Procurement
On this page
- Equipping the Canadian Armed Forces
- Defence Procurement Reform
- Ammunition Investments in Our North, Strong and Free
- Canadian Surface Combatant (CSC)
- Joint Support Ships (JSS)
- Arctic and Offshore Patrol Ships (AOPS)
- Victoria-Class Submarine Modernization Project (VISSC & CPSP)
- Future Fighter Capability Project (FFCP)
- Maritime Helicopter Project (Cyclones)
- Light Utility Vehicles (LUV)
- Sleeping Bags
Equipping the Canadian Armed Forces
- Ensuring that our soldiers, sailors, and aviators are equipped with modern and effective equipment is a top priority for National Defence.
- For example, five of our Arctic and Offshore Patrol Ships are already in the water, with the fifth to be delivered in August 2024.
- We are also procuring up to 16 P-8A Poseidon, with delivery starting in 2026.
- The P-8A Poseidon offers an advanced multi-mission platform that will enable the Canadian Armed Forces to conduct maritime and overland surveillance in defence of Canada and to support our allies.
- In July, I announced that Canada is investing $35.8 million to deliver 90 Light Tactical Vehicles to Canadian Army personnel deployed in Latvia under Operation REASSURANCE.
- The first 28 of these vehicles arrived in Europe on September 20th.
- These are just a few examples of the important work that the Defence Team is undertaking to equip our forces – but there is much more work taking place behind the scenes.
- In fact, this past spring, I had the opportunity to speak to this Committee about some of the key investments outlined in Our North, Strong and Free, which will include the procurement of up to 12 conventionally-powered, under-ice capable submarines.
- On September 15, Canada released a Request for Information to formally engage industry on this acquisition.
- This is an important step in implementing Canada's renewed vision for defence, Our North, Strong and Free.
Key Facts
Budget 2024
- Budget 2024 allocates $1.4 billion over five years, starting in 2024-25, with $8.2 billion in future years, for National Defence to replenish its supplies of military equipment.
Our North Strong and Free (ONSAF)
- Through ONSAF, Canada will invest $8.1 billion over the next five years and $73 billion over the next twenty years in our national defence.
- Of this ONSAF funding, Canada will invest $1.5 billion over the next five years and $31.5 billion over the next twenty years in new capabilities.
Details
Arctic and Offshore Patrol Ships - see Tab 21
Submarines – see Tab 22
Canadian Multi-Mission Aircraft (CMMA)
- The CMMA project will equip the CAF with a modern long-range crewed aircraft specialized in Anti-Submarine Warfare and Anti-Surface Warfare capabilities; and optimized for Command, Control, Communications and Computers (C4), Intelligence, Surveillance and Reconnaissance (ISR).
- The scope of the project includes the procurement of a fleet of 14 (with options for an additional two P-8A Poseidon aircraft, associated support and test equipment, training devices, training services, maintenance and engineering support, materiel support, initial weapons, expendables (i.e., flares and sonobuoys), required infrastructure construction (both interim and permanent), capability sustainment (through life of project), and initial sustainment set-up.
- Long range surveillance and reconnaissance capabilities are essential to ensure Canada can detect, deter and defend against maritime threats at home and abroad in response to increasingly stealthy and sophisticated technologies being deployed by our adversaries.
Armoured Combat Support Vehicles (ACSV)
- The ACSV will provide the Canadian Armed Forces (CAF) with a new fleet of 360 armoured and mobile vehicles to perform services such as ambulance, mobile repair and vehicle recovery services, as well as engineer support and command and control.
- Using the same platform for 8 fleet variants offers advantages from an operational and a sustainment perspective; for example, it will reduce training and sustainment costs, and result in an increased availability of spare parts to enable vehicles to be repaired quickly during critical operations.
- With the Canadian Government's donation of 39 ACSVs to Ukraine in early 2023, changes were introduced to the ACSV production schedule. Instead of receiving the Troop Cargo Vehicle (TCV) variant first, the Canadian Army took delivery of the first ambulance variants on October 19, 2023. In September 2023, the Prime Minister announced that an additional 50 ACSV vehicles would be donated to Ukraine, consisting of 10 Ambulance vehicles to be redirected to Ukraine in the short-term, to be followed by 40 ACSV purpose-built for Ukraine.
Light Tactical Vehicles
- Canada has finalized a contract with GM Defense Canada Company of Oshawa, Ontario, for 36 cargo and 54 personnel variants of the vehicle.
- This new fleet of vehicles will enable the Canadian Army to operate more effectively in complex terrain and isolated locations that larger vehicles cannot access.
- They will also be used to transport combat equipment, which will reduce the loads carried by individual soldiers.
- The remaining LTVs are expected to be delivered in the coming months.
Our North Strong and Free
Some of the measures announced as part of Canada's renewed Defence Policy include:
- $18.4 billion over 20 years to acquire tactical helicopters. This will provide the CAF with the speed and airlift capacity to assert Canada's sovereignty and respond to natural disasters and emergencies throughout the country.
- $307 million over 20 years for airborne early warning aircraft that will vastly improve Canada's ability to detect, track and prioritize airborne threats sooner, and respond faster, and to better coordinate our response with the United States when required. They will allow Canada to continue making meaningful contributions to NORAD while also supporting allies and partners globally.
- $2.7 billion over 20 years to acquire long-range missile capabilities to enable our forces to deter threats to Canada from an appropriate distance and reach targets at greater ranges than our adversaries in combat.
- $9.0 billion over 20 years to sustain military equipment under the National Procurement Program to ensure the CAF can continue to receive the critical updates necessary to preserve its ability deploy on operations.
- $9.8 billion over 20 years for the Halifax Class Life Extension to enable the continuation of the existing sustainment program which will focus on repair and replacement of degraded steel, procurement of spares for the marine and combat systems, repair and overhaul of equipment, software and hardware updates, and obsolescence management to ensure the Halifax-Class remains operationally relevant and safe to operate to meet the CAF's operational commitments.
