Tag Archives: GPV

Re-Industrializing for Military Modernization

Golts

Golts

It’s been Golts overkill.  Despite the risk of overdosing, he has an article in Ogonek from 25 September which merits attention.

One could do much, much worse than to pick him, if you could read only one commentator.

Golts tries to explain why Russia’s OPK, its defense sector, has failed.

He gives prominent examples of defense industrial shortcomings including the most recent Bulava and Proton-M failures.  Interestingly, he says all serially produced Bulava SLBMs are being returned to Votkinsk for inspection.

Calling the list of failures “endless,” he concludes, “Production standards are falling uncontrollably not only in the space sector.”  He continues:

“The thing is not only particular failures.  Experts from the military economics laboratory of the Gaydar Institute suggest that defense order 2013 will be disrupted just as it was in previous years.  According to their data, defense order 2012 was revised and lowered at least three times.  And still it was unfulfilled by approximately 20 percent.  Accounting Chamber auditor Aleksandr Piskunov was extremely forthright in the Duma hearings:  ‘Almost one hundred percent fulfillment of state defense orders for the last 20 years hasn’t interfered with the failure of all armaments programs, with fulfilling them at 30, 40, 50 percent.'”

You may recall reading Piskunov here at the start of April.

Then, Golts notes, Putin himself cast doubt on the OPK’s ability to fulfill the current GPV.  He recalls the late July meeting when Putin indicated he’d entertain slipping ships and submarines due after 2015 into the next GPV (to 2025), so that there aren’t more “failures.”

Putin said work should be organized so producers’ capabilities coincide with the allocated funding.  Money, he said, shouldn’t be hung up in accounts [and stolen] while we wait for ships.  Golts reads this as Putin recognizing that the state of domestic industry is such that it can’t assimilate the gigantic sums allocated to it.

The defense sector has structural problems that endless calls for mobilization to face an aggressive West can’t resolve (i.e. a workforce that’s almost reached retirement age, continued aging of basic production equipment).

Golts again turns to Piskunov, who said only 20 percent of defense enterprises approach world standards in terms of technical equipment, and nearly half are in such a poor state that resurrecting them is senseless — it would be better to start from a “clean slate.”

But Golts focuses on poor coordination and cooperation among enterprises, government customers, and sub-contractors.  He turns to the familiar case of Bulava — 650 different enterprises reportedly have a hand in turning out this missile.

Most damning, Golts compares today’s “so-called united state corporations” unfavorably to Soviet-era defense industry ministries.  Ineffective and bureaucratized, the latter still managed to manufacture massive numbers of weapons.  And Gosplan matched prices for products and production by fiat.  Today’s goskorporatsii can’t.

There’s another important difference, Golts points out.  All Soviet “civilian” industries also produced arms, or parts for them.  Average citizens buying civilian goods helped finance military production with their purchases.

But the largest part of this permanently mobilized industrial system died in the 1990s and surviving parts retooled for other production.  Many in the latter category no longer wanted part of the defense order which would only make them less competitive in their main business.

Then Golts concludes:

“But it’s impossible to begin serial production of armaments without serial production of components.”

Today’s OPK chiefs don’t have the talents of some of Stalin’s industrial commissars, says Golts.  They are, however, good at blaming ex-Defense Minister Serdyukov for “destroying” the voyenpred system.

Golts really gets to it here:

“In reality producers of complex military equipment have a choice.  They can either make components in final assembly plants in a semi-artisan fashion.  Or they can buy them on the side, risking getting crap made in some tent.  It stands to reason the problem isn’t confined to recreating the military acceptance office in enterprises.  Complex chains of sub-contractors have to be established.  And, we note, even with money — this isn’t a banal task.  We’re really talking about new industrialization, the construction of new enterprises.  But just what kind?”

Golts recommends a policy of targeted and specialized re-industrialization.  Because of the expense, he says build specialized component factories to support production of critical systems where Russia is decades behind developed states — communications, reconnaissance, UAVs, precision weapons.  Russia will have to prioritize and Golts doesn’t see tanks, ships, and heavy ICBMs as priorities.  Those who pick the priorities have to withstand attacks from lobbyists for these weapons.

Golts believes Deputy Prime Minister and OPK tsar Dmitriy Rogozin knows the bind he’s in . . . and that’s why he says put off the beginning of serial production of many armaments until the next armaments program (2016-2025).

