CASR

Defence
Budget & 
Procurement
Practices 
————
ACAN s 
————

Canadian Shipbuilding  –  JSS Project/AOR Replacement  –  November 2010 JSS Morphs into MOTS AOR Replacement: Sizing Up NATO Oilers Instead of Ogling All-in-One JSS Designs  —  MERX ACAN Notice This ACAN represents a rather pathetic end to the Joint Support Ship project  (and its predecessor, the Afloat Logistics and Sealift Capability ship). In place of these hybrid, all-in-one concepts, DND now will consider two in-service auxiliary oiler replenishment ships to replace the Canadian Navy's aged (and single-hulled) Protecteur class AORs. Canadian citizens and taxpayers should welcome this development. The Navy will gain the at-sea-replenishment it needs to continue international operations. Lost is the 'roll- on/roll-off' transport capability which is, frankly, a seldom-used capability in any case. The two AOR classes named in this ACAN are the German Berlin and Spanish Cantabria. Both are excellent designs. Both are also slightly less capable AORs than the Protecteur class they would replace. That loss of capability is a minor consideration compared to being proven vessels of modern design – diesel-powered drive instead of steam turbines; double-hulls to meet current  Canadian and  international environmental standards in place of Protecteur class '60s-vintage single-hull design. So what are the downsides? With the loss of the planned hybrid RO/RO capability, the interminable JSS debate can be expected to drag on into the future. And, if there is to be further overseas Canadian Forces deployments, some solution must be arrived at. Most probably, the answer will be a combination of  leased  commercial ships ( RO/RO, container carriers, and  heavy- lift types). Commercial leasing was a bogeyman used to back JSS (usually invoking the spectre of the MV Katie debacle). But  that ignores successes like MV Marinus Green delivering AVGPs to the African Union at Dakar.  Polish up those contract-negotiating skills, Public Works. Our Navy won't be doing the Army's heavy-lifting any time soon. Update:  Oct 2012 – the LOI request for JSS (and AOPS ) In-Service Support has been amended  to delete reference to the first delivery dates ( '2018' has become 'unknown' ). An edited text of  the ACAN (as published on the MERX website) is reproduced here. ________________________________________ JSS [Joint Support Ship] MILITARY OFF THE SHELF DESIGNS - MERX JSS Advance Contact Award Notice ________________________________________ Reference Number                PW-$JSS-002-20532 Solicitation Number              W8472-115312/A Organization Name               Public Works and Government Services Canada                                                  Travaux publics et Services gouvernementaux Canada Source ID                               FD.DP.QC.10077.C2 Associated Components     No Dates Published     2010-10-08 Revised        2010-10-13 Closing         2010-10-25  02:00 PM  Eastern Daylight Saving Time  EDT Details Category     Marine GSINS          N1915C:  VESSELS, TANKER Region of Delivery            National Capital Region Region of Opportunity     — Agreement Type                NONE Tender Type                       Advance Contract Award Notice (ACAN) Estimated Value                  — Solicitation Method           — Notice Description JSS MILITARY OFF THE SHELF DESIGNS Trade Agreement:  NONE Tendering Procedures:  Generally only one firm has been invited to bid Attachment:  None Non-Competitive Procurement Strategy:  Exclusive Rights Comprehensive Land Claim Agreement:  No Vendor Name and Address: Thyssenkrupp Marine Systems Canada Inc. Suite 1001  275 Slater Street Ottawa  Ontario  Canada  K1P5H9 Nature of Requirements: ... The [ Joint Support Ships (JSS) ] are critical to the Canada First Defence Strategy. They will replace the Protecteur class Auxiliary Oiler Replenishment (AOR) ships that were built in the late 1960s, are near the end of their service lives and do not meet current international environmental standards. A previous procurement process was terminated in August 2008, as no compliant proposals were received. The Government has approved a new procurement approach whereby National Defence will explore adapting the designs of recently built naval fleet replenishment ships that are operating with other NATO Navies. Based on information available in the public domain and information received from Allied Navies, National Defence has concluded that the following designs are the only candidates for adaptation:   •   The Berlin Class   •   The Cantabria Class The Government intends to award two separate contracts,  one to ThyssenKrupp Marine Systems Canada Inc. (TKMS) and the other to Navantia, S.A. (Navantia), to conduct risk reduction studies to ascertain the feasibility of adapting these designs to meet Canadian requirements, to provide the historical cost of building these ships, and to deliver a proposal for the development of suitable modifications to their respective designs and the delivery of a data package for use by a Canadian shipyard to build the ships, a technology transfer agreement and the right for Canada to use the design and all data for the construction, use and in-service support of these ships. If one of  these designs is selected for the JSS, Canada will amend the contract with that designer to implement its proposal. Accordingly, you are hereby notified that Canada intends to solicit bids from and negotiate contracts with TKMS and Navantia as described above. 3.  Requirements Canada will consider a submission from any respondent, who is a supplier, interested in submitting a statement of capabilities provided such supplier:  A. offers a [JSS] candidate ship design for consideration ... in relation to which:     i. the supplier owns the design outright, or for which the supplier has the license to        the design with an unfettered right to sublicense the design for all purposes to        Canada, including, without limitation, the right to the technical data package and        all other related data and technology and the right to modify the design; and     ii. there are no restraints, including legislative or regulatory restraints imposed by         any government, that would prevent or restrict Canada from using the design,         technical data package and all related data and technology;   AND   B.  which candidate ship must:        i. be a naval fleet replenishment oiler;        ii. have been built, and is currently in-service for a [NATO member nation];        iii. be double-hulled and certified to the International Convention for the Prevent-             ion of Pollution from Ships 1973, as modified by the Protocol of 1978 relating             thereto MARPOL 73/78, Annex I, Regulation 19 pertaining to the double-hull             requirement of oil tankers; and        iv. comply with the following constraints:              a. Length Overall: not to exceed 200 meters to use existing jetty infrastructure              at CFB Halifax and CFB Esquimalt [well with 289.6m limit of Article 55, below];              b. Maximum Beam: not to exceed 32.3 meters in compliance with Article 55 of              the Regulation for Navigation in Canal Waters issued by the Panama Canal              Authority; and              c. Deep Draught: not to exceed 9.5 meters to meet harbour entry requirements              for Halifax and Esquimalt. 4.  Legislation, Trade Agreements, and Government Policies [which excludes AIT,      NAFTA, WTO-AGP, and Comprehensive Land Claims Agreements ...] 5.  Government Contract Regulations Exception and Limited Tendering Reason Research indicates that the Berlin Class and the Cantabria Class designs are the only two designs that can be adapted to meet the high-level mandatory capability require- ments described in paragraph 3.B. that closely match the National Defence operational and technical requirements. Therefore, ... only TKMS and Navantia are believed to be capable of performing the contracts. 6.  The period of the proposed contracts or the required delivery The anticipated period, of the proposed contracts, is two years. 7.  Proposed Contractors     ThyssenKrupp Marine Systems Canada Inc.  Ottawa, Canada     Navantia, S.A.  Madrid, Spain 8.  Suppliers right to submit a statement of capabilities [...] 9.  The closing date for a submission of a statement of capabilities     25 October 2010, 02:00 PM Eastern Daylight Saving Time (EDT)