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Legislative Council - Fifty-Fourth Parliament, First Session (54-1)
2018-05-16 Daily Xml
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Question Time

Defence Industry

The Hon. T.J. STEPHENS (14:39): My question is to the Minister for Tourism. Can the minister update the house about the great work being undertaken in the defence space, and how is it leading to significant investment and partnerships in South Australia?

The Hon. D.W. RIDGWAY (Minister for Trade, Tourism and Investment) (14:39): I thank the honourable member for his question and very keen interest in the defence sector and, of course, you, Mr President, for having served this country with distinction overseas.

Recently, I had the great pleasure of attending a number of events to illustrate just how big the defence sector is and is going to be for South Australia's future and why investment in this critical space is such a high priority for the Marshall Liberal government. Such is the importance that our government has placed on this sector, the Premier himself has personally taken responsibility for this vital portfolio for the South Australian economy.

Yesterday morning, I attended the Centre for Defence Industry Capability's 'Introduction to the Defence Market' seminar. It was fantastic to see so many people had a strong interest in the defence industry, which is such an important part of our state's future economic prosperity. Incidentally, I think they have had about 17 of these seminars across the nation and talked to over 1,000 people. There was probably close to 200 people yesterday, so it shows the interest in South Australia is quite significant.

With a continuous program of naval shipbuilding on the horizon for South Australia, thanks to the great work of the federal government and their investment in our state, there are opportunities emerging in cyberspace, intelligence, surveillance, reconnaissance and electronic warfare.

Members interjecting:

The Hon. D.W. RIDGWAY: It is interesting that members opposite interject. We have to look at the great work of the federal government and the way that this government, when in opposition, supported them. We did not go out and attack them and pick fights with them. We worked collaboratively with them.

The Hon. I.K. Hunter interjecting:

The Hon. D.W. RIDGWAY: We know what the former minister, Mr Hunter, did. His response was to use four letter words and walk off down the street—potty mouth. We actually sit down behind closed doors and negotiate, and I would like to think that we have had a great response. This is a huge opportunity for South Australia. Most of the time the former government was at war with the federal government rather than working collaboratively. It is a fantastic time—

Members interjecting:

The PRESIDENT: If you want to carry on a conversation, please do so outside. That includes the minister over there as well.

The Hon. D.W. RIDGWAY: It is a fantastic time for businesses to capitalise on the opportunities in the defence sector and invest in South Australia, and many are doing just that.

South Australia already has more than 250 SMEs with the defence industry capability, and seven of the world's top 10 defence primes also have a presence here. Combined with our world-class defence research capabilities and test and training ranges, there is a well-established defence ecosystem.

Following the morning seminar introduction and strong messages of support for investment in Defence, it was fitting that I attended the opening of French company Dassault Systèmes regional centre at the University of Adelaide campus.

Dassault Systèmes, the 3DEXPERIENCE company, is a world leader in 3D design software, 3D digital mock-up and product life cycle management solutions, particularly in the defence sector, having worked in the defence space for more than 30 years. This is a significant development, and I congratulate the University of Adelaide on its agreement with Dassault Systèmes to establish this company's first office to be co-located with an Australian university.

South Australia recognises the crucial role that Dassault Systèmes will play in the Future Frigate and Future Submarine programs. I am delighted to see that one of the world's great digital innovation companies is forging deep relationships in Australia. This relationship exemplifies Dassault Systèmes and the university's shared commitment to innovation and cooperation.

Collaboration is critical to enabling innovation in highly complex environments, whether that is submarines, aerospace or smart cities. The co-location of Dassault Systèmes at the University of Adelaide's engineering department will explicitly drive across many of these areas of interest and opportunity in South Australia.

We have only seen Dassault Systèmes digital leadership through the digital shipyard project in the defence sector. The company is steering digital transformation of the South Australian supply chain businesses, helping them to be ready for the vast defence opportunities emerging globally, not just here in South Australia. In mining and energy, Dassault works closely with many of the industry giants to bring sophisticated digital capability and smart management to their operations.

Our government is fostering digital innovation and entrepreneurialism in this state, and we welcome pioneers such as Dassault Systèmes to the state. They are proof that South Australia is at last moving in the right direction. Of course, it's because of these great opportunities presented by the unprecedented scale of the federal government's investment in Australia's future defence capabilities that this Liberal government plans to implement a suite of policies designed around capitalising on the huge levels of defence investment in South Australia. These include:

capitalising on the defence export opportunities by working with the Defence Teaming Centre to identify global projects being delivered by Adelaide-based primes;

developing supply chain maps for these projects and informing sub-primes and small and medium enterprises in the defence sector about the opportunities to supply them;

developing a comprehensive work plan;

a defence industry employment program for ex-service personnel;

I'm sure that's something that you, Mr President, would have significant interest in. Also:

funding 1,200 apprenticeships over the next four years to attempt to fix the skills shortage left by the former Labor government; and

establishing a new technical college in Adelaide's north-western suburbs, with a focus on encouraging students to prepare for work in the defence sector.

We have already touched on the five trade offices to open up and further strengthen our trade links with the rest of the world. When talking to people in the sector about the magnitude of the investment opportunities, it's clear that government certainty is a key ingredient for a thriving defence industry. Knowing that the government is very supportive and keen on driving this sector and seeing it succeed gives companies lots of the confidence they need to make the crucial decisions that will benefit not only the current workforce but generations to come.

That's why the Liberal government will support the defence industry and why my department—the department for trade, tourism and investment—partners closely with Defence SA in delivering defence and non-defence projects for the defence supply chain across advanced manufacturing, space, cybersecurity and blockchain. I look forward to growing this industry and am very excited about the great opportunities for the defence industry that lie on the horizon.

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