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Annual Report 2014–15

Volume 1, Part 2 : Performance

Programme 1.2
Management of Capability Sustainment

The objective for DMO Programme 1.2 is to sustain the ADF and its capabilities. Each financial year, the DMO enters into an agency-level bilateral materiel sustainment agreement with each Defence capability manager. The agreement details the level of performance and support required, within an agreed price, as well as key performance indicators by which service delivery will be measured.

In 2014–15, the programme supported 116 sustainment products for Defence, which ranged from high-grade specialised military platforms such as the C-17 Globemaster III heavy airlift aircraft, Super Hornet F/A-18 multi-role aircraft, Anzac class frigates and Seahawk helicopters, to clearance diving systems and patrol boats, as well as commodity-type items such as rifles and ADF clothing.

Support to ADF operations is the highest priority for the DMO. Significant effort is put into ensuring that our forces are effectively deployed and maintained. This task includes ensuring that the forces are supported from the outset, from training and exercise regimes to well-serviced and -maintained platforms, and are equipped with the supplies and support needed to do the job. This outcome is only achieved through planning and implementing efficient procurement activities and maintenance programmes.

Programme 1.2 accounted for approximately 51 per cent of the DMO’s expenses in 2014–15.

Table 6.4: Programme 1.2 deliverables for top 30 sustainment products

Deliverable

Performance summary

General Manager Joint, Systems and Air

Aerospace Systems products

Aerospace Systems Division provides through-life support to a range of fixed wing aircraft types including the F/A-18A/B Hornet and F/A-18F Super Hornet, E-7A Wedgetail (airborne early warning and control), AP-3C Orion, C-17A Globemaster III, KC-30A (multi-role tanker/transport), C-130J Hercules, PC9 and the Heron unmanned aerial system. Aerospace Systems Division also provides through-life support to a number of advanced flight simulators and ground support equipment fleets.

The major challenges for sustainment included:

  • implementing efficiency initiatives, including the introduction of performance-based contracts for new and existing aircraft fleets
  • continuing to manage ageing aircraft issues associated with F/A-18A/B Hornet, AP-3C and PC9 aircraft
  • supporting operationally deployed weapon systems such as the C-17A, C-130J, E-7A and KC-30A aircraft, and the Heron unmanned aerial system
  • supporting the operational deployment and rotation of the F/A-18A Hornet and the F/A-18F Super Hornet
  • contributing to the development of acquisition and sustainment strategies for future aerospace projects, including maritime patrol and response capabilities (P8 aircraft) and the new pilot training systems
  • continuing with the refurbishment and transfer of C-130H aircraft to Indonesia
  • taking delivery of and preparing for the introduction into service of the first C-27J aircraft
  • rationalising ground support equipment fleets and introducing the new aircraft cargo loader capability into service
  • supporting the expansion of Heron operations to include civilian airfields such as Rockhampton, Queensland.

F/A-18 Hornet Weapons System (CAF02)

This system comprises the fleet of 71 aircraft and associated training systems that continue to be supported by a range of commercial and foreign military support arrangements and in-house Air Force workshops. The major challenge in supporting the F/A-18A/B Hornet is the increased maintenance requirements of an ageing aircraft fleet with the focus on sustaining a higher flying rate of effort and operational tempo associated with the deployment of the F/A-18A/B Hornets to Operation Okra.

In addition, several commercial arrangements were adjusted to achieve aircraft life of type and to support operations. These commercial arrangements included:

  • completion of the radar support extension contract with Raytheon
  • establishment of a new Classic Hornet hydraulics and undercarriage support contract with RUAG Australia
  • expansion of scope in the Boeing Defence Australia deeper maintenance contract to include additional deeper maintenance services to support Operation Okra.

Airborne Early Warning and Control System (CAF20)

This system comprises six aircraft, fixed and deployable mission support systems, flight and mission simulators, and software development laboratories sustained through a combination of Defence and contracted support arrangements. The capability achieved full operational capability in May 2015.

