What are Industrial Regional Benefits?
Canada’s Industrial and Regional Benefits (IRB) policy ensures that Canadian industry benefits from Government defence and security procurement. Further details regarding how the IRB Policy works and how Canadian companies can benefit may be found on Innovation, Science and Economic Development Canada.
Seaspan’s IRB Obligation
The IRB policy requires companies to undertake business activities in Canada valued at 100 percent of the value of the defence or security contracts they have been awarded by the Government of Canada – and is measured in 100% Canadian Content Value (CCV).
On February 14, 2011 Seaspan’s Vancouver Shipyards signed an Umbrella Agreement with Canada to build a series of new vessels for the Royal Canadian Navy and Canadian Coast Guard. Along with this opportunity comes the requirement to meet Canada’s Industrial and Regional Benefits (IRB) policy. The Umbrella Agreement is a strategic sourcing arrangement under which Vancouver Shipyards and the government negotiate individual contracts to build vessels for the Canadian Coast Guard and Navy.
Although IRB requirements are new to Vancouver Shipyards, they are not new to Seaspan as a whole, as Seaspan’s Victoria Shipyards currently has IRB obligations as the Prime contractor for HCM-FELEX-MSC (West), and as a subcontractor for the HCM-FELEX-CSI and VISSC programs.
How will the IRB obligations be met?
To meet this obligation, Seaspan is looking to source from Canadian suppliers wherever commercially reasonable, and the CCV of the goods and services offered by potential Canadian suppliers has become a key consideration in our supplier selection process.
As a Canadian supplier to Seaspan you may, from time to time, receive requests for information from Seaspan relating to our reporting requirements to Canada. Such requests will require information regarding the size of your organization and the Canadian Content Value of the products and/or services you provide. When received, we ask that you respond to these requests for information in as accurate and timely a manner as possible.
How can Your Organization Benefit?
In an effort to meet the IRB obligations associated with these government programs, Seaspan continues to work to identify qualified sources of supply that can provide best value, while maximizing the Canadian content of the products and services provided. In addition to engaging potential suppliers at industry events across Canada, Seaspan has developed a supplier registration site where those interested in becoming part of our supply chain can register their organization and the products and services they wish to supply.
Please note that this registration process is only a means of making Seaspan aware of your company and the goods and services offered. As requirements are identified, registered suppliers will be reviewed for suitability for procurement opportunities.
If selected to be a supplier for Seaspan, you will go through a Supplier Approval Process.
Supplier Approval Process
To join the supply chain, once selected as a supplier, you will go through our Supplier Approval Program, which includes:
Initial Approval: The Initial Approval Process requires an initial review of supplier operational requirements including Environmental Management Systems (ISO 14001), Health & Safety practices (OHSAS 18001) and Seaspan Shipyard Quality Management Systems (ISO 9001). In addition, external reviews are performed related to insurance policies, commercial risk, corporate strength, paydex, legal proceedings, etc.
This process is intended to ensure Suppliers meet Seaspan standards related to Business, Quality, Environmental, and Health & Safety.
Supplier Approval Duration
The process of being approved as a supplier will take approximately three to four weeks. You will be required to complete applicable Approval questionnaires and provide supporting documentation prior to work/service commencing.
Note: Due to the high volumes of requests, we are not able accommodate unsolicited contact with potential suppliers. Suppliers are encouraged to check our website often for updates and bid opportunities. We encourage you to register on the supplier registration site if you have not already done so.
When Will There Be Opportunities Resulting from Seaspan’s IRB Obligations?
Seaspan has a number of business lines for which we continually look for qualified sources of supply providing the best value, including:
Marine and Shipyard operations:
- Commercial Ferry
- Shipbuilding and Ship Repair
- Cruiseship Repair
- Marine Bunkering
- Corporate and Administrative Services
Programs from Vancouver:
Seaspan has a number additional projects anticipated over the coming years associated with Canada’s NSS:
- Joint Support Ship — JSS
- Offshore Oceanographic Science Vessel (OOSV)
- Offshore Fisheries Science Vessel (OFSV)
- Polar Icebreaker
- Medium Endurance Multi-Tasked Vessel (MEMTV)
- Offshore Patrol Vessel (OPV)
Programs from Victoria:
- Halifax Class Modernization (HCM) – FELEX – Multi-Ship Contract
- Victoria In-Service Support Contract – VISSC
Note: Please refer to “How can Your Organization Benefit?” to learn more about how your organization can take advantage of existing and future opportunities.