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The new Canadian Surface Combatant is being tasked with replacing the capabilities currently provided by the Royal Canadian Navy’s destroyers and multi-role patrol frigates: protecting our coastline from smuggling, trafficking and pollution; providing search and rescue; supporting opportunities for scientific research; defending our country and sovereignty, and meeting our international obligations by contributing to international naval operations. It’s a big job, and, to put it crudely, it will cost a lot of money.

So do you send that money off shore to buy some other country’s ships or do you spend it in Canada, and reap the jobs and multiplier effects here? And how do the costs of doing one or the other compare?

Well, we are told that the sail away price for a foreign-built ship is going to be less than that of a Canadian designed and built ship. While such comparisons make for good headlines, they are misleading. In Canada, major procurements programs must include life cycle and other support costs, which can more than double the total price.

The foreign-supplied warships price doesn’t include all, or sometimes any, life cycle costs. What happens to the price comparison when these do get factored in? I suspect that most of the perceived cost advantage sails off into the sunset. Moreover, I would argue that some level of price differential is acceptable to support Canadian industry and Canadian jobs.

So, yes, I think it is silly to maintain that Canada cannot or should not build its own warships. But that does not mean that I don’t welcome the contribution of the foreign “buy our ship” marketers. They will hone their prices. They will compete. By their very presence, they will bring discipline to the process, spurring the same kind of ‘how much for which ships’ discussion that was central to the success of the Halifax-class procurement. And it is past time to have these discussions, to bring on the options and move from speculation to hard numbers. We need to move this project forward.

Vice Admiral (Ret) Charles ‘Chuck’ Thomas served in the Canadian Forces for 37 years. In his role as Director Maritime Requirements, he directed the Halifax Class program. He was appointed Commander Maritime Command in 1987 and Vice Chief of the Defence Staff in 1989.