Golts concludes:

“Generally, the rearmament of the Russian Army is entering a new cycle.  Without any kind of results.”

Clean Slate

It took a brave man to tell the State Duma what department chief Aleksandr Piskunov said in the Audit Chamber’s annual legislative report in February.  Voyenno-promyshlennyy kuryer published excerpts of his remarks.

Piskunov’s a government official.  Not a powerful voice, but an authoritative one in his specialty.

Auditor Aleksandr Piskunov

Auditor Aleksandr Piskunov

To say he’s well-equipped for his work is an understatement. 

Sixty-one or 62 years old, Piskunov graduated from the RVSN’s Dzherzhinskiy Military Academy with a radio engineering degree.  He served on active duty to the rank of general-major, spending many years at the Plesetsk cosmodrome.  He later trained in the RF Government’s Financial Academy and a business school in London.  He has a PhD in economics.

Piskunov served in both the RSFSR Supreme Soviet and State Duma in the early 1990s, and was deputy chairman of the Defense Committee for each body.  He also chaired the Defense Ministry’s Military-Technical Policy Committee.  In the mid-1990s, he moved to the staff (apparat) of the RF Government and was deputy chairman of its Committee on Military-Industrial Issues.

He returned to the Duma briefly in 1999, and became deputy chairman of its “Regions of Russia” faction.

He went to the Audit Chamber in 2001, and is currently in his third term of service.

Piskunov thinks Russia can’t produce new, better, or more weapons and military equipment without modernizing its badly neglected defense industrial base.  But he has pretty much nothing but scorn for the current management of the state defense order.  And he sees little but failure in the GPV over the last 20 years.  In particular, Piskunov calls for incorporating life cycle costs into the GPV.  Ultimately, however, he says auditors and accountants can’t fix the GOZ or GPV, but lawmakers could.

Enough preamble.  Here’s VPK’s excerpt of Piskunov’s remarks.

“STRICT CONTROL OF FULFILLING THE ARMAMENTS PROGRAM IS NEEDED”

“I represent a department that performs strategic audits in the Audit Chamber.  We’ve done a lot of work in evaluating the condition of practically all 1,350 enterprises of the defense-industrial complex, their financial stability and real contribution to equipping the Armed Forces.”

“We looked at how balanced the program of defense-industrial complex modernization and State Program of Armaments were.  A gap of 700 billion rubles was observed.  At the same time, 1 trillion 200 billion is built into the budget to guarantee compensation to enterprise directors who go to commercial banks for credits.”

“Similar credit practices are leading to the growth of OPK enterprises with an unstable financial situation.  More than 30 percent are like this.  Only 20 percent come close to world standards in technical equipping.  More than half are in a condition where their restoration is already senseless — it would be better to build from a clean slate.”

“In preparing the law on the state defense order we tried to correct this situation.”

“From my point of view, our system of administering the state defense order is uncompetitive.  The adopted law preserved the situation under which  management amounts to a lag in the state defense order.”

“The deputy prime minister, responsible for the defense-industrial complex, reported that the state defense order was fulfilled by 99 percent as in past years.  But almost one hundred percent fulfillment of state defense orders over the last 20 years has not prevented the failure of all arms programs or fulfilling them at 30, 40, 50 percent.”

“Dmitriy Rogozin himself noted that fulfillment happened because of the appearance of realization.  During the execution of the arms program 7,200 changes were introduced into it, that is the real result is being slanted to agree with this fact.”

“Meanwhile Rogozin recognized that the arms program has gotten old.  The task of preparing a new State Program of Armaments stands before him.  So the problem of forming a legislative basis and management of the State Program of Armaments is more acute than ever.”

“Our opponents in government, having considered it inexpedient to include the management of the acquisition program life cycle in the GOZ law, said it was necessary to include this management in the law on the State Program of Armaments.”

“To me it seems necessary in this instance to hold them to their word — to propose that the government prepare a draft law on the State Program of Armaments.  It’s possible this will allow us to compensate for not realizing it in the GOZ law, and meet the president’s demand to create essential management of the life cycle of weapons systems.  But today the state of affairs is seriously complicated by the fact that the life cycle is really torn into several parts in the Defense Ministry itself.”

