SA ready to sign for the A400M's

[Gunship]

South Africa is to move closer to purchasing between eight and 14 A400M military transport aircraft this week by signing a further agreement with Airbus to that effect.

SA Air Force chief Lieutenant-General Carlo Gagiano has confirmed the agreement would be endorsed this week.

Gagiano sees the A400M as a replacement for the Boeing 707 fleet, of which three remain on strength and two are operational at any given time.

"The A400M initiative is truly a lifeline for the SAAF and will, together with future decisions on the transport aircraft mix, rejuvenate the SAAF's transport capacity," Gagiano said.

In December last year, government committed South Africa to buying up to 14 of the four-engined aircraft that could cost as much as R11.61bn in total, in exchange for investment, technological knowledge and jobs.

The announcement followed an invitation at last year's African Aerospace and Defence show for the country to participate in the multi-role mission transport aircraft's design and manufacture programme.

Near-bankrupt state arms manufacturer Denel is expected to benefit from defence offsets related to the deal.

"We are confident that a memorandum of agreement will be signed in the coming weeks," the government said in a statement in December. Now some four months later, the memorandum appears to be ready for signature.

Airbus Military's Peter Jost said a University of the Witwatersrand study had shown that an interest in as few as eight of the aircraft, each costing about R778m, would create at least 401 direct jobs and 2 767 indirect employment opportunities over the programme's projected 50-year lifespan.

Government is keen on the deal as it sees the resultant industrial participation as key to its aviation industry expansion plans.

The A400M project is to be a pillar in government's long-anticipated strategy to boost South Africa's aerospace sector the way that the Motor Industry Development Programme bolstered the country's car-making sector.

A draft was reportedly submitted to Trade and Industry Minister Mandisi Mpahlwa for approval last month.

[Gunship]

From Die Burger (Afrikaans sorry)

Die regering se besluit om vandeesweek 'n memorandum van verstandhouding met Airbus te onderteken vir die aankoop van tot 14 A400M-vragvliegtuie kan maklik in nóg 'n duur fout ontaard.

Mnr. Rafeek Shah, die DA se woordvoerder oor verdediging, het gister in 'n verklaring gesê die transaksie gaan na verwagting sowat R14 miljard beloop.

"Die stof het nog nie eens oor die vorige wapentransaksies gaan lê nie en daar is steeds vrae oor die beweerde onreëlmatighede met die aanskaffingsproses, gevalle van korrupsie en misplaaste vertroue in teenhandel," het hy gesê.

Die feit dat Denel na verwagting gaan baat vind by die militêre teenhandel in die Airbus-transaksie wek die idee dat die transaksie eerder 'n poging is om dié "bykans bankrot" vervaardiger te red as wat dit 'n operasionele behoefte van die lugmag is.

Volgens Shah is dit hoog tyd dat die regering besef die logika agter teenhandel is reeds wêreldwyd gediskrediteer en selfs deur die Wêreldhandelsorganisasie verbied.

Volgens hom is daar reeds meer as R5 miljard uitstaande aan beloofde teenhandelbeleggings voortspruitend uit die vorige wapentransaksies.

Die regering is verder 'n verduideliking skuldig waarom sulke duur vliegtuie aangeskaf behoort te word terwyl daar goedkoper, maar ook doeltreffende opsies soos die Russiese Antonof beskikbaar is.

Hy meen die regering kon ook meer kreatiwiteit ingespan het om die bestaande Hercules C130-vloot verder op te gradeer of surplus C130's van die Amerikaanse weermag te huur.

"Dit is belaglik om nóg enorme uitgawes aan te gaan terwyl lt.genl. Carlo Gagiano, die nuwe lugmaghoof, pas gesê het die lugmag ondervind tans groot probleme ná jare van te min geld om sy operasionele vermoë in stand te hou.

"Die gevolge van die besluit kan dus maklik wees dat daar te min opgeleide vlieëniers of genoeg behoorlik instandgehoude aanloopbane vir vliegtuie van hierdie grootte beskikbaar is.

