Pentagon sees Libya military costs soar
Friday, June 10, 2011 at 07:22AM US military operations in Libya are on course to cost hundreds of millions of dollars more than the Pentagon estimated, according to figures obtained by the Financial Times.
Robert Gates, the outgoing secretary of defence, said last month that the Pentagon expected to spend “somewhere in the ball park of $750m” in the 2011 fiscal year as part of efforts to protect the Libyan people.
But according to a Pentagon memo which includes a detailed update on the progress and pace of operations, by mid-May US operations in Libya had cost $664m, a figure confirmed by the Department of Defence.
The document, entitled the “United States Contribution to Operation Unified Protector’’, adds that US costs are running at a rate of about $2m a day or $60m a month. The memo has been circulating on Capitol Hill since last week. The DoD declined to comment on the increased costs of the operation.
The pace of spending is higher than reported by the DoD comptroller’s office in late March. In a congressional hearing, Pentagon officials said the US had spent about $550m on Libya, at a rate of about $40m a month.
If spending remains at the increased rate until the end of the recently extended Nato authorisation period, the DoD could face an extra bill of about $274m to pay for a combination of air strikes, refuelling operations and intelligence-gathering missions, putting further strain on its budget.
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