The UK Ministry of Defence has issued a request for information to industry for a replacement tanker aircraft for the Royal Air Force.
The move could lead to the private sector providing an air-to-air refuelling service in what could be the largest Private Finance Initiative (PFI) run by the MoD.
The RAF operates 24 BAC VC10 and nine Lockheed TriStar tankers. The VC10s will need replacing by 2007 and the TriStars four years later. The MoD may consider replacing the VC10s as early as 2004, if this is more economical. The requirement includes a secondary air transport role, similar to that of the current fleet.
Companies are being asked to put forward proposals covering supply, management, funding and operation of the aircraft. Although the MoD has 23 PFI schemes under way, this is the closest they have come to the front line.
The tanker programme has produced various potential new operating methods for the service, such as the possible use of sponsored reservist crews and maintenance operators, and "the use of spare capacity for third-party revenue generation".
The MoD has specified that, if a private finance route is followed, "-the aircraft would be flown by regular RAF personnel or reservists and kept on the UK military register". Commercial management of the aircraft's main operating bases is also being studied.
Industry interest in the programme is strong, according to the MoD. The most likely contenders for the contest are Airbus, offering an A300-based tanker, and Boeing, with the 757 or 767, but smaller companies, offering conversions of used aircraft, are also likely to bid.
Dublin-based Omega Air, which operates Boeing 707 tankers on lease and leads a five-member consortium known as Team IFR , says that it would consider offering the RAF McDonnell Douglas DC-10s, Boeing MD-11s, 767s or even 707s - or leasing Lockheed TriStars back to the service. The company says: "Leasing would save the RAF around 10% of its costs - around $2 billion at least over lifetime of the lease."
The MoD expects to issue an invitation to around six to eight bidders to submit outline proposals by the third quarter of this year, and to negotiate with three or four of them about a year later. A contract placement is possible as early as 2002 - long term contracts are likely to give the MoD better flexibility and value for money, according to an industry source.
The project is also linked to a similar requirement for the Royal Australian Air Force, which is associated with the programme.
Source: Flight International