Lisa Chesters (Bendigo, Australian Labor Party) Share this | Link to this | Hansard source

On behalf of the Joint Standing Committee on Treaties, I present the following: Report 224: Agreement among the Government of Australia, the Government of the United Kingdom of Great Britain and Northern Ireland, and the Government of the United States of America for Cooperation Related to Naval Nuclear Propulsion and a corrigendum to Report 221: BBNJ Agreement.

Report made a parliamentary paper in accordance with standing order 39(e).

by leave—I am pleased to make a statement on the Joint Standing Committee on Treaties Report 224: Agreement among the Government of Australia, the Government of the United Kingdom of Great Britain and Northern Ireland, and the Government of the United States of America for Cooperation Related to Naval Nuclear Propulsion, otherwise known as AUKUS.

The AUKUS agreement creates a framework to facilitate the communication and exchange of naval nuclear propulsion information between Australia, the United Kingdom and the United States of America. It also enables the transfer of nuclear materials and equipment from the UK and the US to Australia for conventionally armed, nuclear-powered submarines.

In considering this treaty, the committee held four hearings and travelled to Osborne in South Australia, and to HMAS Stirling and Henderson in Western Australia. Throughout the inquiry we heard evidence from a range of witnesses on a number of matters arising from the agreement.

The committee has determined the agreement to be in the nation's interest. Australia's acquisition of nuclear-powered submarines provides our nation with not only a strategic defence advantage but also an opportunity to grow Australian jobs, education and infrastructure.

Further, nuclear-powered submarines have a number of benefits over conventionally powered submarines, including being faster and more manoeuvrable.

While supporting Australia's ratification of the treaty, the report makes eight recommendations aimed to address a number of concerns that have been raised.

These recommendations include expanding and enhancing activities to inform the committee on how AUKUS will benefit Australia, and to help dispel a number of emerging AUKUS myths.

An example of AUKUS myth is that the agreement is a slippery slope towards nuclear weapons and that radioactive material contained within submarines' reactor units could be weaponised.

This is false. The ASA stated that the agreement was consistent with Australia's existing non-proliferation obligations and Australia's safeguard agreements with the International Atomic Energy Agency (IAEA). The ASA also emphasised that the nuclear material in US and UK nuclear-powered submarines was not in a form that could be used in nuclear weapons without further processing facilities that Australia does not have and will not acquire.

A further myth is that Australia will become a dumping ground for nuclear waste from the United Kingdom (UK) or the United States of America (US). This is also false. The committee was advised that the Australian Naval Nuclear Power Safety Agency Act 2024 clarifies that storage and disposal in Australia of spent nuclear fuel that is not from an Australian submarine is prohibited.

During the inquiry the committee was pleased to learn that the agreement will result in the creation of approximately 20,000 jobs over 30 years and presents a unique opportunity to upskill Australia's domestic industrial workforce with unprecedented opportunities for trades and tertiary educated workers alike.

The jobs created throughout the life of the AUKUS program is good news for our country, as is the longevity of the employment opportunities that it will create.

To support the growth, the report recommends the launch of an AUKUS career and employment opportunities campaign and advocates for the enhancement of existing STEM and traditional trade engagement programs, particularly within our schools.

On another note, the committee recognised that an increased workforce and activities at each of the AUKUS sites will have a substantial impact on community infrastructure.

To ensure that local communities are supported, the report recommends that the Australian government partners with state and local governments to assist local communities with the infrastructure needs they may have.

The report also recommends the Australian Submarine Agency enhance its engagement and consultation with local traditional owner groups, First Nations people and local environmental groups.

Finally, the committee would like to extend thanks to all those involved who provided written and oral evidence to support the inquiry. In a robust democracy such as Australia, this inquiry has allowed throughout the submissions and the hearings process for a variety of voices to be heard.

The committee would also like to thank the personnel who facilitated the inspections at Osborne, HMAS Stirling and Henderson as well as the committee secretariat.