- $9.5 billion over 20 years to accelerate the establishment of new artillery ammunition production capacity in Canada and invest in a strategic supply of ammunition. Increased domestic production capacity will help meet the ammunition demands of Canada and our closest allies while generating skilled jobs and economic benefits for Canadian communities. It will also help replenish CAF ammunition previously donated to Ukraine.
In addition, we have committed to explore options for further investments in military capabilities:
- Ground Based Air Defences to Defend Critical Infrastructure from a diverse array of incoming airborne attacks, including drones, missiles, and artillery.
- Long-Range Air and Sea Missiles to enable our forces to deter threats to Canada from an appropriate distance and reach targets at greater ranges than our adversaries in combat.
- Modern Artillery Capabilities to significantly improve the protection of our deployed personnel by providing them with the capacity to strike enemy positions from farther away and in a greater number of directions.
- All-terrain Vehicles for Arctic Mobility to allow the military to maintain awareness in remote regions and along Canada's entire coastline, and better respond to unauthorized activity.
- Upgrade or Replace Main Battle Tanks, which continue to have a decisive effect on the modern battlefield and remain key to conducting land operations against conventional militaries with advanced capabilities.
- Upgrade or Replace Light Armoured Vehicles to replenish our fleet while also enabling industry to invest in a sustainable defence production capacity to support Canada and our NATO allies.
- Surveillance and Strike Drones and Counter-Drone Capabilities.
Defence Procurement Reform
- Our Government continues to procure modernized equipment for the Canadian Armed Forces to support our people and deliver on operations.
- Ensuring our people have the equipment they need when they need it requires a streamlined and flexible procurement system, especially due to the inflationary and supply chain impacts of the COVID-19 pandemic.
- That is why we are working to improve the speed at which we deliver capabilities while also ensuring economic benefits for Canadians.
- This includes investing in our procurement professionals to make sure we have the expertise and capacity we need to advance projects.
- In addition, we are working with our partners across government to increase agility and reduce the number of approvals for low-risk procurements.
- We are also collaborating with our industry and Indigenous partners to find realistic solutions to ensure the delivery of capabilities on schedule.
- As a member of the Air Battle Decisive Munitions Framework, we are coordinating with NATO allies on purchases of precision guided munitions, which will reduce delivery timelines and maintain interoperability across the alliance.
- While Defence procurement can take time, we need to ensure it is done right as this equipment is vital to the defence of our country and Canada's participation in international operations.
Key Facts
- Each year, well over 100,000 contracts are awarded by, or on behalf of, National Defence.
- National Defence's contracting authorities have risen to $7.5 million for competitive goods and services contracts and to $375 thousand for non-competitive goods and service contracts.
- This is a significant step in streamlining the procurement process, allowing the Department the authority to proceed directly with 95% of its contracts in 2022.
Details
- The Defence Team works closely with partners in other departments such as Public Services and Procurement Canada (PSPC), Innovation, Science and Economic Development Canada (ISED), as well as defence industry experts, to procure the equipment and services our forces need.
- We follow a rigorous project planning and procurement process that ensures the equipment procured meets all the CAF requirements, while ensuring financial value for Canadians as well as economic growth for industry.
- National Defence's project management approach is governed by policy set by the Treasury Board of Canada, which states that:
- projects achieve value for money;
- sound stewardship of project funds is demonstrated;
- accountability for project outcomes is transparent; and,
- outcomes are achieved within time and cost constraints.
- Canada has an Industrial and Technological Benefits (ITB) policy which leverages defence and Canadian Coast Guard procurements to contribute to jobs, innovation and economic growth across the country
Streamlining Defence Procurement
- PSPC-led Risk-Based Approach to Contract Approval enables lower complexity projects to progress through the acquisition process with fewer check points, allowing the overall program to progress towards a timely delivery of projects and capabilities.
- The Tailored Project Approval Process was implemented in 2017 to provide a flexible and scalable framework for National Defence to fully leverage its Organizational Project Management Capacity Assessment Level, through improved internal coordination, increased delegation, and strengthened approval processes. Low to Medium Risk Projects that follow the tailored approval process progress on average two to three times quicker.
- In November 2022, National Defence's Project Approval Directive was amended regarding the Urgent Operational Requirement process, resulting in significant time savings throughout the Project Phases for those capabilities that are most urgently needed.
- National Defence works with government and industry partners to optimize defence procurement, including through new initiatives such as Continuous Capability Sustainment (CCS).
- CCS shifts from more traditional transactional relationships with industry on in-service support, to a more partnership-focused relationship and seeks to identify ongoing investments in technology upgrades over the in-service phase of a capability to ensure CAF equipment remains technologically relevant, fit for purpose, and aligned with the high-level mandatory requirements.
- Through its digital transformation initiative, the department will leverage necessary upgrades to its enterprise resource planning function to transform and modernize business processes, improve operational effectiveness and decision support at all levels. Through the increased use of analytics and a heightened trust in the data within the system, National Defence will be able to better harness vital data to inform decision making.
Professionalization of Procurement Staff
- A number of steps have been taken to strengthen the capacity of the procurement specialist workforce (project managers, procurement officers and cost estimators).
- The Project Manager Competency Development (PMCD) program provides project managers with development and learning opportunities through a defined framework for accreditation. Within project implementation organizations, project managers are matched with projects of an appropriate level of complexity and risk.
- The Competency-Based Project Management Organization seeks to enhance project management as an aspect of organizational culture with the following goals:
- Develop an engaged workforce that demonstrates the desired project management competencies;
- Improve workforce planning to ensure the right people are matched with the right projects; and,
- Provide an inclusive project management environment and improve overall delivery of projects.
- A Centre for Costing in Defence (CCD) was established to generate life cycle cost estimates for each project as it advances through the project life cycle. The cost estimates are based on the best possible information available at the time and evolve as more information is known. The cost estimates are provided to project sponsors and decision makers, who use them to set realistic budgets and make informed decisions.
- A 'PG Academy' to recruit and develop procurement and materiel management specialists has been established with other key government departments, including PSPC. The Fundamental Program was launched in September 2023, and the development of additional programs are underway. In September 2024, DND held a ceremony to recognize the first cohort of 11 new graduates from the PG Academy.
