Thank you very much, sir, for the question.
First of all, I would say that the national shipbuilding and procurement strategy is a real forcing function in helping to energize those programs with these major crown projects and capital programs that are coming forward. My responsibility, as commander of the navy, is to define the requirement, the capability, of the ships that are planned to be introduced into the order of battle. It is to recommend those requirements to the Chief of the Defence Staff, and through him, to the ministers.
The Canadian surface combatant, for example, is a class of ship that will be built in Halifax and will be the follow-on to the modernized Halifax class frigates, such as HMCS Montreal, and the replacement for the Iroquois class destroyers, which are approaching end of life.
My responsibility is to look at the future security environment. What's happening at sea today? What are the lessons from Libya and from recent operations in the Horn of Africa and the Arabian Gulf? What are the trends in terms of the naval arms race in southeast Asia, and what's happening in the Arabian Gulf? Where do we think, in concert with the Department of Foreign Affairs and International Trade, that strategic national interests would really be affected in the future at sea? It includes looking at the Canadian Forces' defence strategy mission set, which includes, at the low end, humanitarian operations and at the high end, prevailing in combat. It includes looking at the threat and defining the requirement.
The requirement for the Canadian surface combatant is, first and foremost, that it be a ship that can deploy at range and can be sustained anywhere around the world, including up in the Arctic, for a sustained period of time. It must have the ability to act decisively and successfully in the increasingly complex and sophisticated operating environment in the world's littorals, such as off Libya, where we need to work with air forces and, in the future, land forces. That requires certain weapons, certain self-defence capabilities, and certain propulsion capabilities in terms of speed. It requires certain fuel and endurance capabilities. It requires habitability on board and accommodation for a certain number of sailors such that we have the redundancy on board to deal with battle damage and emergency situations.
All of that is put together into a statement of requirement. That moves forward to industry. What we are doing now with the Canadian surface combatant is going to what we call a funded-definition phase. Industry will be brought together to look at the requirement and build teams that will bid on the eventual contract for the ship. The teams will consist of the yard on the east coast, which in this case will be Irving Shipbuilding; a combat systems integrator, which is a company that brings the weapons and sensors together; a platform systems integrator, which is the marine systems side of the house, dealing with power generation, electrical power distribution, auxiliary engineering systems, etc.; and a design agent, which is a company that specializes in designing very complex, dense warships.
This consortium will come together to look at the statement of requirement and, of course, at affordability in terms of the money that has been allotted in the investment plan for the Canadian surface combatant. At the end of the day, a selection process will occur. Of course, there's dialogue with the department throughout in terms of capability and the cost trade-offs. At the end of the day, the right platform with the right capability at the right price will go into the yard for the first steel to be cut. The Canadian surface combatant will be out around 2018.