Chapter 1 - Introduction

[1]        On 9 May 2016, the inquiry lapsed with the dissolution of the Senate and the House of Representatives ahead of a federal election on 2 July 2016.

[2]        Senate Economic References Committee, Part I–Future if Australia's naval shipbuilding industry: Tender process for the navy's supply ships, August 2014.

[3]        A final report was due 28 August 2015. On the 28 August 2015, the committee tabled a fourth interim report in the form of a letter as an interim measure, noting the committees intention to table a final report on or before 26 February 2016, after the conduct of a further public hearing. A final report was not tabled. 

[4]        A detailed assessment of the government's response is discussed in Chapter 2, of the committee's Third report.

[5]        Naval Group, 'DCNS changes its name to Naval Group', 28 June 2017, http://naval-group.com.au/2017/06/28/dcns-changes-its-name-to-naval-group/ (accessed 19 June 2018).

Chapter 2 - Background

[1]        Department of Defence, Answers to question on notice, Question reference no. 6, 20 June 2017 hearing (received 25 October 2017).

[2]        Australian National Audit Office, Audit Report No. 39 2017–18, Naval Construction Programs—Mobilisation, p. 15.

[3]        Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 32. Rear Admiral Sammut, Head Future Submarine Program, placed a caveat on the information he provided by adding that Defence was 'still in the design process for the future submarine and that many of the detailed costs of acquisition and sustainment will be determined during the design process through the choices made'.

[4]        Mr Brent Clark, Senior Advisor to the Chairman, Naval Group Australia, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 9; Department of Defence, Naval Shipbuilding Plan, 16 May 2017, p. 26.

[5]        The six Collins Class submarines are HMAS Collins, HMAS Farncomb, HMAS Waller, HMAS Dechaineux, HMAS Sheean and HMAS Rankin. ASC, 'Collins Class Submarines', https://www.asc.com.au/submarines/collins-class-submarines/ (accessed 21 June 2018); Department of Defence, Naval Shipbuilding Plan, 16 May 2017, pp. 25-26.

[6]        Senator the Hon Marise Payne, Minister for Defence, 'Prime Minister, Minister for Defence – Future submarine program', Media release, 26 April 2016.

[7]        On 20 February 2015, the Hon Kevin Andrews MP, then Minister for Defence, outlined the competitive evaluation process for Australia's new submarines. See the Hon Kevin Andrews MP, Minister for Defence, 'Strategic Direction of the Future Submarine Program', Media release, 20 February 2015, http://kevinandrews.com.au/strategic-direction-future-submarine-programme/ (accessed 21 June 2018).

[8]        Senator Rex Patrick, Centre Alliance, Senate Hansard, 10 May 2018, p. 2922, http://parlinfo.aph.gov.au/parlInfo/search/display/display.w3p;query=Id%3A%22chamber%2Fhansards%2F4a4f29d6-cec4-4a55-97d8-b11f23b85dd4%2F0301%22 (accessed on 21 June 2018).

[9]        Subject to further discussion on commercial matters, on 30 September 2016, the Minister for Defence and Minister for Defence Industry announced that Lockheed Martin Australia had been selected. The Hon Christopher Pyne MP, Minister for Defence Industry, 'Combat System Integrator for Future Submarines', Media release, 30 September 2016.

[10]      Senate Economics References Committee, Part II: Future of Australia's naval shipbuilding industry – Future submarines, November 2014, pp. 37-43. Evidence before the committee indicated that there was not anything available that had the range and mobility to match Australia's needs. Any modification to an existing submarine is not a simple exercise and would mean a complete redesign with the accompanying time, costs and risks. Furthermore, there is a reluctance of overseas countries to relinquish their most advanced technology and this means in some instances that a submarine sold by a company resident in a country is not the same submarine exported overseas.

[11]      Senate Economics References Committee, Part II: Future of Australia's naval shipbuilding industry – Future submarines, November 2014, pp. 37-43; Australian National Audit Office, Audit Report No. 39 2017–18, Naval Construction Programs—Mobilisation, p. 19.

[12]      Australian National Audit Office, Future Submarine – Competitive Evaluation Process, Audit Report No. 48 2016–17, p. 7. The committee also criticised the procurement process for the submarine program in its second report.

[13]      Australian National Audit Office, Audit Report No. 39 2017–18, Naval Construction Programs—Mobilisation.

[14]      Senator the Hon Marise Payne, Minister for Defence, 'Australia and France sign Future Submarine Inter-Governmental Agreement', Media release, 20 December 2016. This treaty was tabled in Parliament on 7 February 2017.

[15]       Joint Standing Committee on Treaties, Report 169–Future Submarine program – France, Classified Information Exchange – France, April 2017, also available at https://www.aph.gov.au/Parliamentary_Business/Committees/Joint/Treaties/FutureSubmarine-France/Report_169

[16]      Joint Standing Committee on Treaties, Report 169 – Future Submarine Program – France, Classified Information Exchange – France, April 2017, p. 3.

[17]      Joint Standing Committee on Treaties, Report 169, April 2017, pp. xvii-xviii.

[18]       Amelia McMahon, ‘Changing of the Guard at Naval Group Australia’, Defence Connect, 18 May 2018, https://www.defenceconnect.com.au/maritime-antisub/2306-changing-of-the-guard-at-naval-group-australia (accessed 21 June 2018).

[19]      Amelia McMahon, 'Shock resignation of DCNS Australia CEO', Defence Connect, 21 March 2017, https://www.defenceconnect.com.au/maritime-antisub/451-shock-resignation-of-dcns-australia-ceo (accessed 12 June 2018).

[20]      Senate Economics References Committee, Proof Committee Hansard (Future of Australia’s naval shipbuilding industry), 7 June 2018, p. 9. See also Rear Admiral Gregory Sammut, Head Future Submarine Program, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 56.

[21]      Amelia McMahon, 'Changing of the guard at Naval Group Australia', https://www.defenceconnect.com.au/maritime-antisub/2306-changing-of-the-guard-at-naval-group-australia (accessed on 12 June 2018).

[22]      See also Rear Admiral Gregory Sammut, Head Future Submarine Program, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 56.

[23]      The Commonwealth is represented by Rear Admiral Sammut, the lead negotiator, and his team in the Department of Defence's Capability, Acquisition and Sustainment Group (CASG). See Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 56.

[24]      Rear Admiral Gregory Sammut, Head Future Submarine Program, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 56. See also Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Additional Estimates), 28 February 2018, p. 40.

[25]      Mr Brent Clark, Senior Advisor to the Chairman, Naval Group Australia, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 9.

[26]      Mr Brent Clark, Senior Advisor to the Chairman, Naval Group Australia, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 9.

[27]      Mr Brent Clark, Senior Advisor to the Chairman, Naval Group Australia, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 13.

[28]      Vice Admiral Ray Griggs, Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Additional Estimates), 28 February 2018, pp. 40-41.

[29]      Vice Admiral Ray Griggs, Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Additional Estimates), 28 February 2018, p. 41.

[30]      Vice Admiral Ray Griggs, Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Additional Estimates), 28 February 2018, p. 40.

[31]      Mr Brent Clark, Senior Advisor to the Chairman, Naval Group Australia, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 16.

[32]      Mr Brent Clark, Senior Advisor to the Chairman, Naval Group Australia, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 16.

[33]      Mr Brent Clark, Senior Advisor to the Chairman, Naval Group Australia, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 16.

[34]      Senate Economics References Committee, Proof Committee Hansard (future of Australia's naval shipbuilding industry), 29 May 2018, p. 54.

[35]      Rear Admiral Gregory Sammut, Head Future Submarine Program, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 32.

[36]      Marcus Hellyer, 'Senate estimates, submarine escalates', Australian Strategic Policy Institute, The Strategist, 6 June 2018, https://www.aspistrategist.org.au/senate-estimates-submarine-escalates/ (accessed on 12 June 2018). Also Tabled Document at the Economics References Committee inquiry into the future of Australia's naval shipbuilding industry, 7 June 2018.

[37]      Marcus Hellyer, 'Senate estimates, submarine escalates', Australian Strategic Policy Institute, The Strategist, 6 June 2018, https://www.aspistrategist.org.au/senate-estimates-submarine-escalates/ (accessed on 12 June 2018). See also Tabled Document at the Economics References Committee inquiry into the future of Australia's naval shipbuilding industry, 7 June 2018. See also Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, pp. 72-73.

[38]      Mr Brent Clark, Senior Advisor to the Chairman, Naval Group Australia, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 9.

[39]      Mr Brent Clark, Senior Advisor to the Chairman, Naval Group Australia, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, pp. 10-11.

[40]      See Aidan Morrison's paper A comparison of Pumpjets ad propellers for non-nuclear submarine propulsion, January 2018, https://s3-ap-southeast-2.amazonaws.com/submarines-paper/Final.pdf; Amelia McMahon, 'Uncertainty over Future Submarine design', Defence Connect, 13 October 2017, https://www.defenceconnect.com.au/maritime-antisub/1383-uncertainty-over-future-submarine-design (accessed 20 April 2018); Andrew Davies, 'Pump up the pump jet?, ASPI, The Strategist, 3 November 2017, https://www.aspistrategist.org.au/pump-up-the-pump-jet/ (accessed 20 April 2018).

[41]      Nicole Brangwin and David Watt, Parliamentary Library, Future submarines – pump-jet, 27 February 2018, p. 3. Brendan Nicholson, 'The Strategist Six: Hervé Guillou', Australian Strategic Policy Institute, The Strategist, 25 October 2017, https://www.aspistrategist.org.au/the-strategist-six-herve-guillou/ (accessed 20 April 2018).

[42]      Brendan Nicholson, 'The Strategist Six: Greg Sammut', Australian Strategic Policy Institute, The Strategist, 31 October 2017, https://www.aspistrategist.org.au/the-strategist-six-greg-sammut/ (accessed 20 April 2018).

[43]      Department of Defence, responses to written questions on notice for the Economics References Committee's inquiry into the future of Australia's naval shipbuilding industry, received on 22 May 2018. See also Mr Kim Gillis, Deputy Secretary, CASG, Department of Defence, and Mr Stephen Johnson, General Manager Submarines, Department of Defence, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 75.

[44]      Australian National Audit Office, Audit Report No. 39 2017–18, Naval Construction Programs—Mobilisation, p. 15.

[45]      The Hon Kevin Andrews MP, Minister for Defence, 'The Government's plan for a strong and sustainable naval shipbuilding industry', Media release, 4 August 2015. Department of Defence, 2016 Defence White Paper, 25 February 2016, p. 93. The ANZAC frigates will be progressively retired from 2026. Refer to Australia's Naval Shipbuilding Enterprise Preparing for the 21^st Century, RAND Corporation, Santa Monica, California, p. 33. 

[46]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, pp. 16 and 110.

[47]      The Hon Kevin Andrews MP, then Minister for Defence, 'The Government's plan for a strong and sustainable naval shipbuilding industry', media release, 4 August 2015. The earlier start date is also in line with the recommendation of the RAND Corporation's 2015 report Australia's Naval Shipbuilding Enterprise Preparing for the 21^st Century.

[48]      Australian National Audit Office, Future Submarine – Competitive Evaluation Process, Audit Report No. 48 2016-17, 2016-2017, p. 38.

[49]      On 18 April 2016, the Minister for Defence announced the three designers BAE, Fincantieri and Navantia had been shortlisted. On 31 March 2017, the Hon Christopher Pyne MP, Minister for Defence Industry, announced that the request for tender for the future frigates program had been released to three designers shortlisted. See Senator the Hon Marise Payne, Minister for Defence, 'Continuous Naval Shipbuilding', Media release, 18 April 2016; The Hon Christopher Pyne MP, Minister for Defence Industry, '$35 billion Future Frigate Tender', Media release, 31 March 2017. For a discussion on the merits of each of the three tenderers, see Ben Packham, 'The fight for our frigate', The Australian, 11 May 2018, p. 15; Andrew Tillett, 'Austal, ASC tipped to be thrown lifeline for $35 billion frigate build', Australian Financial Review, 19 June 2018, https://www.afr.com/news/austal-asc-tipped-to-be-thrown-lifeline-for-35b-frigate-build-20180619-h11kr0 (accessed on 22 June 2018).

[50]      Sarah Martin, 'Austal fear WA will miss out on billions over future Frigate program', PerthNow Sunday Times, 30 September 2017, https://www.perthnow.com.au/news/wa/austal-fear-wa-will-miss-out-on-billions-over-future-frigate-program-ng-08ce24576a66202775daaebe582fc6bb (accessed 22 June 2018).

