THE HON. GREG COMBET AM MPMinister for Defence Materiel and...

THE HON. GREG COMBET AM MP
Minister for Defence Materiel and Science

Building Defence Capability: A policy for a smarter and more agile defence industry base
Greg Combet, Minister for Defence Materiel and Science today launched the Governments new Defence Industry Policy Statement - Building Defence Capability: A Policy For a Smarter and More Agile Defence Industry Base.

The Government needs a strong, successful and skilled defence industry if it is to deliver the ADF that Australia needs for the future, which is why we have outlined this comprehensive suite of programs for the Australian defence industry, said Mr Combet.

The Government is committed to increasing the opportunities for Australian defence industry to identify and make the most of business opportunities within Australia and overseas.
Building Defence Capability is closely aligned to the Governments White paper and Strategic Reform Program.
The policy outlines over $445 million of Government programs that industry can access to improve their competitiveness, their capacity for innovation, their ability to enter export markets, their opportunity to win work locally and the skills of their workforce.
The policy is based on four key principles:
Setting clear investment priorities: Defence industry investment priorities must be driven by clear guidance on the Governments endorsed strategic tasks for Defence and the military capability needs that derive from these tasks. The Statement provides a much clearer outline for the first time of information that will help local firms plan their investment priorities.

Establishing a stronger Defence industry relationship: The Statement advances a considerably more flexible approach to defence procurement and contracting, where varying kinds and levels of risk are managed through the appropriate procurement and contractual vehicles.

Seeking opportunities for growth: The Government will seek to encourage a competitive industry base that has opportunities to grow and is supported by forward-looking and flexible Government policies. This will increase the opportunities for Australian defence industry to identify and make the most of business opportunities within Australia and overseas.

Building skills, innovation and productivity: The Government will ensure that Australian defence firms have every opportunity to enhance their capacity for innovation, skilling and productivity. This is important for Australias defence and will help to sustain viable defence industry enterprises into the future.

These principles have dictated the Governments strong and comprehensive suite of policies designed to build and improve the Australian defence industry.
These policies have increased innovation and skills formation within the industry, improved productivity and supported local small to medium sized enterprises (SMEs).
Building Defence Capability In addition to explaining and improving these policies also outlines a number of new policies and programs.
The new $44.9 million Priority Industry Capability (PIC) Innovation Program will provide funding to companies to encourage innovation in the area of PICs. Under this Program companies will be encouraged to submit innovation proposals relating to PICs to attract funding.
The Defence Industry Innovation Board will better coordinate the innovation programs that are available to industry. This board will feature representatives from both Defence and Industry and will oversee the PIC Innovation Program.
The $59.9 million Global Supply Chain (GSC) Program will facilitate opportunities for Australia defence industry to compete in the defence primes global supply chains. The Government is strongly committed to helping Australian companies win work around the world.
The Australian Industry Capability (AIC) Implementation Unit will improve implementation of AIC policy within Defence and audit System Project Offices to ensure AIC plans in contracts are delivered.
The Government will continue to work closely with defence industry to provide the support they need to deliver the equipment and capabilities that our ADF need to get the job done.
The Government needs a strong, successful and skilled defence industry if it is to deliver the ADF that Australia needs for the future.
Building Defence Capability provides the framework to ensure that Australia has the defence industry it needs to deliver and support the future ADF.
A full list of the $445 million of Governments policies and programs can be found on Page 3 of the Executive Summary and in Annexes B-E of the policy statement.
Media contacts:
Rod Hilton (Greg Combet): 02 6277 7620 or 0458 276 619
Defence Media Liaison: 02 6127 1999 or 0408 498 664

Surely there must be something in this for MST??
Cheers,
mrdog.