"Daar is tans 'n kritieke tekort aan 11 977 spesialispersoneellede in lugruimbeheer, lugbemannings, ingenieurs en tegnici," het Shah gesê.

Gagiano het die afgelope week gesê die eerste twee A400M-vliegtuie behoort teen 2010 gelewer te word, met die res van 'n definitiewe vloot van agt in fases.

Die A400M sal volgens hom die rol van die lugmag se uitgediende Boeing 707-vloot, waarvan daar tans drie is, oorneem.

[Douglas Lee]

What's new, more tax money being wasted.

DL

[Deanw]

From Finance24


SA joins Airbus' A400M plan

Apr 28 2005

Cape Town - Government signed a contract with Airbus Military on Thursday, under which South Africa will become a partner in the A400M airlifter programme and acquire at least eight of the transport aircraft.
This confirmed the confidence placed in the programme by countries outside the existing group of seven European launch nations, Airbus Military said in a statement.

The final contract was signed in Pretoria by Defence Minister Mosiuoa Lekota.

"Through its stake in the aircraft programme, South Africa's industry will participate in the design, engineering, industrialisation, manufacture, and in-service support of the A400M - the world's most modern military transport aircraft," Airbus said.

The partnership agreement coincided with the launch of an initiative to secure and further develop the country's aerospace manufacturing capabilities and capacities.

"In signing-up as a partner in the Airbus Military A400M programme, South Africa is securing a vital role for its industry in this international programme.

"This initiative will see South Africa joining in at ground-level, delivering sustainable opportunities for export oriented industrial activity over the next 30 to 50 years.

"Such is our esteem for South Africa as a partner that we have accepted South Africa's investment in the A400M programme under similar terms to those of the seven European launch nations," Airbus Military managing director Francisco Fernandez-Sinz said in the statement.

The company would also place work packages with South African industry worth millions of rand.

In addition to the industrial benefits, the South African National Defence Force would receive a modern transport aircraft providing vital strategic airlift capability in support of the nation and the African region.

The first of the eight aircraft was scheduled for delivery to the South African Air Force in 2010.

The A400M, 180 examples of which were ordered in May 2003 by seven European Nato countries, would first fly in 2008 with deliveries beginning in 2009.

The new airlifter would enable air forces around the world to upgrade their airlift capability for both humanitarian and peace-keeping activities, Airbus said.

In December last year, government committed South Africa to buying up to 14 of the four-engined aircraft at about R778m each, in exchange for investment, technological knowledge and jobs.

The announcement followed an invitation at last year's African Aerospace and Defence show for the country to participate in the multi-role mission transport aircraft's design and manufacture programme.

Near-bankrupt state arms manufacturer Denel is expected to benefit from defence offsets related to the deal.

[Gunship]

Quote from Dougles Lee : What's new, more tax money being wasted.

DL

A lot of negativity has been posted lately re what SA is doing and where they are going. Lots are very valid - for sure.

But I took a deep breath on this one. We need these a/c gents - easy as that.

We should have had replacements for coastel patrols and cargo a long time ago.

We have a massive coast line to protect.

I think it is hight time we get some new and high tech equipment in :ok:

My vote is a clear "YES" for the 400M's :ok:

[Deanw]

Besides replacing the Hercules in the tactical role, the Boeing 707s are not going to last forever either. The A400M comes with an inbuilt capability for air-air refueling, no mods required to the fuel system.

I attended the Airbus Military briefing at AAD2004 where the question was asked about maritime patrol. While it certainly aint the perfect MR/SAR aircraft, it can be used in that role a a push due to it's range and ability to drop cargo in flight. Indeed, the good ol' 707 has also been used for martime SAR work ...

[Gunship]

Thanks for the reply Dean.

Sorry I got a bit side tracked on the Maritime role but glad to hear you"backed" me on that one.

It surely is a very versatile role.

