Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search


Military aircraft cost blowout unacceptable

26 June 2008

Military aircraft cost blowout unacceptable: Greens

Green Party MP Keith Locke is concerned at the lack of accountability by the Ministry of Defence and Defence Force regarding cost blowouts of almost $400 million on key defence projects, identified in an Auditor General's report released today.

The report revealed that a single item on the military shopping list - the purchase of eight NH90 helicopters to replace 14 ageing Iroquois helicopters - had blown out by more than $220 million, while other items of military hardware also had significant cost overruns from initial projections.

"It is unacceptable that the purchase cost for eight NH90 helicopters blew out from the upper limit of $550 million when the Cabinet decided to commence the acquisition to $771.2 million before the contract was signed," Mr Locke, the party's Defence Spokesperson, says.

The cost of an Orion aircraft communication and navigation upgrade also ballooned by $91 million, increasing from an estimated $282 million to a final figure of $373 million.

"All this happened without the necessary information or justification being available which is why the Auditor General's audit of 10 Defence acquisitions (including the helicopter and Orion projects) could not be completed," Mr Locke says.

"With the agencies unable to provide the proper information how can we be certain that we are seeing the whole picture? With the total blowout for just these top 10 projects being almost $400 million, it worries me what is going on with the other purchase projects the agencies are involved in," Mr Locke says.


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On The Life And Times Of Peter Dunne

In the end, Mr Pragmatic calmly read the signs of impending defeat and went out on his own terms. You could use any number of clichés to describe Peter Dunne’s exit from Parliament.

The unkind might talk of sinking ships, others could be more reminded of a loaded revolver left on the desk by his Cabinet colleagues as they closed the door behind them, now that the polls in Ohariu had confirmed he was no longer of much use to National. More>>


Gordon Campbell: On Labour’s Campaign Launch

One of the key motifs of Ardern’s speech was her repeated use of the phrase – “Now, what?” Cleverly, that looks like being Labour’s response to National’s ‘steady as it goes’ warning against not putting the economic ‘gains’ at risk. More>>


Lyndon Hood: Social Welfare, Explained

Speaking as someone who has seen better times and nowadays mostly operates by being really annoying and humiliating to deal with, I have some fellow feeling with the current system, so I’ll take this chance to set a few things straight.. More>>


Deregistered: Independent Board Decision On Family First

The Board considers that Family First has a purpose to promote its own particular views about marriage and the traditional family that cannot be determined to be for the public benefit in a way previously accepted as charitable... More>>


Transport Policies: Nats' New $10.5bn Roads Of National Significance

National is committing to the next generation of Roads of National Significance, National Party Transport Spokesperson Simon Bridges says. More>>


Gordon Campbell: On Why Labour Isn’t Responsible For Barnaby Joyce

As a desperate Turnbull government tries to treat the Barnaby Joyce affair as a Pauline Hanson fever dream – blame it on the foreigners! We’re the victims of the dastardly New Zealand Labour Party! – our own government has chosen to further that narrative, and make itself an accomplice. More>>


Rail: Greens Back Tauranga – Hamilton – Auckland Service

The Green Party today announced that it will trial a passenger rail service between Auckland, Hamilton and Tauranga starting in 2019, when it is in government. More>>


Housing: Voluntary Rental Warrant Of Fitness For Wellington

Wellington City Council is partnering with the University of Otago, Wellington, to launch a voluntary Rental Warrant of Fitness for minimum housing standards in Wellington, Mayor Justin Lester has announced. More>>





Featured InfoPages

Opening the Election