[51]      Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, pp. 26-27. Sarah Martin, 'Austal fear WA will miss out on billions over future Frigate program', PerthNow Sunday Times, 30 September 2017, https://www.perthnow.com.au/news/wa/austal-fear-wa-will-miss-out-on-billions-over-future-frigate-program-ng-08ce24576a66202775daaebe582fc6bb (accessed 22 June 2018).

[52]      Sarah Martin, 'Austal fear WA will miss out on billions over future Frigate program', PerthNow The Sunday Times, 30 September 2017, https://www.perthnow.com.au/news/wa/austal-fear-wa-will-miss-out-on-billions-over-future-frigate-program-ng-08ce24576a66202775daaebe582fc6bb (accessed 22 June 2018).

[53]      Sarah Martin, 'Austal fear WA will miss out on billions over future Frigate program', PerthNow The Sunday Times, 30 September 2017, https://www.perthnow.com.au/news/wa/austal-fear-wa-will-miss-out-on-billions-over-future-frigate-program-ng-08ce24576a66202775daaebe582fc6bb (accessed 22 June 2018).

[54]      Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 13 October 2017 2018, p. 25.

[55]      Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 8 September 2017, pp. 40-41.

[56]      Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 13 October 2017, p. 43.

[57]      Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, pp. 27-28.

[58]      Rear Admiral Jonathan Mead, Head, Navy Capability, Department of Defence, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, pp. 23–24.

[59]      On the 29 April 2016, the government announced that they had signed a contract for the sustainment of the existing ANZAC Class Frigates. See Senator the Hon Marise Payne, Minister for Defence, 'ANZAC Class Frigate sustainment', Media release, 29 April 2016.

[60]      Senator the Hon Marise Payne, Minister for Defence, 'ANZAC Class Frigate sustainment', Media release, 29 April 2016.

[61]      Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 27.

[62]      Senator the Hon Marise Payne, Minister for Defence, 'Continuous Naval Shipbuilding', Media release, 18 April 2016.

[63]      Current Pacific Maritime security Program partners include Papua New Guinea, Solomon Islands, Palau, the Federated States of Micronesia, Kiribati, Samoa, Vanuatu, Fiji, Tuvalu, Tonga, Cook Islands and the Republic of the Marshall Islands. See Department of Defence, 2016 Defence White Paper, 25 February 2016, p. 127.

[64]      Department of Defence, 2016 Defence White Paper, 25 February 2016, p. 128.

[65]      Excluding GST. Senator the Hon Marise Payne, Minister for Defence, 'Contract signed for replacement Pacific Patrol Boats', Media release, 4 May 2016.

[66]      The Hon Christopher Pyne MP, Minister for Defence Industry, 'Historic milestone for Australia's shipbuilding program', Media release, 26 April 2017.

[67]      Austal, Pacific Patrol Boat Replacement Project on schedule as Austal completes Detailed Design Review, http://www.austal.com/news/pacific-patrol-boat-replacement-project-schedule-austal-completes-detailed-design-review (accessed 1 March 2017).

[68]      The Hon Christopher Pyne MP, Minister for Defence Industry, 'First new Guardian Class Patrol Boat launched', Media release, 30 May 2018, https://www.minister.defence.gov.au/minister/christopher-pyne/media-releases/first-new-guardian-class-patrol-boat-launched (accessed 11 June 2018).

[69]      ABC website, 'Navy Offshore Patrol Vessels to be built in WA and SA by German company Luerssen', 24 November 2017, http://www.abc.net.au/news/2017-11-24/offshore-patrol-vessel-contract-awarded-to-german-firm-luerssen/9188426?utm_source=sfmc&utm_medium=email&utm_campaign=%3a8935&user_id=1e67a2b6f5429422d42e421e0ca232a7f33aa375cdae12c67ee403c72a5935a9&WT.tsrc=email&WT.mc_id=Email%7c%7c8935&utm_content=ABCNewsmail_topstories_articlelink (accessed 19 January 2018). See also Department of Defence, 2016 Defence White Paper, 25 February 2016, p. 93.

[70]      There is an inconsistent approach to the spelling of the German shipbuilder Luerssen, also spelt Lurssen. Except where direct quotations have been used, for consistency, this report uses the former spelling.

[71]      ABC website, 'Navy Offshore Patrol Vessels to be built in WA and SA by German company Luerssen', 24 November 2017, http://www.abc.net.au/news/2017-11-24/offshore-patrol-vessel-contract-awarded-to-german-firm-luerssen/9188426?utm_source=sfmc&utm_medium=email&utm_campaign=%3a8935&user_id=1e67a2b6f5429422d42e421e0ca232a7f33aa375cdae12c67ee403c72a5935a9&WT.tsrc=email&WT.mc_id=Email%7c%7c8935&utm_content=ABCNewsmail_topstories_articlelink (accessed 19 January 2018).

[72]      The Hon. M Turnbull MP, Senator the Hon. M Payne and the Hon. C Pyne MP, (Prime Minister of Australia, Minister for Defence and Minister for Defence Industry), 'Hundreds of Australian jobs created in Offshore Patrol Vessel project', Media release, 24 November 2017. On 28 February 2018, Defence advised the Senate Committee on Foreign Affairs Defence and Trade that contracts had not been finalised between Luerssen, Civmec and Austal.

[73]      Mr Kim Gillis, Deputy Secretary, CASG, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Senate Foreign Affairs, Defence and Trade Legislation Committee Estimates), 29 May 2018, p. 34.

[74]      The Hon. C Pyne MP, Minister for Defence and Minister for Defence Industry, 'Offshore Patrol Vessels', Media release, 11 May 2018, https://www.minister.defence.gov.au/minister/christopher-pyne/media-releases/offshore-patrol-vessels (accessed 12 June 2018).

[75]      Mr Kim Gillis, Deputy Secretary, CASG, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 48. It was noted that Civmec was started by Australians who could not find appropriate funding so went to Singapore to get the capital to start the company.

[76]      Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 25.

[77]      Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 26. See also, Mr Kim Gillis, Deputy Secretary, CASG, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, pp. 34- 36.

[78]      Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 25.

[79]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, pp. 16 and 110.

[80]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, p. 36.

[81]      Senator Cormann, Minister for Finance, Senate Finance and Public Administration Legislation Committee Legislation Committee, Committee Hansard (Additional Estimates), 28 February 2017, p. 14.

[82]      Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Additional Estimates), 30 March 2017, pp. 45-46.

[83]      Mr Kim Gillis, Deputy Secretary, CASG, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Additional Estimates) 30 March 2017, p. 34.

[84]      Mr Graeme Dunk, Executive Manager, Australian Business Defence Industry Committee Hansard (Additional Estimates), 3 April 2017, p. 27.

[85]      Western Australian government, Submission 56.2, pp. 7 and 8.

[86]      Australian National Audit Office, Australian National Audit Office, Audit Report No. 39
2017-18, Naval Construction Programs—Mobilisation, p. 38

[87]      For more on the AWD Alliance, refer to chapter 3 in the Australian National Audit Office's report Air Warfare Destroyer5 Program, Audit Report No. 22 2013–14.

[88]      The Hon Christopher Pyne MP, Minister for Defence Industry, 'AWD intellectual property', Media release, 22 May 2018, https://www.minister.defence.gov.au/minister/christopher-pyne/media-releases/awd-intellectual-property (accessed 23 May 2018).

[89]      The Hon Christopher Pyne MP, Minister for Defence Industry, 'AWD intellectual property', Media release, 22 May 2018, https://www.minister.defence.gov.au/minister/christopher-pyne/media-releases/awd-intellectual-property (accessed 23 May 2018).

[90]      Australian National Audit Office, Air Warfare Destroyer5 Program, Audit Report No. 22 2013–14, p. 61.

[91]      The Hon Christopher Pyne MP, Minister for Defence Industry, 'AWD intellectual property', Media release, 22 May 2018, https://www.minister.defence.gov.au/minister/christopher-pyne/media-releases/awd-intellectual-property (accessed 23 May 2018).

[92]      Australian National Audit Office, Audit Report No. 39 2017–18, Naval Construction Programs—Mobilisation, p. 16.

[93]      The Australian National Audit Office noted that there has been five reviews conducted since 2012. The first was Study into the Business of Sustaining Australia’s Strategic Collins Class Capability, November 2012, pp. 57–58; and the most recent was Study into the Business of Sustaining Australia’s Strategic Collins Class Capability, Beyond Benchmark, May 2016, p. 2.  See Australian National Audit Office, Audit Report No. 39 2017–18, Naval Construction Programs—Mobilisation, p. 21.

[94]      Australian National Audit Office, Audit Report No. 39 2017–18, Naval Construction Programs—Mobilisation, p. 16.

[95]      Australian National Audit Office, Audit Report No. 39 2017–18, Naval Construction Programs—Mobilisation, p. 16.

[96]      The Hon Christopher Pyne MP, Minister for Defence Industry, Media release, 23 April 2018, 'Statement on ASC', https://www.pyneonline.com.au/media-centre/media-releases/statement-on-asc (accessed 27 April 2018). This was also confirmed by the ASC at the Finance and Public Administration's public hearing on 23 May 2018.

[97]      In 1989, AMEC changed to Australian Marine Engineering Consolidated Limited (AMECON) and in 1993, to Transfield Shipbuilding Ltd. In 1997, following a reorganisation of the Transfield Group, the ownership of the dockyard and the frigate project was in the name of Tenix Defence Marine Division. Senate Foreign Affairs Defence and Trade References Committee, Blue water ships: consolidating past achievements, 7 December 2006, p. 61.

[98]      Senate Foreign Affairs Defence and Trade References Committee, Blue water ships: consolidating past achievements, 7 December 2006, pp. 60-61.

[99]      Senate Foreign Affairs Defence and Trade References Committee, Blue water ships: consolidating past achievements, 7 December 2006, p. 62.

[100]    Senator the Hon Marise Payne MP, Minister for Defence, 'Minister for Defence – ANZAC Class Frigate sustainment', Media release, 29 April 2016.

[101]    For more information on the tender process of the supply ships, see Senate Economics References Committee, Part I: Future of Australia's naval shipbuilding industry – Tender process for the new supply ships, August 2014.

[102]    Senator the Hon Marise Payne, Minister for Defence, 'Replacement replenishment vessels', Media release, 6 May 2016.

[103]    On 6 May 2016, the government announced that a contract had been signed with Navantia of Spain. This tender process was the subject of this inquiry's first report Part I: Future of Australia's naval shipbuilding industry – Tender process for the new supply ships, August 2014.

[104]    David Ing, 'Navantia, Australia release further dates and details on RAN tanker programme', Jane's Navy International, 6 October 2016; Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Budget Estimates), 29 May 2017, p. 83.

[105]    Senate Foreign Affairs, Trade and Defence Legislation Committee, Committee Hansard (Budget estimates), 29 May 2017, p. 118.

[106]    Senator the Hon Marise Payne, Minister for Defence, 'Replacement replenishment vessels', Media release, 6 May 2016.

[107]    Senate Economics References Committee, Committee Hansard (Future of Australia naval shipbuilding industry), 4 April 2017, p. 4; Esteban Villarejo and Nigel Pittaway, 'Australia picks Navantia to build two replenishment ships', DefenseNews, 11 March 2016, https://www.defensenews.com/home/2016/03/11/australia-picks-navantia-to-build-two-replenishment-ships/ (accessed 22 June 2018).

[108]    Senate Economics References Committee, Part I: Future of Australia's naval shipbuilding industry – Tender process for the navy's supply ships, August 2014, p. xi. This position was again reiterated in the committee's second report: Senate Economics References Committee, Part III: Future of Australia's naval shipbuilding industry – Long-term planning, July 2015, p. 14.

[109]    The Hon. Kevin Andrews MP, Minister for Defence, 'The Government's plan for a strong and sustainable naval shipbuilding industry', Joint media release – Prime Minister and Minister for Defence, 4 August 2015. Available at https://www.minister.defence.gov.au/minister/kevin-andrews/media-releases/joint-media-release-prime-minister-and-minister-defence-1 (accessed 20 March 2018). See also Department of Defence, Naval Shipbuilding Plan, 16 May 2017, pp. 40-42

[110]    Senator the Hon Mathias Cormann, Minister for Finance, The Hon Christopher Pyne, Minister for Defence Industry and Senator the Hon Marise Payne, Minister for Defence, 'Supporting Australia's future shipbuilding capability', Joint media release, 11 October 2016.

[111]    Senator Cormann, Minister for Finance, Senate Finance and Public Administration Legislation Committee, Committee Hansard (Budget Estimates), 24 May 2017, pp. 16, 30–31. Australian Naval Infrastructure, established on 26 March 2017, is a Government Business Enterprise and reports to two joint Shareholder Ministers: the Minister for Finance and the Minister for Defence Industry. See Australian National Audit Office, Audit Report No. 39 2017–18, Naval Construction Programs—Mobilisation, p. 27.