“Those who’ve served understand:  you can’t modernize armaments without the experience of using them.  Who really tracks all this life cycle?  It would be logical if Rosoboronpostavka were occupied with this, but it is located at the junction of the functional orderer — a service of the Armed Forces and a contracting firm.  It would be more appropriate to subordinate this department to the government.  It’s perfectly clear that the main risks are connected not to corruption, but to the low qualifications of the orderer.  Someone needs to “hang” over the orderer from the point of view of its responsibility for how both the program and the contract as a unitary whole are being executed.  Juridical responsibility is not rebuilt only through the contract.”

“The level of project management in our ‘defense sector,’ unfortunately, is also very low, especially the quality management system.  We are all witness to what is happening now in space.”

“It’s frightening that it’s impossible to create new equipment without metrics.  We lost the project management culture and stopped training specialists in military academies and schools.  The very best on this plane is OOO ‘KB Sukhoy’ and it used the American experience-plan for metrics on developmental aircraft.  The Americans seized and simply closed the issue — this project is no longer being supported.  To rewrite project documentation now in some kind of domestic variant is complex, therefore the development of these systems is essential.”

“The participation of commercial banks in providing credit for the state defense order is an important question.  Now in the government they are discussing how these 23 trillion will go — through commercial banks, for free or for money?  It’s understood that banks simply don’t work that way.  There is a precedent — the government resolution on the Mariinka, the Bolshoy [theaters], the M-4 [highway].  If you calculate it, then 20 percent received from 23 trillion over these years, it’s necessary to take an additional amount from the taxpayers or cut the defense order by this sum.”

“Not less sensitive is the issue of intermediaries.  If the Defense Ministry and government don’t put transactions under the strictest control, then there are all the calculations on the defense order, life cycle and cooperation levels, we will mess up this program of armaments also.  This, undoubtedly, is one of the most dangerous questions for the Defense Ministry — too large lobbyist forces participating, too large sums going.”

“Questions of managing the life cycle and control of finances are the most fundamental.  The treasury is incapable of resolving this task.”

GPV 2016-2025

Dmitriy Rogozin

Dmitriy Rogozin

Last week Rossiyskaya gazeta’s Sergey Ptichkin reviewed Dmitriy Rogozin’s comments on the formation of the next state armaments program, GPV 2016-2025.  Rogozin is Deputy Prime Minister and Chairman of the Military-Industrial Commission (VPK) attached to the RF Government.

Rogozin indicated the next GPV will be very different from the current one, according to Ptichkin.

Rogozin said fulfillment of GPV 2016-2025 will be tracked with a new automated system GAS-GOZ, or the State Automated System of the State Defense Order (or perhaps State Automated Defense Order System?).  It’s supposed to allow for “quickly reacting to the smallest failures” in the GOZ.

The Future Research Fund (FPI or ФПИ, the emerging Russian DARPA) will effectively develop the most promising military and civilian technologies in 2016-2025.

Systems now in RDT&E are supposed to be in serial production.  There may be some weapons based on “new physical principles.”

The PAK DA, a new strategic bomber, should be developed and produced during this GPV.  The fifth generation fighter, PAK FA, will be in production.

There will be new missiles, from operational-tactical to strategic, hypersonic ones too.

It’s “not excluded” that aviation-carrying formations (aircraft carriers) will appear in the Navy.

Rogozin said the “active inclusion of the Military-Industrial Commission in developing the future GPV” is a first, and will allow for avoiding “many problems and collisions” along the way.

Rogozin criticized the “former Defense Ministry leadership” for refusing to accept the BTR-90, not ordering the BMD-4, not taking delivery of assembled BMP-3s, and not testing Obyekt 195 (a future tank) after GPV 2011-2020 was already finalized.  Instead, rushed orders for developing and producing the wheeled Bumerang, light tracked Kurganets-25, and heavy tracked Armata ensued. 

These armored vehicles are supposed to enter the force in a year or two, but this seems unlikely.  They will probably become part of GPV 2016-2025.

Rogozin promised the next GPV will be the most balanced, most well-calculated, most innovative, and, at the same time, most realistic.

It’s very early to talk about the next GPV.  Traditionally, this is a sign things aren’t going well in the GOZ or the current GPV.  The overlap in consecutive GPVs makes it difficult (perhaps impossible) for anyone — citizens, lawmakers, bureaucrats, military men, and, defense industrialists — to understand exactly what’s been procured (or not) under each GPV.  This state of confusion probably serves the interests of some of the same  groups.  Rogozin makes it sound as if defense industry, rather than the military, will drive the train this time around.

