UK search and rescue PFI moves forward.
From Janes Defense Weekly
Plans for replacement of the UK's search-and-rescue helicopter capability are now at an advanced stage. Private ownership of helicopters is at the centre of plans to replace the search-and-rescue fleet
UK Ministry of Defence (MoD) procurement officials have approved the business case for a GBP1 billion-plus (USD1.76 billion-plus) project to replace the existing search-and-rescue (SAR) helicopter fleet with a single private finance initiative (PFI).
The plan to replace UK Royal Air Force (RAF), Royal Navy and coastguard SAR helicopters is expected to be considered by ministers in early 2006. The proposal could see a private sector contractor provide between 30 and 40 helicopters to conduct SAR coverage from up to a dozen sites along the UK coastline, MoD sources told JDW.
Under the 25-year 'power by the hour' contract, the UK government would pay for use of the helicopters but they would remain in civilian ownership and on the civil aircraft register. These new helicopters would not be configured to take part in combat operations outside the UK.
A joint MoD and Maritime & Coastguard Agency (MCA) SAR Helicopters integrated project team (IPT) based in the Defence Procurement Agency (DPA) is overseeing the cross-department project.
The SAR Helicopters IPT looked at a range of options, including joint and stand-alone MoD/MCA programmes, Public-Private Partnership (PPP)/PFI, conventional procurement and maintaining the current capability before deciding to recommend a PFI, according to officials close to the project.
JDW understands that while internal MoD approval of the business case is in place, the MCA has yet to secure approval for the project from the procurement department of its parent ministry, the Department for Transport (DfT), although ministry insiders consider this a formality.
The DfT contract approval process is very different from that of the MoD, but it is expected to catch up during 2006, to allow time for a competition to be launched and the winning service provider to have the first new aircraft in service by 2012.
The DfT and the UK Treasury have been pushing for the provision of all peacetime SAR operations in the UK to be handed over to civilian operators to save money, but the RAF and Royal Navy successfully resisted the plans.
The remaining non-military aircrew would be civilian contractors. Both the RAF and Royal Navy want to rotate their personnel between jobs in the UK-based SAR force and helicopter units with a SAR or personnel recovery role for expeditionary operations overseas. It is unclear yet if the military will operate specific SAR sites in the UK or trickle-post personnel to work as part of joint civil-military units.
"Having the ability to post people to the UK SAR force allows new personnel to gain vital core SAR skills and gives experienced people in high-pressure expeditionary warfare units a chance to [remain active but step down from combat] after being on operations," said an RAF officer involved in the project.