Senator the Hon Tim Ayres

Minister for Industry and Innovation
Minister for Science

Doorstop at Henderson defence precinct

Interviewer
Various
Subject
Doorstop discusses $250 million-dollar National Reconstruction Fund investment in Austal Defence Australia; Tragic attack of Helen Haines MP; Katherine Bennell-Pegg and the European Space Agency.
E&OE

JAMES STOKES, PRESIDENT OF AUSTAL AUSTRALASIA: Good morning, everyone. My name is James Stokes. I'm President of Austal Australasia. It's a pleasure to host you here at Henderson. A warm welcome to Senator Tim Ayres and Josh Wilson MP, and to members of the board and CEO of the National Reconstruction Fund. We're here today to announce an important funding agreement that is the culmination of two years of work, and I want to thank everybody who's contributed to delivering it. It will support the construction of the Landing Craft Heavy program, transforming the [Australian] Army's littoral capability and strengthening sovereign shipbuilding in Western Australia. Like the strategic shipbuilding agreement itself, this is an example of Austal and Commonwealth achieving together, working in partnership to meet the Commonwealth's goals. I'd like to hand over to Mr. Wilson and Senator Ayres. 

THE HON JOSH WILSON MP, ASSISTANT MINISTER FOR CLIMATE CHANGE AND ENERGY AND ASSISTANT MINISTER FOR EMERGENCY MANAGEMENT: Thanks, James. Good morning, everyone. Great to be here on Whadjuk Noongar land at the Common User Facility in Henderson in my electorate, and I welcome the Minister for Industry and Innovation and Minister for Science, Tim Ayres. Great to have him here today, particularly because of the announcement that he will make. Lots of people know the Fremantle electorate for its culture and its coastline and its history and its heritage and the emotional resilience of its football supporters, but we are a very, very significant industrial player as well and have been for a long time and that's perhaps not as recognised as it should be. 

What happens here in Henderson has been really important for a long time. It's only going to increase in its significance, particularly around the shipbuilding endeavour. We are an island continent nation. We must have shipbuilding capacity in terms of infrastructure, in terms of skills, in terms of both our own needs and our export capacity, and the announcement today takes us another step in that direction, and it's consistent with the work of the Albanese Government in a commitment to strategic shipbuilding production capacity, and our commitment to a Future Made in Australia.  

The best future for Australia has to include the capacity to produce the ships that we need, and to maintain the skills both in the manufacturing side and all of the operational parts of the maritime industry that support that critical enterprise. What we are doing today is a significant step forward.  

I do want to recognise the part that Austal has played in that. Austal is a great story, a great Western Australian story, a great Fremantle and Cockburn story in itself. A business that started pioneering aluminium fishing and recreational craft became one of the most successful producers of large-scale commercial ferries.  

In recent years, in the last decade or so, it has been a big player when it comes to shipbuilding for Australian defence, for defence needs elsewhere in the world, making contributions in the Cape-class vessels for our use. Its contribution in terms of the Guardian-class, which is not just significant from an Australian point of view, but part of how we engage with our region, particularly with our Pacific family, and now being part of the Landing Craft Heavy project, which will deliver much-needed capability, particularly for defence. But I say, with my hat on as the Assistant Minister for Emergency Management, a kind of capability that is likely to be drawn on in future, sometimes in disaster and humanitarian response circumstances.  

So, this is really, really important for Australia's sovereign maritime manufacturing capacity. It's really important for the jobs and industry development that comes with that. When you lean into apex, sophisticated manufacturing, which is what shipbuilding represents, the cascading benefits that come down through the whole ecosystem of small and medium enterprises is enormous, and we see that already. That is only going to be magnified in the years to come.  

Just taking Austal alone, going from 1,100-1,200 employees to plus 780 as a result of this project and the future work that the Albanese Government is committed to and supporting gives you an indication of the kinds of quality jobs that will exist in our community for generations to come. That's something as a local member, I really, really welcome, and I'm glad to hand over to my colleague and friend, Minister Tim Ayres. 

SENATOR TIM AYRES, MINISTER FOR INDUSTRY AND INNOVATION AND MINISTER FOR SCIENCE: Thanks, Josh. Well, let me make a few points about this announcement today. It's really good to be welcomed, firstly, by Josh Wilson, the Member for Fremantle. He's a person who loves the industrial history of this great region. He is proud of the industrial present and what's been achieved here, and he's been fighting for the industrial future, for blue-collar jobs and engineering jobs in this region his whole political life. 

