Financial Review Debate — Ministry of Defence

Thank you very much for the opportunity to speak in this financial review debate. I must say it is a great honour to be the Minister of Defence in this Government. New Zealanders can be very, very proud of the efforts of the New Zealand Defence Force wherever it is serving around the world and here in New Zealand.

I had the honour last week of spending some time with our people in Afghanistan, and I can tell you that it was very, very impressive to see what our people have achieved there over the course of the last decade. I spent some time in Bamian Province talking to some of the young soldiers who were there, and the ones who were back for a second or even a third deployment remarked on how much better things were in the province since they had been deployed there previously. So our people are making very real progress there. They are operating in conditions that are spartan, to say the least. We visited a Kiwi base, and although the facilities there are certainly adequate for the Defence Force’s needs, the fact is that these people are there for 6 or 7 months at a time, and what really struck me was the total focus they have on their work over that period. There really is no let-up. There is relatively little recreation. But what struck me also is the absolute enthusiasm of these young men and women to get on with doing the job. If you are in the New Zealand Defence Force, the highlight for people at the moment is the chance for that overseas deployment to Afghanistan, and I can tell you that those young people coming in as Task Group Crib 20, which is the 20th rotation, which changed over from Task Group Crib 19 while I was there, were absolutely enthused about the work that lay ahead.

I want to point out, though, of course, that this is work that carries a high risk for our people, and while Task Group Crib 19 was there it unfortunately lost Corporal Dougie Hughes towards the end of that rotation. That certainly had a real effect on the people who were there. But they just got on with the job. They were very professional and continued on their way. Two days after getting back from Afghanistan, I had the privilege of going to the ceremony at Government House where Lieutenant Tim O’Donnell’s parents were awarded a memorial cross in recognition of the ultimate sacrifice that their family made in terms of their son losing his life in the service of New Zealand. It just brings home to you that our people in the Defence Force put up with a lot and carry severe risks on our behalf.

So in that context I just want to speak briefly around the defence white paper launched in 2010 by my predecessor, Dr Wayne Mapp. It laid out the vision for the Defence Force over the next 25 years. At the core of our Defence Force will be an amphibious task force. What that paper lays out is the plan for how we are going to configure the resources that we have as a country in terms of defence to meet the expectations of the New Zealand Government. If you look at the range of activity that our people are engaged in in defence, a lot of it is actually around humanitarian and disaster relief. If you look at the work they have done in the Pacific and have been doing for many, many years now, a lot of it is in that sphere. But here, of course, domestically in New Zealand, the New Zealand Defence Force has played a major role if you look at the Christchurch earthquakes. The New Zealand Defence Force has been at the fore of providing a first line of response. Indeed, the Territorials have been manning the cordon there right from the start—so a very important role.

The Defence Force is also very important in maintaining our international reputation overseas. I can tell you that the work that the SAS has done has meant that New Zealand’s reputation at the highest levels of NATO and the International Security Assistance Force, which is the body of coalition forces, is absolutely up there with the best. So when these people are overseas, they are representing their country in a way that reflects very, very well on all of us. Of course, the challenge for all defence forces around the world is to find savings within their baselines to fund future capabilities. What we are aiming for—and are on track to deliver—are savings of $350 million to $400 million over the next 4 years. That is what the Australians have to do, what the US have to do, and what the UK is doing. That money is being invested back into new capabilities. I want to tell you that the future of the Defence Force—[Interruption]

The CHAIRPERSON (H V Ross Robertson): Is the member seeking another call?

I will, if I may.

The CHAIRPERSON (H V Ross Robertson): I call the honourable Minister.

What I want to say is that those savings are reinvested back into funding new capabilities. If you look at that 2010-11 financial year, which was the first year of the savings plan, that produced $47 million of savings that year. What that went into is funding upgrades for the Hercules, upgrades for the P3 Orion, and, of course, the helicopter acquisition projects. So it is all going back into the front-line equipment that we need in order to have the best possible Defence Force, and the close-in weapon system for the Anzac frigate project.

If you look at what we need into the future from the Defence Force, we will need a Defence Force that is flexible and is configured for our needs here in our immediate area of strategic interest, which is in the Pacific. Of course the Defence Force is able to make the impact that we need it to make at home, but also it is able to contribute internationally to defence efforts in places like Afghanistan. We have, of course, two people in Syria at the moment who are contributing to UN missions. We have over 400 people deployed around the world in 19 countries and they are making a real international impact. But the key really, if you look at this financial review, is about making the savings that fund the capabilities that the New Zealand Defence Force needs into the future. Without those savings, without the continued investment in new capabilities, we would not have the Defence Force that we are going to need in the decades to come. So the outlook is good. I am very proud to take this call as the Minister of Defence. Thank you.

Report noted.

New Zealand Defence Force

Department of Building and Housing

Reports noted.

Department of Conservation