Defence Shipbuilding

The Hon. F. PANGALLO (15:00): I seek leave to make a brief explanation before asking the Attorney-General, representing the Premier in another place, a question about Australia's $45 billion Hunter class frigates project.

Leave granted.

The Hon. F. PANGALLO:The Australian newspaper has published a story today revealing an early draft of the Defence Strategic Review called for the entire project—the largest shipbuilding enterprise in Australia's history and with nine of the frigates to be built in Adelaide—to be axed. This was amid grave concerns the project risked undermining Australia's ability to defend itself against China's navy with poorly armed and overpriced warships. However, the review team changed tack in its final report to recommend an independent external review to determine the project's future.

There have been concerns about the future of the Hunter class project, which is already running at least 18 months behind schedule, following the release of a damaging report by the Australian National Audit Office last month that revealed a host of mismanagement and misinformation that led to the British-based warships' high-risk design being chosen ahead of other more suitable frigates from Italy and Spain. My questions to the Premier are:

1. Is the state government holding crisis talks with the federal government about the future of the Hunter frigates project following the release of the Defence Strategic Review final report?

2. Will the Premier give an assurance the future of the project is secure and the planned nine frigates will continue to be built in Adelaide, and if at all?

3. Has the government held talks with BAE Systems following the release of the final report?

The Hon. K.J. MAHER (Minister for Aboriginal Affairs, Attorney-General, Minister for Industrial Relations and Public Sector) (15:02): I thank the honourable member for his questions and I will refer them to the relevant minister in another place and bring back the honourable member a reply.