Fighter procurement, other state initiatives likely to be put on hold

By Lee Tae-hoon

The ruling Saenuri Party said Monday that it wants to delay key state initiatives including a fighter jet acquisition program and the privatization of Incheon International Airport Corp.

“A storm of controversy has erupted over the signing of a military intelligence agreement between Korea and Japan, the plan to sell a stake in Incheon Airport, the next-generation fighter program and the privatization of Woori Financial Group,” said Rep. Lee Hahn-koo, floor leader of the ruling party. “Lawmakers of the 19th National Assembly will raise all of these issues.”

His remarks echo a statement made a day earlier by Rep. Lee Hae-chan, chairman of the main opposition Democratic United Party (DUP), which has been critical of the government’s “hasty moves” to conclude pending matters.

“With only five months before the presidential election, the government appears to be pushing such huge projects as the privatization of the KTX (bullet train operations) and Incheon Airport, as well as the procurement of next-generation combat aircraft,” Lee said.

The DUP leader urged the government to consider postponing major state-initiative schemes until the new administration takes office early next year.

A close aide to Rep. Park Geun-hye, the most-likely Saenuri Party presidential candidate, said the governing party’s leadership has decided to avoid unnecessary misunderstandings over major government projects.

“Former Chairwoman Park has little to gain by supporting the lame-duck Lee Myung-bak administration’s push for the fighter jet program and other contentious issues,” the aide said asking for anonymity.

“Park wants to distance herself from the negative image of the incumbent administration, which has been accused of taking kickbacks and other favors for bulldozing through impending projects.”

Rep. Yoon Sang-hyun, the de-facto spokesman of the Park camp, said that it would be inappropriate for the incumbent administration to handle critical national issues at the end of its term.

“The Lee administration will only fuel misunderstanding and suspicion if it discusses selling shares in Incheon Airport and other matters,” he said.

Other Saenuri Party insiders concurred, adding that the ruling party has lost its political justification to back the government’s major projects, including the FX-III program aimed at purchasing 60 cutting-edge fighters to replace the country’s aging F-4 and F-5 jets.

They pointed out that Park does not want to become embroiled in scandals related to Cheong Wa Dae, especially after the latter drew strong criticism for pressuring the foreign ministry to sign the bilateral military deal with Tokyo after a close-door Cabinet meeting last week.

“We cannot downplay the possibility of jeopardizing ourselves by supporting controversial projects ahead of the presidential race,” a source said, asking not to be identified.

“It would be wiser for us to put the ball in the court of the next government.”

Critics say the Lee administration has set a too tight deadline for the fighter jet program, whose winner is scheduled to be announced at the end of the year after a few months of bid assessments and negotiations.

Air Force officials refute this, saying the government has carefully planned the purchase since 2007 and that the country will suffer from a severe shortage of military aircraft if the project is delayed.

They warned that Korea will begin to lose about 20 fighters, a battalion-size Air Force unit, per year from 2015 and that the majority of the country’s some 250 aging F-4 and F-5s will be decommissioned by 2020.