Project

Explanation

Description

The $1,889 million Air 5402 project will provide the Australian Defence Force (ADF) with five new generation Airbus A330 Multi Role Tanker Transport aircraft (MRTT), to be known as the KC-30A in RAAF service. The MRTT will be equipped with both hose & drogue and boom refuelling systems capable of in-flight refuelling of current and future aircraft, including F/A-18 Classic and Super Hornets, F-111, Hawk Lead-In Fighter, Wedgetail Airborne Early Warning and Control, C-17 Globemaster III, and Joint Strike Fighter. The MRTT will also provide significant Air Logistics Services capability for carriage of up to 270 passengers and cargo. The acquisition also establishes the infrastructure necessary to deliver services including engineering, maintenance, spares management, technical data, software and training support for the new fleet.

Background

Government gave the equivalent of second pass approval in May 2003 for a new generation air-to-air refuelling capability.

An open Request for Tender was released in June 2003 for both the Acquisition and Through Life Support Contracts. In April 2004, Government announced that the Military Transport Aircraft Division of the European Aeronautic and Space Company Construcciones Aeronauticas S.A. (EADS CASA), teamed with Qantas Defence Services, had been selected as the preferred tenderer for the supply of five Airbus A330 MRTT aircraft and their associated support.

The Acquisition Contract was signed with Spanish company EADS CASA in December 2004. The Through Life Support Contract was signed with Qantas Airways Limited in February 2007.

In April 2009, the Military Transport Aircraft Division of EADS was amalgamated with the Airbus Military Division, and commenced trading as Airbus Military.

The A330 MRTT is based on the Airbus A330-200 medium/long-range twin aisle commercial aircraft. The first (prototype) aircraft is modified and tested by Airbus Military in Madrid, Spain. The remaining four aircraft are modified by Qantas, under subcontract to Airbus Military, at the Australian Conversion Centre, located at Brisbane Airport, Australia.

A Contract Change Proposal (CCP) was signed in March 2006 for the procurement of a Full Flight Mission Simulator, Integrated Procedures Trainer and a Simulator Training Facility.

A CCP was signed in December 2006 for changes to the cockpit layout to accommodate redesign of the refuelling operator console and associated changes to the cockpit access door and forward lavatory. Implementation of these changes on the first aircraft required the conversion and test activities to be divided into two phases:

•  Phase 1 involves the structural modification of the aircraft, including installation of boom and pods for civil certification.

•  Phase 2 involves the installation of the military systems, installation of the refueling operator console and completion of cabin modifications for full military certification and qualification of the modified aircraft.

Uniqueness

Air 5402 is the lead customer of the A330 MRTT platform, including the lead customer for the Airbus Military developed Advanced Refuelling Boom System. Whilst Airbus Military has previously developed and delivered underwing pod equipped A310 MRTT aircraft to the German and Canadian Air Forces, the A330 MRTT is a significantly more complex developmental effort to design, build and test the first of type, highly integrated military mission and refuelling systems. In parallel, Airbus Military is required to develop the publications, training devices and training material to support introductory training of aircrew and maintenance staff and for transition to the Through Life Support Contractors for ongoing support of the new tanker capability.

Major Challenges

Airbus Military's ability to meet the contracted schedule milestones continues to be the greatest challenge due to an underestimation of the overall scope and complexity of work and system improvements introduced during the development. Delays experienced with the aircraft development and test have impacted the associated design, development and verification of the Support System; particularly, in the areas of training and publications. In addition, Airbus Military will be challenged by: the completion of the military certification test program to the satisfaction of the Spanish Military airworthiness authority; and testing to demonstrate compliance against the customer's specification, in particular, the first of type military, refuelling systems and support systems for subsequent customer acceptance by end 2010.

Airbus Military has, however, met many significant challenges during the reporting period including: achievement of civil certification which encompassed all civil and military modifications excluding operation of the military systems; completion of the first aircraft's certification flight test of the pod, hose and drogue refuelling system; completion of developmental testing of the aerial refuelling pod and boom systems; demonstration of the first of type A330 MRTT to MRTT refuelling via the newly developed Boom system and simultaneous refuelling of two F/A-18 Hornets via the hose and drogue system; completion of the second aircraft's initial conversion at the Brisbane Aircraft Conversion Centre (ACC) in October 2009, its ferry back to Madrid and completion of its final conversion, and its current participation in the test program to augment military certification testing for subsequent customer acceptance by end 2010; induction and substantial progress towards completion of conversion of the third aircraft for customer acceptance at the ACC in the end of 2010.

Other challenges expected during the next reporting period include: the successful removal from the first A330 MRTT of the very complex and highly intrusive flight test instrumentation package, used only during development and testing, and its subsequent refurbishment to operational fleet status; completing the process for the first article aircraft and the associated support system to meet the criteria of the acceptance milestone in Madrid; and completion of conversion of the third aircraft at the Australian Conversion Centre for customer acceptance.

Current Status

On 15 October 2010, the Minister for Defence Materiel announced that this project is on the Project of Concern list.

Cost Performance

The project remains within the approved Budget.

Schedule Performance

Dates for Acceptance of Aircraft and Simulation Devices have been re-baselined under an agreed plan for completion of the project. Airbus Military expect to complete certification test and evaluation on the first aircraft in Madrid, Spain by end July 2010. Initial conversion of the second aircraft in Brisbane, Australia, was completed in October 2009 and ferried to Spain for final conversion, and to support test and evaluation activities in Madrid. Contractual acceptance of the first aircraft is forecast for October 2010, approximately 22 months behind the original contract baseline schedule. The third aircraft was inducted into the ACC for conversion in October 2009 and is forecast for acceptance in November 2010, approximately 20 months behind the original contract baseline schedule.

Capability Performance

To meet the Defence strategic goals, the project is working closely with the contractor to ensure the delivery of essential capability and to complete delivery and acceptance of two aircraft by end 2010. A suitable framework to enable Contractual Acceptance of aircraft with non-critical non-conformances has been established. This framework also ensures that full compliance will be achieved by Final Operational Capability (FOC). All issues identified to date have suitable processes and procedures in place to reduce the operational impact. The non-conformances will be carefully managed to meet minimum requirements of Initial Operational Capability (IOC). Some expected non-compliances to the contracted capability include, radio modes access (access to the modes is available, however a change is in development for more efficient access in times of high workload), minor fuel system design issues, and Mission Planning System (MPS). MPS, although improving, is lagging the remainder of the Military Avionics System. A delivery plan for MPS capability has been agreed to meet RAAF requirements for acceptance and IOC. A change in US export policy will impact Electronic Warfare Self Protection capability at IOC but should be resolved by FOC.