Peter La Franchi/CANBERRA

The USA is considering financing the sale of Royal New Zealand Air Force McDonnell Douglas A-4 Skyhawks to the Philippines. It may also "sweeten" a controversial lease of 28 Lockheed Martin F-16A/B fighters by lowering the upfront cost, says the head of New Zealand's conservative opposition party, ACT.

ACT leader and shadow defence minister Richard Pebble claims information emerging from Washington indicates the US Administration "is trying to assist the New Zealand Government with its claim of budgetary difficulties."

Prebble claims the USA is considering offering "a financial package to the Philippines Government which would enable them to purchase our Skyhawk fleet, which would make the F-16 deal more attractive-The [US] administration is prepared to look further at the terms of the lease on offer".

Philippines diplomatic officials in Wellington confirm that preliminary negotiations for an A-4 deal are under way.

Prebble's claims are rejected by New Zealand defence minister Mark Burton, who says he is unaware of any "official" moves by the USA to improve the F-16 lease, or of any negotiations with the Philippines. In December, incoming New Zealand Prime Minister Helen Clarke announced a review of the deal. A final report is to be handed over in March.

A Sukhoi plan to offer Su-30 fighters as an alternative to the F-16s has stalled because of Russian defence hardware exports policy, which requires a formal letter of request from the New Zealand Government inviting Sukhoi to participate in the local market.

According to Sukhoi's Australian representative, Harry Lucy, a "letter of suggestion" asking if opportunities exist for a "counter proposal" to the F-16 deal was sent to New Zealand's defence attache in Canberra on 24 November last year.

Lucy was advised in writing by the New Zealand Defence attache's office on 24 December that the letter had been forwarded, but no further dialogue has occurred.

Source: Flight International