Jun 7, 2014
Australian Navy in urgent need of replenishment vessel, Spain Navantia and Daewo in the tender.
Within a year of taking office the Government is moving decisively to tackle Labor’s Defence mess and to ensure that Australia does not face major capability gaps as a result of Labor’s defence cuts and failure to take crucial decisions, including on maritime capability.
Navy will be properly equipped in the years ahead and Australian industry will have the long-term strategic direction.
Replenishment vessels are considered essential to support sustained naval deployments. Navy’s current replenishment ship HMAS Success is in urgent need of replacement, and HMAS Sirius only provides limited replenishment capability.
In light of the urgent need to forestall a capability gap in this crucial area; the current low productivity of shipbuilders involved in the AWD program; and value for money considerations, the Australian Government has given First Pass approval for Defence to conduct a limited competitive tender process between Navantia of Spain and Daewoo Shipbuilding of South Korea for the construction of two replacement replenishment vessels based on existing designs.
The Government has committed $78.2 million to bring forward preliminary engineering and design work necessary to keep open the option of building the future frigate in Australia. In parallel, the Government is reviewing Australia’s shipbuilding requirements, capabilities and capacities in order to inform a long-term strategic naval plan that provides the ADF with leading-edge capabilities and Australian taxpayers with value for money.
The Government has brought forward an open competition with Australian industry to construct more than 20 replacement Pacific Patrol Boats. This important project will boost the maritime security and resource and fishery protection capabilities of partner countries in the South West Pacific and generate additional work for yards around Australia.