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Premier Jay Weatherill to launch jobs bid to capitalise on $50 billion submarine deal

PREMIER Jay Weatherill will seize on a $50 billion submarine deal expected to be awarded to Adelaide within days by launching a jobs campaign targeting the winning bidder.

20 May, 2015 - Two Germany Navy Type 212 submarines built by TKMS tied up alongside at their base near Kiel in northern Germany. Picture TKMS.
20 May, 2015 - Two Germany Navy Type 212 submarines built by TKMS tied up alongside at their base near Kiel in northern Germany. Picture TKMS.

PREMIER Jay Weatherill will seize on a $50 billion submarine deal expected to be awarded to Adelaide within days by launching a jobs campaign targeting the winning bidder.

In an attempt to capitalise on the expected economic boost, Mr Weatherill reveals in a column in today’s Advertiser that he will visit the winner’s headquarters within weeks, then follow shortly afterwards with a large-scale trade mission.

Prime Minister Malcolm Turnbull will announce within days that most, if not all, of Australia’s 12 future submarines will be built at Osborne’s ASC shipyard.

Germany and France are widely believed to be the frontrunners, while there is significant speculation that one-time favourite Japan has been sidelined.

In a critical meeting, Federal Cabinet tomorrow is believed to be assessing which bidder has the best submarine, having already examined construction time frames and cost.

A guide to where SA can get more jobs
A guide to where SA can get more jobs

In his Advertiser column, Mr Weatherill declares jobs will be created immediately by the submarine deal and he wants to create a partnership with the winning country that opens doors for business and culture.

He says the submarine contract stands to be the most significant achievement in SA’s quest to transform to a hi-tech manufacturing economy.

French and German bidders are vowing to create between 2000 and 2900 jobs across Australia, including 1700 at Osborne under the French bid.

“While the first of the future submarines won’t be built for a number of years, our international partners will begin investing in Adelaide immediately. Jobs will be created immediately,” Mr Weatherill says.

One of the Australian navy’s ageing Collins-class submarines at sea.
One of the Australian navy’s ageing Collins-class submarines at sea.

“We will attract other companies that realise this is not a short-term project but an industry based in Adelaide for decades to come.”

Mr Weatherill says he will ask Defence Industries Minister Martin Hamilton-Smith to lead a delegation to foster defence sector ties.

Within months, Mr Weatherill hopes to lead a bipartisan government and business delegation, including union and higher education representatives.

“It is my view that, whichever country is chosen, we will have a unique opportunity to forge a relationship with our new shipbuilding partner that goes beyond defence contracts alone,” Mr Weatherill writes.

“It is an opportunity to take a significant step forward with our diplomatic and trade relations with the chosen nation — similar to the strong ties we have through our 30-year friendship with China’s Shandong province.”

Mr Weatherill’s planned trade mission mirrors that of his Labor predecessor, the late John Bannon, who in 1987 visited Sweden just days after that country won the $5 billion bid to build six Collins Class submarines at Osborne.

Mr Bannon held talks with Sweden’s government and defence ministry, as well as submarine builder Kockums, declaring he hoped SA could leverage Sweden’s hi-tech industry and become an Asia-Pacific hub.

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Original URL: https://www.adelaidenow.com.au/news/south-australia/premier-jay-weatherill-to-launch-jobs-bid-to-capitalise-on-50-billion-submarine-deal/news-story/ffb834ca76a0bba046fd01f08abb19b9