Norway Demands Reimbursement of €500 Million After Dropping NATO Helicopter Contract

Norway Demand Reimbursement of €500 million After Dropping NATO Helicopter Contract
Oslo cancels a NATO helicopter contract with NHIndustries after experiencing problems with the NH-90 units, but the firm does not agree that they should reimburse. JONATHAN NACKSTRAND/AFP via Getty Images

Norway ends a NATO helicopter contract that was signed 20 years ago. Norway is a founding member of NATO that signed the deal in 2001.

According to sources, it wants €500 million returned to the Nordic nation for NH-90 military helicopters that were not up to spec for their needs.

Norway Cancels Due Delays, Multiple Defects of Units

Defense Minister Bjorn Arild Gram, who announced the demand for compensation regarding the defense deal that did not work out, reported RT.

The model was developed for the military specifications of the Nordic country, which was not acceptable due to the defects and delays of the NH-90 helicopter.

An amount of €500 million, which has been almost complete for the rotorcraft, should be returned in full, citing the Press United.

On Friday, the operation of the helicopters, which had already been delivered, ended. The machines will be returned to the manufacturer, a French multinational firm.

Germany's Die Welt stressed an unsatisfied client is searching for a replacement that could originate from the United States, noted Mass News.

A report about the Norwegian military's final decision is unsuitable for the aerospace firm that produced it. As the article pointed out, no quantity of tweaking, spare parts, or investment will likely make the helicopter worthwhile.

NHIndustries Contests Reimbursement

This NATO helicopter deal with NHIndustries is not accepting Oslo's demand that the payment is returned due to contract cancellation. Furthermore, the firm will go to court to argue its point.

The multinational firm issued a statement stating the allegations against NH-90 and the firm. One of their defenses is that the Nordic nation did not inform NH industries about the special requirements.

The manufacturing said that 13 of Norway's 14 helicopters are delivered, with one more waiting to be picked up. Just eight of the machines are fully operational, remarked the Norwegian military.

Airbus having a stake in the firm, said that Norway's demand is bad after Australia, who bought the same helicopter, made a surprise decision in 2021. The US-made Black Hawk will be its replacement.

Canberra asserted that the European helicopter's efficiency was a constant issue and operational costs were too excessive.

Another NATO country, Belgium, noted Die Welt, is considering replacing the NH-90 with a better one. One of the issues reported by the German outlet stressed that users had noticed the same issues with the helicopter. The Netherlands is said to have complained about corrosion issues with the model.

A report that was done by the German military and stressed by the outlet informing by 2021, there will be 19% of the questionable helicopters in service with the armed forces. Mentioned in a German military industry blog how the navy did not accept one due to a faulty radar and fuel smell inside the rotorcraft cockpit.

According to Norway officials, Oslo wants €500 million back from a NATO helicopter contract with NHIndustries that the company disagrees with the NH-90 has issues.

Tags
Oslo
Real Time Analytics