Menu
Sign In Search Podcasts Libraries Charts People & Topics Add Podcast API Blog Pricing
Podcast Image

ABC News Daily

Why AUKUS delivers second-hand subs

03 Jun 2026

Transcription

Transcript generated automatically by AI and may contain errors.

Chapter 1: What is the main topic discussed in this episode?

0.031 - 6.042 Peter Garrett

ABC Listen, podcasts, radio, news, music and more.

0

8.671 - 19.627 Unknown

Just one day after Jack McLennan's relationship fell apart, he vanished. I couldn't believe this was happening. Immediately, accusations started flying. You need to cough up and you need to confess.

0

Chapter 2: Should Australia spend $368 billion on nuclear submarines?

19.847 - 37.193 Unknown

But it soon became clear there was so much more to the story. There has to be something more nefarious going on. I'm Rob Bergen. Join me as I investigate what became of Jack in the new season of Unravel. You know where my son is. Search for the Unravel podcast on ABC Listen or wherever you get your podcasts.

0

48.85 - 68.698 Sam Hawley

Should we be spending up to $368 billion on nuclear submarines over the next 30 years? Well, Peter Garrett, the former Labor Minister and Midnight Oil star, doesn't think so. So he set up a crowdfunded inquiry into the AUKUS submarine deal.

0

69.269 - 81.021 Sam Hawley

It's perfect timing, with the government announcing the original agreement has changed a bit, with the US to switch out one new sub for, well, a second-hand one.

0

Chapter 3: What prompted the crowdfunded inquiry into the AUKUS deal?

81.802 - 118.981 Sam Hawley

Today, Sam Roggeveen, Director of the Lowy Institute's International Security Programme, on the growing concerns about the deal. I'm Sam Hawley on Gadigal land in Sydney. This is ABC News Daily. Sam, why don't we start with a very brief history lesson about how this Orcas deal came about, which was basically via a diplomatic crisis with the French, wasn't it? Remind me of that.

0

119.281 - 127.913 Sam Roggeveen

Well, Orcas was announced in September of 2021 when the Morrison government decided that the project to procure Orcas

0

128.18 - 154.272 Sam Roggeveen

12 french designed and built submarines which were powered by conventional that is diesel electric motors that that project would be cancelled and instead we would buy nuclear-powered submarines from the united states today i announce a new partnership a new agreement that i describe as a forever partnership a forever partnership

0

154.37 - 158.929 Unknown

for a new time between the oldest and most trusted of friends.

0

160.04 - 186.773 Sam Roggeveen

The actual reason why we cancelled the French deal and went with AUKUS instead is actually still a bit of a mystery. There's a great book to be written on that subject by someone in the future, but no Australian government, I would argue, has yet given a really coherent and comprehensive strategic case for why we switched from the French attack class submarines to the AUKUS submarines.

187.934 - 196.556 Sam Hawley

Right, yes, and of course we had that rather interesting moment with Emmanuel Macron when he was asked, did he lie to you in relation to Scott Morrison?

196.576 - 200.526 Unknown

Do you think he lied to you? I don't think, I know.

202.7 - 204.805 Sam Hawley

That goes down in history, right? That moment.

Chapter 4: How did the AUKUS deal change recently?

205.205 - 218.093 Sam Roggeveen

Indeed. Well, I would have the world's smallest violin for the French, I must say. I mean, there's a reason you put cancellation clauses in contracts. It's so you can cancel them. And the French were generously compensated.

0

219.473 - 238.832 Sam Hawley

All right. Yes, we did lose out by $3.4 billion because we dumped that deal. Now, that deal was worth $90 billion. The Orcas deal, as you say, was born. That has a price tag of $368 billion. So just explain or remind me, what do we actually get for that?

0

238.88 - 254.479 Sam Roggeveen

Well, it's up to $368 billion. That's the figure we have from governments. So somewhere between 268 and 368, that was the figure offered at the time. Essentially, what we get for that is eight nuclear-powered submarines.

0

Chapter 5: What historical context led to the AUKUS submarine deal?

255.46 - 279.229 Sam Roggeveen

And the first three and potentially as many as five of those submarines will be American. They will be Virginia-class submarines from American shipyards. And then the final three, and maybe as many as five, will be a new class of nuclear-powered submarine to be designed and built primarily in the UK, but also in Adelaide. And at the moment, that's simply called SSN AUKUS.

0

279.269 - 285.836 Sam Roggeveen

But that is purely a paper design at the moment. The process of designing and building that submarine has only just begun.

0

286.297 - 294.807 Sam Hawley

Right. Okay. And yes, just a reminder, when we signed up to this rather large deal, the president back then, Joe Biden, he seemed to forget the prime minister's name.

0

295.242 - 303.303 Joe Biden

Thank you, Boris, and I want to thank that fellow down under. Thank you very much, pal. Appreciate it, Mr Prime Minister.

0

304.065 - 308.998 Sam Hawley

Which, Sam, I guess no businessman with that sort of money on the table would ever do.

309.367 - 324.07 Sam Roggeveen

Well, it's actually worth remembering that AUKUS is an extremely attractive commercial proposition for the United States. We're investing billions of dollars in American shipyards and in the American military-industrial complex.

