Australian government announces $20m contract for destroyer sustainment

The Australian government on December 13 announced a AU$20 million contract for the upkeep of Royal Australian Navy air warfare destroyers.

The contract, awarded to BAE Systems and Raytheon Australia, will see the creation of 50 new jobs at Raytheon’s Macquarie Park facility in Sydney.

Today’s announcement marks the initial $20 million subcontract for the Destroyer Enterprise, involving BAE Systems Australia as managing contractor and Raytheon Australia as the destroyers’ combat system integrator.

The new Destroyer Enterprise, an industry group led by BAE Systems Australia, will manage the sustainment of the three new ships which have started entering the Australian Navy fleet.

The overall sustainment of the new air warfare destroyers is expected to generate more than 200 jobs in Sydney with further subcontracts to be finalized next year as the Destroyer Enterprise matures. These will include those between the managing contractor, the ship repairer, Thales Australia, and the ship designer, Navantia Australia.

“The government congratulates BAE Systems Australia and Raytheon Australia on this important first step in establishing the Destroyer Enterprise which deliver an effective and efficient sustainment capability whilst also securing the capability of these warships as the most complex and sophisticated in the history of the Royal Australian Navy,” the Turnbull government announcement said.

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