An ongoing commitment to strong defence

To meet its international obligations, the Government will provide $132 million to allow for the continuation of the current Australian Defence Force (ADF) deployment to Iraq through financial year 2004-05. The timeframe for, and composition of, operations in Iraq will be kept under review.

The Government will also provide $27 million over two years for the expected extension of the ADF and Australian Federal Police contribution to the United Nations mission in East Timor.

Improving Defence capability

In late 2003, the Government reviewed Australia’s Defence Capability Plan (DCP) in light of changes in the strategic environment and Defence’s heightened operational tempo.

As a result, the Government has announced the replacement of Leopard tanks with the Abrams M1 tanks, the acquisition of larger amphibious lift ships and three air warfare destroyers, and an upgrade of the F/A‑18s.

Capabilities are underpinned by strong operational support. Funding of $815 million over four years will be provided for logistics support for a range of platforms, including the P-3C Orions, ANZAC Frigates, and Collins class submarines. This includes $610 million for additional programmes beyond those provided for in the 2003-04 Budget.

The Government has also committed $458 million over the next four years to improve conditions for ADF personnel, including measures to increase rental assistance, as well as the quality of, and access to, housing.

Following the Defence Procurement Review, the Government has committed $33 million over five years to significantly improve capability development and acquisition processes through the Defence Materiel Organisation.