The claim
The Coalition has been locked in a war of words with the new Labor government over defence procurement.
Following an interview on Sky News where Defence Minister Richard Marles accused the previous government of leaving a "capability gap" in the wake of the scrapped submarine contract, Shadow Defence Minister Andrew Hastie charged Labor with leaving its own capability gap when last in office.
"Mr Marles talked about capability gaps well, when Labor left government, they hadn't commissioned a single ship. Since we've — for our period of government, we commissioned up to 70 ships, including the Guardian class, so we've been getting on with the job."
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Did the Coalition commission 70 ships while Labor commissioned none when it was previously in government? RMIT ABC Fact Check investigates.
The verdict
Mr Hastie's claim doesn't hold water.
The word "commission" can have distinct military and political definitions.
However, under no common definition can the Coalition be said to be responsible for 70 ships, while Labor is responsible for none.
If using the military definition, which means to enter service, the Coalition tallies just over 20 ships, according to research from independent think tank ASPI.
And Labor entered into service HMAS Choules, which was purchased from the UK. Experts spoken to by Fact Check said that this counts as a commissioning which plugged a capability gap, despite not being built originally for the Royal Australian Navy.
If commission also means to enter into a contract to build, that would bring the Coalition's tally to just under 50 ships.
Meanwhile, there are multiple instances of Labor ordering the construction of auxiliary vessels for the navy, as well as for the customs service (now Australian Border Force). In the case of the latter, the Coalition ordered exactly the same boats for the navy.
And if commission also means to simply signal an intent to acquire, it's possible the Coalition tally would reach over 70 ships, including those already delivered, and those with a build contract.
But experts were adamant that such early work does not qualify under the definition of commission.
And Labor similarly signalled the intent to acquire ships during its tenure.
Some of these ships, such as the Hunter class frigates, are now going through design work ahead of construction.
The source of the claim
Fact Check contacted Mr Hastie's office to ask for the source of his claim.
A spokeswoman responded with an answer from the Department of Defence to a 2015 question on notice in Senate Estimates, as well as links to comments made by former Coalition defence ministers Kevin Andrews and Linda Reynolds and former prime minister Malcolm Turnbull.
The department's Senate Estimates answer, as well as Mr Andrews (in a 2015 opinion piece) and Mr Turnbull (in a 2018 radio interview), each made the claim that Labor had not commissioned a single naval vessel.
The department and Mr Andrews both added the words that no ship had been commissioned "from an Australian yard".
The spokeswoman pointed to Senator Reynolds's July 1, 2020 media release in support of Mr Hastie's figure of 70 ships commissioned by the Coalition.
"Following today’s announcement of additional acquisition and upgrade plans in the 2020 Force Structure Plan, the Naval Shipbuilding Plan now encompasses over 70 vessels to be built here in Australia …" the release said.
Unlike these sources, Mr Hastie did not mention the place of construction in making his claim. Thus, Fact Check will not limit its analysis to vessels constructed in Australian yards.
However, he did mention the Guardian class patrol boats, which are being built in Australia and gifted to Pacific island nations. Fact Check will extend its analysis to such vessels.
The definition of commission
In its most recent edition (published June 2022) of its Cost of Defence report, the Australian Strategic Policy Institute, a non-partisan think tank which is partly funded by the Department of Defence, notes that the term "commission" is somewhat ambiguous.
"The Coalition government stated that it had commissioned or was commissioning very large numbers of Australian made ships, but such claims are confusing when we don’t distinguish between two meanings of the term ‘commission’," an appendix of the report read.
"The first is to order or authorise the production of something; that is, the start of a construction process. The second is to mark the entry of something such as a ship into service; that is, the end of a construction process.
"The previous [Coalition] government also used the term to refer to vessels that were in its investment plan but were not under contract and, indeed, for which no project had been started."
ASPI also noted that the gap between delivery of a vessel to the navy and its "commissioning" into service can create confusion on how to interpret the Coalition's claims.
Marcus Hellyer, a senior analyst focusing on defence budgets and capability at ASPI and author of its Cost of Defence report told Fact Check arguments about how many ships a government has commissioned as "inherently political" and that the word "commissioned" gets used loosely.
He noted that there is also slippage when politicians "use the term commission to refer to entering a vessel or class of vessel into their planned investment program".
"That is really just signalling an intent to acquire something in the coming decades."
