22 October 2024

'Momentous' deal sealed between WA and Federal governments over Defence Precinct at Henderson

| Chris Johnson
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WA Premier Roger Cook and Federal Defence Minister Richard Marles signed off on the state's new precinct at Henderson Shipyard on 16 October.

WA Premier Roger Cook and Federal Defence Minister Richard Marles signed off on the state’s new precinct at Henderson Shipyard on 16 October. Photo: Defence/Nicole Mankowski.

The WA and Federal governments have plans to establish a consolidated Commonwealth-owned Defence Precinct at Western Australia’s Henderson shipyard.

The government says the precinct will underpin tens of billions of dollars of investment in defence capabilities in the West over the next two decades and support about 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.

Announcing the plans, Anthony Albanese said it built on his government’s strategic partnership between Defence and Austal Limited at Henderson, and was 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,” the Prime Minister said.

“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.”

The news 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.

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The Defence Precinct will support construction 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 our Defence Force’s ability to meet Australia’s complex strategic circumstances.

Defence Minister Richard Marles said the commitments represented 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,” Mr Marles said.

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.

The 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 is expected to create about 3000 jobs in Western Australia.

WA Premier Roger Cook described it as a “momentous announcement” for the state. He said it would ”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,” Mr Cook said.

“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.”

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The ambitious long-term cooperation agreement program between the Federal and WA governments includes:

  • 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; and
  • Ensuring effective engagement across federal, state and local governments and communities.

The Federal 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.

This work will inform future decisions on delivery options and models for the site. A copy of the agreement can be found online.

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