Almost halfway through its 10-year commitment to deliver $8.7 billion in new economic activity to South Africa as part of the nation's fighter modernisation programme, prime contractor BAE Systems says it has "unofficially" passed the $4 billion milestone.
Official confirmation of the figure is expected soon by the South African Department of Trade and Industry, which presents an annual report to parliament detailing the overall status of the full suite of strategic defence packages contracted between 2000 and 2002.
The fighter modernisation package, comprising 28 Saab JAS39 Gripens and 24 BAE Hawk 100s, was signed in April 2000 with mobilisation starting in April 2002. The $8.7 billion commitment incorporates $1.5 billion in defence industrial participation (DIP) with the remaining $7.2 billion in national industrial participation (NIP) activities.
Gripen International says the DIP component has thus far seen total deliveries worth $600 million.
The overall number of offset projects created to meet DIP and NIP obligations is more than 100, BAE says, with this involving "more than 75 South African companies".
The South African air force took delivery of its first JAS39D two-seat aircraft in August this year, with this supporting validation testing of South African-supplied communications, electronic warfare and helmet-mounted sighting systems, and weapons qualification.
The Gripen order comprises 19 single-seat C variants and 9 two-seat D variants, with these being built in Sweden. Operational configuration deliveries to the South African air force start in March 2008, with the full programme to be completed by December 2012.
The full complement of Hawk aircraft are being assembled in South Africa by Denel Aviation. Assembly of 19 aircraft had been completed by March this year with 10 aircraft released to the air force in the OC1 or baseline configuration. Of those, the first two aircraft are to achieve operational availability in June 2007.
The second Hawk tranche, comprising six aircraft, is due to be handed over by the end of this year in OC2 configuration with these to incorporate a fully integrated radar simulation capability and enhanced operational software.
The final tranche of eight aircraft, built to OC3 configuration, will be handed over by the end of 2007. OC3 includes further software capability and additions to the radar simulation suite, with this then to be retrofitted back into the remainder of the fleet.
Source: Flight International