Latest news with #CF-35A
Toronto Sun
3 days ago
- Business
- Toronto Sun
LILLEY: F-35 audit shows incompetence at DND and across Ottawa
The original cost estimate was a lie, the rest is utter incompetence. Get the latest from Brian Lilley straight to your inbox Prime Minister Mark Carney answers a question during question period in the House of Commons on Parliament Hill in Ottawa on Tuesday, June 10, 2025. Photo by Sean Kilpatrick / THE CANADIAN PRESS The report on the cost of the F-35 from the auditor general is more about incompetence than anything else. It's also a worrying sign given that Prime Minister Mark Carney just pledged billions in new spending for the Canadian Armed Forces. This advertisement has not loaded yet, but your article continues below. THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLY Subscribe now to read the latest news in your city and across Canada. Unlimited online access to articles from across Canada with one account. Get exclusive access to the Toronto Sun ePaper, an electronic replica of the print edition that you can share, download and comment on. Enjoy insights and behind-the-scenes analysis from our award-winning journalists. Support local journalists and the next generation of journalists. Daily puzzles including the New York Times Crossword. SUBSCRIBE TO UNLOCK MORE ARTICLES Subscribe now to read the latest news in your city and across Canada. Unlimited online access to articles from across Canada with one account. Get exclusive access to the Toronto Sun ePaper, an electronic replica of the print edition that you can share, download and comment on. Enjoy insights and behind-the-scenes analysis from our award-winning journalists. Support local journalists and the next generation of journalists. Daily puzzles including the New York Times Crossword. REGISTER / SIGN IN TO UNLOCK MORE ARTICLES Create an account or sign in to continue with your reading experience. Access articles from across Canada with one account. Share your thoughts and join the conversation in the comments. Enjoy additional articles per month. Get email updates from your favourite authors. THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK. Create an account or sign in to continue with your reading experience. Access articles from across Canada with one account Share your thoughts and join the conversation in the comments Enjoy additional articles per month Get email updates from your favourite authors Don't have an account? Create Account The headline from the audit is that the original cost projection to buy 88 F-35 fighter jets was $19 billion and now it's $27.7 billion, a 46% increase. Any rational person would be outraged at this kind of cost increase, but your outrage should be directed to bureaucrats in Ottawa, the officers at DND HQ and the Liberal government. They flubbed the original cost projection because as the auditor found, they were using old data. 'We found that National Defence's 2022 estimates were based on outdated data at the time. Information used in those estimates had been gathered during the competitive process for acquiring the CF-35A dating back to 2019,' the audit states. They also found that DND was only 50% confident in the cost estimate before releasing it. What this tells me is that they lowballed the cost off the top, perhaps through incompetence, but also to appease their Liberal political masters who had already canceled the F-35 contract in the past and wouldn't want to be seen spending money on the military. Your noon-hour look at what's happening in Toronto and beyond. By signing up you consent to receive the above newsletter from Postmedia Network Inc. Please try again This advertisement has not loaded yet, but your article continues below. So, in reality the cost has not increased 46% from 2022, it's increased from the false numbers presented to the public. The Joint Strike Fighter Program Office already had data in 2022 showing cost increases were happening — remember that this was a time of out-of-control inflation — the government should have presented realistic figures and did not. A second major point to consider is that the cost of the actual fighter jets is not increasing by as much as the other costs. The false 2019 estimate had the aircraft costs at $10 billion, now it's pegged at $12.2 billion or a 22% increase. While that is still outrageous, and well above the overall cost of inflation, it pales in comparison to other increases. Infrastructure costs have increased from $1.3 billion to $2.5 billion, a 92% increase. The facilities to house the fighter jet fleet and support their maintenance at CFB Cold Lake in Alberta and CFB Bagotville in Quebec are also running three years behind schedule. This advertisement has not loaded yet, but your article continues below. The facilities were supposed to be ready by 2031 and now it looks more likely that they won't be ready until 2034. That means the facilities not being ready until well after we have taken full possession of the full fleet of 88 jets. Weapons systems costs have also increased from $1.6 billion to $2.5 billion, or a 64% increase, while what is labeled as 'contingency' has increased from $2 billion to $6.2 billion, more than three times originally estimated. All of this to say that this isn't Lockheed Martin or the Americans ripping us off by jacking up the costs, this is incompetence and bad project management out of Ottawa. Coming as it does when Carney has announced an additional $9-billion cash infusion into the military; it is all very concerning. This advertisement has not loaded yet, but your article continues below. The PM has said that every dollar will be expected to be spent wisely and acknowledged that he understands procurement is a problem in the military. This report from the Auditor General puts that in sharp focus and should serve as a warning to the PM and his top advisors. It should also lead to some people losing their jobs, though the chance of that happening in Ottawa is slim to none. Perhaps Carney will at least send in some adult supervision and competent project managers to get the F-35 costs under control and the infrastructure timeline back on track. Now is the time to fix this program, not to scale it back or cancel it altogether as some will now call for. RECOMMENDED VIDEO Toronto Maple Leafs NHL Toronto Blue Jays NHL Celebrity
Yahoo
3 days ago
- Business
- Yahoo
Lockheed's F-35 jets to cost Canada 50% more than planned, Auditor General says
-- Canada's purchase of 88 Lockheed Martin (NYSE:LMT) F-35 fighter jets will cost approximately C$27.7 billion ($20.2 billion), nearly 50% more than initially estimated, according to a government audit released Tuesday. Canadian Auditor General Karen Hogan's report, tabled in the House of Commons, revealed significant cost increases and potential risks that could delay the introduction of the new fleet, which is intended to replace Canada's aging CF-18 fighter jets. The governments of Canada and the United States finalized an arrangement in December 2022 to acquire the multi-role CF-35A fighter jets along with associated equipment, weapons, and services as part of the Future Fighter Capability Project. When the government finalized the arrangement, the estimated costs were C$19 billion. The audit found this figure was based on outdated information. By 2024, costs had jumped to C$27.7 billion and did not include other elements needed to achieve full operational capability. Essential infrastructure upgrades and advanced weapons would add at least another C$5.5 billion to the total cost, according to the report. The audit also identified that construction of two new fighter squadron facilities to accommodate the CF-35As was more than three years behind schedule. Costs for an interim solution to support the new jets will further increase infrastructure expenses. Another major concern highlighted in the report is a potential shortage of qualified pilots to fly the advanced aircraft. This personnel issue was previously identified in a 2018 report from the Auditor General and remains unresolved more than six years later. "Maintaining a strong fighter-jet capability contributes to the safety and security of Canadians," Hogan said. "This is a large, multi-year project that requires active and ongoing management of risks and costs to ensure that the CF-35 fleet can be brought into service on time." The project's primary objective is to maintain Canada's fighter-jet capability for national defense and to fulfill international defense commitments, such as the 2% of GDP requirement for NATO countries, which Canada currently lags behind, prompting Prime Minister Mark Carney to announce a significant boost in defense spending Monday. Related articles Lockheed's F-35 jets to cost Canada 50% more than planned, Auditor General says 2 key questions to consider as U.S.-China trade talks continue in London Canada to hit NATO defense target early, Carney says
