Minister for Defence Materiel – Industry and Defence Cooperation on Projects of Concern

Minister for Defence Materiel Jason Clare today begins a two-day round of meetings with senior Defence officials and CEOs of companies which have projects on the Projects of Concern list.

In February this year, Mr Clare committed to holding biannual face-to-face meetings with industry and Defence.

The first round of meetings was held in February.

“The purpose of these meetings is simple – to make sure there is focus from the top of Government, Defence and industry to remediate these projects,” Mr Clare said.

 “It ensures that the senior Defence and industry people responsible for these projects are doing everything necessary to remediate them.

 “Ultimately, we want these projects off the list. This is about working together to get these projects back on track.”

On 29 June this year Mr Clare and Minister for Defence Stephen Smith announced at the Defence and Industry Conference in Adelaide a range of reforms to strengthen the Projects of Concern system.

These reforms include:

–       the establishment of a more formal process for adding projects to the list;

–       the establishment of a formal process for removing projects from the list;

–       the development of agreed remediation plans, including formal milestones for the removal of a project from the list; and

–       increased Ministerial involvement and oversight of the process.

“The Projects of Concern process is working and the reforms we are implementing will make it even more effective,” Mr Smith said.

Since the Projects of Concern process began in 2008, 18 projects have been listed as Projects of Concern. Since then, nine of those have been removed – seven due to remediation and two due to cancellation.

 The current Projects of Concern list is attached.

Current Projects of Concern list:

Project Description Date added to list
CN10 Collins Class Submarine Sustainment and Projects Nov 2008
AIR 5077Phase 3 ‘Wedgetail’ Airborne Early Warning and Control aircraft Jan 2008
SEA 1448Phase 2B Anti-Ship Missile Defence radar upgrades for ANZAC Class Frigates Jan 2008
JOINT 129Phase 2 Tactical Unmanned Aerial Vehicles – airborne surveillance for land forces Sep 2008
LAND 121Phase 3 ‘Overlander’ replacement field vehicles, trailers and modules for land forces (‘Medium Heavy’ class of vehicles only) Jul 2008
JOINT 2070 Lightweight torpedo replacement for ANZAC and ADELAIDE Class Frigates Jan 2008
AIR 5402 Multi-Role Tanker Transport aircraft – Air to Air Refuelling Capability Oct 2010
AIR 5276Phase 8B Electronic Support Measures upgrade for AP-3C Orion aircraft Oct 2010
AIR 5418Phase 1 Joint Air to Surface Standoff Missiles Nov 2010

 Projects removed from Projects of Concern list:

Project Description Date removed from list
LAND 106 M-113 Armoured Personnel Carrier Upgrade (Remediated) May 2008
AIR 87 Armed Reconnaissance Helicopter (Remediated) Apr 2008
SEA 1411 Sea Sprite Helicopter (Project cancelled) Mar 2008
JP2088Phase 1A SF Air Drop Rigid Hull Inflatable Boat Trailers (Remediated) Sep 2009
SEA 1390Phase 2.1 Guided Missile FFG Upgrade (Remediated) Jan 2010
AIR 5416Phase 2 Rotary Wing Electronic Warfare Self Protection ‘Echidna’ (Scope reduced and remediated) Jul 2010
JP2043Phase 3A High Frequency Communications Modernisation (Remediated) Jun 2011
AIR 5333 Air Defence Command and Control System ‘Vigilare’ (Remediated) Jun 2011
JOINT 2048Phase 1A LCM2000 Watercraft for Landing Platform Amphibious Ships (Project cancelled) Feb 2011

Mr Smith’s Office: Andrew Porter 0419 474 392

Mr Clare’s Office: Korena Flanagan 0418 251 316

Defence Media Operations 02 6127 1999



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