Ammunition Investments in Our North, Strong and Free
- Through our renewed defence policy, we are investing $9.5 billion over 20 years to accelerate the establishment of a new artillery ammunition production capacity in Canada and to build a strategic supply of ammunition.
- A domestic production capacity will help meet the ammunition demands of Canada and our closest Allies while creating skills, jobs, and economic benefits for Canadians.
- This will also increase the resilience of the Canadian Armed Forces by establishing a reliable Canadian supply of NATO-standard ammunition, such as 155mm artillery and 120mm tank ammunition.
- Further, the Canadian Armed Forces will establish a greater strategic reserve of munitions for air, land, and naval ammunition.
- This increased strategic reserve will ensure our military can sustain itself in longer, more dangerous operations, and enable sufficient ongoing training.
- In fact, Our North, Strong and Free provides greater clarity to industry on future acquisitions so that they can set up the necessary production lines.
- Taken together, these important investments will help us sustain our commitments to NORAD and NATO regardless of global capacity constraints.
If pressed on timelines for a Canadian artillery ammunition production capacity:
- National Defence has committed $19 million to date for Canadian munitions suppliers to provide more substantive engineering plans for the ammunition production capacity enhancement.
- It is estimated that it will take 3-5 years for this new production capacity to become available.
If pressed on other procurement initiatives for ammunition:
- As part of the National Procurement Program, National Defence is authorized to immediately invest $520 million into the acquisition of ammunition and explosives over a period of five years.
- This additional funding will enable the department to address supply and demand challenges and increasing costs resulting from recent changes to the global security environment.
- In addition to new investments in domestic ammunition production, Canada has also joined NATO's Air Battle Decisive Munitions framework.
- Through this framework, Allies are working to reduce ammunition costs, accelerate deliveries, and ensure the interoperability of our stocks.
If pressed on Czech-led ammunition agreement:
- In April, I announced that Canada is providing an additional $13 million to Czechia's ammunition initiative to procure and deliver large-caliber ammunition for Ukraine.
- This brings Canada's total contribution to the initiative to over $53 million, through which we will supply Ukraine with approximately 11,500 rounds of 155mm ammunition.
- Initial shipments were delivered in June, and we anticipate the remainder to be sent in the coming months.
- We remain committed to Ukraine and ensuring they have the tools and equipment they need to defend their sovereignty and security.
Key Facts
Our North, Strong and Free Ammunitions Commitments:
- $9.5 billion over 20 years to accelerate the establishment of new artillery ammunition production capacity in Canada and invest in a strategic supply of ammunition.
Details
Munitions Supply Program (MSP)
- The Munitions Supply Program (MSP) was established by the Government of Canada in the 1970s and provides National Defence and the CAF with an efficient means of contracting large quantities of small arms and munitions for the CAF, while also encouraging the development and sustainment of a viable and competitive domestic munitions industry. Under the program, the Government of Canada maintains the capability to produce select high-volume operational and training military munitions in Canada.
- The five companies comprising the MSP are:
- General Dynamics – Ordnance and Tactical Systems – Canada (GD-OTS-C), with three locations in Quebec, is the designated Centre of Excellence for ammunition, propellant, and explosives.
- Colt Canada, based in Ontario, is the Centre of Excellence for small arms.
- IMT Defence, with three locations in Ontario, is the Centre of Excellence for the manufacturing of projectile bodies.
- Magellan Aerospace, located in Winnipeg, is the Centre of Excellence for rockets, illumination flares, and rocket propellants.
- HFI Pyrotechnics Inc., based in Prescott, Ontario, the Centre of Excellence for pyrotechnic technology.
- In February 2023, the Government of Canada awarded a $4.8 million (including taxes) contract to IMT Defence to increase the production capacity for the M107 variant of the 155mm ammunition projectile bodies. The production capacity has been increased as of December 2023.
- Furthermore, in March 2024, the Minister of National Defence announced that the Innovation for Defence Excellence and Security (IDEaS) program had awarded $4.4 million to GD-OTS-C and IMT Defence via program contribution agreements to fund research projects aimed at improving design and processes for the production of more modern variants of 155mm ammunition, including through automation, new materials and prototypes.
- In April 2024, as announced Our North, Strong and Free: A Renewed Vision for Canada's Defence, the Government of Canada committed to accelerating the establishment of a new artillery ammunition production capacity to provide a reliable supply of NATO-standard ammunition to the Canadian Armed Forces and our allies. Work is underway with the companies to refine the engineering and costs for this initiative.
- The MSP companies are also working with each other to identify supply-chain issues and potential remedies and improve the production readiness of products on each companies' designated product list.
Investments into Ammunition and Explosives
- As of 2024, National Defence and the CAF are authorized to immediately invest $520 million into the acquisition of ammunition and explosives over a period of five years as part of the inventory replenishment portion of the National Procurement (NP) Program.
- This additional funding will enable the department to address supply and demand challenges and increasing costs resulting from recent changes to the global security environment by reconstituting its ammunition and explosive inventory levels to support Force Generation training requirements both domestically and in-theatre.
NATO Air Battle Decisive Munitions (ABDM) Framework
- On April 17, 2024, on the margins of a bi-annual meeting of NATO's National Armaments Directors, Canada joined NATO's ABDM framework.
- Launched in 2014, the ABDM framework is one of NATO's multinational High Visibility Projects through which Allies aggregate their munitions and missile requirements for the entire air domain and convert them into multinational buys.
- ABDM is directly supported by the NATO Support and Procurement Agency, which has been pivotal in reducing costs and speeding up deliveries through this framework. This strengthens NATO's deterrence and defence posture and provides more options for Allies to increase their support to Ukraine.
Military Donations to Ukraine – Czech-Led Ammunition Agreement
- During a March 19, 2024 meeting of the Ukraine Defense Contact Group (UDCG), Minister Blair announced that Canada is committing over $40 million to Czechia's initiative to purchase large-caliber ammunition rounds for Ukraine.
- On April 26, 2024, during a UDCG meeting, Minister Blair announced that Canada would contribute an additional $13 million towards Czechia's initiative, bringing the total contribution to $53 million.
