Tania Lawrence (Hasluck, Australian Labor Party) Share this | Link to this | Hansard source

I move:

That this House:

(1) acknowledges the Government will make available an initial $12 billion towards the Henderson Defence Precinct to deliver continuous naval shipbuilding and an AUKUS presence in Western Australia, meaning:

(a) record investments across shipbuilding and in AUKUS in the west;

(b) support for approximately 10,000 direct jobs over the next two decades;

(c) opportunities for small and medium sized businesses across the state and Australia; and

(d) certainty for industry that will partner on the construction of infrastructure and facilities; and

(2) notes that the Government continues to increase defence spending to record levels to deliver the capabilities Australia needs through measures like:

(a) the arrival of the first two of 29 Apache attack helicopters;

(b) $1.7 billion for a new fleet of autonomous maritime vehicles including Ghost Shark for the navy;

(c) selection of the Mogami-class frigate as our new general purpose frigates;

(d) boosting Australia's long-range strike capability with the Precision Strike Missiles and $2.12 billion in additional stocks of advanced medium-range missiles to strengthen Australia's air defence and aerial strike capability; and

(e) $1.3 billion investment over the next ten years in counter-drone capabilities and technologies.

I'm pleased to address the development of the Henderson defence precinct in Western Australia and the broader context of the build-up and the strategic repositioning of Australia's Defence capability under the Albanese government. We are living in a moment of profound strategic change. Australia's security environment is more complex, more contested and more demanding than at any time since the Second World War. This is why our government has put capability, people and funding at the centre of our defence agenda. We have ended the underfunding and have ended the chaos—I've spoken these words before—and we have ended the dysfunction of the coalition through providing stability and continuity. We can now focus on what matters: equipping our Defence Force, supporting local industry and delivering for communities.

In Western Australia the government is committing an initial $12 billion towards the Henderson defence precinct to deliver continuous naval shipbuilding in the west—this means supporting approximately 10,000 direct jobs over the next two decades and opportunities for small and medium-sized enterprises right across the state and, of course, our country. Industry has welcomed this announcement. The Chamber of Commerce and Industry of Western Australia described the funding boost as 'significant' and said it will bolster WA's economy. In August Darian Macey of DECnet said that, under this plan, Henderson 'will become the beating heart of naval capability on the west coast'.

The Henderson defence precinct will play a critical role in our continuous naval shipbuilding enterprise, from constructing the army landing craft and future general-purpose frigates to sustaining surface vessels and providing contingency docking and depot-level maintenance for our future conventionally armed nuclear-powered submarines. It entails, as Alex Luck and Naval News noted in September, a significant expansion and investment into the future. The government's focus on Henderson aligns with the view by the Australian Submarine Agency and the 2023 Defence Strategic Review, which identified Henderson as central to Australia's deterrence posture. The strategic review called for state and federal intervention in Henderson to give it the requisite critical mass for shipbuilding, fearing the loss of skilled workers if a pipeline of projects was not maintained. Our government responded by announcing continuous naval shipbuilding in Henderson in October 2024.

Beyond the strategic imperative, there are economic consequences. The precinct will diversify WA's economy beyond mining and resources, linking our skills base to high-tech manufacturing, engineering, logistics and global supply chains. The CCIWA noted that many of the skills developed in WA's mining sector are directly transferable to defence manufacturing. Local businesses, such as Birdon and Civmec, have already welcomed the announcement. Civmec's executive chairman, Jim Fitzgerald, said:

The sheer scale of the proposed infrastructure investment … is potentially a game changer … for our business.

The government's commitments will provide opportunities for small and medium-sized businesses too. This is critical in order to be able to meet demands that are needed for the Defence sector. Encouraging small and medium businesses that may not already be operating in the Defence sector to start to pivot to include that as well is critical.

