Today’s announcement by the Federal Government and the State Liberals that there will be a ‘competitive evaluation process’ has created further uncertainty surrounding the future of naval shipbuilding in Australia.

Minister for Defence Industries Martin Hamilton-Smith said only a proper project definition study and a transparent competitive tender, which is contingent on construction occurring in Australia, will ensure that this multi-billion dollar project succeeds.

“Any process which appears contrived or lacks transparency puts at risk our industry, jobs and our defence capability,” Mr Hamilton-Smith said.

“Japanese, Swedish, French and German designs and any other designs must be assessed in an open and transparent process by a dedicated submarine design authority, set up for the express process of guiding the submarine project.

“Whichever design is chosen, the Federal Government tender must mandate a local build, to guarantee Australian jobs and a sovereign defence industry as was promised before the Federal election.

“The Federal Government has further confused matters with today’s announcement.

“What has been revealed today is that the Federal Government has made little progress on the submarine project in past 18 months.

“Any tender or ‘competitive evaluation process”’ must specify at the outset that the 12 submarines are to be built in Australia based in Adelaide as promised.

“This is a national issue – Australia cannot build submarines without industry and work force participation which includes South Australia and Victoria along with other states.

“There is no guarantee that ‘a competitive evaluation process’ will result in submarines being built in South Australia.

“The submarine acquisition project should be viewed in the context of a sustainable naval shipbuilding plan, which includes the surface ship construction and a future frigate build. Without both there will be insufficient deal flow for a sustainable national industry.

“The Federal Government is missing a coherent plan for submarines, surface ships and the entire naval shipbuilding sector.”