The committee supports the treaty considered in this report and recommends that binding treaty action be taken. On behalf of the committee, I commend this unanimous report to the House.

Phillip Thompson (Herbert, Liberal National Party, Shadow Assistant Minister for Defence) Share this | Link to this | Hansard source

by leave—There has arguably not been a more important agreement to come before the Joint Standing Committee on Treaties in this parliament. It is, of course, the AUKUS agreement between the three great nations of Australia, the United Kingdom and the United States. As members would remember, the trilateral announcement was made on 15 September 2021, brokered by the former coalition government and supported by the now government. On 14 March 2023, leaders of the AUKUS nations agreed on the optimal pathway to achieve the goal. That goal is conventionally armed nuclear-powered submarines for the Royal Australian Navy.

The committee's inquiry sought to ensure that the agreement was fit for purpose and was in the best interest of Australia. It is a very good thing to be able to report that the committee has confirmed that this will be a critical step to solidify our national security. The inquiry and its expert witnesses told us what we already knew—that we are facing the most complex and challenging strategic circumstances in our region since the Second World War and that submarines possess a stealth and lethality to deter and destroy a potential enemy before it reaches our shores.

Nuclear propulsion offers key advantages over its diesel electric predecessors, including that the time a vessel can state submerged is limited only by the need to restock provisions for the crew. It can move faster and with greater agility and is able to operate undetected. Of course, there are provisions within the agreement preventing the use of nuclear technology for anything other than power and propulsion, and the committee welcomes these provisions.

We also agreed on a recommendation that further work be done to bring Australians along on the journey with expanded and enhanced community education activities on the importance of AUKUS. There are also important guidelines around safety and waste disposal with the reassurance that the nuclear fuel cells will be provided in a complete and welded form as they will remain during their lifetime. But it is noted the government has more work to do on ensuring there is a solid plan to deal with the high-level waste that will exist at end of life.

There are a few other key concerns that should be highlighted. The first is the skills shortages built around the country in many different industries but will be especially problematic in the brand new industry of nuclear submarine building. If we are to begin the building the first SSN-AUKUS in South Australia by the end of the decade, we are going to require significant investment in skills and training for those key skilled workers we will require. Remember, this is going to create 20,000 jobs. The committee has included a recommendation that the government launches a career and employment opportunities program to capture interest in young people and incentivise their study at university, TAFE and other higher education providers. We also must raise concern about the personnel numbers that we're going to require. Defence told us that the Navy would need to increase the figure of 900 submariners to 3,000 by the early 2050s. Given the current inability to retain ADF personnel and attract new ones, this will need a lot of attention.

There have been serious concerns about the lack of work being done to prepare the areas surrounding Osborne in South Australia and HMAS Stirling and Henderson in Western Australia. We're yet to see enough work in these local communities to address the infrastructure impacts that will come. For example, despite commencement of Submarine Rotational Force—West in 2027 being less than four years away, the government confirmed earlier this year that works to uplift HMAS Stirling to nuclear readiness so as to host US and UK nuclear submarines wouldn't start until next year. Due to its tight timeline, the project has been labelled high risk. Even representatives from the United States have raised concerns about WA's preparedness for AUKUS. It is telling that these concerns were held across the committee from both sides of the chamber. We urge the government and we will work with the government to urgently increase its efforts to address them.

To have an agreement that allows the sharing of such valuable information and technology between the UK, US and Australia is absolutely groundbreaking. It will increase our ability to respond effectively if the worst were ever to occur. The coalition appreciates the government's commitment to AUKUS. We urge the government to do everything they can to ensure its success, and we are committed to working with them. I want to thank the chair, who has done a lot of work—a fantastic job—here. I also want to thank the committee, the secretariat, our partners from around the world, and the Royal Australian Navy, who do a great job. I look forward to working with the chair into the future to ensure that AUKUS is everything it should be.