Taxpayers pay to keep failed submarine project secret

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French company Naval Group is trying to keep secret the original price it quoted for Australia’s future submarine project, which is purported to cost around $90 billion.

The Defence Department has confirmed it is paying Naval Group’s legal bills to help conceal its original price, a move that South Australian Senator Rex Patrick has described as “outrageous”. The Australian Information Commissioner, Angelene Falk, also last year directed the Defence Department to release Naval Group’s original bid details.

The Defence Department is currently challenging that directive in the Administrative Appeals Tribunal, and Naval Group has joined those proceedings.

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About the author
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.