Collins subs sustainment a ‘project of concern’

Collins class submarine sustainment has been listed as a Product of Concern following a recommendation from the Department of Defence, enabling enhanced ministerial oversight of the key capability.

With the submarines required to operate beyond their original design life, it is essential that increased sustainment requirements are met to ensure the Collins class remains an effective and formidable capability until it is withdrawn from service.

Yet the programme has experienced challenges in recent years.

Defence will now develop a remediation plan leading up to a Product of Concern Summit to be held in early 2025.

The federal government said in a statement that it was committed to investing in priority capability enhancements and fleet sustainment for the Collins class.

“This includes a $4 to $5 billion commitment over the next decade to extend the life of the Collins class and ensure there is no capability gap until Australia transitions to its future conventionally-armed, nuclear-powered submarines.”

Under the former government, an efficiency dividend of approximately $120 million was applied as part of the Collins class In-Service Support Contract signed in 2020, affecting the level of sustainment support provided to the vessels.

In June this year, Defence signed a new four-year sustainment contract with ASC valued at $2.2 billion, without an efficiency dividend.

The Minister for Defence Industry and Capability Delivery Pat Conroy said this was an example of the government bringing the necessary energy and oversight to fix troubled projects.

Conroy said: “I have convened seven Projects of Concern summits in just two-and-a-half years as Minister – the former Coalition government held only four of these important summits during almost a decade in office.

“By listing Collins class sustainment as a Product of Concern, the government is demonstrating its commitment to remediating these challenges and ensuring the Submarine Enterprise, which includes Defence and ASC Pty Ltd, delivers and sustains improved performance.”

ASC operates at the Osborne Naval Shipyard in Adelaide, where it conducts Collins’ deep maintenance, or Full-Cycle Docking (FCD).

From 2026 the yard will move on to the Collins Life of Type Extension (LOTE) programme designed to keep the vessels in service longer.

Major LOTE work will include installing new propulsion systems, diesel engines, generators and power conversion and distribution systems, upgrading the boats’ cooling system and conducting a range of hull assessments.

Picture: Defence SA