[112]    Australian National Audit Office, Audit Report No. 39 2017–18, Naval Construction Programs—Mobilisation, p. 27.

[113]    Senator Cormann, Minister for Finance, Senate Finance and Public Administration Legislation Committee, Committee Hansard (Budget Estimates), 24 May 2017, p. 30.

[114]    Senator Cormann, Minister for Finance, Senate Finance and Public Administration Legislation Committee, Committee Hansard (Budget Estimates), 24 May 2017, pp. 30–31. See also Australian Naval Infrastructure's website at https://ani.com.au/board-executive/ (accessed 20 March 2018).

[115]    Australian National Audit Office, Audit Report No. 39 2017–18, Naval Construction Programs—Mobilisation, p. 27.

[116]    Senate Economics References Committee, Proof Committee Hansard (Future into Australia's naval shipbuilding industry), 7 June 2018, p. 43.

[117]    The development of the Naval Shipbuilding Advisory Board (NASB) was first announced by the Government in December 2016 and the Cabinet decided on its establishment on 27 September 2016.

[118]    Department of Defence, Response to QON portfolio question number 117, Supplementary Budget Estimates 2017-18, Foreign Affairs, Defence and Trade Committee.  

[119]    Ten board members were initially appointed. The majority of members are based overseas (the United States), with two Australians. The board chaired by Professor Don Winter (Chair), include the following members: Hon Ms Emily DeRocco; RADM Tom Eccles, USN (retired); Mr Irwin Edenzon; Mr Ron Finlay, AM; VADM William Hilarides, USN (retired); Ms Lisa Paul, AO, PSM; Ms Becky Stewart. Mr Mike Burgess, who was previously a board member, left following his appointment to the Australian Signals Directorate and no-one has replaced him on the board. Refer to Department of Defence, Response to QON portfolio question number 115, Supplementary Budget Estimates 2017-18, Senate Foreign Affairs, Defence and Trade Committee. See Mr Daniel Fankhauser, Secretariat, Naval Shipbuilding Advisory Board, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 47.

[120]    Mr Daniel Fankhauser, Secretariat, Naval Shipbuilding Advisory Board, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 49.

[121]    The Hon Christopher Pyne MP, Minister for Defence Industry, 'Chair of the Naval Shipbuilding Advisory Board appointed', Media release, 22 October 2016.

[122]    The Hon Christopher Pyne MP, Minister for Defence Industry, 'Address to the Naval Shipbuilding Advisory Board', Transcript, 24 January 2017. 

[123]    Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 64.

[124]    Defence also noted its contracted engagement with members varies, with some engaged directly and others through corporate consultancy firms. Senate Foreign Affairs, Defence and Trade Committee, Additional Estimates 2017-18, Question on notice no. 25 (Portfolio question no. 26).

[125]    Senate Foreign Affairs and Trade Legislation Committee, Additional Estimates 2017-18, 28 February 2018, Question taken on notice no. 24 (portfolio question no. 25).

[126]    Senate Foreign Affairs and Trade Legislation Committee, Supplementary Estimates 2017-18, 25 October 2017, Question taken on notice no. 116.

[127]    Defence took on notice to provide the committee with up-to-date figures at the May 2018 Budget Estimates. Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, pp. 65-66.

[128]    Defence also noted its contracted engagement with members varies, with some engaged directly and others through corporate consultancy firms. Refer to the Senate Foreign Affairs, Defence and Trade Committee, Additional Estimates 2017-18, Question on notice no 25 (Portfolio question no. 26).

[129]    Senate Economics References Committee (Inquiry into Australia's Naval Shipbuilding Industry), Correspondence from Department of Defence regarding Senate Economics References Committee's invitation to attend a public hearing, received on 12 April 2018.

[130]    The Australian Industry and Skills Committee (AISC) was established by the COAG Industry and Skills Council in May 2015 to give industry a formal role in approving vocational education and training (VET) training packages for implementation. Members include industry leaders nominated by Commonwealth and state and territory ministers responsible for skills and training, a peak body representative (rotating between the Australian Chamber of Commerce and Industry, the Business Council of Australia and the Australian Industry Group), and two ex-officio members (senior government officials). Australian Industry and Skills Committee, 'About the AISC', https://www.aisc.net.au/content/about-aisc (accessed 23 June 2018).

[131]    Australian Industry and Skills Committee, 'Naval Shipbuilding Industry Reference Committee', https://www.aisc.net.au/irc/shipbuilding-industry-reference-committee (accessed 23 June 2018); Senate Economics References Committee (Inquiry into Australia's Naval Shipbuilding Industry), Proof Committee Hansard, 7 June 2018, p. 53.

[132]    Australian Industry and Skills Committee, 'Naval Shipbuilding Industry Reference Committee', https://www.aisc.net.au/irc/shipbuilding-industry-reference-committee (accessed 23 June 2018); Senate Economics References Committee (Inquiry into Australia's Naval Shipbuilding Industry), Proof Committee Hansard, 7 June 2018, p. 53.

[133]    See, Senate Economics References Committee (Inquiry into Australia's Naval Shipbuilding Industry), Correspondence between the Department of Defence and the Committee, 28 March 2018, 12 April 2018, 16 April 2018 and 2 May 2018. https://www.aph.gov.au/Parliamentary_Business/Committees/Senate/Economics/Navalshipbuilding45th/Additional_Documents

[134]    Australian National Audit Office, Audit Report No. 39 2017–18, Naval Construction Programs—Mobilisation, p. 26.

[135]    Department of Defence, Naval Shipbuilding Plan, 16 May 2017, p. 52.

[136]    Australian National Audit Office, Audit Report No. 39 2017–18, Naval Construction Programs—Mobilisation, p. 26.

[137]    The Hon Malcolm Turnbull MP, Prime Minister of Australia, 'Government invests heavily in Western Australia's future', Media release, 20 February 2017.

[138]    Hon. Paul Papalia, Minister for Defence Issues, Western Australian Government, Committee Hansard, 3 April 2017, p. 2. At the 30 May 2017 Senate Foreign Affairs, Defence and Trade Legislation Committee Estimates hearing, Mr Mark Ablong, then First Assistant Secretary, Naval Shipbuilding Taskforce, Department of Defence provided an overview of the procurement process for the college. Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Budget estimates), 30 May 2017, p. 39.

[139]    Mr David Singleton, Chief Executive Officer, Austal Limited, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, pp. 9 & 10.

[140]    A response to this question on notice as at 23 June 2018 remains outstanding.

[141]    The Hon Christopher Pyne MP, Minister for Defence Industry, 'Maritime Technical College to train thousands of future shipbuilders', Media release, 24 March 2017, https://www.minister.defence.gov.au/minister/christopher-pyne/media-releases/joint-media-release-maritime-technical-college-train (accessed 24 March 2017).

[142]    Senate Foreign Affairs, Defence and Trade Legislation Committee, Mr Peter Chesworth, First Assistant Secretary Naval Shipbuilding Taskforce, Committee Hansard (Budget Estimates), 29 May 2018, p. 38.

[143]    Department of Defence, Naval Shipbuilding Plan, 16 May 2017, p. 74.          

[144]    Department of Defence, Naval Shipbuilding Plan, 16 May 2017, p. 74.          

[145]    On 3 April 2018, Naval Shipbuilding Institute, which is a joint venture between Kellogg Brown & Root and Huntington Ingalls Industries, was selected as the preferred tenderer for the Naval Shipbuilding College.  They beat out a bid from Babcock. See also The Hon Christopher Pyne MP, Minister for Defence Industry, media release, 'Joint media release – Minister for Defence Industry, Minister for Education and Training, Assistant Minister for Vocational Education and Skills – Naval shipbuilding college to meet naval shipbuilding needs', Media release, 3 April 2018, https://www.minister.defence.gov.au/minister/christopher-pyne/media-releases/joint-media-release-minister-defence-industry-minister (accessed 9 April  2018).

[146]    Australian National Audit Office, Audit Report No. 39 2017–18, Naval Construction Programs—Mobilisation, p. 10.

[147]    Australian Industry and Skills Committee, Naval Shipbuilding Industry Reference Committee, https://www.aisc.net.au/irc/shipbuilding-industry-reference-committee (accessed 22 June 2018).

[148]    Australian Industry and Skills Committee, Naval Shipbuilding Industry Reference Committee, https://www.aisc.net.au/irc/shipbuilding-industry-reference-committee (accessed 22 June 2018).

[149]    Amelia McMahon, 'A former defence minister has been appointed as Australia's first defence export advocate', Defence Connect, 9 April 2018, https://www.defenceconnect.com.au/key-enablers/2129-inaugural-defence-export-advocate-revealed (accessed 26 April 2018).

[150]    Senator the Hon David Johnston, Minister for Defence, Senate Hansard, 25 November 2014, p. 9200. See also, Amy Remeikis, The Guardian, https://www.theguardian.com/australia-news/2018/apr/09/abbotts-defence-minister-the-new-face-of-export-industry-despite-canoe-blunder (accessed 9 April 2018).

[151]    'Exclusive payments to former minister concealed', The Saturday Paper, 9 June 2018.

[152]    Amelia McMahon, 'A former defence minister has been appointed as Australia's first defence export advocate', Defence Connect, 9 April 2018, https://www.defenceconnect.com.au/key-enablers/2129-inaugural-defence-export-advocate-revealed (accessed 26 April 2018).

[153]    The Hon Christopher Pyne MP, Minister for Defence Industry, Media release, 'Opening of the Australian Defence Export Office', 23 April 2018, https://www.minister.defence.gov.au/minister/christopher-pyne/media-releases/opening-australian-defence-export-office (accessed 27 April 2018).

[154]    Documents released under FOI on 12 June 2018 did not disclose the Defence Export Advocate's fees and payment based on public interest considerations. Department of Defence, 'Disclosure Log – Documents released by Defence', Freedom of Information, http://defence.gov.au/FOI/Decisions/DisclosureLog.asp (accessed 23 June 2018).

Chapter 3 - National long term planning

[1]        Department of Defence, 2016 Defence Industry Policy Statement, February 2016, p. 8.

[2]        IBISWorld, Industry Report C2391 Shipbuilding and Repair Services in Australia, February 2018, p. 3.

[3]        IBISWorld, Industry Report C2391 Shipbuilding and Repair Services in Australia, February 2018, p. 22.

[4]        IBISWorld, Industry Report C2391 Shipbuilding and Repair Services in Australia, February 2018, p. 3.

[6]        RAND Corporation, Australia's Naval Shipbuilding Enterprise: Preparing for the 21st Century, 2015, p. iv.

[7]        The Hon Kevin Andrews MP, Minister for Defence, 'Release of the RAND Corporation report', Media Release, 16 April 2015.

[8]        RAND Corporation, Australia's Naval Shipbuilding Enterprise: Preparing for the 21st Century, 2015, p. xxxviii and xxxix.

[9]        RAND Corporation, Australia's Naval Shipbuilding Enterprise: Preparing for the 21st Century, 2015, p. xxix.

[10]      The Hon. Kevin Andrews MP, Minister for Defence, 'The Government's plan for a strong and sustainable naval shipbuilding industry', Media release, 4 August 2015.

[11]      Western Australian Government, Submission 56.2, p. 11. This assessment was also supported by Senator Linda Reynolds, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, pp. 6–7.

[12]      See, for example, Ms Deidre Willmott, Chief Executive Officer, Chamber of Commerce and Industry of Western Australia, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 33.

[13]      To this point, they also noted that they were seeking clarity from the Commonwealth Government on how the RAND study, and other studies undertaken in the later half of 2017, would factor into the future infrastructure planning and investment in Western Australia. Refer to Western Australian Government, Submission 56.2, pp. 6–7.

[14]      Department of Defence, Answers to question on notice, Question reference no. 1, 20 June 2017 hearing (received 18 July 2017).

[15]      Department of Defence, 2016 Defence White Paper, 25 February 2016, p. 89.

[16]      Department of Defence, 2016 Defence White Paper, 25 February 2016, p. 21.

[17]      Department of Defence, 2016 Defence White Paper, 25 February 2016, p. 83.

[18]      Department of Defence, 2016 Defence White Paper, 25 February 2016, pp. 90–93.

[19]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, p. 17.

[20]      Department of Defence, 2016 Defence Integrated Investment Program, February 2016, pp. 7–8.

[21]      Department of Defence, 2016 Defence Integrated Investment Program, February 2016,
pp. 78–79.

[22]      The Naval Shipbuilding Plan was originally scheduled to be released in August 2015. The development of the Naval Shipbuilding Plan cost approximately $3.1 million and involved work undertaken by a small team of up to eight personnel on a full-time basis. This was in addition to research, analytical support and advice from a number of organisations and individuals. See Senate Foreign Affairs, Defence and Trade Legislation Committee (Additional Estimates 2016-17), Answer to question on notice, Question reference no. 63.

