New Ship Maintenance Contracts Mean More Certainty for Industry

New Ship Maintenance Contracts Mean More Certainty for Industry

Minister for Defence Materiel Jason Clare today announced that the tender had been released for a five-year contract for the repair and maintenance of the Navy’s eight Anzac Class frigates.

The contract is worth approximately $300 million.

Four companies or joint ventures have been short-listed to compete for the work — BAE Systems, Babcock/UGL Infrastructure, Thales Australia, and DMS Maritime/Transfield Services.

They were short-listed following an open tender process.

This is the first of the new group maintenance contracts to be released for tender.

Currently, each maintenance activity is contracted individually to a panel of companies who compete for the work.

This reform will end that system and create five-year performance-based contracts for the maintenance and repair of Navy ships.

Mr Clare said reforming the way this work is contracted will provide the Navy and local industry with more certainty.

“This reform provides more security for Australian businesses and more job security for their workforce,” Mr Clare said.

“It’s a significant change — ending the burden for industry of bidding for every job.”

Media contact: Korena Flanagan – (02) 6277 7620

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