In the 90's I attended a meeting with the big brass as I was a rep for the apartheid homelands.

They asked us about the Casa 212 and the 235.

It was VERY clear and for the price that that was exactly the SAAF's needs.

Versatile, relaible .. and most of all at a basement bargain price.

They did not listen .. now it cost them 20 times more per a/c if i remember the calculaations (yes it is in a different class - must admit and different role / prop vs jet - yes I know) but we could have sorted lots of the SAAF's problems out by changing to CASA's those days .. turbo dak's ... :yuk:

Cheers

Gunss

[Yak97]

Guns, I thought the A400M was a turbo prop (with flash wonky blades).

If the A400M is like other Airbus products it will probably be techincally advanced which might not suit (sorry for this term) "third world" locations.

I tend to think you were on the right track with the CASA.

[Gunship]

Sorry Yak97 - completely correct. Dunno what I was thinking about.

It has 4 engines though as far as I remember whit those "funky" ;) blades (looks like turbine blades).

I think also the first delivery is only in 2009 ?

Cheers,

Gunsss

[Gunship]

Well if thatis true and it all get's to the state coffers intact - what a pleasure :ok: The cost of the eight military aircraft ordered for Airbus Military was expected to be €830 million (R6.55 billion) but revenue through South African participation in the production processes of the A400M is expected to bring in revenue of some €430 million (R3.39 billion), says Public Enterprises Minister Alec Erwin.

In a satellite linkup from the Union Buildings to Parliament in Cape Town, Erwin said the South African involvement in the Airbus Military A400M airlifter programme was "a big step" for South Africa's aerospace industry but it was "an exciting" one.

Earlier, Airbus Military said in a statement that a contract had been signed by Defence Minister Mosiuoa Lekota in Pretoria making the country a partner in the airlifter programme. South Africa would as a spin-off take delivery of eight of the military aircraft from 2010 to 2014.

Erwin said that South Africa "by going into the partnership" was part of the production process and was therefore eligible to be among "the first deliveries" of the aircraft. South African personnel would be part of the technical committees involved in the manufacture of the aircraft and the contract had involved the provision by South Africa of "a wide range of componentry".

He said South Africa's State arms technology company Denel and Aerosud would be two companies which would benefit from the offset components of the deal. There were already orders for 188 aircraft and this was expected to rise to 380 aircraft and perhaps more.

Airbus Military said through its stake in the aircraft programme "South Africa's industry will participate in the design, engineering, industrialisation and manufacture and in-service support of the A400M."

Last December, the South African government committed the country to buying up to 14 of the aircraft. Estimated costs were nearly 12 billion rand with offsets exchanged in investment, jobs and technological transfer.

The official opposition Democratic Alliance defence spokesman Rafeek Shah said in a statement earlier that the government's decision to sign the contract "looks set to be another costly mistake".

"The dust has not yet settled on the first arms deal where there are still a number of outstanding questions about alleged irregularities in the procurement process, instances of corruption and misplaced faith in industrial participation offsets."

Shah said: "The fact that Denel is expected to benefit from defence offsets creates the impression that the deal was conceived more to rescue the virtually bankrupt State-owned arms manufacturer than because of the operational requirements of the South African Air Force."

[Gunship]

Here we go ...

http://www.airbus.com/MultimediaElements/2802.jpg

[Gunship]

Cape Town - Defence analysts have welcomed the government's decision to join the consortium that will make Airbus's new A400M military transport aircraft but have said it was being "too cautious" in initially ordering only eight of the new aircraft for regional operations.

Helmoed Heitman of Jane's Defence Weekly said the SA National Defence Force (SANDF) could realistically have ordered up to 16 of the new aircraft.

These would be needed if South Africa was to meet its ever-growing number of peacekeeping and other obligations in Africa, because the Boeing 707s being used for some supply runs to other countries were becoming increasingly problematic, and the Hercules C130s used on the same runs were rapidly reaching the end of their useful lives.

