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No Additional Defence Budget for Mindef in 2013

15 September 2012

ATM will continue training and readiness to face any potential threat (photo : Perajurit)

2013 Budget: Govt to focus on socio-economy

KUALA LUMPUR: There will be no additional allocation for the Ministry of Defence (Mindef) in the 2013 Budget to give more space to the government to focus on improving the people's socio-economy, said Defence Minister Datuk Seri Dr Ahmad Zahid Hamidi.

He said the ministry was satisfied with the discussions held with the Finance Ministry and was not expecting any increase in allocation for it in the coming budget.

"This is because we feel that socio-economic programmes should be given top priority.

"As for defence activities, we will continue with the existing training and preparing ourselves for readiness to face any potential threat," he said on the 2013 Budget yesterday.

He said although there would be no additional allocation for the ministry in the new budget, safeguarding national security and sovereignty remained a priority and not to be compromised.

(New Straits Times)

Inilah 21 Program Pengadaan Alutsista TNI

06 September 2012

MLER untuk Marinir TNI AL termasuk dalam program pengadaan alutsista yang dibahas (photo : Militaryphotos)

Senayan - Menteri Pertahanan (Menhan) RI Purnomo Yusgiantoro menjelaskan, Kemhan telah menyusun 21 kegiatan prioritas pengadaan alutsista bagi TNI. Enam program di antaranya secara pendanaan telah disetujui oleh Komisi I DPR atau tanda bintangnya telah dicabut.

Menhan dalam raker dengan Komisi I, Rabu (5/9) menjelaskan enam program tersebut :

1. Pengadaan helikopter angkut (TNI AD),

2. Pengadaan Tank Amfibi BMP-3F (TNI AL),

3. Pengadaan enam pesawat Sukhoi 30 MK2 (TNI AU),

4. Pengadaan pesawat T-50 pengganti MK-53 (TNI AU),

5. Pengadaan pesawat pengganti F-27 beserta dukungannya yaitu pesawat CN-295 (TNI AU),

6. Pengadaan tiga kapal selam diesel elektrik (TNI AL).

Lebih lanjut Menhan mengatakan, 16 prioritas dalam pengadaan alutsista yang belum mendapat persetujuan Komisi I DPR RI, masih ada dua kegiatan, dua kegiatan masih berada di Kemenkeu, dan 12 kegiatan lainnya masih dalam proses penyelesaian administrasi.

Dua kegiatan yang masih di Komisi I DPR yaitu :

7. Pengadaan heli serbu beserta persenjataannya dan amunisinya (TNI AD),

8. Pengadaan enam Helikopter Full Combat SAR Mission EC 725 (TNI AU).

Sementara dua kegiatan yang masih di Kemenkeu adalah :

9. Pengadaan Rudal Arhanud (TNI AD),

10. Pengadaan ME-Armed 155mm (TNI AD).

Sementara itu, kata Menhan, dari 12 kegiatan yang masih proses penyelesaian administrasi yaitu :

11. Pengadaan Rantis 2,5 ton 4X4 kendaraan angkut (Mabes TNI),

12. Pengadaan heli serang beserta persenjataan dan amunisinya (TNI AD),

13. Pengadaan ranpur MBT (TNI AD),

14. Pengadaan rudal MLRS TNI AD),

15. MLM KRI kelas korvet tahap I (TNI AL),

16. Pengadaan kapal bantu hidro oseanografi (TNI AL),

17. Pengadaan kapal latih pengganti Dewa Ruci (TNI AL),

18. Pengadaan CN 235 MPA (TNI AL),

19. Pengadaan Heli AKA-S antikapal selam dan suku cadangnya (TNI AL),

20. Pengadaan panser Amfibi BTR 80-A (TNI AL),

21. Pengadaan Multiple Launch Rocket System/MLRS (TNI AL),

Sementara itu Ketua Komisi I Mahfudz Siddiq menambahkan, per 31 Agustus 2012, Komisi I telah menyetujui alokasi anggaran untuk pengadaan kapal selam elektrik tiga unit, yang pengadaannya dari Korsel dan pengadaan enam unit Sukhoi. "Sementara untuk pengadaan MBT Leopard dari Jerman, juga mendukungnya dan dalam proses administrasi soal persetujuannya," tegas Mahfudz.

(JurnalParlemen)

Zahid: No Plans to Increase Defence Spending

11 Agustus 2012

In 2012 the defense ministry of Malaysia get the budget allocation of RM 13.714 billion (photo : Peter de Jong)

KUALA LUMPUR: Malaysia has no plans to increase its defence spending in Budget 2013 which is expected to be tabled on Sept 28, said Defence Minister Datuk Seri Dr Ahmad Zahid Hamidi.

“I believe that the figures will be similar to the allocations for our projects under the 10th Malay-sia Plan.