Canadian Surface Combatant
- National Defence is committed to providing the Royal Canadian Navy with next-generation warships
- This is why we are procuring 15 Canadian Surface Combatants, known as the River-Class Destroyer.
- These warships will be built in Halifax, Nova Scotia, as part of the National Shipbuilding Strategy.
- The River-Class Destroyers are fast, maneuverable, long-endurance warships capable of conducting operations, escorting larger vessels and defending against a wide range of threats.
- Initial construction began over the summer with full production beginning on the first three ships in 2025.
- This project will reinvigorate Canadian shipbuilding by investing in Canadian innovation and supplier development.
- It will also generate at least $31 billion in GDP, as well as create and sustain more than ten thousand jobs over the next 25 years.
- We will remain transparent as we work with industry to find efficiencies, accelerate project timelines, and update costs as the design progresses, with an aim to ensuring value for taxpayer money.
If pressed on infrastructure investment:
- Shipyard upgrades will enable the production and delivery of the River-Class Destroyers, which will sustain the Royal Canadian Navy's capacity to meet Canada's defence and security requirements.
- The decision to fund the upgrades was supported by a business case that demonstrated the upgrades are directly attributable to the cost of building the ships and will result in improvements to the build strategy and processes.
If pressed on cost increases and delays:
- We are assessing potential cost increases, mainly due to delays in the project schedule and higher than forecasted inflation.
- In Fall 2023, we received a revised cost proposal from Irving Shipbuilding Inc. for the first batch of three ships.
- The revised cost proposal is currently under review to better understand risks and savings opportunities associated with the proposal.
- We continue to make important progress, including preparations to begin full rate production on the first three ships in 2025.
Key Facts
Estimated Budget: $56-60B (Design and Acquisition)
Timeline: First delivery in early 2030s.
Details
- The River-class destroyer will replace and update the capabilities found in both the retired Iroquois-class destroyers and the Halifax-class frigates. This single class of ship will be capable of meeting multiple threats on the open ocean and the coastal environment.
- As the future warship of the Royal Canadian Navy (RCN), the River-class destroyers must be capable of conducting a full range of military operations in high-threat environments and will upgrade and replace the capabilities of two classes of RCN ships in a single, combat-capable vessel. The new warships will be able to conduct a broad range of tasks, including:
- Deliver decisive combat power at sea, either independently or as part of a Canadian or international task group;
- Conduct counter-piracy, counter-terrorism, interdiction and embargo operations for medium intensity operations; and,
- Deliver humanitarian aid, search and rescue, and law and sovereignty enforcement for regional engagements.
Project Status
- In February 2019, the Government of Canada selected the CSC design, based on the BAE Systems' Type 26 Global Combat Ship, to meet the unique operational requirements of the RCN. Irving Shipbuilding contracted Lockheed Martin Canada to provide the design and design team.
- Canada worked with Irving Shipbuilding, Lockheed Martin Canada, and their subcontractors to evolve the selected ship design and systems integration.
- On June 28, 2024, the Government of Canada unveiled the River-class destroyer and announced the beginning of construction on the production test module which will test and streamline processes, in order to implement lessons learned into the build process, and enable the start of full rate production in 2025.
- Delivery of the first ship, HMCS Fraser, is expected in the early 2030s, with the final ship expected by 2050.
Economic Benefits
- The project will promote growth of key industrial capabilities in Canada by creating investments in innovation, supplier development, and export opportunities with a focus on cyber security and the marine sector.
- The build phase will create and/or maintain approximately 10,800 jobs annually throughout the 25-year construction period across the country.
- The design phase of the project will create and/or maintain approximately 5,000 Canadian jobs annually across the economy. In total, this project will generate at least $40 billion in cumulative Gross Domestic Product.
Infrastructure Investment
- Irving Shipbuilding (ISI) is expanding and modifying its site and facilities at the Halifax Shipyard and supporting facilities in Dartmouth, including at Woodside Industries and Marine Fabricators.
- Canada has agreed to provide ISI, with $758 million excluding taxes, for infrastructure improvements to ensure that they have the capability to construct the River-Class Destroyer and to meet the delivery schedule.
- The Halifax Shipyard site expansion will include dredging, marine structures, and rock infill behind the structure creating approximately 13 acres of additional yard space. Within the shipyard, the newly expanded area is not expected to extend farther into the channel than the limits of the floating dry dock that was previously located at Halifax Shipyard. The upgrades are expected to enhance shipyard efficiency, directly contributing to the CSC build and delivery schedule.
- Infrastructure enhancements began in 2023.
Halifax-Class Sustainment
- The Halifax-class is a major component of the National Shipbuilding Strategy third pillar – Repair, Refit and Maintenance. Under this pillar the Government of Canada has contracts in place with the three large shipyards to execute the extensive Docking Work Periods required to sustain the class. Additionally, Defence is working with marine industry partners to implement a risk-based program for the Halifax-class to ensure they continue to operate safely until the River-class fleet is delivered.
Joint Support Ships
- National Defence is committed to procuring two Joint Support Ships (JSS) that will help defend Canada and contribute to international security by providing crucial at-sea replenishment capabilities.
- These ships will also have capabilities, such as threat detection and defensive capabilities, to provide our sailors with the protection they need when deployed in high-threat environments.
- Construction is underway with the first ship, HMCS Protecteur, scheduled to be launched this December and delivered in late 2025.
- National Defence continues to closely review timelines as we monitor production efficiency.
- This project will sustain over 1,000 jobs at Seaspan's Vancouver Shipyard in British Columbia and a total of 3,900 jobs in the broader marine industry.
If pressed on JSS delivery delays:
- We remain committed to providing the Royal Canadian Navy with the equipment they need to ensure their current and future operational effectiveness.
- The revised schedule is a result of supply chain challenges due to the COVID-19 pandemic and further unanticipated delays due to a first-of-class delivery.
- The first ship is expected to be delivered in 2025 and the second ship is expected in 2027.
- We are actively monitoring progress and working with Vancouver Shipyards to ensure the timely delivery of these ships.
If pressed on cost increases:
- With large-scale, long-duration procurement projects like the Joint Support Ship, cost projection changes are expected, as the cost of both materials and labour evolve over the years.
