The government's announcement yesterday (November 18) that two German consortia have been awarded the contracts to supply corvettes and submarines to the South African Navy means major new contract work for Siemens Marine Engineering Division, based in Pinetown, KwaZulu-Natal.

The contract for the supply of four corvettes and three submarines will be negotiated with the German Frigate Consortium and the German Submarine Consortium respectively. The combined value of these contracts is believed to be R11 billion, part of a R29 billion package to re-equip the South African National Defence Force.

It is believed that Siemens Marine Engineering Division will project manage and supply mainly locally manufactured on-board electrical and electronic systems for the submarines and surface vessels. These systems will be shipped to Hamburg, where the vessels will be built.

This is not the first major contract Siemens has undertaken for the South African Navy. The company project managed and provided on-board electrical and electronic systems on the SAS Drakensberg, the Navy's replenishment vessel.

Ian Morris, a spokesman for Siemens Marine Engineering Division in South Africa says the German consortia's tender successes for the Navy's new vessels is likely to provide the largest single work flow for Siemens in this arena in its 103-year history in South Africa.

A requirement of the tender for the Navy's new vessels was to promote black economic empowerment through support of small, medium and micro enterprises in the naval maritime electrical and electronic engineering field.

"In this regard," says Morris, "Siemens is training previously disadvantaged groups during the design and construction phases of the vessels so they can provide support service during the through-life cycle of the vessels. In this way Siemens is developing a through-life support infrastructure for the South African Navy which, we believe, will become increasingly valuable as the Navy continues to upgrade its capabilities over time."

He says Siemens' success in the maritime industry rests on the company's ability to provide turnkey electrical, electronic and telecommunications systems.

"Everything fits optimally together into a complete system. This makes maintenance considerably cheaper, quicker and simpler and is of enormous benefit when the time comes to modernise or retrofit ships," says Morris.

"Siemens being the electrical and electronic contractor on the Navy's new vessels has the advantage of local capability and support within South Africa throughout the ships' lifespans. Siemens can also supply and support all on-board telecommunications," says Morris.

Local support is augmented by Siemens Germany's Maritime Engineering presence in major ports around the world.

"It might not be generally known, but Siemens is a major global player in marine engineering. Siemens was the first company to electrify a ship back in 1879 and today we supply shipboard electrical engineering technology to 30 navies and 130 shipping companies and shipyards around the world," says Morris.

"We are represented on every major shipping route. Wherever these new vessels go, one call is enough for Siemens' service specialists to become active on the South African Navy's behalf if required."

With acknowledgement to Siemens Corporate Communications.