In the aftermath of the controversial R32- billion weapons deal, the government has plans to spend even more money on upgrading the army
Ivor Powell
With the dust yet to settle on the government’s controversial R32-billion weapons deal, plans are afoot to spend several more billions of taxpayers’ money on another round of arms purchases – this time for the army.
The Mail & Guardian confirmed this week that the Department of Defence, together with the government weapons buyer, Armscor, is quietly putting deals together for a complex integrated Ground Based Air Defence System (GBADS). The system is scheduled to be budgeted in the coming financial year, though it will take between five and 10 years to implement.
A GBADS office is already operational at Armscor headquarters in Pretoria with the army’s Lieutenant Colonel Barney Louw appointed as project officer, and Armscor’s Johan Swart as programme manager.
Louw told the M&G he was not permitted to discuss the programme with the media and referred queries to a General Johan Jooste. Despite numerous approaches from the M&G, via his office and by means of messages left on his cellphone, however, Jooste had not responded to queries by the time of going to press.
One of the ironies of the new weapons deal is that much of the materiel will be sourced from former Armscor or Denel units recently sold off to foreign companies at what some commentators believe are surprisingly low prices.
GBADS entails the acquisition of various classes of ground-to-air missiles as well the construction of a sophisticated communications component to integrate the missile defences within a single coordinated system. The weaponry in the programme includes self-propelled missiles, short-range air-defence missiles (Shorads) mounted behind trucks, and shoulder- launched portable anti-aircraft devices.
The M&G understands that the GBADS acquisition is to be followed up by two other army acquisitions projects, one called Project Ambition and the other Project Hoofyster, which will result in the refurbishment of South Africa’s armoured-car capabilities. Included in this deal, the M&G understands, are between 200 and 300 replacements for Ratel armoured vehicles in the South African National Defence Force and around 1E000 Buffels and Casspirs.
Together with GBADS, the acquisitions will cost more than R10-billion.
Controversy around the proposed deals has deepened in defence circles by the recent purchase by British armaments manufacturer Vickers of the controlling interest in the former Denel subsidiary Reumech, which manufactures the mechanised components of the military hardware that makes up the deal.
Vickers OMC, as the old Reumech is called today, stands to make billions of rands from the army weapons deals. However the company was sold off by Denel as part of a privatisation process for around R85-million.
Commenting on the sale of Reumech, Jane’s Defence correspondent Helmut Rohmer Heitman said: ”I found the price surprisingly low, particularly if you consider that what was being sold was factories, tooling as well as the rights to manufacture a variety of defence platforms – and this is not even to mention the fact that Vickers OMC also gets the maintenance contracts on various armoured vehicles thrown in.”
Heitman said he had similar misgivings around the earlier sale of African Defence Systems to the French company Thomson.
‘A hundred million also seemed far too low in terms of what was to be made,” Heitmann said. ”I was also taken aback that the government allowed the deals to go ahead, allowing foreign ownership of strategic resources.”
Reumech is also the manufacturer of the carrier for South Africa’s G6 mechanised artillery piece. Negotiations are currently under way with the Saudis for the purchase of between 100 and 150 G6s – which, if they come to fruition, could earn Vickers OMC several times the purchase on this deal alone.
Ironically Vickers OMC continues to be listed in the GBADS programme as a local armaments supplier.
Also in the acquisitions pipeline is the purchase of tanks for the South African army, a deal which was earlier put on hold when the initial defence acquisition package was outlined, but which has subsequently been revived in the military establishment. While French armament manufacturers were originally first in line for the deal, the new front-runner for the programme – estimated at R5-billion – is the British Vickers-manufactured Challenger tank. The Ministry of Defence had not responded to requests for clarification by the time of going to press.
The M&G reported last month that the head of the committee charged with selecting suppliers for the controversial R32-billion navy and air force package had close links with South African companies partnering successful foreign bidders. A report by the auditor general on possible irregularities in the deal was wrapped up this week – one of several investigations into the weapons package.