Defence: Strategic Reform Program

Senator Johnston asked the Minister for Defence, upon notice, on 11 January 2010:

For the period 1 July to 30 September 2009, what net savings have been made in the Strategic Reform Program (SRP) ‘Provisional Savings and Costs – SRP Stream Net Savings’ for: (a) information and communications technology; (b) inventory; (c) smart maintenance; (d) logistic; (e) non-equipment procurement; (f) preparedness and personnel and operating cost; (g) reserves; (h) shared services; and (i) workforce.

Senator Faulkner - The answer to the honourable senator's question is as follows:

1. Savings relating to the SRP were provisionally allocated across the decade in the 2009-10 Budget context.  The savings to the Defence budget have been attributed annually and will be reported on this basis.  Total SRP Stream Net Savings from 1 July 2009 to 30 June 2010 will be:
   1. Information and Communications Technology  -$50m
   2. Inventory  $63m
   3. Smart Maintenance  $159m
   4. Logistics  -$21m
   5. Non-Equipment Procurement  $124m
   6. Preparedness and Personnel and Operating Cost  -$7m
   7. Reserves  $14m
   8. Shared Services  Nil
   9. Workforce  $41m

Note:
1. Negative figure represents a net cost.

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