Australian DoD, The Defence of Australia and Australian interests remains a top priority for the Howard Government which continues to invest in building a stronger more capable Defence Force.
Defence Minister Robert Hill said Defence will receive an extra $507.3 million in this financial year as a result of the 2005-06 Budget measures, increasing the Defence budget to $17.5 billion for 2005-06.
The Budget provides a further $2.3 billion in White Paper funding and this builds on the $4.0 billion in increased funding already provided by Government over the period 2001-02 to 2004-05 and maintains Defence expenditure at about 1.9% of GDP.
Defence Minister Robert Hill said the Government's priorities include key security projects such as the offshore protection of the North West Shelf, maintaining the surveillance of our northern approaches and continuing to enhance the security of our Defence bases and facilities.
Other key commitments include Australia's contribution to the rehabilitation of Iraq with a commitment of an additional $466.1 million, including $240.0 million over four years (including $24.8 million in 2004-05) to meet the cost of the deployment of the Al Muthanna Task Group to Iraq.
“Australians can be confident that our Defence organisation is now better placed than it has ever been to meet the complex security challenges we face,” Senator Hill said.
In addition a total of $246.5 million has been committed for a range of security related projects, including:
–a $139.3 million commitment to protect Australia's offshore gas and oil platforms on the North West Shelf;
$16.4 million of further funding for surveillance of Australia's northern approaches (Operation RELEX II) in 2005-06;
–$74.8 million package over two years to continue Operation SAFEBASE which provides for the protection of personnel and infrastructure at Defence bases and facilities; and
–$16.0 million for counter proliferation measures and enhanced security for overseas posts.
The 2005-06 Budget allocation builds on both the strategic and financial foundations that have been laid down in the 2003 Defence Update, Defence White Paper and the Defence Capability Plan (DCP).
“We are now seeing the benefits of the long term funding commitments this Government has made to Defence and of the reforms we instigated particularly in the area of Defence capability procurement.
“The success of those reforms is underlined by the fact that the Defence Materiel Organisation's performance has improved to the extent that Defence will now bring forward $300.0 million of DCP funding it had deferred.
“Delivering on the Howard Government's election promise, funding has been provided for the purchase of two additional patrol boats and trials of Unmanned Aerial Vehicles for the North West Shelf security project.
“The Budget also provides funding for a number of ongoing programmes directed at improving the conditions of Australian Defence Force members. They include projects to enhance accommodation and associated facilities, attraction and retention initiatives, new child care places and ADF spouse support.
“We will fast track the $174.8 million fourth stage of the redevelopment of Lavarack Barracks in Townsville bringing the completion date forward by at least 12 months.”
Defence has played its part by undertaking to absorb a number of election and policy commitments costing $217.8 million over four years through re-ordering priorities in the Defence budget. This builds on an existing savings programmes which seeks to reduce overheads and redirect funds for capability.