Putin on Nuclear Forces and Aerospace Defense

Today’s meeting on implementing GPV-2020 (the third thus far) was devoted to nuclear forces and aerospace defense.  However, President Vladimir Putin had little specific to say, at least in his published remarks.

He obligatorily noted how VVKO and especially SYaS bear “special responsibility” for Russia’s security, territorial integrity, and global and regional parity and stability.

VKO, the president said, must not only be in permanent combat readiness to defend military and state command and control facilities against a potential enemy’s attack, but also “provide clear and effective coordination with other services and troop branches.”

In other words, lots of air and aerospace defense assets don’t belong to VVKO, and their job is to integrate them into a network.

On the nuclear side, Putin said Russia isn’t looking for an arms race but rather to ensure “the reliability and effectiveness of our nuclear potential.”

To reequip SYaS and VKO, the Supreme Glavk indicated Russia intends to allocate a “significant part” of the total resources for GPV-2020, but, again, nothing more specific.  By 2020, SYaS is supposed to have 75-80 percent modern weapons systems, and VVKO not less than 70 percent.

And that’s all we learn about the meeting.  Or almost all.

Kremlin.ru provided a participant list that’s a bit interesting.  Many officials and industry leaders you’d expect attended.  But some were noticeably absent — missile designers from MIT, missile builders from Votkinsk, and the RVSN Commander.  Surprisingly, the general director of the Makeyev design bureau was present.

Putin on Ground Troops and VDV

Meeting on GPV for Ground Troops and VDV

Kremlin.ru has the transcript of President Putin’s introductory remarks yesterday at a meeting on the land armaments portion of the State Armaments Program, the GPV.  This is his second review of where things stand.  Recall in mid-June he held a session on the Air Forces and the GPV.

Noting that “leading countries” are increasing the potential of their ground forces with new reconnaissance, C2, and “highly accurate” systems, as well as modern armor, Putin continued:

“I remind you in the framework of the state armaments program to 2020 it’s planned to allocate more than 2.6 trillion rubles to outfitting the Ground and Airborne forces.  We have to reequip units and sub-units, to fill the troops with new equipment with these resources.  By 2020 its share must be not less than 70 percent.”

“So 10 ‘Iskander-M’ brigade missile systems, 9 S-300V4 army brigade SAM systems, more than 2,300 tanks, nearly 2,000 self-propelled artillery and gun systems, and also more than 30,000 units of automotive equipment alone must enter the Ground Troops.  Besides this, it’s planned to introduce new communications, C2, advanced reconnaissance systems, individual soldier systems.”

As previously, the president stressed that complete fulfillment on schedule and at agreed prices is “very important.”

Then Putin turned to three problem areas.

First, fielding new weapons systems is complicated by the involvement of many sub-contractors.  A breakdown in one contract can cause an entire effort to fail.  Putin cited the VDV’s new BMD and YeSU TZ as examples:

“[BMDs] still haven’t gone through state testing and, as a result, haven’t been accepted into the inventory.  In turn, this is impeding development of practically all the VDV’s weapons sub-systems.  Today I’d like to hear, respected colleagues, why the task of the state program in the area of armor development and supply to the VDV hasn’t been fulfilled.”

“Creating a unified command and control system for troops and weapons at the tactical level [YeSU TZ] is another example.  The test model still doesn’t fully answer the requirements the Defense Ministry set out.  And I’d like also today to hear how this question is being resolved.”

Refer here and here for recent words on the BMD-4M and YeSU TZ.

Second, the Ground Troops and VDV spend too little on R&D (10 and 5 percent of what they spend on serial purchases and repairs respectively).  And the R&D money is put toward a small number of projects.  The president wants more work on advanced soldier systems, infantry weapons, individual protection, and comms.

Third, and finally, there’s a mess in Russia’s munitions industry.  There’s no long-term plan for ammunition makers, and this presents a problem for new arms systems.  The time has come, Putin said, to determine how the Defense Ministry and enterprises in this sector will interact.

President Putin has really seized on the GPV.  It seems near and dear to him.  Or perhaps it seems more tractable than Russia’s political and economic problems.  More amenable to his directive leadership and manual control.

