Thursday, February 10, 2011

RMN Denies Cost Of LCS Excessive and reveals Tony Pua's stupidity

KUALA LUMPUR, Feb 9 (Bernama) -- The increased cost in materials besides state-of-the art weaponry and other aspects are the reasons why the cost of procuring six Littoral Combat Ships (LCS) is over RM6 billion, said Royal Malaysian Navy (RMN) chief Tan Sri Abdul Aziz Jaafar.
He said the ships, which would be built locally by Boustead Naval Shipyard in collaboration with six reputable overseas shipyards, had better capability than the Offshore Patrol Vessels (OPVs) RMN was currently using.
"The cost covers the overall cost of building the LCS including the aspects of sophisticated weaponry, sensing and radar equipment that have very high capability and also sonar to detect enemy submarines.
"The national defence industry is growing and depends a lot on foreign expertise and this is the main reason why the LCS cost so much," he told a press conference at his office at the Ministry of Defence here Wednesday.
He was responding to comments by Tony Pua, the Member of Parliament for Petaling Jaya Utara, which were carried in the Malaysiakini news portal that the six ships cost 870 per cent more compared to purchases of the same by other countries.
Abdul Aziz said Pua's remarks were off the mark as most nations would not reveal details on their military assets.
"It could also be that the costs abroad are much lower because the countries concerned have established defence industries and local expertise in ship maintenance and installing weapons and sensing systems.
"The costs forwarded (by Pua) also do not give a true picture of the overall cost, for example certain countries do not include the cost of GFE (Government-furnished equipment)," he said.
He added that Pua's claim that the New Zealand navy bought OPVs for just New Zealand Dollar (NZD) 90 million (RM211 million) each was also not correct as based on the ministry's findings, this and the cost of purchasing LCS by that country had yet to be finalised and that the amount stated (NZD90 million) was the price before 2004.
He also said that Pua's claim that the United States navy procured LCS at much lower prices was baseless as the MP did not have in depth knowledge on the matter.
Abdul Aziz further said that the procurement of the ships was done through the open tender process which would involve 60 per cent of the material to be sourced locally and would stretch over two Malaysia Plans, the 10th and 11th, a period over 10 years (up to 2020).
He said RMN badly needed the LCS as they had surface and undersea capability unlike the OPVs which had limited capability.
Furthermore, LCS are equipped with sophisticated defence systems like command and control, electronic warfare, various modes of engine control, three-dimensional radar, sea and air missile systems and anti-submarine torpedo capability, he said.
Other countries enlisting the use of LCS currently include the United States and England.

tunku : one should know the facts and figure before making comments.in this case tony pua clearly proved he made baseless allegation against the purchase of LCS.tony can at least surf the net before open his stinking mouth.what he suppose to do is asked the minister to explain in parliament about the purchase not making baseless allegations and making false remarks of the purchase.we cant just make public of our defense purchases and its intelligence.

7 comments:

Anonymous said...

Please follow Sakmongkol blog on this LCS issue.

Too much money disappear into Defence procurement black-hole already.

When Defence procurement in Malaysia so irrationally more expansive & expensive than even South Korea, which is facing real military threats from the North...

Kalau Tunku tak boleh honest about this issue, jangan buat malu diri sendiri nak jadi jaguh bodoh sombong...

~ Tunku Kulan

Tony 'Jalud' Pua said...

Apek tu bukan bodoh. Dia nak korek rahsia ketenteraan kita untuk singapore.

tunku said...

tunku kulan,
give me the evidence that our defense procurement is higher than south korea? and i am using the your words for you "Kalau kulan tak boleh honest about this issue, jangan buat malu diri sendiri nak jadi jaguh bodoh sombong...

Anonymous said...

Based on SIPRI website on comparative study of South Korea & Malaysia Defence spending, taken from 1990-2008 onwards from the fall of Soviet Union.

Defence spending as % of GDP:
South Korea ~ 3%
Malaysia ~ 2.5%

However on basis of GDP Purchasing Power Parity (PPP): IMF, World Bank, CIA World Factbook sources

South Korea GDP PPP is 3.5x Malaysia

, that is from official exchange rate its getting more value for money $-for-$. As most Defence procurement are imports, transactions done in USD or Euro.

Only for comparative adjustment for GDP PPP. Dollar-for-dollar.
Defence spending as % of GDP PPP:
South Korea ~ 3%
Malaysia ~ 8.75%

~ Tunku Kulan

Anonymous said...

Since when is Tony Pua is clever?

Anonymous said...

Tunku Kulan pun sama bodoh macam Tony Pua. Cakap tanpa fakta ikut kepala lutut pun ikut akal.

tunku said...

tunku kulan,

South Korea's USD23 billion defence budget in 2009 makes it one of the region's major powers, with only China and Japan spending a larger amount. However, while Japan's static budget means Korea is slowly catching up with Japanese expenditure, China's apparent commitment to increases of between 10 and 15 per cent annually means that, despite the planned budget increases, they are not sufficient to match Chinese budget growth. This will see China retain its position as the dominant force (in expenditure terms) during 2010, when its budget is forecast to be more than double South Korea's.In KRW terms, the 2010 budget actually increased by 3.9 per cent however, due to a depreciation in the won against the US dollar, the budget appears to fall in dollar terms.

KUALA LUMPUR, Oct 23 (Bernama) -- With a combined allocation of RM3.7 billion (1.1 bio USD) under the 2010 Budget, the three branches of the security forces - the Malaysian Defence Forces (ATM), Royal Malaysia Police (RMP) and the Malaysian Maritime Enforcement Agency (MMEA) - pledged to do their best to further improve their delivery system.


so tell me which is higher south korea usd23billion with malaysian usd1.1 billion.

get a life moron.