BRP Jose Rizal (FF-150) - [DND/PHL Navy's Frigate Acquisition Program]

[adroth]

From a companion thread on the FB extension

https://www.facebook.com/groups/rpdefense/permalink/1586102804808894/?comment_id=1586112041474637&reply_comment_id=1586407638111744&comment_tracking=%7B"tn"%3A"R"%7D

[sbhntr]

so after the contract was signed, was there a Post Award Orientation Conference conducted between the signing parties (with representation of contracts, legal, technical, manufacturing, etc) were vague wordings / provisons were straightened out and both parties are on the same page,  recorded and signed? if none was conducted, it may not be too late to do one....

[mamiyapis]

so after the contract was signed, was there a Post Award Orientation Conference conducted between the signing parties (with representation of contracts, legal, technical, manufacturing, etc) were vague wordings / provisons were straightened out and both parties are on the same page,  recorded and signed? if none was conducted, it may not be too late to do one....

I believe this was the "workshop" both FOICs were referring to in the hearings. Hence the "clarifications" on Link-16 that the Navy believed disqualified Hanwha's Naval Shield

[adroth]

Lorenzana: Warship in controversial Navy frigate deal to be delivered in 2020
Published March 7, 2018 10:47pm
By ERWIN COLCOL, GMA News

http://www.gmanetwork.com/news/news/nation/645850/lorenzana-warship-in-controversial-navy-frigate-deal-to-be-delivered-in-2020/story/

Despite the controversy it is embroiled in, the Philippine Navy's frigate acquisition project is continuing, with the warship expected to be delivered in 2020, Defense Secretary Delfin Lorenzana confirmed.

Lorenzana made this pronouncement on Wednesday after attending the House Committee on National Defense and Security inquiry into the deal, where he served as a resource speaker.

"So it is continuing now. It will be delivered in 2020. Medyo made-delay lang ng six months, but it will be delivered," he told reporters in an ambush interview.

The frigate deal came to national attention after it was alleged to have provisions that would be "grossly disadvantageous"  to the Philippine Navy and the Armed Forces of the Philippines.

But at the hearing, Lorenzana maintained that the frigate project was "above board," and the delivery of the warship would not have been delayed if not for the interference of the former Flag Officer in Command, Vice-Admiral Ronald Mercado.

< Edited >

[adroth]

It's final: PH Navy chief says Korean system to be installed in warships
Philippine Navy chief Robert Empedrad tells the Commission on Appointments that the selection of Hanwha is a 'done deal'

Camille Elemia
@CamilleElemia
Published 2:20 PM, March 14, 2018
Updated 8:46 AM, March 15, 2018

https://www.rappler.com/nation/198131-philippine-navy-empedrad-frigates-hanwha-commission-appointments

MANILA, Philippines – The Philippine Navy decided to use a Korean combat management system (CMS), and not a more tested Dutch system, for warships which are expected to be delivered by 2020.

During his confirmation hearing, Vice Admiral Robert Empedrad said it is already a done deal because the contract has been signed and Hyundai Heavy Industries (HHI), the contactor, already signed deals with its subcontractors, including Korean CMS supplier Hanwha Systems.

"It's a done deal. [HHI] already signed the contract with all subcontractors, [for equipment] like missiles, torpedoes, and other important subsystems," Empedrad told the Commission on Appointments (CA) national defense committee on Wednesday, March 14.

< Edited >

[adroth]

https://www.facebook.com/groups/rpdefense/permalink/1605055822913592/

[LionFlyer]

The original specifications called for a much less capable platform. The revised supplementary specifications increase the capabilities dramatically at no increase in budget.

One can argue that HHi were guilty of recklessly complying with the requirements and pulling bait and switch stunts later. But the reality when compared with frigate programmes of regional countries is it is challenging no matter how you look at it. And Re GRSE claims they could do the job at the same price, I would take it with a pinch of salt and a large contingency budget

[mamiyapis]

The Indians are notorious for undervaluing the job and then arguing for large cost overruns in the middle of the project. One need only look at majority of their national projects which have eneded either way over budget or cancelled because of runaway costs.