The cases Putin mentioned are longstanding, well-known “poster children” for the problems of the OPK, i.e. easy and logical targets.  One wonders what more pressing and acute, if less publicly advertised, military-industrial difficulties were discussed.  Putin’s focus on R&D is also a bit odd when you consider it’s been blamed for waste and slashed.

Putin didn’t address strong rumors and denials of slipping the schedule for GPV 2011-2020 to 2016-2023.

Does the GPV Look Like This?

If Putin keeps on the GPV, perhaps we’ll gain a somewhat sharper picture of how it’s shared out.  It’d be interesting to learn where the RVSN and VVKO fit.

Putin, Aircraft, and the OPK

President Vladimir Putin met Thursday with Defense Ministry and aviation industry leaders to discuss military aircraft production.   Kremlin.ru covered his introductory remarks to the assembled group at the 393rd Air Base in Krasnodar Kray.

Putin Addresses the Meeting

Putin touched on PAK DA, UAVs, and damping down industry expectations of funding above and beyond GPV-2020.  To the OPK reps present, the president again stressed timely deliveries of high-quality equipment at reasonable prices.  He took a pretty hard line with the industry, saying it agreed with the GPV last year and there won’t be more than the 19 trillion rubles promised to buy arms and equipment for the Armed Forces.  It seemed odd he didn’t dwell at all on PAK FA development, or Su-34 or transport aircraft procurement.

Putin began by noting that most in attendance were at last year’s meeting on the OPK’s readiness to fulfill the Gosoboronzakaz.  He mentioned aviation’s “decisive role” in modern operations, and once again said that the military (in this case, the Air Forces) have to be prepared to complete missions beyond Russian Federation borders to fulfill Moscow’s alliance obligations.

Putin said the VVS will receive 4 trillion rubles, almost a quarter of the GPV money, for their rearmament by 2020.

He acknowledged that developing PAK DA would not be easy, but:

“If we don’t start promptly, I have the time frames for completing separate elements of this program in mind, we could miss the chance, because it’s impossible to extend the service life periods of existing equipment forever.”

He noted that essential modernization of Tu-160 and Tu-95MS strategic bombers has taken place, and a new ALCM is entering the inventory.

Putin next discussed UAVs and their growing role in combat operations.  He said Russia must develop them, and he plans to spend 400 billion rubles on pilotless aircraft by 2020.

On that pesky issue of buying drone technology abroad, Putin said pretty definitively:

“I turn your attention to the fact that it’s necessary and possible to use the groundwork of our foreign partners, but having this in mind, you well know:  no one will give us the most advanced things, the cutting edge.  We have to do it by ourselves, we need to use what we have at our disposal, and it’s necessary to use what was developed abroad, but we also have to make new advances ourselves.”

The president claimed 30 squadrons have already received new aircraft, and he repeated the familiar goal of providing the VVS 70 percent new equipment by 2020, including 600 new airplanes and 1,000 helicopters.

He mentioned work on Russia’s military airfield network.  During the last four years, four new airfields were built and 28 were reportedly modernized.  Work to the tune of 40 billion rubles is planned for nine more over the coming four years.

Putin took pains to emphasize that “everything” was agreed with the OPK last year.  The government will “support” enterprises and design bureaus as they modernize factories and facilities.  But, he again said, the demands will be severe.  Defense orders must be fulfilled fully, on time, with high quality, and at economically justified prices.  As earlier agreed with the Defense Ministry, profitability will be 15, 18, or even 20 percent.  And the military is supposedly paying Gosoboronzakaz contracts 100 percent in advance, he added.

Putin was particularly emphatic on his next point:

“There won’t be other money, greater than the amount allocated to 2020.  I’ve already talked about this 100 times.  At one recent conference, proposals were again heard to increase it.  We would be happy to increase it, perhaps, but there’s no money!”

He reminded participants most of them were present when Air Forces procurement plans were set, and most VVS contracts are long-term ones running out to 2015-2018.

Putin mentioned that long-term VVS procurement contracts are relying on government-guaranteed credits (i.e. not necessarily money out of this year’s budget).  Aircraft contracts for GOZ-2012 already amount to 2.5 billion rubles.

But isn’t that a very small amount?  The VVS will need to spend upwards of 450 billion a year for nine years to spend their 4 trillion, won’t they?  And 45 billion rubles for UAVs alone.  Ten billion will be spent on airfields annually through 2016. 

Defense Policy Reset?