- The JSS project is a significant investment in the Royal Canadian Navy, and part of the largest recapitalization of the Royal Canadian Navy since the Second World War.
- Both the Government of Canada and Canadian industry continue to apply lessons learned from the National Shipbuilding Strategy and the first-of-class builds to ensure the best value for money.
If pressed on the MV Asterix:
- The MV Asterix is an interim commercial solution to mitigate the capability gap while the Joint Support Ships are being built.
- Although the Asterix is fulfilling an immediate need, the ship is not equipped to conduct the full spectrum of military activities required by the Royal Canadian Navy.
- The period of service of the Asterix was extended to January 2028.
Key Facts
Budget: Up to $6.09 billion
- In June 2020, a $2.4 billion contract (including taxes) was awarded to Vancouver Shipyards to progress with full-rate construction. As of June 2024, this contract is now valued at $3.4 billion.
Protecteur-class Auxiliary Oiler Replenishment vessels
- The two new JSS are intended to replace the Navy's Auxiliary Oiler Replenishment vessels, the Protecteur and the Preserver.
GBA+:
- The Joint Support Ships were designed specifically to accommodate a mixed-gender crew by including gender-inclusive toilets, chair heights and sightlines, and private showers and changing areas.
Details
- The JSS are critical to the future of the RCN and constitute a vital and strategic national asset. The presence of replenishment ships increases the range and endurance of a naval task group, permitting it to remain at sea for significant periods of time without returning to port for replenishment.
- The JSS will provide Canada with a modern, task tailored, globally deployable, naval support capability and will be crewed by CAF personnel.
- The new JSS will have capabilities such as:
- Support to naval task groups:
- Re-supply of fuel, ammunition, spare parts and other supplies between ships at sea;
- Operation and maintenance of helicopters; and
- Task group medical and dental facilities.
- Sealift: JSS will be capable of transporting and delivering cargo both in support of task group operations and in support to operations ashore.
- Support to operations ashore: To meet a range of possibilities in an uncertain future security environment, the JSS will leverage its on-board facilities to support operations ashore, ranging from combat to humanitarian and disaster relief.
- Support to northern operations: JSS will have an enhanced ice-capable hull designed to operate in limited Arctic waters and will be able to access the Nanasivik Naval Facility during summer navigation season.
- Support to naval task groups:
JSS Survival Capabilities
- Threat detection: systems to detect and protect against chemical, biological, radiological, and nuclear threats.
- Fleet integration and defensive systems: for example, multiple defensive weapons systems, a combat management system, and air search radar.
Arctic and Offshore Patrol Ships
- National Defence is committed to enhancing and safeguarding Canada's sovereignty in the North, which is why we are procuring six new Arctic and Offshore Patrol Ships, designed to operate in previously inaccessible northern waters.
- These ships will operate in the Arctic between June and October, providing a greater and longer Canadian Armed Forces presence in the North.
- Five of the Arctic and Offshore Patrol Ships have already been delivered, with the final vessel planned for delivery by the end of Fall 2025.
- Further, as outlined in our renewed defence policy, Our North, Strong and Free, we will explore options for enabling these ships to embark maritime helicopters.
- National Defence will continue to advance the Arctic and Offshore Patrol Ships project, which supports over 2,000 jobs in the Canadian economy, including in Nova Scotia and within the broader shipbuilding industry.
If pressed on technical issues (including flooding):
- Technical issues are not unusual during the introduction period of a new capability.
- Most of the in-service issues are related to components, such as failed valves, which have been addressed through preventative or corrective maintenance.
- A technical investigation has been launched to determine the cause of recent issues aboard HMCS Max Bernays.
- A repair plan will be developed and executed once this investigation is complete.
- As issues across the class are resolved, these corrections are incorporated into the production of all follow-on vessels within the class, including the Canadian Coast Guard fleet.
Key Facts
Project Overview:
- Budget: Up to $4.98B (excluding taxes)
- Under Strong, Secure, Engaged (SSE), National Defence committed to the acquisition of six Arctic and Offshore Patrol Ships, which will significantly enhance the Canadian Armed Forces' capabilities and presence in the Arctic, better enabling the Royal Canadian Navy to assert and uphold Canada's Arctic sovereignty.
- These ships perform a wide variety of tasks, such as:
- Surveillance operations of Canadian waters;
- Humanitarian assistance, emergency response and disaster relief; and
- Search and rescue.
Project Timeline:
- July 31, 2020: The first AOPS, HMCS Harry DeWolf, was delivered.
- July 15, 2021: The second AOPS, HMCS Margaret Brooke, was delivered.
- August 15, 2022: Production of the sixth and final vessel for the RCN began.
- September 2, 2022: The third vessel, HMCS Max Bernays, was delivered.
- August 31, 2023: The fourth vessel, HMCS William Hall, was delivered.
- August 28, 2024: The fifth vessel, HMCS Frédérick Rolette, was delivered.
- Summer 2025: Delivery target for the sixth and final vessel, the future HMCS Robert Hampton Gray.
Details
Arctic and Offshore Patrol Ships (AOPS)
- Harry DeWolf-class AOPS will significantly enhance the Canadian Armed Forces' (CAF's) capabilities and presence in the Arctic, better enabling the Royal Canadian Navy (RCN) to assert and uphold Canada's Arctic sovereignty. The AOPS will also augment Canada's presence on the Atlantic and Pacific oceans and will conduct a wide variety of operations abroad.
- The AOPS will be able to operate in up to one meter of first-year ice, which is the ice condition experienced annually in the various waterways of the Canadian Arctic between June and October. The ice capability provided by the AOPS will allow for a greater and longer CAF presence in the Canadian North.
- This will allow the RCN to have unescorted access to areas of the Arctic that were previously inaccessible.
- The ships are being built under the National Shipbuilding Strategy (NSS) by Irving Shipbuilding Inc. in Halifax, Nova Scotia.
Deployments
- Since 2020, AOPS have deployed annually as part of Operation NANOOK, Canada's premier whole-of-government exercise in the Canadian Arctic.
