Government of Canada receives proposals to replace its fighter jets

From: Public Services and Procurement Canada

News release

July 31, 2020 - Gatineau, Quebec - Government of Canada

The Government of Canada is committed to providing members of the Royal Canadian Air Force (RCAF) with the aircraft they need to do their jobs, while ensuring the best possible value for Canadians.

Today marked a significant milestone in the process to replace Canada’s fighter aircraft fleet. In response to the formal Request for Proposals released last summer, the following eligible suppliers have submitted proposals:

Swedish Government—SAAB AB (publ)—Aeronautics with Diehl Defence GmbH & Co. KG, MBDA UK Ltd., and RAFAEL Advanced Defence Systems Ltd.
United States Government—Lockheed Martin Corporation (Lockheed Martin Aeronautics Company) with Pratt & Whitney
United States Government—The Boeing Company with Peraton Canada Corp., CAE Inc., L3 Technologies MAS Inc., GE Canada and Raytheon Canada Limited Services and Support Division

The proposals will be rigorously evaluated on elements of capability (60%), cost (20%) and economic benefits (20%).

During the evaluation, a phased bid compliance process will be used to ensure that bidders have an opportunity to address non-compliance related to mandatory criteria in their proposals.

The initial evaluation of proposals is anticipated to be completed by spring 2021, at which point Canada may choose to enter into dialogue with two or more compliant bidders and request revised proposals.

Canada will finalize terms with the preferred bidder prior to the contract award, which is anticipated in 2022. Delivery of the first aircraft is expected as early as 2025.

Quotes

“I am extremely proud of the hard work and dedication in reaching this important milestone in the fighter fleet procurement process. I am confident that we will deliver on the government’s commitment to provide the Royal Canadian Air Force with the right fighter jet, at the right price, with the right social and economic benefits for Canadians.”

The Honourable Anita Anand
Minister of Public Services and Procurement

“Through our fully costed and funded defence policy, Strong, Secure, Engaged, our government committed to purchasing a full fleet of 88 aircraft to be able to meet our NORAD and NATO obligations simultaneously. Efficient and modern fighter jets are an integral part of any air force and we continue to work diligently to make sure that we provide the members of the Royal Canadian Air Force the tools they need to protect Canada, both at home and abroad.”

The Honourable Harjit S. Sajjan
Minister of National Defence

“This project represents a once-in-a-generation opportunity to support the competitiveness and growth of Canada’s aerospace and defence industries. Our government will evaluate each of these proposals based on their plans to invest in Canada’s economy and to support high-value Canadian jobs.”

The Honourable Navdeep Bains
Minister of Innovation, Science and Economic Development

Quick facts

As part of its defence policy, Strong, Secure, Engaged, the government is acquiring 88 advanced fighter jets. This is the most significant investment in the RCAF in more than 30 years and is essential for protecting the safety and security of Canadians and meeting international obligations.
Officials have conducted extensive engagement with Canadian aerospace and defence industries to ensure that they are well positioned to participate in the procurement.
Canada’s Industrial and Technological Benefits Policy, including Value Proposition applies to this procurement. This is expected to generate high-value jobs and economic growth for Canadian aerospace and defence businesses for decades to come. Bidders were required to demonstrate how they will fulfill the Government of Canada’s economic benefits requirements. Those providing contractual guarantees will receive higher points in the evaluation of the Value Proposition.
An independent fairness monitor is overseeing the entire process, to ensure a level playing field for all potential bidders.
An independent third-party reviewer was also engaged to assess the quality and effectiveness of the procurement approach.

Associated links

Contacts

Cecely Roy
Press Secretary
Office of the Honourable Anita Anand
343-549-7293
cecely.roy@canada.ca

Media Relations
Public Services and Procurement Canada
819-420-5501
media@pwgsc-tpsgc.gc.ca

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Date modified:: 2020-07-31