“We hope that our budget will not be cut as many other countries have trimmed their military spending due to the global economic crisis,” he said at a press conference after chairing the Malaysian Industry Council for Defence, Enforcement and Security meeting yesterday.

Zahid was asked whether the Government had any plans to boost its defence spending, especially in relation to research and development projects.

He added that the ministry would instead focus on upgrading and refurbishing existing hardware as well as its military equipment in a bid to cut excessive spending.

(The Star)

Anggaran Pertahanan 2013 Dinaikkan Menjadi RP 77 Triliun

10 Agustus 2012

Termasuk dalam rencana pengadaan adalah 3 kapal Multi Role Light Frigates Nakhoda Ragam class (photo : John Rahmat)

Anggaran Pertahanan Dinaikkan Lagi

JAKARTA– Pemerintah kembali menaikkan anggaran untuk pertahanan pada tahun anggaran 2013 mendatang menjadi di atas Rp77 triliun, setelah tahun ini mencapai Rp72,54 triliun.

Penguatan anggaran ini untuk mendukung program pembangunan pertahanan dengan memodernisasi alat utama sistem senjata (alutsista) TNI.Presiden Susilo Bambang Yudhoyono (SBY) seusai melakukan rapat kabinet di Mabes TNI menyebutkan, aspek anggaran pertahanan menjadi salah satu tema yang dibahas mendalam dalam pertemuan tersebut.

Dia menyebut, meski terus mengalami peningkatan,hal itu dinilai belum besar sekali. Sebagai gambaran, pada 2004 anggaran pertahanan sebesar Rp21,7 triliun dan 2009 sejumlah Rp33,67 triliun.“Tahun 2012 ini sebesar Rp72,54 triliun,dan insya Allah pada tahun 2013 kita bisa mengalokasikan Rp77 koma sekian triliun,” katanya kemarin.

Jajaran Kementerian Pertahanan dan TNI dipesan untuk bisa mengelola anggaran yang begitu besar secara baik, dengan melakukan perencanaan pengadaan alutsista secara tepat. Pengadaan juga harus sesuai dengan mekanisme dan prosedur yang benar, serta harus dicegah adanya penyimpangan. Meski begitu, Presiden membebaskan jajaran TNI dan Kementerian Pertahanan melakukan perencanaan alutsista apa yang hendak dibeli, selama alutsista itu memiliki kehandalan sistem sekaligus interoperabilitas.

Peningkatan kekuatan pertahanan ini juga diharapkan mengembalikan Indonesia sebagai “Macan Asia”dalambidang militer.Pada era Soekarno,Indonesia dikenal sebagai Macan Asia untuk militer dan politiknya.“ Insya Allah, cita-cita Bung Karno menjadikan Indonesia Macan Asia bukan hanya militer, politik,melainkan juga ekonomi,” tegasnya. Menteri Pertahanan Purnomo Yusgiantoro mengatakan, pengembangan MEF adalah ditentukannya program prioritas dalam modernisasi alutsista.

“Hasil pembahasan berdasarkan perencanaan MEF 15 tahun dan master list telah dituangkan ke dalam blue book yang dikeluarkan Bappenas pada 28 Oktober 2011,”ujarnya. Dalam buku biru tersebut sudah dimasukkan mengenai perubahan kebutuhan alutsista dari masing-masing angkatan. Di TNI Angkatan Darat, perubahannya seperti dalam pengadaan helikopter Apache dan rudal Starstreak,Multi Role Light Frigates di TNI Angkatan Laut,dan untuk TNIAngkatan Udara pesawat tempur F-16, Penangkis Serangan Udara, dan pesawat C-130 Hercules.

(Seputar Indonesia)

Indonesia and the Philippines to Increase Spending on Defense in 2013

25 Juli 2012

The 2013 defence budget of Philippines include procurement of anti-ship missile (photo : Militaryphotos)

TSAMTO - The two governments of Southeast Asia - Indonesia and the Philippines - have announced significant increases in defense spending for 2013 fiscal year.

According to "Jane's Defence Industry," The Cabinet of Ministers of Indonesia announced an increase in the budget of the Ministry of National Defense to 76.54 trillion rupiah (8.1 billion dollars), which is 18% more than in FY 2012

Department of Budget and Management (DBM) said the PhilippinesJuly 19 on the allocation of the Ministry of National Defense 121.6 billion pesos (2.9 billion dollars) - an increase of 12.5% compared to FY 2012

According to the Department's Budget and Management, the Philippines, the 47.2 billion pesos allocated to the article "internal security" and 2.1 billion pesos - the "territorial defense initiative."

Armed Forces of the Philippines in the arms procurement program (CUP-Capability Upgrade Programme) will also receive five billion pesos, which will be used to purchase critical equipment, boats and airplanes.

