BUDGET 2008/09

Investment in Future defence Capability

The Rudd Labor Government will ensure that the men and women of the Australian Defence Force are provided with superior and capable equipment to undertake their difficult work, Minister for Defence Joel Fitzgibbon announced today.

The Government’s commitment to increase the Defence funding base by an average of three per cent in real terms every year to 2017-18 will provide extra funding to support key equipment purchases through the Defence Capability Plan.

“This increase will ensure that our soldiers have the necessary equipment, training and support they require to undertake their difficult work”, Mr Fitzgibbon said.

This will be achieved in 2008-09 by:

·         investing $26.8 million in rapid acquisitions to support current Defence operations;

·         investing over $4.8 billion in major acquisition programs as part of a long-term transformation of the Australian Defence Force’s warfighting equipment;

·         investing over $4.5 billion in upgrades and ongoing support to current equipment; and

·         assessing new capability proposals in order to commence future acquisitions, including design studies for the Collins Submarines replacement, upgrading the C-130J aircraft and improving the Australian Defence Force’s protection against Improvised Explosive Devices.

As part of the Defence White Paper, the Rudd Government will also conduct a full review of Defence’s Major Capital Investment Program.  This will result in a carefully considered and new Defence Capability Plan to equip our forces into the future.

“Australia’s defence industry is a crucial component of our national defence capability.

“Local industry will continue to make a significant contribution to the delivery of new and enhanced equipment to defend the nation and its interests,” Mr Fitzgibbon said. 

Media contacts:

Christian Taubenschlag (Joel Fitzgibbon):             02 6277 7800 or 0438 595 567

Defence Media Liaison:                                           02 6265 3343 or 0408 498 664