Minister for Defence Stephen Smith and Minister for Defence Materiel Jason Clare today released Defence’s first Defence Capability Guide (DCG).
The 2012 DCG is a new document and provides general guidance for industry on projects for the six year period following the four years Forward Estimates period of the Defence Capability Plan (DCP). The most recent DCP was released by the Government in July.
Together the DCP and the DCG provide a 10 year program for defence capability acquisition, which we are doing at the request of Australian Defence industry.
Earlier this year, Minister Smith and Minister Clare met with Australian Defence industry representatives and sought advice on ways to improve the information on defence capability provided to industry.
Australian Defence industry asked for this model, which the Government has now produced.
The DCG will ensure that industry has general information about the Government’s longer-term capability intentions, noting that beyond the four year DCP, there is more uncertainty, and historically projects are less well defined and have been subject to much more change, in terms of scope, cost and schedule.
The level of information on projects in the DCG for the general guidance of industry is necessarily less definitive than that in the DCP.
Projects in the DCG will enter the DCP as they become better defined and if Government decides that they are of sufficient priority to be included in the Forward Estimates years and funded in the Budget.
The current DCP contains 111 projects, or phases of projects, worth over $150 billion.
These projects will deliver key capabilities for modernising and enhancing the Australian Defence Force (ADF).
Again, the release of a four year DCP was based on consultation with Australian Defence Industry which has resulted in a significant reform of Defence’s key capability acquisition document.
The purpose of the reform was to align the DCP with the four-year Forward Estimates period in the Budget and provide greater certainty for Industry.
The public DCP provides information for industry on project cost, project schedule and local industry content.
Both the four-year DCP and the six-year DCG will be subject to change as strategic circumstances evolve, new technologies emerge and priorities are updated to reflect the changing needs of the ADF.
The DCG will be available shortly at http://www.defence.gov.au/Publications/CapabilityGuide2012.pdf
Minister Smith's Office: Sacha Fenton (02) 6277 7800 or 0467 784 528
Minister Clare's Office: Annie Williams (02) 6277 7290 or 0428 040 522
Defence Media Operations (02) 6127 1999