Senate debates

Thursday, 18 November 2010

Questions without Notice

Defence Procurement

2:49 pm

Photo of David JohnstonDavid Johnston (WA, Liberal Party, Shadow Minister for Defence) Share this | | Hansard source

My question is to the Minister representing the Minister for Defence, Senator Evans. Minister, after months of denial, the worst-kept secret in Defence was revealed when the Singapore base shipyard ST Marine was contracted to convert the Royal Australian Navy tanker HMAS Success to a double-hulled vessel. How can a Labor government, once the champion of Australian workers, tick off on this project when it is very clear that ST Marine is not required to adhere to Australian standards of occupational health and safety and entitlements for workers, as are Australian firms who employ Australian workers at award wages and conditions and who are more than capable and ready to do the job?

Photo of Chris EvansChris Evans (WA, Australian Labor Party, Leader of the Government in the Senate) Share this | | Hansard source

I thank Senator Johnston for the question. I am not aware of the details of the contract that he refers to, but I think the suggestion was that we should not allow international competition for defence contracts. Was that the thrust of his question? My recollection is that it was Senator Minchin who was in charge when the preferred tenderers were selected. I may be wrong about that. That was my recollection. I may be wrong, but I stand to be corrected.

Government Senators:

Government senators interjecting

Photo of John HoggJohn Hogg (President) Share this | | Hansard source

Senator Evans, just resume your seat. On my right I need silence.

Photo of Chris EvansChris Evans (WA, Australian Labor Party, Leader of the Government in the Senate) Share this | | Hansard source

I suppose that I am a bit surprised that the Liberal Party seems to have sunk to xenophobia on a range of fronts in recent times, be it on population, be it on foreign investment—and now it seems to be on the issue of defence contracting. Obviously the government are very much committed to supporting employment in this country and supporting defence contractors in this country. We have done a lot of work to try to support defence business in this country, to try to make sure that Australian companies get access to not only contracts here but also contracts in other nations. That has been highly successful in many respects. I know Senator Carr has taken an interest in this area through his industry portfolio, along with the previous Minister for Defence Materiel, Mr Combet. We are very committed to supporting jobs. That was a key part of our response to the global financial crisis. I am happy to take up any issue that Senator Johnston thinks he might want detailed information about. (Time expired)

Photo of David JohnstonDavid Johnston (WA, Liberal Party, Shadow Minister for Defence) Share this | | Hansard source

Mr President, I ask a supplementary question. Why then, Minister, has the Gillard government ignored the call of Australian Manufacturing Workers Union New South Wales Secretary, Tim Ayers, who says this short-sighted decision will threaten our national security, the viability of the Garden Island shipbuilding and repair facility as well as the jobs of hundreds of highly skilled Australian workers?

Photo of Chris EvansChris Evans (WA, Australian Labor Party, Leader of the Government in the Senate) Share this | | Hansard source

I am always interested in what members of the AMWU and their officials have to say. I also have a lot of interest in what former officials have to say. Senator Cameron has talked to me on many occasions about procurement and supporting Australian industry. This government has had a long interest in those matters and has sought on all occasions to try to maximise Australia’s share of contracts and procurement issues to try to maximise jobs for Australians. That is very much part of the government’s approach and we do pursue those opportunities at all times. It is also the case that we support an open economy and that we think the opening of Australia to international forces, the floating of the dollar and other economic reforms, are important reforms. And I would hate to think that the Liberal Party are turning their backs on those very important reforms. (Time expired)

Photo of David JohnstonDavid Johnston (WA, Liberal Party, Shadow Minister for Defence) Share this | | Hansard source

Mr President, I ask a further supplementary question. Is it true, Minister, that Success has recently returned to Fremantle from Singapore, a voyage of 2,000 nautical miles, because it had to first be debunkered and, secondly, because of a contractual dispute with ST Marine, without the double-skinning work even beginning?

Photo of Chris EvansChris Evans (WA, Australian Labor Party, Leader of the Government in the Senate) Share this | | Hansard source

I cannot assist the senator with the advice about—what was it?—a double skinny? Was it a latte? Double skinny what? I am sorry, I am not familiar with the term and I am therefore not able to help the senator with an answer. Given he has raised a specific issue about the Success, I am happy to take that onboard and see if I can get the minister to give the senator some further information about it. However, I do ask the senator to consider the tone of his questioning and whether this represents a bit of a drift into xenophobia inside the Liberal Party. There is a difference between supporting local jobs and perhaps sinking to a level that does not do him any justice. (Time expired)