Chapter 6: What are the implications of getting second-hand submarines?

324.351 - 325.873 Sam Roggeveen

Pretty good deal for the United States.

0

333.38 - 356.468 Sam Hawley

All right. Well, Sam, of course, now the AUKUS deal is changing and we will come to how we're going to be getting some secondhand submarines in a moment. But this deal, this AUKUS deal, it has its critics. And now the former Labor Minister, Peter Garrett, he has crowdfunded to set up an inquiry into this deal.

0

356.448 - 372.162 Peter Garrett

This is the biggest amount of money that the Commonwealth of Australia will ever spend in our lifetime to deliver submarines that may not arrive in time at all to be useful. And if they are to arrive, have so many questions and issues around them.

0

373.39 - 374.272 Sam Hawley

What do you make of that?

0

374.794 - 390.994 Sam Roggeveen

Well, I would say, first of all, that more scrutiny is welcome. And that hasn't happened in the parliament. So if it's going to happen outside the parliament, then great. But ideally, we would have much more parliamentary scrutiny on this deal as well.

391.261 - 410.235 Sam Roggeveen

It's interesting to me that over the past few years since AUKUS was announced, criticism and scepticism about AUKUS has tended to come from the progressive side of politics. I notice the Labor MP Ed Husic has spoken up, so have certain members of the union movement, so that's roughly in line with that progressive left side of politics.

Chapter 7: What are the criticisms surrounding the AUKUS deal?

410.335 - 416.661 Sam Roggeveen

What's, I think, even more notable in this regard is that we're also seeing some doubts emerging from the right of Australian politics.

0

417.442 - 433.198 Sam Roggeveen

Recently, we've had Senator James Paterson, who's the opposition's defence spokesman, give a speech at the Press Club in which he aired the idea that just in case these submarines arrive late, the government should be thinking about other kinds of military capabilities to fill the gap.

0

433.33 - 446.732 Unknown

And I think we're doing the public a disservice just by saying everything is fine, everything on track, no need to be alarmed. I think we do need to make changes so that we can deliver AUKUS. And I think we do need contingencies for potential capability gaps.

0

447.016 - 464.366 Sam Roggeveen

And then Joe Hockey, who is the former Liberal Treasurer, of course, in the Abbott government, and these days really well plugged in in Washington through his consultancy, he said that for the first time he's having some worries about whether these submarines can be delivered.

0

465.328 - 484.227 Joe Hockey

You know, for the first time I'm a little nervous about the Virginias. And that's after a few conversations on the Hill in the last... But that's technical. That's not because of the relationship. No, not because of the relationship at all. There's no problem at a military-to-military or bureaucracy-to-bureaucracy level.

484.688 - 489.915 Joe Hockey

It's just a question of whether they can actually build the Virginians fast enough.

489.895 - 509.659 Sam Roggeveen

That's significant because when the Morrison government announced AUKUS, so at that moment in late 2021, we were less than a year out from an election. The Morrison government was unpopular. And I think part of the political reasoning behind the agreement was, well, if we can make this big announcement about a submarine project,

Chapter 8: How might Australia address potential military capability gaps?

509.639 - 525.675 Sam Roggeveen

we can kind of goad the opposition into opposing it and then we can have a car key election, as they say, and we would be traditionally the Liberal Party tends to win those kind of debates. Now, the Labor Party decided not to take that bait. They endorsed AUKUS right from the beginning.

0

526.396 - 538.228 Sam Roggeveen

But if now we're in a situation where we start to see the Liberal Party distancing itself a little bit from AUKUS or expressing doubts, then I think that does create a little bit more political space for the government to do that as well.

0

542.579 - 550.26 Sam Hawley

Why don't we now, Sam, turn to the changes and what's been shifting in the past week. What's changing?

0

550.409 - 574.189 Sam Roggeveen

Well, the previous deal was that Australia was going to get, as I said, three and maybe as many as five submarines from the United States. So if we start with that baseline number three, what we understood was that two of those would be effectively secondhand boats from the United States. So these would have been submarines that were already in operation in the US Navy before

0

574.169 - 598.393 Sam Roggeveen

They would be refurbished and then they'd be sold to Australia. But then the third boat would be completely new. As of last weekend, the government has announced that, no, we're no longer going to get a new submarine. All three will now be used submarines. And the government's argument is that this is good news because it helps simplify the process. And they have a point.

598.814 - 616.378 Sam Roggeveen

You know, submarines like the Virginia-class are built in what they call blocks. or trenches effectively. So they build maybe five or six. And then the Navy says, well we'd like to add this element, and we'd like to take that part out, and we need this new capability on board. And so they start building six more of a slightly upgraded type.

617.279 - 626.333 Sam Roggeveen

And previously Australia would have got two different types of Virginia class submarines. Now we're only going to get one, and yes that does simplify the process.

626.482 - 629.006 Sam Hawley

Right. And they're presumably cheaper.

629.026 - 636.9 Sam Roggeveen

Well, the government has signalled that there are some cost savings, but they're actually going to be pretty modest. So, yeah, I wouldn't expect a lot of cost saving.

Comments

There are no comments yet.

Please log in to write the first comment.