Senate debates

Wednesday, 27 August 2014

Committees

Economics References Committee; Report

5:53 pm

Photo of Sean EdwardsSean Edwards (SA, Liberal Party) Share this | Hansard source

I also rise to speak on the tabling of The future of Australia's naval shipbuilding industry: tender process for the navy's new supply ships (part 1). I also acknowledge Senator Dastyari's comments about the hard-working secretariat, who has prepared this, and also the collegiate nature in which it is being prepared. I have provided a dissenting report to this report because the executive summary of the report that has been tabled bears little resemblance to the evidence which was collected during that July hearing. Therefore, I am protesting the evidence which has been tabled. As the deputy chair of this committee, the nature of shipbuilding is, and has been, a very important issue for a very long time. While we are very collegiate, it somewhat smacks of hypocrisy and is somewhat shrill now for those on the Labor side, and indeed the Greens, to be concerning themselves when they have not been concerned for quite some time.

I must remind anybody who is listening to this contribution that Labor were in government from November 2007 to September 2013—not 12 months ago. It is as if there is no reference to this period of time when the Labor government was in place. I must give some reminder of the commitment that the Labor Party gave. I refer back to the 20 August 2007 when the then opposition leader, Mr Kevin Rudd, indicated that the Labor government would ensure that the submarines are built by the ASC at its Port Adelaide site, and that construction would begin in about 2017—about the time work on the $6 billion Air Warfare Destroyer project in Adelaide would be tapering off. I quote the former member Mr Rudd who went on to become Prime Minister:

Starting the process this year we will guarantee continuity of work for South Australia's defence industry and those employed in the sector. It will also provide a big boost to South Australia's growing knowledge and skills base and its reputation as the defence state.

What hollow words they were. You might laugh Senator Cameron with your picket line rhetoric. It really does amaze me that you deny your term in office. As the Minister for Defence quite rightly said during question time, when it came to the box of submarine folders, budgets and money, when he took his ministry and opened the submarine box, there was nothing there, despite all this rhetoric. I quote the words of Martin Hamilton-Smith, the state Minister for Defence Industries of the Labor Weatherill government:

On 21st January 2010, former Prime Minister Kevin Rudd promised without reservation that the next generation of submarines would be built completely in South Australia.

He then went on to say:

Before he was knifed by the faceless men, Rudd said, 'As Prime Minister of Australia I confirm in absolutely clear cut terms that our next generation of subs will be built here in Adelaide.'

What happened? I quote here the state minister:

… but since then Julia Gillard—

the then Prime Minister—you have to be careful because there was such a flip-flop—

… has cut $5.45 billion from defence spending and according to the Australian Strategic Policy Institute’s (ASPI) budget director Mark Thompson has deferred a further $17 billion of defence projects.

This was in March 2013. How prophetic was that? You cut every part of that budget to the point where there was the lowest expenditure and you are sitting here feigning this outrage.

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