Last December the Government of Finland authorised the Finnish Defence Forces Logistics Command to acquire Lockheed Martin F-35A Lightning II in order to replace the F/A-18 Hornet.
The Lightning II was the clear winner in the evaluation carried out by the Ministry of Defence. The other 2 candidates were the F/A-18 super Hornet and Gripen E/F. Rafale and EF-2000 were not selected because they could not meet the cost requirements (64 aircraft for the established budget). F-35 was first with a score of 4.5 points; Super Hornet second with 3.8.
Now some excerpts from the Finnish Air Force statement:
In the HX Fighter Programme evaluation of the tenderers’ offers, the F-35 fulfilled the security of supply, industrial participation and affordability requirements of the decision-making areas. In the military capability assessment, the F-35 comprehensive system was the best. The F-35 combat, reconnaissance and survival capabilities were the best suited of the HX candidates.
The F-35 operating and sustainment costs fit the allocated cost frame, and the aircraft development during the life cycle will be feasible with the normal resources of the Finnish Defence Forces. Within the procurement process, several essential security of supply requirements and significant industrial participation have been agreed upon. The essential security of supply requirements relate specifically to independent ability to operate in exceptional circumstances.
The F-35 programme is multinational and its user community large. The system is in service in many European nations including Norway and Denmark.
Security of Supply
The F-35 solution fulfils the national security of supply requirements of Finland. The sustainment of the system is based on the F-35 global sustainment solution tailored to meet the domestic security of supply requirements. The critical maintenance capacity will be created in the Defence Forces and domestic industrial organisations. The solution encompasses the maintenance capabilities to be built in Finland as well as spare components and replaceable assemblies for exceptional circumstances that are under the sole national control of Finland as well as participation in the multinational maintenance network.
Affordability
The F-35 solution fitted to the allocated funding frame was the most cost-effective. The F-35 had the lowest procurement cost when considering all aspects of the offer. The operating and sustainment costs of the system will fall below the 254 million euro yearly budget. F-35 operations and lifespan development will be feasible with the Defence Forces’ resources.
No offer was significantly less expensive than others in operating and sustainment costs.
Industrial Participation
The F-35 industrial participation offer met the requirements in quality and content. The main focus of the offered industrial participation is in direct industrial cooperation that will create significant independent maintenance capabilities. The industrial participation solution will develop credible knowhow in the domestic industry from the security of supply perspective and become significant in the national economy.
The key industrial participation projects include large-scale production of the F-35 front fuselage in Finland also for other users, production of structural components as well as equipment testing and maintenance capability. In addition, Finland has been offered an engine final assembly project for the Air Force aircraft.
The industrial participation’s domestic employment impact will be 4500 and indirect impact 1500 person-workyears.
Military Capability
The F-35 system’s capability was best suited for the Finnish operating environment and HX requirements. The comprehensive system and aircraft’s capabilities in combat, reconnaissance and survival are unsurpassed. The F-35 came first in the assessment or shared the top score in all mission areas and achieved the highest total score. The proposed F-35 package will meet the defined tasks with sufficient efficacy in respect to the requirements of the future operating environment. The quantity of aircraft and weaponry included in the quotation had an impact in the result. The Finnish F-35 fleet can achieve operational capability within the scheduled timeframe.
The F-35 solution will produce a significant addition to the entire defence system and enhance preventive capability of defence. The F-35A is capable of initiating action in counter-air operations as well as generating and sharing the necessary situational awareness and target data, enabling the F-35 to best support land and maritime operations. The F-35 multi-domain effectiveness across air, land and sea received the highest rating in the assessment. The stealth and other unique features, such as sensors and networks, support the F-35’s survival in combat. The F-35 multi-role fighter has the highest internal fuel capacity and all sensors incorporated negating the need for an external targeting system or fuel tank.
The F-35 system’s technological solution is sustainable and its future growth potential the best of the offered solutions. The development has been guaranteed for the entire life cycle until the 2060s.
Procurement Package
The procurement object is 64 F-35A multi-role fighters in the newest Block 4 configuration. The procurement encompasses multi-role fighter weaponry. The offered F-35 package includes the following weapon types: AMRAAM, Sidewinder, SDB I and II, JDAM-family weaponry, JSM and JASSM-ER. The weaponry is to be procured within the programme funding availability by the end of the year 2035. The weapons package will be optimised during the procurement process, taking into account availability of the newest weapon types and changes in the operating environment. With optimised weapons procurement, the system’s capability will be maximised in the Finnish operating environment and the F-35 system’s life-cycle guaranteed for the longest feasible time.
A remarkable number of additional products and services to be acquired concurrently are related to the procurement of the fighter system and its use. These comprise the sustainment system including test equipment, tools, replaceable assembly and spare part services, as well as information systems, training systems and services, mission support systems and related services as well as the US Government Foreign Military Sales (FMS) procurement process related administrative services to be used. The procurement package also includes the fleet sustainment costs for the years 2025-2030.
Procurement Funding
The funding for the HX programme totals 10 billion euros. The Parliament has granted the fighter programme a procurement authorisation of 9.4 billion euro for the acquisition of the Hornet replacement system and 579 million euros of a five-year transferable allocation. The transferable allocation is to ensure that the procured entity will be obtained into service as part of the Finnish defence system. Twenty-one million euros have thus far been spent in prepar-ing for the procurement.
Procurement Costs
The acquisition equals approximately 8.378 billion euros. The cost of multi-role fighters is 4.703 billion euros and air-to-air missiles AMRAAM and Sidewinder 754,6 million euros. Service equipment, spare and exchange parts, training and sustainment solutions, other related systems as well as sustainment and maintenance services until the end of 2030 cost 2,920 billion euros.
Operational facilities, aircraft hangars and storages as well as runway structures and infrastructure for the procured system will be constructed in Finland. This is based on national and international safety and security requirements. Construction costs, costs of industrial participation, personnel costs and other project costs amount to 777 million euros.
Additionally 823,8 million euros is reserved for the final optimised weapons package and to control future contract amendments. Part of the weaponry will be obtained at a later date as per the aircraft delivery schedule.
References:
- https://ilmavoimat.fi/en
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