The Harper government may be ready to throw in the towel on the
purchase of long-delayed CH-148 Cyclone helicopters and has gone as far
as sending a military team to Britain to evaluate other aircraft.
Defence sources say the team, which included an officer from the air
force directorate of air requirements branch, visited a southern base in
the United Kingdom recently to look at Royal Navy HM-1 Merlin
helicopters.
A spokeswoman for Public Works Minister Diane Findley confirmed the
government is looking at options "other" than the troubled Cyclones,
which are years behind schedule and billions of dollars over-budget.
But Amber Irwin would not get into the details.
"We are conducting an analysis of price and availability of other
aircrafts manufactured by other vendors," Irwin said Thursday. "The
Government of Canada is committed to ensuring that our armed forces have
the equipment they need at the best value to the taxpayer."
But sources inside National Defence said the effort is "quite serious"
and more than just a warning to Sikorsky, the maker the Cyclones, which
has been publicly pressuring the Conservative government to accept four
test helicopters currently at Canadian Forces Base Shearwater, N.S.
It is under contract to deliver a total of 28 aircraft.
The U.S. defence giant wanted to gradually introduce the helicopters
into service with scheduled upgrades to the flight software until the
aircraft was fully capable of handling all its missions -- a proposal
the government has steadfastedly rejected.
A spokesman for AugustaWestland, the maker of the Merlin, said the
company has watched the unfolding procurement drama and already
conducted its own analysis of whether it can meet the Canadian air
force's statement of requirements.
"We have not been asked for inputs," Jeremy Tracy told The Canadian
Press, "but what we have ascertained is that the company is quite happy
that we are probably more compliant today than we were at the time of
bidding."
AugustaWestland was a contender a decade ago in the bidding, which ultimately saw Sikorsky picked as the winner.
The Merlin helicopter, which was examined by the team, is a variant of
the CH-149 Coromrant, which Canada already flies for search-and-rescue,
and both of those aircraft are based on AugustaWestland's original
EH-101 design.
If the Conservatives were to scrap the Cyclone in favour of the Merlin it would be a decision steeped in irony.
In the early 1990s, Brian Mulroney's government ordered 50 EH-101s to
replace the air force's CH-124 Sea Kings, which are still in service.
But the deal was cancelled by Jean Chretien's Liberals shortly after
they were elected in 1993.
It was Paul Martin's Liberal government which signed the deal Cyclone
deal with Sikorsky for $3.2 billion -- a figure which has now ballooned
to $5.7 billion. The aircraft were supposed to be in service by 2008.
The failure to deliver new aircraft was the subject of a scathing auditor general's report.
So far, Sikorsky has accrued $88.6 million in liquidated damages for its failure to meet the contract.
Last spring, former public works minister Rona Ambrose asked for an
independent analysis of whether Sikorsky could deliver what it promised
and Irwin says the government is currently studying a draft version of
that report.
Government insiders say it was an attempt to deliver better governance
over the program, which has been regular fodder for opposition parties
in question period.
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