Canada has advanced its efforts to procure a sophisticated long-range radar system for monitoring the Arctic region. Prime Minister Mark Carney’s administration finalized agreements with the Australian government and BAE Systems Australia for the acquisition of an Arctic Over-the-Horizon Radar system (A-OTHR).
The $2.5 billion deal was signed by Secretary of State (Defence Procurement) Stephen Fuhr and Australia’s Deputy Prime Minister and Defence Minister, Richard Marles, in Canberra. Additionally, a comprehensive industrial benefits agreement was reached due to the system being foreign-made, requiring investments in Canada’s defense industrial sector.
Over-the-horizon radars are deemed crucial for the North American Aerospace Defense Command (NORAD) to monitor airspace in the Far North for potential aircraft and missile threats. The radar stations will be located in southern Ontario, specifically in the Kawartha Lakes region, with expected operational readiness by 2029.
“This project contributes to the establishment of an integrated Arctic surveillance and communications network, enhancing Canada’s capability to monitor, understand, and respond to activities in the Arctic,” stated Fuhr. The partnership with Australia aligns with Canada’s Defense Industrial Strategy, emphasizing collaboration and the timely delivery of essential capabilities to the Canadian Armed Forces.
Carney had announced the collaboration with Australia last year, estimating a total program value of $6 billion. However, Conservative defense critic James Bezan expressed skepticism regarding the government’s delay in contract negotiations, emphasizing the need for prompt delivery of equipment to the military.
The recently signed agreement marks the first of two planned radar units for the Arctic. The second unit, known as the Polar Over-the-Horizon Radar (P-OTHR), will be positioned in the northernmost region, details of which remain classified. Unlike the A-OTHR system in southern Ontario, the P-OTHR network will be strategically located within the Canadian Arctic Archipelago.
BAE Systems Australia will collaborate with Canadian firms to enhance radar system expertise within the country and strengthen the defense industrial base. The construction of the A-OTHR is expected to generate 2,270 jobs annually from 2026 to 2033, underlining the shared commitment of both countries to this initiative.
Australia’s Defence Minister, Richard Marles, emphasized the partnership’s significance, highlighting Australia’s capability to export advanced defense systems while ensuring national security and facilitating technological exchange with trusted allies.