Mr ADAMSON - 1995-08-16
What is the situation with the defence build-up in the Top End, including the economic benefits the Territory will gain from it in coming years?
ANSWER
Mr Speaker, I thank the member for his timely question. Currently, some 800 soldiers, 1050 RAAF personnel and 600 uniformed navy personnel are based in the Northern Territory. My colleagues from Alice Springs and the member for MacDonnell would be well aware that, in addition, 800 or 900 United States personnel involved in defence matters are based at Pine Gap in Alice Springs. Let us not forget also the members of Detachment 421 at the Jindalee radar facility in Alice Springs, all of whom contribute to the economic wealth of the Northern Territory. It is expected that, by the end of the decade, in excess of 4000 military personnel accompanied by 6000 dependants will be in the Top End. Indeed, in relation to the joint defence facility in Alice Springs, I think that some 2500 dependants live in Alice Springs already. From now until the end of the decade, the defence build-up will employ directly over 100 people each year in the construction of new facilities. Once the major building projects are completed, there will be an ongoing requirement for some 100 personnel to fulfil maintenance tasks alone.
Defence capital equipment expenditure in the Northern Territory includes some $240m which will be spent on Robertson Barracks at Palmerston. An additional $12m will be spent on the north Australia training area, $4m will be spent regionally on equipment such as the reserve depot at Gove, $40m is being spent on the RAAF Darwin and Tindal air bases, and $10m is being spent on HMAS Coonawarra. Over $200m will be spent on defence housing, plus $20m on the purchase of land. There are still 1000 houses to be acquired for defence personnel by the end of the decade. I understand that the joint defence base has spent nearly $15m on the purchase of housing and the construction of housing in Alice Springs in the last few years. Ignoring salaries, defence in the Northern Territory spends about $5m on general items. It spends about $100m throughout Australia, and we are endeavouring to assist local businesses to capture an even greater share of that $100m. The disposable income of defence personnel in Darwin is estimated to be $58m to $60m per annum. Visiting personnel add
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approximately $16m annually directly to the Northern Territory economy. Currently, defence spends $54m in Darwin annually on fuel, light, power and food alone. By the end of the decade, that figure is projected to rise to over $78m.
Kangaroo '95 is under way in the Top End as I speak. It has a projected cost of $64m, of which at least $10m will be spent directly in the Territory. It is interesting to note that some businesses at the Trade Development Zone are repairing wheels for armoured personnel carriers. Formerly, that work would have been sent south. Thus, local industry is starting to move into the maintenance areas that will assist the Northern Territory to benefit economically from the military build-up.
Within the next decade, the following major measures for the Territory will be put in place: the 1st Armoured Regiment (Tank) has just arrived; in 1997-98, the headquarters of 1st Brigade; in 1998-99, the 5th/7th Battalion of the Royal Australian Regiment and 2 hydrographic ships; in 1999-2000, the 1st Combat Engineer Regiment; and in 2000-2001, the 103rd Medium Battery of the Royal Australian Artillery.
Recently, some businesses directly related to defence have opened in Darwin. They include a couple of communications companies, Stanilite Communications Designs and Management, CDM, and Transfield Defence Systems. Transfield is seeking actively to sell patrol vessels of its own design to Malaysia and other countries in the region. Transfield is a contender for the M113 armoured personnel carrier upgrade project, and is interested in establishing a warship maintenance facility in Darwin. The Defence and Space Industry group is working closely with Transfield Defence Systems to assist its bids for several projects. If the Malaysian government chooses to buy patrol vessels designed by Transfield, the Royal Australian Navy will follow almost automatically. The number of Australian vessels could vary between 6 and 11, and it is possible that they will be based in Darwin.
The defence white paper released in Darwin in 1994 reaffirmed the federal government's commitment to developing a major manoeuvre area in the Territory, and the north Australia training area is expected to be completed by 1999. In addition to catering for the needs of the Australian Defence Force, it will be available for use by countries in the region. In fact, I am told that Singapore is a likely user of the facility. This would certainly benefit the Territory as Singapore's armed forces train currently at Shoalwater Bay in Queensland.
There is no doubt that, in the next decade, the impact of defence on the Territory will be massive. It will be of benefit to Territorians and will provide a major boost to Territory business. I understand that, in the past couple of days, a senior meeting has been held in Sydney to discuss the freight component of defence force requirements to bring product, parts and equipment to the Northern Territory. Obviously, the thousands of tonnes that will be required to service the thousands of personnel and their dependants that will establish in the Territory over the next decade will be a major contributing factor to the completion of the Alice Springs to Darwin railway. To ensure that the impact of the defence build-up is not overwhelming, a committee met earlier in the year to assist with the integration of defence personnel and their families into the community. It is expected to meet again shortly. The committee comprises defence hierarchy, community leaders and government agencies. The Northern Territory government will help also to ensure that the impact of the build-up is well
Page 711
received by Territorians. It will encourage local businesses to reap the benefits gained by
supporting the defence forces.
