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The Minister for Defence, Senator John Faulkner, today said the Australian Government is ensuring that the Royal Australian Air ForceÂ’s C130J Hercules fleet can continue to meet their full capability requirements by upgrading them via a multinational development partnership upgrade program.

The Government has approved funding of $45 million to undertake a range of important upgrades to aircraft systems.  These will address system obsolescence, maintain coalition compatibility and enable these aircraft to comply with global air traffic standards. These upgrades will be introduced through ongoing participation in the C130J Joint User Group Global Project Arrangement.  This will enable Defence to upgrade the C130J as part of a multinational Block Upgrade Program with other users including the United States, the United Kingdom, Denmark, Norway, Canada and Italy.

“The Block 7.0 Upgrade will enable Australia’s fleet of C-130J to meet new global air traffic management requirements and continue to operate in global airspace,” said Senator Faulkner.

This approval covers the design, testing and acquisition of modification kits for the C-130J Block 7.0 Upgrade.

“Importantly, there is likely to be significant opportunity for Australian Industry to be involved in the national installation and support of the upgrade. Funding for these elements will be considered by Government following successful testing of the first modification kit on an Australian C-130J. This is an appropriate risk management strategy,” said Senator Faulkner.

The C-130J routinely undertakes air logistics support, aero-medical evacuation, search and survivor assistance, troop transport and airdrop operations.

“The C-130J is the workhorse of the Royal Australian Air Force. The C-130J has conducted combat airlift in the Middle East Area of Operations since August 2004 and three aircraft are currently stationed in the Middle East. They are also frequently called on for short-notice operations in the South-East Asian and Pacific regions as well as responding to domestic contingencies such as providing flood relief in North Queensland,” said Senator Faulkner.

The Minister for Defence, Senator John Faulkner, today announced that the Government has given first pass approval for a major project to provide the Australian Defence Force with a new naval combat helicopter.

Project AIR 9000 Phase 8 is included in the Defence Capability Plan to provide naval warships with a new combat helicopter. 

Senator Faulkner said that two potential helicopters had been identified. "The Government has decided that the new helicopter will be either the Sikorsky-Lockheed Martin built MH-60R sourced through the United States Navy, or the NATO Helicopter Industries NH90 NFH sourced through Australian Aerospace".

Senator Faulkner said that a competition would be held between the two helicopter options which would be cost-capped by the Defence Materiel Organisation through the tender process.

"The new naval combat helicopter will enhance the Royal Australian Navy's ability to conduct a range of maritime operations. It will be capable of undertaking anti-submarine warfare and will be equipped with air-to-surface missiles," Senator Faulkner said.

"This fleet of combat helicopters will form the centerpiece of naval combat aviation to beyond 2040.

"The new helicopter will greatly extend the eyes and ears of our surface fleet and allow the conduct of combat and support operations in the complex and demanding maritime environment.

"They will replace the current fleet of Seahawk anti-submarine warfare helicopters and fill an operational need left by the cancellation of the Seasprite project," Senator Faulkner said.

The procurement of the new naval combat helicopters as a matter of urgency was announced in the 2009 Defence White Paper.  This decision demonstrates the Government's commitment to this important Defence capability.

Sufficient helicopters will be acquired to provide at least eight helicopters concurrently embarked on ships at sea, which under the White Paper requires a fleet of 24 helicopters.

"The competitive process would commence in the next few months with the Government making a final decision about the new helicopter in 2011," Senator Faulkner said.

"This schedule will enable the new helicopters to be delivered from 2014.

"Any decision Government makes in 2011 will take into account all relevant considerations including capability, cost, interoperability with other ADF capabilities, Australian industry opportunities, risk and value for money," Senator Faulkner said.

The Minister for Defence Personnel, Materiel and Science, Greg Combet, said that the decision to progress the project via a competitive tender was consistent with the Kinnaird and Mortimer procurement reforms.

The tender will allow the companies to offer innovative solutions that satisfy the capability, cost and schedule requirements and detail what opportunities they will offer local industry. 

"A competitive process will ensure value for money for the tax payer and ensure the project's acquisition strategy provides the Government with the best possible information to support a decision for this vital capability," Mr Combet said.