[23]      On 24 March 2015, the then Defence Minister, the Hon Kevin Andrews MP, announced that the government was developing an enterprise-level naval shipbuilding plan to provide for the long-term future of the Australian naval shipbuilding industry. The government stated a naval shipbuilding plan was to accompany the 2015 Defence White Paper but the DWP was not released until 25 February 2016, and did not include a shipbuilding plan. See also Department of Defence, Budget 2015–16: Defending Australia and Its National Interests, March 2015, p. 6.

[24]      The Hon Kevin Andrews MP, Minister for Defence, Speech to the RUSI Submarine Summit, 24 March 2015.

[25]      The Hon Christopher Pyne MP, Minister for Defence Industry, House of Representatives Hansard Ministerial Statements, 9 February 2017, p. 503. On 9 February 2017, the Hon Christopher Pyne MP, Minister for Defence Industry, made a ministerial statement to the House of Representatives providing an update on defence industry activities since the 2016 federal election. The publication date of the shipbuilding plan was discussed at the Senate Foreign Affairs, Defence and Trade Legislation Committee's Estimates hearing on 30 March 2017: Committee Hansard (Additional estimates), 30 March 2017, pp. 43–45.

[26]      See, for example, Mr Graeme Andrew Dunk, Executive Manager, Australian Business Defence Industry, Committee Hansard, 3 April 2017, p. 27; Mr John O'Callaghan, Executive Director, Australian Industry Group Defence Council; Mr Andy Keough, Chief Executive, Defence SA; Mr Peter Horobin, Member, Submarine Institute of Australia Inc.; Dr Michael Green, Executive Director, Sector Development, Department of Economic Development, Jobs, Transport and Resources, Victoria; and Air Commodore Margot-Lee Forster (Retired), CSM, Chief Executive Officer, Defence Teaming Centre Inc., Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, pp. 16, 23, 24, 31, 34, 38.

[27]      Air Commodore Margot-Lee Forster (Retired), CSM, Chief Executive Officer, Defence Teaming Centre Inc., Committee Hansard, 4 April 2017, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 39.

[28]      Mr Glenn Thompson, Assistant National Secretary, Australian Manufacturing Workers Union, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 7.

[29]      See Report to Congress on the Annual Long-Range Plan for Construction of Naval Vessels for Fiscal Year 2016, tabled by Andy Keough, Defence SA at public hearing in Adelaide on 4 April 2017.

[30]      Mr Andy Keough, Chief Executive, Defence SA, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 23.

[31]      The Hon Malcolm Turnbull MP, Prime Minister, Senator the Hon Marise Payne, Minister for Defence, and The Hon Christopher Pyne MP, Minister for Defence Industry, Doorstop Transcript, 16 May 2017, Adelaide.

[32]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, p. 12.

[33]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, pp. 103–104; Australian National Audit Office, Australian National Audit Office, Audit Report No. 39 2017-18, Naval Construction Programs—Mobilisation, pp. 8 and 20–21.

[34]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, pp. 103–104. Australian National Audit Office, Naval Construction Programs—Mobilisation, pp. 8 and 20–21.

[35]      Australian National Audit Office, Australian National Audit Office, Audit Report No. 39 2017-18, Naval Construction Programs—Mobilisation, p. 8.

[36]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, p. 15.

[37]      Announcement was made by the Minister for Defence Industry, the Hon. Christopher Pyne Pyne MP, on 7 December 2016, https://www.pyneonline.com.au/media-centre/media-releases/upgrade-of-the-osborne-south-naval-shipyard (accessed 7 December 2016). See also transcript from interview on 891 ABC Adelaide Breakfast with Spence Denny on 'Infrastructure development at ASC's Osborne shipyard', 4 December 2016, https://www.pyneonline.com.au/media-centre/transcripts/891-abc-breakfast (31 May 2018).

[38]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, p. 15.

[39]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, pp. 17 and 60.

[40]      Australian National Audit Office, Australian National Audit Office, Audit Report No. 39 2017-18, Naval Construction Programs—Mobilisation, p. 8.

[41]      Australian National Audit Office, Australian National Audit Office, Audit Report No. 39 2017-18, Naval Construction Programs—Mobilisation, pp. 9–10.

[42]      Australian National Audit Office, Australian National Audit Office, Audit Report No. 39 2017-18, Naval Construction Programs—Mobilisation, p. 10.

[43]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, p. 15.

[44]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, pp. 15–16.

[45]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, pp. 15–16.

[46]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, p. 16.

[47]      David Wroe, '$50 submarine project struggling to find qualified Australians: French shipbuilder', Sydney Morning Herald, 6 October 2017, https://www.smh.com.au/politics/federal/50b-submarine-project-struggling-to-find-qualified-australians-french-shipbuilder-20171006-gyvxut.html (accessed 30 April 2018).

[48]      Australian National Audit Office, Australian National Audit Office, Audit Report No. 39 2017-18, Naval Construction Programs—Mobilisation, p. 8.

[49]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, p. 16.

[50]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, p. 15.

[51]      See also Department of Defence, Naval Shipbuilding Plan, 16 May 2017, pp. 16–17.

[52]      Australian National Audit Office, Australian National Audit Office, Audit Report No. 39

2017-18, Naval Construction Programs—Mobilisation, p. 8.

[53]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, p. 17.

[54]      Australian National Audit Office, Australian National Audit Office, Audit Report No. 39 2017-18, Naval Construction Programs—Mobilisation, p. 9.

[55]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, pp. 17–18.

[56]      For instance, at the Perth public hearing, Mr David Singleton, Chief Executive Officer, Austal Limited, argued in support of a shift in focus towards building a successful Australian exports industry. See Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, pp. 9, 11.

[57]      David Singleton, 'Come hull or high water', Sunday Mail Adelaide, 21 May 2017.

[58]      Mr John O'Callaghan, Executive Director, Australian Industry Group Defence Council, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 21.

[59]      Mr Brent Clark, then interim Chief Executive Officer, Naval Group Australia, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, pp. 1–2.

[60]      The Hon. Greg Combet, Victorian Defence Industry Advocate, Department of Economic Development, Jobs, Transport and Resources, Victoria, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 33.

[61]      At the Senate Foreign Affairs, Defence and Trade Legislation Committee estimates hearing on 29 May 2018, the Department of Defence advised the appointment was made on the Minister for Defence Industry’s advice to Cabinet. Mr Scott Dewar, Acting Deputy Secretary Strategic Policy and Intelligence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Budget estimates), 29 May 2018, p. 10. See also Amelia McMahon, 'A former defence minister has been appointed as Australia's first defence export advocate', Defence Connect, 9 April 2018, https://www.defenceconnect.com.au/key-enablers/2129-inaugural-defence-export-advocate-revealed (accessed 26 April 2018); and Amy Remeikis, 'Abbott's defence minister the new face of export industry despite 'canoe' blunder', The Guardian, https://www.theguardian.com/australia-news/2018/apr/09/abbotts-defence-minister-the-new-face-of-export-industry-despite-canoe-blunder (accessed 9 April 2018).

[62]      Senator Payne, Minister for Defence, Mr Scott Dewar, Acting Deputy Secretary Strategic Policy and Intelligence, and Dr Sheridan Kearnan, First Assistant Secretary Defence Industry Policy, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, pp. 10–11 and 52.

[63]      Defence claimed that Mr Johnston's remuneration was commercial in confidence. The Defence Minister took the question on notice. Senator Payne, Minister for Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, pp. 52–53.

[64]      As chair of the Defence Export forum, which is part of the Defence State and Territory Government Industry Advisory and Engagement Forum, the Defence Export Advocate (Mr Johnston) is a member of the CDIC Advisory Board. Dr Sheridan Kearnan, First Assistant Secretary Defence Industry Policy, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 11.

[65]      The Defence Export Advocate position is a part-time position. Mr Scott Dewar, Acting Deputy Secretary Strategic Policy and Intelligence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 51.

[66]      The Hon. Christopher Pyne MP, Minister for Defence Industry, 'Launch of job-creating Defence Export Strategy', Media release, 29 January 2018, https://www.minister.defence.gov.au/minister/christopher-pyne/media-releases/launch-job-creating-defence-export-strategy (accessed 29 May 2018).

[67]      AiGroup, 'Defence Export Strategy sets out ambitious vision for the industry', 29 January 2018. Available at https://www.aigroup.com.au/policy-and-research/mediacentre/releases/Defence-Export-Strategy-29Jan/ (accessed 31 January 2018).

[68]      The Hon. Christopher Pyne MP, Minister for Defence Industry, 'Launch of job-creating Defence Export Strategy', Media release, 29 January 2018, https://www.minister.defence.gov.au/minister/christopher-pyne/media-releases/launch-job-creating-defence-export-strategy (accessed 29 May 2018).

[69]      See, for example, Rob Burke, 'Exports and expectations: Aspects of the new Defence export strategy', Australian Strategic Policy Institute, The Strategist, 19 February 2018, https://www.aspistrategist.org.au/exports-expectations-aspects-new-defence-export-strategy/ (accessed 29 May 2018).

[70]      See, for example, Rob Burke, 'Exports and expectations: Aspects of the new Defence export strategy', Australian Strategic Policy Institute, The Strategist, 19 February 2018, https://www.aspistrategist.org.au/exports-expectations-aspects-new-defence-export-strategy/ (accessed 29 May 2018).

[71]      See, for example, Rob Burke, 'Exports and expectations: Aspects of the new Defence export strategy', Australian Strategic Policy Institute, The Strategist, 19 February 2018, https://www.aspistrategist.org.au/exports-expectations-aspects-new-defence-export-strategy/ (accessed 29 May 2018).

[72]      The Hon. Christopher Pyne MP, Minister for Defence Industry, Defence Industrial Capability Plan', Media release, 23 April 2018, https://www.minister.defence.gov.au/minister/christopher-pyne/media-releases/defence-industrial-capability-plan (accessed 24 April 2018). See also Department of Defence, Defence Industrial Capability Plan, April 2018, www.defence.gov.au/SPI/Industry/CapabilityPlan/ (accessed 24 April 2018).

[73]      The Hon Christopher Pyne MP, Minister for Defence Industry, 'Defence Industrial Capability Plan', Media release, https://www.minister.defence.gov.au/minister/christopher-pyne/media-releases/defence-industrial-capability-plan (accessed 24 April 2018).

[74]      Department of Defence, Defence Industrial Capability Plan, April 2018, p. 16.

[75]      The Hon Christopher Pyne MP, Minister for Defence Industry, 'Defence Industrial Capability Plan', Media release, 23 April 2018, https://www.minister.defence.gov.au/minister/christopher-pyne/media-releases/defence-industrial-capability-plan (accessed 24 April 2018).

[76]      The Hon Christopher Pyne MP, Minister for Defence Industry, 'Defence Industrial Capability Plan', Media release, 23 April 2018, https://www.minister.defence.gov.au/minister/christopher-pyne/media-releases/defence-industrial-capability-plan (accessed 24 April 2018). Department of Defence, 2018 Defence Industrial Capability Plan , April 2018, p. 20

[77]      Department of Defence, 2018 Defence Industrial Capability Plan, April 2018, p. 19.

[78]      Department of Defence, 2018 Defence Industrial Capability Plan, April 2018, p. 14.

[79]      The Hon Christopher Pyne MP, Minister for Defence Industry, 'Defence Industrial Capability Plan', Media release, 23 April 2018, https://www.minister.defence.gov.au/minister/christopher-pyne/media-releases/defence-industrial-capability-plan (accessed 24 April 2018).

[80]      Department of Defence, Defence Industrial Capability Plan, www.defence.gov.au/SPI/Industry/CapabilityPlan/ (accessed 24 April 2018).

[81]      Michael Shoebridge, 'The Defence Industrial Capability Plan–two steps forward', Australian Strategic Policy Institute, The Strategist, 23 April 2018, https://www.aspistrategist.org.au/defence-industrial-capability-plan-two-steps-forward/ (accessed 27 May 2018).

[82]      Department of Defence, Naval Shipbuilding Plan, May 2017, p. 11.

[83]      IBISWorld, Industry Report C2391: Shipbuilding and Repair Services in Australia, February 2018, pp. 4 and 7.

[84]      IBISWorld, Industry Report C2391: Shipbuilding and Repair Services in Australia, February 2018, pp. 3-4.

[85]      Ibisworld noted that exports have been volatile over the past five years and this was underscored by massive growth over the two years through 2014-2015 followed by a large drop. Strong competition from foreign manufacturers also had an effect on exports. IBISWorld, Industry Report C2391: Shipbuilding and Repair Services in Australia, February 2018, p. 15.