[adroth]

And Re GRSE claims they could do the job at the same price, I would take it with a pinch of salt and a large contingency budget

GSRE's capabilities must be taken with a grain of salt

CAG lays bare breaches in Navy’s anti-sub corvettes
Jayanta Gupta | TNN | Updated: Jul 23, 2017, 03:38 IST

https://timesofindia.indiatimes.com/city/kolkata/cag-lays-bare-breaches-in-navys-anti-sub-corvettes/articleshow/59719163.cms

< Edited >

According to one of the CAG's latest reports, the Directorate of Naval Design (DND) hadn't finalized the design for the ASW corvettes when issuing the Letter of Intent to Garden Reach Shipbuilders and Engineers (GRSE) Ltd in Kolkata. DND finalized the design in 2006 but continued to modify it till 2008.

< Edited >

"The drop in the achievement of the specified speed was mainly due to the increase in their weights by over 800 tonnes," the report states. The increase in weight of the corvettes was due to the adoption of various signature reduction measures or stealth capabilities. In a last ditch effort to maintain proper weight, the DND suggested in May 2009 that GRSE use composite superstructures instead of steel ones in the last three of four corvettes of the Kamorta-class being built by GRSE. This would bring down their weights by 70-80 tonnes each. However, due to the lead time required in procuring composite material from foreign vendors, GRSE is using them only in the last two ships that are yet to be delivered.

It was also observed during audit that the INS Kamorta and INS Kadmatt haven't been fitted with a particular weapon and sensor systems and can't perform to their full potential. Till December, 2016, the Harbour Acceptance Trials of the INS Kadmatt were still pending. Sea Acceptance Test (SAT) is also conducted to test a vessel's speed, maneuverability, equipment and safety features.
"It was observed that SAT on six weapons and sensors on the INS Kamorta and all weapons and sensors on INS Kadmatt are pending satisfactory completion. Thus, the effectiveness of the main features of anti-submarine warfare are yet to be proved," the report states.

< Edited >

[adroth]

The rest of SND Lorenzana's statements is in the original thread. Just adding this snippet so to tie this thread in with the other

DND Secretary Delfin Lorenzana’s response to an open letter on the PH Navy’s frigate project
11:05 AM March 29, 2018

(Editor’s note: Below is the response of Defense Secretary Delfin Lorenzana to an open letter from Dr. Corazon PB Claudio that was published at Inquirer.net early this month. Claudio wrote a letter to Lorenzana to express her sentiments on the Frigate Acquisition Project of the Philippine Navy.)

CORAZON PE BENITO – CLAUDIO

President, Earth Institute Asia, Inc.
Unit 317 National Life Building
1100 Quezon City
Metro Manila, Philippines

Dear Dr. Claudio,

This is my response to your letter published 9 March 2018 on Inquirer.net, “Letter to fellow Ateneo MBA alum, DND Secretary Delfin N. Lorenzana.” But first, I’d like you to know that I really appreciate your concern and avowed love for the Philippine Navy.

I have to reply primarily to correct the misrepresentation of facts being perpetrated by VAdm Mercado and his supporters. Your letter proved just how successful they have been in this regard.  Please read on and tell me later who should apologize to whom.

I have always known the Philippine Navy as an excellent organization. It has garnered numerous awards and recognitions locally as well as internationally as you have enumerated in your letter. It must be pointed out, however, that these outstanding accomplishments were the result of the collective and cumulative efforts of our valiant sailors and marines, under the leadership of previous FOICs who preceded VAdm Mercado such as VAdm Alexander Pama, VAdm Jose Luis Alano, VAdm Jesus Millan, and VAdm Caesar Taccad, to name a few. It is, thus, unfair to attribute whatever gains the PN has achieved to one person alone. I have no doubt that Vadm Mercado had a sterling service in the Navy. What I am questioning was his actuations with regard to the Frigate Acquisition Project (FAP) from June 2016 to November 2017 which has, regretfully, tarnished his good record.

There is nothing wrong with the FAP contract.  All that needs to be done is for it to be implemented as is. I had our legal officers go over it before I signed it and again when VAdm Mercado raised the Combat Management System (CMS) question. I even had a private law firm go over the contract. They all came to the same conclusion: it is in order, in form and substance.

Let us go to the bone of contention – the CMS. These are the things I have derived from your letter which were also the same arguments of VAdm Mercado and Commo Villa during the Senate Hearing:

    That due to the break-up of Hanwha-Thales partnership, there is only one CMS option left – Tacticosof Thales. You also stated that, “After the Hanwha-Thales dissolution, wasn’t VadmMercado correct in just focusing on Thales, which was the only CMS left legally in the contract? Hanwha-Thales is already non-existent, Hanwha System which Hyundai wants to substitute now, is not in the contract and is, thus non-existent legally in the FAP.”

