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Tuesday, September 23, 2014

Shipbuilders from Spanish firm Navantia called in to salvage destroyer program

Hobart class DDGThe Abbott government will install a senior team of shipbuilders from Spanish firm Navantia to work on the Air Warfare Destroyers as it attempts to salvage the troubled $8.5 billion project.

The move is one of the first steps in the government’s recovery plan for what Defence Minister David Johnston has described as a “disgraceful mess of a project” and a “skunk” that has been plagued with cost overruns of more than $500 million and delays of up to two years.

Senator Johnston has said the reform strategy for the AWD project will be a “test case” for the Australian defence industry that will have a bearing on future procurement decisions.

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