As part of the CUP in the next few years will be a series of acquisitions of military hardware. In particular : air-and sea-based missile system, various types of helicopters, patrol aircraft, medium-sized military transport aircraft and combat-capable aircraft.

According to the President Benigno Aquino on July 23, the program has allocated more than the administration CUP 28 billion pesos. Projects worth another 75 billion pesos in the forwarded to the Parliament. These funds will be spent over the next five years.

In addition to the costs of the defense budget and the Department of Planning will provide Philippine Coast Guard (which reports to the Department of Transport and Communications) funds amounting to 1.8 billion pesos, a 62% increase compared to FY 2012

Ministry of Interior and Local Government allocated 120.8 billion Philippine pesos (an increase of 21%).

The Cabinet Office did not disclose Indonesiaexpenditure for the purchase of military hardware, though, as you know, they include fighter aircraft, transport aircraft, frigates, maritime patrol boats, helicopters, and several types of anti-aircraft missile systems.

Despite the increase in defense spending, accounting for a small percentage of the gross domestic product of Indonesiaallocates to defense about 0.8% of GDP, Philippines - about 1.1%. At the same time, both countries have in recent years have seen the compensation inadequate funding of defense spending from extrabudgetary sources.

(ArmsTrade)

China's Defense Budget in Five Years will Reach Almost 175 Billion Dollars

16 Juli 2012

According TSAMTO, the annual average growth of China's military spending in the last 10 years was about 20% (ranged from 10.8% to 24.9%) at current prices. (photo : Militaryphotos)

TSAMTO, China's defense budget in 2017 will reach 174.9 billion dollars against 104.62 billion dollars in 2012, according to an analyst report, "Reportstak."

To date, China's defense budget is the largest among the countries of the Asia-Pacific region. The average growth of China's defense spending in previous years was 11.5% annually. Over the next five years annual growth is projected at 8.49%, said "Reportstak."

According to a report in 2011, Chinese exports of military products to 36 countries amounted to 1.35 billion dollars.

According TSAMTO, the annual average growth of China's military spending in the last 10 years was about 20% (ranged from 10.8% to 24.9%) at current prices. Taken as a basis of official data on the military budget, which was planned in 2011 at 601.1 billion yuan or 91.5 billion dollars.

China has pledged to increase the military budget in FY 2012 to 11.2% - up to 670 billion yuan (106.4 billion) in March of this year. This figure is close to the estimate "Reportstak."

As a spokesman for the annual session of the national legislature, Li Zhaoxing of China, a project of the defense budget this year provides for the allocation of 67.6 billion yuan more than in 2011.

According to Li, for the past three years from the onset of the global financial crisis, China's gross domestic product (GDP) and the state budget increased annually by 14.5% and 20.3%, respectively, and defense spending - by 13%.

He also noted that the share of defense spending in China's GDP has declined from 1.33% in 2008 to 1.28% in 2011, and in the state budget - from 6.68% to 5.53%.

(ArmsTrade)

Australia will Spend 153 billion dollars on Military Purchases for Four Years

12 Juli 2012

Worth approximately $153 billion AUD contains 111 projects, or phases of projects, as 2012 Defence Capability Plan (photo : US Navy)

The Ministry of Defence of

Australia

announced its intention to allocate 153 billion Australian dollars (155.5 billion U.S. dollars) to purchase arms and military equipment over the next four years. This was reported in the press release agency.

According to the plan for the 2013-2016 years, the Australian Defense Department intends to allocate money for 111 projects. They will include the modernization of half of the 24 F/A-18F Super Hornet fighter jets to the level of EA-18G Growler. The project cost is estimated at two billion dollars.

F-35 Joint Strike Fighter (photo : Defense Industry Daily)

As part of the procurement program to Australia in 2018 expects to receive eight patrol aircraft Boeing P-8A Poseidon worth three to five billion dollars. In addition to the patrol aircraft is planned to purchase high-altitude reconnaissance drone seven total value of two to three billion. Their delivery is to be completed in the period from 2015 to 2018.

It is also Australiaintends to buy up to 100 Lockheed Martin Advanced F-35 Lightning II cost about $ 10 billion. However, the possible purchase of aircraft is unknown. The first squadron of Australiacan get to 2019.

M777 155mm light weight towed howitzer (photo : Army Recognition)

The government would axe a $225 million contract to buy 18 South Korean-made self-propelled howitzers, because of an order for additional M777A2 155mm towed artillery. (photo : Army Recognition)

Australia

plans to fill two batteries of howitzers M777A2 155 mm (in all probability, it is about 12 guns and spare parts for them). Previously, the Defense Ministry and the country was going to buy two batteries of self-propelled howitzer 155 mm, but the funding for this project has been postponed.

ADF's M1A1 Abrams MBT (photo : defencetalk)

As noted by Jane's, an Australian defense department was going to upgrade the 59 billion dollar tanks, M1A1 Abrams, as well as ground-based air defense for a total of half-billion dollars. The intention to complete these projects over the next four years on the Defense Ministry website is not reported.

