Projects

AIR 5077 - Project Wedgetail
Airborne Early Warning and Control

Project History | AEW&C | Organisation | Media Releases

Latest Project Information

Boeing accepts responsibility for Wedgetail project slipping behind schedule

"The Eagle" has landed in Canberra

Wedgetail Signing Guarantees New High-Tech Jobs

Opening of 2 Squadron Headquarters Building

Boeing 737-700 Facts and Figures

Project Background

What is Project WEDGETAIL?

The Wedgetail Eagle is a native of Australia, and is one of the largest Eagles in the world. It is known to have extremely acute vision, to range widely in search of prey, to protect it's territory without compromise and to stay aloft for long periods of time.

For these reasons Project WEDGETAIL is the name given to Australian Defence Force Project AIR 5077, which has been established to acquire an Airborne Early Warning and Control (AEW&C) capability. The AEW&C capability will provide the Australian Defence Force (ADF) with an enhanced surveillance capability in the broad expanse of the Australian north.

Acquisition Strategy

TOP

The acquisition strategy being pursued for Project AIR 5077 consists of a series of linked stages, to progressively refine options and gain insight to solutions for risk mitigation. The staged procurement approach is based on functional specifications, with a managed and progressive evaluation of candidate systems. The acquisition strategy:

adheres to Departmental policy guidance,
maintains effective competition,
includes inherent risk containment,
maintains consistency of acquisition methodology with Australian Industry Involvement (AII) objectives,
includes appropriate Departmental review at every stage,
maintains continuity of activity for tenderers,
allows for potential solutions at varying levels of development, and
sets a realistic schedule.

The Project is divided into three phases, as follows:

Phase One was approved in the 1994/95 Budget, and comprised a Project Definition Study (PDS). The PDS was conducted in two parts, a Capability Assessment and a Requirements Analysis, and is now complete. Outcomes of the Phase 1 PDS formed the basis of the Phase 2 Major Capability Submission (MCS) which was considered by the FSPPC on 30 Jan 96.

Phase Two was for the conduct of an Request For Proposal (RFP) for the AEW&C capability (Nov 96), a Request For Tender (RFT) for Initial Design Activity (IDA) leading to tenders for the project IDA (Apr 97), and a nine month, funded, competitive IDA contracts (Jan 98). Phase 2 was approved in the context of the 1996/97 Budget. IDA commenced in Jan 98 and included two technical design reviews, a System Requirements Review (SRR) in Apr/May 98 which established a Functional Baseline for each proposed solution and an Initial Design Review (IDR) in Oct/Nov 98 which established the Allocated Baseline for each.

Phase Three is for the acquisition of four AEW&C aircraft with options of three, and support systems. Government approval was given in December 1997. An RFT for systems acquisition was released to IDA participants on 30 Sep 98, leading to formal source selection in mid-99, followed by contract award in final Qtr 2000.

In the System Acquisition phase, Project Wedgetail is planned to fulfil the major project requirements under two contracts. The first contract will cover the acquisition of the AEW&C System, comprising the Airborne Mission Segment, Operational Flight Trainer, Operational Mission Segment, Mission Support Segment, AEW&C Support Facility, AEW&C Support Centre (ASC), training and Support & Test Equipment (S&TE). The second contract will cover initial support arrangements for the AEW&C System for a period equivalent to a mature fleet rate of effort for three years.

Release of the RFT for Phase 3 was restricted to the three prime Contractors participating in the IDA, viz Lockheed-Martin (Aeronautical Systems), The Boeing Company and Raytheon Systems Company.

Australian Industry Involvement

TOP

The high quality of involvement of Australian and New Zealand Industry has been a significant part of the procurement of the AEW&C. The Prime Contractor is The Boeing Company, based in Seattle, USA. Major Subcontractors are Boeing Australia Limited (BAL) based in Queensland and BAE Systems Australia based in South Australia. Significant work has also been undertaken by Hawker de Havilland/ASTA (based in Melbourne) and Tenix based in Sydney. A number of Small to Medium Enterprises (SMEs) have been contracted, with some pleasing outcomes.

Currently, work to be done in Australia/New Zealand is valued at $A474m, with a further commitment of $A981m to Significant Industry Development Activities. Boeing has achieved about 61% of this target to date.

Work in Australia/New Zealand includes design and development of elements of the AEW&C System, particularly strategically important surveillance sensors, mission systems, communications systems, EWSP systems, ESM systems and tactical intelligence sub-systems. ANZ Industry has also been involved in systems integration tasks sufficient to provide ANZ Industry with the ability to control, manage, enhance, upgrade, adapt, repair and maintain the AEW&C systems and associated test and support equipment through-life.

