Canadian Helicopter Deals - Old And New

There has been yet another delay in the process to replace the Canadian Navy's elderly Sea King helicopters.

There has been a third delay in the delivery of new navy helicopters slated to replace a fleet of decades-old Sea Kings, the federal government said Tuesday.

A spokeswoman for Public Works Minister Rona Ambrose says U.S.-based Sikorsky has informed the federal government it won’t meet a Nov. 30 deadline for delivery of early versions of the Cyclone helicopters used for testing and evaluation.

Rebecca Thompson said Sikorsky considers the delay "excusable" under its contract but Public Works will determine if any penalties should be applied. Thompson said if Ottawa rejects Sikorsky’s argument, the department could implement a fine of $45,000 a day, up to a maximum of 120 days, the delivery of the choppers is late.

"When we sign a contract, we expect a contractor to deliver on time," Thompson said in an email. "This case is no different."

The federal government originally ordered 28 of the Cyclones in 2004 with a delivery date of November 2008, but it has announced delays in the more than $5-billion contract on at least two previous occasions.

In her Oct. 26 report, federal auditor general Sheila Fraser slammed the project for huge cost overruns and delays. She said the total cost of buying all of the helicopters, which operate off the decks of navy frigates and are intended to replace the aging Sea King fleet, would likely top $5.7 billion and come in seven years late.

Thompson said she did not know when the training and evaluation helicopters would be available, but added that Sikorsky said it is sticking to its plan to begin delivering the fully-equipped, final version of the helicopters by June 2012.

The Canadian military apparently needs more helicopters for its Afghanistan mission and has quietly leased at least 4 Mi-17 helicopters.

The Defence Department has quietly acquired a new fleet of helicopters for combat missions in Afghanistan, but is refusing to provide details about how much the deal cost taxpayers or how many aircraft are operating.

The lease of the Russian-designed Mi-17s helicopters for use in Kandahar province is shrouded in secrecy.

The Defence Department says the lease was the result of a competitive contract, but military sources say the details were kept off the MERX web-site, which formally lists government procurement competitions, and no news release was issued about the new choppers, which have been in use since the spring.

Sources say the helicopters are among tens of millions of dollars of purchases of equipment for the Afghanistan mission that the Defence Department has kept secret.
The department will not release the number of helicopters, the cost, nor the name of the company providing the aircraft since it says that information could help Afghan insurgents. Sources say at least four helicopters are being used.

By: Shelldrake