12 novembre 2018 | Local, Aérospatial, Naval, Terrestre

Ottawa on track to invest less on new military kit than promised for second year

OTTAWA — For the second year in a row, the federal government is expected to spend billions of dollars less on new military equipment than promised because of a combination of good and bad news: cost savings on some projects and delays in others. The Trudeau government in 2016 released a new defence policy that included dramatic increases in spending on new aircraft, ships, armoured vehicles and other military equipment over the next 20 years. The investments are vital to replacing the Canadian Forces' fighter jets, ships and various other types of aging equipment with state-of-the-art kit. Yet while new budget documents filed in the House of Commons show the Department of National Defence has so far been given authority to spend $4 billion this fiscal year, the policy had predicted total spending of $6.5 billion. The department does have until March 31 — when the federal government's fiscal year ends — to make up the $2.5-billion difference, but its top civilian official, deputy minister Jody Thomas, admitted Thursday that a large shortfall is likely. Part of the reason is that the department expects to save about $700 million on various projects that ended up costing less than planned, Thomas told The Canadian Press following a committee appearance on Parliament Hill. “We've delivered things more efficiently than was anticipated and so we don't need the money,” she said. “And we can apply it to projects, either new projects or projects that have a cost overrun.” But delays moving some projects through the military procurement system have also caused their fair share of problems, Thomas said, and the department is expecting to have to put off $1 billion to $1.3 billion in purchases it had planned to make this year. “We'd like to (spend) $6 billion every year. Can I guarantee to you that we're going to do that? No, there's slowdowns in projects, there's slowdowns with suppliers, there's changes in scope. Things change,” she said. “I'm hoping to get it below $1 billion. I'm not committing to getting it to below $1 billion. ... We're driving projects to get it as low as possible and spend funds efficiently and effectively. We're not wasting money.” The government spent $2.3 billion less than planned last year. That was also largely because of delays in projects such as the government's multibillion-dollar plan to buy new warships, though also because some things ended up costing less than expected. The government does deserve credit for having increased investments in equipment to levels not seen since the height of the war in Afghanistan in 2010 and 2011, said defence analyst David Perry of the Canadian Global Affairs Institute. “And if they can actually move as much as the deputy (minister) was saying, and they only leave $1 billion on the table, that will be the best year in the last several decades,” said Perry, who has previously warned that delays in the procurement system could derail the defence policy. “But there are a bunch of impacts from not being able to spend money on schedule. One is you don't have the actual gear to do what you want. And project budgets lose purchasing power when money is not spent on schedule. So it's not good to have delays.”

https://windsorstar.com/pmn/news-pmn/canada-news-pmn/ottawa-on-track-to-invest-less-on-new-military-kit-than-promised-for-second-year

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  • Trade tribunal calls for review of west coast vessel contract

    9 janvier 2019 | Local, Naval, Sécurité

    Trade tribunal calls for review of west coast vessel contract

    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

  • CAE recalls all temporarily laid-off employees in Canada, signs contract with federal government for life-saving ventilators

    20 avril 2020 | Local, Aérospatial

    CAE recalls all temporarily laid-off employees in Canada, signs contract with federal government for life-saving ventilators

    CAE announced that it has recalled all remaining temporarily laid-off employees in Canada. Between recalls of employees providing essential services and recalls through the Canada Emergency Wage Subsidy (CEWS) program, approximately 1,500 employees will be back on the payroll this week; the vast majority are based in Montreal and will work from home. The temporary layoffs were part of a series of measures CAE announced on April 6 in response to the COVID-19 pandemic. CAE also announced that it has signed a contract with the Government of Canada on April 10 to manufacture and supply 10,000 ventilators which will be used to help save lives of COVID-19 patients. The company is finalizing the design and testing of its CAE Air1 ventilator and is preparing for production. The first unit is expected to be delivered in early May to health authorities for certification. In addition, CAE announced that it is leveraging its global supply chain to source scarce N95 masks for humanitarian purposes in support of front-line health workers. To date, CAE has secured 100,000 N95 masks which will be delivered to the Quebec government. “I applaud the Government of Canada for its immediate and decisive action to support Canadians by creating the emergency wage subsidy program. It also allows Canadian industry to put staff back on payroll and be better positioned to rebound when the current challenges have passed,” said Marc Parent, CAE's president and CEO. “CAE employees are proud to play a role in saving lives by equipping the country with a made-in-Canada ventilator, and by using the CAE global supply chain to obtain a significant quantity of N95 masks to protect our guardian angels who are caring for COVID-19 patients.” https://www.skiesmag.com/press-releases/cae-recalls-all-temporarily-laid-off-employees-in-canada-signs-contract-with-federal-government-for-life-saving-ventilators

  • INVITATION | Séance de réseautage CANSEC 2022 Networking Session (Inscription avant 27 mai !)

    20 mai 2022 | Local, Aérospatial, Naval, Terrestre, C4ISR, Sécurité

    INVITATION | Séance de réseautage CANSEC 2022 Networking Session (Inscription avant 27 mai !)

    English follows French Développement économique Canada pour les régions du Québec vous invite à une séance de réseautage en marge de CANSEC. Cette activité est organisée en collaboration avec Investissement Québec InternationaI. C'est une occasion unique de rencontrer les donneurs d'ordres et les principaux partenaires impliqués dans le processus d'acquisition dans le secteur de la défense. L'événement aura lieu au : Manège militaire de Salaberry - Mess de Salaberry 188, boulevard Alexandre-Taché, Gatineau (Régiment de Hull) Le mercredi 1er juin 2022 de 18 h à 20 h Veuillez confirmer votre présence en vous inscrivant ici avant le vendredi 27 mai prochain. (Comme le nombre de places est limité, seules les personnes inscrites seront admises). Note : Afin de respecter les mesures sanitaires en vigueur dans les édifices fédéraux, le port du masque sera exigé. Un stationnement gratuit est disponible à l'extérieur. Nous vous encourageons à nous suivre sur Twitter et LinkedIn et à consulter notre site web. Vous pouvez également communiquer avec nous. Développement économique Canada pour les régions du Québec 800, boulevard René-Lévesque Ouest, bureau 500, Montréal (Québec) H3B 1X9 Canada Canada Economic Development for Quebec Regions invites you to a networking session as a side event of CANSEC. This event is organized in collaboration with Investissement Québec International. This is a unique opportunity to meet the defence contractors and partners involved in the defence acquisition process. The event will take place at: Manège militaire de Salaberry - Mess de Salaberry 188 boulevard Alexandre-Taché, Gatineau (Régiment de Hull) Wednesday June 1, 2022, from 6 P.M. to 8 P.M. Please RSVP by registering here by Friday May 27, 2022. (Space is limited, and only those registered in advance will be admitted). Note: In order to respect the sanitary measures in place in federal buildings, masks are required. Free parking is available at the rear of the building.

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