[86]      IBISWorld, Industry Report C2391: Shipbuilding and Repair Services in Australia, February 2018, p. 15.

[87]      RAND Corporation, Australia's Naval Shipbuilding Enterprise: Preparing for the 21st Century, 2015, pp. xxxviii and xxxix. See also Australian National Audit Office, Naval Construction Programs—Mobilisation, p. 47.

[88]      Rear Admiral Gregory Sammut, Head Future Submarine Program, and Mr Stephen Johnson, General Manager Submarines, Senate Foreign Affairs, Defence and Trade Legislation Committee, 29 May 2018, Proof Committee Hansard (Budget estimates), pp. 33 and 58.

[89]      See Australian National Audit Office, Audit Report No. 48 2016-17, Future Submarine – Competitive Evaluation Process, April 2017, pp. 24 and 25.

[90]      Senate Economics References Committee, Part 3: Future of Australia's Naval Shipbuilding Industry – Long-Term Planning, July 2015, p. 95.

[91]      Senate Economics References Committee, Part 3: Future of Australia's Naval Shipbuilding Industry – Long-Term Planning, July 2015, p. 96.

[92]      Ms Deidre Willmott, Chief Executive Officer, Chamber of Commerce and Industry of Western Australia, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 34.

[93]      Mr David Singleton, Chief Executive Officer, Austal Limited, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 11.

[94]      Mr Glenn Thompson, Assistant National Secretary, Australian Manufacturing Workers' Union, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 4.

[95]      Mr Mark Lamarre, then Chief Executive Officer, Australian Submarine Corporation Shipbuilding, Senate Finance and Public Administration Legislation Committee, Committee Hansard (Budget Estimates), 24 May 2017, p. 24. On 16 June 2017, the Minister for Defence Industry attended a ceremony at the Osborne Naval Shipyard to mark the Government's provisional acceptance of the first AWD Hobart vessel. See the Hon Christopher Pyne MP, Minister for  Defence, 'Defence accepts delivery of first Air Warfare Destroyer Hobart', Media release, 16 June 2017, https://www.minister.defence.gov.au/minister/christopher-pyne/media-releases/defence-accepts-delivery-first-air-warfare-destroyer-hobart (accessed 20 June 2018).

[96]      Mr Mark Lamarre, then Chief Executive Officer, Senate Finance and Public Administration Legislation Committee, Committee Hansard (Budget Estimates), 24 May 2017, pp. 24–25.

[97]      Mr Mark Lamarre, then Chief Executive Officer, Senate Finance and Public Administration Legislation Committee, Committee Hansard (Budget Estimates), 24 May 2017, p. 26.

[98]      Australian National Audit Office, Replacement Antarctic Vessel, Audit Report No. 45 2016–2017, March 2017, footnote 13.

[99]      Australian National Audit Office, Australian National Audit Office, Audit Report No. 39 2017-18, Naval Construction Programs—Mobilisation, p. 51.

[100]    Australian National Audit Office, Australian National Audit Office, Audit Report No. 39 2017-18, Naval Construction Programs—Mobilisation, p. 51.

[101]    Australian National Audit Office, Australian National Audit Office, Audit Report No. 39 2017-18, Naval Construction Programs—Mobilisation, p. 51. The ANAO cited a number of previous audit reports to support this statement: For example see ANAO Audit Reports: No. 34 1997–98 New Submarine Project; No. 22 2013–14 Air Warfare Destroyer Program; No. 9 2015–16 Test and Evaluation of Major Defence Equipment Acquisitions (specifically Landing Helicopter Dock). Also see RAND Corporation, Learning from Experience Volume IV Lessons from Australia’s Collins Class Submarine, 2011. 

[102]    The RAND Corporation's 2015 report, on which the Naval Shipbuilding Plan is based, was not asked to include submarines in its analysis. In contrast, both the Gillard and Howard governments' 2013 and 2002 shipbuilding plans included analysis of both submarines and surface ships.

[103]    Australian National Audit Office, Australian National Audit Office, Audit Report No. 39 2017-18, Naval Construction Programs—Mobilisation, p. 9.

[104]    Australian National Audit Office, Australian National Audit Office, Audit Report No. 39 2017-18, Naval Construction Programs—Mobilisation, p. 38.

[105]    Mr Kim Gillis, Deputy Secretary, Capability Acquisition and Sustainment Group (CASG), Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget estimates), 29 May 2018, p. 7.

[106]    Mr Kim Gillis, Deputy Secretary, CASG, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget estimates), 29 May 2018, p. 7.

[107]    Mr Kim Gillis, Deputy Secretary, CASG, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget estimates), 29 May 2018, p. 8.

[108]    Mr Kim Gillis, Deputy Secretary, CASG, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget estimates), 29 May 2018, pp. 7-8.

[109]    Mr Kim Gillis, Deputy Secretary, CASG, Department of Defence, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 71.

[110]    These prototyping activities would allow Defence to 'test the shipyard's tools and procedures, and train and qualify the shipyard workers'. The costs for these activities would be met by efficiencies gained during the frigate program's build. See Australian National Audit Office, Australian National Audit Office, Audit Report No. 39 2017-18, Naval Construction Programs—Mobilisation, pp. 43–44. 

[111]    Mr Kim Gillis, Deputy Secretary, CASG, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget estimates), 29 May 2018, p. 8.

[112]    Dr Tom Ioannou, Group Executive Director, Performance Audit Services Group, Australian National Audit Office, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 60.

[113]    Dr Tom Ioannou, Group Executive Director, Performance Audit Services Group, Australian National Audit Office, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 60.

[114]    Dr Tom Ioannou, Group Executive Director, Performance Audit Services Group, Australian National Audit Office, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 61.

[115]    Section 231 of Title 10, United States Code states that the Secretary of Defence shall include with the defence budget materials for a fiscal year, a plan for the construction of combatant and support vessels, and a certification by the Secretary that both the budget for that fiscal year and future defence program are sufficient. This is provided around the time the President submits a budget request to Congress for the next fiscal year, which must be submitted by the first Monday in February.

[116]    Evidence presented by Mr Glenn Thompson from the AMWU highlighted use of minor and support vessels by the Commonwealth. Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, pp. 32-35.

[117]    Serco Australia is an Australian proprietary limited company and is owned by Serco Group plc (Serco Group), a company incorporated in the UK and listed on the London Stock Exchange. Serco Defence was created in 2012 after the Serco Group acquired DMS Maritime Pty Ltd (DMS). See additional information provided to the Senate Economics References Committee by Serco Australia Pty Ltd, received 15 May 2018, p. 1; Australian Manufacturing Workers' Union, Supplementary submission 42.1, p  1.

[118]    Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 32.

[119]    Pacific Patrol Boats: from 2010 to 2017, Serco Defence was contracted by the Commonwealth as the maintenance provider; Cape Class Patrol Boats: from 2011 to 2017 Serco Defence was contracted by Austal to provide in service support of the Australian Border Force's eight vessels; Armidale Class Patrol Boats: from 2007 to 2017, Serco was contracted to provide in service support of the RAN's 14 patrol boats. Refer to Serco Australia Pty Ltd's correspondence provided to the Senate Economics References Committee, received 15 June 2018, pp. 2-3.

[120]    The numbers provided at the hearing has been subsequently disputed by Serco Australia. For instance, Serco Defence has disputed that it manages over 100 vessels for government and have around 847 contracts with government valued in excess of $3 billion. Serco Defence advised it manages 64 vessels, two of which are capital assets and the remainder comprising of harbour tugs, general purpose workboats and other various support vessels.  Refer to Serco Australia Pty Ltd's correspondence provided to the Senate Economics References Committee, received 15 June 2018, pp. 1-2. Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, pp. 33-34.

[121]    This vessel is being built at Damen Shipyards in Romania, with Romanian Steel by ArcelorMittal Galati. See, Anca Bernovici, 'ArcelorMittal Galati provides steel for Antarctic state-of-the-art research vessel', Romania Journal, 18 January 2018. Available online https://www.romaniajournal.ro/arcelormittal-galati-provides-steel-for-antarctic-state-of-the-art-research-vessel/ (accessed 22 June 2018).

[122]    Dr Andreas Schiller, Acting Director, Oceans and Atmosphere, Commonwealth Scientific and Industrial Research Organisation, Senate Environment and Communications References Committee, Committee Hansard (Inquiry into current and future impacts of climate change on marine fisheries and biodiversity), 17 March 2017, pp. 4–5.

[123]    Vice Admiral Tim Barrett AO CSC, RAN, Chief of Navy, Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Budget estimates), 30 May 2017, p. 81.

[124]    Vice Admiral Tim Barrett AO CSC, RAN, Chief of Navy, Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Budget estimates), 30 May 2017, p. 81.

Chapter 4 - Workforce planning strategy

[1]        Department of Defence, Naval Shipbuilding Plan, 16 May 2016, p. 63.

[2]        Department of Defence, Naval Shipbuilding Plan, 16 May 2016, p. 63.

[3]        Department of Defence, Naval Shipbuilding Plan, 16 May 2016, p. 26.

[4]        Department of Defence, Naval Shipbuilding Plan, 16 May 2016, p. 33 & 37.

[5]        Department of Defence, Naval Shipbuilding Plan, 16 May 2016, p. 68.

[6]        Department of Defence, Naval Shipbuilding Plan, 16 May 2016, p. 63.

[7]        Department of Defence, Naval Shipbuilding Plan, 16 May 2016, p. 64.

[8]        Mr Marc Ablong, then First Assistant Secretary, Naval Shipbuilding Taskforce, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Budget Estimates), 30 May 2017, p. 42.

[9]        Mr Marc Ablong, then First Assistant Secretary, Naval Shipbuilding Taskforce, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Budget Estimates), 30 May 2017, p. 42.

[10]      Australian National Audit Office, Audit Report No. 39 2017–18, Naval Construction Programs—Mobilisation, p. 10.

[11]      Mr Stephen Johnson, General Manager Submarines, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 44.

[12]      Mr Peter Chesworth, First Assistant Secretary, Naval Shipbuilding Taskforce, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 38. Mr Peter Chesworth took over from Mr Marc Ablong following the Senate Foreign Affairs, Defence and Trade Legislation Committee's Additional Estimates hearings in February 2018.

[13]      Mr Stephen Johnson, General Manager Submarines, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 40.

[14]      Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Budget Estimates), 30 May 2017, pp. 36–37.

[15]      Mr Stephen Johnson, General Manager Submarines, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 44.

[16]      Ms Justine Grieg, Acting Deputy Secretary, Defence People, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 45.

[17]      Ms Justine Grieg, Acting Deputy Secretary, Defence People, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 45.

[18]      Ms Justine Grieg, Acting Deputy Secretary, Defence People, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 45.

[19]      Australian National Audit Office, Audit Report No. 39 2017-18, Naval Construction Programs—Mobilisation, p. 10. See also, Mr Stephen Johnson, General Manager Submarines, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 41.

[20]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, p. 70.

[21]      Mr Kim Gillis, Deputy Secretary, Capability Acquisition and Sustainment Group (CASG), Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Budget Estimates), 30 May 2017, p. 28.

[22]      The Hon Malcolm Turnbull MP, Prime Minister, Senator the Hon Marise Payne, Minister for Defence, and The Hon Christopher Pyne MP, Minister for Defence Industry, Doorstop transcript, 16 May 2017, Adelaide.

[23]      Mr Brent Clark, then interim Chief Executive Officer, Naval Group Australia, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 5.

[24]      Mr Brent Clark, Senior Advisor to the Chairman, Naval Group Australia, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 9.

[25]      Mr Brent Clark, then interim Chief Executive Officer, Naval Group Australia, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 6.

[26]      Mr Brent Clark, Senior Advisor to the Chairman, Naval Group Australia, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 9.

[27]      Senate Foreign Affairs, Defence and Trade Legislation Committee (Additional Estimates 2016-17), Answer to question on notice, Question reference no. 22.

[28]      Naval Group Australia, Answers to questions on notice, 20 June 2017 hearing (received 13 July 2017).

[29]      Andrew Greene, 'Million-dollar naval architects helping build Australia's future submarines', Canberra Times, 14 June 2017, http://www.abc.net.au/news/2017-06-14/million-dollar-architects-helping-build-australias-submarines/8615440 (accessed 20 June 2018).

[30]      Noel Towell, 'A few good men: Defence pays $5.5 million for 8 contractors', Canberra Times, 15 June 2017, http://www.canberratimes.com.au/national/public-service/a-few-good-men-defence-pays-55-million-for-8-contractors-20170614-gwqqbr.html (accessed 20 June 2018).

