In The Line, Philippe Lagassé explains why just pouring more money into the Department of National Defence won’t automatically improve our defence capabilities:
Canadian defence spending is back in the news, thanks to an open letter urging the government to spend two per cent of GDP on the military and a leaked document suggesting Canada won’t hit that NATO target. Like ending the monarchy, defence spending is one of those issues that gets lots of attention once or twice a year, only to fade away before any serious discussion takes place. It’s unlikely that this time will be any different.
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Even if the government wanted to greatly increase defence spending, though, it would have trouble spending that money effectively in the short term. While more money is needed over the long term, the Department of National Defence (DND) and Canadian Armed Forces (CAF) have to first build up their capacity to spend a much larger budget. As they do so, however, our historical tendency to reduce defence expenditures after pivotal moments should always be kept in mind.
The DND and CAF are already straining to implement the capital equipment and infrastructure programs that were announced in the 2017 defence policy, Strong, Secure, Engaged. This reflects the fact that department’s capacity to manage procurements has to be built back up after decades of anemic capital spending. There aren’t enough people to move the programs that are currently planned, let alone new ones that could be added. Additional money could be funneled to existing projects, but that wouldn’t be enough to cause an increase to two per cent of GDP in the coming years. The capabilities Canada is currently buying will probably be far more expensive to maintain in the future than the government realizes, which strongly suggests that we do need to gradually get to that number, but this reinforces the need for caution and for managing expectations. If ministers insist that new money be attached to still more new capabilities, DND/CAF will not only have trouble acquiring them, but will be unable to afford them.
One could argue that DND/CAF could get around its capacity challenges by simply buying more equipment “off the shelf”. Instead of getting more people to tackle complex procurements and infrastructure projects, the defence department should focus on simpler acquisitions that require less management. It is important to note, though, that “off the shelf” procurements aren’t an obvious solution either — DND and the CAF don’t specify requirements for the hell of it. Many project requirements reflect the need to integrate new capabilities into the existing force, which is no small feat when mixing new and old technologies and operating from installations across a massive country. Projects that gravitate toward “off the shelf” solutions, moreover, can be challenged by competitors who contend that they can develop a new capability that better meets Canada’s needs. Bombardier‘s response to the government’s plan to buy Boeing’s P-8 Poseidon aircraft to fulfil the Canadian Multi-mission Aircraft (CMMA) project is a recent example.
Canada also tends to favour platforms that can perform various missions, which further complicates “off the shelf” procurements, since the equipment sitting on the shelf may not do everything the CAF needs it to do. Unless we want the CAF to be less capable, the way to address this issue is to acquire more platforms that do specific things. The problem is that the CAF would need more people to acquire, operate, and maintain these additional fleets, still more money to sustain this extra equipment, and yet more infrastructure to store it. This approach promises to exacerbate the very problems it’s supposed to solve.