The truth is this is going to be tripling the size of defence manufacturing in Western Australia. It'll be second only to our mining sector, which underpins our national economy. To achieve that now we need to encourage all students to consider manufacturing and Defence where they may not have previously considered such pathways. The Defence Industry Pathways Program at the South Metropolitan TAFE is an example of the sort of bridging that's required and is part of the Defence industry's skill centre of excellence, which the state and the Commonwealth governments have established with a joint investment of $14.6 million. The government's budget commitments provide that certainty, obviously, for investors but also for families with skilled workers looking to relocate either to Perth or within WA.

I'm lucky in my seat of Hasluck to have many defence and sustainment sectors operating within my electorate but also young people who are keen to work within drone technology, sonar and space. All these things are connected to our broader defence picture but critically to the defence infrastructure needed within Western Australia. So it must sit well within our communities, and to this end Henderson and the broader Rockingham region have thoughtful transitional planning to ensure that not just the shipyards are considered but the amenities, housing and environmental concerns are addressed too. I look forward to the ongoing engagement with all the stakeholders across the Henderson defence precinct and many of those beyond it as well.

Rebekha Sharkie (Mayo, Centre Alliance) Share this | Link to this | Hansard source

Is the motion seconded?

Claire Clutterham (Sturt, Australian Labor Party) Share this | Link to this | Hansard source

I second the motion and reserve my right to speak.

Melissa Price (Durack, Liberal Party, Shadow Minister for Science) Share this | Link to this | Hansard source

I'll begin my contribution to this debate by congratulating the member for Hasluck for drafting this motion. You've got to give it to those opposite—when it comes to drafting motions and media releases, they've really got some talent. Unfortunately, that record for making announcements isn't matched by delivery.

You had your go; thank you, Member for Hasluck. Nowhere is that clearer than in the much-lauded announcement of a $12 billion investment in the Henderson precinct. I want to be clear. The coalition supports the vision for Henderson. As a proud Western Australian, I am incredibly proud of Henderson and its shipbuilding industry. We support a sovereign industrial hub capable of continuous shipbuilding and the maintenance of our future nuclear powered submarines. It isn't just essential for our sovereign capability and the future of AUKUS. It also represents a massive economic opportunity for my home state of Western Australia, with the potential to create over 10,000 skilled jobs.

Given the importance of this project, particularly to the AUKUS agreement, I was pleased to see the Prime Minister, the Minister for Defence and also the Premier of Western Australia finally put on their AUKUS hats and get down to Henderson and commit new money to the development of the precinct—four years too late, I would say, but better late than never! However, it quickly became apparent that this announcement was not reflective of a real plan to urgently move ahead. While we know the Prime Minister has promised this $12 billion towards the precinct's redevelopment, the total figure required, by his government's own admission, is likely to be $25 billion. The government can't even answer basic questions on when and over what period their commitment will be spent. But that's not all; the boundaries and the definition of the actual Henderson precinct haven't even been finalised, and the planning work won't be complete until 2027. It's nearly the end of 2025. Let's get a wriggle on!

The reality is that, under Labor, Henderson is not being accelerated. Sadly, it's being delayed. Without real funding, we risk a shrinking navy, idle shipyards and lost AUKUS opportunities for the people of Western Australia. We risk losing skilled workers and investment at the very time we should be growing them. During the last round of Senate estimates, Defence officials outlined that Australia faces the most dangerous strategic environment we have seen since the Second World War. The threat of conflict breaking out in our region in the next decade is no longer a remote possibility. What we need is a government to be honest about these risks and to prepare us for what may lie ahead. I'm not chest-beating for conflict. I'm not being hawkish. But the truth is that reviews and multiple media announcements do not deter aggression. What deters aggression is readiness. What we need is peace through strength, and Australia has an important role to play in collective deterrence.

