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Labor has ‘laser’ focus on getting Defence procurements back on track

Defence Industry Minister Pat Conroy will prioritise getting troubled procurements back on track, and wants innovative local companies to develop hi-tech weaponry.

Hunter-class frigate.
Hunter-class frigate.

Defence Industry Minister Pat Conroy will prioritise getting troubled procurements back on track, including the $50bn ­Hunter-class frigate program, and wants innovative local companies to develop hi-tech weaponry to give the nation a capability edge.

Mr Conroy said his highest priority was accelerating the procurement system to get much-needed capabilities into the hands of Australian Defence Force personnel, and vowed a “laser-like focus” on Defence’s “projects of concern list”.

“My first key task is to inject ministerial energy and greater ministerial support into the acquisition cycle, particularly around projects of concern and all major acquisitions,” he said.

“Based on available public information, we have got 30 major defence projects running cumulatively 80 years late. These projects are really important and it’s my job to provide support in that area.”

Mr Conroy said he had “great confidence” the promised ­nuclear-powered submarines could be built in Adelaide, but it would be a “massive endeavour”.

Defence Industry Minister Pat Conroy. Picture: Sky News
Defence Industry Minister Pat Conroy. Picture: Sky News

He said the Hunter-class frigates, which The Australian revealed were at risk of being slower and more vulnerable to detection than originally promised, would “take up a lot of my time”.

“I am seeking urgent briefing from Defence on that, and on the nuclear-propelled submarines.

“But to be honest, we can’t afford to focus purely on one or two large projects – there is a whole stream of projects that are facing challenges.”

Mr Conroy, who is also Pacific Minister, said he would act as a “circuit-breaker” between Defence and industry to help overcome difficulties on troubled projects and resolve longstanding contractual issues.

He said he would review the projects of concern system to ensure it wasn’t hiding any struggling procurements, and would reintroduce ministerial summits to get ailing programs back on track.

Hunter-class frigates: Prototyping work

Mr Conroy said procurement decisions would be driven first by the ADF’s capability needs, followed by the need to build “a truly sustainable and sophisticated defence industry”.

He said the Albanese government would focus on achieving high levels of Australian industry capability rather than Australian content in Defence contracts, but declined to give an industry-wide benchmark.

The former Coalition government pledged 60 per cent of contracts on the now-cancelled Attack-class submarines would go to Australian companies but allowed the cost of hotel rooms and language courses to count towards the target – something Mr Conroy said Labor would not do.

“Some projects we should be aiming for much higher than (60 per cent),” he said.

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Original URL: https://www.theaustralian.com.au/nation/defence/labor-has-laser-focus-on-getting-defence-procurements-back-on-track/news-story/b8f429546bc87df4c434dad14624a105