Page 12 - Australian Defence Magazine Feb 2020

DEFENCE
DEFENCE
12 NEWS REVIEW INDUSTRY UPDATE
FEBRUARY 2020 | WWW.AUSTRALIANDEFENCE.COM.AU
ANAO RELEASES REPORT INTO FUTURE SUB PROGRAM
such milestones. There is currently a nine- month delay in the design phase.
Consequently, the ANAO argues, “De- fence cannot demonstrate that its expendi- ture of $396 million on design of the Fu- ture Submarine has been fully effective in achieving the program’s two major design milestones to date.
“Defence expenditure on design repre- sents some 47 per cent of all program ex- penditure to 30 September 2019.”
The delay means there will be a three year gap in Navy’s submarine capability, with Defence planning for a Collins life- of-type extension ‘at an early stage.’
The report notes that Defence has as- sessed the program to have a high level of risk and is implementing relevant mitiga- tion strategies, such as the strategic part- nership with Naval Group, that will prove crucial in the years ahead.
“Defence acknowledges the findings contained in the ANAO audit report, Fu- ture Submarines – Transition to Design,” Defence said in a statement. “Importantly, the commencement of construction activi- ties in Australia, and the delivery of the Future Submarines has not been delayed.”
ABOVE: The Collins submarines will be sailing for some decades yet.
EWEN LEVICK | MELBOURNE
THE ANAO has released a report into the Future Submarine program under Sea 1000, which will see the Commonwealth acquire 12 submarines to replace the Col- lins fleet over the coming decades.
The auditor justified the need for the report by arguing that the decision to en-
gage a ‘strategic partner’ for the program, France’s Naval Group, rather than buy an off-the-shelf submarine has ‘increased the risk of this acquisition’.
The ANAO found that whilst Defence had established formal arrangements that allow for ‘effective’ administration of the program, two design milestones were extended and that the program’s success is dependent on the ‘timely and cost-effective delivery’ of
US STATE DEPARTMENT APPROVES FMS FOR RAN WARSHIPS
THE US State Department has approved a Foreign Military Sale (FMS) to Australia of long lead items, engineering development ac- tivities, and other defence services to support the Australian Surface Combatant Program for an estimated cost of US $1.5 billion.
The US Defense Security Cooperation Agency delivered the required certification notifying Congress of this possible sale.
The items and services will be used to modernise the Hobart class destroyers and to construct the Hunter class frigates. They include AEGIS weapon systems in the MK6 Mod 1 configuration and associated computer systems, MK41 Vertical Launch- ing Systems, close-in weapons systems, GPS and digital antennas, joint tactical ra- dio terminals, electro-optic sights for MK 34 guns, Mode 5/S identification friend or foe (IFF) systems, integration of the indige-
nous CEAFAR 2 Phased Array Radar (CEA Industries) with the AEGIS system and the primary radar sensor and illuminator on the Hunter class, MH-60R Romeo helicop- ter integration into AEGIS, and more.
In a statement, DSCA said that the sale would allow Australia to magnify the ca- pabilities of US forces.
“By deploying a surface combatant fleet that will incorporate Cooperative Engage- ment Capability (CEC), Australia will sig- nificantly improve network-centric war- fare capability for US forces operating in the region,” DSCA said.
A ‘significant portion’ of the work will be conducted by Lockheed Martin in New Jersey.
RIGHT: HMAS Hobart in the graving dock at Garden Island.