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We are witnessing the future of war on the battlefields of Ukraine

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12 minute read

From the MacDonald Laurier Institute

By Richard Shimooka

We would be wise to learn the lessons the Ukrainians have fought so hard to learn

Historically, certain wars have stimulated the development of future defence thinking. The 1905 Russo-Japanese War previewed many features of the Great War a decade later, including the lethality of machine guns and howitzers, as well as the ubiquity of trench warfare. The 1973 Yom Kippur War between Israel and its Arab Neighbours was particularly influential for present wars—the Arab combatants’ use of new anti-tank guided missiles challenged many existing doctrines. This is not to say that all groups absorb the lessons directly or effectively. Many of the great powers, including Russia (who fought in the 1905 war), failed to adopt the lessons laid bare in that conflict and suffered grievous casualties in the first years of World War I as a result.

Approaching two years since the invasion, the war in Ukraine has the potential to have an outside impact on the future of war for a variety of reasons. Its timing comes as a number of new technologies have emerged, many of which have come from the civilian space. These include the proliferation of drones, low-cost satellites, and high bandwidth networking—all of which to date have had major effects on the outcome of the war.1 Over the past two years, both sides have adapted their doctrine and capabilities to reflect a cycle of learning and adaptation which gives a clearer understanding of where these technologies are headed.

Some of these trends are a validation of overriding trends in warfare, particularly around the collection and use of data afforded by networked systems. This is evident in the maturation of the “reconnaissance-strike” complexes in Russian and Ukrainian doctrine. Essentially, this is a streamlining of the process of identifying and attacking targets with precision fire, usually from some form of artillery. The United States and NATO have been pursuing a roughly similar—but much more advanced and all-encompassing—concept known as “multi-domain operations.” There are several common denominators between both doctrines, including the effort to expand detection over wider areas, as well as hastening the decision-making process which can improve the lethality of any weapon system attached to it. While it may not be able to employ traditional airpower, the use of long-range artillery (including the recently provided ATACMS missile system) shows the effectiveness of this approach to war. It also allows for a greater economy of force—a critical consideration for Ukraine due to its disadvantageous economic and strategic situation facing a state three times its size.

A key feature of progress in this area is its organic nature. Since the start of direct hostilities in 2014, Ukraine has done well to build up some of these connective capabilities adapting civilian systems for military purposes, such as the Starlink satellite network and apps for mobile devices. A large portion are ground-up approaches, developed even by military units to suit their particular operational needs. This was part of the total war approach that the Ukrainian government has instituted, often leveraging their emerging tech industries to develop new capabilities to fight against the Russian Federation. Many allies have similar efforts, but too often focus remains on a very centralized, top-down approach, which has led to substandard outcomes. Some balance between the two poles is likely ideal.

Another major consideration is the revolutionary impact of drones on air warfare. Traditional manned airpower, like F-16, Mig-29s, and even attack helicopters, remain as relevant as ever in Ukraine. While no side possesses true air superiority, some localized control has been established for short periods, resulting in potentially decisive consequences. However, the war has followed the trend of other recent wars with low-cost, attritable drones playing an important role. While this has been evident in the strike-reconnaissance doctrine discussed above, the so-called kamikaze loitering drones, such as the Russian Lancet and armed first-person view commercial drones, have played an important role as well.

One important aspect is what is known as the “mass” of these capabilities—not individually, but as a collective system or swarm of multiple individual units that can be lost without a major degradation of their lethality. At present, the link between traditional and emerging airpower domains is fairly disjointed over the battlefield in Ukraine, perhaps due to lingering service parochialism. But once combined they will only multiply each other’s lethality.

There is, however, one question concerning this new frontier of airpower’s ultimate influence in the future. It hinges significantly on the efficacy of new anti-drone systems, like those being developed by the United States Army and NATO allies. These potentially may blunt or even remove the deadly threat these UAVs pose to modern ground forces. But as of now they are in their infancy and very few are present in Ukraine today. If they are unable to make a major impact, then the future of conflict will be radically different.

Over the past thirty years, Canada, the United States, and its allies have often been able to deploy troops abroad to many stabilization and peacekeeping missions, in part due to the relatively benign threat environment they were entering. There was confidence that deployed soldiers would not incur significant casualties, which would arouse domestic opposition to the missions themselves. If the lethality of these unmanned drone systems remains unchecked, then, considering their greater ubiquity, it may drastically constrain the ability of Western countries to intervene and assert their muscle abroad, even in low-risk environments.