Sustainment levels agreed with the Air Force were substantially achieved, including the successful stand-up and ongoing provision of logistic support to aircraft deployed on Operation Okra. Contracted support arrangements continue to mature. The first annual performance improvement programme, which underpins annual rolling-wave extension of the in-service support contract, was successfully completed, realising ongoing sustainment system savings.

F/A-18F Block II
Super Hornet Weapons System (CAF21)

This system comprises 24 F/A-18F Block II Super Hornet aircraft which are operated in support of air combat capability requirements. Extensive engineering and logistic support was provided to six F/A-18F aircraft rapidly deployed to Operation Okra.

The deeper maintenance activity, known as ‘periodic maintenance interval’, in the F/A-18F fleet has begun. This six-yearly maintenance activity is essential to preserving the fleet condition until withdrawal and to prevent impacts to aircraft serviceability at the operational squadrons.

P-3C/AP-3C Orion Weapons System (CAF04)

This system comprises the P-3 fleet of 16 Orion aircraft and associated ground-based systems which remain subject to complex, resource-intensive structural ‘safety-by-inspection’ and obsolescence management programmes. New T-56 engine support arrangements are in place and will realise savings.

Two aircraft (A09-755, A09-758) were disposed of in accordance with the approved disposal plan. Components recovered from these aircraft were retained to support future AP-3C operations. The airframes were destroyed and recycled.

C130J-30 Weapons System (CAF06)

This system comprises 12 aircraft and one Level 5 simulator.

The fleet consistently achieved high levels of availability and reliability and a number of key capability enhancements were achieved, including:

  • the successful trial of a satellite communications system for the C-130J fleet
  • upgrade to the global terrain data in the full flight simulator
  • service release of the new carbon brake and wheel assemblies.

C-130J propulsions system support was also successfully transitioned to a new performance-based contract with Standard Aero Limited, which is accountable for full propulsion system performance from April 2015.

Lead-In Fighter Hawk 127 Weapons System (CAF03)

This system comprises 33 Hawk Mark 127 aircraft; a full-scale fatigue test article; mission planning systems; a computer-based training system; and a tactical weapon system training system.

BAE Systems Australia provides all in-service support to the fleet of Hawk aircraft under a performance-based contract, with the exception of operational maintenance, which is currently performed by the Air Force. A contract change proposal was signed with BAE Systems Australia that will see the operational maintenance transition from the Air Force to BAE Systems.

The fleet corrosion control and re-paint programme has continued throughout the year and remains ongoing, with an expected completion in November 2015.

KC-30A Weapons System (CAF22)

This system comprises five aircraft and a training system.

The fleet remains in transition from the project phase to sustainment, with reduced fleet availability due to acquisition-generated modification programmes. KC-30A has commenced boom operations and will achieve full capability in early 2016. One aircraft has been continually deployed on operations to the Middle East since September 2014. Despite the reduced aircraft numbers, an increased rate of effort has been achieved, primarily associated with operations. Defence is working with key suppliers to enhance the KC-30 support system to improve performance and reduce through-life costs.

C-17 Heavy Air Lift Weapons System (CAF19)

This system comprises six aircraft and a training system, with primary support through a foreign military sales arrangement with the United States Air Force.

The C-17 Heavy Air Lift weapons system is mature and performing to expectations. A fixed satellite antenna providing fast onboard broadband capability was installed on a C-17 under Plan Jericho. Continued focus was on a number of ongoing reforms to sustainment, training and maintenance support involving changes to industry participation in the weapon system support. These reforms will result in a better balanced and effective sustainment organisation. An increased rate of effort resulted from the engagement of the C-17 aircraft in support of current operations.

Special Purpose Aircraft (CAF09)

The fleet consists of two Boeing business jets and three Bombardier Challenger CL604 aircraft. The aircraft are secured under a commercial lease arrangement with General Electric Capital Holdings and maintained by Northrop Grumman Integrated Defence Services.

The special-purpose aircraft fleet successfully completed its most significant heavy maintenance programme while continuing to deliver high levels of service to the Government. Defence continues to work with the Government to identify options for a replacement capability.