[31]      Rear Admiral Gregory Sammut, Head Future Submarine Program, Department of Defence, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 27.

[32]      Rear Admiral Gregory Sammut, Head Future Submarine Program, Department of Defence, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 27.

[33]      Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Budget Estimates), 29 May 2018, pp. 68–71. See also Doug Dingwall and Sally Whyte, 'Submarine build hit with conflict of interest, hidden labour hire claims', Sydney Morning Herald, 3 May 2018, https://www.smh.com.au/politics/federal/submarines-build-hit-with-conflict-of-interest-hidden-labour-hire-claims-20180424-p4zbeu.html (accessed 3 May 2018).

[34]      Rear Admiral Gregory Sammut, Head Future Submarine Program, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Budget Estimates), 29 May 2018, p. 70.

[35]      Ms Rebecca Skinner, Acting Associate Secretary, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Budget Estimates), 29 May 2018, p. 71.

[36]      Mr Marc Ablong, then First Assistant Secretary, Naval Shipbuilding Taskforce, Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Budget Estimates), 30 May 2017, pp. 42–43.

[37]      Mr Marc Ablong, then First Assistant Secretary, Naval Shipbuilding Taskforce, Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Budget Estimates), 30 May 2017, pp. 42–43.

[38]      Ms Justine Grieg, Acting Deputy Secretary, Defence People, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, pp. 44–45.

[39]      Austrade, Commercial Shipbuilding and Services – Industry Capability Report, December 2016, p. 22.

[40]      The Defence Teaming Centre is a member based organisation that represents some 250 member companies across the country, including Prime Defence Contracts, SMEs and Professional Service providers who are involved in supplying Defence capability and/or Defence support services. Document tabled by Defence Teaming Centre at the Economics References Committee's hearing into naval shipbuilding on 4 April 2017.

[41]      Air Commodore Margot-Lee Forster (Retired), CSM, Chief Executive Officer, Defence Teaming Centre Inc., Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 39.

[42]      Air Commodore Margot-Lee Forster (Retired), CSM, Chief Executive Officer, Defence Teaming Centre Inc., Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 39.

[43]      Air Commodore Margot-Lee Forster (Retired), CSM, Chief Executive Officer, Defence Teaming Centre Inc., Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 39.

[44]      David Wroe, '$50 submarine project struggling to find qualified Australians: French shipbuilder', Sydney Morning Herald, 6 October 2017, https://www.smh.com.au/politics/federal/50b-submarine-project-struggling-to-find-qualified-australians-french-shipbuilder-20171006-gyvxut.html (accessed 30 April 2018).

[45]      Mr Stephen Johnson, General Manager Submarines, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 43.

[46]      Mr Stephen Johnson, General Manager Submarines, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 44.

[47]      Mr Stephen Johnson, General Manager Submarines, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 44. For example, Defence has supported 800 scholarships in an effort to maintain the skilled workforce leading up to the build of the first two patrol vessels in South Australia.

[48]      Mr Ian Tanner, Private Capacity, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 16.

[49]      Mr Marc Ablong, then First Assistant Secretary, Naval Shipbuilding Taskforce, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Budget Estimates), 30 May 2017, p. 40.

[50]      Mr Jim Cuthill took over from Mr Mark Lamarre in December 2017. Mr Mark Lamarre, then Chief Executive Officer, ASC Shipbuilding, Senate Finance and Public Administration Legislation Committee, Committee Hansard (Additional Estimates), 28 February 2017, p. 12 & 13.

[51]      Mr Mark Lamarre, then Chief Executive Officer, ASC Shipbuilding, Senate Finance and Public Administration Legislation Committee, Committee Hansard (Additional Estimates), 28 February 2017, p. 13.

[52]      Mr Ian Tenner, Private capacity, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, pp. 18–19.

[53]      Ms Rebecca Skinner, Deputy Secretary, Strategic Policy and Intelligence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Additional Estimates), 30 March 2017, pp. 37–38.

[54]      Mr Dan Fankhauser, Assistant Secretary, Naval Shipbuilding Taskforce, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 40.

[55]      Mr Dan Fankhauser, Assistant Secretary, Naval Shipbuilding Taskforce, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 40.

[56]      Mr Marc Ablong, then First Assistant Secretary, Naval Shipbuilding Taskforce, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 30 May 2017, p. 39.

[57]      Mr Mark Lamarre, then Chief Executive Officer, Australian Submarine Corporation Shipbuilding, Senate Finance and Public Administration Legislation Committee, Committee Hansard (Budget Estimates), 24 May 2017, p. 15.

[58]      Mr Brent Clark, then interim Chief Executive Officer, Naval Group Australia, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 1.

[59]      Mr Greg Moriarty, Secretary, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 38.

[60]      The Hon Christopher Pyne MP, Minister for Defence Industry, 'Naval Shipbuilding College request for proposal', Media release, 26 May 2017, https://www.minister.defence.gov.au/minister/christopher-pyne/media-releases/naval-shipbuilding-college-request-proposal (accessed 4 June 2018).

[61]      Mr Peter Chesworth, First Assistant Secretary, Naval Shipbuilding Taskforce, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 39. See also the Hon Christopher Pyne MP, Minister for Defence Industry, 'Joint media release – Minister for Defence Industry, Minister for Education and Training, Assistant Minister for Vocational Education and Skills – Naval shipbuilding college to meet naval shipbuilding needs', Media release, 3 April 2018, https://www.minister.defence.gov.au/minister/christopher-pyne/media-releases/joint-media-release-minister-defence-industry-minister (accessed 9 April 2018).

[62]      Mr Dan Fankhauser, Assistant Secretary, Naval Shipbuilding Taskforce, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 40.

[63]      Mr Dan Fankhauser, Assistant Secretary, Naval Shipbuilding Taskforce, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 40.

[64]      Mr Marc Ablong, then First Assistant Secretary, Naval Shipbuilding Taskforce, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Budget Estimates), 30 May 2017, p. 39.

[65]      Mr Greg Moriarty, Secretary, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 39.

[66]      University of Tasmania, Australian Maritime College, 'Governance', AMC.edu.au, http://www.amc.edu.au/about-amc/governance (accessed 20 June 2018).

[67]      University of Tasmania, Australian Maritime College, 'About the Australian Maritime College', AMC.edu.au, http://www.amc.edu.au/about-amc (accessed 20 June 2018).

[68]      University of Tasmania, Australian Maritime College, 'Study', AMC.edu.au, http://www.amc.edu.au/study (accessed 20 June 2018).

[69]      Carla Howarth, 'Australian Maritime College boss shocked by plan for Adelaide facility', ABC News, 28 March 2017, http://www.abc.net.au/news/2017-03-28/australian-maritime-college-boss-shocked-plan-adelaide-facility/8393642, (accessed 20 June 2018).

[70]      The Hon Christopher Pyne MP, Minister for Defence Industry, 'Naval Shipbuilding College Request for Proposal', Media release, 26 May 2017.

[71]      Ms Rebecca Skinner, Deputy Secretary, Strategic Policy and Intelligence, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Budget Estimates), 30 May 2017, p. 38.

[72]      University of Tasmania, Australian Maritime College, 'Research and education vital for the naval shipbuilding plan', http://www.amc.edu.au/about-amc/news-and-events/news-items/research-and-education-vital-for-the-naval-shipbuilding-plan/_nocache (accessed 20 June 2018).

[73]      University of Tasmania, Australian Maritime College, 'Research training centre for naval design and manufacturing', http://www.amc.edu.au/research/rtcndm (accessed 20 June 2018).

[74]      University of Tasmania, Australian Maritime College, 'Research and education vital for the naval shipbuilding plan', http://www.amc.edu.au/about-amc/news-and-events/news-items/research-and-education-vital-for-the-naval-shipbuilding-plan/_nocache (accessed 20 June 2018).

[75]      Australian Industry and Skills Committee, Naval Shipbuilding Industry Reference Committee, https://www.aisc.net.au/irc/shipbuilding-industry-reference-committee (accessed 22 June 2018).

[76]      Rear Admiral Gregory Sammut, Head, Future Submarine Program, Department of Defence, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 19.

[77]      Mr Mark Lamarre, then Chief Executive Officer, Australian Submarine Corporation Shipbuilding, Senate Finance and Public Administration Legislation Committee, Committee Hansard (Budget Estimates), 24 May 2017, p. 18.

[78]      Mr Mark Lamarre, then Chief Executive Officer, ASC Shipbuilding, Senate Finance and Public Administration Legislation Committee, Committee Hansard (Additional Estimates), 28 February 2017, p. 6.

[79]      Mr Mark Lamarre, then Chief Executive Officer, ASC Shipbuilding, Finance and Public Administration Legislation Committee, Committee Hansard (Additional Estimates), 28 February 2017, pp. 6 & 7.

[80]      Mr Jim Cuthill, Acting Chief Executive Officer, ASC Shipbuilding, Senate Finance and Public Administration Legislation Committee, Committee Hansard (Budget Estimates), 23 May 2018, p. 4. See also Mr Stuart Whiley, CEO and Managing Director, ASC, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry, 7 June 2018, p. 36. For earlier estimates of staff, see Senate Finance and Public Administration Legislation Committee, Committee Hansard (Budget Estimates), 24 May 2017, p. 11.

[81]      Mr Jim Cuthill, Acting Chief Executive Officer, ASC Shipbuilding, ASC Pty Ltd, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 37.

[82]      At the Finance and Public Administration Legislation Committee's budget estimates hearing the ASC identified 60 shipbuilding workers (five salaried staff and 55 non-salaried) for secondment to the submarines business. Mr Jim Cuthill, Acting Chief Executive Officer, ASC Shipbuilding,  Senate Finance and Public Administration Legislation Committee, Committee Hansard (Budget Estimates), 23 May 2018, p. 4.

[83]      Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, pp. 37–39.

[84]      Senator Cormann, Minister for Finance, Special Minister of State, Senate Finance and Public Administration Legislation Committee, Proof Committee Hansard (Budget Estimates), 23 May 2018, p. 6.

[85]      Mr Stuart Whiley, Chief Executive Officer and Managing Director, ASC Pty Ltd, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 20187, pp. 36–37. See also Senate Finance and Public Administration Legislation Committee, Proof Committee Hansard (Budget Estimates), 23 May 2018, p. 7.

[86]      Mr Stuart Whiley, Chief Executive Officer and Managing Director, ASC Pty Ltd, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 20187, p. 39.

[87]      Mr Stuart Whiley, Chief Executive Officer and Managing Director, ASC Pty Ltd, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 20187, pp. 36–37.

[88]      Mr Stuart Whiley, Chief Executive Officer and Managing Director, ASC Pty Ltd, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, pp. 38–39.

[89]      Mr Stuart Whiley, Chief Executive Officer and Managing Director, ASC Pty Ltd, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, pp. 42–43.

[90]      Mr Stuart Whiley, Chief Executive Officer and Managing Director, ASC Pty Ltd, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 43.

[91]      Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, pp. 42 and 70.

[92]      Mr Andrew Jaggers, Acting Deputy Secretary, Commercial and Government Services, Department of Finance, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 70.

[93]      Mr Brent Clark, Senior Advisor to the Chairman, Naval Group Australia, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 16.

[94]      Mr Whiley noted this framework agreement was not a partnership arrangement. Mr Stuart Whiley, Chief Executive Officer and Managing Director, ASC Pty Ltd, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 40.

[95]      Mr Stuart Whiley, Chief Executive Officer and Managing Director, ASC Pty Ltd, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, pp. 45–46.

[96]      Mr Stuart Whiley, Chief Executive Officer and Managing Director, ASC Pty Ltd, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 45.

[97]      Mr Stuart Whiley, Chief Executive Officer and Managing Director, ASC Pty Ltd, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 45.

[98]      Mr Brent Clark, then interim Chief Executive Officer, Naval Group Australia, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 4.

[99]      Mr Brent Clark, then interim Chief Executive Officer, Naval Group Australia, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 4.

[100]    Rear Admiral Gregory Sammut, Head Future Submarine Program, Department of Defence, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 17.

[101]    Rear Admiral Gregory Sammut, Head Future Submarine Program, Department of Defence, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 16.

[102]    Mr Marc Ablong, then First Assistant Secretary, Naval Shipbuilding Taskforce, Department of Defence, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 20.

[103]    Mr Marc Ablong, then First Assistant Secretary, Naval Shipbuilding Taskforce, Department of Defence, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 21.

[104]    Rear Admiral Gregory Sammut, Head Future Submarine Program, Department of Defence, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 27.

[105]    Mr Kim Gillis, Deputy Secretary, CASG, Department of Defence; and Rear Admiral Gregory Sammut, Head Future Submarine Program, Department of Defence, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 19.