- They have also operated in the Caribbean Basin in support of numerous deployments under Operation CARIBBE, a US-led counter-narcotic operation.
- These ships have also participated in the multi-national, bi-yearly Exercise RIMPAC in the Pacific, and have deployed to the Great Lakes Basin in support of recruiting efforts and public relations activities for the RCN and the CAF.
Deficiencies and Repairs
- AOPS are the first new warships built in Canada in the last 20 years. Shipbuilding in general is difficult and, when building the first ship in a class, it is expected that there will be issues identified throughout the building process—including after delivery—that require correction.
- Prior to delivery of HMCS Harry DeWolf, HMCS Margaret Brooke, HMCS Max Bernays, HMCS William Hall, and HMCS Frédérick Rolette, construction deficiencies were identified and documented as part of a rigorous quality assurance program. Both the Government of Canada and the shipbuilder agreed that certain deficiencies could be corrected after delivery.
- The Defence Team works closely with the shipbuilder to resolve these deficiencies while progressing the ships' trials and operational schedule. In the meantime, appropriate mitigation measures have been put in place where necessary.
- A Technical Investigation into issues with the Main Diesel Generator was finalized in early February 2023. The changes recommended by this investigation have been implemented in ships 1 to 5 and will be incorporated within follow-on ships, as appropriate.
Indigenous Relations
- Each ship will be affiliated with an Inuit region to build strong ties with Arctic Indigenous communities as they operate in and around their territories.
GBA Plus
- AOPS were designed to accommodate a mixed-gender crew and have a reduced cabin occupancy in order to create more privacy and promote greater comfort.
- Flexible use spaces will accommodate various spiritual practices and promote welfare and team cohesion; and
- Integrated Wi-Fi will facilitate crew communications with families back home.
Submarines
- As Canada has the largest coastline in the world, we recognize that underwater surveillance capability is crucial to our security and sovereignty.
- The Victoria-class submarines are among Canada's most strategic assets for conducting surveillance of Canadian, international, and near-Arctic waters.
- We have launched the Victoria-Class Modernization Project to ensure our submarines remain operationally relevant until the mid-2030s in an evolving operating environment.
- However, we also recognize that Canada needs a renewed and expanded fleet of submarines to replace the Victoria-class and protect our sovereignty from emerging security threats.
- That is why, in July, I announced that the government will begin engaging with industry regarding the procurement of up to 12 conventionally-powered, under-ice capable submarines.
- The formal Request for Information is now open, and we expect to receive initial feedback next month.
- We anticipate awarding a contract for the new fleet by 2028, with the first submarine to be delivered no later than 2035.
- We look forward to working with industry to find a partner that will deliver world-class submarines for Canada.
Key Facts
- Budget: As outlined in the Defence Capabilities Blueprint, the Victoria-class Modernization project is valued at up to $1 billion.
- First modernization starting date: 2023
- First delivery: 2027
- Final delivery: 2038
- The Victoria-class Modernization Project is currently made up of 13 separate projects. Seven are in the Implementation Phase and six are in the Definition Phase.
- Economic Benefit: This modernization project will benefit Canadian industrial and technological sectors and provide robust economic benefits for Canada.
- Maintenance and modernization projects will support jobs across Canada at the shipyards and through the supply chain.
Canadian Patrol Submarine Project (CPSP):
- On July 10, 2024, Canada announced its plans to move forward to engage industry on the renewal and expansion of Canada's submarine fleet – in particular, the purchase of up to 12 conventionally-powered, under-ice capable submarines.
- On September 15, 2024, the Request for Information (RFI) was released, enabling industry engagement in the acquisition process.
Details
- Our North Strong and Free committed to exploring options for renewing and expanding Canada's submarine fleet and further supports the Canadian Patrol Submarine Project, which was announced in 2022 with the remit to investigate options to replace the existing Victoria-class.
- Submarines are capable of covertly monitoring evolving situations at home and abroad.
- At home, submarines provide critical, sovereign force protection capacity for our sea-based forces when required.
- Abroad, these submarines can provide important intelligence on enemy actions and vital joint-targeting information, weapon delivery, or Special Operations Force insertion.
- The first three Victoria-class submarines were accepted into service between 2000 and 2003. The fourth submarine suffered a fire in transit to Canada, which delayed its acceptance into Royal Canadian Navy service until 2015.
- These submarines are scheduled for end of life in the 2034-2040 timeframe.
- The decision to modernize remains the most effective means of ensuring continued submarine operations for the Royal Canadian Navy into the 2030s.
- The Victoria-class Modernization Project will focus primarily on enhancing three distinct capabilities:
- Habitability – to improve habitability and functionality of conditions onboard Victoria-class submarines.
- These changes will be informed by GBA Plus and include improvements to the accessibility of living spaces, privacy enhancements, and the creation of gender-neutral washrooms.
- Joint Force Capability – position the Victoria-class submarines to contribute meaningfully to joint operations ashore.
- For example, the Acoustic Quieting Project will reduce the submarine's noise signature, thereby making the platform less likely to be detected.
- Meanwhile, the Periscope Modernization and Flank Array Modernization Project will contribute to an increased ability to conduct intelligence, surveillance and reconnaissance missions.
- Survivability – to ensure the survivability of the Victoria-class submarines against an evolving complex threat in an ever-changing battle space.
- Habitability – to improve habitability and functionality of conditions onboard Victoria-class submarines.
- The current annual maintenance cost for the four Victoria-class submarines is approximately $300-350 million per year and is expected to remain stable.
- The RFI for the Canadian Patrol Submarine Project has three phases: initial responses by November 18, 2024; one-on-one engagements with respondents over the winter and then final responses. The closing date for the process is February 28, 2025.
Future Fighter Capability Project
- The Future Fighter Capability Project represents the most significant investment in the Royal Canadian Airforce in more than 30 years.
- The F-35A will be essential for protecting the safety and security of Canadians, enhancing Arctic sovereignty, allowing Canada to meet its NATO and NORAD obligations, and boosting our interoperability with key allies and partners.
- We are advancing towards the acquisition of an initial tranche of aircraft, with the first deliveries anticipated to begin in 2026.
