Publication: The Star Issued: Date: 2004-12-10 Reporter: Sheena Adams

Government Set to Spend R6,6-Billion on Military Aircraft

 

Publication 

The Star

Date 2004-12-10

Reporter

Sheena Adams

Web Link

www.thestar.co.za

 

South Africa is to spend a staggering R6,6-billion to buy at least eight new military aircraft.

This is the condition of its participation in a multinational programme with European giant Airbus to design and make a new cargo plane, the A400M multi-role mission transport aircraft.

It is believed that the cabinet gave the green light for the project last week.

A Transport Ministry statement yesterday broke the news that the government had accepted an invitation from Airbus Military for South Africa to participate in the programme.

In return, the government committed to procure and take delivery of between eight and 14 aircraft, as the programme matured, between 2010 and 2014.

Ian Phillips, special adviser to Transport Minister Jeff Radebe, said last night that SA's contribution would be the manufacturing of "work packages" for the new aircraft, in particular parts of the airframe unit, which would be attached to other parts "Lego-style".

Other countries involved - Belgium, France, Italy, Britain, Germany and Spain - would each be responsible for the creation of different components of the plane.

Phillips said the South African contracts had been awarded to Denel and private Johannesburg company Aerosud.

It was hoped the new cargo plane would take its maiden flight in 2008.

"What makes this project particularly delicious is the simple fact that this is the only global aviation programme that is new and 21st century."

"Because we are investing now, if the South African companies perform to global standards, we will be part of a global supply chain into the aviation industry for the next 50 to 60 years," said Phillips.

A memorandum of understanding between the government and Airbus is expected to be signed within weeks.

The new aircraft are to replace the nine Hercules C130 aircraft being used by the defence force.

According to the statement, over the past three years South Africa spent more than R100-million to contract privately owned "airlift capabilities" to deploy personnel, resources and equipment as part of peacekeeping operations.

Phillips said South Africa's decision to buy eight aircraft translated into a 2,3% investment in the total project.

"We thought that to buy only eight would not really be beneficial in terms of industrialisation costs. Buying 12 or 14 makes the investment worthwhile because of the bigger share we will have in the programme as a whole," he said.

Independent Democrats leader Patricia de Lille said last night that buying billions of rands worth of new military aircraft "can never be one of our country's priorities".

"Our priorities must be the fight against HIV and the alleviation of poverty. We've already spent so much money on the arms deal."

"We must get our priorities right. We can't spend that much money on arms."

With acknowledgements to Sheena Adams and The Star.