[106]    Mr Kim Gillis, Deputy Secretary, CASG, Department of Defence, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 28

[107]    ASC Pty Ltd, Answers to questions on notice, 20 June 2017 hearing (received 4 August 2017).

[108]    Mr Kim Gillis, Deputy Secretary, CASG, Department of Defence, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, pp. 36 and 38.

[109]    Mr Jim Cuthill, Acting Chief Executive Officer, ASC Shipbuilding, Senate Finance and Public Administration Legislation Committee, Proof Committee Hansard (Budget Estimates), 23 May 2018, p. 20.

[110]    Mr Jim Cuthill, Acting Chief Executive Officer, ASC Shipbuilding, ASC Pty Ltd, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 37.

[111]    Joe Kelly, 'Shipbuilders combine for a homegrown defence industry', The Australian, 8 June 2017.

[112]    Mr Jim Cuthill, Acting Chief Executive Officer, ASC Shipbuilding, Senate Finance and Public Administration Legislation Committee, Proof Committee Hansard (Budget Estimates), 23 May 2018, pp. 20–21.

[113]    Rear Admiral Gregory Sammut, Head Future Submarine Program, Department of Defence, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, pp. 18–19.

[114]    Mr Kim Gillis, Deputy Secretary, CASG, Department of Defence, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 19.

[115]    Mr Kim Gillis, Deputy Secretary, CASG, Department of Defence, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 21.

[116]    Mr Brent Clark, then interim Chief Executive Officer, Naval Group Australia, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 4

[117]    Mr Brent Clark, then interim Chief Executive Officer, Naval Group Australia, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 5. See also Senate Economics References Legislation Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 17.

[118]    Mr Brent Clark, then interim Chief Executive Officer, Naval Group Australia, Senate Economics Reference Legislation Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 7. See also Mr Brent Clark, then interim Chief Executive Officer, Naval Group Australia, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018,
pp. 16–17.

[119]    Mr Brent Clark, then interim Chief Executive Officer, Naval Group Australia, Senate Economics Reference Legislation Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 8.

[120]    ASC Pty Ltd, Answers to questions on notice, 20 June 2017 hearing (received 4 August 2017).

[121]    See Senate Finance and Public Administration Legislation Committee, Proof Committee Hansard (Budget Estimates), 23 May 2018, p. 18; Mr Brent Clark, Senior Advisor to the Chairman, Naval Group Australia, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 15; Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 46.

[122]    Mr Brent Clark, Senior Advisor to the Chairman, Naval Group Australia, Senate Economics Reference Legislation Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 15.

Chapter 5 - An Australian naval shipbuilding sovereign capability

[1]        Department of Defence, Naval shipbuilding plan, 16 May 2017, p. 21.

[2]        Department of Defence, Naval shipbuilding plan, 16 May 2017, p. 18.

[3]        Department of Defence, Naval shipbuilding plan, 16 May 2017, p. 85.

[4]        For instance, sustainment of the future submarine fleet must be undertaken by a sovereign Australian company, due to the classified nature of the technologies and systems. See Department of Defence, naval shipbuilding plan, 16 May 2017, p. 85.

[5]        AUSTAL, Submission 58, p.2.

[6]        Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 26.

[7]        Senate Economics References Committee, Committee Hansard, (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 14.

[8]        Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 40.

[9]        Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 40.

[10]      Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 62.

[11]      Department of Defence, 2016 Defence Industry Policy Statement, 2016, p. 23.

[12]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, p. 85.

[13]      The Hon Malcolm Turnbull MP, Prime Minister, Senator the Hon Marise Payne, Minister for Defence and the Hon Christopher Pyne MP, Minister for Defence Industry, Doorstop transcript, 16 May 2017, Adelaide.

[14]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 33.

[15]      Senate Finance and Public Administration Legislation Committee, Committee Hansard (Budget estimates), 24 May 2017, p. 12.

[16]      Senate Finance and Public Administration Legislation Committee, Committee Hansard (Budget estimates), 24 May 2017, p. 15.

[17]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 33.

[18]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 24.

[19]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 41.

[20]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 25.

[21]      The Hon Malcolm Turnbull MP, Prime Minister, Doorstop Transcript, 16 May 2017, Adelaide.

[22]      The Hon Malcolm Turnbull MP, Prime Minister, Doorstop Transcript, 16 May 2017, Adelaide.

[23]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 25.

[24]      Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Budget estimates), 29 May 2017, p. 136.

[25]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 6.

[26]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 27.

[27]      Australian Manufacturing Workers Union, Answers to questions on notice, 3 and 4 April 2017 hearings (received 12 July 2017).

[28]      The Hon Malcolm Turnbull MP, Prime Minister, Doorstop transcript, 16 May 2017, Adelaide.

[29]      The Hon Malcolm Turnbull MP, Prime Minister, Doorstop transcript, 16 May 2017, Adelaide.

[30]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 5.

[31]      The Hon. Wade Noonan MP, the Hon. Paul Papalia CSC MLA, and the Hon. Martin Hamilton-Smith MP, correspondence received 16 June 2017, p. 1.

[32]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 19.

[33]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 36.

[34]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, pp. 5 and 6.

[35]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, pp. 5 and 6.

[36]      Victorian Government, Submission 54, p. 2.

[37]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 35.

[38]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 36.

[39]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 36.

[40]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 27.

[41]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 27.

[42]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, pp. 40 and 41.

[43]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 24.

[44]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 24.

[45]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 24.

[46]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 44.

[47]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 44.

[48]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 44.

[49]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 27.

[50]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 10.

[51]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 25.

[52]      Joint Standing Committee on Treaties, Committee Hansard (Agreement with France on the Future Submarine program, Maritime arrangements with Timor-Leste), 14 March 2017, p. 41. The JSCOT inquiry examined the treaty Framework Agreement between the Government of Australia and the Government of the French Republic concerning Cooperation on the Future Submarine Program (Adelaide, 20 December 2016).

[53]      The Hon Christopher Pyne MP, Minister for Defence Industry, ABC Radio Adelaide Breakfast, Transcript, 4 April 2017.

[54]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 6.

[55]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 2. Naval Group, Answers to questions on notice, 20 June 2017 hearing (received 13 July 2017). See also, Mr Brent Clark, Senior Advisor to the Chairman, Naval Group Australia, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, pp 18-9.

[56]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 2.

[57]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 12.

[58]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 2.

[59]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 2.

[60]      See also, Mr Brent Clark, Senior Advisor to the Chairman, Naval Group Australia Naval Group Australia, Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 14.

[61]      Defence Teaming Centre, Answers to questions on notice, 4 April 2017 hearing (received 17 July 2017).

[62]      Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, pp. 14-15. See also Naval Group, Answers to questions taken on notice, 20 June 2017 hearing (received 13 July 2017).

[63]      Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 14

[64]      More documents were released on 11 May 2018 on the Future Frigate procurement process under the Senate Order for production of document.

[65]      Andrew Tillett, 'Fresh fight over frigate build as government spruiks local defence industry', Financial Review, 30 January 2018, https://www.afr.com/news/fresh-fight-over-frigate-build-as-government-spruiks-local-defence-industry-20180130-h0qfyn (accessed 15 June 2018). See also Amelia McMahon, '50 industry participation target for SEA 5000 slammed', DefenceConnect, 30 January 2018, https://www.defenceconnect.com.au/maritime-antisub/1827-50-industry-participation-target-for-sea-5000-slammed (accessed 18 June 2018).

[66]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 26.

[67]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 9.

[68]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, pp. 17-18.

[69]      Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, pp. 17-18. Figures available for the French side went back to the beginning of April 2017—24 project-related contracts signed with French companies valued at 12.4 million euros [approximately 18.25 million AUD]: Naval Group, Answers to questions on notice, 20 June 2017 hearing (received 13 July 2017). 

[70]      Department of Industry, Innovation and Science, AIP Plans: User Guide, p. 5.

[71]      Department of Defence, Defence Procurement Policy Manual, April 2017, pp. 12.

[72]      The Hon Christopher Pyne MP, Minister for Defence Industry, 'First contract signed with Naval Group to commence design phase', Media release, 30 September 2016, https://www.minister.defence.gov.au/minister/christopher-pyne/media-releases/first-contract-signed-dcns-commence-design-phase (accessed 12 June 2018).

[73]      Rear Admiral Sammut, Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Supplementary estimates), 25 October 2017, pp. 158-159.

[74]      Rear Admiral Sammut, Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget estimates), 29 May 2018, p. 57. Defence has also received the Australian Steel Development and Qualification Plan in April 2018. Testing of steel in Australia has commenced, and Bisalloy and Bluescope will be involved in determining its suitability for the construction of the submarine's pressure hull.

[75]      Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget estimates), 29 May 2018, p. 57.

[76]      The document was tabled by former Senator Xenophon and was dated March 2017. Although the document indicated that it was a final version, Defence emphasised at the 4 April 2017 hearing that the government has not accepted the document, which based on Naval Group's view of 'the way in which Australian industry engagement will work'. Senate Economics References Committee (Future of Australia's naval shipbuilding industry), Committee Hansard, 4 April 2017, p. 25. The Department of Defence received a final version of this document from Naval Group in April 2018, and is working towards providing it to the Senate: Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p.57. The 2015 version of this document, prepared as part of the CEP process, was tabled in the Senate on 10 May 2018, following an order for the production of documents. See Journals of the Senate, 12 February 2018, p. 2667. The document is available online: http://parlinfo.aph.gov.au/parlInfo/download/publications/tabledpapers/f95d14f8-d23d-42ff-bc12-2a503d480d8b/upload_pdf/submarine.pdf;fileType%3Dapplication%2Fpdf (accessed 11 May 2018).

[77]      Naval Group, Australian Future Submarine Program: Australian Industry Capability Plan, March 2017, p. 6.

[78]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 5.     

[79]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 9.

[80]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 13. Mr Clark also advised on 7 June 2018 that a number of these assumptions had changed: Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry),7 June 2018, p. 14.

[81]      Naval Group, Answers to questions on notice, 20 June 2017 hearing (received 13 July 2017).

[82]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 12.

[83]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 13.

[84]      The Hon Christopher Pyne MP, Minister for Defence Industry, 'Turnbull Government moves to increase Australian involvement in Defence Projects', Media release, 29 June 2017.

[85]      Defence Teaming Centre, Answers to questions on notice, 4 April 2017 hearing (received 17 July 2017).

[86]      Australian Manufacturing Workers Union, Answers to questions on notice, 3 and 4 April 2017 hearings (received 12 July 2017).

[87]      Journals of the Senate, 12 February 2018, p. 2667. The document is available online: http://parlinfo.aph.gov.au/parlInfo/download/publications/tabledpapers/f95d14f8-d23d-42ff-bc12-2a503d480d8b/upload_pdf/submarine.pdf;fileType%3Dapplication%2Fpdf (accessed 11 May 2018). The order was on the motion of Senator Patrick.

[88]      See for example, Defence Connect, 'Naval Group's Australian Industry Plan released', 12 May 2018, https://www.defenceconnect.com.au/maritime-antisub/2280-naval-group-s-australian-industry-plan-released (accessed 14 May 2018).

[89]      Mr Clark, Senior Advisor to the Chairman, Naval Group Australia, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), pp. 11-12.

[90]      Formally known as the Merchant Marine Act of 1920.

[91]      Observers have noted that while the Jones Act requires ships to be assembled in the US, foreign parts, investment and expertise are often utilised. Bryan Riley, 'Are Jones Act ships really 'made in the USA'? Well, sort of', The Hill.com, 6 July 2016, http://thehill.com/blogs/pundits-blog/transportation/282455-are-jones-act-ships-really-made-in-the-usa-well-sort-of (accessed 7 August 2017).

[92]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 10.

[93]      Merchant Marine Act of 1920 (United States of America), section 1.

[94]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 3.

[95]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 10.

[96]      Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 11.

[97]      Australian Industry Participation Authority, User Guide for developing an Australian Industry Participation Plan, June 2016, p. 4.

[98]      Senate Economics References Committee, Proof Committee Hansard (Future into Australia's naval shipbuilding industry), 7 June 2018, p. 18

[99]      Senate Foreign Affairs, Defence and Trade Legislation Committee (Additional Estimates
2016-17), Answer to question on notice, Question reference no. 49.

[100]    Senate Foreign Affairs, Defence and Trade Legislation Committee (Additional Estimates
2016-17), Answer to question on notice, Question reference no. 50.

[101]    Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Budget estimates), 29 May 2017, p. 59.

[102]    Senate Economics References Committee, Proof Committee Hansard (Future of Australia's naval shipbuilding industry), 7 June 2018, p. 18.

[103]    Australian National Audit Office, Audit Report No. 39 2017-18, Naval Construction Programs—Mobilisation, pp. 9-10.

[104]    Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 20.

