Several teams have emerged as bidders for the RAF's $15 billion contract for the a civil transport to be used as a FSTA, for Future Strategic Tanker Aircraft. Upwards of two dozen aircraft will be placed in service for at least as many years.

"The successful consortium will receive a 25-year contract with an extended five-year option. That is the reason that we are offering the 767 and A330, both modern digital airplanes," Peter Crowle, program director for Eurotanker, told Show News. The Eurotanker consortium includes FR Aviation, Thomson-CSF, Brown & Root, and Deutsche Bank.

Eurotanker is in competition with five others: a team of BAE Systems and Raytheon; Omega Air; Air Reach (the name used by Rolls-Royce for its bid); Serco; and Spectrum Capital, which is also involved with a separate Omega Air bid.

Eurotanker is proposing new Boeing 767-300s or Airbus A330-200s as the preferred FTSA platform (recently a Dassault Rafale flew proximity flight trials with an A330 airliner in France).

BAE and Raytheon propose either Airbus A310s or a shortened version of the A330 airframe. Omega Air is offering former Japan Air Lines DC-10s, while Air Reach is putting forward ex-British Airways Boeing 767s. Serco and Spectrum are also bidding with ex-BA 767s.

The bids are based on a nominal 30 aircraft fleet, although latest indications suggest that the actual requirement will be for between 24 and 28 aircraft. The winning bidder would have to buy, operate and service them.
Within Eurotanker, FRA/Cobham would supply flight services, maintenance and full logistics support, including first-line maintenance to civilian maintenance schedules. Thomson-CSF (which recently bought Racal) would provide training, while Brown & Root and the Halliburton Company would be responsible for airfield services. Deutsche Bank is supplying finance.

"The FSTA contract was originally to supply 'hoses in the sky,' but the RAF's program has since become more comprehensive," says Eurotanker's Crowle. "It is the provision of a service-based contract, not equipment to the RAF. The RAF came up with its requirements and told us what it wanted to do in terms of fuel offload at range, and we had to come up with various solutions to meet those requirements.

"Because of the new method of procurement, there is an ongoing dialogue with the Defence Procurement Agency (DPA) and with the RAF so that we and the other consortia can visualize their requirements and eventually meet up with the final contract that they want. It is an ever-moving feast as the customer and we learn the best method of designing the tanking force.

"The plan," he continued, "is for all of the aircraft to have dual civil/military registration so that all of the aircraft could be used by commercial airlines when not required for tankering. So our plan is to look for some spot-market type revenue in the commercial environment, but the overall aim is to subsidize the RAF's operation with the commercial fleet. If I get this right then the RAF (operation) could become the minor part of our business. We will provide the aircrew and the maintenance for the aircraft. Flight Refuelling, which is also part of the Cobham group, is independent of the competition as it is offering the refueling packages to all competing consortia."

Eurotanker sees a 30 FSTA fleet comprising 10 aircraft permanently assigned to the RAF, 10 shared between the RAF and civilian operators, and 10 assigned to the commercial fleet. In times of threat or war the whole of the commercial fleet could rapidly be deployed as tankers.

One unusual facet of the FSTA project is the proposal for reservists to form part of the air and ground crews. As projected by Eurotanker, aircrews would comprise 75% RAF regulars, with the balance made up of sponsored reservists, mostly drawn from the ranks of former military aircrew. Potential FSTA crewmembers will have to appear before a joint crew selection board before acceptance. The consortium expect that once the program is up and running, recruitment will come mainly from among RAF fast jet pilots coming to the ends of their service careers.

FSTA is aimed at replacing the RAF's current tanker/transport fleet of 20 aging BAC VC-10s and nine Lockheed TriStars. These aircraft have out-of-service dates of 2012 and 2015 for VC-10s and TriStars respectively, but those dates could be brought forward if the FSTA project stays on schedule. Bidders are currently working towards an Invitation to Negotiate with DPA by November 2000. The DPA is expected to name two preferred bidders by May 2001. Contract award could come in October 2002.

By Mike Vines