Electronics Systems products

Electronic Systems Division provides through-life support to a range of command and control systems, communications, satellites and tactical interoperability systems, airspace surveillance and control systems and electronic warfare systems.

In 2014–15, Electronic Systems Division continued to meet the challenges of delivering required sustainment outcomes against increased obsolescence and a growth in demand.

Key achievements included:

  • sustained the joint counter improvised explosive device capability protecting Australian personnel deployed in the Middle East Area of Operations
  • achieved further programme savings for all ADF large aircraft infrared countermeasures systems, covering multiple current and future airborne programmes
  • developed support concepts for narrowband satellite communications control systems
  • revised tactical air navigation support strategies and contracts in preparation for possible life of type extension of ageing platforms facing significant obsolescence challenges
  • continued development of technology to remediate obsolescence issues within the Jindalee Operational Radar Network
  • revised the sustainment of the fleet of combat radio equipment procured under JP 2072 phases 1 and 2A Battlespace Communications Systems
  • managed obsolescence in the tactical air defence radar system through the Block 3 upgrade and replacement of the communications system
  • initiated a progressive replacement programme for the Navy’s global maritime distress and safety at sea system radios
  • established preliminary sustainment arrangements for the overhead persistent infra-red capability.

Wide Area Surveillance (CAF13)

Wide area surveillance across the northern sea and air approaches to Australia was provided through a network of three over-the-horizon radars. Capability availability targets were consistently exceeded. Skills retention ensuring priority industry capability continues to be achieved through a programme of work that supports industry capacity while delivering minor capability enhancements and risk reduction for AIR 2025 Phase 6. Sustainment effort has focused on replacing cooling systems that use refrigerant gas (R22) that is not compliant with the Montreal Protocol; progression of the Defence fuel installation audit remediation activities at remote radar sites; and remediation of urgent obsolescence issues.

Command and Intelligence Systems (CA40)

Sustainment of command and intelligence systems provides support to the Army’s operationally deployable command, intelligence and geospatial support systems. These systems consist of hardware and software configured primarily to provide protected and secret deployable networks of varying sizes and configurations for the Army and Special Operations.

Significant effort was expended to support the sustainment of ADF command systems in the Middle East region. The introduction into service of the new command and control networks for the Army, the Air Force and Special Operations Command remains on schedule and within budget. In parallel, planning is well advanced for the coordinated withdrawal of those systems that are reaching life of type.

Tactical Electronic Warfare System (CA36)

Tactical electronic warfare systems comprise 26 diverse products that directly support tactical electronic warfare missions. These products deliver electronic warfare effects in the joint, maritime, land and air domains, and are typically electronic systems that are soldier-portable or fitted to military platforms.

During 2014–15, the focus was to provide support to military operations and the continuation of technical refresh activities on major air and maritime platforms to address obsolescence issues and changes in target technologies.

Battlespace Communications Systems (CA33)

This capability consists of two primary fleets of communications equipment. The combat net radio fleet is a range of soldier-portable and vehicle-mounted radios for use by ground forces on the battlefield. The battlefield telecommunications network fleet is a satellite and trunking system that provides a voice and data capability to a deployed brigade.

These fleets are maintained through sustainment contracts with Thales Australia, Saab Australia and BAE Systems Australia. JP 2072 Battlespace Communications Systems is a major project that is replacing the current generation of battlespace communications systems through a series of project phases.

During 2014–15, the focus was on planning and executing the transition of the first phase of the JP 2072 generation of communications equipment from acquisition to sustainment. A major aspect of the transition was the establishment of mature maintenance and support contracts with Harris Corporation and Raytheon Australia. Concurrently there was continued focus on identifying elements of the current fleet that could be rationalised or retired from service. Planning for the timely withdrawal of current fleets as the new radios are introduced into service remains critical to minimising longer-term sustainment costs.

