Bidding for attack helicopters fails anew - DND chief

MANILA, Philippines - The bidding for the military’s night attack helicopters failed for the second time due to the increase in aircraft cost, Defense Secretary Gilbert Teodoro said.

Following the failure of the procurement process, Teodoro said they are considering the purchase of second-hand helicopters with the same night capability to provide the Air Force with the same number of units it needs for its operations.

“If the President approves it, we could buy second-hand helicopters instead of new ones with the P3.2 billion that we have for that,” he said.

The first bidding was nullified after the investigating panel formed to oversee the procurement process uncovered irregularities.

Several defense officials are now facing graft and falsification charges before the Ombudsman over the scrapped bidding.

Another option, Teodoro said, is to recommend the reduction of the lot requirement for the aircraft to make adjustments in the budget.

“One option is to adjust the Special Allotment Release Order (SARO), lessen the required number of units because of the budget that we have,” he said.

Teodoro said the Air Force needs the helicopters for its firepower platform that could withstand the rigors of operations as well as in transporting troops and essential equipment needed in the frontlines.

Just last week, the Air Force received 15 Cessna T41 trainer planes from South Korea.

Teodoro added they are also planning to buy more SF 260 Marchetti planes.

Teodoro earlier said the high cost of state-of-the-art military hardware and the government’s limited purchasing power have caused delays in the Armed Forces’ modernization program.

He said the P5 billion allotted for the project is not enough for the AFP to procure modern equipment such as fighter planes and attack helicopters needed for the country’s external defense.

The first years of the Capability Upgrade Program (CUP) have so far resulted in the procurement of basic weapons such as machine guns, communication equipment and land vehicles.

Teodoro said a top-of-the-line attack helicopter presently costs around $83 million, or about P3.7 billion.

He stressed the urgent need for the AFP to acquire more helicopters and cargo planes, particularly the Air Force which only has one C-130 cargo plane after the other one crashed in Davao last year.

The AFP is expecting a helicopter to be back in service in about two months after undergoing rehabilitation.

Last year, the AFP received 600 new troop carriers and more than 2,000 units of squad automatic weapons in 2007.

The military hopes to increase its capability to address internal security threats from a low of about 30 percent in year 2000 to a maximum of 70 percent by 2010.

A total of 34 priority items are included in the first phase of the AFP’s re-prioritized CUP shop list Phase 2 has 62 items, and Phase 2-B has 39 items.

These include night fighting equipment, squad automatic weapons, 6,000 units of which are expected to be delivered to the AFP within six months; bullet-proof vests to improve the protection of frontline troops; and combat life support systems to minimize casualties in the field.

The multi-billion-peso CUP, a component of the Philippine Defense Reform Program, is a comprehensive project aimed at enhancing the equipment of the ill-equipped AFP within a period of five years, starting in 2005.