This is the most egregious argument in this whole discourse. What are the facts? During the Submission and Opening of Bid Envelopes (SOBE), HHI submitted two Combat Management Systems. These are: Tacticos developed by Thales Nederland and Naval Shield Integrated Combat Management System (NSICMS) developed by Hanwha – Thales Company (HTC) of the Republic of Korea (which became simply Hanwha Systems in October 2016 when Thales and Hanwha severed their ties). The members of the PN Technical Working Group (PN TWG) verified, inspected and evaluated carefully the technical documents of Tacticos and NSICMS and the PN TWG affirmed that both CMS are compliant and both satisfy the technical requirements of the procuring entity, as stipulated in the bidding documents and were therefore “rated as pass” by the DND Bids and Awards Committee (BAC), as recommended by the PN TWG. Note that only their respective CMS were rated, not the companies themselves. As can be gleaned from above, the PN TWG did not rate Thales Nederland or Hanwha-Thales but their systems. When Hanwha-Thales broke up, the NSICMS remained with Hanwha. So, what disqualification was VAdm Mercado talking about? Besides, Hyundai would not be so foolish as to choose a non-existent sub-system.

Moreover, as clearly stated in the Post Qualification Evaluation Summary Report dated 14 June 2016, particularly on the aspect of the “Technical Proposal,” the DND-PN Post Qualification Team, of which VAdm Mercado was the Project Manager, affirmed that all sub-systems in the maker’s list are compliant with the technical requirements of the PN.

    You also stated, “I just hope that when your negative feelings are gone, you will acknowledge that VAdmMercado was just doing his job to ensure compliance with the contract.”

Firstly, feelings had nothing to do with my decision to relieve him. It was based on hard facts alone.

Secondly, this misleading argument (purportedly to ensure compliance with the contract) was also used by VAdm Mercado during the hearing at the House of Representatives (HoR). In fact, he went further by saying that he was just protecting those involved in the contract from any problems later on. What a noble intention! But he is plainly and simply fudging the issue. If there is a person who wants the contract implemented according to our laws, it is no other than the signatory to the Contract and the Head of Procuring Entity (HOPE) – me, the SND. In fact, VAdm Mercado was interfering with the procurement process when he tried to force Hyundai to install his chosen CMS, which is a violation of the Contract.

VAdm Mercado and Commo Villa also argued during the Senate Hearing that when Hyundai agreed (during a workshop held in September 2016) “that the CMS shall be compatible with the Tactical Data Link 16 (TDL16), Hanwha’s NSICMS has been disqualified because only ‘Tacticos is compatible with TDL 16’ at that time.”

Likewise, VAdm Mercado, thru the Philippine Navy Project Management Team (PN PMT) submitted to the DND a position paper asserting that Hyundai must “show proof and objective quality evidence that the CMS is compatible with Link 16 being used by at least one (1) frigate or a similar type of naval vessel from the country of origin or being used by at least one (1) frigate each from two (2) foreign countries as part of the Critical Design Review (CDR).”

Again, this is purely and simply clouding the issue. What are the facts? The phrase “show proof and objective quality evidence that the CMS is compatible with Link 16” does not have any merit as far as the contract is concerned. Instead, the phrase “CMS shall be compatible with Link 16” was part of the contract under the Tactical Data Link (TDL) portion. During the one-week workshop held from 26-30 September 2016, the FAP TWG, chaired by then Commodore Robert A. Empedrad, AFP, requested HHI to include in the contract the phrase, “The CMS shall be compatible with Link 16” because the Armed Forces of the Philippines (AFP) plans to acquire TDL-16 sometime in the future. During the SOBE, this was not part of the technical requirements because what was initially required was just a space provided in the ship for the future installation of TDL-16. Acceding to the Navy’s request, HHI agreed to insert in the contract the phrase, “The CMS shall be compatible with Link 16” without additional cost. As agreed, HHI assures the DND that the TDL 16 will be integrated with the NSICMS before the delivery of the two frigates. 

