Question Period Note: Renewal of the Fleet

About

Reference number:
DFO-2020-00031
Date received:
Mar 9, 2020
Organization:
Fisheries and Oceans Canada
Name of Minister:
Jordan, Bernadette (Hon.)
Title of Minister:
Minister of Fisheries, Oceans and the Canadian Coast Guard

Suggested Response:

• In 2019, the Government announced the largest investments ever made to renew the Canadian Coast Guard fleet with 24 new large ships: 16 Multi-Purpose Vessels, two Arctic Offshore Patrol Ships and six Program Icebreakers.
• Our significant commitment to renew the Coast Guard fleet will provide our crews with state of the art tools and preserve the world class marine safety regime that Canada enjoys.
• Interim measures such as the acquisition of three medium icebreakers and investing in vessel life extension work have been put in place to ensure that the Coast Guard can continue deliver essential services for Canadians from coast to coast to coast.

Background:

• Renewal of the Canadian Coast Guard fleet is underway. Funded replacement plans are currently in place for 29 large ships, including:
o Three Offshore Fisheries Science Vessels, including two that have already been delivered;
o One Offshore Oceanographic Science Vessel;
o One Polar Icebreaker;
o 16 Multi-Purpose Vessels;
o Two Arctic Offshore Support Ships (Coast Guard variants of ships currently in construction for the Department of National Defence); and
o Six Program Icebreakers.
• The National Shipbuilding Strategy (NSS) is delivering ships for the Canadian Coast Guard. The first Offshore Fisheries Science Vessel, CCGS Sir John Franklin, was delivered by Vancouver Shipyards in 2019. The second ship, CCGS Capt. Jacques Cartier, was delivered on November 29th 2019. The third ship is expected in 2020.
• Coast Guard is also renewing its small fleet. Seventeen new small vessels have already been delivered, including two new Channel Survey and Sounding Vessels and six new Search and Rescue Lifeboats that have joined the fleet in the past two years. An additional 14 Search and Rescue Lifeboats are currently in construction at Hike Metal Products, in Wheatley, Ontario and Chantier Naval Forillon, in Gaspé, Quebec.
• Coast Guard has also completed the renewal of its helicopter fleet with 15 new light-lift helicopters and seven new medium-lift helicopters. These assets are currently in operation.
• The Coast Guard is putting in place interim measures and investing in vessel life extension work to ensure continued delivery of critical services and minimize impact on our programs until new ships are delivered. This includes:
o A comprehensive Vessel Life Extension program to maintain the current fleet operational as new ships are being built;
o Acquisition of three interim icebreakers, the first, CCGS Captain Molly Kool, came into service December 2018 with the second and third ships expected to be in service in 2020; and
o [Redacted].
Announcements:
• On May 22nd, 2019, the Prime Minister announced a renewal of the Canadian Coast Guard fleet with up to 18 new large ships built in Canadian shipyards, helping the Coast Guard continue to deliver its important services, and creating good, middle class jobs across the country.
o Total funding for the 18 large ships is $15.7 billion, which represents early estimates of project budgets including construction, logistics and support, contingency, project management and infrastructure costs. The costs of each ship will be announced following contract negotiations.
o Irving Shipbuilding will build two non-combat Arctic and Offshore Patrol Ships, which will be adapted for the Coast Guard to perform a range of critical mission, including Northwest Atlantic Fisheries Organizational patrols.
o Vancouver Shipyards will build up to 16 Multi-Purpose Vessels to support a variety of missions, including light icebreaking, environmental response, and offshore search and rescue.
• On August 2, 2019, the Government of Canada announced that six new Program Icebreakers would be constructed for the Canadian Coast Guard.
o The total value of the Government’s investment was not announced to ensure a fully competitive procurement process.

o The Government intends to add a third strategic partner for large ship construction under the NSS to build the six Program Icebreakers. This additional shipbuilding capacity is needed to meet Coast Guard’s urgent requirements for replacements for its aging Medium and Heavy Icebreakers.

o The Government of Canada issued an Invitation to Qualify (ITQ), to establish a short list of shipyards that demonstrate they meet the initial, defined requirement to build six program icebreakers for the Canadian Coast Guard. Public Services and Procurement Canada is currently in the second stage of the procurement process to qualify a third shipyard under the NSS.

• The Government of Canada will also proceed through a competitive process with the design of a new class of smaller ships, the new Mid-Shore Multi-Mission ship, which would complement the work of the large fleet in shallow areas and deliver mid-shore science activities.

Additional Information:

Icebreaking Fleet
• Coast Guard icebreakers are essential to Canada’s economy by supporting year-round marine trade and ensuring the safe passage of goods to keep our economy moving.
• By investing in six new Program Icebreakers, the Government has taken steps to ensure the continuation of essential icebreaking services in Atlantic Canada, the St. Lawrence and the Great Lakes, as well as the Arctic.
On the Third Yard
• The second stage of the procurement process to qualify a third shipyard under the National Shipbuilding Strategy lead by Public Services and Procurement Canada is currently underway.
• Once that is completed, negotiations will begin for a potential Umbrella Agreement.