Australia investing billions in new WA Defence Precinct

The Australian government will establish a consolidated Commonwealth-owned Defence Precinct at Western Australia’s Henderson shipyard to underpin tens of billions of dollars of investment in defence capabilities in the West over the next two decades and support in the order of 10,000 well-paid, high-skilled local jobs. The establishment of a consolidated Defence Precinct at Henderson is the critical next step in delivering continuous naval shipbuilding in Western Australia. This builds on the  government’s announcement last year of a strategic partnership between Defence and Austal Limited at Henderson. It also represents a major milestone on the AUKUS pathway as Australia develops the capability to safely and securely own, operate and sustain conventionally‑armed, nuclear‑powered submarines. (IMAGE: Australian Government) The Defence Precinct will support the build of new landing craft for the Australian Army and new general purpose frigates for the Navy announced by the Albanese Government, with requisite large vessel infrastructure to form part of the Precinct. These capabilities are vital to transforming the Defence Force’s ability to meet Australia’s complex strategic circumstances. The government has also determined that the Defence Precinct at Henderson will be the home of depot-level maintenance and contingency docking for Australia’s future conventionally‑armed, nuclear-powered submarines. These vital maintenance capabilities will be established at Henderson in accordance with domestic processes and regulatory requirements, and consistent with Australia’s international obligations to maintaining the highest standards for nuclear safety, security and safeguards. Contingency and depot-level maintenance alone will create around 3,000 jobs in Western Australia. This is in addition to the thousands of jobs that will be supported through construction of the Defence Precinct, delivery of continuous naval shipbuilding in the West, and the establishment and operation of Submarine Rotational Force-West at HMAS Stirling. Coupled with the $8 billion the government has already committed to expand HMAS Stirling, these investments and capability programs in Western Australia will be worth tens of billions of dollars over the next two decades. To deliver this ambitious long-term program, the Albanese and Cook Governments have today signed a Cooperation Agreement, which provides a foundation for collaboration to deliver the Defence Precinct and related activities. This will include: Developing a dedicated joint forum to deliver the skilled workforce required to deliver and sustain critical Defence capabilities. Establishing the necessary infrastructure, including common user facilities, to support industry across the Defence Precinct at Henderson. Ensuring effective engagement across Federal, State and Local governments and communities. The government will make an initial investment of $127 million over three years to progress planning, consultations, preliminary design and feasibility studies as well as enabling works for the Defence Precinct at Henderson. This work will inform future decisions on delivery options and models for the Defence Precinct at Henderson. The government is committed to working with the Cook government to deliver the infrastructure, industry, workforce and training for a defence future made in Western Australia. A copy of the agreement is available here: Cooperation agreement between the Commonwealth of Australia and the State of Western Australia to deliver and sustain Australia’s future Defence capabilities | Defence Ministers Anthony Albanese. Prime Minister Anthony Albanese said: “The Albanese Government’s commitment to the Defence Precinct at Henderson is a game changer for WA industry – it will create thousands of jobs for West Australians and underpin billions of dollars of investment in defence capability in the West. Henderson already plays a critical role in the delivery and sustainment of Australian Defence Force capabilities and this will see the important role of WA industry grow further.” Deputy Prime Minister Richard Marles said: “The Albanese Government’s commitments represent the most consequential defence investment in Western Australia in nearly four decades, since the commissioning of HMAS Stirling in 1978 and its expanded role as Australia’s Indian Ocean fleet base under the 1987 two-oceans navy policy. The Defence Precinct at Henderson will optimise Australia’s shipbuilding and sustainment industry while supporting continuous naval shipbuilding in Western Australia and Australia’s nuclear-powered submarine pathway. The Albanese Government is committed to investing in the growth of a productive and resilient defence industry and workforce to keep our nation safe and deliver a future made in Australia – which is exactly what the Defence Precinct will deliver.” Minister for Defence Industry and Capability Delivery Pat Conroy said: “Successful consolidation of the Henderson precinct will secure decades of continuous shipbuilding in Western Australia, providing generational benefits for locals who play a vital role in keeping Australia safe. This investment by the Albanese Government will not only create thousands of high-skilled and well paid jobs in Western Australia but also ensures a future made in Australia.” HMAS Arunta returns to the water after significant upgrades by BAE Systems at Henderson Dockyard, Western Australia. (PHOTO: Kylie Jagiello) WA Premier Roger Cook said: “This is a momentous announcement for Western Australia – one that will set up our State for an exciting future and puts us at the centre of the nation’s defence capability. The new Defence Precinct at Henderson will deliver tens of billions of dollars in investment and thousands of local jobs. This massive investment delivers on my Government’s mission to develop and diversify our State’s economy by providing another economic pathway for our State for decades to follow. It is a win-win for Western Australia and the nation.” WA Minister for Defence Industry Paul Papalia said:  “The investment of tens of billions of dollars will turn Western Australia into a defence powerhouse. The Defence Precinct at Henderson will be the home of depot-level maintenance for nuclear-powered submarines as part of AUKUS. It will also be the maintenance hub for Australia’s nuclear submarines. This historic agreement will result in generations of jobs and diversify the economy like never before.” Construction company said it “welcomes the joint announcement by the Commonwealth of Australia and Western Australia State Government regarding the creation of a new Defence precinct at Henderson to deliver continuous naval shipbuilding and nuclear-powered submarine maintenance”. Civmec’s Executive Chairman, Jim Fitzgerald, said “the sheer scale of the proposed infrastructure investment in Henderson and the magnitude of the opportunities it will present for us, a proven construction and defence contractor, is potentially a game changer for these divisions of our business. It represents a monumental day for Western Australia and should be welcome news to the entire State. It is in the national interest that we have this capability and capacity on the west coast. This new infrastructure will play a crucial role in WA’s ability to effectively deliver and/or sustain these large Naval vessels and nuclear-powered submarines. In terms of the vital work Civmec does for the sectors outside of Defence, we continue to be forward leaning and are engaging closely with all relevant stakeholders to ensure there is minimal disruption to our critical resources, energy, and infrastructure projects that rely on daily access to the Henderson Common User Facility. Civmec is working with the Department of Defence, along with the State and Federal Governments on suitable alternate land options in the immediate vicinity for the establishment of a new State-owned Common User Facilities with the infrastructure and capabilities that can support current and future non-defence industries, activities and projects. This planning work is underpinned by the commitments made in the Cooperation Agreement between the Commonwealth of Australia and the State of Western Australia to deliver and sustain Australia’s future Defence capabilities.” For Editorial Inquiries Contact: Editor Kym Bergmann at [email protected] For Advertising Inquiries Contact: Group Sales Director Simon Hadfield at [email protected]