Collins class submarine (photo : Naval Technology)

Previously, it was also reported plans to allocate 40 billion Australian dollars to build 12 new submarines, which will replace the submarines of the type "Collins." The project will last 30 years.

(Lenta)

Government Requests Additional RM13.7 Billion

18 Juni 2012

Government requests additional RM210 million (66.5 million US Dollar) for the Defence Ministry (photo : Militaryphotos)

Parliament : RM 13.7 Billion Supplementary Supply Bill Tabled

KUALA LUMPUR: The government has tabled a RM13.79 billion Supplementary Supply Bill 2012 to seek an additional operating expenditure.

Deputy Finance Minister Datuk Seri Dr Awang Adek Hussin tabled the Bill for first reading at the Dewan Rakyat today.

The allocation is meant to cover operating costs incurred by 14 ministries, Treasury General Services, the Election Commission (EC), Treasury and the Prime Minister's Department (JPM).

Of the sum, the largest amount will be allocated to the Treasury General Services (RM11.2 billion), followed by the Works Ministry (RM446 million), and the Domestic Trade, Cooperatives and Consumerism Ministry (RM404 million).

This is followed by the EC (RM360 million), the Home Ministry (RM353.5 million), the Defence Ministry (RM210 million), the Education Ministry (RM195 million) and JPM (RM112.9 million).

This is on top of an allocation of RM232.8 billion for the 2012 Budget approved last year.

(Bernama)

Thailand will Increase Defense Spending in Fiscal Year 2013

30 Mei 2012

Stingray Light Tank of the Royal Thai Army (photo : Aekz-53)

TSAMTO - Thailand plans to increase defense spending in FY 2013 7% - up to 180.8 billion baht (5.7 billion dollars). According to the budget committee of the government, the military budget in 2013 fiscal year 7.5% of total government spending, or about 1.45% of GDP.

According to "Jane's Defence Industry" in 2013 fiscal year that begins in October 2012, the needs of the Army will be sent to the country about half of the allocation for defense appropriations. Army will be 88.8 billion baht, Navy and Air Force - 35.2 and 33.9 billion baht, respectively.

The remaining 13 billion baht will be allocated between the Royal Guard, the Ministry of Defense and the Institute of Defence Technologies (DTi).

Funding DTi, established in 2008 to grow the most - by 35% (up to 1.2 billion baht). This step is carried out under the leadership of Thailand's efforts to increase the capacity of the national defense industry and research in the field of defense. In defense research organizations in Thailand have been some successes. In particular, in 2011 produced a prototype of the DTi MRL based on 302-mm setting WS-1 produced in China (Institute acquired the project and related technologies in China in 2009).

According to experts of the International Monetary Fund (IMF), resulting in devastating floods that occurred in 2011, the loss of the country amounted to nearly 50 billion dollars, bringing the country's GDP in 2011 will increase by only 0.1%.

At the same time, according to April's review of "World Economic Outlook," IMF experts believe that the Thai economy is the fastest growing in the region of Southeast Asia over the next two years. According to the forecast, Thailand's GDP will grow by 5.5% in 2012 and 7.5% in 2013.

(ArmsTrade)

Slight Reduction in New Zealand’s 2012-13 Defense Budget

30 Mei 2012

NH-90 of the RNZAF (photo : 41squadron)

Wellington New Zealand — New Zealand’s Defence Force (NZDF) has done relatively well with only a slight reduction in its overall budget for 2012-2013, according to released budget figures.

As usual, the Army takes the largest slice of the overall 2.9 billion New Zealand dollar ($2.2 billion) defense budget, down from 2.91 billion New Zealand dollars from the previous year. Last year, the Army’s budget was 832 million New Zealand dollars and this year rises to 845 million New Zealand dollars.

However, the Royal New Zealand Air Force enjoys a more than 5 percent budget increase, from 670 million New Zealand dollars to 790 million, while the Royal New Zealand Navy saw its funding fall by more than 4 percent, to 6.62 billion New Zealand dollars.

Although the overall defense budget has diminished slightly, most NZDF capabilities will enjoy more funding.

Only a few capabilities have had their funds cut, including the budget for land combat forces, reduced by 3 million New Zealand dollars to 362 million.

The appropriation for the Secret Intelligence Service has been significantly reduced, by 4 million New Zealand dollars to 37 million.

Among the capabilities with more funding is the awkwardly named Airborne Surveillance and Response Force of six P-3K Orions — currently being upgraded to P-3K2 standard — with a jump from 165 million to 178 million New Zealand dollars. Funding for the Navy’s patrol force, consisting of two offshore patrol vessels (OPVs) and four inshore patrol vessels (IPVs), increases from 129 million New Zealand dollars to almost 137 million.

