Mr NAIRN (Special Minister of State) (9:30 AM) —I move:

The Department of Defence proposes to undertake a rationalisation of Australian Defence Force facilities at the Royal Malaysian Air Force—RMAF—Base Butterworth, in Malaysia. RMAF Butterworth supports deployments of aircraft from the RAAF’s air combat, airlift and aerospace operational support groups, defence exercises and visiting units, and contributes to the defence of Australia’s regional interests. Defence has an ongoing requirement in maintaining a presence at RMAF Butterworth, and consequently a long-term requirement for the facilities.

The project reinforces Australia’s commitment to the five-power defence arrangements and will enable the Australian Defence Force to provide buildings which meet modern occupational health and safety requirements with improved efficiencies. The work will also enhance defence capability by enabling personnel mobility, morale, esprit de corps and training outcomes, as well as personnel retention.

The project proposes the construction of three new headquarters buildings, a combined armoury, installation of a sewerage effluent treatment plant and the refurbishment of some existing facilities. The estimated out-turn cost of the proposal is $23.6 million.

Subject to parliamentary approval and further design, construction will start in early 2008 for completion in late 2009. On completion of the project, a small number of redundant buildings may be returned to the Malaysian Ministry of Defence. I commend the motion to the House.

Question agreed to.