On 14 September 2017, Hanwha submitted a Compliance Certificate to the Defense Acquisition Office (DAO) stating that its NSICMS is compatible with TDL 16, which should have put to rest the CMS/TDL 16 issue. Unfortunately, it did not because VAdm Mercado still insisted on Tacticos.

A lot of talk has also come out on the supposed superiority of Tacticos over the NSICMS. But the superiority of Tacticos is irrelevant to the FAP. The requirement of the Procurement Law (RA 9184) is for the PN TWG to rate competing systems as either PASS or FAIL. The Law did not say “choose the best product.” The PN TWG headed by VAdm Mercado himself rated both Tacticos and NSICMS as PASS. This is clearly indicated in the contract. Senator Recto’s statement during the Senate hearing, “Pagbigyan na natin sila sa kanilang gusto,” cannot be considered as this would exceed the authorized budget and therefore violate  RA 9184.

    You also said, “Faced with these uncertainties, our PN Technical Team is right in choosing Thales Tacticos which has proven performance. Any other CMS that has not been well tested just increases the risk to our frigates.” Again, I refer you to Section 18, Revised IRR of RA 9184 – Reference to Brand Names: “Specification for procurement of goods shall be based on relevant characteristics, functionality and/or performance requirements. Reference to brand names shall not be allowed, except for items or parts that are compatible with the existing fleet or equipment of the same make and brand, to maintain the performance, functionality and useful life of equipment.”

[adroth]

 The Frigate Acquisition Project has spawn so many side-discussions it is now impractical to merge all of these threads into a single master thread. For that reason, this thread is being turned into a thread index. Discussions that are central to the procurement of the first frigate will remain here. But the various side discussions will be discussed in the their respective threads.

[adroth]

DND body approves design of Navy frigate project
By Priam Nepomuceno April 5, 2018, 10:18 pm

http://www.pna.gov.ph/index.php/articles/1031022

MANILA -- A committee under the Department of National Defense (DND) has approved the Critical Design Review (CDR) of its PHP18-billion Frigate Acquisition Project (FAP) which is under contract with South Korean shipbuilder Hyundai Heavy Industries (HHI), the Philippine Navy confirmed Thursday.

PN spokesperson Capt. Lued Lincuna said the Technical Inspection and Acceptance Committee (TIAC), headed by Commodore Alberto Carlos, approved the CDR of the project last March 23.

The CDR was handed to the TIAC last January. It will serve as the "bible" of the shipbuilder while constructing the frigates.

Lincuna said the TIAC acceptance of the CDR marks a significant step forward and a major milestone for the project which consists of the approval of 71 critical detailed design drawings as submitted by HHI.

These drawings shall then be the basis of HHI to proceed with the project.

The next significant milestone will now be the ceremonial steel cutting which will likely be held on April 30 at HHI Complex, Ulsan, South Korea which will be attended by a delegation from the DND/PN to mark this important event.

It can be recalled that on Oct. 24, 2016, the contract agreement for the FAP was signed by DND Secretary Delfin Lorenzana as Head of Procuring Entity (HOPE), and Mr. Kisun Chung, HHI owner and vice president, for the construction of two new 2,600 ton frigates that are missile-capable and equipped with sensors and systems for modern naval warfare.

Lorenzana has expressed his utmost desire for the timely completion of the project.

Indeed, the completion of the CDR phase and the start of the steel cutting show that the FAP is moving forward without delays in accordance with the stipulations of the contract.

The two missile-armed frigates are expected to be delivered in 2020 which would cement the country's vision of having a strong and credible Navy. (PNA)

[Invictus]

Steel cutting for 2 frigates starts April 30
By Priam Nepomuceno  April 7, 2018, 10:25 am

MANILA -- The steel cutting for the two missile-armed frigates, which is under contract with South Korean shipbuilder Hyundai Heavy Industries (HHI), is expected to start on April 30.

"The next significant milestone will now be the ceremonial steel cutting, which will likely be held on April 30 at the HHI Complex in Ulsan, South Korea, to be attended by a delegation from DND/PN (Department of National Defense/Philippine Navy) to mark this important milestone," Navy spokesperson, Capt. Lued Lincuna, said Thursday.

Steel cutting signals the official start of a vessel’s construction.

The two frigates are capable of engaging air, surface and sub-surface threats. Including their weapons system and munitions, the vessels have a budget of PHP18 billion.

Earlier, a committee under the DND approved the Critical Design Review (CDR) of the Frigate Acquisition Project (FAP).

