The total cost of the Conservative government's plan to purchase 65 F-35 fighter jets over 30 years is close to $29.3 billion — billions more than previously estimated, according to Parliament's budget watchdog.
The pricetag includes both the purchase price and long-term sustainment costs for the jets. "Total ownership" of the program had previously been estimated at $16 to $18 billion.
To arrive at his estimate of $29.3 billion, Page said he used a "top-down" model that considered historical trends on the cost of aircraft and key cost drivers. Page estimates the acquisition cost for the fleet at $9.7 billion and the ongoing sustainment cost for it at $19.6 billion. The sustainment cost breaks down as follows:
- initial logistics set-up cost: $1.7 billion;
- operating and support cost: $14 billion;
- overhaul and upgrade cost: $3.9 billion.
Page cautions that any cost estimates, his own or those from other sources, should be viewed in the context of the methodology used and data available. He said he asked the department of national defence for clarification on the methodology it has used to arrive at its estimates.
http://defense-technologynews.blogspot.com/2011/03/dtn-news-defense-news-canada-f-35-jets.html
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