Question Period Note: REQUEST FOR CONTRACT WITH DAVIE FOR A SECOND INTERIM SUPPLY SHIP (THE OBELIX)

• When will the government award a contract to Davie Shipyards for a second supply ship?

• Support ships provide crucial at-sea refueling and deliver supplies to Canadian military vessels participating in naval operations and exercises.
• Two new supply ships will be delivered to the Royal Canadian Navy between 2023 and 2025 to fulfill this important role.
• In the interim, the Asterix meets the Navy’s current needs and is supporting operations and exercises in non-high threat environments around the world.
• The Asterix has supported the Navy well and we look forward to receiving the new supply ships and integrating them into the Navy’s fleet.

BACKGROUND

The Asterix

• The premature retirement of the Royal Canadian Navy’s remaining supply ship, in 2016, combined with the operational delivery dates of the new Joint Support Ship, in 2022-2024, has resulted in a capability gap.

• To help bridge this gap, in 2015, the Government of Canada ordered the conversion of a commercial container ship into an interim supply vessel – the Asterix. The vessel became fully operational in 2017.

• The Asterix is operated by a civilian company (Federal Fleet Services) and is crewed by Canadian civilians. A limited number of Canadian Armed Forces personnel (up to approximately 130) are deployed as mission specialists.

• Since it became operational, the Asterix has supported numerous deployments and exercises at sea. This included supporting the operation to monitor and enforce UN sanctions against North Korea (Operation NEON).

Request for the Obelix

• Davie Shipbuilding is making the case to convert a second commercial vessel – the Obelix. Furthermore, the Bloc Québécois and the Conservative Party of Canada are advocating for the procurement of a second interim supply ship from Davie.

• The Parliamentary Budget Officer estimated the cost of a second interim supply ship is $607 million. This costing was requested by the Conservative Party of Canada as part of its larger platform costing during the election period.

RECENT PARLIAMENTARY INTEREST

• During the 42nd parliament, the opposition demonstrated sustained interest in naval procurement and Davie Shipbuilding’s request for a contract to provide the Navy with a second interim supply ship. The Minister of National Defence stated in the House of Commons that a second interim ship was not required.

RECENT MEDIA INTEREST

• In summer 2019, media commentators pointed to the Asterix as a rare example of a defence procurement project that was delivered on time and on budget. Media outlets have also reported on its contributions to recent operations to enforce UN sanctions against North Korea, international port visits and training missions.

GBA+

• Although this procurement predates the mandatory application of the GBA+ policy, the requirements to accommodate a mixed gender Royal Canadian Navy and civilian crew were key elements of the vessel’s conversion design.

INDIGENOUS

• Nil

Responsible Principals: Assistant Deputy Minister (Materiel), Royal Canadian Navy

QUICK FACTS

Details on the new supply ships

• Delivery of the first supply ship: 2023

• Delivery of the second supply ship: 2025

• Estimated budget for Joint Support Ships: up to $3.4 billion (under review)

Interim supply ship (Asterix)

• Since it became operational in 2017, the Asterix:
  • Spent more than 500 days at sea
  • Performed 197 refueling operations with 40 warships
  • Deployed to the Indo-Asia-Pacific region and Europe