Page 712
ANSWER
Mr Speaker, I thank the member for his timely question. Currently, some 800 soldiers, 1050 RAAF personnel and 600 uniformed navy personnel are based in the Northern Territory. My colleagues from Alice Springs and the member for MacDonnell would be well aware that, in addition, 800 or 900 United States personnel involved in defence matters are based at Pine Gap in Alice Springs. Let us not forget also the members of Detachment 421 at the Jindalee radar facility in Alice Springs, all of whom contribute to the economic wealth of the Northern Territory. It is expected that, by the end of the decade, in excess of 4000 military personnel accompanied by 6000 dependants will be in the Top End. Indeed, in relation to the joint defence facility in Alice Springs, I think that some 2500 dependants live in Alice Springs already. From now until the end of the decade, the defence build-up will employ directly over 100 people each year in the construction of new facilities. Once the major building projects are completed, there will be an ongoing requirement for some 100 personnel to fulfil maintenance tasks alone.
Defence capital equipment expenditure in the Northern Territory includes some $240m which will be spent on Robertson Barracks at Palmerston. An additional $12m will be spent on the north Australia training area, $4m will be spent regionally on equipment such as the reserve depot at Gove, $40m is being spent on the RAAF Darwin and Tindal air bases, and $10m is being spent on HMAS Coonawarra. Over $200m will be spent on defence housing, plus $20m on the purchase of land. There are still 1000 houses to be acquired for defence personnel by the end of the decade. I understand that the joint defence base has spent nearly $15m on the purchase of housing and the construction of housing in Alice Springs in the last few years. Ignoring salaries, defence in the Northern Territory spends about $5m on general items. It spends about $100m throughout Australia, and we are endeavouring to assist local businesses to capture an even greater share of that $100m. The disposable income of defence personnel in Darwin is estimated to be $58m to $60m per annum. Visiting personnel add
Page 710
approximately $16m annually directly to the Northern Territory economy. Currently, defence spends $54m in Darwin annually on fuel, light, power and food alone. By the end of the decade, that figure is projected to rise to over $78m.
Kangaroo '95 is under way in the Top End as I speak. It has a projected cost of $64m, of which at least $10m will be spent directly in the Territory. It is interesting to note that some businesses at the Trade Development Zone are repairing wheels for armoured personnel carriers. Formerly, that work would have been sent south. Thus, local industry is starting to move into the maintenance areas that will assist the Northern Territory to benefit economically from the military build-up.
Within the next decade, the following major measures for the Territory will be put in place: the 1st Armoured Regiment (Tank) has just arrived; in 1997-98, the headquarters of 1st Brigade; in 1998-99, the 5th/7th Battalion of the Royal Australian Regiment and 2 hydrographic ships; in 1999-2000, the 1st Combat Engineer Regiment; and in 2000-2001, the 103rd Medium Battery of the Royal Australian Artillery.
Recently, some businesses directly related to defence have opened in Darwin. They include a couple of communications companies, Stanilite Communications Designs and Management, CDM, and Transfield Defence Systems. Transfield is seeking actively to sell patrol vessels of its own design to Malaysia and other countries in the region. Transfield is a contender for the M113 armoured personnel carrier upgrade project, and is interested in establishing a warship maintenance facility in Darwin. The Defence and Space Industry group is working closely with Transfield Defence Systems to assist its bids for several projects. If the Malaysian government chooses to buy patrol vessels designed by Transfield, the Royal Australian Navy will follow almost automatically. The number of Australian vessels could vary between 6 and 11, and it is possible that they will be based in Darwin.
The defence white paper released in Darwin in 1994 reaffirmed the federal government's commitment to developing a major manoeuvre area in the Territory, and the north Australia training area is expected to be completed by 1999. In addition to catering for the needs of the Australian Defence Force, it will be available for use by countries in the region. In fact, I am told that Singapore is a likely user of the facility. This would certainly benefit the Territory as Singapore's armed forces train currently at Shoalwater Bay in Queensland.
There is no doubt that, in the next decade, the impact of defence on the Territory will be massive. It will be of benefit to Territorians and will provide a major boost to Territory business. I understand that, in the past couple of days, a senior meeting has been held in Sydney to discuss the freight component of defence force requirements to bring product, parts and equipment to the Northern Territory. Obviously, the thousands of tonnes that will be required to service the thousands of personnel and their dependants that will establish in the Territory over the next decade will be a major contributing factor to the completion of the Alice Springs to Darwin railway. To ensure that the impact of the defence build-up is not overwhelming, a committee met earlier in the year to assist with the integration of defence personnel and their families into the community. It is expected to meet again shortly. The committee comprises defence hierarchy, community leaders and government agencies. The Northern Territory government will help also to ensure that the impact of the build-up is well
Page 711
received by Territorians. It will encourage local businesses to reap the benefits gained by
supporting the defence forces.
Page 712
Last updated: 09 Aug 2016