I note that, since this motion was drafted, the Prime Minster has been to Washington, and I welcome the confirmation from President Trump that AUKUS has survived his administration's review. AUKUS was a good deal when Prime Minister Morrison announced it in 2021, and in 2025 it remains a good deal. The fact that it has now endured two Australian prime ministers, three UK prime ministers and two US presidents is testament to that. But the reality is that AUKUS too has been underfunded from the start. The government has promised the most ambitious industrial build in our history without allocating the money to make it real. Key AUKUS decisions including the east coast base, the full Adelaide build schedule and the skills pipeline remain unfunded and unconfirmed. In my short term back in the defence industry portfolio, I've also heard major concerns about progress on AUKUS Pillar II, and, because the government has failed to lift defence spending, AUKUS is cannibalising the rest of the defence budget—robbing Peter to pay Paul—and that's why the coalition has been clear: the government must set a credible, costed path to at least three per cent of GDP for defence. That is what it is going to take to deliver real capability, not just press releases. The coalition is committed to spending at least three per cent of GDP on defence, which will back our Defence Force with a budget, give our men and women in uniform what they need in order to defend our home, support our industry and also show urgency to make sure we keep Australia safe. The coalition will always choose readiness over rhetoric and, under us, Henderson, AUKUS and the Australian Defence Force will have the funding, focus and future that they deserve.

Claire Clutterham (Sturt, Australian Labor Party) Share this | Link to this | Hansard source

Like my home state of South Australia, Western Australia plays and will continue to play a critical role in Australia's defence manufacturing and in shoring up Australia's defence capability. The Albanese Labor government does have a laser sharp focus on delivery, particularly with respect to the delivery of the deterrence capability that this country needs. Home of Australia's defence manufacturing and world-class precincts that drive innovation and strategic defence projects, South Australia is a central player in this delivery, a role that I will always proudly champion.

In Western Australia this laser sharp focus has been demonstrated by the commitment to and investment in the Henderson defence precinct, a part of this country that I had the privilege to spend time at in my pre-politics role working for ASC, Australia's sovereign submarine partner. At Henderson I saw the drive and motivation of my colleagues as they worked on the midcycle docking of Australia's six Collins class submarines, which will remain a vital part of our nation's defence capability for several years to come.

The focus on investment in the Henderson defence precinct is designed to ensure that, in this strategic moment, our Defence Force has the equipment, capability, the people and the funding it needs to keep Australians safe. We can do that successfully if there is stability and continuity in the Defence portfolio so that we can undertake foundational strategic thinking, whether that be through the 2023 Defence Strategic Review our national defence strategy for 2024. The DSR placed emphasis on the need to deliver capability that not only allows us to defend but also allows us to effectively deter, and, in an era of rapid geopolitical change and uncertainty, a meaningful and genuine deterrence capability is critical. The object of deterrence is to decisively influence an adversary's decision-making process to prevent hostile action against Australia. Deterrence succeeds when a potential adversary refrains from acting based on an assessment that the likelihood of achieving an outcome is too low and the costs of acting are too high. This additional $12 billion investment in the defence precinct in Henderson in WA is a key pillar in this strategy to defend and deter. Delivering this is fundamental in his term of government.

The Henderson defence precinct will be home to world-class shipbuilding and sustainment and will deliver continuous naval shipbuilding in WA. It is also an eye to the future, representing a major milestone in the AUKUS pathway as Australia develops the capability to safely and securely own, operate and sustain conventionally armed nuclear-powered submarines. As well as providing certainty to workers, certainty to industry and certainty to the Australian people, this $12 billion will contribute to the construction of surface vessels for the ADF, starting with the Army's landing craft and, pending successful consolidation, the domestic build element of Australia's future general-purpose frigates. It will provide facilities to support the sustainment of Australia's surface vessels. It will provide contingency docking capabilities for Australia's future conventionally armed nuclear-powered submarine fleet from the early 2030s. Importantly, for working people ,investment will not only support defence capability but will support 10,000 well-paid, high-skilled, long-term and secure jobs.

The investment also allows us to forge deeper partnerships with our key allies. The first three Mogami class frigates will be built in Japan, but it is anticipated that the remaining eight will be built in the Henderson defence precinct. Australia is an island continent, and it is vital that our maritime trade routes are secured. The general purpose Mogami class frigates are critical to this. The Henderson defence precinct will be critical for this, and its importance is underpinned by the fact that the development of the Mogami class frigates is one of the most significant capability decisions the Australian government has made since the commencement of the AUKUS optimal pathway in 2023.

