Defence report puts full F-35 cost at nearly $46B
Key questions remained Wednesday over the Conservative government's promise to consider all available options to replace Canada's aging jet fighters after an explosive new report put the full cost of buying, owning, replacing and disposing of 65 F-35 stealth aircraft at almost $46 billion.
But it's not known whether the government is really prepared to walk away from the F-35 if a better alternative is found.
Conservative ministers noted the new Department of National Defence report still put the actual purchase price for the F-35s within its $9-billion budget. The remaining $37 billion is for development, maintenance, operating costs and disposal when the aircraft reach the end of their usefulness, expected around 2052.
The government also said it is too early to determine whether an open competition between the F-35 and its rivals is a viable way to determine the best fighter for Canada at the best price. The government had initially planned to sole-source the contract.
Rather, the government says it has restarted the entire procurement process by ordering the defence department to reassess what missions Canada's next aircraft will be required to fly, what threats it will face and what technology and capabilities are available to Canada.
The government is also planning to reach out to other aircraft manufacturers such as Boeing and Eu-rofighter to determine what their aircraft are able to do and how much they will cost compared to the F-35.
This work will be re-viewed by a panel of independent experts comprised of former fighter pilot and senior bureaucrat Keith Coulter, University of Ottawa defence expert Philippe Lagasse, former bureaucrat-turned-consultant James Mitchell, and former federal comptroller general Rod Monette.
The government is also looking at whether extending the life of Canada's current CF-18 fleet is possible.
"We are pressing reset on this acquisition in order to ensure a balance between military needs and taxpayer interests," Defence Minister Peter MacKay said. "And to do so, we need to have all viable options on the table for the replacement of the CF18."
But other fighter aircraft manufacturers have indicated they will not co-operate unless there is an open competition.
And opposition parties say unless the Harper government holds a competition, its claims to have pushed the "reset" button on the F-35 are empty.
"This is a charade," NDP MP Jack Harris said. "This is not a new process. The reset button does not create anything more than another version of a sole-source contract. They're not going to put it out to a fair and transparent public tendering process."
Harris said the government has merely promised to do a "market analysis" of jets other than the F-35 - which he equated to a "shopping expedition."
By comparison, Harris said, a true tendering process would ultimately deliver Canadians what they need.
"You get the lowest price, you get the product that you need, at the right price with the industrial benefits that are required," he said.
The opposition also accused the government of showing no remorse after it originally told Canadians the F-35 would cost tens of billions of dollars less than the $45.8 billion over 42 years outlined in the National Defence report released Wednesday.
Read more: Defence report puts full F-35 cost at nearly $46B
F-35 mockup
Key questions remained Wednesday over the Conservative government's promise to consider all available options to replace Canada's aging jet fighters after an explosive new report put the full cost of buying, owning, replacing and disposing of 65 F-35 stealth aircraft at almost $46 billion.
But it's not known whether the government is really prepared to walk away from the F-35 if a better alternative is found.
Conservative ministers noted the new Department of National Defence report still put the actual purchase price for the F-35s within its $9-billion budget. The remaining $37 billion is for development, maintenance, operating costs and disposal when the aircraft reach the end of their usefulness, expected around 2052.
The government also said it is too early to determine whether an open competition between the F-35 and its rivals is a viable way to determine the best fighter for Canada at the best price. The government had initially planned to sole-source the contract.
Rather, the government says it has restarted the entire procurement process by ordering the defence department to reassess what missions Canada's next aircraft will be required to fly, what threats it will face and what technology and capabilities are available to Canada.
The government is also planning to reach out to other aircraft manufacturers such as Boeing and Eu-rofighter to determine what their aircraft are able to do and how much they will cost compared to the F-35.
This work will be re-viewed by a panel of independent experts comprised of former fighter pilot and senior bureaucrat Keith Coulter, University of Ottawa defence expert Philippe Lagasse, former bureaucrat-turned-consultant James Mitchell, and former federal comptroller general Rod Monette.
The government is also looking at whether extending the life of Canada's current CF-18 fleet is possible.
"We are pressing reset on this acquisition in order to ensure a balance between military needs and taxpayer interests," Defence Minister Peter MacKay said. "And to do so, we need to have all viable options on the table for the replacement of the CF18."
But other fighter aircraft manufacturers have indicated they will not co-operate unless there is an open competition.
And opposition parties say unless the Harper government holds a competition, its claims to have pushed the "reset" button on the F-35 are empty.
"This is a charade," NDP MP Jack Harris said. "This is not a new process. The reset button does not create anything more than another version of a sole-source contract. They're not going to put it out to a fair and transparent public tendering process."
Harris said the government has merely promised to do a "market analysis" of jets other than the F-35 - which he equated to a "shopping expedition."
By comparison, Harris said, a true tendering process would ultimately deliver Canadians what they need.
"You get the lowest price, you get the product that you need, at the right price with the industrial benefits that are required," he said.
The opposition also accused the government of showing no remorse after it originally told Canadians the F-35 would cost tens of billions of dollars less than the $45.8 billion over 42 years outlined in the National Defence report released Wednesday.
Read more: Defence report puts full F-35 cost at nearly $46B
F-35 mockup