Thursday, 07 Nov 2024

Australians unlikely to know cost of scrapped submarines until after election, Peter Dutton says

Australians unlikely to know cost of scrapped submarines until after election, Peter Dutton says


Australians unlikely to know cost of scrapped submarines until after election, Peter Dutton says
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Australian voters are unlikely to be told the full cost of scrapping the French submarine deal before the election, with Peter Dutton signalling the negotiations will not be wrapped up until after July.

The Labor party supports the Aukus partnership with the US and the UK, including plans for Australia to build nuclear-propelled submarines. But the cost of the U-turn has become a matter of significant political contention in the run-up to the 21 May election.

That figure is based on testimony from officials that the settlement could be met from within the existing budget for the abandoned Attack class submarine program.

Budget papers indicate $5.5bn had already been approved in funding for the project before it was dumped. About $2.5bn of this sum had already been spent as of January. The government has not amended the budget figures pending the negotiations.

While the 18-month study with the UK and the US is not due to finish until March next year, Dutton held out the prospect of an earlier decision on whether Australia would opt for the British or American submarine design.

HMAS Rankin is slated to be the first submarine to undergo this upgrade at Osborne from 2024.

Labor says, if elected, it would take advice on what can be done to bridge the gap, including considering fitting Tomahawk missiles to the existing submarines.

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