Peter Jones, an adjunct professor with the University of New South Wales's Naval Studies Group and a former Vice Admiral and chief of the Royal Australian Navy's Capability Development Group, told Fact Check:
"A ship is commissioned after it is completed and successfully completed builder's trials and then formally accepted by the Commonwealth and commissioned into naval service. There is an actual commissioning ceremony when the White Ensign is raised.
"You will see with all naval ships they have both a commissioning date and then at the end of life a decommissioning date."
Alexey Muraviev, founder and director of the Strategic Flashlight forum on national security and strategy at Curtin University told Fact Check: "In military terms commission means that the naval platform or warship has been admitted into the order of battle."
He said it was and indication that the warship is fully combat ready and passed all the required trials and tests at sea.
Nonetheless, he acknowledged that the prospect of a ship "becoming real" occurs when the ship's keel has been laid.
"That's what is actually regarded as as something becoming really real because … all the blueprints have been approved and signed. And all that now matters is for the actual unit to be built."
Dr Hellyer said he would divide delivered and planned delivered ships into three categories:
- Delivered;
- Ordered (as signalled by the signing of a build contract) and;
- Signalling an intent
Fact Check will analyse Mr Hastie's claim using these three categories as a guide.
Different states of completion
In responding to Fact Check's request for the source of the claim, Mr Hastie's spokeswoman listed a number of projects the Shadow Defence Minister considered "delivered or commissioned":
- Nine Hunter class frigates
- Twelve Arafura class offshore patrol vessels
- Six Cape class patrol boats
- Two evolved Cape class patrol boats
- Twenty-two Guardian class patrol boats
- Up to eight new mine countermeasure and hydrographic survey vessels
- Commissioning all six Collins Class submarines to undergo life of type extension
- Inking AUKUS and the trilateral agreement to acquire at least eight nuclear class submarines under AUKUS
Mr Hastie's list contains projects with various different statuses and states of completion.
Fifteen of the Guardian class patrol boats, which are being gifted to Pacific island nations, have been delivered. The contract with builder Austal provides for the construction of another six.
Meanwhile, a head contract has been signed for the nine Hunter class frigates with BAE Systems Maritime Australia (formerly ASC Shipbuilding and design work is under way, but a build contract has not yet been signed.
Then there are vessels such as the nuclear submarines, where an intent has been signalled but no tenders advertised.
As for the "life of type extension" for Australia's current fleet of Collins class submarines, Dr Muraviev labelled this a "compromise" (rather than a "commission") which the government was forced to make when it dumped the conventional submarines contract with the French in 2021.
"We're still not certain when we're going to get the new the future nuclear nuclear powered multi-role submarines, Dr Muraviev told Fact Check, noting that the existing Collins class submarines would have needed to be taken out of service in the late 2020s to early 2030s.
"So now … the government is forced to extend their operational life to ensure that we don't end up without any submarine force during the transition from the conventional submarine force to a nuclear-powered submarine force."
Dr Hellyer agreed:
"The Collins Life of Type Extension does not count as 'commissioning' a vessel. They are the same submarines! It would eviscerate the English language of meaning to call that commissioning," Dr Hellyer told Fact Check in an email.
In an interview with ABC Insiders on August 8, after Fact Check had enquired with Mr Hastie's office about the claim, Mr Hastie expressed part of the claim in different terms:
"Over the last decade under the Morrison, Turnbull and Abbott governments we invested a lot in the Australian Defence Force. We have upgraded and commissioned 70 new ships ... " he said.
Mr Hastie did not mention "upgraded" in making his original claim, nor was the claim expressed this way in any of the supplementary documentation his office supplied to Fact Check as the basis of his claim.
Given that experts Fact Check spoke to dismissed the idea that the Collins class upgrades amount to a commission, they will be excluded from this analysis.
What data is out there?
The Royal Australian Navy lists all vessels in active service, including date "commissioned", on its website.
The oldest is the HMAS Shepparton (II), which entered service in January 1990, under prime minister Bob Hawke.
The most recent is the HMAS Stalwart (III), which entered service in November 2021.
This list allows a comparison between the Rudd-Gillard Labor government and the Abbott-Turnbull-Morrison Coalition government, but only in relation to ships delivered and to those for use by the RAN. It excludes the Guardian class patrol boats built in Australia for other countries.
A second navy list contains "other vessels" such as an offshore supply ship, a salvage/rescue vessel and ceremonial and VIP transport. It does not contain dates, but four of the ships contain "launch" dates in their individual explanation pages:
Only the three merchant vessels (MVs) are relevant to the time period of Mr Hastie's claim.
