Australian industry will benefit from planned Defence spending of $350 million on new major capital projects and new phases of existing projects in 2002-03.
This is in addition to the planned expenditure of $3,239m in 2002-03 for ongoing capital projects. Funding also is provided for project development and Capability and Technology demonstrators.
Defence Minister Senator Robert Hill said the total value of the acquisition and support projects that are planned to start in 2002-03 was about $6.4 billion.
"The White Paper provided us with a blueprint for ensuring a stronger, more capable Defence force," Senator Hill said. "The Defence Capability Plan ties our long-term funding commitments to investments that will ensure we have the capability to protect Australia now and in the future.
"However, Defence's capability is inextricably combined with industry's capacity to develop and manufacture new equipment and to maintain and repair existing assets.
"The major capital equipment spending in 2002-03 will significantly enhance Navy, Army, Air Force, and intelligence capabilities while also delivering on our election commitment to adopt a more strategic industry policy approach."
The major new projects to commence in 2002-03, subject to final approval, include:
--Air to Air Refuelling - Phase 1: The acquisition of up to five aircraft capable of air-to-air refuelling of ADF fighter, strike and surveillance aircraft. Air-to-air refuelling will extend the range and endurance of the receiver aircraft.
--Direct Fire Weapon Phase 1: The acquisition of a new shoulder-launched guided weapon for key elements of the Army. This project will equip the Army's full-time infantry battalions and cavalry regiments as well as those units that provide rotation and reinforcements for the high readiness units.
--Additional Trooplift Helicopters - Phase 6: The acquisition of an additional squadron (about 12 aircraft) of troop-lift helicopters to provide extra mobility for forces on operations. In particular, these helicopters will enhance Defence's capability to operate off Defence's newly acquired troop ships, HMAS Manoora and Kanimbla. The helicopters will be 'marinised' to withstand the fatigue and corrosion problems associated with sustained embarked operations aboard these ships.
--Battlespace Communications System (Land) - Phase 1: The aim of this project is to provide a modern deployable communications infrastructure that will better support ADF Land operations. It will introduce new technology to establish networked communications in the field. Networked communication uses a combination of digital radios linked with computers. This network will allow greater exploitation of existing information technology capabilities and act as a platform for the introduction of new capabilities.
--Electronic Warfare Self Protection (EWSP) for Tactical Aircraft - Phase 2: This project will provide electronic warfare self-protection against surface to air missiles for Defence's C-130 transport aircraft and Chinook, Blackhawk and Sea King helicopters.
--AIR 6000 New Aerospace Combat Capability - Stage 3: This stage of the project will examine options for the ADF's future aerospace combat and strike capabilities which will replace the F111 and F/A-18 fleets.
--FFG Standard Missile (SM1) Missile Replacement - Phase 4B: The FFGs are currently fitted with the SM-1 missile. This project will replace the old SM-1 missiles with the more capable SM-2 missile.
--ANZAC Anti-Ship Missile Defence (ASMD) - Phase 2: This project will improve the anti-ship missile defence capabilities of the RAN ANZAC ships through upgrades to ship combat systems and sensors.
--SEA 4000 Study - Air Warfare Destroyers Study - Phase 1: SEA 4000 Air Warfare Destroyers studies will examine the details of the ADF's future maritime air warfare capability requirements and the options that are available to meet them. This will include analysis of issues such as acquisition strategies, capability options, emergent technologies, environmental issues, logistic cost reduction, crewing issues and interoperability with other platforms and allies. Risk reduction work also will be undertaken in the areas of combat system integration, platform propulsion and sensor systems in relation to proposed platforms.
In addition, Defence plans to proceed with the replacement patrol boats project and the project to upgrade the M113 armoured personnel carriers as previously announced.
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BUDGET 2002-03 : Major New Capital Projects To Benefit Defence Industry
