Nuclear-Powered Submarines

Mr PATTERSON (Morphett) (15:25): Previously in parliament I have spoken about the recent AUKUS agreement, and certainly the state Liberal opposition welcomes the commonwealth government's announcement of the latest phase in what is a landmark trilateral strategic pact between Australia, the UK and the US. Of course, it was first announced in September 2021 by the former federal Liberal government. It really identified as its first initiative to investigate a pathway as to how Australia could acquire nuclear powered submarines and, in so doing, build them in South Australia.

South Australia had a lot to gain from this. In fact, just from a workforce point of view, there are the sheer numbers involved—comparing it to other nuclear-powered submarine shipyards, such as in the United Kingdom with over 11,000 workers—with estimates of around 9,500 workers being able to be employed directly at Osborne as well. It is also upgrading the skills and the capacity of not only those workers but industry in general. So, of course, South Australia has a very important role in that.

Because of the significance of that both now and also given the long-term nature of that, we need to ensure that there is more than rhetoric involved around this. We need to be assured that AUKUS will be managed in the interests of the defence of Australia but also from an industry perspective here in South Australia and because of the actual nature of what is entailed.

Initially, the US would look to provide three to five of their Virginia class nuclear-powered submarines to Australia, so the US benefits in the short term, then progressing on to looking to use a UK design, the first one to be built in the UK and then subsequently allowing the build to occur in South Australia at Osborne, starting with the first one due out in 2042. You can see the UK benefits in the medium term and then eventually the benefits come to Australia.

We need to act with urgency now, though, to ensure that the South Australian industry can participate. The UK supply chain is already established with their Astute and Dreadnought classes. We want to make sure that they do not just then roll on and take up the lion's share of the work that could potentially be in South Australia.

There are questions around that. We were hoping for some of that to be clarified when the Defence Strategic Review came out, which happened in the shadow of ANZAC Day; on ANZAC Day eve it was handed down. Broadly, it outlined in more detail, you would say, what had been released under the former Liberal federal government around the challenges that we are facing here in the Indo-Pacific region with the massive military build-up, the reduction in time frame to prepare for any conflict and the importance of missiles as well.

The Defence Strategic Review did bed down around continuous shipbuilding, which is certainly important for South Australia and also advanced technologies such as AI, quantum and cyber, which, again with Lot Fourteen being established by the former Liberal government, we can take great advantage of.

Unfortunately there are still questions that have come up. The fact that out of this review we now have to have a review of the surface fleet does cause uncertainty. Yes, it may go through, and we need to be precise, but certainly South Australia is impacted because of the Future Frigates. That is creating uncertainty in our defence industry as well, and it is really important that we crack down on that. We have the Defence Teaming Centre acting chief executive, Tim Dore; he wants the government to move fast on this to show who is in and who is out, because these companies have invested hundreds of thousands of dollars.

There are also questions about the life-of-type extension that, again, was announced as part of the initial AUKUS agreement. We must ensure that life-of-type extension work on the Collins boat is done successfully while the AUKUS submarines are built because a thousand jobs are involved with that $6 billion program.

It is incumbent on the state government to make sure they are advocating that these programs continue to occur right here at Osborne in South Australia.