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Tensions and delays in Australia’s Future Submarine programme disclosed in official audit report

15 January 2020
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Australia's AUD80 billion (USD55.15 billion) Future Submarine programme, the country's largest-ever defence procurement, is running nine months late and has missed two key contractual milestones, the Australian National Audit Office (ANAO) reported on 14 January.

The ANAO also revealed that the government's Naval Shipbuilding Advisory Board had suggested that the Department of Defence (DoD) should consider whether proceeding with French shipbuilder and strategic partner Naval Group was in the national interest, even if a deal was to be eventually reached on a contentious Strategic Partnering Agreement (SPA).

The SPA, which sets out the principles of co-operation between Naval Group and the Australian government, was eventually signed in February 2019: nearly 16 months behind schedule.

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