PETER LA FRANCHI / CANBERRA
Defence plan also includes a 727 transport replacement but government warns that not all proposals will be funded
New Zealand is again planning a revised mission systems upgrade for its Lockheed Martin P-3K Orions and a replacement for its Boeing 727 transports under a new defence capabilities plan released last week.
A planned P-3K upgrade was cancelled in 2000, while a 727 replacement has been an on-off requirement for at least five years.
The new plan also includes near- term replacement of the Royal New Zealand Air Force's (RNZAF) Bell UH-1 Iroquois and Sioux helicopter fleets for around NZ$410-510 million ($200-250 million), while a decision on the upgrade or replacement of the RNZAF's Lockheed Martin C-130H Hercules will be made within the next year.
The Defence Long Term Development Plan also includes proposals to acquire anti-ship missiles for the RNZAF's Orions, equip the P-3Ks and C-130Hs with electronic warfare suites, acquire alerting and cueing systems for the army's MBDA Mistral surface-to-air missile units, upgrade runway and tarmac areas at three air bases, and proceed with a new multirole maritime vessel with helicopter capability.
The plan, however, also warns that not all proposals will be funded. The New Zealand government has set a NZ$3 billion ceiling on defence equipment expenditure over the next 10 years, with NZ$2 billion already committed, leaving NZ$1 billion for new programmes. The proposals would require funding allocations of NZ$2.24-3.42 billion, or at least NZ$1.24 billion more than the government is prepared to commit to.
The plan warns that "trade-offs within and between projects are necessary". But it categorises the P-3K mission system and 727 and helicopter replacements as "necessary to avoid the failure of policy".
The C-130 upgrade or replacement project has the same classification, but the replacement option would cost more than NZ$800 million. The upgrade option would cost NZ$100-170 million, with a study of options expected to be finalised in August.
The plan says leasing and private finance proposals may be used to develop capability without drawing on the acquisition funding cap. "Leasing options may be considered where there is a neutral trade- off between capital and operating expenditure," it says.
Source: Flight International