Helicopter Systems products

The Helicopters, Tactical Unmanned Aerial Systems and Guided Weapons Division provides through-life support to the Navy rotary wing weapons systems; supports the Army’s Shadow 200 tactical unmanned aerial system; and provides and supports all of the guided weapons for the Navy, the Army and the Air Force. Support consists of fleet-wide engineering, repair parts, contract management for deeper-level maintenance, replacement of ageing and obsolescent equipment and, where required, disposal activities.

Achievements included:

  • provision of ongoing support to operationally deployed helicopters
  • provision of cost-conscious support to Seahawk Classic, Black Hawk and CH-47D Chinook capabilities for training and operations while managing their withdrawal from service
  • provision of cost-conscious support to Kiowa and Squirrel training capabilities ahead of their withdrawal from service
  • continued effective support to the Shadow tactical unmanned aerial system in Australia
  • improved support arrangements for Tiger and MRH-90 fleets to increase their availability and reduce cost of ownership
  • good progress on the establishment of support networks for the Seahawk Romeo and CH-47F Chinook
  • successfully supported the deployment of three Black Hawk and one MRH-90 to Vanuatu in support of Operation Pacific Assist 2015
  • all operational demands for the Navy, the Army and the Air Force were fully met, including the supply of air-to-ground and air-to-air weapons for Operation Okra
  • fully meeting all raise, train and sustain demands for the Navy, the Army and the Air Force guided weapons
  • achieving critical life extensions for the AIM-132 advanced short-range air-to-air missile, FGM-148 Javelin missile and RIM-162 Evolved Sea Sparrow missile
  • remediation of the Harpoon missile inventory continued, including through a sustainment top-up buy of missile and exercise sections
  • orders were placed for replacement missile test sets.

Guided Weapons—Air Force, Army and Navy (CN38, CA60, CAF33)

Achievements included support to:

  • Navy guided weapon products, including RGM/UGM/AGM-84 Harpoon missile, Standard missile, RIM-162 Evolved Sea Sparrow missile, Mark 48 heavyweight torpedo, Mark 46 lightweight torpedo, MU90 lightweight torpedo, Encapsulated Harpoon Certification test vehicle, Danish mine disposal charge and Stonefish exercise mine
  • Army guided weapons products, including FGM-148 Javelin missile, RBS70/Bolide missile and AGM-114 Hellfire missile
  • Air Force guided weapon products, including AIM-132 advanced short-range air-to-air missile and AIM-120 advanced medium-range air-to-air missile.

Multi Role Helicopter (CA48)

MRH-90 acceptances increased the fleet size to 33 aircraft of 47 to be acquired in total. In-service support is provided under contract by Airbus Group Australia Pacific. The MRH-90 fleet is presently operated across four locations: the 5th Aviation Regiment in Townsville, Queensland; the Army Aviation Training Centre in Oakey, Queensland; 808 Squadron in Nowra, New South Wales; and a retrofit programme running with Airbus Group Australia Pacific in Brisbane.

Measurable improvements in sustainment to improve enabling technical services and supply and engineering support required for the Navy and the Army to meet their key capability milestones were achieved.

Armed Reconnaissance Helicopter Weapons System (CA12)

All 22 Tiger armed reconnaissance helicopters are now in service in the final mature configuration and in-service support is provided under contract by Airbus Group Australia Pacific.

A strategic review of the through-life support contract was completed, which culminated in a deed of agreement that became effective in January 2015. The deed introduced a repair-by-the-hour arrangement and a new performance management framework. Though measurable progress is already evident, it will take time to fully implement the support improvements, which will improve spares availability, significantly reduce the cost of through-life Tiger capability and enable the Army to generate increasing flying rates of effort to support capability milestones.

S-70A-9 Black Hawk Weapons System (CA11)

The Army’s fleet of Black Hawk helicopters provides support to air mobile and special operations capabilities.

The operational fleet reduced to 18 aircraft and sustainment was optimised to ensure that the fleet continued to provide the required level of operational availability until the Black Hawks are replaced by the MRH-90.