But more money doesn’t always mean more activity. Last year, the IPV fleet fell almost 200 days short of mission availability days — only 847 of the targeted 1,038 — and for the new fiscal year that target has been reduced to 749 mission available days.

In practical terms, this means it is likely that one or even two of the four IPVs will be spending more time alongside, unavailable for tasking or days at sea.

Similarly, although the budget for the Air Force’s helicopters, with NH90s and A109s replacing Iroquois and Sioux, has expanded by no less than 75 percent, it will be some time before the new helicopters are fully operational, although the Navy has already made more than 100 proving flights with the A109 to and from its OPVs.

Appropriations for the Ministry of Defence include 160 million New Zealand dollars for “the purchase, modification, or refurbishment of major items of defence equipment” for the NZDF.

Not least, the Government Communications Security Bureau enjoys a funding hike from 57 million New Zealand dollars to 64 million.

(DefenseNews)

PH Navy Needs P500 Billion to Secure Territory

25 Mei 2012

For combat fleet the Philippines Navy neds 6 frigates configured for anti-air warfare, 12 corvettes, 18 offshore patrol vessels, and 3 submarines for undersea defense, and 3 mine countermeasure vessels.(photo : ManilaBoy)

MANILA, Philippines - The Philippine Navy needs almost P500 billion to buy ships to effectively secure the country's vast territorial waters, a Navy official said Thursday.

The amount will go to the purchase of frigates, corvettes, patrol vessels, landing craft, submarines, and other vesseks and equipment, according to Lt. Commander Nerelito Martinez, Philippine Fleet acting chief of staff for plans and programs.

He said the need for such vessels and new equipment was thoroughly assessed during the Navy's strategic planning workshop last year.

"Current market research and assessment will give us a figure of about P497 billion for the acquisition of all the listed equipment. It may be costly at our current standards but is not unrealistic," Martinez said.

The vessels that the Navy needs now are 6 frigates configured for anti-air warfare. The frigates will be able to carry helicopters.

"The vessels shall be deployed for naval deterrence and naval presence in critical areas. The vessels shall also be deployed to support the country's international defense and security engagements having (the) capability for long-range high seas navigation," Martinez said.

He added that the Navy also needs 12 corvettes, 18 offshore patrol vessels, and 3 submarines for undersea defense, and 3 mine countermeasure vessels.

The list also inclues 4 strategic sealift vessels; 18 landing craft, 3 logistics support ships, 6 tugboats, 12 coastal patrol vessel, 30 patrol gunboats, 42 multi-purpose assault craft; 24 rigid-hull inflatable boats, 8 amphibious maritime patrol aircraft, 18 naval helicopters, and 8 multi-purpose helicopters.

The Philippinesand China are currently locked in a territorial dispute over ownership of Scarboroughshoal in the waters just off Zambales.

(PhilStar)

Budget 2012-13 : Defence Capability

08 Mei 2012

The particular focus of the Budget’s capability activities in 2012-13 will be on improving airlift, land mobility, submarines, afloat support, communications and interoperability, electronic and cyber warfare. (photo : ADM)

The Government is committed to building a Defence force that meets the nation’s Defence needs, continues to acquire the core capabilities of the White Paper 2009, and invests inAustralia’s technology base and industrial future.

In order to contribute to our strategic requirements, Defence will progress a number of core White Paper 2009 projects in 2012-13, including:

- Replacement of Caribou transport aircraft.

- Consideration of the Growler Airborne Electronic Attack capability.

- The acquisition of medium and heavy trucks.

- Upgrades to Orion maritime patrol aircraft, C-130J aircraft and ANZAC class ships.

Submarines are a critical element of Australia’s national security. A number of projects will be progressed which aim to enhance the availability and capability of the current Collins Class submarines.

In addition, the Government has recently undertaken initial consideration of the Future Submarine capability. The Government has approved $214 million to go towards further detailed studies and analysis, which builds on work already undertaken, to inform the Government’s decision on the design of Australia’s next submarine.

The White Paper 2009 was released in conjunction with the 2009 Defence Capability Plan that included some 180 projects. The 2009 White Paper also recognised that we would need to periodically and rigorously review the mix and scale of our capabilities to make sure they are appropriate to changing strategic circumstances.

This review has been undertaken and the Budget supports the core force structure principles outlined in the 2009 White Paper.

Continuing to approve new projects to enhance the ADF’s capability will be an important focus for Government in 2012.

The total value of projects planned to be considered by Government for approval in the 2012-13 amounts to approximately $9 billion.

In 2011, the Government approved 49 Defence Capability Plan projects or capability initiatives, a record number of projects, underlining our commitment to maintaining and improving a modern and more capable Defence Force.

Since the 2009 White Paper, the Government has approved over $13.4 billion for key capability projects, including the first 14 Joint Strike Fighters, 24 new naval combat helicopters, over 900 additional G-Wagon trucks, seven CH-47F new Chinook helicopters and two more D model Chinooks and new 155mm towed artillery systems.