This is an important announcement for the Albanese Government's Future Made in Australia plan, and what that means for our defence and our security and our national resilience. $245 million from the National Reconstruction Fund being injected into new facilities here to deliver this vital national project, this vital national defence project.  

It will mean 780 additional highly skilled, good quality jobs here, on top of Austal's already enormous employment footprint of more than 1,100 engineering and blue-collar and white-collar staff. That means there is a platform for investment here in this amazing Henderson Precinct for decade after decade to come. And as you drive in here, you can see what has been achieved with an Albanese Government determined to invest in our future naval shipbuilding capability, working hand in hand with the private sector and the team in Defence to deliver sovereign Australian shipbuilding capability here that will serve this country well in the years and the decades ahead. 180 firms in the supply chain for this project already. Opportunities to come for small and medium enterprises to engage with Austal. 780 additional jobs, brand new facilities that will be the beating heart of this fantastic industrial precinct. 

I want to thank the team at Austal and all of their staff, trades and production staff, engineering staff, white-collar staff, who worked so hard over the last couple of years to make this possible. This announcement would not be possible without them, and this future investment in Australian defence capability would not be possible without their skills and their grit and their determination to get this done. I want to thank the team at Austal who worked so hard at a leadership level to make this happen. You know this area is unrecognisable today, and what will be built here over the next 6 to 12 months will astonish Western Australians. And what will be here in 10 years, and 15 years, and 20 years' time, delivering for our defence and shipbuilding capability, will make all Australians proud.  

I'm grateful for the work the team that the National Reconstruction Fund has done to make this $245 million investment in a Future Made in Australia possible, and I really look forward to working with everybody here in Western Australia to bring this to life and to deliver for Australia's defence. Thank you. 

GAVIN STEWART, Executive General Manager – Strategic Shipbuilding, Austal Australasia: Good morning. First of all, I would like to thank Senator the Hon Tim Ayres, Minister for Industry and Innovation, and Minister for Science, and also the Hon Josh Wilson, MP, Assistant Minister for Climate Change and Energy. Today's announcement is a significant milestone for both Austal and the wider Henderson defence industry base. The $245 million funding commitment from the National Reconstruction Fund Corporation will support the build of the infrastructure needed to deliver the Landing Craft Heavy program and further develop the Henderson Defence Precinct at the Australian Marine Complex. 

This investment is much more than just facilities. It will create long-term sovereign shipbuilding capability, creating hundreds of Australian jobs and ensuring West Australia has an industrial capacity needed to deliver major defence programs into the future. The Landing Craft Heavy program represents a critical strategic capability for the Australian Defence Force, and these new facilities will support efficient assembly and launch of those vessels right here in Western Australia. This is another strong example of the strategic shipbuilding agreement working as intended, with industry and government working together to build capability, strengthen the Henderson Precinct and deliver lasting economic and national security benefits to Australia. Thank you. 

DAVID GALL, CEO OF THE NATIONAL RECONSTRUCTION FUND: I think I'm the lucky last, so I will be quick. A big thank you to Minister Ayres and the local Assistant Minister as well for being here today. My name is David Gall, I'm the CEO of the National Reconstruction Fund, and we're absolutely, absolutely delighted to be involved in what I think is an enormous opportunity for the Henderson Precinct today. I want to also thank the Austal team for hosting us today and congratulate them on exactly what they're building here today as well. It was fantastic to be able to see a little bit of what is going to be happening in this building in the not-too-distant future, right behind us and the welding, etc. In that regard, I just did want to appreciate and thank James Stokes and Gavin Stewart for hosting us.  

The National Reconstruction Fund is here to revitalise manufacturing in this country, and I couldn't think of a better opportunity and project for us to be involved in. One of the areas that we're very focused at is defence and defence capability, and this $245 million dollar investment that we're announcing today really will make Australia stronger and safer because it will help to supply these wonderful heavy landing craft our future armed forces really do need to do their job, but it also makes us stronger and more secure in other ways as well. As a nation, we're strong and secure when we're not just able to equip our armed forces with the best technology out there, but when we can manufacture it here as well.  