- In addition, the Defence of Canada Fighter Infrastructure Project will ensure that the Canadian Armed Forces are ready to receive their new fleet.
- We are currently designing Fighter Squadron Facilities in Cold Lake and Bagotville, which will accommodate these new aircraft.
- Site preparation activities are already underway in both locations to prepare for the construction of the facilities.
- We are confident that the procurement of the F-35A will deliver the right capability for the Royal Canadian Air Force, while providing high-value economic benefits for Canada’s aerospace and defence sector for decades to come.
Key Facts
Timeline and Project Budget:
- Budget: $19 billion (excluding taxes) for acquisition.
- First Aircraft Delivery to Canada: 2026 (first eight aircraft will be employed in U.S. for training of Canadian pilots).
- First Aircraft Arrival in Canada: 2028.
- Initial Operational Capability: 2029.
Project Deliverables to Date:
- Long lead material procured to support production of initial quantity of Canadian aircraft in production lots 18 and 19.
- Initial infrastructure designs and site preparation activity work required for the Fighter Squadron Facilities has been completed.
Economic Benefits:
- Canada’s participation in the U.S.-led multinational Joint Strike Fighter Program has yielded over USD $3.1 billion in contracts for Canadian companies since 1997.
- There are currently 36 contractors in Canada who are active on this project and contributing a wide range of manufacturing support and other services to the global F-35 feet.
Details
Project Details
- The Future Fighter Capability Project (FFCP) will successfully acquire and transition into service 88 advanced F-35A fighter aircraft, along with the associated equipment, weapons, infrastructure, information technology, and sustainment, including training and software support.
- Three variants of the aircraft are being produced. The F-35A is the conventional takeoff and landing variant, whereas the B and C variants are the short take-off and landing and the carrier-based variants, respectively.
- The initial aircraft will be located at the F-35A Pilot Training Center in Luke Air Force Base, Arizona, to enable the training of RCAF pilots while National Defence completes the necessary infrastructure to support aircraft delivery and commence operations in Canada.
Gender-based Analysis Plus (GBA Plus)
- New accessible infrastructure for the F-35A will be designed to include GBA Plus considerations. This includes the incorporation of a lactation room, multi-faith room, and gender-inclusive washrooms and showers in the design of the Fighter Squadron Facilities. The facilities will also be accessible for persons with disabilities and will include an area for Indigenous Smudging ceremonies.
- Further, the F-35 cockpit accommodates the largest range of pilots compared to any legacy or operational fighter aircraft, accommodating operators from 103 pounds to 245 pounds.
Indigenous Considerations
- The requirement for federal departments and agencies to ensure a minimum of 5% of the total value of each and all department and agency contracts are awarded to Indigenous businesses does not apply to FFCP procurement.
- This commitment came into effect after FFCP’s release of its Request for Proposal, during the proposal evaluation phase. Furthermore, the FFCP procurement is conducted through Government-to-Government Arrangements (MOU and Foreign Military Sales Cases) and is therefore not subject to the set-aside Program for Indigenous Business.
- That said, National Defence continues to explore opportunities for partnership with Indigenous stakeholders and partners through FFCP, as well as related infrastructure projects, such as the construction of facilities in Cold Lake.
Joint Strike Fighter Program (JSF) and Production, Sustainment and Follow-on Development (PSFD) MOU
- The JSF Program is a U.S.-led multinational cooperative effort to build an advanced combat aircraft equipped to fulfill multiple roles.
- The objectives of the JSF program include: developing, producing, and sustaining the most advanced, affordable fighter for participants; maximizing commonality to achieve affordability and coalition interoperability; implementing a global sustainment system to deliver continuous cost and performance improvements; and promoting industrial involvement for participants.
- Canada has been an active participant in the JSF Program since it began in 1997, and in 2006 became a partner in the PSFD MOU, which was renewed in 2021. The current PSFD MOU was renewed to December 2051.
- To date, Canada has spent USD $809.8M to participate in the program. The most recent payment was for USD $97.3M.
- 8 partner countries cooperate under the JSF PSFD MOU: Australia, Canada, Denmark, Italy, Netherlands, Norway, United Kingdom, and the U.S.
- To date, there are 10 foreign military sales customers of the F-35: Belgium, Finland, Germany, Israel, Japan, South Korea, Poland, Singapore, Switzerland, and the Czech Republic.
Parliamentary Budget Officer Report
- On 2 November 2023, the PBO published a report that encompassed analyses of the development, acquisition, operations, and sustainment, as well as disposal costs of the FFCP project.
- In its report, the PBO estimates acquisition costs to be $19.8 billion (this is the current phase of the project) and for the total life-cycle cost to total $73.9 billion.
- The PBO’s findings are largely aligned with those previously published by National Defence.
- Canada’s historical contributions to the Joint Strike Fighter Program MOU (2006) was not included as part of PBO’s costing.
Maritime Helicopter Project: CH-148 Cyclones
- It is imperative that our members in uniform have the equipment they need to fulfill their missions.
- This includes the CH-148 Cyclone, a maritime helicopter that operates alongside our naval fleets.
- The Cyclone can be used for surface and sub-surface surveillance, search and rescue missions, tactical transport, and more.
- To date, 27 Cyclone helicopters have been delivered, and we look forward to the expected delivery of the final helicopter in 2025.
- The Cyclone is a modern aircraft, and all modern platforms require regular updates to ensure their mission capabilities and systems maintain operational relevance.
- Options to upgrade the CH-148 Cyclone are under evaluation to determine the best path to deliver the required capability.
If pressed on main rotor blade issues:
- The safety of our personnel in uniform is paramount.
- We are aware of a manufacturing defect that affected the main rotor blades installed on the in-service CH-148 Cyclones.
- As soon as a potential issue was identified, we immediately conducted an inspection and removed any affected rotor blades from service.
- All the affected blades have been returned to the manufacturer for replacement and the situation was fully resolved in June 2024.
If pressed on availability of spare parts:
- There are several CH-148 Cyclone parts that are unique to the Canadian variant of this helicopter.
- Canada and the suppliers are closely tracking challenges with the supply chain to improve the availability of the required parts.
