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Tender Invite an Australian Shipbuilding Lifesaver

Kevin Andrews
Kevin Andrews, Australia's Defence Minister

Published Mar 5, 2015 5:27 PM by Wendy Laursen

The Australian government has announced tenders for 21 Australian-made patrol boats worth A$594 million ($462 million), plus through-life sustainment valued at A$1.38 billion ($107 billion).

The move follows a Defence White Paper released in December last year which calls for measures to ensure a sustainable naval shipbuilding industry in the country.

The tenders have been hailed as a lifesaver for Australia’s troubled shipbuilding industry, and the patrol boats will be a boost to Australia engagement with the South Pacific.

Replacement patrol boats have been offered to Papua New Guinea, Fiji, Tonga, Solomon Islands, Tuvalu, Kiribati, Samoa, Vanuatu, Federated States of Micronesia, Palau, Republic of Marshall Islands, Cook Islands and Timor-Leste.

“With the existing Pacific patrol boats soon approaching their end of service life, the government has committed to replacing the fleet with new Australian made vessels. This will assist Pacific Island countries to continue to take an active part in securing their own extensive Exclusive Economic Zones,” says Defence Minister, Kevin Andrews.

The replacement vessels will be steel hulled and up to 40m in length, making them larger than the current fleet. They will also have greater seakeeping ability, habitability and endurance and will be updated for the contemporary operating environment. 

They will be capable of speeds greater than 20 knots in sea state four conditions, have a range exceeding 2,500 nautical miles at 12 knots with 20 percent burnable fuel remaining, and be capable of 20 day missions.

BAE Systems Australia Chief Executive David Allott has already said that their bid is being prepared. BAE Systems built the original Pacific patrol boats. “We have a supply chain that includes around 800 small and medium Australian businesses that will be very keen to contribute to this program and to retain some of their capabilities as well,” said Allott. “This capability will be critical should the government decide to maintain a sovereign shipbuilding capability in Australia.”

BAE Systems recently delivered the Royal Australian Navy’s largest ever warship, HMAS Canberra. The second Landing Helicopter Dock (LHD), NUSHIP Adelaide, is being completed at the Williamstown shipyard and is due to be finished later this year.

The government hasn’t said whether a single shipbuilder will be chosen or the work spread around.

Following this tender process, the government is likely to make further decisions about this project nearing the end of 2015.

Meanwhile major defense companies, including Chris Burns, CEO of Defence Teaming Centre, have called for a longer-term outlook and asked the government to prepare a 30-year strategic plan to ensure the survival of Australia’s naval shipbuilding industry, including the plan to replace Australia’s submarines. “We need to see all sides of politics collaborate to develop a long-term plan that assures the sovereignty, security and economic benefits to the nation,” said Burns.