RF President Vladimir Putin last week held the first meeting of his third term to discuss military priorities with senior uniformed officers.

President Putin

He looked less impressive, and less in command of his brief in the video of his introductory remarks than on similar past occasions.

But he clearly laid out his main concerns for Russia’s top Armed Forces leaders:  training, Aerospace Defense Troops, rearmament, contract manning, pay, and housing.

He seemed confounded by the Defense Ministry’s failure to pay new, higher military salaries on time, and by the continuing lag in providing housing to servicemen.  He said his Control Directorate is investigating both situations.

Taking it from the top, Putin said the state of military training and exercises today is completely changed from past years when the Armed Forces were rarely active.  The president twice emphasized conducting joint exercises with Russia’s allies in the CSTO, CIS, and SCO.

His second priority is developing the newly created and reformed Aerospace Defense Troops.

His third is rearmament.  He repeated the familiar goal of replacing 30 percent of weapons and equipment with new generation systems over the next three years (2015), and 70, or in some cases 100, percent five years after that (2020).  And he added:

“I ask you to report promptly about all instances of breakdowns or incomplete deliveries, if you identify them.  Everyone participating in Gosoboronzakaz work must bear personal responsibility.”

The fourth priority is manning, and the earlier announced effort to increase professional soldiers in the ranks to 425,000.  This, he says, would increase their numbers two and a half times, reportedly from 170,000 today.  Putin made the customary comments about carefully screening and selecting enlisted troops, and giving them incentives to serve well.

Fifth and finally, Putin emphasized efforts to provide better social support for servicemen, specifically, this year’s increase raising military pay by up to three times, and his attempt to provide all military men permanent housing in 2013 and service housing by 2014.  He said:

“Sufficient resources have been allocated for this, the necessary amount has been reserved.”

“But I have to note that, to this point, there are many problems in the provision of housing and calculation of pay, unacceptable breakdowns and procrastination, open professional negligence by officials.  And even if on paper and in reports everything is normal, in fact in real life servicemen and their families at times encounter various kinds of bureaucratic procrastination, often with a formalistic indifferent approach.”

“I’ve directed the Russian Federation President’s Control Directorate to conduct a corresponding check in all these areas.  Unacceptable facts are being encountered, already in the first stages of this check this is clear:  this is both delays in the transmission of pay, and the impossibility of normally finalizing the paperwork for an apartment.  Fitting conclusions will be drawn according to the results of the check, and instructions will be formulated.  But today already I’m asking Defense Ministry representatives to report what measures are being adopted to correct the situation.  May is ending, and normal work with pay still hasn’t been smoothed out.  We already talked about these issues more than once.”

Where are outside observers left?

  • Training and exercises have increased as a function of more budget and fuel, but this didn’t happen until the late 2000s.
  • Aerospace Defense Troops are another structural reorganization, potentially a good one, not unlike other reorganizations since the 1990s.
  • Rearmament is a serious downfall.  Despite the Putin factor, nothing really happened on this score until late 2009.  It’s complicated by the difficulties of fixing a dilapidated OPK.  And, although there may be some favorable signs, success here remains to be seen.
  • Contract service is a second serious downfall.  Putin’s first effort to professionalize the army started in 2002.  The General Staff Chief declared it a dismal failure eight years later.  The Defense Minister revived it on an enlarged scale one year after that.  Demographic reality and draft problems leave Moscow no other choice.
  • Low military pay is a downfall.  It became more of a realistic priority with Serdyukov’s arrival in the Defense Ministry, but it was still five long years before the new, higher pay system was implemented.  And Putin admits how poorly it’s functioning.
  • Housing is also a downfall.  Despite progress since Putin first really addressed the issue in 2005, it’s still problematic.  And the president publicly moved back his timetable for a solution.

The downfall areas are problems requiring a long-term, sustained commitment to resolve.  Putin 2.0 is wrestling with the same military issues he identified back in 2000.  It’s still far from certain he can or will bring them to a successful conclusion.

This author believes there’s been progress on Russia’s military issues during the 12 years of Putin’s time as national leader.  But future economic or political challenges could derail progress toward rebuilding the country as a full-scope military power.

Is Putin resetting or rebooting defense policy?  Yes, at least jumpstarting it on key issues.  But a restarted or jumpstarted computer, car, or policy usually works (or doesn’t work) the same way it did before it stalled.  So this isn’t necessarily the path to a successful finish.  But no one ever said making and implementing policy was easy.