[105]    Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 20.

[106]    Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 25.

[107]    Tory Shepherd 'Fears SA defence jobs may go west', Adelaide Advertiser, 2 September 2016 (accessed 2 February 2018).

[108]    Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 19.

[109]    Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 19.

[110]    Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget estimates), 29 May, pp. 58-59.

[111]    Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget estimates), 29 May, p. 58.

[112]    Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget estimates), 29 May, p. 58.

[113]    Western Australian Government, Submission 56.2, p. 9.

Chapter 6 - Support available to small and medium sized enterprises

[1]        Mr Serge DeSilva-Ranasinghe, President, Australian Industry and Defence Network Western Australia, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 35.

[2]        Mr Serge DeSilva-Ranasinghe, President, Australian Industry and Defence Network Western Australia, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 36.

[3]        Mr Mike Deeks, Managing Director, Forgacs Marine and Defence Pty Ltd, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 43.

[4]        Mr Glenn Thompson, Assistant National Secretary, Australian Manufacturing Workers' Union, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 8.

[5]        Mr Steve McCartney, State Secretary (Western Australia), Australian Manufacturing Workers' Union, Joint Standing Committee on Treaties, Committee Hansard (Agreement with France on the Future Submarine program, Maritime arrangements with Timor-Leste), 14 March 2017, p. 8.

[6]        Joint Standing Committee on Treaties, Inquiry into the agreement with France on the Future Submarine Program, Naval Group Australia, Submission 4, p. 3.

[7]        Mr Brent Clark was interim CEO of Naval Group Australia from March 2017 until May 2018 when he moved into the role of Senior Advisor to the Chairman, Naval Group Australia.

[8]        Mr Brent Clark, then interim Chief Operating Officer, Naval Group Australia, Joint Standing Committee on Treaties, Committee Hansard (Agreement with France on the Future Submarine program, Maritime arrangements with Timor-Leste), 14 March 2017, p. 48. See also Naval Group Australia, 'Australia's future submarine program briefing comes to Melbourne', Media release, 23 March 2017. Naval Group expressed its commitment 'to maximising Australian industry involvement in the FSP [Future Submarine Project], especially with regard to operation and sustainment'.

[9]        Ms Deidre Willmott, Chief Executive Officer, Chamber of Commerce and Industry of Western Australia, Committee Hansard, 3 April 2017, p. 35.

[10]      Mr Brent Clark, then interim Chief Operating Officer, Naval Group Australia, Joint Standing Committee on Treaties, Committee Hansard (Agreement with France on the Future Submarine program, Maritime arrangements with Timor-Leste), 14 March 2017, p. 48.

[11]      Mr Brent Clark, then interim Chief Executive Officer, Naval Group Australia, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 4.

[12]      Mr Brent Clark, then interim Chief Executive Officer, Naval Group Australia, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 4.

[13]      Mr Brent Clark, then interim Chief Executive Officer, Naval Group Australia, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 8.

[14]      Mr Dean Rosenfield, Managing Director, Saab Australia Pty Ltd, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 14.

[15]      Defence Teaming Centre, Answers to questions on notice, 4 April 2017 hearing (received 17 July 2017).  

[16]      Mr Kim Gillis, Deputy Secretary, CASG, Department of Defence. Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 23.

[17]      Department of Defence, Naval shipbuilding industry briefings, 27 March 2017, http://www.defence.gov.au/casg/NewsMedia/News/industry_briefings (accessed 15 June 2018).

[18]       Amelia McMahon, 'Spanish firm hosts SEA 5000 industry engagement day in Sydney', Defence Connect, 27 March 2017, https://www.defenceconnect.com.au/maritime-antisub/469-spanish-firm-hosts-sea-500-industry-engagement-day-in-sydney (accessed 15 June 2018).

[19]      Australian Defence, Navantia to talk SEA 5000 with industry, 2 February 2017, http://www.australiandefence.com.au/news/navantia-to-talk-sea-5000-with-industry, (accessed 15 June 2018) and Build Australia, Navantia SEA 5000 bid – Australian industry opportunities, https://www.buildaustralia.com.au/ts_posts/navantia-sea-5000-bid-australian-industry-opportunities-2/  (accessed 15 June 2018).

[20]      Amelia McMahon, 'Spanish firm hosts SEA 5000 industry engagement day in Sydney', Defence Connect, 27 March 2017, https://www.defenceconnect.com.au/maritime-antisub/469-spanish-firm-hosts-sea-500-industry-engagement-day-in-sydney (accessed 15 June 2018).

[21]      Amelia McMahon, 'Spanish firm hosts SEA 5000 industry engagement day in Sydney', Defence Connect, 27 March 2017, https://www.defenceconnect.com.au/maritime-antisub/469-spanish-firm-hosts-sea-500-industry-engagement-day-in-sydney (accessed 15 June 2018).

[22]      ICN Gateway, Navantia SEA 5000 bid – Australian industry opportunities, https://gateway.icn.org.au/project/3878/navantia-sea-5000-bid-australian-industry-opportunities (accessed 15 June 2018).

[23]      Naval Group Australia, 'Australia's future submarine program briefing comes to Sydney', Media Release, 16 February 2017.  

[24]      Rear Admiral Greg Sammut AM, CSC, RAN, Head Future Submarine Program, Senate Foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Budget Estimates), 29 May 2017, p. 84.

[25]      Mr Brent Clark, then interim Chief Executive Officer, Naval Group Australia, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 1.

[26]      Western Australian Government, Submission 56, p. 7.

[27]      Air Commodore Margo-Lee Forster (Retired), CSM, Chief Executive Officer, Defence Teaming Centre Inc., Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 42.

[28]      Ms Deidre Willmott, Chief Executive Officer, Chamber of Commerce and Industry of Western Australia, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 35.

[29]      Mr Glenn Thompson, Assistant National Secretary, Australian Manufacturing Workers' Union, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 15.

[30]      Defence Teaming Centre, Answers to questions on notice, 4 April 2017 hearing (received 17 July 2017).

[31]      The Hon. Greg Combet, Victorian Defence Industry Advocate, Department of Economic Development, Jobs, Transport and Resources, Victoria, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, pp. 33–34.

[32]      Mr David Singleton, Chief Executive Officer, Austral Limited, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 9.

[33]      Department of Defence, 2016 Defence White Paper - At a glance: Defence industry, http://www.defence.gov.au/Whitepaper/AtAGlance/Defence-Industry.asp (accessed 15 June 2018).

[34]      Department of Defence, Defence Industrial Capability Plan: Small to Medium Enterprises, Fact Sheet, http://www.defence.gov.au/SPI/Industry/CapabilityPlan/ (accessed 15 June 2018). See also Centre for Defence Industry Capability at www.business.gov.au/cdic (accessed 13 June 2018).

[35]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, pp. 85–86.

[36]      Mr John O'Callaghan, Executive Director, Australian Industry Group Defence Council, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 18.

[37]      Mr Glenn Thompson, Assistant National Secretary, Australian Manufacturing Workers' Union, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 8.

[38]      Hon. Paul Papalia, Minister for Defence Issues, Western Australian Government, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 3.

[39]      Ms Deidre Willmott, Chief Executive Officer, Chamber of Commerce and Industry of Western Australia, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 3 April 2017, p. 37.

[40]      Air Commodore Margo-Lee Forster (Retired), CSM, Chief Executive Officer, Defence Teaming Centre Inc., Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 42.

[41]      The Hon Christopher Pyne MP, 'Visit to France as 39 Australian defence companies exhibit their innovations', Media release, 11 June 2018. https://www.minister.defence.gov.au/minister/christopher-pyne/media-releases/visit-france-39-australian-defence-companies-exhibit-their (accessed 13 June 2018).

[42]      Department of Defence, 2016 Defence Industry Policy Statement, 2016, p. 50.

[43]      The Hon Christopher Pyne MP, Minister for Defence Industry, 'New export opportunities for Australian companies', Media release, 27 March 2017.

[44]      The Hon Christopher Pyne MP, Minister for Defence Industry, 'Export opportunities enhanced for Australian companies', Media release, 5 December 2016.

[45]      NSW Government, Submission 59, p. 4.

[46]      Department of Defence, 2016 Defence White Paper - At a glance: Defence industry, http://www.defence.gov.au/Whitepaper/AtAGlance/Defence-Industry.asp (accessed 15 June 2018).

[47]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, p. 30.

[48]      The Hon Christopher Pyne MP, Minister for Defence Industry, 'Defence Innovation Hub launches in Adelaide', Media release, 5 December 2016.

[49]      Department of Defence, Naval Shipbuilding Plan, 16 May 2017, pp. 85–86.

[50]      The Hon Christopher Pyne MP, Minister for Defence Industry, 'Innovation Hub boosts Australia's Defence Industry by $12.3 million', Media release, 14 July 2017.

[51]      Defence Materials Technology Centre, 'About DMTC', http://dmtc.com.au/about/about-dmtc/ (accessed 15 June 2018).

[52]      Naval Group, 'DCNS and DMTC sign formal agreement', Media release, 26 April 2017.

[53]      The Hon Christopher Pyne MP, Minister for Defence Industry, 'DCNS shows further support for Australian industry, Media release, 24 April 2017.

[54]      Mr Brent Clark, then interim Chief Executive Officer, Naval Group Australia, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 20 June 2017, p. 3.

[55]      Naval Group, Answers to questions on notice, 20 June 2017 hearing (received 13 July 2017).

[56]      The Hon Christopher Pyne MP, Minister for Defence Industry, '$730 Million fund for game-changing defence technologies', Media release, 17 March 2017.

[57]      Department of Defence, 2016 Defence White Paper - At a Glance: Defence Industry, http://www.defence.gov.au/Whitepaper/AtAGlance/Defence-Industry.asp (accessed 15 June 2018).

[58]      Department of Defence, Centre for Defence Industry Capability, Frequently asked questions, 16 March 2017, http://australianbusinessgrantsdirectory.com/Library/scripts/objectifyMedia.aspx?file=KMSMedia/pdf/419/63.pdf&amp%3BsiteId=10 (accessed 15 June 2018).

[59]      Department of Defence, Centre for Defence Industry Capability, Frequently asked questions, 16 March 2017, http://australianbusinessgrantsdirectory.com/Library/scripts/objectifyMedia.aspx?file=KMSMedia/pdf/419/63.pdf&amp%3BsiteId=10 (accessed 15 June 2018).

[60]      Air Commodore Margo-Lee Forster (Retired), CSM, Chief Executive Officer, Defence Teaming Centre Inc., Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 42.

[61]      Mr John O'Callaghan, Executive Director, Australian Industry Group Defence Council, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 18.

[62]      Mr John O'Callaghan, Executive Director, Australian Industry Group Defence Council, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 18.

[63]      Mr Andy Keough, Chief Executive, Defence SA, Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 26.

[64]      Department of Defence, Next Generation Technologies Fund FY 2016-17 Factsheet, March 2017.

[65]      The Hon. Chris Pyne MP, Minister for Defence Industry, '$730 million fund for game-changing defence technologies', Media release, 17 March 2018, https://www.minister.defence.gov.au/minister/christopher-pyne/media-releases/730-million-fund-game-changing-defence-technologies (accessed 21 June 2018).

[66]      Austrade, Austrade Services, https://www.austrade.gov.au/About/austrade-services (accessed 15 June 2018).

[67]      Austrade, Commercial Shipbuilding and Services – Industry Capability Report, December 2016, p. 51.

[68]      Austrade, Commercial Shipbuilding and Services – Industry Capability Report, December 2016, pp. 44 – 48.

[69]      Austrade, Commercial Shipbuilding and Services – Industry Capability Report, December 2016, p. 20.

[70]      Air Commodore Margo-Lee Forster (Retired), CSM, Chief Executive Officer, Defence Teaming Centre Inc., Senate Economics References Committee, Committee Hansard (Future of Australia's naval shipbuilding industry), 4 April 2017, p. 38.

Dissenting Report by Coalition Senators

[1]        Department of Defence, Defence Industrial Capability Plan, April 2018, p. 11

[2]        Senate Economics References Committee, Future of Australia's naval shipbuilding industry –Final report, June 2018, Chair's report, p. xi.

[3]        Senate foreign Affairs, Defence and Trade Legislation Committee, Committee Hansard (Budget Estimates), 30 May 2018, p. 40.

[4]        Senate Economics References Committee, Future of Australia's naval shipbuilding industry –Final report, June 2018, Chair's report, p. 22

[5]        Senate Economics References Committee, Future of Australia's naval shipbuilding industry –Final report, June 2018, Chair's report, p. 13.

[6]        Senate Foreign Affairs, Defence and Trade Legislation Committee, Proof Committee Hansard (Budget Estimates), 29 May 2018, p. 7