AIDN welcomes the release of the Australian Government’s Defence Industry Development Strategy, calls for the release of Integrated Investment Plan (IIP).
According to AIDN, the release of the Defence Industry Development Strategy (DIDS) allows Australia’s Defence Industry to understand the Albanese Government’s strategy and policies to develop the sovereign defence industrial base, but stressed that government reviews cause a slowdown in the awarding of contracts.
“Notably the release of the Detailed Sovereign Defence Industrial Priorities (Detailed SDIPs) and the subsequent commitment to these SDIPs will allow industry to develop their commercial strategies to focus their business efforts,” stated AIDN.
“This allows for industry to undertake investment in skills, infrastructure, plant and machinery and do so knowing that these investments are line with the Defence capability requirements articulated in the National Defence Strategy and its ongoing updates.”
“AIDN acknowledges the Ministers direction in the development of this document, the effort of Defence and invited sections of industry as a collaborative approach to create this strategy. The document calls for ongoing communication, and the establishment of a Tripartite Defence Industry Council including Government, Industry, and Unions which should ensure the ongoing whole-of-nation approach to developing the sovereign defence industrial base required to meet Defence needs.”
With the release of the DIDS, AIDN is now calling for the release of the Integrated Investment Plan, which it views as “a vital element for industry to fully plan, with confidence, and to move forward.”
“The Deputy Prime Minister and Minister for Defence and Minister for Defence Industry have previously advised that the IIP will be fully funded and budgeted accordingly,” stated the Network. “Industry must have this assurance to have the confidence to move forward.”
According to AIDN, since the announcement of the Defence Strategic Review and the release of the DIDS the Australian SME community has been under pressure to remain viable. The Network stressed that it should be acknowledged that strategic reviews undertaken by government leads to a slowdown in contracts being awarded and flow down of work to the SME Community.
“The Government is now progressing their strategic vision with the release of the DIDS, and having now absorbed these delays the Australian SME Defence Industry community remains ready to provide their capability to the ADF.”
AIDN added that it intends to work closely with government and the Department of Defence to ensure that there is an acceleration in contracts being awarded. “Australia’s Defence industry deserves the awarding of contracts to be done efficiently and swiftly, and the procurement reform outlined is welcomed,” it said.
“AIDN will continue to work with the Department to ensure this is a priority and will assist Defence in advising the department in how to remove as many barriers to contracting as possible.”
“The key risk to executing the Governments strategic vision will be the ability to create and maintain a skilled workforce capable of delivering these programs. We urge the Federal Government to work closely with the State and Territory Universities and Trade sector to ensure a comprehensive and realistic workforce development plan is developed.”
