New sub probe launched
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After less than 18 months of operation, Australia's $368 billion submarine agency is under review.
The Australian Submarine Agency (ASA) is set to undergo a rapid review following persistent reports of cultural issues and low morale within the organisation.
Defence Minister Richard Marles announced the appointment of Dennis Richardson, a public servant with decades of experience in defence and intelligence, to lead the review.
The ASA, established 17 months ago, is tasked with overseeing the $368 billion AUKUS nuclear submarine acquisition, described as the most significant investment in Australia’s defence capability.
Reports of low staff morale and dissatisfaction with senior leadership have plagued the ASA.
Staff census data from 2023 ranked the ASA as second-worst for wellbeing among 104 government agencies, with mixed feedback on management and leadership. Notably, Deputy Director-General David Hallinan recently resigned after expressing concerns about governance, which he claimed were inadequately addressed.
Richard Marles emphasised the review was not a response to allegations but a measure to ensure ASA’s readiness for its critical role.
“Now is the right time to have a look at ASA. To check that we’ve got all its settings right,” he told the ABC, stressing the importance of continuous self-scrutiny.
However, opposition defence spokesperson Andrew Hastie has criticised the review as evidence of mismanagement by the government.
He expressed concerns about its potential impact on AUKUS delivery timelines, demanding clarity on when Richardson’s recommendations would be presented.
The ASA has allocated substantial resources to management consultancy and executive training.
Contracts valued at nearly $10 million were signed with McKinsey Pacific Rim, with additional millions spent on advisory services from Deloitte, KPMG, and others.
These expenditures, coupled with continued payments for the cancelled French submarine project, have drawn scrutiny from government watchdogs.
Dennis Richardson brings decades of experience to the task, having held roles as Defence Secretary, ambassador to the United States, and Director-General of ASIO. Known for his methodical approach and incisive critiques, Richardson is expected to deliver actionable insights in his review.
While some government figures, including Defence Industry Minister Pat Conroy, view the review as routine and reassuring, others see it as indicative of deeper challenges within the ASA.
Greens Defence spokesperson David Shoebridge argues that the review highlights inefficiencies in delivering nuclear submarines, saying; “It’s a pretty extraordinary admission of failure when an agency less than a year-and-a-half old already needs a top-down external review”.