Fact Check contacted a broad range of academics and experts in defence and national security for guidance in assessing Mr Hastie's claim. Many of them suggested Dr Hellyer as the best expert to speak to on this topic.
ASPI's Cost of Defence report, of which Dr Hellyer is the author, contains two tables with information on naval acquisitions.
However, these tables relate only to the previous Coalition government, so do not provide material to assess Labor's record.
In addition, ASPI excluded projects which were ordered under a previous government but were delivered to the navy during the Coalition's term. This means that some ships on the navy's list dated during the Coalition's term do not appear in ASPI's tables.
The first table lists numbers of ships planned, in contract and delivered by project.
The second table is a list of "vessels that are in the [navy's Integrated Investment Plan] but that haven’t yet gone to tender or are smaller vessels, such as landing craft".
Other ships included by the navy that do not appear in ASPI's tables are two of the merchant vessels, MV Besant and MV Stoker.
Dr Muraviev told Fact Check that ASPI's list was "pretty comprehensive", but that auxiliary vessels such as MV Besant and MV Stoker should be included when assessing Mr Hastie's claim.
"Yes, they are unarmed auxiliaries. Yet, their function as rescue/salvage units is vital in supporting surface and submarine ops," he told Fact Check in an email.
"I think it’s a common mistake to judge the navy’s combat potential by assessing just the combat arm of the naval force. The auxiliary element, ranging from underway replenishment capability and submarine rescuers to hydrographic survey vessels and port tugs is as important as the warship element," he said.
There are two further ships listed by ASPI as being delivered under the Coalition which are not listed on the navy's website.
One evolved Cape class patrol boat, the ADV Otway, was delivered to the navy in March 2022.
And Pacific support vessel ADV Reliant was purchased by the Coalition from overseas during the election campaign, after a previous promise to build a new ship in Australia.
Vessels delivered
Fact Check asked the Department of Defence for numbers of ships delivered, put into contract or put out to tender broken down by government.
The department responded by directing Fact Check to the navy's website, which as previously noted does not contain information about contracts or tenders. But the list can be used to analyse what was delivered under each government.
Nine of the 42 vessels in the current fleet listed by the navy entered service while the Coalition was in office.
These are three Hobart class guided missile destroyers, two Cape class patrol boats, two Supply class auxiliary oiler replenishment vessels and two Canberra class amphibious assault ships, also known as a Landing Helicopter Docks or LHDs.
(Two of these, the ADV Cape Fourcroy patrol boat and the ADV Cape Inscription patrol boat, are listed without "commissioning" dates but were delivered in May 2017 and June 2017 respectively.)
ASPI lists only four of these and 15 Guardian class Pacific patrol boats, which are being gifted to Pacific island nations.
The Hobart and Canberra class vessels have been excluded because they were ordered under the Howard government.
Meanwhile, three of the vessels listed on the navy's website entered service during the tenure of the Labor government:
HMAS Maryborough and HMAS Glenelg were the final two of 14 Armidale class patrol boats which were predominantly constructed under the Howard government.
HMAS Choules is the only ship of these three which was a decision of the Labor government, which opted to bid for the vessel in March 2011.
But does this equate to commissioning?
Both Dr Hellyer and Dr Muraviev were of the opinion that it does.
"Any new addition to the navy's order of battle, whether its a new-built or bought off-the-shelf could be regarded, in my view, as a successful commission," Dr Muraviev said.
"Labor bought a ship to fill a pressing capability gap," Dr Hellyer said, noting that the navy's amphibious capability at the time had "collapsed".
"The two [Landing Helicopter Dock]s were under construction but still several years away from delivery so we needed something quickly."
(The amphibious assault ships Dr Hellyer referred to eventually came into service in 2014 and 2015).
"Incidentally it was an almost new [Royal Navy] ship that we got at a bargain basement price and it has proven to be a very valuable asset."
The delivery of two Cape class patrol boats under the Coalition also raises the question as to whether Labor can lay claim to commissioning any of this type of boat.
The two Cape class boats were built for the navy by Australian company Austal, after eight previous boats of the same type were delivered to the Australian Customs and Border Protection Service (now Australian Border Force).
According to the Australian National Audit Office, the "acquisition contract" for these boats was signed on August 11, 2011. The first boat was accepted in April 2013, under Labor.
