Minister for Defence Materiel Jason Clare today announced that contract negotiations for the sale of up to 12,000 Army non-combat vehicles and trailers are now complete.
“The vehicles will be sold by Australian National Disposals, a new Australian-owned business based in New South Wales,” Mr Clare said.
Mr Clare said sale of the vehicles gives Australians a chance to buy their own part of Australian military history.
“The Army vehicles being sold include the Army Land Rovers, Mack trucks, Unimogs, motorcycles, trailers and all terrain vehicles,” he said.
“The sale of these vehicles is expected to raise more than $100 million. Their average age is 25 to 30 years old and they have average of 125,000 kms on the clock.”
The vehicles will be sold to Australian and overseas markets in order to maximise the financial return to the Commonwealth.
The first vehicle sales are expected to begin March 2013 and will progressively be sold to Australian National Disposals as the vehicles are retired from the Army over the next decade.
A number of vehicles will be reserved and offered exclusively to community and heritage organisations, including the Australian War Memorial, RSLs and other historical organisations.
The B vehicles will be replaced by new vehicles under Project LAND 121 – Overlander.
This is part of the biggest disposal of military equipment since World War II.
Over the next 15 years the Australian Defence Force will replace or upgrade up to 85 per cent of its equipment.