DBM Releases SARO for Medium Lift Aircraft Acquisition Project Partial Payment

12 November 2020

Among the possible platforms are Airbus C295 and CN 235 (photo : TNI AU)

The Department of Budget and Management (DBM) has approved and released a Special Allotment Release Order (SARO) in connection with the Medium Lift Aircraft Acquisition Project (Phase 2) for the Philippine Air Force (PAF) under Horizon 2 of the current Armed Forces of the Philippines (AFP) Modernization Program.

The said SARO amounts to PHP264,430,500.00, “to cover the funding requirements for the fifteen percent (15%) Advance Payment of the Medium Lift Aircraft Acquisition Project for the Philippine Air Force under the Revised Armed Forces of the Philippines Modernization Program,” DBM said.

style="font-family: arial;">MaxDefense Philippines said the SARO “appears to be only 1/3 of the projec’s total amount, which means it is only good for 1 aircraft rather than 3.”

“It remains to be seen though if the decision was to acquire only 1 aircraft instead of 3, or if funding for the 2 other aircraft will be taken from a different funding allocation,” MaxDefense added.

MaxDefense said that the project will be a negotiated procurement through government-to-government process. Among the possible platforms are Airbus’ C-295 aircraft and Indonesian Aerospace (PTDI)’s CN-235-220.

MaxDefense also noted that it believes “that Airbus-CASA may win this project, due to commonality issues with the existing C-295Ms in the PAF’s fleet, which is now 4-aircraft strong.”

PAF is already operating three medium lift aircraft, with C-295 aircraft from Airbus as platform, acquired during Horizon 1 of the AFP modernization.

PAF is also operating another C-295 aircraft acquired through the Command and Control Fixed-Wing Turbo Prop Acquisition Project.

(Mintfo)

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