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New Depths in Australia-US Relations: The Collins Class ...

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Maryanne Kelton: <strong>New</strong> <strong>Depths</strong> 28As regards <strong>US</strong> political support for <strong>US</strong> defence <strong>in</strong>dustries, Japan wouldrecall only too well <strong>US</strong> Defense department's pressure for Japan to acquire more <strong>US</strong>made hardware. Exemplify<strong>in</strong>g this were the <strong>in</strong>ter-agency discussions <strong>in</strong> 1991. Afterbilateral defence consultations, Yukihiko Ikeda, Defence Agency Director, wasrequested by <strong>US</strong> Secretary of Defense, Dick Cheney, to <strong>in</strong>crease direct purchases of<strong>US</strong> military hardware. This followed on from a dispute regard<strong>in</strong>g the Japanese plansto construct a fighter plane <strong>in</strong> the late 1980s, which was resolved by a jo<strong>in</strong>t venturewith <strong>US</strong> companies. 144When questioned <strong>in</strong> an <strong>Australia</strong>n Senate Hear<strong>in</strong>g regard<strong>in</strong>g possible <strong>US</strong>pressure on purchas<strong>in</strong>g choices, Michael Roche, Under Secretary for DefenceAcquisition, 145 answered cautiously. In respond<strong>in</strong>g to a specific question suggest<strong>in</strong>gthat unless <strong>Australia</strong> bought <strong>US</strong> sourced equipment then technological assistancemay not be as forthcom<strong>in</strong>g <strong>in</strong> other areas, Roche stated diplomatically that he soughtto,avoid say<strong>in</strong>g that there are other pressures…I am say<strong>in</strong>g <strong>in</strong>stead, <strong>in</strong> positive termsthat there is an objective process go<strong>in</strong>g on here that is assess<strong>in</strong>g the technologyavailable <strong>in</strong> various countries aga<strong>in</strong>st the need of the Coll<strong>in</strong>s class. 146However, the shortlist<strong>in</strong>g of the Coll<strong>in</strong>s Replacement / Upgraded CombatSystem (CRUCS) contenders was, nevertheless, contentious. While STN AtlasElecktronik was regarded by the evaluation team as the prime candidate, RaytheonSystems Company was also shortlisted, despite its third rank<strong>in</strong>g beh<strong>in</strong>d UnderwaterDefence Systems International, led by the French, Thomson-CSF (now Thales). Inthe technical evaluations Lockheed Mart<strong>in</strong> Naval Systems also f<strong>in</strong>ished ahead ofRaytheon. STN-Atlas was favoured by DAO (Defence Acquisition Organisation) and<strong>in</strong>deed many submar<strong>in</strong>ers, as not only was it proven <strong>in</strong> diesel electric submar<strong>in</strong>es butit was regarded as a more capable system. Furthermore, A.W. Grazebrook, longtimeobserver of the project, argued that DAO and many RAN submar<strong>in</strong>ers believedthat the STN bid was attractive <strong>in</strong> its offer<strong>in</strong>g of proven submar<strong>in</strong>e technology <strong>in</strong> thatit comb<strong>in</strong>ed European diesel submar<strong>in</strong>e combat system technology (from STN Atlas),European nuclear submar<strong>in</strong>e technology (BAE Systems) access to <strong>US</strong>N nuclearsubmar<strong>in</strong>e technology (from Lockheed Mart<strong>in</strong>) and extensive experience and<strong>in</strong>novative development from work<strong>in</strong>g with RAN submar<strong>in</strong>ers for many years (from2002. Derek Woolner concurs with this assessment writ<strong>in</strong>g that ‘(t)he lessons of recent history are thatneither sponsorship by the <strong>US</strong> Armed Forces nor development by corporate America can guaranteesuccess <strong>in</strong> systems <strong>in</strong>tegration programs…<strong>The</strong> problem is, that …the M<strong>in</strong>ister’s decision has placed thefuture of the Coll<strong>in</strong>s class <strong>in</strong> the hands of a supplier who does not have as yet an operational system, letalone one proven by Service use <strong>in</strong> conventional submar<strong>in</strong>es. Should problems develop, there is nobody of operational experience on which to call.’ See Derek Woolner, ‘Gett<strong>in</strong>g <strong>in</strong> Early: Lessons of theColl<strong>in</strong>s Submar<strong>in</strong>e Program for Improved Oversight of Defence Procurement’, Department of theParliamentary Library, Research Paper, No. 3, 2001-02.144 Further examples of specific <strong>in</strong>dustry requests may be found <strong>in</strong>, Gwen Rob<strong>in</strong>son, 'Pressure to buy<strong>US</strong>', Asia-Pacific Defence Reporter, July 1991, p. 16, and Desmond Wettern about the need for <strong>US</strong>companies to rel<strong>in</strong>quish complete reliance on the Pentagon for bus<strong>in</strong>ess, <strong>in</strong> '<strong>US</strong> defence <strong>in</strong>dustries seeknew markets', Asia-Pacific Defence Reporter, July, 1991, pp. 33-34.145 Follow<strong>in</strong>g the recommendations of the McIntosh-Prescott report, John Moore moved to restructurethe defence acquisition group and thereby give added impetus to the ongo<strong>in</strong>g submar<strong>in</strong>e project. Notonly would a new position of Head of Defence Acquisition be established at the level of junior secretarybut recruitment and secondment would look to <strong>in</strong>dustry to strengthen its commercial and projectmanagement skills. Both procurement and acquisition officials would be required to report <strong>in</strong> greaterdetail to Cab<strong>in</strong>et.146 Question and answer exchange between Senator Chris Schacht and Michael Roche, CPD, SenateHansard, Foreign Affairs, Defence and Trade Legislation Committee, 29 May 2000, p. 109.

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