¶ … upgrade to the F-18 The F-18 Phase Two Upgrade Program for Boeing will cost $2.6 Billion and the Aurora reconnaissance plane upgrades will cost $1 Billion respectively per year for five years for the Part One budget. This will include high-frequency radios, new navigation and communications equipment ("Auditing the CF-18 IMP -- CF-18 Incremental Modernization Project," 2004). As the program upgrades will ultimately carry on until 2021 when the new F-35's come totally online, the Part Two budget will cover the second five-year span. The February inflation rate was set at 2.6% ("Canadian Inflation Rate Edges Lower In February" 2011). Certainly, this is at the low end of the spectrum, Conservatively speaking, the group feels that the program should include a 4% per anum calculation for the rate of inflation which would translate into 104,000,000 CAD for the F-18 upgrades and 40,000,000 CAD per year to allow for in the Aurora budget.

The Aurora upgrades will include high-frequency radios and new navigation communications equipment. Structural airframe upgrades will also be necessary keep the system flying until the projected end of lifespan of 2021("Canada reconsiders Aurora upgrade" 2007). Since the new F-35 will be taking on Aurora reconnaissance roles, the upgrades are necessary because without them, a new reconnaissance aircraft would have to be purchased for the interim. The Aurora upgrades are necessary not just for the Ministry of Defence, but for other areas...

It is an aging, multirole reconnaissance aircraft that is a workhorse and needs to be kept in top condition to weather the large amount of use it is put to.
The total defense budget is 19 Billion CAD. While respectfully acknowledging that all of the Canadian services are important, the Air Force has a multirole purpose that includes surveillance and defence of Canadian airspace over land and sea. Its multi-mission role in supporting various civilian as well as military purposes, the Air Force should command its share of the budget.

Proposal for Replacing the F-18 with the F-35.

Arctic Defense Focus

One of the primary requirements of the CF is to defend the Arctic. It is of the group's opinion that this is primarily a surveillance problem and the F-35 would replace both the F-18 and the slow Aurora reconnaissance aircraft and obviate the need for their upgrades as well. This is not just the problem of Canada, but also other Arctic Allies such as Norway who are buying 48 of the F-35's (Huebert 2010, 1). Effectively, Norway has preempted Canada's decision already. We have to be able to cooperate and have interoperability with our NATO allies.

Criticism of the PBO Report.

The main opposition to replacing the F-18 with the F-35 is cost. This…