Department of the Legislative Assembly, Northern Territory Government

Mr MITCHELL - 1996-10-16

The army's move to northern Australia is providing numerous business opportunities for local companies. What is the government doing to help identify those opportunities and to determine whether or not existing Territory companies can meet the defence forces' growing needs?

ANSWER

Mr Speaker, the government has identified that there is a risk of overloading some of the existing businesses, particularly in the service industries, if they are not given sufficient lead time to prepare for the requirements of the defence forces as they move to the Northern Territory. By the year 2001, the army will have brought in some 350 armed combat vehicles and well over 500 trucks and other support vehicles.

Mr Stirling interjecting.

Mr POOLE: Go and have a green can and relax a bit, Syd Vicious, but do not drive when you have.

In addition, there will be an influx of domestic vehicles and the number of defence personnel in the Territory will rise to more than 5000 by early next decade. Some 7000 dependants will accompany the military personnel and many of them will have their own personal transport.

Last night, the federal government announced a `new look' Australian army in which infantry, armoured artillery and engineers will be integrated into task forces. Apparently, the first brigade will continue its movement from New South Wales to the Territory, but will trial the new concepts of integration. Its full-time strength will increase by 1000 and its part-time strength will increase by some 800. The number and type of vehicles requiring local support will increase very significantly. For this reason, the government has commissioned a study to identify the existing capability of the motor vehicle industry to support the needs of both civilian and military elements of the Defence Forces community as a whole. My department, DARTI, will work with interested bodies, including the Motor Traders Association, the Department of Employment, Education, Training and Youth Affairs, the Northern Territory Employment and Training Authority, the Industry Training Advisory Boards and local

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industry. The army has agreed to assist us to conduct the study. Obviously, there are considerable opportunities for local industries to support defence activities. These can be realised if there is sufficient time for us to prepare ourselves properly to meet the needs.

Mr Stirling: Unlike you, the army buys locally.

Members interjecting.

Mr SPEAKER: Order! There is far too much cross-Chamber discussion. I am having difficulty in hearing the minister's answer.

Mr POOLE: Mr Speaker, you might mention the member for Nhulunbuy whose mindless interjections are seeping through his alcohol-affected brain.

Mr SPEAKER: Order!. I ask the minister to withdraw that comment.

Mr POOLE: I withdraw, Mr Speaker.

The defence department is under increased pressure to obtain value for money with its budget. That should generate new business opportunities. The Darwin firm R & M Consultants has been contracted to do the first stage study. The company took part recently in the North Australian Skills Shortage Project, a major research activity which was funded by the federal government. Much of the knowledge base gained by the company in that project will assist it to conduct the vehicle industry task. The first phase of the project will involve extensive consultation and should be completed by late this year. If we need to increase the capacity of local industry in the future, we will be able to work with relevant businesses and training groups to ensure this comes about. This is one obvious area in which the presence of the defence forces in the Territory is likely to impact on businesses, but there will be many other areas as well. Based on the success and value of the study, we will seek to evaluate other areas
of impact to ensure that Territory businesses are given sufficient lead time to enable them to meet the demands of the defence forces.

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Last updated: 09 Aug 2016