We have also allocated funding for essential new capabilities not envisaged in the 2009 Defence White Paper, including the new amphibious heavy lift ship, HMAS Choules and the Interim Humanitarian and Disaster relief ship MSV Skandi Bergen, two additional C-17 heavy lift aircraft, for a fleet of six, and 101 more Bushmasters, with further orders likely.

The total value of the projects approved in 2011 was more than $6 billion.

Substantial progress was also made in implementing the recommendations of the Force Protection Review, which is providing higher levels of force protection to our troops deployed in Afghanistan.

The implementation of these recommendations continues.

For more information and access to the Portfolio Budget Statement go to http://www.defence.gov.au/budget/12-13/index.htm

(Aus DoD)

Budget 2012-13 : Defence Budget Overview

08 May 2012

Early retirement of the C-130H aircraft in order to minimise costs associated with maintaining and operating the ageing fleet. Current activities undertaken by the C130H aircraft fleet will be redistributed across the remaining Air Force air mobility fleet, including C-130Js, C-17s and the replacement for the Caribou aircraft. (photo : Aus DMO)

The Prime Minister and I last week announced the commissioning of a new Defence White Paper to be delivered in the first half of 2013 that will consider the implications ofAustralia’s strategic and fiscal environment.

In that context, the Defence Budget released today has been developed following a comprehensive review of the Department’s budget to identify contributions Defence could make across the Forward Estimates to support the Government’s broader fiscal strategy.

This review has resulted in a Defence contribution to the Government’s fiscal strategy of $5,454 million across the Forward Estimates and will see Defence contribute $971 million in 2012-13.

This contribution will have no adverse impact on operations inAfghanistan, East Timor or theSolomon Islands. The provision of equipment to Defence personnel on operations will not be adversely affected and there will be no adverse impact on the number of military personnel in the Australian Defence Force (ADF).

The reprioritisation of Defence expenditure has been designed to have minimum impact on the delivery of core Defence capabilities. A number of lower-priority capability projects will be deferred with a small number cancelled where they have been superseded by alternative capabilities. Other capability and facility programs will be subject to re-scoping. A range of administrative and minor capital equipment savings will also be made.

The decisions taken to determine Defence’s contribution to the Budget bottom line have all been carefully designed to protect our servicemen and women and our Defence operations, and to minimise the impact on core capabilities.

The key savings measures to make this contribution across the Forward Estimates include:

Projects which have already been approved by Government: savings of $1.3 billion by rescheduling, re-scoping or cancelling a small number of projects, including a two year delay to the acquisition of 12 Joint Strike Fighters following delays to the project in theUnited States ($900 million).

Projects which have not been approved by Government: savings of $1.7 billion by cancelling a small number of projects and rescheduling and re-scoping others in the Defence Capability Plan, including cancelling the self-propelled howitzer and proceeding with additional towed artillery ($220 million) and deferring later stages of the Joint Strike Fighter project ($700 million for follow-on purchases of Joint Strike Fighters in addition to the 14 already approved).

Major Capital Facilities Program: $1.2 billion by deferring lower-priority elements of the major capital facilities program, while maintaining funding for critical upgrades and enhancements.

Reduction in Administrative Costs: $438 million from reductions in travel, outsourcing and consumable items.

Reduction of 1,000 Australian Public Service personnel: $360 million from a further reduction in the civilian workforce, which is in addition to the reduction of 1,000 to the civilian workforce in the 2011-12 Budget. Care will be taken in this program of reductions to not reduce standards of service in priority areas of Defence including support to operations.

Early retirement of the C-130H aircraft: $250 million from the early retirement of the C-130H aircraft, which is being retired early in order to minimise costs associated with maintaining and operating the ageing fleet. Current activities undertaken by the C130H aircraft fleet will be redistributed across the remaining Air Force air mobility fleet, including C-130Js, C-17s and the replacement for the Caribou aircraft.

Cessation of the Navy and Army Gap Year: $91 million from closure of the Navy and Army Gap Year programs.

Extended trial of the ADF Family Health Program: $50 million by deferring full rollout of the ADF Family Health Program, due to low take up rates for the program.

Workforce policy changes: $46 million including reductions to travel and posting arrangements in line with the Strategic Reform Program.

Minor Capital Projects: $45 million from reduced expenditure in 2012-13 only on Navy, Army and Air Force minor capital equipment programs.

