CORRECTING THE RECORD
The Facts | Letters to Editors
On this page, we set the record straight to correct any inaccuracies in media reporting of DMO issues.
22 February 2008
The Crikey website yesterday published the following on its 'tips and rumours' section: "Which high paid, senior federal public servant travels each week between Canberra, where he works, and his home and family interstate? He clocks up a lot of airfares, FFs and taxi fares. Who foots the bill? Would he be defensive about answering such questions?" Oh, that's easy. That would be Dr Steven Gumley of the DMO whose salary is higher than even the Secretary of Defence."
- The segment published on the Crickey website's 'tips and rumours' section relating to the head of DMO, Dr Gumley, is a spurious misrepresentation of the facts relating to Dr Gumley's appointment.
- Dr Gumley's salary and the requirement for him to pay his own travel expenses between Canberra and Melbourne are a matter of public record.
- Dr Gumley pays for all his travel between his Canberra workplace and his Melbourne residence out of his own after-tax salary. He does not claim a travel allowance from the Commonwealth for travel between Canberra and his Melbourne residence. There is no benefit to him in respect of tax deductions.
- Dr Gumley's name is Stephen, not Steven, as in the published segment on Crikey.
9th November 2007
The Story: Media reports of a delay in the delivery of the KC-30B tankers, and the RAAF facing an in-flight refueling capability gap.
The Facts: The original contracted date for first aircraft
delivery, as signed in 2004, was December 2008, and this date has since moved
to February 2009 to accommodate cockpit design changes. Read
more here.
30 October 2007
The Story: The Australian Broadcasting Corporation’s Four Corners program on Monday 29 October 2007 featured criticisms of Australia’s air combat capability.
The Facts: The Super Hornet is a battle-proven, multi-role
aircraft that is clearly the only capable, available system which meets Defence’s
requirements in the next 8-10 years. The Super Hornet is the best aircraft to
meet Australia’s bridging air combat requirements as we prepare for a
Joint Strike Fighter-based future, subject to government decision.
Read more here.
21 September 2007
The Story: Defence would like to correct the record, in response to errors made in the ‘Labor takes aim at DMO' article which appeared in the Australian Financial Review on Friday 21 September.
The Facts: In his article, the journalist misinterprets comments made by Mr Kinnaird, Chairman of the 2003 Defence Procurement Review, who said a benefit of DMO reform would include the "establishment of clear separation between capability development and delivery and maintenance of equipment". In his article the journalist paraphrases Mr Kinnaird incorrectly, stating instead, that a benefit of DMO reform would be to separate capability development and maintenance arms of the DMO.
This is incorrect - Kinnaird was talking about the separation of capability development, now led by Lt Gen Hurley and Defence procurement, now led by DMO CEO Dr Stephen Gumley - this separation occurred in 2004. Kinnaird did not intend that the acquisition and maintenance functions within DMO should be separated. Click here to read the full version of the 2003 Defence Procurement Review http://www.defence.gov.au/publications/dpr180903.pdf
The article also uses out of date information - DMO's annual budget is $9.6 billion (roughly half of which is acquisition and half is sustainment) and DMO's current staff level is approximately 7,000 - not 6,000 as reported.
5 September 2007
The Story: In response to the ‘First Word’ article in yesterday’s Sydney Morning Herald, Defence would like to confirm a few facts in relation to the commentary.
The Facts: Firstly, the selection of the Hobart Class destroyer (Australianised F100) was subject to one of the most detailed and intensive analyses ever undertaken by Defence and the Government. Secondly, the Hobart Class will not be an orphan platform but an addition to a five, soon to be six ship class. With its Aegis combat system it is highly interoperable with Australia’s allies and will be able to fully integrate with a United States carrier battle group.
Finally, South Australia is home to some significant Defence capabilities including naval construction, project management and associated systems and integrations companies.
The description of this program as ‘ill-conceived’ is simply not correct. Defence is confident that the Hobart Class destroyer offers the best solution in line with strategic objectives, including capability, cost, schedule and project risk considerations.
16 August 2007
The Story: Today’s edition of the Courier Mail features an article by Mr Ian McPhedran titled ‘Helicopter ship ban: No-flight deck cost $8m.’ Mr McPhedran claims helicopters have been banned from using the flight deck fitted to the Navy’s replenishment ship HMAS Sirius.
The Facts: Aviation modifications were carried out on HMAS Sirius to provide a Vertical Replenishment (VERTREP) capability. This VERTREP capability involves a helicopter hovering over the ship's deck to transfer underslung loads, typically pallets of stores or food. The modification also provides a transfer capability which allows the ability to transfer persons or equipment by the helicopter's winch. The aviation flight deck modifications were designed to accommodate naval helicopter landings in the event of an emergency only, not as part of normal operations.
8 August 2007
The Story: Today's article in the Adelaide Advertiser finishes with the incorrect statement that: This year the DMO's 7000 staff will manage a record $20 billion worth of defence contracts.
The Facts: The $20 billion is the amount of new 'project' approvals DMO expects in 2007 alone. The total portfolio of 'acquisition' projects (approved and unapproved) runs to some $60 billion.
26th July 2007
The Story: Media reports of a communications gap between the new M1A1 Abrams Tanks and the US forces.
The Facts: Australian Abrams tanks can operate safely with and communicate effectively with US and other coalition forces. The vehicle is fitted with two voice radios that are capable of communicating with any coalition radio operating in the same mode and on the same wavelength. Read more here.
13 March 2007
The Report: DMO project schedule and budgets in The Australian Financial Review article ‘Defence faces $10bn project delays’.
The Facts: DMO Chief Executive Officer, Dr Stephen Gumley made the following statement: “DMO intentionally takes on and manages some of the riskiest projects in Australia to provide our war fighters' with the best possible advantage. We are not risk adverse.” Read more here.
March 2007
The Story: Jane’s International Defence Review feature in its March 2007 edition highlights that Australian defence companies work under particularly tight export rules and the shortage of skilled personnel is a continuing local problem.
The Facts: Defence expenditure will increase significantly over the next decade - there is more than sufficient work for Australia 's defence industry base. Read more here
21 February 2007. Program Manager, New Combat Capability Project, Air Vice-Marshal John Harvey, responds to an article suggesting claims that the United States would not sell Australia the F-22 Raptor are bizarre. (The Age, 20 February 2007, p13.) Read the full letter
5 February 2007. Deputy CEO Kim Gillis responds to claims that DMO has been criticised by the audit office over ship defects (HMAS Sirius). (The Age, 5 February 2007). Read the full letter