Defense News

Some Russian defense news for April 19-20, 2012 . . .

Krasnaya zvezda covered First Deputy Defense Minister Aleksandr Sukhorukov’s briefing on the progress of GOZ-2012.  He said contracting is at 77 percent, ahead of the last two years (50 and 47 percent).  The Defense Ministry’s GOZ funding was trimmed by 25 billion rubles, from a planned 704 to 677 billion (isn’t that 27 billion?).  GOZ money will be advanced in full, and 53 percent of contracts will be “long term,” according to Sukhorukov.

Sukhorukov's Press Conference

Sukhorukov told the media this year the Armed Forces will receive 28 Pantsir-S1, 58 aircraft, and 124 helicopters.  He discussed supplemental contracts for Mi-35, Mi-28N, and Mi-8MTSh helicopters.  The total GPV purchase of helicopters will apparently be 1,124.

ITAR-TASS reported Borey-class SSBN Yuriy Dolgorukiy will be accepted not later than mid-June.  Unit 2 Aleksandr Nevskiy will be accepted in August according to Sukhorukov.

This item also indicated Borey contracting for this year was almost done, and that units 4-8 will have 20 launch tubes.

Sukhorukov had no other specifics on defense procurement this year.

In its coverage of the press-conference, Arms-Expo.ru asked if GOZ-2012 isn’t broken already, at least in the munitions sector.

Meanwhile, in other OPK-related news . . .

Topwar.ru writes that small arms maker Izhmash’s bankruptcy is “going according to plan.”  Rostekhnologii’s plan, that is.

VPK.name reported the chairman of Ukrainian engine manufacturer Motor Sich’s board claims Russia will sign a contract for its first An-70 transport this year.  The GPV may include up to 60 of these aircraft.

Not Enough Resources (Addendum)

Ruslan Pukhov

In Friday’s NVO, CAST Director Ruslan Pukhov expounded on Konstantin Makiyenko’s thoughts about whether Russia’s current military modernization plan is doable.  And he offered ideas on how to make it more doable.

Pukhov points out that, in addition to 19 trillion rubles for military modernization, the Kremlin is footing bills for higher military pay, better living conditions, and housing as well as intensified combat training.  Liberal critics question whether the government can afford a greater defense burden at a time when it also needs to modernize infrastructure, health care, and education.

The planned military expenditures seem, Pukhov continues, balanced and acceptable, following 15 years of army underfinancing.  They shouldn’t threaten the country’s development.

Still, he says, skeptics have a point.  Vladimir Putin’s plan presupposes a decade of growth in the economy, perhaps not dynamic, but growth.  However, it’s also highly possible we’ll see stagnation or even recession in an economy which, with oil prices over $100, shows meager (for a developing market) growth of four percent.

Then Pukhov really gets to it.

With the slightest decline in hydrocarbon prices, “Putin’s preelection promises, including also in the military sphere, will become unfulfillable.”  And the Finance Ministry is developing plans to trim defense spending by 0.5 percent of GDP.

Pukhov asserts the Defense Ministry can continue transforming the armed forces if it sacrifices quantity for quality and foregoes more “metal” for human capital investments.

First, he says abandon the official but never explained million-man army manning level in favor of 700,000 or 600,000 personnel.

Second, the state should meet all its social obligations to servicemen and continue training by skipping some procurement.  The only “holy cow” would be strategic nuclear deterrence forces.

Third, Pukhov suggests sacrificing some planned naval development.  He offers that, as the world’s fifth or sixth largest economy, Russia simply can’t afford to recreate a global navy.  First on the chopping block, Mistral and renovated Kirov-class CGNs.

But Pukhov doesn’t sound fully convinced himself.  Some points not made need to be noted.

Pukhov should know Moscow has already gone well below one million men, if only semi-officially.  There isn’t much savings in reduced conscript numbers.  Pukhov doesn’t mention the huge “human capital” expense of trying (once again) to recruit professional contract soldiers.  The word corruption — the proverbial elephant in this room — isn’t uttered either.  The state already accepts 20, perhaps 40, percent less military than it pays for.  That’s where real savings are.  Foregoing some “metal” is a good idea, but Pukhov has scarcely begun to sort out what Russia’s acquisition priorities should be.