Australia is building not just landing craft, but sovereign capability, manufacturing capability, and the skills and knowledge needed for advanced manufacturing of these impressive craft will be significant assets for Australia and for Western Australia. The hundreds of jobs, nearly a thousand jobs, that will be created by this investment will be just as significant. We're delighted to be supporting Austal and the facilities that it plans to build here. Thank you. 

AYRES: Let's see if there's any questions on the project and the facility itself before we let anybody ask questions about news of the day? 

JOUNRALIST: What’s the timeline? 

AYRES: [INAUDIBLE] …being turned into early prototype and design work for this project. So, the project is moving ahead now. All of that work is going to assist a more efficient delivery of the project. Over time, we will see 780 additional jobs here, and I'll get the company to step out exactly how that's going to occur, but that's in the context of around 10,000 jobs as a result of Commonwealth Government investment and new industrial capability in this region. This is an enormous opportunity for Western Australia to make a proud contribution to making Australia stronger and to Australia's defence. 

STEWART: Thank you. So, this program lasts until 2037. Eight landing craft heavies are to be built at this facility. We've used a number of contractors as well. We've commenced the building as we speak. We commence production of the first vessel next month. We were in a really good place to commence there. The guys are really excited to get going. The whole facility build will take at least another 12 months to build. But the main point is we have a good facility here. We have Building One available to us in January, so the facility is well placed to support this program. 

AYRES: Any other questions? Great, got off lightly. Thank you very much. Thanks everybody for all of your work, and thanks for coming out. 

JOUNRALIST: [INAUDIBLE QUESTION]. 

AYRES: Well, first, I should say that, of course, all of us who work in and around the Federal Parliament and our families and our staff are thinking about Helen Haines, who is still in a critical condition in hospital. This is an utterly horrific attack on her, and we are thinking of her and wishing her and her family the very best, and her community in Northeast Victoria. Of course, the Prime Minister has been very clear from before he was elected through to today and we, as a mainstream Australian Government, have been really clear. It's very important for our democracy, for our civility and for our decency, that the temperature gets turned down. All of the steps that are necessary will be taken. I have absolute confidence in colleagues in the Australian Federal Police and the security agencies more broadly, but I say what the Prime Minister has said: the temperature needs to be turned down. There is no room for violence. There's no room for violent language. There's no room for that kind of behaviour on social media either. And we wish Helen and her family all the very best.

JOUNRALIST: Is there a need for more security for Federal parliamentarians? 

AYRES: Well, I'll let the security agencies do that work. The most important thing today is firstly that we focus on Helen's recovery. I wish her the very best. All of us, whether we're engaged in politics or not, must take responsibility for making a positive contribution to a more civil and more decent political debate. There is no room for hate speech. There is no room for violence. There is no room for any of this behaviour in a decent Australia, an Australia that I'm really proud of, with a democracy that countries around the world envy. It is time for every Australian who participates in politics to make sure that they are being consistent with those ideals. 

JOUNRALIST: Just on Snowy Hydro, it’s been reported Chris Bowen is set to announce [inaudible] 

AYRES: Well, I'll let Minister Bowen make announcements about what's expected in terms of budget and delivery of that project. It is an important national project. It will make a significant contribution to keeping prices down in the National Electricity Market. But this is what happens when Liberal Prime Ministers and Mr. Barnaby, who's gone and joined One Nation, get around on the back of a beer coaster and make up costings about a project. The Auditor General's investigation of this project made it very clear: costings were not done properly, the engineering process was not delivered correctly and Australians are now paying the price for the Abbott-Turnbull-Morrison period of underinvestment, under-preparedness and not taking our energy security seriously. 

JOUNRALIST: Finally, Katherine Bennell-Pegg has received support from the South Australian Government, when will the Australian Government make a decision?

AYRES: Well, the first thing I should say is Katherine Bennell-Pegg is a remarkable Australian. She is the only Australian woman who has qualified as an astronaut. This opportunity for to be part of this European expedition into space is an enormous opportunity for Australia. It is a very expensive undertaking. The contribution required from Australia is well north of $100 million dollars, and this can only be delivered if it's delivered with the Commonwealth and all of the states and private philanthropy being engaged in this effort right across Australia. It is not possible for one government to do it alone. We are continuing to work through these issues with our colleagues in the states and territories, and with private interests and private philanthropy, who have indicated a willingness to contribute, and we'll keep working those issues through with our colleagues at the European Space Agency. Thank you.

You were reading: Doorstop at Henderson defence precinct from Senator the Hon Tim Ayres.