Stephen Conroy (Victoria, Australian Labor Party, Deputy Leader of the Opposition in the Senate) Share this | Link to this | Hansard source

My question is to the Minister representing the Minister for Defence, Senator Brandis. I refer to a recent column by the chair of the government's own Commission of Audit, Tony Shepherd, entitled 'The case for building submarines in Australia'. When reflecting on the success of the Anzac frigate and the Collins class submarine procurements, Mr Shepherd observes:

After the selection of a short-list of experienced offshore designers, funded project definition studies led to the submission of fixed price tenders for a local build which maximised the involvement of Australian industry. The Abbott government should follow this well-proven, risk-reduction path.

Minister, why is the government ignoring the chair of its own Commission of Audit and pursuing its risky and unproven competitive evaluation process?

George Brandis (Queensland, Liberal Party, Attorney-General) Share this | Link to this | Hansard source

Senator Conroy, this government has a lot of respect for Mr Tony Shepherd. Mr Shepherd has been the subject of repeated vilification and abuse from those on your side of the chamber, so I am very surprised to see you invoking his name. Nevertheless, the answer to your question is: we are determined to ensure that Australians get the best value for money, and we are determined to ensure that the future submarine program is based on the best interests of the Australian people. That is what we are going to do. It is for that reason that we are going through a competitive evaluation process to assess who is the best international partner to partner with Australian industry in the construction of the future submarine. Senator Conroy, I see you shaking your head. Well might you shake your head when you reflect upon the record of the government in which you served when it came to the future submarine, because, Senator Conroy, for six years your government did nothing—not a thing—to advance the future Australian submarine, therefore opening up a capability gap into the future. During the six years of your Labor government not one warship was commenced at any Australian shipyard—not one. Senator Conroy, when the Abbott government came into office, we found the submarine program delayed by six years and the air warfare destroyer commenced by the Howard government way behind and way behind budget as a result of you. (Time expired)

Stephen Conroy (Victoria, Australian Labor Party, Deputy Leader of the Opposition in the Senate) Share this | Link to this | Hansard source

Mr President, I ask a supplementary question. I refer the minister to comments by the former commander of the Japanese submarine fleet, retired Vice Admiral Kobayashi, who was questioned about whether Australia has the skills to build our future submarines. Does the minister agree with the vice admiral's assessment that Australian shipyards 'don't have enough skilled workers to fashion the high-tension steel'?

George Brandis (Queensland, Liberal Party, Attorney-General) Share this | Link to this | Hansard source

I am not familiar with Vice Admiral Kobayashi's remarks, but if that is what the retired vice admiral said then I do not agree with the proposition that Australian shipyards do not have a high level of skill and proficiency—because they do. That is why this government has progressed the air warfare destroyer project, which was left in tatters by your government. That is why this government, as a result of the competitive evaluation process, is going to select an international partner—

Senator Kim Carr interjecting—

an international partner yet to be selected—who will partner with the Australian shipbuilding industry to produce the best result for the Australian people.

Stephen Parry (President) Share this | Link to this | Hansard source

Senator Carr, even though it is disorderly to interject, I just remind you to refer to senators by their correct title.

Stephen Conroy (Victoria, Australian Labor Party, Deputy Leader of the Opposition in the Senate) Share this | Link to this | Hansard source

Mr President, I ask a further supplementary question. I again refer Senator Brandis to Mr Shepherd's column, which outlines the unequivocal benefits of building our future submarines right here in Australia. In Mr Shepherd's own words: 'Our next-generation submarines should be built in Adelaide'. Minister, when will this government heed the advice of its own experts and keep its promise to build 12 submarines in Adelaide?

George Brandis (Queensland, Liberal Party, Attorney-General) Share this | Link to this | Hansard source

Senator Conroy, if you are so powerfully persuaded by Mr Shepherd's words, why didn't you do anything for six years? Why did you do nothing for six years? Why did you let the Australian submarine project go into abeyance for six years? Why did you not commence the construction of a single warship at any Australian shipyard for the six years that you were in office? That is your record. Senator Conroy, I know that you are uncomfortable with things like tender processes. Senator Conroy, when we talk about tender processes, you have form. We know that when you were the minister responsible, for example, for the NBN—

Stephen Parry (President) Share this | Link to this | Hansard source

Pause the clock.

Claire Moore (Queensland, Australian Labor Party, Shadow Minister for Women) Share this | Link to this | Hansard source

Mr President, I rise on a point of order on direct relevance to the question. Whilst the minister has spoken widely on his own issues, the question is: when will the government heed the advice of its experts? It is the current government's actions, not a reflection on the past.

Stephen Parry (President) Share this | Link to this | Hansard source

I remind the minister that he has 13 seconds in which to answer the question.

George Brandis (Queensland, Liberal Party, Attorney-General) Share this | Link to this | Hansard source

You presided over a tender process which you yourself, in your own words, described as 'corrupted'. Senator, the future Australian submarine is going to go through a proper process, a competitive evaluation process, to achieve the best result for the Australian people. (Time expired)