Australia's naval capability will also be greatly enhanced by the investment in the Ghost Shark. This $1.7 billion contract with Anduril Australia means the delivery, maintenance and continual development of the Ghost Shark, which is a fleet of extra-large autonomous undersea vehicles designed and built in Australia.

Shoring up Australia's defence capability is not only a national imperative; it is an economic opportunity—and the Albanese Labor government is firmly focused on delivering both.

Michael McCormack (Riverina, National Party) Share this | Link to this | Hansard source

The member for Hasluck has moved a private member's motion acknowledging the government is going to make available an initial $12 billion towards the Henderson defence precinct to deliver continuous naval shipbuilding and an AUKUS presence in Western Australia—thank you, former coalition government; thank you, former member for Cook Scott Morrison. In the motion, she notes that there will be a record investment across shipbuilding and in AUKUS in the west—thank you, former coalition government; thank you, former member for Cook Scott Morrison. She notes 'support for approximately 10,000 direct jobs over the next two decades'—thank you, former coalition government; thank you, former member for Cook Scott Morrison. She notes 'opportunities for small and medium sized businesses across the state and Australia'—thank you, former coalition government; thank you, former member for Cook Scott Morrison. And 'certainty for industry that will partner on the construction of infrastructure and facilities'—you know where I'm going to go with this, don't you?—former coalition government, thank you very, very much; thank you, former member for Cook Scott Morrison.

In times of volatility—and our geopolitical situation has never been more precarious since World War II—what we need is to know who our friends are. Indeed, we saw at the White House just last week two friends making a pact, strengthening an alliance, and I acknowledge that. I acknowledge the coming together of Prime Minister Albanese and President Trump to say yes to AUKUS, and again I say, 'Thank you, former coalition government, for coming to the table, for having that vision,' knowing that, in the United States of America and the United Kingdom, we have two firm friends—friends for decades. We've fought alongside one another, we've bled beside one another, and we're going to go forward with one another to ensure that the rights of democracy are upheld, and national security is absolutely paramount.

But, a warning—not long after that important White House get-together, the Australian reported:

Defence is being ordered to delay projects, slash maintenance costs and cut workforce spending in a severe austerity drive, as the soaring costs of nuclear submarines and new shipbuilding programs undermine the nation's readiness for conflict.

What Defence cannot do is cut the cloth to fit the tailor, to suit the tailor. What Defence needs to do is absolutely make sure that it lobbies government through the right channels for more money. The pie is only so big, and we need to acknowledge, as a government, as a parliament, what is critical at the moment: national security. Don't just take my word for it; you only have to look at what is happening in our Pacific Rim to see that there is trouble afoot and that we need to absolutely make sure that AUKUS is solid—and also that all the other spending that we're doing on defence is being kept up.

I had the acting prime minister—the member for Corio, the Defence minister—in Wagga Wagga last week. He visited the Air Force base at Forest Hill and he visited Blamey Barracks at Kapooka, where soldiering begins. That's where they do the recruit training for our nation, for our Army. He was very pleased to see the almost $1½ billion being spent on infrastructure at those two bases—funding that I acquired when I was in the position to do so as assistant minister for defence. Again I say, 'Thank you, former coalition government,' because it is vital that we not only spend money on those regional bases where so much of the training and so much of the strategy are being done and acquired but, indeed, continue to spend the money that we need not just on AUKUS but on Defence as a whole.

That report in the Australian is disturbing:

Days after Donald Trump declared "full steam ahead" for the AUKUS pact, the Australian can reveal the Chief of the Air Force, Stephen Chappell, has initiated reviews of capability and sustainment costs as part of a service-wide push to "mitigate overspending" and "address budget challenges".

That report from Ben Packham on 22 October is worrying, because we need to make sure that we maintain the spending—indeed, increase the spending—as we've been asked to do to meet our commitments in a difficult international situation and for the national security of our nation.

Andrew Wilkie (Clark, Independent) Share this | Link to this | Hansard source

The time allotted for this debate has expired. The debate is adjourned, and the resumption of the debate will be made an order of the day for the next sitting.