In addition to this contribution to the Government’s return to surplus, decisions have also been taken to address changes that have occurred in the Department’s resource position over the last year which include a range of new cost pressures across the portfolio, including the following priority areas for investment:

$700 million additional investment in Collins Class submarine sustainment

$550 million for information technology remediation activities across Defence

$400 million for improved housing for Australian Defence Force personnel

$330 million for relocation of Defence units from Moorebank to Holsworthy to allow development of the Intermodal Transport Hub

$270 million additional funding for Navy fleet sustainment

$220 million for investment in maintenance and upgrade of the Defence estate

$160 million for Fringe Benefit Tax liabilities

$150 million for enhanced garrison support services

$70 million for further investment in international engagement under the Defence Cooperation Program.

To manage these internal cost pressures, Defence has reallocated and reprioritised $2.9 billion.

The majority of the $2.9 billion was reallocated from savings in the Defence Capability Plan and the Approved Major Capital Investment Program (AMCIP), with further savings, predominately in 2012-13, from across the general Departmental operating budget.

These savings from across the general Departmental operating budget include:

Navy reprioritising its operating activities and reviewing all non-operational activities including Navy’s international program.

Army reducing the use of M113AS4 vehicles and M1A1 Abrams tanks. Some of these vehicles will be placed in temporary storage and Army will continue to review these fleets to ensure a viable mechanised capability is maintained.

These budget initiatives build on the efficiencies and savings gained through the Strategic Reform Program including in the areas of capability development, procurement and acquisition and the strengthening of personal and institutional accountability.

This reform will be further considered during the development of the 2013 Defence White Paper to ensure that Defence spending, in light of the Force Posture Review, a revised Defence Capability Plan and the savings already identified, is calibrated against an up to date assessment of our circumstances both in the short and longer term.

For more information and access to the Portfolio Budget Statement go to http://www.defence.gov.au/budget/12-13/index.htm

(Aus DoD)

Philippines and US in Talks for Third Hamilton Class

05 Mei 2012

USCGS Jarvis 725 scheduled to be decommissioned in 2013 (photo : USCG)

U.S.triples military aid to Philippinesin 2012

(Reuters) - The United Stateswill nearly triple its military funding for the Philippinesthis year, the Philippine foreign ministry said on Thursday, as tensions rise with China over disputed islands and Washington bolsters its alliance with Manila.

However, the Philippinesexpressed concern over what it said was a sharp decline in its share of U.S. foreign military financing (FMF) despite Manila's central role in the U.S.'s military "pivot" back to Asia.

Foreign Minister Albert del Rosario said the Philippines accounted for over 70 percent of total FMF allocation for East Asia in 2006, compared to 35 percent this year.

"We hope this is not indicative of the priority placed on the Philippines as a regional partner, as even non-treaty allies appear to be getting a bigger share of the FMF allocation," del Rosario said in a speech at the Heritage Foundation in Washington, according to a foreign ministry statement.

Del Rosario was in Washingtonfor the first "two-plus-two" dialogue among their foreign and defense secretaries as they look at ways to deepen ties and help Manila build a "minimum credible defense posture".

Washingtonagreed to provide $30 million in FMF this year, up from an initial 2012 allocation of $15 million and from $11.9 million last year. In 2003, funding amounted to $50 million as Washington sent forces to help the Philippinesbattle al Qaeda-linked militants.

The Philippinesis offering the United Statesgreater access to its airfields and may open new areas for U.S. soldiers to use as it seeks stronger military ties with its ally and faces rising tensions with China in the maritime dispute.

The United Statesalso agreed at the meeting to share "real-time" data on the South China Sea, suggesting it will give Manilamore of its surveillance data on naval activity. The State Department also promised to explore "creative funding streams" to help the Philippine military.

Del Rosario, who previously served as Manila's ambassador to Washington, also urged the U.S. to lift conditions on a portion of FMF allocation for the Philippines.

Since 2008, the United Stateshas withheld the release of about $3 million in military financing for the Philippines due to political killings and human rights abuses.

He said the current government of President Benigno Aquino has already taken significant steps to end these killings and has improved human rights conditions.

Since 2002, the Philippineshas received nearly $500 million in military aid from the United States, according to the U.S. embassy in Manila. The amount does not include the transfer of 20 reconditioned helicopters, a Cyclone-class ship and a Hamilton-class cutter.

A second Hamilton-class cutter will be transferred later this month and the two sides are discussing the possibility of a third Hamilton-class ship and a squadron of second-hand F-16 fighters.

(Reuters)

Kementrian Pertahanan dan DPR Bahas Shopping List hingga 2014 yang Dibiayai Pinjaman

28 Maret 2012

Marinir diusulkan untuk mendapatkan tambahan kendaraan 8x8 BTR-80A sebanyak 14 unit sehingga menjadi total 26 unit dan tank BMP-3F sebanyak 37 unit sehingga total menjadi 54 unit (photo : Kaskus Militer)

Ketua HLC dan Komisi I DPR Bahas Rencana Modernisasi Alutsista Melalui APP 2010-2014

Jakarta, DMC – Wakil Menteri Pertahanan dalam hal ini selaku Ketua High Level Comitte (HLC), Sjafrie Sjamsoeddin, bersama anggota Komisi I DPR RI, Senin (26/3) di Ged. DPR, Jakarta membahas rencana Modernisasi Alutsista dalam rangka kebutuhan TNI 2014 dengan menggunakan Alokasi Pinjaman Pemerintah (APP) atau Pinjaman Luar Negeri (PLN).

