15 March 2016

AUS: Turnbull government says offshoring supply ships is good news

SENATOR THE HON PENNY WONG
LEADER OF THE OPPOSITION IN THE SENATE
SHADOW MINISTER FOR TRADE AND INVESTMENT
LABOR SENATOR FOR SOUTH AUSTRALIA

SENATOR THE HON STEPHEN CONROY
DEPUTY LEADER OF THE OPPOSITION IN THE SENATE
SHADOW MINISTER FOR DEFENCE
SENATOR FOR VICTORIA

DAVID FEENEY MP
SHADOW ASSISTANT MINISTER FOR DEFENCE
FEDERAL MEMBER FOR BATMAN

NICK CHAMPION MP
SHADOW PARLIAMENTARY SECRETARY FOR MANUFACTURING
MEMBER FOR WAKEFIELD

TURNBULL GOVERNMENT SAYS OFFSHORING SUPPLY SHIPS IS “GOOD NEWS”

The Minister for Defence Material Dan Tehan has made the remarkable claim that the Turnbull Government’s disgraceful decision to send the contract for Navy’s new Supply Ships to Spain is good news for Australian shipyards.

“This is good news for our local domestic shipbuilding industry.”
DAN TEHAN – SKY NEWS – 11 MARCH 2016

The contract for the Supply Ships tender is valued at up to $2 billion dollars and will reportedly result in up to 3000 jobs for Spain’s shipyards.

By the Turnbull Government’s own admission, only about five percent of the Supply Ships contract – around $100 million dollars – will be spent in Australia.

Mr Tehan also falsely claimed the Turnbull Government had “no alternative” but to send the contract offshore, a lie that was thoroughly de-bunked by Defence SA in testimony to a Senate Committee in 2014.

“We have the capacity and with minimal expenditure we can deliver what is required to lift and support the supply ships if they were fabricated in Australia.”
ANDREW FLETCHER – THEN-CHIEF EXECUTIVE OF DEFENCE SA – 21 JULY 2014

In 2013, Labor announced its plan to bring forward the acquisition of Navy’s new Supply Ships, with construction commencing in 2015-16.

Based on advice from Defence at the time, Labor was confident that both ships could have been built completely in Australia.

When the Abbott-Turnbull Government came to power, they threw away Labor’s plan and embarked on an ideologically driven campaign to denigrate Australian shipyard workers and offshore highly skilled Australian jobs.

The sad reality is that under the Turnbull Government there has never been a better time to be a Spanish shipyard worker.