Years behind schedule, the delays continue for Darwin shiplift

The Navy has got on board Darwin’s shiplift project but there’s no still no sign of the final contract being awarded. Read why it’s stalled.

Months after tenders were lodged, three prospective developers of Darwin’s drawn-out shiplift project are still waiting for final contracts to be awarded.

Norwegian company Syncrolift and United States-based Pearlson Shiplift Corporation and Bardex Corporation have tendered for the $400m shiplift system, steel trestles and self-propelling modular transporter contracts.

Previously expected to have been announced in November, Chief Minister Eva Lawler said the contract was now expected to be awarded this month.

In September, Ms Lawler said dredging would begin within weeks even though a development permit for early preparation, site works and dredging was only issued in February.

As well as off-target government predictions, the shiplift project hasn’t been helped by Defence Department dithering that has seen multiple changes to its weapon procurement plans.

Dr John Coyne from the Australian Strategic Policy Institute said changes in Defence priorities had contributed to the long delay.

“It’s important to realise Defence is going through a significant period or upheaval and change and that isn’t lost on anybody in industry and government,” Dr Toyne said.

“The Defence Strategic Review was a parent to other reviews including the Defence Estate Review and Fleet Surface Review and there is still quite a lot of water to pass under the bridge for any certainty about what will be purchased and when it will come on line.”

He said there was no lack of will from both the NT’s major political parties to get the project done.

“The truth is Darwin Port is Australia’s most important northern port and northern Australia’s northern most deep water port,” Dr Toyne said.

“It has great strategic value in terms of location but you cannot have a marine capability without having a shiplift.”

A computer mock up proposed shiplift at East Arm. Picture: Glenn Campbell

To improve Defence oversight and dialogue with the NT Government and the Commonwealth, the Australian Navy seconded a part-time staff member into the Territory’s shiplift team.

The shiplift was first proposed in 2015 and delays in its development have dogged Labor during its eight years in office.

Despite dozens of media statements and events at the East Arm site, there is still no sign of any actual construction.

Part of the shiplift’s business case was based on servicing offshore patrol vessels, with the Navy’s fleet service review cut in half from 12 to six.

Chief Minister Eva Lawler told this masthead Defence had been a key stakeholder throughout the planning phase.

“The shiplift facility is being designed to suit the needs of the Department of Defence and Australian Border Force to service the current and future Defence fleet vessels,” she said. “Defence has been a key stakeholder throughout these planning works.

Australian Strategic Policy Institute’s Head of Northern Australia Strategic Policy Centre Dr John Coyne.

“The shiplift design has been developed through vigorous engineering, constructability and feasibility reviews to build a shiplift facility with five berths available for vessels.

“To make sure the Ship Lift can service as many industries as possible it is being designed to suit current international standards.”

The process to secure Defence Qualification through the Department of Defence’s Navy Engineering Branch began last June.

Wallbridge Gilbert Aztec is preparing final drawings for the shiplift and civil contracts at the site were awarded to WeBuild-BMD last September.