Aaron Violi (Casey, Liberal Party) Share this | Hansard source

I want to commend the member for Petrie for this important PMB today. It's no doubt that if we get a strong defence industry it plays a key role in our national security. The Albanese Labor government unfortunately have become obsessed with reviews, roundtables and discussions, and it's having a profound impact on all Australians. While Australians grapple with the rising costs of living, energy prices through the roof and some of the most uncertain times for our nation in terms of national security, the only action that this government has taken is to announce review after review. Importantly, this is having a devastating impact on Australia's defence industry, which has been left grappling with uncertainty created by those opposite. Anyone who has worked in business knows how important certainty is for businesses. It allows them to invest capital, to get their workforce structure right and to service loans. The Albanese government is not providing this certainty for industry. The Australian Financial Review reported on 11 April this year:

Australian defence firms say they have been forced to delay investment and hiring decisions because the federal government is holding off making acquisition decisions …

With nothing but uncertainty from the people running this country, businesses can't invest in machinery, they can't invest in upskilling staff and they can't make plans to secure our ongoing national security. That's what this government is playing with. This is despite the government's agreed recommendation of the Defence strategic review warning of Australia's 'deteriorating strategic environment' and calling for an increase in defence funding to meet our strategic circumstances. That funding has not been forthcoming from this government. The review found that Australia's industry content and domestic production should be balanced against timely capability acquisitions, but this requires financial support from the government. Without financial support, we run the risk of losing more contracts overseas, which would negatively impact on our sovereign capability. We will lose the ability to make those things that are so crucial for our defence industries, our defence and our country. With pillar 2 of AUKUS having a focus on AI, quantum, hypersonics and cybersecurity, it is vital that we have a strong and robust defence industry to execute on these technologies and develop our sovereign capability.

And it's not just around this strategic review. Another great example of this government not being prepared to make the right decisions in our national security is not having a minister for the digital economy to make sure that these AI businesses, cyber businesses and cybersecurity can work in our defence industries but also in our domestic economy, building their strength. I had the opportunity last week at a Tech Council event to speak to quantum companies and to AI, and they were talking about the synergies and opportunities in defence industry and the commercial sector. This government is dropping the ball in both spaces, which impacts our national security. It's important that we support Australian businesses in the defence industry.

One great example of an innovative business is SYPAQ, which has developed low-cost drones under a $1.1 million Defence Innovation Hub contract from the previous coalition government. These are drones made of cardboard. They come flat packed and can launch—flying up to 120 kilometres—and land by themselves. These have been manufactured here in Australia—down in Melbourne, actually—and are now being sent to Ukraine to help the Ukrainian forces. This is just one example of Australian innovation and ingenuity creating jobs in Australia and securing the national security.

The Albanese Labor government's disconnect with the Australian defence industry should alarm all Australians because it shows their complete lack of understanding of the challenges our nation is facing. It shows a lack of urgency around what is arguably one of the most important roles of a federal government: protecting our borders and keeping our nation safe. I urge the government: don't spend so much time looking in the rear-vision mirror and talking about the previous government. You're no longer in opposition; you're now in government. Now is the time to take action and make decisions. Stop talking about the past and actually take some ownership and deliver for the defence industries of Australia so we can have strong national security. Protect our dwindling defence budget, and advocate your Treasurer to increase that spending.

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