National Defence Committee on May 2nd, 2023

[Anita Anand, Liberal, Oakville, ON]

Mr. Chair, I think I have been here for an hour and I do have to go, so could you let me know—

[The Chair, Liberal, John McKay]

Yes. We are running to ten minutes to five. After Ms. O'Connell, it's over.

[Anita Anand, Liberal, Oakville, ON]

Thank you.

[Jennifer O'Connell, Liberal, Pickering—Uxbridge, ON]

Thank you, Mr. Chair.

Thank you, Minister, for being here with your team.

I want to follow up on the 2% spending because earlier in the questioning you were cut off.

You mentioned just now about the plan that is necessary, obviously. It's not about just hitting a goal of 2%. It's about making sure that the investments with Canadian taxpayers' dollars are, at the end of the day, going to investments to support CAF and to support our defence here and around the world.

You started to mention, in response to Mr. Bezan, that the previous government had spent less than 1%. He suggested that there was some plan to get there. However, that's not the case. You can't rewrite history. If, as Ms. Gallant has pointed out, 2% might be the floor, they couldn't even get to 1%.

Can you perhaps finish your answer from before you were cut off.

[Anita Anand, Liberal, Oakville, ON]

Thank you for the question.

I want to start where you ended and say: Make no mistake, when the Conservatives were in power, defence spending dipped below 1%. That's a fact. Under our government, we are continuing to increase defence spending by 70% under “Strong, Secure, Engaged” over a nine-year period. That is $8 billion in budget 2022 and $38 billion under NORAD modernization.

Mr. Chair, those are tangible additions to our defence spending. Our defence spending is on an upward trajectory, and we will continue to do the work necessary to spend allocated funding and get projects out the door.

I want to point to the urgent operational requirement procurements that I announced earlier this year. We are investing in portable anti-tank missile systems, counter uncrewed aircraft systems and air defence systems. As we build to brigade level in Latvia, we are going to need these systems. We initiated the process to procure these items to enhance our capabilities there. That's what I'm talking about—ensuring that we are utilizing allocated funding for the benefit of our defence and collective defence, as well as our NATO contributions.

[Jennifer O'Connell, Liberal, Pickering—Uxbridge, ON]

Thank you.

To follow up on that, actually, my next question is about procurement, obviously defence procurement. We always hear that procurement moves too slowly. Successive governments hear that. You mentioned the fact that we actually signed contracts, so the Conservatives can talk about something they wanted to do or talked about doing, but we are actually moving forward on this work.

Mr. Chair, I'm hearing a lot of heckling when I'm speaking. Perhaps the members opposite can wait their turn.

Can you, Minister, talk about procurement and the plan to not only procure what CAF needs but actually also be able to deliver on what we are procuring?

[Anita Anand, Liberal, Oakville, ON]

Thank you so much.

Streamlined and flexible procurement is necessary for the successful and timely delivery of modern capabilities. We have more work to do to create a more efficient and more effective procurement process. What I have asked of my department is that we continue to do that work to make sure we are expending existing allocated funding and that we contemplate what might be necessary in the defence policy update in terms of human resources, because we need to grow as the Canadian Armed Forces and in our capabilities.

What you are seeing is deliverables from the Department of National Defence. The Arctic offshore patrol ships are an example. The signing of the contract for 88 future fighters is an example. The procurement of urgent operational requirements that I just outlined is another example. Moving forward on the design of the Canadian service combatants is another example.

These large procurements take time. They also require individuals who have expertise in procurement. What we are seeing is a growing need for more and more experts in procurement so that we can move multiple projects forward at the same time, and that is what the department is working on as we speak.

[The Chair, Liberal, John McKay]

Thank you. That brings our first hour to a close.

As you can see, Minister, your presence here has been greeted with varying levels of enthusiasm. We're going to suspend for a moment while you leave.

[Anita Anand, Liberal, Oakville, ON]

Thank you, Mr. Chair and committee members.

[The Chair, Liberal, John McKay]

We are suspended and will re-empanel as quickly as we can.

[The Chair, Liberal, John McKay]

We are back.

I want to welcome General Eyre and his colleagues. I'm assuming there is no further five-minute statement.

With that, we'll go to Mr. Kelly for the first six minutes.

[Pat Kelly, Conservative, Calgary Rocky Ridge, AB]

Thank you, Mr. Chair. I'm glad we turned this panel around quickly.

The minister spoke about NORAD modernization and assured the committee that, although it takes time, we will have all of the kit we need. Will the RADARSAT system be replaced before the current system fails or reaches its functional obsolescence?

[Bill Matthews]

Thank you, Mr. Chair.

At this stage, we are still working through options to replace RADARSAT, so I cannot give you a firm date in terms of when the replacement capability will be online, and also looking at other ways to mitigate in cases like that—

[Pat Kelly, Conservative, Calgary Rocky Ridge, AB]

How many years until the RADARSAT fails?

[Bill Matthews]

I can't project when a satellite will fail. We know that it's approaching its—

[Pat Kelly, Conservative, Calgary Rocky Ridge, AB]

I think we were told about seven years.

[Bill Matthews]

We know it's approaching its useful life and we have a date in mind, so we're planning around that date. Sometimes assets last longer than forecast, sometimes less, so we—

[Pat Kelly, Conservative, Calgary Rocky Ridge, AB]

Surely our policy is not just hoping that this one lasts longer—

[The Chair, Liberal, John McKay]

Excuse me, Pat, for a second.

I think if you pulled yourself a little closer to the microphone everyone might hear you a little better.

[Bill Matthews]

My apologies.

[The Chair, Liberal, John McKay]

I'm sure Mr. Kelly won't interrupt any further.

[Pat Kelly, Conservative, Calgary Rocky Ridge, AB]

I can't promise that because we need to have our questions answered.

[The Chair, Liberal, John McKay]

Okay. Repeat your question, and then Mr. Matthews can respond.

[Pat Kelly, Conservative, Calgary Rocky Ridge, AB]

No, I'll let Mr. Matthews go ahead.

[Bill Matthews]

The planning is under way for potential replacement, but also mitigation measures to fill the gap should the new capability not be ready when RADARSAT comes to the end of its useful life.