I am pleased to announce the signing of the contract to build two large amphibious ships for the Royal Australian Navy.
This contract, costing about $3.1 billion over eight years, will draw on the strengths of Australian industry to provide two of the most advanced ships of this type in the world. The first ship, HMAS Canberra, will be delivered in 2013 and the second, HMAS Adelaide, in 2015.
These 27,000-tonne ships will greatly enhance Australia's ability to deploy forces when necessary in our region or beyond, and to provide assistance in time of natural disaster. Using their integrated helicopters and watercraft, each vessel will be able to land approximately 1,000 personnel, along with their vehicles, the new Abrams tanks, artillery and supplies. They will also be equipped with medical facilities, including two operating theatres and a hospital ward, and will be capable across the full spectrum of maritime operations, including aid to the civil community in times of natural disaster at home or abroad.
Additional jobs and economic benefits will be created not only during construction but in supporting the vessels throughout their life.
The construction of the superstructure and the majority of the fit-out, worth approximately $500 million to Australian industry, will occur in Melbourne. At its peak the Tenix workforce will grow to over 1,500 from its current 1,000. Combat system work in Adelaide will bring up to $100 million to the South Australian economy. Other states will also benefit.
As well as providing the Australian Defence Force with valuable enhanced capability, this major investment by the Government will help to support a critical Australian industry. It will offer Australian defence firms unparalleled prospects in the areas of electronics, design development, systems engineering and integration, employing Australians in a range of high-value engineering, shipbuilding and project management roles.