performed in Plaquemines Parish, Louisiana, with an estimated completion date of Sept. 30, 2020. Fiscal 2020 civil operations and maintenance funds in the amount of $7,675,998 were obligated at the time of the award. U.S. Army Corps of Engineers, New Orleans, Louisiana, is the contracting activity. DEFENSE LOGISTICS AGENCY American Water Military Services LLC, Camden, New Jersey, has been awarded a maximum $70,000,000 modification (P00001) to a 50-year contract (SP0600-19-C-8327) with no option periods for additional wastewater utility system construction, repair and replacement work at Target Hill Wastewater Treatment Plant, U.S. Army Garrison West Point, New York. This is a fixed-price contract. Locations of performance are New Jersey and New York, with a Sept. 30, 2023, performance completion date. Using military service is Army. Type of appropriation is fiscal 2016 through 2020 Army military construction funds. The contracting activity is the Defense Logistics Agency Energy, Fort Belvoir, Virginia. Raytheon Co., Andover, Massachusetts, has been awarded a maximum $13,688,190 firm-fixed-price, one-time purchase contract for radomes. This was a sole-source acquisition using justification 10 U.S. Code 2304 (c)(1), as stated in Federal Acquisition Regulation 6.302-1. This is a two-year base contract with no option periods. Location of performance is Massachusetts, with a March 31, 2022, performance completion date. Using military service is Army. Type of appropriation is fiscal 2020 defense working capital funds. The contracting activity is Defense Logistics Agency Aviation, Redstone Arsenal, Alabama (SPRRA2-20-C-0023). UPDATE: Werres Corp., Frederick, Maryland (SPE8EC-20-D-0058) has been added as an awardee to the multiple-award contract for commercial material handling equipment, issued against solicitation SPE8EC-17-R-0002 and awarded June 9, 2017. AIR FORCE Raytheon Missile Systems, Tucson, Arizona, has been awarded a not-to-exceed $32,780,869 fixed-price-incentive-fee, undefinitized contract action for StormBreaker Lot 6 Contract Line Identification Number 6001 - All Up Round (AUR); Simmonds Precision Product and multicut. This contract provides for Simmonds Precision Product and multicut material and labor for parts used in a StormBreaker AUR. Work will be performed in Tucson, Arizona, and is expected to be completed by Nov. 21, 2022. This award is the result of a sole-source acquisition. Fiscal 2020 missile procurement funds in the amount of $6,612,745 are being obligated at the time of award. Air Force Life Cycle Management Center, Eglin Air Force Base, Florida, is the contracting activity (FA8672-20-C-0005). (Awarded April 28, 2020) NAVY Physical Optics Corp.,* Torrance, California, is awarded a $17,783,583 cost-plus-fixed-fee order (N68335-20-F-0001) against previously issued basic ordering agreement N68335-19-G-0041. This order provides non-recurring engineering for the production, test, integration and delivery of the T-45 Head-Up Display (HUD) and its associated internal software. Work will be performed in Torrance, California, and also provides airworthiness substantiation and supports the joint software support activity lab and government flight test demonstration for the HUD. This is a Small Business Innovation Research (SBIR) Phase III for research and development performed under the SBIR Topic Numbers N091-003, N152-096 and 04-A-A1.01. Work is expected to be complete by April 2022. Fiscal 2020 research, development, test and evaluation (Navy) funds in the amount of $1,166,435; fiscal 2019 fiscal aircraft procurement (Navy) funds in the amount of $16,387,148; and fiscal 2019 research, development, test and evaluation (Navy) funds in the amount of $230,000 will be obligated at time of award, $230,000 of which will expire at the end of the current fiscal year. The Naval Air Warfare Center Aircraft Division, Lakehurst, New Jersey, is the contracting activity. Vectrus J&J Facilities Support LLC, Colorado Springs, Colorado, is awarded a $17,090,690 indefinite-delivery/indefinite-quantity contract for base operating support (BOS) services at Naval Air Station Patuxent River, Patuxent River, Maryland; Webster Field, St. Inigoes, Maryland; Solomons Annex, Solomons, Maryland; and Point Lookout, St. Mary's County, Maryland. The maximum dollar value including the base period and seven option periods is $190,007,916. All work will be performed in Calvert County (8%) and St. Mary's County (92%), Maryland. The BOS services to be performed include: general information, management