Lincuna said the Technical Inspection and Acceptance Committee (TIAC), headed by Commodore Alberto Carlos, approved the CDR of the project last March 23.

The CDR, handed to the TIAC last January, will serve as the shipbuilder’s "bible" while constructing the frigates.

Lincuna said TIAC’s acceptance of the CDR marks a significant step forward and a milestone for the project, which consists of the approval of 71 critical detailed design drawings as submitted by HHI.

These drawings shall be the basis of HHI to proceed with the project.

It can be recalled that on Oct. 24, 2016, the contract agreement for the FAP was signed by Defense Secretary Delfin Lorenzana as head of the procuring entity, and Kisun Chung, HHI owner and vice president, for the construction of two new 2,600-ton frigates that are missile-capable and equipped with sensors and systems for modern naval warfare. (PNA)

[adroth]

Putting this timeline into perspective.

Steel cutting for 2 frigates starts April 30
By Priam Nepomuceno  April 7, 2018, 10:25 am

MANILA -- The steel cutting for the two missile-armed frigates, which is under contract with South Korean shipbuilder Hyundai Heavy Industries (HHI), is expected to start on April 30.

Here is the original timeline

Where we ought to be by now

SBB NR DND-PN-FAP-16-05

This is where we stand now

Milestone		Description		Details
Critical Design Review		Approval and submission of Plan and Detail Design for the project Purchase order of steel / major equipment		Completed March 23, 2018 under Commodore Alberto Carlos. See here. Original schedule: 10 months after issuance of NTP
Steel Cutting Frigate 1		At least 50% of the steel for Frigate 1 received / available on site of builder Cutting of steel required for two blocks of Frigate 1 completed		Scheduled for April 30, 2018. See here. Original schedule: 12 months after issuance of NTP
Steel Cutting Frigate 2		At least 50% of the steel for Frigate 2 received / available on site of builder Cutting of steel required for two blocks of Frigate 2 completed		n/a Original schedule: 18 months after issuance of NTP
Keel Laying Frigate 1		Completion of at least two blocks of Frigate 1 Delivery of major equipment identified during design review		n/a Original schedule: 20 months after issuance of NTP

[adroth]

HHI frigates to boost Navy capability to protect maritime domains
By Priam Nepomuceno April 11, 2018, 11:22 am

http://www.pna.gov.ph/articles/1031516

MANILA -- The arrival of the two missile-armed frigates, to be built by Hyundai Heavy Industries (HHI), is expected to greatly boost the Philippine Navy’s (PN) capability to protect its territorial waters.

"The two warships (upon delivery) will certainly enhance the capability of the PN to guard the Philippine maritime territory and its exclusive economic zone," Navy spokesperson, Capt. Lued Lincuna, said Tuesday.

The two frigates, which are designed to be capable of engaging surface, subsurface, and air threats, and electronic warfare, are worth PHP18 billion including their weapons system and munitions.

They are expected to be delivered in 2020 and 2021. Earlier, Lincuna said that steel-cutting for the two ships is expected to start on April 30.

"The next significant milestone will now be the ceremonial steel cutting, which will likely be held on April 30 at the HHI Complex in Ulsan, South Korea, to be attended by a delegation from DND/PN (Department of National Defense/Philippine Navy) to mark this important milestone," he said.

Steel cutting signals the official start of a vessel’s construction.

Earlier, a committee under the DND approved the Critical Design Review (CDR) of the Frigate Acquisition Project (FAP).
Lincuna said the Technical Inspection and Acceptance Committee (TIAC), headed by Commodore Alberto Carlos, approved the CDR of the project last March 23.

The CDR, handed to the TIAC last January, will serve as the shipbuilder’s "bible" while constructing the frigates.

Lincuna said the TIAC’s acceptance of the CDR marks a significant step forward and a milestone for the project, which consists of the approval of 71 critical detailed design drawings as submitted by HHI. These drawings shall be the basis of HHI to proceed with the project.

It can be recalled that on Oct. 24, 2016, the contract agreement for the FAP was signed by Defense Secretary Delfin Lorenzana - as head of the procuring entity, and Kisun Chung, HHI owner and vice president.

The contract is for the construction of two new 2,600-ton frigates that are missile-capable and equipped with sensors and systems for modern naval warfare. (PNA)