And according to the navy, their boats have "been seamlessly integrated into service as a result of the close working relationship between Navy and the Australian Border Force which also operates a fleet of the Cape Class Patrol Boats".
Dr Hellyer told Fact Check that "it's reasonable to suggest that since Navy patrol boats are doing border protection and are identical to Border Force patrol boats which are also doing border protection, then Labor should be acknowledged for ordering Border Force patrol boats if the Coalition is being acknowledged for ordering Navy patrol boats".
"They are essentially the same thing," he said.
When asked if the existing contract with Austal would have made it easier for the Coalition to order more of the same boats, Dr Hellyer said it was reasonable to suggest it would be easier to order more.
But he said he couldn't say whether it wouldn't have been feasible to build them so quickly had there been no build contract in place.
"Small ships are always easier and faster to build than bigger, more complex ones," he said.
Vessels in contract
As previously mentioned, ASPI's research includes only vessels that were ordered or planned under the most recent Coalition government.
The Coalition did not sign build contracts for anywhere near 70 ships, according to ASPI.
ASPI's table shows the following ships that the Coalition signed build contracts for which are yet to be delivered:
- Six Guardian class Pacific patrol boats
- Seven evolved Cape class patrol boats
- Twelve Arafura class offshore patrol vessels
This brings the total number of ships in contract or delivered under the Coalition to 47.
None of the ships designated in the navy's current fleet which entered service during or after Labor's previous term in government had a build contract signed during Labor's term, including the Hobart class destroyers and the amphibious assault ships.
As previously mentioned, a build contract was signed, and one Cape class boat delivered to the customs service under Labor.
Fact Check contacted the Department of Defence to ask when the build contract for MVs Besant and Stoker were signed.
A spokesman responded that the department "issued the direction to construct" MV Besant in July 2012 and MV Stoker in October 2012, which is within Labor's tenure.
Retired vice admiral Jones also pointed Fact Check to another auxiliary vessel which is not listed on the navy's website, which is now known as the ADV Ocean Protector.
It initially entered service as a customs vessel in 2010, when it was leased from and operated by private company Seaforce.
Under prime minister Malcolm Turnbull, the vessel was purchased by the government, and was "owned and operated by the Australian Defence Force, utilising highly trained and qualified Australian Border Force (ABF) Maritime Enforcement Officers".
Vice Admiral Jones said it wasn't important whether a vessel was bought or leased, pointing to the example of the Royal Australian Air Force VIP fleet, which is leased rather than bought.
Vessels with a signalled intent to acquire
Dr Hellyer told Fact Check that the vessels which appear with a status of "planned" in ASPI's list are "in a strategic document such as the Defence White Paper and the government has articulated an intended number, either in the White Paper or a public document such as a speech or media release".
This includes the 12 Attack class conventional submarines, which ASPI notes have been cancelled.
As these vessels are no longer on order, Fact Check will not include them in its calculations.
The only other vessels which are still planned are the nine Hunter class frigates, which would bring the total to 56.
Then there are the vessels which appear on ASPI's second list of ships, which are "additional projects in the [Integrated Investment Plan]" and either "haven't gone to tender or are smaller vessels, such as landing craft":
- 2 sea-lift and replenishment vessels
- At least 8 future mine warfare and hydrographic vessels
- Up to 18 future army watercraft
- 1 salvage and repair craft
- "At least 8" nuclear-powered attack submarines
No quantity was included for a listed "large army watercraft".
Including the maximum quantities of these vessels in the count, as well as ships which have been ordered and ships which have been delivered, would bring the total to 93.
However, to count any of these in the Coalition's tally, it would need to be acknowledged that the former Labor government had signalled the intent to acquire vessels also.
Labor's 2009 Defence White Paper, for example, stated that the government would "acquire a fleet of eight new Future Frigates, which will be larger than the Anzac class vessels".
This was later expanded to nine frigates under the Coalition, and became the Hunter class frigate program.
The 2009 White Paper also flagged the intention to replace one of Australia's two replenishment and supply ships, HMAS Success, "at the end of the next decade".
This was expanded in Labor's 2013 Defence White Paper to the replacement of the other replenishment and reply ship, HMAS Sirius.
Two such replacement ships, HMAS Supply and HMAS Stalwart, entered service in 2021.
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"The Coalition repeatedly claimed that Labor didn't commission a single vessel, but if including something in your investment/force structure plan counts as commissioning, then the last Labor government would get credit for the future submarine, the future frigate, the multi-role vessel that evolved into the [offshore patrol vessel] and the mine warfare/hydro vessels, and the replenishment ships," Dr Hellyer said.