MH-60R Seahawk Weapon System (CN35)

The number of MH-60R Seahawk helicopters delivered grew to 12. The Romeo will contribute to the Navy’s anti-surface and anti-submarine warfare capabilities, replacing the S-70B-2 Seahawk Classic in service.

Through-life support is provided by a contract with the Maritime Helicopter Support Company, a Lockheed Martin/Sikorsky Aircraft Corporation joint venture, which is administered through a United States foreign military sales sustainment case. The financial arrangements for the case are now better understood and will provide a firmer basis on which budget estimates can be based and disbursements tracked.

The Navy’s 725 Squadron has now taken occupancy of the new Romeo facilities for its operations and is stepping up its training and rate of effort to meet future requirements.

S-70B-2 Seahawk Weapons System (CN03)

The S-70B-2 Seahawk, operated by the Navy’s 816 Squadron, was supported successfully to maintain a viable embarked helicopter capability in advance of the new Seahawk Romeo capability being introduced. The S-70B-2 Seahawk was able to achieve an increased rate of effort through the careful management of spares and servicing, while four S-70B-2 Seahawk aircraft were withdrawn from flying operations as part of the transition process.

The 816 Squadron co-located with the new Romeo 725 Squadron in the new Romeo facilities toward the end of 2014–15 to realise operating, maintenance and administrative efficiencies as 816 Squadron prepares to transition to the Romeo helicopter.

The S-70B-2 Seahawk is an ageing aircraft with a number of mission system-related obsolescence issues that have remained under careful management.

General Manager Land and Maritime

Land Systems products

Land Systems Division is responsible for the sustainment of the following materiel, managed in conjunction with the Navy, the Army, the Air Force and Joint Health Command as the capability managers:

  • armoured fighting, combat support and field engineering vehicles
  • logistic service support and commercial vehicles
  • radar, surveillance, electrical and simulation systems
  • small arms and weapon systems
  • medical and dental equipment, health systems and combat rations
  • ADF clothing and personal combat equipment
  • ADF munitions.

Land Systems Division continued to meet the support requirements of forces on operations and delivered eight operational procurements including up-armoured vehicles.

The agreed level of support to the ADF was delivered within budget and comprehensive equipment fleet performance reviews were conducted with Defence capability managers.

Training and professionalisation of sustainment staff were conducted to improve skills and staff agility.

Trial results from the vehicle health and usage monitoring systems have been incorporated into final designs. Automatic transfer of data will allow better analysis and improved sustainment decision-making.

Explosive Ordnance—Air Force, Army and Navy (CAF32, CA59, CN37)

Munitions Systems Programme Office is responsible for the acquisition and sustainment of non-guided explosive ordnance employed by the Navy, the Army and the Air Force, including ammunition, installed explosive ordnance and countermeasures.

Achievements include:

  • transitioned out of the current arrangements for domestic manufacture of munitions, propellants and high explosives
  • executed the strategic munitions interim contract for the operation of the Benalla and Mulwala, Victoria munitions, propellants and high-explosives facilities from 1 July 2015
  • ensured timely supply of serviceable munitions in support of operations in the Middle East region
  • improved ADF munitions inventory management to better align with the Services’ requirements.

All munitions demands in support of operations were met within the required timeframes. Navy, Army and Air Force requirements for munitions in support of training were met with minimal exceptions. The exceptions were the result of unforeseen supply chain disruptions and were predominantly associated with a reduction in global munitions production. The exceptions were managed in conjunction with the Navy, the Army and the Air Force to minimise their impact on training.

Australian Defence Organisation Commercial Vehicles Fleet (CA19)

The Defence Commercial Vehicle Programme uses commercially available motor vehicles for administrative purposes. Currently, the fleet has around 5,400 vehicles and trailers under management. The fleet ranges from passenger sedans through to heavy rigid trucks, touring coaches and prime movers. The whole-of-government fleet services provider, sgfleet, supports the fleet.

The fleet continued to focus on improving asset utilisation. A number of under-utilised vehicles were identified for possible reallocation or disposal.

