Article content

Federal officials are setting the stage to award Irving Shipbuilding contracts to build two more Arctic and offshore patrol ships but the vessels will be delivered to the Canadian Coast Guard instead of the navy.

Irving has been warning the Liberal government it might have to lay off employees at its Halifax shipyard if it doesn’t get more shipbuilding work. Industry and defence sources say to deal with that issue a proposal is being put together that would see the construction of two more Arctic and Offshore Patrol Ships, known as AOPS.

We apologize, but this video has failed to load.

tap here to see other videos from our team. Try refreshing your browser, or Federal bureaucrats considering proposal to award Irving contracts for more Arctic coast guard ships Back to video

Irving is currently building six AOPS for the Royal Canadian Navy.

But under this new plan, described by government officials as being at a “pre-decision” level, the vessels would be turned over to the coast guard.

The additional ships would help head off any layoffs at Irving and allow the Liberal government to head into the federal election in the fall claiming it was delivering on its promise to rebuild the coast guard.