Senate debates

Tuesday, 9 October 2012

Questions on Notice

Strategic Reform Program (Question No. 2038)

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

asked the Minister representing the Minister for Defence, upon notice, on 20 August 2012:

As at 30 June 2012, what specific savings have been made in the Strategic Reform Program 'Provisional Savings and Costs – Gross SRP Stream Savings' for:

(a) information and communications technology;

(b) inventory;

(c) logistics;

(d) non-equipment procurement;

(e) Reserves;

(f) shared services; and

(g) workforce?

Photo of Bob CarrBob Carr (NSW, Australian Labor Party, Minister for Foreign Affairs) Share this | | Hansard source

The Minister for Defence has provided the following answer to the honourable senator's question:

Cost reductions under the Strategic Reform Program (SRP) are based on annual budgets. In 2011-12 the cost reduction target under the SRP is $1284 million. This will be achieved through initiatives under seven SRP streams distributed as follows:

(a) Information and Communication Technologies - $147 million;

(b) Smart Sustainment (including Inventory) - $370 million;

(c) Logistics - $8 million;

(d) Non-equipment Procurement - $207 million;

(e) Reserves - $28 million;

(f) Workforce and Shared Services - $238 million; and

(g) Other cost reductions - $286 million.

*Summation variances are due to rounding

These figures have been updated since their publication in "Strategic Reform Program: Delivering Force 2030".

Defence will publish the stream cost reductions achieved for the full financial year in the Defence Annual Report 2011-12 which will be released in late 2012.