and administration, airfield facilities, facilities support including facility management; facility investment; integrated solid waste management; other (swimming pools); special events; and utility management, wastewater, water and environmental services. Work is expected to be complete by June 2028. No funds will be obligated at time of award. Fiscal 2020 operations and maintenance (Navy) contract funds in the amount of $17,090,690 for recurring work will be obligated on an individual task order issued during the base period. This contract was competitively procured via the Navy Electronic Commerce Online website, and seven proposals were received. The Naval Facilities Engineering Command, Atlantic, Norfolk, Virginia, is the contracting activity (N62470-20-D-0009). CFM International, West Chester, Ohio, is awarded a $13,582,486 modification (P00172) to a previously awarded firm-fixed-price contract (N00019-18-C-1071). This modification exercises an option to procure one CFM56-7B27AE commercial-off-the-shelf engine for the government of the United Kingdom. Work will be performed in Villaroche, France (50%); and Durham, North Carolina (50%), and is expected to be complete by April 2021. Foreign Military Sales funds in the amount of $13,582,486 will be obligated at time of award, none of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. DEFENSE COMMISSARY AGENCY Jones Lang LaSalle Americas Inc., Chicago, Illinois, is being awarded a $9,940,010 hybrid-fixed-price, time and materials schedule task order for whole facilities maintenance at various commissaries located in the U.S. and its territories. The task order is for a one-year base period beginning July 1, 2020. The task order includes four one-year option periods. If all options are exercised, the task order will be completed June 30, 2025. Quoters were solicited on the General Services Administration eBuy website, available to 03FAC contract holders, five quotes were received. The Defense Commissary Agency, Enterprise Acquisition Division, Construction Design Branch, Joint Base San Antonio, Lackland, Texas, is the contracting activity (HDEC03-20-F-0028). Jones Lang LaSalle Americas Inc., Chicago, Illinois, is awarded a $9,632,375 hybrid-fixed- price, time and materials schedule task order for whole facilities maintenance at various commissaries located in the U.S. and its territories. The task order is for a one-year base period beginning July 1, 2020. The task order includes four one-year option periods. If all four option periods are exercised, the task order will be completed June 30, 2025. Quoters were solicited on the General Services Administration eBuy website, available to 03FAC contract holders, five quotes were received. The Defense Commissary Agency, Enterprise Acquisition Division, Construction Design Branch, Joint Base San Antonio, Lackland, Texas, is the contracting activity (HDEC03-20-F-0027). Nelson Refrigeration Inc., La Vista, Nebraska, is awarded an $8,840,133 hybrid-fixed-price, time and materials schedule task order for whole facilities maintenance at various commissaries located in the U.S. and its territories. The task order is for a one-year base period beginning July 1, 2020. The task order includes four one-year option periods. If all four option periods are exercised, the task order will be completed June 30, 2025. Quoters were solicited on the General Services Administration eBuy website, available to 03FAC contract holders, five quotes were received. The Defense Commissary Agency, Enterprise Acquisition Division, Construction Design Branch, Joint Base San Antonio, Lackland, Texas, is the contracting activity (HDEC03-20-F-0033). J&J Worldwide Services, Austin Texas, is awarded a $7,822,654 hybrid-fixed price, time and materials schedule task order for whole facilities maintenance at various commissaries located in the U.S. and its territories. The task order is for a one-year base period beginning July 1, 2020. The task order includes four one-year option periods. If all four option periods are exercised, the task order will be completed June 30, 2025. Quoters were solicited on the General Services Administration eBuy website, available to 03FAC contract holders, five quotes were received. The Defense Commissary Agency, Enterprise Acquisition Division, Construction Design Branch, Joint Base San Antonio, Lackland, Texas, is the contracting activity (HDEC03-20-F-0030). *Small business https://www.defense.gov/Newsroom/Contracts/Contract/Article/2170148/source/GovDelivery/

Toutes les nouvelles