$300m defence industry contracts in Hunter at Williamtown RAAF base and Newcastle airport
Downer EDI and BAE Systems will support Australia’s air power capabilities with major airfield works at Newcastle Airport and Williamtown RAAF base, and support for F-35A fighters.
Newcastle
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$300 million worth of defence contracts have been awarded to the Hunter, in a major boost for the region.
Firstly, a leading engineering company has been awarded a $165 million contract to deliver major airfield works at Williamtown’s RAAF base and Newcastle airport.
Downer EDI will support Australia’s air power capabilities by maintaining and improving critical infrastructure at both airfields, a contract which is estimated to support about 300 jobs.
Federal Defence Industry Minister Melissa Price said the significant investment would maximise the opportunities for both local and Indigenous businesses.
“The project will ensure the RAAF Base continues to support the projection of Australia’s air power and also enable movements of larger civilian aircraft for Newcastle Airport,” Ms Price said.
“It’s supporting Australian jobs and backing our defence industry to deliver the capability our men and women in uniform need to keep Australians safe.”
Liberal Patron Senator for the Hunter Region Hollie Hughes has welcomed the important investment and jobs it will create for the whole Hunter Region.
“This is a great project that will deliver increased airfield capacity for larger civilian aircraft, supporting increased international travel and regional tourism,” she said.
“It will also benefit our local economy with an improved accessibility to international freight for exporting regional produce.
“Importantly, under its Local Industry Capability Plan, Downer EDI Works Pty Limited will target local businesses to deliver at least 75 per cent of the total contract value.
“The company has also committed to achieving at least 4.5 per cent Indigenous employment participation in the Project.”
Construction is due to start in early 2022 and is expected to be completed in late 2023.
And, Australia’s defence industry will deliver an extra $140 million in maintenance and supply-chain support for the RAAF’s fifth-generation F-35A Lightning II fighter, located at Williamtown base and Tindal in the Northern Territory.
The Federal Government signed an $80 million, five-year contract with BAE Systems Australia for the ongoing support of F-35A operations and increased funding to the F-35A industry support program by $60 million.
Ms Price said Australia’s participation in the global program continued to deliver significant benefits to the Hunter Region and the broader national economy.
“It will also result in the employment of 46 BAE Systems Australia staff in the Hunter Region who will provide direct, on-the-ground support to the Royal Australian Air Force fleet,” she said.
“Australia’s participation in the global F-35 Program has significantly benefited Australian industry, with Australian companies already sharing in more than $3 billion in contracts.”
Defence will acquire 72 F-35A Lighting II aircraft to replace the Classic Hornet fleet.