House of Assembly: Tuesday, May 17, 2016

Contents

Defence Shipbuilding

The Hon. J.W. WEATHERILL (Cheltenham—Premier) (14:12): I seek leave to make a further ministerial statement.

Leave granted.

The Hon. J.W. WEATHERILL: On Tuesday 26 April, Prime Minister Malcolm Turnbull announced that his government would deliver on its promise, made ahead of the 2013 federal election, to build 12 submarines in Adelaide. At that time, it was also announced that the government submarine building partner would be the French company DCNS, of which the French government is a major shareholder. The South Australian government, which fought for the outcome of 12 submarines to be built in Adelaide, welcomes this announcement and congratulates DCNS and the French government on their successful bid.

During the competitive evaluation process, we have laid the foundation for an important relationship with DCNS and the French government, hosting a number of inbound delegations and conducting meetings with the French defence ministry. Now that Adelaide has secured this contract, our priority is to maximise the local build. That is why I visited France immediately after the announcement of their successful bid was made. Upon arriving in Paris, it was clear that it was big news for the people of France, who had Australian flags waving proudly across the city of Paris.

In Paris, I met with senior DCNS executives at their headquarters. We learnt that DCNS has based their project job numbers on very conservative estimates and on an eight submarine program, not 12. On this basis, it is likely there will be significantly more jobs based in South Australia than had been previously anticipated. DCNS told us that they will move quickly to establish their Australian head office in Adelaide. They will also be keen to move quickly with the infrastructure work required at Techport.

They see many of the French people who will be coming to South Australia as broadening the relationship between the two countries and, in particular, South Australia. DCNS appreciated the South Australian government's engagement and support and the priority that we put on getting to France to consolidate the relationship immediately after the announcement. The following day, in Cherbourg, we toured DCNS's key submarine building facilities. We were provided with a presentation of the 3-D virtual reality modelling they use as a key part of the submarine design and building process, which will be a key component in the design of the Shortfin Barracuda.

We were also taken on a site tour of the hull construction and assembly. This gives us a firsthand idea of the scope and scale of the construction work required at Techport to prepare for the build of the submarines. We estimate that $50 million worth of construction work may be required just to build the sheds for the future submarines.

Later that day, we were hosted by the Chief of the French Navy, Admiral Bernard Rogel, where we toured the French naval base in Brest where the operating submarines are maintained. In Brest, we also met with the French defence company Thales and were given a tour of its systems integration and sonar capabilities in surface ships and submarines.

In Brittany, I was hosted by the French defence minister, Jean-Yves Le Drian, where we spent the day discussing ways South Australia and France can deepen their ties. He is also the President of Brittany, and he offered to explore a deepening of our relationship beyond just a business relationship with a focus on cultural, sporting and academic exchange.

The government stood up for South Australia and made the federal government keep its promise of building 12 submarines in Adelaide. This government will now stand up for South Australia to ensure that we maximise the jobs potential from this historic project.