Finally, and perhaps most critically, is the need for an adaptive defence industrial base (another word for military supply chains) with the capacity to meet a wide need for war. The Russian Federation, for example, faced wide-ranging and intrusive sanctions from the start of the conflict that precluded them from obtaining a number of key resources for their war effort, ranging from raw materials to advanced technology components. They have been able to weather these challenges due to a combination of factors: a deliberate effort to develop an autarkic industrial base that started after 2014, a less technologically advanced military, and sanctions-avoiding policies such as smuggling and diversifying their foreign supplier base to more reliable allies.

While Western allies are unlikely to face the same restrictions in a potential future conflict on the scale that Russia has, in some ways they have greater challenges. These countries rely on much more sophisticated military capabilities that have levels of complexity far in excess of Russian systems. The sheer diversity in all of the raw materials inputs and various subcomponent providers, as well as the networks to make them all work, means that they are actually much easier to disrupt. Shades of this were evident during the initial months of the COVID-19 epidemic when the production of civilian goods was affected by shortages and supply chain disruptions.

Furthermore, underinvestment in the defence industrial base has left the capacity to ramp up production in most areas perilously slow, even two years after the conflict started.

More effort must be spent on creating a much more resilient industrial base that has the capacity to ramp up production to meet the needs of modern war. This requires significant front-end investment by governments in capacity building as no private firm is willing to spend money in that fashion without any guarantee of a return. At the same time, building capacity must be targeted and appropriate to the actual needs of Canada and its allies—taking lessons from Ukraine without understanding their context would be a mistake. That war and its material demands are unique to it.2 Discerning the actual needs and developing accordingly should be done through careful analysis and wargaming, much like the recent Center for Strategic International Studies analysis on U.S. missile needs in a potential war against China has done.

In the end, a clear trend that seems to bind all of these areas is the need for adaptability and critical thinking. Warfare is fast becoming more lethal and decisive. Modern armies must be able to respond to those changes as quickly as they occur—or better yet, lead those changes against their adversaries. That, for one, cannot occur in an organization that is continually starved for funding like the Canadian Armed Forces is today.

But it may also require a radical reorganization and re-think of how defence policy, strategy, operations, and doctrine are developed and implemented—not to mention personnel and industrial policy. As the conflict in Ukraine has laid bare, bringing in the brightest minds and giving them greater leeway to develop responses is key, as is harnessing the potential and building the capacity of domestic industrial bases. These are essential and urgent lessons we must learn. They have been hard won by the sacrifices of the Ukrainian people for our benefit. It would be a shame to waste them.

Richard Shimooka is a Hub contributing writer and a senior fellow at the Macdonald-Laurier Institute who writes on defence policy.

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Canada among NATO members that could face penalties for lack of military spending

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From the Daily Caller News Foundation

By J.D. Foster

Trump should insist on these measures and order that unless they are carried out the United States will not participate in NATO. If Canada is allowed entry to the Brussels headquarters, then United States representatives would stay out.

Steps Trump Could Take To Get NATO Free Riders Off America’s Back

In thinking about NATO, one has to ask: “How stupid do they think we are?”

The “they,” of course, are many of the other NATO members, and the answer is they think we are as stupid as we have been for the last quarter century. As President-elect Donald Trump observed in his NBC interview, NATO “takes advantage of the U.S.”

Canada is among the “they.” In November, The Economist reported that Canada spends about 1.3% of GDP on defense. The ridiculously low NATO minimum is 2%. Not to worry, though, Premier Justin Trudeau promises Canada will hit 2% — by 2032.

quarter of NATO’s 32 members fall short of the 2% minimum. The con goes like this: We are short now, but we will get there eventually. Trust us, wink, wink.

The United States has put up with this nonsense from some members since the collapse of the Soviet Union. That is how stupid we have been.

Trump once threatened to pull the United States out of NATO, then he suggested the United States might not come to the defense of a NATO member like Canada. Naturally, free-riding NATO members grumbled.

In another context, former Army Lt. Gen. Russell Honore famously outlined the first step in how the United States should approach NATO: Don’t get stuck on stupid.

NATO is a coalition of mutual defense. Members who contribute little to the mutual defense are useless. Any country not spending its 2% of GDP on defense by mid-year 2025 should see its membership suspended immediately.

