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The ageing Collins class submarines will undergo a $381m camera systems upgrade as the Morrison Government revealed compensation talks with France’s Naval Group over the scrapping of a $90b contract to build a new fleet are likely to continue well into the next financial year.
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The French Government has criticised Australia’s decision to scrap its $90 billion submarine deal with Naval Group, but France’s top diplomat in Adelaide says the “shock” announcement isn’t likely to damage South Australia’s economic ties with the European nation.
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The federal opposition has asked the auditor-general to investigate cost blowouts with the program to build Australia’s new fleet of submarines.
The French defence firm tasked with building a new fleet of submarines in Adelaide has invited Australian manufacturers to bid to produce specialised parts in a package it says will generate hundreds of jobs and cost up to $900m.
The French company building Australia’s 12 Future Submarines in Adelaide has confirmed local companies will get just two thirds of the work pledged when it bid for the $80 billion contract five years ago.
Mismanagement and delay in the hugely expensive replacement program for the Collins-class submarines is a nightmare for Australian defence and taxpayers, argues Rex Patrick.
