Question Period Note: Renewal of the Fleet

• In 2019, the Government announced the largest investments ever made to renew the Canadian Coast Guard fleet with up to 24 new large ships: up to 16 Multi-Purpose Vessels, two Arctic Offshore Patrol Ships and up to six Program Icebreakers.
• I am also working with my colleague, the Minister of Public Services and Procurement, to explore options to ensure efficient delivery of a Polar Icebreaker for the Coast Guard.
• 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.

• Renewal of the Canadian Coast Guard fleet is underway. Funded replacement plans are currently in place for up to 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 Up to 16 Multi-Purpose Vessels;
o Two Arctic Offshore Patrol Ships (Coast Guard variants of ships currently in construction for the Department of National Defence); and
o Up to 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 on June 27, 2019. The second ship, CCGS Capt. Jacques Cartier, was delivered on November 29th 2019. The third ship is expected by the end of September 2020.
• The Government is exploring options to ensure the efficient delivery of the Polar Icebreaker. In February 2020, Canada released a Request for Information seeking information on domestic shipyard capability and capacity to construct a Polar Class icebreaker within required timeframes. While no decision has been made, both Vancouver Shipyards and Chantier Davie have announced plans and partnerships to support construction of the ship.
• 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. Delivery of both the second and third ships are expected this fiscal year; and
o A revised RFP to procure a fourth interim ship (a light icebreaker) was released in mid-September 2020. It is expected to remain open for 40 days.

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, aids to navigation, environmental response, and offshore search and rescue.
o The 16 Multi-Purpose Vessels would replace the Polar Icebreaker in Vancouver Shipyards’ program of work, and the Government would explore options to ensure the efficient delivery of the Polar Icebreaker.
 On October 11, 2020, John Horgan, NDP Leader for the province of British Columbia, announced that if re-elected they would launch a long-term shipbuilding strategy and push the federal government to have the next Polar Icebreaker built in the province.
• 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 value for money is achieved in the contracting 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. In December 2019, it was announced that Chantier Davie had pre-qualified to become the third shipyard.
o Public Services and Procurement Canada is currently in the second stage of the procurement process to qualify a third shipyard under the NSS. The Request for Proposal was released to Chantier Davie in late July 2020 and is expected to close in fall 2020.
• 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.

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.
• In addition to the Program Icebreakers, we will also deliver a Polar Icebreaker to provide enhanced capabilities for science and sovereignty missions in 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 expected to be in place by spring 2021.
Condition of the Fleet
• Our government is actively investing in the Coast Guard’s current fleet to extend their lives so that the Coast Guard remains ready to serve Canadians until new ships are delivered under the National Shipbuilding Strategy. The Canadian Coast Guard fleet has a rigorous maintenance plan for each of its vessels to keep them in safe, reliable working condition.
• Building new ships takes time. Until new assets are delivered, the Coast Guard is actively ensuring continued service delivery for Canadians - by undertaking vessel life extension work for existing ships and acquiring commercial vessels as required.