THE FEDERAL government has called for tenders to establish the much-anticipated maritime Strategic Fleet.

The tender, released on 6 September, calls for three vessels to participate in the pilot program which will run for five years.

A media release from transport minister Catherine King said vessels in the pilot will be privately-owned and operate on a commercial basis but be available to the Commonwealth to requisition in times of need, crisis or national emergency – such as natural disasters or conflict. 

The release said the establishment of a Strategic Fleet will provide important maritime capabilities and bolster resilience, providing assistance in times of crisis or natural disaster, and to support industries reliant on shipping, such as heavy manufacturing.

“Recent supply chain disruptions and geopolitical events have underlined the importance of a strong domestic maritime sector, which plays a vital role in our day-to-day lives,” the release said.

“The vessels in the pilot will be expected to each offer at least three training berths per year, which will boost our maritime workforce by increasing the amount of Australian qualified seafarers at a time of a growing global shortage.

“This is a major step towards fulfilling our commitment to establish a Strategic Fleet of up to 12 Australian flagged and crewed vessels to strengthen our sovereign maritime capabilities while supporting our maritime workforce.”

Minister King encouraged interested industry stakeholders to read the request for tender, attend the industry briefing being conducted by her department on 19 September, and apply. Tenders for the pilot will close on 29 November, with all required tender documents available on AusTender from 10am AEST, Friday, 6 September 2024.

The government launched the Strategic Fleet Taskforce in October 2022 to liaise with industry and stakeholders and advise the government on ways to establish such a fleet an in 2022 allocated $6.3 million to the taskforce.

The taskforce submitted its final report to government in June last year and it was made public, along with government response to its recommendations in November 2023.

The announcement of the tender was warmly received by Australia’s peak body for shipping, Maritime Industry Australia Ltd (MIAL).

MIAL CEO Angela Gillham said the Strategic Fleet program was an important initiative that will lay the foundation for future growth in Australian sovereign maritime capability, which is as essential to the national prosperity as Australian miners, farmers, and manufacturers.

Ms Gillham said Australian shipping had been in decline for decades, and the implications for the erosion of the country’s sovereign maritime capability were starting to bite with supply chain security and national resilience vulnerabilities coming to light in recent years.

“Industry has been sounding the alarm for many years but the current geopolitical context, the potential economic impact of the nation’s critical maritime skills shortage, and the supply chain disruptions caused by the pandemic, as well as the increasing frequency and severity of climate change driven natural disasters, means that strong action must be taken immediately,” she said.

“An approach like the Strategic Fleet has not been tried before in Australia but variations on the theme are common internationally.

“Other nations place a high value on the retention of commercial maritime capability as an essential element of their sovereign industrial base. Today’s announcement is an important step forward in Australia’s national interest.

“The Strategic Fleet has the potential to provide the nucleus for a resurgence of Australian maritime capability and the Australian industry looks forward to working with government to further establish the business case for Australian shipping and provide the long-term policy certainty required to attract investment.

“Australia is a maritime nation – an island at the end of the global supply chain. We import around 90% of our liquid fuels, a huge array of chemicals, and raw materials critical to our manufacturing industries and consumer goods, which underpin our way of life. But as a nation we currently have no control over those critical supply lines. MIAL welcomes the government’s commitment to addressing this important issue through the Strategic Fleet Pilot.”