Minister for Defence Materiel Jason Clare today announced that the tender had been released for a five-year contract for the repair and maintenance of the Navy’s eight Anzac Class frigates. The contract is worth approximately $300 million.
Four companies or joint ventures have been short-listed to compete for the work — BAE Systems, Babcock/UGL Infrastructure, Thales Australia, and DMS Maritime/Transfield Services. They were short-listed following an open tender process.
This is the first of the new group maintenance contracts to be released for tender. Currently, each maintenance activity is contracted individually to a panel of companies who compete for the work. This reform will end that system and create five-year performance-based contracts for the maintenance and repair of Navy ships.
Mr Clare said reforming the way this work is contracted will provide the Navy and local industry with more certainty. “ This reform provides more security for Australian businesses and more job security for their workforce ,” Mr Clare said. “ It’s a significant change — ending the burden for industry of bidding for every job .”
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Source: defence, June 20, 2011