Television Interview, Today Show

SUBJECTS: Middle East conflict; fuel security; drone and counter drone investment

KARL STEFANOVIC, HOST: Let's get some more now on the US blockade, the Strait of Hormuz. Let's join Defence Industry Minister Pat Conroy live from Lake Macquarie. Pat, good morning to you. Thanks for your time this morning. Can you say with any certainty that the Australian government will not join the US blockade?

PAT CONROY, MINISTER FOR DEFENCE INDUSTRY: Well, what I can say to you is that we've received no formal request to send naval assets to to that region and we won't be engaging in hypotheticals. But no request has been received. We continue to urge Iran and the United States to return to the negotiating table for the Strait of Hormuz to be reopened so that we can see supplies flowing through that vital waterway.

STEFANOVIC: So, the navy is ready to go. Will we do it if asked?

CONROY: Well, Vice Admiral Hammond yesterday made it clear that we have eight of our 10 major warships on the water at the moment available to meet government directions. But you're asking me a hypothetical call. No request has been received and that's our stated position. What we want to see is a diplomatic resolution of this issue. We need the Strait of Hormuz open so that we can get oil and other vital supplies to the rest of the world. This is having a very significant impact on the global economy and we're joining with many nations saying this needs to be resolved now.

STEFANOVIC: Okay, it's obviously not going to be resolved now. We don't know how long this blockade is going to go for and when oil tankers start coming through and there are obviously flow on effects here in Australia. What price of fuel should Aussies get prepared for in the coming weeks?

CONROY: Well, we're working very hard to secure more supplies. The example we’ve used was six shipments were cancelled and we secured nine additional shipments to replace them. We've announced measures around using Export Finance Australia to provide insurance to help companies secure more supplies. We've got 57 boats on the water heading to Australia right now, which is around the normal amount for this time. We do recognise that motorists are doing it tough and that's why we've halved the fuel excise and eliminated the heavy road user charge. And we'll continue to place pressure on petrol stations not to gouge their customers. But we recognise that this is having a very significant impact on the global economy and Australia is obviously not immune from that.

STEFANOVIC: Are we going into a recession?

CONROY: Treasury is not predicting that that will occur. But only a fool would say that it's not having a massive impact on the global economy. And we're part of the global economy. That's why it's essential that Iran, the United States return to the negotiating table, resolve this. We've been very clear that we think the United States has achieved its war aims. They went into this conflict saying they wanted to stop Iran getting nuclear weapons and to degrade Iran's ability to attack their neighbours. They've significantly degraded the Iranian air force, the navy's ability to harm neighbours. We think that the ceasefire should continue and the strait should be reopened.

STEFANOVIC: If the strait remains closed, how long before the boats stop? How long before we run out?

CONROY: Well, again, we're working very hard to find alternate supplies. We're getting additional loads of fuel from places like North America….

STEFANOVIC: …you have an idea?

CONROY: …Africa. Well, what I'm saying to you is we're working very hard to secure alternate supplies of fuel. Prime Minister Albanese’s very successful trip to Singapore last week was about locking in those agreements. So, we've just got to stay calm and continue with our lives. We've secured additional fuel. Our fuel reserves are in a much better position than they were four years ago. And this government will keep working hard on this.

STEFANOVIC: All right, stay calm. You've seen the ad, the $20 million ad, obviously. Just finally, in terms of defence spending, you're going to spend what, another $5 billion? Now you’ve found the money to spend on drones. When are you confirming that?

CONROY: On Thursday we'll announce the new National Defence Strategy, which will show that over the next decade we'll spend $15 billion on drones and counter drone technologies. That's an up to $5 billion increase on the previous planning decade. We've got some brilliant autonomous systems in this country. Ghost Bat, the first Australian combat aircraft designed and made in this country in 50 years. Ghost Shark, an extra large autonomous underwater vessel made in Australia using Aussie workers. And you can expect an extra $5 billion to quip the Australian Defence Force. This is part of the future of warfare. We're giving the ADF the best equipment we can get to help defend this country, as well as growing more Aussie jobs in the defence industry.

STEFANOVIC: Better making an express order. Appreciate your time. Thank you. 

ENDS