National Shipbuilding Procurement Strategy

National Shipbuilding Procurement Strategy

Transcript

Bounded by three oceans and home to the Great Lakes, Canada defends more coastline than any other country on Earth.

After several shipwrecks during the 1700s, lifeboats and light stations were introduced to Canada’s east coast. In the 1800s, patrol vessels started protecting and enforcing fishing and shipping regulations. These were the foundations of the Canadian Coast Guard.

When the Second World War began, Canada had just ten vessels. When the war ended, the Royal Canadian Navy was the fourth largest in the world. During peace time, a balance was struck between those humble beginnings and the fleet of the 1940s.

Today, Canada protects its maritime approaches from smuggling, trafficking, and pollution. The services provide life-saving search and rescue as well as opportunities for scientific research. Canada’s navy also acts internationally, to meet our commitments and protect our interests.

The National Shipbuilding Procurement Strategy charts the course for the new federal fleet.

It is an important shift in shipbuilding, from working project-by-project to a long-term approach and strategic relationships with two Canadian shipyards to build large vessels.

Canada will sustain skilled jobs across the country, in shipbuilding and related industries, for generations to come.

Context

The National Shipbuilding Procurement Strategy represents an important step in the Canadian government’s commitment to rebuild the Royal Canadian Navy and the Canadian Coast Guard fleets. Canada defends more coastline than any other country, as it is bounded by three oceans. Canada protects its maritime approaches from smuggling, trafficking and pollution, and also provides life-saving search and rescue as well as opportunities for scientific research. The fleets also act internationally to meet our commitments and protect our interests. The current fleets of the Royal Canadian Navy and the Canadian Coast Guard are reaching the end of their operational lives. Through the National Shipbuilding Procurement Strategy, Canada is preparing for their replacements.

The three elements of the NSPS are: two packages of work, valued at $33 billion, to build large vessels, one for combat ships and the other non-combat ships; small vessel construction valued at $2 billion for shipyards who are not selected for the large vessels; and finally ongoing refit and repair work valued at $500 million annually which will be open to all shipyards through normal procurement processes. In its report entitled Sovereignty, Security and Prosperity, CADSI has estimated that government ship projects would directly and indirectly contribute over $2 billion in annual economic benefit and 15,000 jobs over the next 30 years.