Press Conference - Wedgetail Upgrade

CHRISTOPHER PYNE: Thank you very much for coming this morning to this really important announcement about the upgrade of the Wedgetail platform for the Air Force and for our Defence Forces in general. The Wedgetail is one of our most important platforms in the Air Force and one of the most important parts of our capability in terms of forward defence and the defence of the nation. It is the most advanced and sophisticated airborne battle management centre in the world today. It provides radar, communications, battlefield intelligence to our fighting forces, and of course is serving right now in the Middle East, in Syria and Iraq, supporting the Hornets that are fighting Daesh – and fighting Daesh very successfully.

The Government, as part of our largest build-up of our military capability in our peacetime history, has committed $200 billion to that over the next ten years, and $600 million of that will be used to upgrade the Wedgetail that’s standing behind us here. It’s vitally important that the Wedgetail not just have its great successes in the past, but have great successes in the future, and therefore we have to keep improving its capability, keep upgrading it, keep working out what our opponents might be trying to find in terms of weaknesses in the system, meeting those, and then beating them down the track.

So this investment, this $600 million, will mean jobs here at Williamtown, at Amberley, and in Brisbane. It’s part of our ongoing commitment to doing as much of this increase of our capability here in Australia. Our first priority remains, of course, the capability of the Defence Forces. Our second priority is to ensure that as much of that as possible helps to drive high-technology jobs, skilled work, infrastructure in this country to help build our economy, and that’s exactly what we’re doing.

Can I say, on another subject, how pleased I am that Arrium will be sold to the formerly-named Liberty Group, the GFG. Arrium, being one of the largest businesses in South Australia and Australia, has had a checkered past over the last few months. As Industry Minister, I was able to announce support for Arrium around things like the Adelaide to Tarcoola rail line, which provided a lifeline of work for Arrium. Today’s announcement that Arrium will be sold is a very welcome step. Of course, the new owners of Arrium have announced that they will keep all the employees; they intend to invest in the business, to grow the business. That’s good news here in New South Wales, but also very good news for South Australia, and as a South Australian I very much welcome that announcement today.

Any questions?

QUESTION: We have a few for some of our other bureaus as well in regards to the reconnaissance vehicles in Queensland. How likely is it that Queensland will get that contact [indistinct].

CHRISTOPHER PYNE: Well, the combat reconnaissance vehicle is currently being assessed under a risk mitigation process. There are two bidders: Rheinmetall and BAE. The Government hasn’t made a decision between Rheinmetall and BAE’s vehicles. Both vehicles are very, very good, and the Government won’t be deciding where the base of those operations will be. We will choose the successful vehicle; the companies will decide where they want to put the base of their operations. So we’re not choosing between states, we are choosing the best vehicle for our capability for the Defence Forces.

QUESTION: Your colleague, Peter Dutton, though, he really thinks Queensland should be on the radar for the project. What’s your message to him?

CHRISTOPHER PYNE: Well, the two companies have indicated that they are looking at Victoria and Queensland as the base of their operations. That’s a matter for them. I would expect the Queensland members of parliament to be boosting their state’s capability, and also the Victorian members of parliament are doing the same thing. That’s part of being a good representative for your seat and your state. But we haven’t made a decision about whether Rheinmetall or BAE will build the vehicles.

QUESTION: Christopher Pyne, how serious is the threat posed by North Korea, their rapidly advancing weapons programs, to Australia’s security?

CHRISTOPHER PYNE: Well, the Prime Minister is heading today to the G20 in Europe. I’m sure that the threat of North Korea to the peace of the world will be a subject for discussion. Of course, we are very concerned about North Korea’s activities. This is not a new concern; the North Korean issue has been festering for many decades, and it does seem that in more recent times the new leader of North Korea is adopting a more bellicose approach. That is of great concern to us and that’s why we work with our allies, like the United States and countries like Japan and South Korea, to try and ameliorate that threat. And of course, China has a very significant role to play in keeping North Korea in check because it’s its largest partner and its only, really, significant ally.

QUESTION: You mentioned allies there, Christopher Pyne; will Australia, do you think, soon participate in war games with the US, Japan, and South Korea, specifically focussing on shooting down missiles?

CHRISTOPHER PYNE: Look, we’ve made decisions over the last few months about Australia’s defence and we are getting on with the job. One of the most recent ones that is relevant is the decision to purchase the surface-to-air missile defence systems from Raytheon for our troops’ defence and for the defence of the nation. But in terms of operational matters, I’m not going to comment on those.

QUESTION: So I guess there you’re hinting at maybe a stronger missile defence system on the radar?

CHRISTOPHER PYNE: We are always thinking, along with the Chief of the Defence Forces, and of course people like Leo Davies as the Chief of the Air Force, about what we need to do to protect Australians. That is the number one priority of any government, and we are making the investment decisions in the capability of our defence forces, and we’re confident that we can meet threats to Australia now and into the future. That’s why we’re investing $90 billion alone in submarines and frigates and offshore patrol vessels and ports in Australia; it’s why we’re upgrading every single base across Australia and weapons range. This is all good news for our Defence Forces, but more importantly we do it because it helps to secure the nation and keep us safe.

QUESTION: It may be too early to tell, but in terms of the jobs created through this project, do you have any idea of how many will be at Williamtown?

CHRISTOPHER PYNE: Well, it’s expected that about 120 would be in Brisbane because that’s where the centre of this work is being done; about 50 will be between Amberley and Williamtown. Leo might have a better idea, but I don’t think that that breakdown has been decided. Is that right?

LEO DAVIES: That’s correct, Minister.

QUESTION: While you’re here Minister as well, I guess we know a lot has been said about inner turmoil within the Liberal Party; we have a former prime minister who was intent on saying no wrecking, no sniping, yet I guess a lot of the public can see a bit of wrecking going on. What’s your message?

CHRISTOPHER PYNE: Well, I’m here for a good news announcement today – it’s good for the Hunter Valley, it’s good for Williamtown, it’s good for the Defence Forces and for local industry. I’m going from here to make another opening of another piece of infrastructure as part of the Joint Strike Fighter program and I’m not really here to stoke any internal dissention.

QUESTION: Just quickly, in terms of the centre that you are opening, can you tell me a little bit about that and how important it is?

CHRISTOPHER PYNE: Well, the Joint Strike Fighter of course will start being based here at Williamtown in 2018, and so the infrastructure is being built to ensure that that will be successfully based here. Part of that is a logistics centre, and that is what I’m opening today. That logistics centre runs things like training, the operations of the platform, skill development, et cetera, and that’s what I’m opening today, and that’s part of an overall $770 million upgrade to the Williamtown base – things like the runway extension and buildings and other things. So we are really investing in the RAAF base here at Williamtown. It is one of our most significant bases, of course, and it will continue to be into the future, and those commitments of course are part of that. That’s a $16 million investment and that’s supported about 350 jobs here in the Hunter.