Defence Market Outlook in South Australia

The outlook for the Australian defence industry is looking positive. Increasingly, our defence force operates in an environment characterised by regional instability, the significant modernisation of other military forces in the region, the continued threat of terrorism both at home and abroad, and the emergence of non-geographic threats such as cyber threats. To address these challenges, the Federal Government’s 2016 Defence White Paper, released in February this year, flagged a significant increase in defence spending over the coming decade in order to ensure Australia continues to operate an agile and capable defence force. The white paper also outlines plans for increased spending on asset and facilities maintenance over the coming decade, alongside an asset rationalisation program to dispose of surplus assets.

Nationally, investment in our defence capability in the decade from 2015 to 2025 is expected to reach AUD $195 billion, which is unprecedented. 25% of the total investment, or around AUD $48.75 billion, will be directed towards supporting and developing ‘key enablers’ of our defence capability, including critical infrastructure, training and testing facilities. Around $9.45 billion will be directed towards base support and redevelopment and $3.35 billion towards upgrading testing and training ranges.

Investment in South Australia

Here in South Australia, we have four major defence bases and a range of defence support facilities, a number of which are scheduled for upgrades. Facilities at RAAF Base Edinburgh will be upgraded to support new strike, air combat and maritime surveillance capabilities, including the introduction of the P-8A Poseidon surveillance aircraft and MQ4C Triton unmanned surveillance aircraft. The Woomera Training and Testing Range and Cultana Training Area will also be upgraded. These projects are in addition to works currently underway at DSTO Port Wakefield and DSTO Edinburgh.

Our experience

Nationally our defence team is currently working on a number of projects. In South Australia, we are delivering services in support of electronic warfare operational support and experimental establishment at Defence, Science & Technology Organisation (DSTO) Edinburgh (JP500 Phase 2A), non-airside facilities and airside infrastructure development at RAAF Base Edinburgh (AIR7000 Phase 2B), and new Vibrational Test Facility at DSTO Port Wakefield. Around the country we are supporting the construction of new training, maintenance and hangarage facilities at HMAS Albatross in New South Wales and HMAS Stirling in Western Australia (MH60-R project), and site infrastructure upgrades at HMAS Stirling (HMAS Stirling Redevelopment Stage 3A project).

In Adelaide and nationally, we offer defence capability across the following service areas:

  • Cost Management, including Whole of Lifecycle costing, cost estimating, Net Personnel Operating Cost estimates, variations assessment, progress claim assessment and Extension of Time assessment.
  • Risk Management, including Monte Carlo Analysis and PMCA Facilitation.
  • Programing/Scheduling, including tender program review, resourcing schedule review and programming.
  • Contract Administration.

To find out more about our local defence experience and capability, get in touch with the Adelaide defence team:

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