Teodoro approves negotiated procurement of combat helicopters

MANILA, Philippines - The Department of National Defense (DND) will now go for a negotiated procurement of combat helicopters for the Armed Forces of the Philippines (AFP) following the failure of two bids, spokesman Nelson Victorino said yesterday.

Victorino said the bidding for P3 billion worth of helicopters has failed because the bids have not been qualified.

The P3 billion was part of the P5 billion released by President Arroyo for the purchase of combat utility and night-capable attack helicopters that formed part of the AFP Capability Upgrade Program.

The utility helicopters to be purchased by the AFP should be able to lift at least a squad of soldiers for troop insertion during combat, as well as to airlift casualties and bring supplies for frontline forces.

The Air Force is presently relying on vintage UH1H ìHueyî helicopters.

Victorino said the DND would go directly and negotiate with the companies that have submitted the failed bids.

Victorino offered assurances that the DND would be transparent in the negotiations.

He said the DND would even invite non-government organizations such as the Bishop Businessmen’s Conference to serve as observers.

Defense Secretary Gilberto Teodoro said the bidding for military night-capable attack helicopters failed for the second time due to the increase in aircraft costs.

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.

The first bidding was nullified after several irregularities were discovered by the investigating body that was formed to look into the procurement process.

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

Another option, Teodoro said, is to recommend the lowering of the lot requirement for the aircraft to make the budget fit the new price in the market.

Teodoro said the Air Force needs the helicopters for firing platforms that can withstand the rigors of fighting as well as for transporting troops and essential equipment needed in the frontlines.

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

He said there is a present need for the AFP to purchase helicopters and cargo planes, especially now that the Air Force only has one C130 cargo plane working after the other one crashed in Davao last year.

The AFP is expecting another helicopter to be put back on the flight line after undergoing rehabilitation.

The military hopes to increase its capability to address internal security threats by the time President Arroyo’s term ends in 2010.

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