Ketua HLC pada kesempatan Raker tersebut mengatakan hingga tahun 2014 didalam proyeksi Minimum Esential Force khususnya modernisasi untuk Alutsista bergerak, Kemhan dan TNI ingin melengkapi postur kekuatan pertahanan di setiap Angkatan.

Sehubungan dengan hal tersebut, Kemhan juga memiliki rencana kebutuhan belanja (shopping list) alutsista bergerak prioritas hingga tahun 2014 akan mempergunakan pinjaman pemerintah dari luar negeri.

Lebih lanjut Wamenhan menjelaskan, untuk Mabes TNI hingga 2014 memerlukan kendaraan taktis dan kendaraan angkut amunisi 5 ton dengan jumlah besar yang menurut jumlah pagu mencapai 110 juta Dolar.

Sementara untuk Angkatan Darat, terdapat empat prioritas yang ingin dicapai, diantaranya Helikopter serang dan serbu termasuk persenjataan sebanyak 24 Unit, kendaraan tempur Main Battle Tank (MBT) jenis Leopard 2A6 sebanyak 44 Unit, ME Armed 155 Howitzer, Rudal MLRS dan Rudal Arhanud.

TNI AL mengusulkan untuk membeli tiga kapal multi-role light frigates ex Nakhoda Ragam class (photo : Deadmans Handle)

Sedangkan untuk proyeksi kebutuhan modernisasi Alutsista untuk Angkatan Laut, Kapal Pemukul dengan jenis Klas Korvet, Kapal Pendukung, pesawat Udara jenis CN-235 MPA dan Helikopter AKS, Tank Amfibi BMP-3F serta Panser Ambfibi BTR 80 A. untuk penawaran baru yakni 3 kapal Selam dan 2 Unit PKR namun bisa dikirim setelah tahun 2014 dan 3 unit Fregat (MRLF) namun juga masih dalam proses pengusulan anggaran.

Untuk Angkatan Udara, Shoping list ini tertuju kepada pengadaan SU-30 MK2 dan dukungannya, pengadaan pesawat angkut CN-295 sebagai pengganti pesawat F-27. Ditambah lagi pengadaan Helikopter Full Combat SAR Mission, pengadaan pesawat latih sebagai pengganti AS-202 & T-34C. Totalitas pagu yang di butuhkan untuk bisa memenuhi kebutuhan khusus untuk alutsista bergerak pioritas mencapai 3,741 juta Dollar.

Berkaitan dengan hal tersebut, Ketua Komisi I DPR RI, Mahfudz Siddiq, pada akhir raker itu mengatakan, Komisi I DPR RI mendukung daftar pengadaan Alutsista TNI TA. 2010-2014 yang sumber pembiayaannya di alokasikan dari Alokasi Pinjaman Pemerintah (APP) Kemhan/TNI TA. 2010-2014.

Namun demikian Komisi I DPR RI memberikan beberapa saran, antara lain agar dapat mengupayakan dilakukannya amandemen terhadap daftar State Loan Agreement Tahun 2007 antara Pemerintah RI dengan Pemerintah Federasi Rusia, sehingga pengadaan 6 unit Sukhoi Su-30 MK2 dapat menggunakan skema pembiayaan State Credit.

Memperhitungkan dengan cermat kondisi dan spesifikasi, dislokasi serta proyeksi biaya pemeliharaan dan perawatan dalam pengadaan MBT Leopard 2A6. Memperhatikan dengan serius dampak penggunaan pesawat intai tanpa awak (UAV) terhadap kerahasiaan pertahanan dan keamanan RI. Memastikan kelayakan pembelian 3 unit kapal perang kelas Fregat (MRLF) oleh TNI AL.

Dikatakan Mahfudz Siddiq, Komisi I DPR RI mendesak Kemhan/TNI untuk terus melakukan pembenahan terhadap sistem adminstrasi dalam pengadaan Alutsista TNI. Menurut dirinya Komisi I DPR RI akan menyelesaikan pembahasan terkait permohonan pencabutan dana bertanda bintang untuk pengadaan barang/jasa melalui PHLN/KE, sebelum penutupan Masa Persidangan III Tahun Sidang 2011 – 2012.

Forum Raker pembahasan tentang rencana modernisasi alutsista ini juga dihadiri oleh Para Kepala Staf Angkatan, Sekjen Kemhan dan sejumlah pejabat di jajaran Kemhan dan TNI. (MAW/SR).

(DMC)

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