![]() That price tag, Giroux said Thursday, steadily increased as the design was refined and adapted to Canada's needs - and as the federal government pushed back the launch of construction. Postponing construction will cost us: PBO Back then, the budget watchdog ballparked the acquisition price tag at $62 billion. The PBO started tracking the price tag in earnest in 2017 after the Liberal government chose the British Type 26 frigate design as the basis for the new Canadian surface fleet. It's the rising cost of buying each ship that concerns members of the House of Commons standing committee on government operations and estimates (OGGO), which requested the PBO review. Lamirande said DND's operating estimate runs between $183 billion and $208 billion but noted that it also is subject to revision. The PBO report estimates it will cost around $219.8 billion to operate the fleet of new warships over nearly six decades. Speaking to reporters following the release of the report, Giroux said the design and acquisition phase is the part of the program where the federal government - at the moment - has the most fiscal control. The warships are expected to be in service until late the 2070s, when the final vessel reaches the end of its service. "However, as we progress through this phase, the cost estimate will be updated," said department spokesperson Jessica Lamirande in a media statement.Ĭonstruction of the first of the new frigates is not expected to begin until 2024. The Department of National Defence said Thursday it's standing by its existing projection of design and construction costs in the range of $56 billion to $60 billion. (BAE Systems Inc./Lockheed Martin Canada) An artist's rendering of the British Type 26 frigate, the design basis for Canada's new frigates. ![]()
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