An artist’s rendering of the Type 26 Global Combat Ship, Lockheed Martin’s proposed design for Canada’s $60-billion fleet of new warships. COURTESY LOCKHEED MARTIN CANADA

Feds to buy Arctic ships from Irving to prevent layoffs

The federal government is looking at buying two more ships

Prime Minister Justin Trudeau is expected to announce Wednesday that the federal government is buying two more Arctic patrol ships on top of the six it has already ordered from Halifax-based Irving Shipbuilding.

However, unlike the first six, which are being built for the navy at a total cost of $3.5 billion, a government source tells The Canadian Press that the seventh and eighth will be built for the Canadian Coast Guard.

According to the source, who was not authorized to comment publicly, the move is intended to address the Canadian Coast Guard’s desperate need for new ships as its current fleet is extremely old, which has affected its ability to do its job.

READ MORE: Tribunal orders feds to postpone contract in $60B warship project

That includes everything from search-and-rescue operations and resupplying Arctic communities, to clearing ice for ferries in the St. Lawrence River and Atlantic region.

The source says it’s also to address the threat of layoffs, which Irving has long warned will happen unless the government fills a gap between when the last Arctic patrol ship is finished and construction on the navy’s new $60-billion warship fleet.

The government sought to address that gap in November when it ordered the sixth Arctic vessel for the navy and agreed to slow production on the fleet, at a total cost of $800 million.

Half of that cost was for the ship and the other half was to stretch out the work at Irving.

But federal bureaucrats and Irving both warned at that time more would need to be done as even with those measures, Irving was facing an 18-to-24-month gap — during which time it said it would need to lay off workers.

READ MORE: Justin Trudeau credits immigration for Canada’s growing tech sector

The Canadian Press

Like us on Facebook and follow us on Twitter.

Just Posted

Ponoka Youth Centre rolls back Before School Program to early start

Drop off to change to 6:30 a.m. starting Oct. 15

Our thriving town began as a whistle stop along Siding 14

By Mike Rainone for the News For those of us who were… Continue reading

Ponoka County passes Gull Lake IDP

Ponoka County has given its stamp of a approval to the Gull… Continue reading

Lacombe Chamber hosts election forum at LMC

LPC, CPC, PPC and NDP battle for Red Deer-Lacombe votes

No holiday for campaigning leaders on Thanksgiving weekend, but pace slows

There is a little over a week to go before election day, and advanced polls are now open

Advance voting set to end

One last chance to vote in if you are not going to be home on Oct. 21

‘Save the kids!’ Dorian survivor tells the harrowing story of his Canadian wife’s death

Family held a funeral and placed Alishia Liolli’s remains in a niche at a cemetery in Windsor, Ont.

Singh says NDP would form coalition with the Liberals to stop Tories

Singh was in a Liberal-held riding Sunday afternoon in Surrey where he was pressed about his post-election intentions

PHOTOS: Kipchoge becomes first runner to dip under 2 hours for marathon

Olympic champion and world record holder from Kenya clocks 1 hour, 59 minutes and 40 seconds

Mourners gather for slain teenager’s funeral in Hamilton, Ont.

Devan Bracci-Selvey’s obituary says he also had ‘a loving heart for animals’

1/3 of Canadian men won’t share their feelings for fear of being ‘unmanly’: report

Fifty-nine per cent of men said society expects them to be ‘emotionally strong and not show weakness’

Dog owners have reduced risk of dying from heart problems, says researcher

Researchers analyzed data on more than 3.8 million people taken from 10 studies

Winterhawks ice Rebels 5-0

Rebels take on Medicine Hat on the road Saturday night

Most Read