The delivery of six touring coaches was completed. The delivery of 20 commercial prime movers was also completed. These vehicles will provide an interim heavy transport solution until the delivery of the enduring capability through LAND 121 Phase 3B Overlander-Medium/Heavy Capability, Field Vehicles, Modules and Trailers.

Approximately 1,350 commercial vehicles were delivered and more than 1,600 disposed of, as part of the routine replacement programme.

General Service B Vehicle Fleet (CA45)

The general service vehicle fleet consists of approximately 8,000 light, medium and heavy-wheeled vehicles and trailers, including protected (up-armoured) and unprotected variants, used in Australia and on operations overseas. Defence is progressively replacing the majority of the current general service vehicle fleet under LAND 121 Overlander Programme and JP 2097 Enhancements to Special Operations Capability.

The gradual phase-out of the Land Rover fleet continued, as the delivery of Mercedes-Benz G-Wagons to ADF units continued. Approximately 120 all-terrain vehicles were delivered to replace aged capabilities across the ADF. Remediation of vehicles returning from overseas operations also continued.

ADF Clothing (CA39)

ADF clothing comprises approximately 23,000 line items of personal clothing, footwear and other items manufactured by the textile, clothing and footwear industry.

New clothing lines were introduced, including a new general-purpose jacket for the Navy, a new combat boot and the Australian multicam camouflage uniform for the Army.

Continuing procurement and logistics support was provided for the introduction into service of the Army parade boot and the general-purpose jacket for the Army and the Air Force, the Air Force’s general purpose uniform, and meeting the ADF’s ongoing clothing and footwear requirements for operations as well as for raise, train and sustain activities.

Maritime Systems products

The Maritime Systems sustainment concept is to support maritime capability through cost-effective materiel design, maintenance engineering and logistic support to platforms, equipment and systems. The provision of these sustainment services is under a structure of system programme offices that are co-located regionally with the Navy forces and groups by ship class, and that manage the delivery of services through a variety of outsourced commercial contracts.

In December 2014, a comprehensive programme was begun to deliver improvement in the divisional, structural, cultural and performance activities in waterfront outcomes; effectiveness of configuration management, maintenance planning and execution; a shift to governance-focused business; and the creation of a managed workforce to support sustainable operations.

An ongoing sustainment reform programme for the Armidale class patrol boat seeks to improve the materiel support delivery to the ships and optimise the required outcomes of availability, reliability and total cost of ownership.

Other achievements included:

  • A dock operation and reticulated services contract for the Captain Cook Graving Dock and the Garden Island Defence Precinct, Sydney was signed in May 2014. Combined with the Garden Island stakeholders planning forum, this ensured that services were available in 2014–15 for dockings, production berthing, and home porting at Fleet Base East.
  • The guided missile frigate class (FFG) Group 2 maintenance contract began operation in August 2014 and, combined with the newly formed FFG enterprise, comprising the DMO, industry and the Navy, is working together to provide materially seaworthy FFG ships.
  • ADV Ocean Shield transferred to the Australian Customs and Border Protection Service on 1 July 2014.
  • In-service support arrangements were established for the HMAS Canberra and the Guided Missile Destroyer support concept was progressed in consultation with the related acquisition project managers.
  • Mature in-service support arrangements were developed for HMAS Choules.

Fuels and Lubricants—Air Force, Army & Navy (CN26, CA43, CAF18)

Petrol, oil and lubricant products are procured under long-term contracts and provided to Defence operational and support elements and visiting foreign forces.

Fuels and Lubricants—Navy, Army and Air Force transferred to Defence Fuels Services Branch on 1 February 2015. The ongoing assistance with the materiel remediation of fuel installations, development of long-term contracts, and fuel card contract arrangements is being progressed by Defence Fuels Services.

Anzac Class Frigate (CN02)

The support objective is to maintain the materiel capability of the Anzac class frigates through the provision of materiel support and ongoing maintenance of the ships and associated equipment, systems and operator training facilities.

