January 07, 2010 ~ A NAVY plan to quickly replace the doomed Sea Sprite anti-submarine helicopters with proven US-built aircraft has been scuttled by the Government.
Defence brass wanted Cabinet to approve a $4 billion "rapid acquisition" of 24 Seahawk choppers from US builder Sikorsky and systems integrator Lockheed Martin, thus avoiding a competitive tender process.
The Government refused and told Defence to make it a two-horse race between the tried and tested Sikorsky MH-60R and the new generation European made EADS NH90 - which is the sea-going variant of 46 choppers already being built in Brisbane for the army and navy. About 24 anti-submarine choppers will be bought for up to $4 billion, including support, training and weapons.
This comes on top of the $1.2 billion lost on the aborted Sea Sprite project cancelled by the Government in 2008.
European aerospace giant EADS and its Brisbane-based subsidiary Australian Aerospace conducted a successful lobbying campaign to have the NH-90 NATO frigate helicopter included in the contest. The company said that, if it won, the major assembly work would be carried out in Australia, generating an extra 500 hi-tech jobs.
The NH-90 will be pitted against the Sikorsky "Romeo" Seahawk, used extensively by the US Navy.
The contest is further complicated by the fact the European machine will only "just" fit into the hangar of existing warships and new destroyers being built for the navy.
The NH-90 is bigger, more powerful, better armed and more advanced than the Seahawk but is not in full naval service. The US chopper would be easily and quickly integrated with Australia's current Seahawk and Black Hawk fleet.
Insiders have told The Daily Telegraph the Government knocked back the rapid-buy plan because it contradicted competition principles and ignored local jobs. That makes the EADS machine the favourite.
However, the "no-contest" strategy was successfully adopted by the Howard government to buy $10 billion worth of C-17 Globemaster jet transport planes and 24 Super Hornet fighters.
The Cabinet's National Security Committee is expected to decide on a winner before March.
Defence brass wanted Cabinet to approve a $4 billion "rapid acquisition" of 24 Seahawk choppers from US builder Sikorsky and systems integrator Lockheed Martin, thus avoiding a competitive tender process.
The Government refused and told Defence to make it a two-horse race between the tried and tested Sikorsky MH-60R and the new generation European made EADS NH90 - which is the sea-going variant of 46 choppers already being built in Brisbane for the army and navy. About 24 anti-submarine choppers will be bought for up to $4 billion, including support, training and weapons.
This comes on top of the $1.2 billion lost on the aborted Sea Sprite project cancelled by the Government in 2008.
European aerospace giant EADS and its Brisbane-based subsidiary Australian Aerospace conducted a successful lobbying campaign to have the NH-90 NATO frigate helicopter included in the contest. The company said that, if it won, the major assembly work would be carried out in Australia, generating an extra 500 hi-tech jobs.
The NH-90 will be pitted against the Sikorsky "Romeo" Seahawk, used extensively by the US Navy.
The contest is further complicated by the fact the European machine will only "just" fit into the hangar of existing warships and new destroyers being built for the navy.
The NH-90 is bigger, more powerful, better armed and more advanced than the Seahawk but is not in full naval service. The US chopper would be easily and quickly integrated with Australia's current Seahawk and Black Hawk fleet.
Insiders have told The Daily Telegraph the Government knocked back the rapid-buy plan because it contradicted competition principles and ignored local jobs. That makes the EADS machine the favourite.
However, the "no-contest" strategy was successfully adopted by the Howard government to buy $10 billion worth of C-17 Globemaster jet transport planes and 24 Super Hornet fighters.
The Cabinet's National Security Committee is expected to decide on a winner before March.
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