What does suspended mean? Consequences. Its military should not be permitted to participate in any NATO planning or exercises. And its offices at NATO headquarters and all other NATO facilities should be shuttered and its citizens banned until such time as their membership returns to good standing. And, of course, the famous Article V assuring mutual defense would be suspended.

Further, Trump should insist on these measures and order that unless they are carried out the United States will not participate in NATO. If Canada is allowed entry to the Brussels headquarters, then United States representatives would stay out.

Nor should he stop there. The 2% threshold would be fine in a world at peace with no enemies lurking. That does not describe the world today. Trump should declare the threshold for avoiding membership suspension will be 2.5% in 2026 and 3% by 2028 – not 2030 as some suggest.

The purpose is not to destroy NATO, but to force NATO to be relevant. America needs strong defense partners who pull their weight, not defense welfare queens. If NATO’s members cannot abide by these terms, then it is time to move on and let NATO go the way of the League of Nations.

Trump may need to take the lead in creating a new coalition of those willing to defend Western values. As he did in rewriting the former U.S.-Mexico-Canada trade agreement, it may be time to replace a defective arrangement with a much better one.

This still leaves the problem of free riders. Take Belgium, for example, another security free rider. Suppose a new defense coalition arises including the United States and Poland and others bordering Russia. Hiding behind the coalition’s protection, Belgium could just quit all defense spending to focus on making chocolates.

This won’t do. The members of the new defense coalition must also agree to impose a tariff regime on the security free riders to help pay for the defense provided.

The best solution is for NATO to rise to our mutual security challenges. If NATO can’t do this, then other arrangements will be needed. But it is time to move on from stupid.

J.D. Foster is the former chief economist at the Office of Management and Budget and former chief economist and senior vice president at the U.S. Chamber of Commerce. He now resides in relative freedom in the hills of Idaho.

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You wouldn’t believe how complicated distributing public money can get

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The Audit

 David Clinton

Veteran Affairs: the Big Picture

While researching posts for The Audit, I’ll often confront massive datasets representing the operations of agencies with which I’m not in the least familiar. Getting to the point where all the raw numbers turn into a useful picture can take considerable effort, but it’s a satisfying process.

But my first attempts to understand Veteran Affairs Canada (VAC) felt a bit different. I wasn’t just looking at funding and costs, but at the frustrations and suffering of people who, to a greater or lesser degree, were harmed through their service to the country. Here, I hope, is part of their story.

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Veterans Affairs Funding

There are currently more than 460,000 living veterans of the Canadian military. The estimated 2024-25 spending allocation for Veteran Affairs Canada – whose mandate is to serve that population – is around $4.8 billion. The department employs less than four thousand people, which is actually around eight percent fewer than in 2010. Having said that, employment at the distinct Veterans Review and Appeal Board has grown from zero to 161 since 2017.

Besides VAC, the Office of Infrastructure of Canada will spend around $16.5 million on their Veteran Homelessness Program, and Department of National Defence has another $1.6 million budgeted for Community Support for Sexual Misconduct Survivors Program – something for which veterans will also be eligible.

In addition, nearly $2.5 million in grants from various government agencies (including Canada Mortgage and Housing Corporation) was given in 2023 to the Homes for Heroes Foundation, which provides housing and support for at-risk veterans.

Non-government agencies also work to support veterans. In 2023, for instance, the War Amps reported spending $2.7 million on “Service Bureau and Advocacy” and around $700,000 on “Veterans Issues – Special”. The Royal Canadian Legion Dominion Command spent around $1.15 million on veterans services in 2022.

The True Patriot Love Foundation is also a big player in this area, channeling nearly $2.7 million in 2024 to other charities working for veterans. At the same time, more than 30 percent of their own budget came from government sources.

One example of such flow-through funding was the $360,000 given by True Patriot Love to Veterans Transition Network in 2024. In 2023, Veterans Transition Network themselves received another $2.2 million from government along with a total of $1.7 million from other charities.

These kinds of ultra-complex relationships are common in Canada’s charitable sector. The complexity may provide benefits that outsiders can’t easily see. At the same time, knowing whether moving funds through multiple organizations leads to unnecessary inefficiencies and waste is something that would probably require a serious forensic audit.

Veterans Affairs Spending

The largest line items in this year’s VAC spending include $1.6 billion for pain and suffering compensation, $1.34 billion for the Income Replacement Benefit, and $990 million for pensions for disability and death.

