MIN 100/97 Wednesday 30 July 1997
ALBURY WODONGA MILITARY BASE SUPPORT SERVICES DECISION ANNOUNCED
The Minister for Defence Industry, Science and Personnel Bronwyn Bishop today announced Transfield Defence Systems Pty Ltd as the preferred tenderer for logistic and base support services in the Albury Wodonga Military Area (AWMA).
These services include armoured and heavy vehicle repair/distribution, warehousing, stores distribution, catering, cleaning, waste removal, environmental management, range management, grounds maintenance and security.
Negotiation of a contract for at least six years, with anticipated savings of $84.9 million will begin shortly. These savings will represent more than a 40% reduction in existing costs.
Some 632 employees (441 civilian and 191 military) are affected by this contract. Service personnel will be redeployed and the 191 Service position will be reallocated to the combat force. The 441 Defence civilians will be offered redeployment, retraining or voluntary redundancy. Many are expected to be employed by the contractor.
"Considerable use of existing facilities in Albury Wodonga is intended throughout the life of the contract and a high percentage of local input to the services in the AWMA is expected to be achieved. Importantly the contract will allow for the substantial employment of Small to Medium Enterprises (SME) for the supply of many ancillary services."
The current arrangements for the provision of logistic and base support services, using a combination of soldiers and Defence civilians, were reviewed under the Defence Commercial Support Program. The program aims to transfer non-core Defence activities to the civil sector where operationally feasible, practicable and cost effective.
"CSP plays a major part in establishing a more effective partnership between Defence, industry and the community and in meeting wider government objectives for the economy."
Further Information:
Departmental: Colonel E.J. Hanger AM
PH: 0419 932 8278
Ministerial: Russ Street
PH: 0419 696 033