As part of the Australian Government’s decision in 2004 to purchase an additional two AEW&C aircraft from Boeing, the contractor agreed to undertake all modification work for Aircraft 3 to 6 in Australia. This resulted in a very significant additional Australian Industry Involvement commitment from Boeing. This additional work is also expected to assist in the development of local industry to ensure optimum performance in support of the AEW&C capability, create additional skilled jobs, increase skill levels and lead to possible further investment in SMEs.

Australian Industry will also be very closely involved in the ongoing support of the AEW&C capability as part of the In Service Support (ISS) contract with Boeing.

The AEW&C ISS Industry Program will be a further development of the Australian Industry Involvement Program established under the AEW&C System Acquisition Contract. The proposed development of the Industry Program is a response to changes in Government policy governing Australian Industry Capability programs, as espoused in the recently Cabinet-endorsed Sector Plans. The Industry Program will comprise Supply Chain Management and Procurement (SCM&P) and Australian Industry Capability (AIC) elements.

Broader Government Policy

In Chapter 9 of the White Paper “Defence 2000 – Our Future Defence Force”, the Australian Government:

recognised that Australian industry is a vital component of Defence capability;
confirmed the need for a sustainable and competitive defence industry base able to support a technologically-advanced Australian Defence Force (ADF), as originally defined in the 1998 publication “Defence and Industry – Strategic Policy Statement”; and
identified the need for a specifically targeted set of capabilities in the national industry and support base.

Within that framework, the highest priorities for industry capacities are defined as:

combat systems software and support;
data management and signal processing, including information gathering and surveillance;
command, control and communications systems;
systems integration;
repair, maintenance and upgrade of major weapons and surveillance platforms; and
provision of services to support the peacetime and operational requirements of the ADF.

In October 2001, the Government approved a more strategic approach to defining, developing and maintaining indigenous industry capability to generate self-reliance and sustain ADF operations, authorising Defence to:

prepare a series of Industry Sector Strategic Plans to define industry capabilities critical to self-reliance and ADF force sustainment,
aggregate future capital acquisition and support projects into work packages designed to develop and sustain critical industry capabilities, and
build long term strategic relationships with a limited number of Australian “Tier 1” prime contractors to ensure the continuance of essential industrial skill sets and capabilities.

