The SEA4000 Phase 3 Air Warfare Destroyer project has been removed from government’s Projects of Concern list, Defence Minister Marise Payne has announced.
The project has been on the list since 2014 following an independent review by Professor Don Winter and Dr John White and an Australian National Audit Office report which identified increasing commercial, schedule and cost risks, and which saw the delivery of the first vessel HMAS Hobart delays by more than two years.
“HMAS Hobart has been commissioned into service, marking a step change in Navy’s ability to fight and win at sea,” Minister Payne said in a February 1 statement. “The two destroyers, Brisbane and Sydney, are both on track to be delivered against the reformed schedule and set to add to Navy’s capabilities.”
Minister for Defence Industry, Christopher Pyne added, “The remediation of the Air Warfare Destroyer project shows the country is ready for the Turnbull Government’s continuous naval shipbuilding program, which will create thousands of jobs and secure the shipbuilding industry for future generations of Australians.”
AWD design lead, Navantia Australia welcomed the move, saying that, since Navantia’s appointment to lead the AWD Reform Process, all program cost and schedule milestones have been achieved or exceeded.
“Navantia Australia welcomes the Government’s recognition of the exceptional performance of the Australian shipbuilding team delivering the Hobart Class, Australia’s most capable warships,” Donato Martinez, Managing Director of Navantia Australia said in a statement. “This announcement is a credit to the work of all involved in the AWD Alliance, including ASC, Raytheon and the Department of Defence. The success we are now seeing in the AWD program is building a strong foundation for Australia’s continuous naval shipbuilding enterprise.”
Raytheon Australia Managing Director Michael Ward added, “As a member of the AWD Alliance, Raytheon Australia welcomes this important announcement and acknowledges the role of those who have successfully turned the project around. I commend the Government for taking the tough, necessary and important decision to implement the reform strategy.”
Where once the list numbered more than a dozen projects, just four projects remain on the POC list:
- AIR 9000 Phase 2,4 & 6 – MRH90 Multi-Role Helicopters
- JP 2008 Phase 3F – Australian Defence Satellite Communication Capability Terrestrial Enhancement
- AIR 5431 Phase 1 – Deployable Defence Air Traffic Management and Control System
- AIR 5431 Phase 3 – Civil Military Air Traffic Management System