"That's why is nonsensical to claim you 'commissioned' something that hasn't gone to tender let alone entered contract."
The bottom line
Defence procurement is a process that, including feasibility studies, design decisions and construction, can last decades and therefore, span the tenure of many governments.
"So how can one say that could only be attributed to one party?" Dr Muraviev said, noting the relative frequency of changes of government in Australia.
Dr Muraviev noted that the commissioning of 70 ships under the Coalition government in the sense of them entering service would revolutionise the Royal Australian Navy, turning it from a small but modern force into a large size.
"That's not the case," he said.
He said if Mr Hastie was using the word commission to mean "contract", then this "is not very accurate".
"Because when it comes to the business of naval acquisitions, things don't happen overnight … it requires a considerable lead up period, it requires feasibility study, which is linked to the way how the Department of Defence and the Royal Australian Navy envisage future trends in terms of geostrategic developments."
Retired vice admiral Jones said that comparisons such as the one made by Mr Hastie were "quite superficial as the conclusion being inferred is invariably misleading".
"For example, it does depend on when ships need replacement. In addition, naval programs are invariably longer in gestation and delivery than the tenure in governments," he said.
Dr Hellyer noted that ships have a 30-year or more service life "so it’s possible to go for some years without commissioning (in any sense of the word) any vessels".
"That was particularly the case before the current 'continuous' approach to shipbuilding. New classes of ships would be built relatively quickly and wouldn’t be replaced. So it was fairly normal to have periods between deliveries of ships," he said.
"The real question is did Labor delay decisions on replacing ships? Overall, my sense is no, but one could argue that they should have made more progress on the replacement of the Collins class submarines."
Dr Hellyer noted various projects that were already underway when Labor came to government, including the Anzac class frigates and the Armidale class patrol boats. The last of the Collins class submarines, he said, had only been delivered a few years earlier.
"So in short, there wasn’t really a need to order new ships as much of the fleet was relatively new or already under construction".
Principal researcher: RMIT ABC Fact Check Editor Matt Martino
Sources
- Richard Marles, Interview, Sky News, July 3, 2022
- Andrew Hastie, Interview, Sky News, July 3, 2022
- Senate Additional Estimates February 25, 2015, Question on notice no. 60 - shipbuilding
- Kevin Andrews, Minister for defence - opinion editorial - Labor’s indecision has left shipbuilding in a precarious and uncertain state, April 22, 2015
- Linda Reynolds and Melissa Price, Growing our shipbuilding enterprise and creating more opportunities for Australian industry, July 1, 2020
- Malcolm Turnbull, Interview, ABC Radio Brisbane, March 14, 2018
- Austal, Australia delivers 15th Guardian class patrol boat, May 27, 2022
- Marcus Hellyer and Ben Stevens, The cost of Defence ASPI defence budget brief 2022–2023, Appendix II, June 2022
- Department of Defence, Hunter class frigate
- Andrew Hastie, Interview, ABC Insiders, August 7, 2022
- Royal Australian Navy, Current ships
- RAN, HMAS Shepparton (II)
- RAN, HMAS Stalwart (III)
- RAN, STS Young Endeavour
- RAN, MV Besant
- RAN, MV Stoker
- RAN, MV Sycamore
- Austal, Austal Australia to build an additional two evolved Cape class patrol boats for the Royal Australian Navy, April 18, 2022
- Andrew Greene, Industry anger after Defence spends $90 million on second-hand vessel in Canary Islands, ABC News, April 19, 2022
- Australian National Audit Office, 2019-20 major projects report | air warfare destroyer
- ANAO, 2014-15 major projects report | amphibious ships (LHD)
- Royal Navy, Royal Fleet Auxiliary
- RAN, HMAS Maryborough (II)
- RAN, HMAS Glenelg (II)
- RAN, HMAS Choules
- RAN, Amphibious assault ship (LHD)
- RAN, ADV Cape Inscription
- Austal, Cape class patrol boat (Austal patrol 58)
- ANAO, Management of the Cape class patrol boat program, December 16, 2014
- Royal Australian Navy, Patrol boat, general (PB)
- Raytheon Australia, Air Warfare build begins with contract signature, October 4, 2007
- Teekay, Australian Defence Vessel (ADV) Ocean Protector's unique capability supports local Christmas Island community, July 7, 2021
- Seaforce, Projects
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