In 2023, VAC awarded $41.6 million in external contracts. The largest of those was worth $13.8 million and went to 674725 ONTARIO LTD for “Other Business services not Elsewhere Specified”. 674725 Ontario Ltd. appears to be closely associated with a company called Agilec which, in turn, is a part of Excellence CanadaHere’s how Excellence Canada describes itself:

“Founded in 1992 by Industry Canada as the National Quality Institute (NQI), then rebranded as Excellence Canada in 2011, we are an independent, not-for-profit corporation that is dedicated to advancing organizational performance across Canada.”

In that context, it’s interesting that in 2022, VAC awarded a $159 million contract to a joint venture between WCG International Consultants Ltd. and March of Dimes Canada for “Other Health Services not Specified Elsewhere”.

What makes that interesting? Well, WCG also shows up on an Innovation, Science and Economic Development Canada (ISED) page related to compliance with the Investment Canada Act (ICA). The ICA exists to provide transparency relating to foreign investments in the interest of maintaining a fair and competitive marketplace

This particular page identifies a “U.S.” company called Ancora BidCo Pty Ltd as the new owners of a number of businesses under contract with the federal government. Those businesses include 674725 Ontario Ltd. and WCG International Consultants Ltd.

In fact, Ancora isn’t really a U.S. company at all. They’re actually Australian (as the Pty designation suggests). But their parent company – the private equity firm Madison Dearborn Partners, LLC – indeed operates in Chicago.

There’s no direct evidence to suggest there’s anything dark and nefarious happening here. But it is strange that so many discrete contracts turn out to be awarded to what now amounts to a single foreign for-profit company.

External Contracting Patterns

Has VAC been increasing their reliance on external contracts in recent years? Well, as you can see from this graphic, it’s complicated:

I don’t know what policy changes drove those two huge spikes in 2014 ($933 million) and 2021 ($2.25 billion). But I can tell you which specific vendors are responsible for most of the increase.

In 2014, three contracts worth a total of $803 million went to Medavie Inc for “Other Business services not Elsewhere Specified”. That was 86 percent of the sum of all VAC contracts from that year.

An eye-popping 98 percent of 2021’s external spending went to just six contracts worth $2.2 billion. Medavie Inc received one of those contracts – worth $228 million. But the other five (worth a total of $1.99 billion) were all joint ventures involving WCG International Consultants Ltd.

Lifemark Health Corp. (currently owned by Loblaw) partnered with WCG for three of those contracts, and March of Dimes Canada had the other two dance slots.

What Is Medavie?

Medavie Inc. is the owner of:

  • Medavie Blue Cross
  • Medavie EMS Inc.
  • Medavie health Services New Brunswick Inc.
  • Emergency Medical Care Inc.

Between them, those companies provide health insurance, healthcare training, and emergency management services. They also provide public health program administration – which would probably account for the majority of those contract amounts.

What’s not clear to me is why there’s no record of Medavie receiving any federal contracts of any sort since 2021 – despite the fact that the VAC website tells us that they’re still actively engaged in service provision through Partners in Canadian Veterans Rehabilitation Services (PCVRS).

What Is WCG International Consultants Ltd?

As we’ve seen, WCG is now owned by an American private equity firm and is most certainly no longer not-for-profit. Their website tells us that they’re part of the APM Group, which is an Australian company providing “services in early childhood, youth, employment, insurance, justice, veterans, health, disability, and aged care”.

You’re correct to assume the APM Group is more or less synonymous with Ancora BidCo Pty Ltd. More specifically: all of APM’s publicly-traded shares were bought out in the past couple of months on behalf of Madison Dearborn Partners.

Just one more detail: according to WCG’s website, they’re:

“Partners in Canadian Veterans Rehabilitation Services (PCVRS) coordinates and administers the Rehabilitation Services and Vocational Assistance Program on behalf of Veterans Affairs Canada (VAC).”

Curious about PCVRS? Since late 2022, they’ve been tasked with administering all medical, psycho-social and vocational assistance services on behalf of VAC. However, reports suggest that not everyone has been happy with either accessibility or responsiveness under the new system.

None of this is necessarily inappropriate. And if you’re willing to work at it, you’ll be able to use public information sources to uncover a wealth of related relationships and details. But the vast amounts of money involved, along with the operational complexity make abuse possible. Which means external oversight is a good thing.

Besides all that logistical stuff, what really matters is whether veterans themselves are receiving the support and services they deserve. And that’s a question only they can answer.

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