The Minister for Defence, John Moore, today said that the increase in Defence funding announced in the 2000-01 Budget is a clear demonstration of the Coalition Government's continuing commitment to Defence.
"Including East Timor costs and maintained in real terms over the 2001-04 Forward Estimates, Defence departmental appropriations funding is are up $3014 million compared to estimated actual expenditure in 1999-00." Mr Moore said. "This is in line with the Government's 1998 election commitment, to maintain Defence funding in real terms, and Australia's ongoing contribution to peacekeeping operations in East Timor.
"The latest Defence budget will increase the capabilities of the Collins Class submarine and improve the capabilities of our Reserves. It will also maintain the Australian Defence Force's capability to sustain a highly ready Army and meet the ADF's Olympic commitments."
Mr Moore said that additional funding of $128 million has been provided to upgrade two Collins submarines to an interim level of capability by December 2000.
"A key feature of this year's Budget is the Government's commitment to the Reserves. Through legislative changes the Federal Government wants to make the Reserves more attractive to young Australians and their employers, as well as a more integrated and capable component of the ADF. We also aim to improve the proficiency of our Reserves, so that Australia has greater flexibility to respond at short notice to current and emerging events. With this in mind, funding has been increased by $20m in the Budget."
Total Defence Departmental Appropriations, excluding the capital use charge, is $12.2 billion which is 1.8% of GDP. Total Defence funding from all sources for 2000-01 is $19.4 billion.
"The Government will release, later this year, a Defence White Paper which will be a comprehensive statement of the Government's defence policy for the 21st Century," Mr Moore said. "The White Paper will provide a timely contribution to the public debate on defence, in light of significant changes in Australia's strategic environment, increasing demands that are being placed on the Australian Defence Force, and the assessment of future, major equipment decisions.
"For these reasons, the Government has taken the responsible step of restricting the number of projects that are to be approved and brought to contract this financial year. "It is important to note that this Budget includes significant expenditure on capital investment, with $3.3 billion of expenditure planned this year on capital equipment and facilities, compared to an estimated achievement of $2.9 billion in 1999-00," said Mr Moore.
Projects Approved by the Government in the 2000-01 Budget
**military satellite communications ground infrastructure; **aircraft self protection collaboration with the US; and **support arrangements for the Australian designed NULKA missile decoy system for surface combatants.
Progress To Be Achieved This Year On Previously Approved Major Capital Equipment Projects
**the launch of the sixth Collins Class submarine (RANKIN); **delivery of the fifth ANZAC ship (HMAS WARRAMUNGA), which will be the first ANZAC ship to be delivered with the integrated Evolved Seasparrow Missile installed; **launch of the seventh and eighth ANZAC ships (PARRAMATTA and BALLARAT); **delivery of the first three Seasprite helicopters for the ANZAC ships; **delivery of the third and fourth coastal Minehunter (NORMAN and GASCOYNE); **final delivery of twelve C130J aircraft; **delivery of the first two prototype improved F/A-18 aircraft, and 35 production modified aircraft; **delivery of 32 Lead-In Fighter aircraft; **acceptance of the first five improved P3C aircraft; **production of the first Infantry Mobility Vehicles under the Bushranger Project; and **first deliveries of new AMRAAM and ASRAAM missiles.
Activity continues on projects not yet to contract, including the Airborne Early Warning & Control aircraft, Light Tactical aircraft and additional Australian Light Armoured vehicles.
Continuing major capital facilities projects
**Lavarack Barracks Townsville redevelopment; **RAAF Townsville redevelopment; **RAAF Amberley redevelopment; **the Joint Army Deployment facility in Darwin; **HMAS Albatross Nowra redevelopment; **Navy Ammunitioning Facility at Eden; and **Collocation of Staff Colleges in Canberra.
