6 years ago
Extra scrutiny required for $50 billion Future Submarine Project
Senator Rex Patrick
NXT Senator Rex Patrick has called on the Department of Defence to take greater care in the way it spends taxpayer money in the $50 billion Future Submarine Project after a sequence of questionable spending has been exposed.
"People are telling me that Defence is being careless with taxpayer money and inquiries made by former Senator Nick Xenophon and myself have confirmed that," said Rex. "The project is awash with money and people are behaving recklessly."
Yesterday at Senate Estimates it was revealed that the Future Submarine Project had purchased 19 (imported) bicycles in Australia, freighted them to France and then had them put together by a French bicycle mechanic for use by staff at Naval Group's Cherbourg submarine shipyard.
"I'm struggling to think of a more expensive way to buy a bike," said Rex.
It was further revealed that the Department had bought some high-end fridges which contained lockable compartments. Health concerns were raised after people left food in the lockable compartments while on travel. The Department is now paying to revert the fridges back to a more conventional layout.
"These two incidents are relatively small in the big scheme of things, but they come off the back of larger expenditure concerns," said Rex.
Last year Nick Xenophon revealed that the Future Submarine Project had contracted a "million dollar man" at $4,500 per day for the period of a year. After Nick Xenophon's questioning, Defence decided not to renew the contract and are now totally revising their policies on contracting rates.
At a December Estimates hearing, the Department of Defence were forced to confirm to Senator Patrick that an investigation was underway for misappropriation of Commonwealth funds at the Cherbourg facility.
"We're starting to see a litany of careless spending. It's a cause for real concern. The Future Submarine Project is extremely important and must be managed well," said Rex.
"This is not nitpicking. If you look after the pennies, the pounds will look after themselves. My jobs is one of scrutiny and I intend to do that job properly."
Senator Patrick has requested detailed costings on the bicycles and fridges.