Defence earmarks £3bn for helicopters
By Aaron Patrick (Filed: 20/09/2004)
Link to Story
CLICK HERE
The Ministry of Defence is preparing plans to begin ordering £3billion-worth of helicopters over the next 10 years.
Vertical market: the Lynx helicopter, pictured here on an operation in Iraq, is one of the aircraft in need of replacement
Lord Bach, defence procurement minister, is overseeing the process to determine how many and what types of helicopters are needed to replace the ageing Lynx, Puma and Gazelle.
The MoD plans to inform aircraft manufacturers of its requirements by the end of the year, in what is expected to be one of Europe's biggest helicopter contracts and a key part of the transformation of the British military to a rapid-reaction force.
Defence planners are weighing up the balance between troop transport, reconnaissance and attack aircraft. Once the review is completed, manufacturers will be invited to tender. The world's largest helicopter companies, AgustaWestland, Eurocopter and Sikorsky, are following the process closely.
"We are working with industry on our forward plans and we aim to review progress by the end of the year," said an MoD spokesman. "It will be for industry to make the most of the opportunities."
Even though the MoD said it would take into account "UK economic factors", most of the £3billion appears destined for foreign companies. Italian military contractor Finmeccanica is in the process of buying out Britain's only helicoper company, Westland, which is part of the AgustaWestland Group. The Italians already own half the business.
AgustaWestland, which has a factory in Somerset, wants Britain to buy the Future Lynx, a small helicopter good for reconnaissance. The aircraft is an upgrade of the Lynx, which has been a key asset of the Royal Navy and Army for decades. Geoff Russell, AgustaWestland spokesman, said: "As the UK's only helicopter manufacturer, we would hope to get a significant proportion of that business."
A consortium led by Eurocopter is pitching the NH-90, a troop transport that can carry 20 soldiers. America's Sikorsky is expected to offer its heavy transport, the CH-53 Super Stallion. The NH-90 has a light, carbon-glassfibre frame, which is less vulnerable than traditional steel frames to corrosion from salt sea air.
Alain Gauthier, commercial director of NH Industries, which makes the NH-90, says Britain is considering buying 100 helicopters for what it calls ISTAR purposes - intelligence, surveillance, target acquisition and reconnaissance.