The decision to order the A400Ms and become the first country outside Europe to join the consortium that will build the new aircraft has predictably been slammed as "a costly mistake" by some, but Heitman said it was "a very good deal for the air force and the aerospace industry".

He also dismissed criticism that the deal had been signed without the air force going out to tender for the new aircraft. Airbus was the only potential supplier of the kind of aircraft South Africa needed, ruling out the need for a tendering process.

Boeing's C17 military transporter was "too big and expensive", and Russia's new Antonov aircraft faced so many financial and design problems that it was unlikely to go into production at all, Heitman said.

The government has confirmed that the SANDF's existing small fleet of nine Hercules C130 aircraft would need to be replaced by about 2010. The cargo-carrying ability of the C130 and its various upgrades were insufficient to modern and future needs.

In "the last three years, South Africa has had to spend over R100 million to contract in privately owned airlift capabilities so that the SANDF could deploy personnel, resources and material into certain African peacekeeping operations", it said.

Heitman said that the A400M, which should be seen as "a revenue-sharing partnership" rather than the conventional arms offset deal, was risky in its own right, with the first aircraft expected to take to the skies only in 2008, but it was a solid company, backed by the major EU states and had just proved its technical and deal making expertise in launching the huge passenger airliner, the A380.

Announcing the deal last week, public enterprises minister Alec Erwin stressed that it would help revitalise South Africa's ailing aerospace industry, with major contracts to manufacture the A400M mainframe going to Denel and Aerosud, with spinoff subcontracts for smaller suppliers in the field. "We are not an ordinary buyer of this aircraft. We are part of the production consortium," Erwin said.

South Africa would initially agree to buy eight of the wide-bellied military transporters in exchange for a role in the €18 billion (R142 billion) development project now shared among seven European nations.

Erwin said South Africa's aircraft would cost about €830 million, and South African companies would earn about €430 million for their part in constructing the first batch of 188 planes to be built.

South Africa would be able to take delivery of the aircraft it needed when the programme matured between 2010 and 2014.

The government said: "South Africa will participate in the A400M programme in order to boost the revitalisation of the South African aerospace sector, which both parties agree has the knowledge, experience and capability in aircraft design, manufacturing, support and maintenance to contribute and benefit from the programme."

Richard Thompson, the chief executive of Airbus, said: "The same engineers involved in the launch of the Airbus A380 will be joined by a South African team for the design and specifications of the A400M."

The government said its move into aerospace was crucial to help it build "globally competitive capabilities in knowledge-intensive industries, of which aerospace is a prime example".

[SmokinHookah]

I've got to say, I agree with Guns and Dean on this subject, the A400Ms were a good buy.

As Guns said, we need them. The Herks are now all almost 40 years old, and even though they've recently been upgraded, it's obvious to most people that they will need replacement soon. It's a similar problem with the 707s, which are progressively becoming more and more expensive to operate.

SA's going to become a lot more involved with the rest of Africa in terms of peacekeeping and the like, especially with the creation of the Africa Standby Force. Since the withdrawal of the C-160s, and perhaps even before that, the SAAF has been hampered by a lack of sufficient heavy transport capability. A fleet of A400Ms would go far in alleviating that lack.

Are they expensive? Sure. Yet we must ask, is it ever cheap to properly equip one's military?

As to Yak97's comment, I think that's a rather ill-informed comment. The SAAF has been operating enormously complex 707 tankers/ELINT/EW/AEW aircraft for many years, and of late has been operating them regularly from Pretoria to places like Kindu in the DRC, which is hardly a paragon of advancement, with little difficulty. I have no doubt that it will have the ability to operate the A400Ms into similar backwaters, especially considering how much easier to operate the A400Ms are than cranky old 707s.

To end, I must say, I'm sick of all those (not saying there are any on this thread) who complain incessantly about the lack of capabilities of the SAAF, and how it is unable to fulfill its duties, but then moan like old ladies whenever any money is spent on procuring new equipment that would improve the SAAF's capabilities.