Mr. Pukhov should be commended for addressing this topic, but his critique is pretty mild.  He may still be attacked for it by some.  A much more radical restructuring of Russia’s military development program than Pukhov’s may eventually be needed to save it.

Ivashov on the Army and Putin

Leonid Ivashov

Leonid Ivashov recently talked to Narodnyy politolog on a variety of army topics including reforms, the possibility of a big war, rearmament, president-elect Vladimir Putin, and his military program.  Segodnia.ru also printed the interview.

Once Russia’s top military diplomat, now avowed geopolitician, the former three-star thinks Putin fears externally-driven regime change and is improving the army to forestall such an eventuality.  Ivashov sees a U.S.-led West depriving Russia of allies before focusing on Russia itself.

Asked about army reforms, Ivashov says they have succeeded in cutting forces, but not in rearming them or improving their social conditions.  Reforms have degraded and weakened the army.  Military men mock the New Profile reforms saying, “There’s a profile, but not armed forces.”  Ivashov calls reforms craziness, and says it’s like servicemen have lived in a house under continuous repair for 25 years.

Following up his comment on mobilization reserves cut to the bare minimum, NP asked the retired general-colonel if a big war is possible today.

Ivashov says yes.  Citing how “they” are beating up Russia’s strategic allies (Syria and Iran), he says “What is this if not war?”

Ivashov foresees a large conflict between the U.S. and China and possible spinoff regional and local wars.  He cites a Chinese specialist who calls for a Russian-Chinese alliance to deter a big war and curb the appetite of the West and international oligarchs.

Is Russia ready for such an eventuality?  Ivashov answers:

“I think Putin understands perfectly how military weakness and the absence of strategic allies can be the end for Russia.  Clearly, the Libyan situation ‘helped’ him understand this, just like what is happening now in Syria, and what they are preparing for Iran.  If you can’t defend the country, you are subjecting yourself to a great risk personally.”

“Now Putin is making a sharp turn to the side of strengthening defense capability.  One can only welcome this.  Because today they don’t simply beat the weak, they destroy them.”

Ivashov calls Putin’s military program ambitious, if not systematic.  The regime’s been in a “light panic” since Libya.

He intimates that more than 20 percent of the state armaments program will be stolen since the amount of theft cited by the military prosecutor covers only cases under investigation, not all corruption.

Ivashov suggests lobbying has replaced forecasts of future military actions as the driver of arms procurement.

The case of Mistral, which one wonders where it will be built and how it will be used, Ivashov says well-connected lobbyist structures ensure what gets produced is exactly what their enterprises make.  He was somewhat encouraged that Putin, at Sarov, entertained turning to specialists and experts to examine the army’s requirements.

On GPV 2020, Ivashov concludes it’ll be a serious step forward if only half of what’s planned gets produced, but it can’t be equipment designed in the 1970s and 1980s.  He sees OPK production capacity problems too.  He questions whether Votkinsk can produce 400 solid-fueled ballistic missiles by 2020.

Returning to the big war, he questions a focus on defensive operations for Russian conventional forces, saying offensive capabilities are needed to deter potential enemies.  He claims reduced force structure and mobilization capability have become a joke in the General Staff:

“The main problem for the Chinese in a conflict with us is not defeating our brigade, but finding it.”

Ivashov’s just a little up in arms over the armor situation.  He all but accuses the General Staff Chief of being a paid (or bribed) lobbyist for foreign tank and armored vehicle makers.  He suggests that Army General Makarov should be placed in cuffs if he says the Leopard-2 is better than the T-90 [what about Postnikov then?], and the Main Military Prosecutor should investigate him.

So what is to be done first and foremost to strengthen the country’s defense capability today?

Ivashov replies get rid of Serdyukov and Makarov who have done great damage, and strengthen cadres in the OPK and military by replacing “managers” with those who can apply military science (as Ivashov was taught) to the problem of developing new weapons.

The always provocative Ivashov doesn’t venture whether he thinks  the current emphasis on defense capability will continue or have the intended results.  He seems sincerely to believe in a possible Western intervention in Russia’s internal affairs.  But it’d be more interesting to hear him talk about whether the army would fight for Putin’s regime in something less than that maximal contingency.  Ivashov, unlike some critics of Russia’s defense policy, shies away from blaming the once-and-future Supreme CINC for at least some of the current military state of affairs.