Vol. 561 No. 5
136 Mr. Costello asked the Minister for Defence the position regarding proposals to acquire Mowag armoured vehicles for the Defence Forces; the total estimated cost of the contract; when the vehicles are likely to be supplied; the number of vehicles supplied to date; the reason the option on the supply of 40 additional vehicles is not being taken up; and if he will make a statement on the matter. [4665/03]
A contract was signed on 30 November 1999 for the supply by Mowag of Switzerland of 40 armoured personnel carriers, APCs, initial spares, special tools and training courses. The 40 vehicles, known as Piranha 8x8s, included 34 troop carrier variants, four command variants, one recovery variant and one ambulance variant. The total cost of the contract spread over five years was in the region of €50.8 million, including VAT. The final stage payment of that contract was paid last month. All 40 APCs have been delivered to the Curragh Camp.
Training of Defence Forces personnel on the APCs has been continuing apace and the first overseas deployment of the APCs has taken place with six APCs in service in Eritrea. I am advised by the military authorities that the APCs are performing exceptionally well in the mission area.
The original contract contained an option for the supply of up to 40 additional APCs by Mowag. This option has now been exercised albeit for a reduced number of APCs because of the changed financial situation. I signed a contract on 9 December 2002 for the provision by Mowag of 25 additional APCs. The contract value is in the region of €33.2 million including VAT. Deliveries will commence in March 2004 and are scheduled to be completed by September 2004. Payments under the contract will extend from December 2002 to September 2005 due to the budgetary situation.
The signing of the contract is another significant boost for the Defence Forces and a further indicator of my commitment to ensure that Defence Forces personnel are fully equipped with modern equipment, which enhances their safety in carrying out their various roles.
