Defence industry as been formally recognised in the creation of a new portfolio to be led by South Australian MP Christopher Pyne. Today the Prime Minister Malcolm Turnbull announced that Cabinet would be increased to a total of 23 with the creation of the new position.
The former Minister for Industry, Innovation and Science has been a prominent representative and advocate for South Australia and with that state becoming home to a large portion of the swathe of shipbuilding contracts announced earlier this year, the elevation of Pyne to the position comes as little surprise. The move has been reported by The Canberra Times as a blow to the incumbent Minister for Defence Senator Marise Payne, who has kept her Ministry albeit with less key responsibilities. However given the $195 billion being spent by Defence in the next ten years, a sharing of the responsibility seems to make good sense and will no doubt be welcomed by industry.
Minister Pyne made the following statement:
I am delighted and humbled to be appointed as the Minister for Defence Industry and reappointed Leader of the House by the Prime Minister today. It is no secret that I am a strong supporter of Australia’s defence industry and have worked hard to ensure our procurement dollars are spent here in Australia.
Australia is entering the single biggest period of defence construction in its history. The Defence White Paper contained $195 billion of new investment in our Defence capabilities over the next ten years. I will manage this massive programme as the Minister for Defence Industry.
Our Defence White Paper identifies and seeks to address the capability challenges we face as nation in the years ahead. With this investment in our national security comes opportunities to transform our local economy, particularly in the areas of advanced manufacturing, research and development.
Our defence industry has the capacity to be an economic and innovation driver as we shift from the post mining construction boom period into a new age of innovation.
As minister I will be focussed on ensuring we grasp this once in a generation opportunity and ensure our plans for job creation and economic growth are realised. This is an exciting new ministry and I look forward to the challenges ahead.
It has been a great honour to have served as Minister for Innovation, Industry and Science and I am very proud to have delivered the National Innovation and Science Agenda in December last year. This ground breaking, whole of Government agenda, will give Australians greater ability to develop and commercialise their ideas and I look forward to working with my colleagues across the Government to fully implement it in the months ahead.
Minister Payne made the following statement:
It is an honour and privilege to be reappointed as the Minister for Defence.
I would like to welcome my long time friend and colleague the Hon Christopher Pyne MP to the portfolio as the Minister for Defence Industry, and I am pleased to continue to work with Minister for Defence Personnel the Hon Dan Tehan.
Delivering the significant projects outlined in the 2016 Defence White Paper and Integrated Investment Program is a national enterprise, and I am enthusiastic about working in close partnership with Minister Pyne on these nation transforming projects.
As the White Paper detailed, Australia faces an increasingly challenging strategic outlook and I am committed to ensuring Australia’s long term national security.
Every day as Minister for Defence I see the professionalism of the men and women of the Australian Defence Force and it is a great honour to continue to work with them.
ADM will report further on how responsibilities will be shared by the two ministers, but understands Minister Pyne will oversee the management of the Defence Integrated Investment Program and the implementation of the tenets of the Defence Industry Policy Statement - namely: delivering defence capability; cutting red tape; adopting a new approach to defence innovation; and driving competitiveness and export potential.
Both documents were released in conjunction with the Defence White Paper in February this year, with the Defence Integrated Investment Program focusing on the first ten years of investment to FY 2025-26, with broad guidance on the second decade to FY 2035–36 where feasible, to allow for longer-term investment portfolio planning. It allocates investment of approximately $195 billion in the decade to FY 2025–26 to fund investment in support of the future force.