Land 121 Phase 3 (Medium Heavy Capability only) was a Project of Concern in 2010-11.

Cost Performance

The Project remains within its current approved budget.

LLC: As at 30 April 2011 the project achieved expenditure in accordance with the forecast plan.

MHC: A performance measurement baseline for MHC will be established once a contract has been struck.

Schedule Performance

LLC: The project is on schedule to deliver against its MAA milestone date of December 2011 for First Delivery to Units. Eleven prototype vehicles were delivered in early February 2010 and all 30 Batch 0 production vehicles were delivered in February and March 2011 to enable training. The remaining batches of G-Wagons for LLC remain on schedule.

MHC: Introduction into Service Date (ISD) for the MHC vehicles and trailers will be subject to contract negotiations. An estimated date for contract signature will be determined following a down selection decision being made. A down selection decision is expected to be announced in late 2011.

Materiel Capability Performance

LLC: there are currently no issues that will affect Materiel Capability Performance. The need to retrofit cabling for C4I systems onto selected vehicles is being actively addressed with a likely requirement to retrofit batches 0 to 3.

MHC: Affordability will impact the overall capability, with costs being managed by maximising off-the-shelf solutions. The MHC tender assessment has revealed that the originally sought Basis of Provisioning is not affordable.