Linda Reynolds (WA, Liberal Party) Share this | Hansard source

My apologies, Mr Acting Deputy President. It was Senator Faulkner. In fact, I will quote Senator Faulkner. He said:

This Government is committed to carefully planning for Australia’s next generation of submarines.

The year he made that commitment was 2009. The Labor government spent 4½ years doing so much planning, they did no acting—apart from removing the funding to fund the future submarines.

Let us talk a bit more about facts. Over their six years in government, not only did unemployment increase by over 200,000 jobs but the Australian defence industry shed more than 10 per cent of their workforce because of Labor's budget cuts and project deferrals. So the depth of the opposition's hypocrisy on this is breathtaking. It would be sad if it were not so serious for Australia's defence.

The so-called 'valley of death' that may exist for our defence industries is entirely the making of the Labor Party, who wasted their six years in government. The simple fact is that under the DCP it was never affordable and the capability promises were purely fictitious. Not only does Labor's mismanagement of the defence program mean that defence face a deficit of $12 billion on current plans over the next decade, but an additional $18 billion is required to achieve Force 2030. To put it more simply, as a direct result of Labor's budget cuts and policy inaction, a staggering 119 projects were delayed, 43 projects were reduced and eight were cancelled altogether

That is what we on this side of the Senate and the defence industry and defence workers inherited from those opposite.

In 2007, Kevin Rudd promised that a Rudd government would make it a priority to ensure that the necessary preliminary work on Australia's next generation of submarines was carried out in time for consideration and approval in 2011. Two years later, Labor promised 12 new submarines but provided no plan and no funding and, as I said, they took $20 billion out of the Future Submarine program—so no plan, no money and no jobs. I have to ask: where was the AMWU then? Where was the South Australian government then?

In stark contrast, we have taken the Future Submarine program out of the too-hard basket and we have announced that, as part of next year's defence white paper, this government will produce a shipbuilding plan. Australian industry will finally have the long-term strategic direction it has lacked over the last six years. We will do it quickly but we will also do it effectively. It has to be done on a credible and sustainable path to achieve our two per cent funding commitment. This means prudent and sustained investment in adaptable and flexible defence capabilities that are best suited to handle strategic risks over the long term, especially as the ships, aircraft and other equipment our Defence Force uses are essential infrastructure that remain in service for decades. We are currently talking to a number of countries to explore the best possible option for Australia to obtain those outcomes. We are also determined to deliver this capability on schedule and on budget. We owe this to hardworking Australian taxpayers.

I remind senators opposite—particularly those from South Australia—that a significant amount of money is already being spent in South Australia and there will be significant future work, regardless of the decisions on the Future Submarine. The amount of defence investment in South Australia is indeed already substantial.

In conclusion, this decision has not yet been made, but this government will deliver an affordable and a realistic plan. We are a government that are making the right decisions for the right reasons. (Time expired)