Australian taxpayers will pay an additional $11 billion to extend the operational lifespan of the ageing Collins-class submarines by another decade. This move aims to bridge the capability gap before the first Aukus nuclear-powered submarines arrive in 2032. The Collins-class submarines, built in Adelaide, were originally designed for a 30-year working life, but have already been in service for between 23 and 30 years.
Life Extension Program Announced
Defence Minister Richard Marles announced on Tuesday that the first works to extend the life of the oldest submarine, HMAS Farncomb, will begin this month. The vessel was due to be retired this year but is now expected to operate until approximately 2036. The Albanese government revealed in 2024 that it would undertake “life of type extension” works to keep all six Collins-class boats operational for an additional 10 years.
Replacement of diesel-electric operating infrastructure on the Collins submarines will only proceed if necessary to extend their lives, marking a change from previous plans designed to bridge capability gaps under the now-cancelled Attack-class program. If successful, extending the Collins operational lives into the late 2040s would bridge the gap until the arrival of second-hand US Virginia-class nuclear submarines under the Aukus agreement with the United States and the United Kingdom.
Aukus Timeline and Costs
The first Virginia-class submarine is due to arrive in Australia in 2032, with another arriving every four years, before the bespoke Australian-built model starts coming online in 2042. Marles stated, “The program will reduce engineering risk by sustaining existing systems where appropriate while continuing to upgrade critical capabilities, including weapons and combat systems.” Government-owned shipbuilder ASC will be responsible for delivering the upgrades.
The new $11 billion price tag exceeds the original estimate of $4 billion to $6 billion by the former Coalition government. Of the six submarines, two are typically out of the water at any given time for scheduled maintenance. In November 2024, it was revealed that five of the submarines were unavailable. The government expects that, on average, three submarines will be in maintenance at any given time, with the other three under the control of the Royal Australian Navy, including two available for operational deployment.
Political Context and Criticism
Labor has blamed shifting plans by successive governments for the churn in the submarine program. The Rudd government first planned to extend the operational lives of the Collins-class, before the Abbott government began negotiating a possible deal to buy submarines from Japan. The Turnbull government eventually selected France’s Naval Group to build new submarines in 2016, a plan torn up by the Morrison government when the Aukus agreement was signed with Joe Biden and Rishi Sunak in 2021.
Marles said the latest announcement would accelerate and prioritise sustainment work on the fleet’s youngest models, starting with HMAS Rankin. “These decisions reaffirm the Albanese Government’s commitment to keeping the Collins-class a potent and highly capable strike and deterrent capability today, and for years to come,” he said. “Extending the life of all six Collins-class submarines is critical to maintaining that edge as we transition the Navy from conventional to nuclear-powered submarines.”
Last week’s federal budget included plans for Australia to spend an extra $53 billion on defence over the next decade, including $14 billion more before the end of the decade. Amid a rapidly shifting geopolitical landscape, Labor is spending at least $368 billion on delivering Aukus. “Aukus is now properly funded and its milestones are on track,” Marles said on Tuesday. “Developing our nuclear-powered submarine capability alone represents the biggest leap in our military capability in more than a century and the largest industrial project in our nation’s history.”
The shadow defence minister, James Paterson, criticised Marles, saying he was avoiding scrutiny over the changes to the Collins-class vessels and other Australian Defence Force matters. “If Richard Marles put as much energy into persuading his expenditure review committee colleagues as he does attacking the previous government, maybe the ADF wouldn’t have to absorb as many cuts to capability as it has on his watch,” he said.
