HALIFAX, NOVA SCOTIA -- (Marketwire) -- 03/07/13 -- The Honourable Rona Ambrose, Minister of Public Works and Government Services and Minister for Status of Women, along with the Honourable Peter MacKay, Minister of National Defence, and the Honourable Kerry-Lynne D. Findlay, Associate Minister of National Defence, today welcomed the signing of the definition contract with Irving Shipbuilding Inc. for the Arctic/Offshore patrol ships project through the National Shipbuilding Procurement Strategy (NSPS).
"The Harper Government created the National Shipbuilding Procurement Strategy to end the boom and bust cycle in Canadian shipbuilding, deliver much needed equipment to the Royal Canadian Navy and Canadian Coast Guard, and support the Canadian economy by building ships right here in Canada," said Minister Ambrose. "Industry analysts have estimated that our shipbuilding strategy will contribute 15,000 jobs from coast to coast to coast and over $2 billion in annual economic benefits over the next 30 years."
"Our Government made the decision to build ships in Canada, while ensuring that the Royal Canadian Navy and the Canadian Coast Guard have the equipment they need to defend and assert our Northern sovereignty," said Minister MacKay. "Our Government is steadfast in its commitment, and these new ships will help us achieve just that."
"The Arctic/Offshore patrol ships represent a new capability for the Royal Canadian Navy that will help them achieve success in their missions-patrolling our three coastlines and protecting our sovereignty," said Minister Findlay. "We are committed to the complex work of rebuilding our Navy's surface fleet, to creating high-quality marine sector jobs, and to getting the job done right."
This is the next contract signed after the ancillary one announced in July 2012 and it will be followed by a construction contract in 2015. This definition contract is a task-based contract divided into seven work packages (or tasks) that could be awarded. With this contract, Irving Shipbuilding Inc. will refine and complete the Arctic/Offshore patrol ships design to production level prior to construction in 2015. The total potential value of the contract is an estimated $288 million and it will support up to 200 jobs.
Once completed, the definition contract will enable Irving Shipbuilding Inc. to know exactly what to build and how to build it. It will ensure that once the build contract is signed, construction of the ships will begin. At the same time, work will begin on improving and upgrading the Irving Shipyard to begin full ship construction in 2015.
The Harper Government's Atlantic Shipbuilding Action Plan is designed to help businesses address challenges such as innovation capacity, certifications and workforce skills so they can prepare themselves to compete as suppliers or sub-contractors. Through the Atlantic Shipbuilding Action Plan, the Government will continue to work to encourage and support the region's businesses in growing their capacity to become part of the supply chain for the work to be undertaken by Irving Shipbuilding in Halifax, as well as for other marine and defence initiatives.
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