Contact

TOP

AEW&C System Program Office

Telephone: 02 6265 9111

Last reviewed/updated: 19 November 2008

	Projects AIR 5077 - Project Wedgetail Airborne Early Warning and Control Project History \| AEW&C \| Organisation \| Media Releases Latest Project Information Boeing accepts responsibility for Wedgetail project slipping behind schedule "The Eagle" has landed in Canberra Wedgetail Signing Guarantees New High-Tech Jobs Opening of 2 Squadron Headquarters Building Boeing 737-700 Facts and Figures Project Background What is Project WEDGETAIL? The Wedgetail Eagle is a native of Australia, and is one of the largest Eagles in the world. It is known to have extremely acute vision, to range widely in search of prey, to protect it's territory without compromise and to stay aloft for long periods of time. For these reasons Project WEDGETAIL is the name given to Australian Defence Force Project AIR 5077, which has been established to acquire an Airborne Early Warning and Control (AEW&C) capability. The AEW&C capability will provide the Australian Defence Force (ADF) with an enhanced surveillance capability in the broad expanse of the Australian north. Acquisition Strategy TOP The acquisition strategy being pursued for Project AIR 5077 consists of a series of linked stages, to progressively refine options and gain insight to solutions for risk mitigation. The staged procurement approach is based on functional specifications, with a managed and progressive evaluation of candidate systems. The acquisition strategy: adheres to Departmental policy guidance, maintains effective competition, includes inherent risk containment, maintains consistency of acquisition methodology with Australian Industry Involvement (AII) objectives, includes appropriate Departmental review at every stage, maintains continuity of activity for tenderers, allows for potential solutions at varying levels of development, and sets a realistic schedule. The Project is divided into three phases, as follows: Phase One was approved in the 1994/95 Budget, and comprised a Project Definition Study (PDS). The PDS was conducted in two parts, a Capability Assessment and a Requirements Analysis, and is now complete. Outcomes of the Phase 1 PDS formed the basis of the Phase 2 Major Capability Submission (MCS) which was considered by the FSPPC on 30 Jan 96. Phase Two was for the conduct of an Request For Proposal (RFP) for the AEW&C capability (Nov 96), a Request For Tender (RFT) for Initial Design Activity (IDA) leading to tenders for the project IDA (Apr 97), and a nine month, funded, competitive IDA contracts (Jan 98). Phase 2 was approved in the context of the 1996/97 Budget. IDA commenced in Jan 98 and included two technical design reviews, a System Requirements Review (SRR) in Apr/May 98 which established a Functional Baseline for each proposed solution and an Initial Design Review (IDR) in Oct/Nov 98 which established the Allocated Baseline for each. Phase Three is for the acquisition of four AEW&C aircraft with options of three, and support systems. Government approval was given in December 1997. An RFT for systems acquisition was released to IDA participants on 30 Sep 98, leading to formal source selection in mid-99, followed by contract award in final Qtr 2000. In the System Acquisition phase, Project Wedgetail is planned to fulfil the major project requirements under two contracts. The first contract will cover the acquisition of the AEW&C System, comprising the Airborne Mission Segment, Operational Flight Trainer, Operational Mission Segment, Mission Support Segment, AEW&C Support Facility, AEW&C Support Centre (ASC), training and Support & Test Equipment (S&TE). The second contract will cover initial support arrangements for the AEW&C System for a period equivalent to a mature fleet rate of effort for three years. Release of the RFT for Phase 3 was restricted to the three prime Contractors participating in the IDA, viz Lockheed-Martin (Aeronautical Systems), The Boeing Company and Raytheon Systems Company. Australian Industry Involvement TOP The high quality of involvement of Australian and New Zealand Industry has been a significant part of the procurement of the AEW&C. The Prime Contractor is The Boeing Company, based in Seattle, USA. Major Subcontractors are Boeing Australia Limited (BAL) based in Queensland and BAE Systems Australia based in South Australia. Significant work has also been undertaken by Hawker de Havilland/ASTA (based in Melbourne) and Tenix based in Sydney. A number of Small to Medium Enterprises (SMEs) have been contracted, with some pleasing outcomes. Currently, work to be done in Australia/New Zealand is valued at $A474m, with a further commitment of $A981m to Significant Industry Development Activities. Boeing has achieved about 61% of this target to date. Work in Australia/New Zealand includes design and development of elements of the AEW&C System, particularly strategically important surveillance sensors, mission systems, communications systems, EWSP systems, ESM systems and tactical intelligence sub-systems. ANZ Industry has also been involved in systems integration tasks sufficient to provide ANZ Industry with the ability to control, manage, enhance, upgrade, adapt, repair and maintain the AEW&C systems and associated test and support equipment through-life. As part of the Australian Government’s decision in 2004 to purchase an additional two AEW&C aircraft from Boeing, the contractor agreed to undertake all modification work for Aircraft 3 to 6 in Australia. This resulted in a very significant additional Australian Industry Involvement commitment from Boeing. This additional work is also expected to assist in the development of local industry to ensure optimum performance in support of the AEW&C capability, create additional skilled jobs, increase skill levels and lead to possible further investment in SMEs. Australian Industry will also be very closely involved in the ongoing support of the AEW&C capability as part of the In Service Support (ISS) contract with Boeing. The AEW&C ISS Industry Program will be a further development of the Australian Industry Involvement Program established under the AEW&C System Acquisition Contract. The proposed development of the Industry Program is a response to changes in Government policy governing Australian Industry Capability programs, as espoused in the recently Cabinet-endorsed Sector Plans. The Industry Program will comprise Supply Chain Management and Procurement (SCM&P) and Australian Industry Capability (AIC) elements. Broader Government Policy In Chapter 9 of the White Paper “Defence 2000 – Our Future Defence Force”, the Australian Government: recognised that Australian industry is a vital component of Defence capability; confirmed the need for a sustainable and competitive defence industry base able to support a technologically-advanced Australian Defence Force (ADF), as originally defined in the 1998 publication “Defence and Industry – Strategic Policy Statement”; and identified the need for a specifically targeted set of capabilities in the national industry and support base. Within that framework, the highest priorities for industry capacities are defined as: combat systems software and support; data management and signal processing, including information gathering and surveillance; command, control and communications systems; systems integration; repair, maintenance and upgrade of major weapons and surveillance platforms; and provision of services to support the peacetime and operational requirements of the ADF. In October 2001, the Government approved a more strategic approach to defining, developing and maintaining indigenous industry capability to generate self-reliance and sustain ADF operations, authorising Defence to: prepare a series of Industry Sector Strategic Plans to define industry capabilities critical to self-reliance and ADF force sustainment, aggregate future capital acquisition and support projects into work packages designed to develop and sustain critical industry capabilities, and build long term strategic relationships with a limited number of Australian “Tier 1” prime contractors to ensure the continuance of essential industrial skill sets and capabilities. Contact TOP AEW&C System Program Office Telephone: 02 6265 9111 Last reviewed/updated: 19 November 2008
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