Adelaide to build future frigates but Abbott cautious on subs

Patrick Durrant | Sydney

The Prime Minister Tony Abbott will announce today that the future frigates for the Navy will be built in Adelaide, marking a major commitment towards shoring up jobs for the beleaguered state.

The $20 billion Sea 5000 project would commence in 2020 and already bidders from France, Italy and Germany are lining up, as reported by ADM. The total spend on shipbuilding, which would include the future submarine project, is being tipped at $89 billion.

However Abbott has been tight-lipped on whether the future submarines would also be built in South Australia, leading to some speculation that the announcement is a consolation to nervous liberal politicians and voters, who could well be adversely affected if the decison to build the submarines overseas is taken later in the year.

The Japanese government has long been considered the front runner in the bidding for the Sea 1000 Future Submarine project and of the three contenders seems the least likely to opt for an Australian build.

When probed on the issue in an interview with ABC Radio the Prime Minister said:“Well, the frigates are coming as the first prize”.

He stressed that naval ships can be built successfully in Australia and that the government is determined to get the best possible ships and submarines for the best possible price, maximising Australian build.

“This is the best possible outcome for surface shipbuilding in Australia,” Abbott said.

The ASC facility near Adelaide would likely be the location for the construction of the new frigates, the design for which is still to be determined. The three $9 billion Air Warfare destroyers are currently being built at the same site, but that project and it's builders, including ASC and Raytheon have come in for heavy criticism over cost overruns and delays in construction.

The up to nine frigates would replace the ANZAC-class frigates currently in service with the Royal Australian Navy, with anti-submarine warfare capability being the primary role for the warships.