CHECK AGAINST DELIVERY RMAARanign UNTL DELIVERY
SPEECH BY THE PRIME MINISTER
OPENING OF AUSTRALIAN SUBMARINE CORPORATION
OSBORNE, SOUTH AUSTRALIA 16 NOVEMBER 1989
Ten years ago, if someone had said that the Prime Minister
and the Premier would be today opening a $ 4.6 billion
submarine project here in Adelaide, that person would
probably have been laughed out of the ring.
It just wasn't conceivable.
Australia was still debating the defence capabilities it
would require for the future. It was far from certain, if
submarines were to be acquired, that Australians could or
would build them and it was definitely not established,
even if Australians were to build them, that South Australia
would be chosen as the site for their construction.
But the truth about this occasion today is that it marks not
only the formal start to a project that would have been
dismissed ten years ago; it marks also another big step in
the emergence of this state as a world-class centre of
expertise in critical defence technologies, especially
electronics. Just recall that a few years ago, the defence industry in
South Australia meant a few companies still associated with
the Defence Laboratories after the closure of Woomera.
Now, South Australia is the home of some 27 defence-related
companies that employ about 5,000 people.
Ladies and gentlemen,
That transformation hasn't happened by accident.
It has happened for two very deliberate and clear-cut
reasons. First, it happened because my Government was determined when
it came to office to remedy the neglect into which defence
planning had been allowed to fall.
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You may remember the famous statement by Jim Killen, the
Defence Minister under the previous Federal Government, that
Australia " couldn't defend Botany Bay on-a Sunday
afternoon" That extraordinary admission funny if it wasn't so damning
reflected the years of defence planning in which our
defence force was allowed to evolve without any clear
strategy for how and where it might be used.
My Government was convinced from the outset that it was both
practical and achievable for Australians to take full
responsibility for defending our own territory and the
approaches to it.
We were determined that Australia should be self-reliant in
its defence capacities within our alliance framework not
aggressive, not militaristic, but self-reliant: capable of
defending ourselves, by ourselves, if ever we need to, with
a coherent strategy and an appropriate and disciplined
defence structure.
What this meant in practice is reflected in the occasion we
are celebrating today: the modernisation of a naval force
that can guard Australia's sea and air approaches. That
meant building six new submarines, as well as eight new
ANZAC frigates, to replace and update the current vessels
when they are due to retire.
Together with major restructuring of the capacities of our
army and airforce, these new navy vessels will be central to
ensuring our defence self-reliance well into the
twenty-first century.
Obviously, defence self-reliance is an easy principle to
articulate but a complex one to implement.
You can't have defence self-reliance unless you have a
domestic industry that can nourish and support the defence
forces. So the achievement of self-reliance required dramatic
overhaul of all the industries related to our defence
shipbuilding and repair, heavy engineering, munitions,
aerospace, electronics some of the very industries
essential to Australia's emergence as a strong, competitive,
diversified, technologically proficient, export-oriented
economy capable of making an impact in the economies of the
region and the world.
In addition, we have made the Government's own network of
defence factories an efficient and effective part of the
nation's industrial sector, cutting the cost to the taxpayer
of these factories by around $ 250 million while dramatically
increasing their productivity. 137 7
So in achieving self-reliance in a military sense we have
also been achieving self-reliance in an economic sense,
laying the foundations for national prosperity into the next
century. In all this, Kim Beazley has been a minister of drive and
vision who has achieved a goal of importance not just to the
defence forces but for all Australians.
All that amounts to the first reason behind the turnaround
in South Australia's defence industry.
The second reason is right here: John Bannon.
It was John Bannon who decided that South Australians can
and should make a major contribution to the great national
task of rebuilding our defence industries, and that they can
and should reap the benefits of having a world-class defence
industry established here in this state.'
Kim Beazley has made this observation before and I take this
occasion to endorse it wholeheartedly: no state Premier
understood better than John Bannon the opportunities that
would flow to Australia's industries as a result of my
Government's decision to achieve defence self-reliance.
The results of his determination to seize those
opportunities are visible today.
They are results too of the excellent industrial relations
record of this State, exemplified by the site agreement
negotiated between employers and trade unionists for this
project. In winning the submarine contract, South Australia won a
project that will bring one and a quarter billion dollars
worth of work to. South Australia and that will create some
800 skilled jobs for South Australians.
And South Australia has won a lot else besides.
In demonstrating their capacity to meet the uniquely high
standards required to build what we believe will be the
best, the most advanced, and the most potent conventional
submarines in the world, SouthAustralians demonstrated
their capacity to contribute across the board in defence
industries. So it is not surprising that the State will win a big slice
of the ANZAC frigate project.
Nor is it surprising to note the potential for technology
export that will arise from the submarine project.
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Let me add that, under its contract with the Australian
Submarine Corporation, the Federal Government has the option
of ordering two additional submarines on very favourable
terms. The option expires in June 1990 and Federal Cabinet
will have to consider the issue before then. Of course if
we were to go ahead and order the new subs they would be
built here in South Australia.
I am very pleased to be able to announce today the award of
another major defence contract, worth $ 90 million, to the
South Australian company, AWA Defence Industries.
This contract is for the installation of. electronic support
measures equipment for the RAAF's P3C Orion Maritime Patrol
Aircraft. The new equipment will enhance-our defence by
providing a capability to analyse electronic data acquired
by our Orion Fleet.
Around $ 40 million of the contract will be spent in South
Australia, with much of the work being undertaken by AWA
Defence Industries and Hawker De Havilland.
Ladies and gentlemen,
The South Australian Government, South Australian
industries, and South Australian workers, have brought us to
this threshold of a new era for manufacturing industry of
this state and for the people of this state.
I congratulate you all on your achievement, and in joining
John Bannon in declaring this submarine facility open, I
wish you well as in years ahead you perform, together, this
vital national work.