Snapshot review of the 2024 Naval Shipbuilding and Sustainment Plan

As usual, our team has worked through the 2024 Naval Shipbuilding and Sustainment Plan to bring you a quick analysis of its highlights and key points.

Headlines

• Record investment of $123–$159 billion over the decade in maritime capability.
• Major projects include conventionally armed, nuclear-powered submarines, enhanced lethality surface combatant fleet, and optimised Army littoral manoeuvre capabilities.
• Continuous Naval Shipbuilding and Sustainment (CNSS) as a critical national endeavour aligned with the Strategy of Denial.
• Establishment of the Maritime Workforce and Skills Council and Skills and Training Academy to support workforce development.

Key Advancements

• Increased Vessel Commitments: Expanding from 54 vessels in 2017 to 79 in 2024, this reflects a robust response to evolving threats.
• Australian Industry Capability (AIC): A strengthened focus on sovereign capabilities bolsters local industry’s role in supply chains and workforce development.
• Enhanced set of Naval Shipbuilding & Sustainment Enterprise (NSSE) “Key Enablers”: Inclusion of security and innovation highlights the importance of cyber resilience and technological progress.
• Regional Maintenance Centres (RMCs): Decentralised sustainment enhances fleet readiness and resilience.
• Collaborative Governance: New frameworks encourage integration across industry, government, and academia.

Growth Focus Areas

• Economic Growth: Thousands of jobs created across shipbuilding, sustainment, and related industries, with direct workforce requirements estimated at over 8,500 by 2030.
• Industrial Uplift: Investments in shipyards like Osborne (SA) and Henderson (WA) for modern facilities and infrastructure upgrades.
• Workforce Development: Over 500,000 Fee-Free TAFE places, $250 million for nuclear-submarine workforce training, and 4,000 university places in STEM fields.
• Technology Integration: Partnerships with the US and UK under AUKUS to develop advanced submarine capabilities, including the SSN-AUKUS class.

National Endeavour

• Strategic Purpose: Enhancing Australia’s sovereignty, ensuring national security, and addressing strategic risks in the Indo-Pacific.
• Capability Enhancement: Transition to nuclear-powered submarines, expansion of the surface combatant fleet, and acquisition of modern littoral manoeuvre vessels for the Army.
• Sovereign Industrial Capability: A resilient industrial base capable of scaling and adapting to future challenges.

Missed Opportunities

• Unapproved Investments: Strategic uncertainty looms with funding gaps. Contingency planning is essential.
• Governance Model: Operational specifics need detailing for more effective ecosystem-wide oversight.
• Security Measures: Strengthen actionable plans for supply chain and cyber protection.
• Innovation Outcomes: Clearer links between the ASCA and measurable improvements are necessary.
• Cross-Ecosystem Coordination: An integrated dashboard for alignment across functional areas is recommended.

Why It Matters:

The plan is a cornerstone for Australia’s defence and sovereignty, fostering innovation, industry growth, and a resilient naval ecosystem. By addressing these opportunities, the CNSS Enterprise can achieve unparalleled success in ensuring Australia’s security and capability.