Question Period Note: OAG report on Arctic Waters Surveillance

Why does the Government continue to ignore the significant gaps in our Arctic security capabilities, leaving Canadians vulnerable to increased threats from the North?

• National Defence welcomes the Auditor General’s report and appreciates the work of her team on behalf of Canadians.

• In fact, we have agreed with both recommendations in concert with our other federal partners.

• The surveillance of Arctic waters is a whole-of-government effort and National Defence is committed to doing its part.

• Which is why we are investing $38.6 billion over the next 20 years to enhance and modernize our contributions to NORAD. This includes investments that will increase our ability to surveil the Arctic.

• Further, we are updating our defence policy to ensure the Canadian Armed Forces have the resources and capabilities required to act in an increasingly complex security environment.

• We take the responsibility to defend our Northern sovereignty seriously and are committed to working with our federal partners to address the report’s recommendations.

Quick Facts

• Budget 2022: Allocates $6.1B over five years, with $1.3B in remaining amortization to increase defence capabilities, improve continental defence, and support commitments to our allies.

• Budget 2021: Allocates an initial $252.2M over five years, with $160M in remaining amortization, starting in 2021-22, to support continental defence and NORAD modernization.

Background

• On 15 November 2022, the Office of the Auditor General tabled a report on the Government of Canada’s efforts related to the surveillance of Arctic waters to assess whether the government has put in place the elements of maritime domain awareness required to respond to safety and security risks associated with increased vessel traffic in arctic waters.

• The OAG report found that action has not been taken to address long-standing gaps, and the growing need, in surveillance of Arctic waters.

• The report identified issues with outdated equipment, incomplete surveillance, insufficient data, and difficult sharing routine information between partners, including local communities. Significant risks to surveillance, patrol and presence capabilities were also identified.

• The report provides two recommendations directed towards all implicated Government departments:

  • Departments address the long-standing gaps in Arctic maritime domain awareness, particularly continuous tracking of vessels and identifying non-emitting vessels as well as improve information sharing on maritime domain awareness in the Arctic; and

  • Departments improve key equipment used for maritime surveillance in the Arctic by considering options for acquiring equipment in a more timely manner, and developing contingency plans to address the risks posed by critical equipment failure.

PROCUREMENT AND INFRASTRUCTURE DELAYS

• The OAG report seeks to address delays in the delivery of equipment through projects to replace and improve the key federal equipment used for maritime surveillance in the Canadian Arctic.

• The report highlighted the Arctic Offshore Patrol Ships, CP-140 Aurora, and Nanisivik Naval Facility as capabilities facing challenges, delays and requiring immediate action to address capability gaps in Arctic surveillance.

• National Defence has taken a number of concrete steps to improve procurement, including:

  • Working with Public Services and Procurement Canada (PSPC) in accelerating procurement for low-risk, low-complexity projects;

  • National Defence’s contracting authorities has risen to $7.5 million for competitive services contracts, to $5 million for the procurement of competitive goods (plus $2.5 million for contract amendments) and to $375 thousand for non-competitive goods and service contracts;

  • Investing in our procurement professionals to make sure we have the expertise and capacity we need to advance projects

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