If pressed on increased costs:
- In May 2023, the project was granted additional expenditure authority to procure new equipment related to survival and defensive capability, and to allow the Cyclone to interface with Halifax-class ships.
- In addition, amendments to the project's schedule shifted the closeout date from 2022 to 2027, requiring additional costs.
Key Facts
Project Budget
- Acquisition cost: $3.2 billion
- In-service support until 2038: $5.8 billion
Project Details
- Contract award: 2004
- First delivery: 6 Cyclones in 2015
- Deliveries to date: 27 Cyclones (26 in service)Footnote 1
- Final delivery: Delivery and acceptance of all 28 Cyclone helicopters is expected to be completed in spring 2025.
- Full operational capability: September 2026
- Current estimated life expectancy: 2043
Details
- As outlined in Canada's defence policy, the Government of Canada is making investments to ensure that members of the Royal Canadian Air Force (RCAF) have the equipment they need to fulfill their missions.
- The aircraft serves several key roles, including anti-submarine and anti-surface warfare, disaster relief, counter-narcotic operations, fisheries and pollution patrols, search and rescue missions, and international peacekeeping.
- The CH-148 Cyclone must be able to operate from the Royal Canadian Navy (RCN) Halifax-class and also integrate with RCN future fleets – the Arctic and Offshore Patrol Ships, the Joint Support Ships, and the River-Class Destroyer.
- In addition, the Canadian Armed Forces tested that sensors embedded in the CH-148 Cyclone could meet their intended operational capabilities in the Arctic by completing a mission from Shearwater to Alert, Nunavut that found the Cyclone capable of operating in the North.
- All Canadian Armed Forces aircraft are maintained and operated in accordance with our rigorous Airworthiness Program.
Main Rotor Issue
- There are no current limitations on the use of Cyclones due to this issue.
- In June 2022, the aircraft Original Equipment Manufacturer (OEM) notified National Defence of an airworthiness risk affecting 46 main rotor blades installed on in-service CH-148 Cyclones.
- Regular preventive inspections were conducted until all of the suspect blades were returned to the OEM.
- Blades found to be defective are immediately removed from service and are returned to the OEM for replacement.
- As of May 2024, all affected blades have been returned to the manufacturer and the situation is considered resolved.
Tail Cracking Issue
- In November 2021, during routine maintenance, National Defence detected cracks in the tails of 21 CH-148 Cyclone aircraft. Repairs were undertaken immediately on all aircraft with the support of the manufacturer, Sikorsky.
- Sikorsky has worked closely with National Defence technicians and engineers since the cracks were found and has made the determination that the cracks are the result of structural loads caused by the Electronic Support Measures and Sat/Com antenna mounts while in flight.
- Sikorsky has identified a long-term design fix consisting of replacing the structural area experiencing the extra stress, with a more robust design achieved using a thicker material.
Flight Safety Investigation Report Recommendations Update
- Since the release of the CH148822 Flight Safety Investigation Report (FSIR) in June 2021, work has been ongoing to address the report's recommended preventive measures.
- In response to the FSIR and following independent testing by Sikorsky and the RCAF, a technical solution has been reached that addresses the FSIR recommendations. This solution consists of software changes that will:
- Provide greater latitude to safely maneuver the aircraft should the Flight Director be overridden, with an automatic disconnect function and warning should an unsafe condition arise; and
- Incorporate visual improvements to the annunciation system to enhance pilot awareness.
- DND has begun the airworthiness certification of the design change, conducted successful ground testing in November 2023 and test flights were conducted successfully in June 2024, and has moved to fleet-wide implementation.
Procurement of Light Utility Vehicles
- Ensuring that our soldiers are equipped with modern and effective equipment is a top priority for National Defence.
- The new fleet of Light Utility Vehicles will replace the in-service Light Utility Vehicle Wheeled platforms (military versions of the Mercedes G-Wagon and Chevrolet Silverado), which are approaching the end of their operational life expectancy.
- The new vehicles will have greater mobility and survivability than the current platforms.
- They will be capable of employment in combat, combat support, and combat service support roles across the full spectrum of operations.
If pressed on delays in LUV procurement:
- This project is currently in the Definition Phase, during which National Defence determines how the preferred option will be procured to deliver the operational outcomes on time and on budget.
- The Defence Team works very closely with manufacturers so that vehicles meet requirements, operate as intended and are safe for our members to use.
Key Facts
Estimated Cost: $250 million to $499 million
Anticipated Timeline:
- Definition Phase – In progress
- Start Implementation – 2027/2028
- Initial Operational Capability – 2029/2030
- Final Operational Capability – 2033/2034
The Invitation to Qualify is complete; six qualified suppliers have been identified with both the expertise and capability to deliver the vehicles. This is a significant milestone towards the delivery an important CAF capability.
CAF Sleeping Bags
- People are at the core of everything the Canadian Armed Forces does to deliver on its mandate.
- Upon learning of members’ concerns with the sleeping bags, National Defence took immediate action.
- This included supplying personnel with additional thermal equipment.
- Looking ahead, we will also procure an Extreme Cold Weather Sleeping Bag System so that our CAF members are protected in all climates.
- A Request for Proposals was recently issued to industry to move this project forward.
Key Facts
General Purpose Sleeping Bag System and Next Steps
- The total value of the General Purpose Sleeping Bag System (GPSBS) contract is $34.8 million (including taxes). The GPSBS remains a core component of the Canadian Armed Forces' sleeping system and is expected to stay in service for many years.
- The GPSBS is designed for sub-arctic, controlled conditions and consists of an inner bag, outer bag, and liner. After initial issues were raised, a questionnaire was disseminated to users to assess interoperability, ruggedness, comfort, adjustability, reliability, and operational effectiveness.
- Feedback from CAF members indicated that the system lacked adequate thermal protection when used in austere, mid-winter conditions. To mitigate concerns, units operating in extreme environments were provided additional supplies, including thermal blankets, and inflatable sleeping pads.
- A request for proposals for an Extreme Cold Weather Sleeping Bag system initiative was issued on July 22, 2024. This procurement will complement the GPSBS, ensuring coverage across all climatic conditions.
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