The anti-ship missile defence (projects SEA 1448 Phase 2A and 2B) refit and upgrade programme continued, with HMAS Anzac delivered and HMAS Warramunga in the final stages of harbour acceptance trials. HMA Ships Parramatta and Ballarat entered the programme and are progressing well. The MH60R helicopter (Project AIR 9000 Phase 8) was integrated into HMAS Perth with successful first-of-class flight trials completed. The electronic support measure system (Project SEA 1448 Phase 4A) was installed in shore facilities and HMAS Warramunga has sea trials planned in the second half of 2015.

Planning continues for the Block Upgrade Programme, scheduled to commence in 2017, incorporating the Platform Systems Remediation programme, the Maritime Communications Modernisation Project (SEA 1442 Phase 4) and proposed Anzac Air Search Radar Replacement (SEA 1448 Phase 4B).

Effort has begun to consolidate the major support contracts under the Group 3 Group Maintenance Contract and the ANZAC Ship Integrated Materiel Support Programme Alliance into a total asset management arrangement.

Adelaide Class Frigate (CN01)

The support objective is to maintain the materiel capability of the Adelaide class frigates through the provision of materiel support and ongoing maintenance of the ships and associated equipment, systems and operator training facilities.

The operation of HMAS Sydney as the alongside harbour training ship was achieved, and initial activities required to achieve HMAS Sydney’s planned withdrawal from service in December 2015 were commenced.

Canberra Class (LHD) Sustainment (CN34)

The scope of this product addresses the sustainment of two Canberra class landing helicopter dock (LHD) platforms, 12 LHD landing craft, and associated shore-based systems and facilities, as these are introduced into service.

The first of two Canberra class landing helicopter dock ships, HMAS Canberra, was introduced into Navy service. In addition, the first of three batches of four LHD landing craft were also brought into service. HMAS Canberra, inclusive of its four embarked landing craft, performed well throughout the year.

The LHD Systems Programme Office established key commercial arrangements with Australian defence industry partners providing LHD and landing craft, maintenance, engineering and supply support services. In addition, asset management, governance support and independent assurance services were also established.

Huon Class Mine Hunter Coastal (CN14)

The support objective is to maintain the materiel capability of the Huon class mine hunter coastal vessels and associated training equipment through the provision of materiel support and ongoing maintenance of the in-service ships.

Ship maintenance activities for operational ships were progressed and completed as planned. The combat system upgrade is in the final stages of installation, progressing on time and on budget, with completion of the detailed design for the upgrade of the ships’ fire-fighting system achieved.

Auxiliary Oiler Replenishment (CN13)

The support objective is to maintain the materiel capability of the underway replenishment tanker HMAS Success through the provision of materiel support and ongoing maintenance of the ship and associated equipment and systems.

HMAS Success support was achieved through a scheduled maintenance period conducted in the period September–October 2014. In November 2014, the ship began a five-month deployment in support of Operation Manitou, returning to Australia in June 2015 for preparations prior to a major refit commencing in July 2015.

General Manager Submarines

Collins Submarines Programme

The objective of the Collins Programme is to sustain the Collins class submarine materiel capability, including the associated escape and rescue capability, minimise the logistic costs of ownership, and provide sustainable and cost-effective design, engineering and logistics support for Collins class platform and combat systems and support for associated submarine training, escape and rescue systems through long-term, and increasingly performance-based, agreements with industry partners, including ASC Pty Ltd (ASC), Raytheon Australia, Thales, BAE Systems and other providers.

Collins Submarines Programme (CN10)

Recommendations from the Coles Review of November 2012 are now largely implemented, with some long-term Coles initiatives being carried forward as normal business consistent with their implementation timeframes.

As recommended by Coles, the DMO, the Navy and ASC have established an enterprise approach with the following goals:

  • delivering required capability at benchmark availability
  • building an enterprise workforce with sustained submarine knowledge embedded in a collaborative working environment
  • participants collaborating in a successful enterprise with aligned objectives and interests
  • reducing sustainment costs over time through productivity improvements.

Programme 1.2 key performance indicators

Programme 1.2 key performance indicators vary with each sustainment product and are specified in the relevant materiel sustainment agreements.