Television interview, ABC News Breakfast

SUBJECTS: Defence Workforce Plan; ADF recruitment and retention; Support for Ukraine; Satellite communications; Advanced Strategic Capabilities Accelerator; US Election.

CATHERINE MURPHY, HOST: The Government is spending almost $600 million on a recruitment and retention package for the ADF. Deputy Prime Minister and Defence Minister Richard Marles joins us now. Good morning, Minister.

RICHARD MARLES, DEPUTY PRIME MINISTER: Morning, Catherine.

MURPHY: Let's start with that $600 million investment. You have ambitious targets in that area. Can you meet them and how will it work?

MARLES: Well, it is a challenge. We are very much confident that we can meet these targets and that's because we have properly and we have a plan to get there which is about really improving the terms of service for those who work in our Defence Forces. We're increasing and expanding the bonuses for continuing on in the Defence Force. We're continuing the original retention bonus after your initial service obligation for three years. And beyond that, there'll be another bonus for people who stay in the Defence Force after that, which is really targeting those who are in their kind of seventh, eighth, ninth years of service, which really gets into those middle ranks where we've got an issue. And we're also going to grow the active Reserve so that there are more opportunities for people in the Reserve to do full time, part time work in the Defence Force. So, it's focusing on both recruitment and retention. But the fundamental point here is working in the Defence Force is an incredible opportunity. You know, I have the enormous privilege of meeting so many people who wear our nation's uniform and the sense of service they get, the sense of fulfillment that they get from their service makes it really clear to me what a wonderful career choice it is. And we need to be selling that message, talking about that message, and that's certainly what we're doing today.

MURPHY: You're also announcing extra support for Ukraine. What does that involve?

MARLES: There are more rigid hull boats for Ukraine. It's a smaller announcement worth about $14 million, but it builds on a number of announcements that we' made during the course of this year. What this really reflects is we are looking at every opportunity that we can find in terms of the kit that we have, what we don't need, what Ukraine could use to make sure that we are getting it over there to help support Ukraine in their fight against the illegal invasion of Russia into their country. And this is just the next step down that path. It builds on the announcement that we made a couple of weeks ago in supplying Abrams tanks to Ukraine, which in turn builds on announcements that we made in the United States and in Ukraine itself earlier this year. But, we will be there for as long as it takes to help Ukraine resolve this conflict on its terms.

MURPHY: Minister, we're reading a lot of reports of cancellations as well over the past few days. One of those being the fact you've cancelled a $7 billion plan for a satellite system to protect Australia against cyber and electronic warfare. The risk of that has been never higher. Why do that?

MARLES: Well, it's not a cancellation, it's really a change of direction in terms of how we deliver the capability for our communications network in Defence. And that's really a function of the way in which the world has evolved. I mean, this original plan goes back seven, eight years and it was about having two or three GEO-synchronous satellites above Australia to deliver that capability. Since then, we've seen technologies develop which can literally shoot satellites out of the sky. But we've also seen technologies develop where you have thousands of micro satellites in a much more distributed way providing the same effect. And we're seeing that, for example, with Starlink above Ukraine. What we need to make sure that we're doing as we move forward is delivering a communications capability which is more distributed, which is therefore more resilient, and we believe we can do that in this way faster and more cost effective. So, this is frankly moving with the times and making sure that we have the capability that we need which meets the threats and the opportunities that we have in the future.

MURPHY: Minister, companies involved with the Advanced Strategic Capabilities Accelerator have told the ABC the process has been mismanaged. There are cancellations in investments in a security system with which would speed up military capability. Are you worried about the future of the ASCA and those involved in it as news emerges of that this morning?

MARLES: No. I mean, to be clear, the Advanced Strategic Capabilities Accelerator is doing what it's meant to do and that is down selecting from a number of companies to a smaller number in order to award those contracts. That's the way this works, not every company succeeds and we do have competitive processes in place. I think it has taken too long for those companies that have failed. I mean, when you're a company, obviously the thing you want to hear when you're trying to get a contract is a yes, but the next best thing to hear is a fast no. And I think we need to be making sure that those nos happen faster. But fundamentally ASCA is doing what it's meant to do. Not every company that tenders for government work, that tenders for an opportunity of this kind is going to be successful. That's in fact how we get value for money and get the best capabilities possible, and ASCA, really, has been going about the process that it would normally do.

MURPHY: Finally and really quickly, we are just hours away from the US election. Of course, a lot of voters have already cast their vote. But you and Penny Wong had a meeting with Donald Trump's top diplomat, Mike Pompeo. How did that go? Are you confident that Australia will have a good relationship with the US if Trump is elected?

MARLES: I mean, firstly, that meeting did go well, and the answer to that question is yes. But obviously, whoever is elected as the President of the United States is a matter for the American people. But be it a President Harris or a President Trump, we're really confident that, firstly, the alliance will be in good shape, but that our critical equities within the alliance will also be maintained. And that that includes AUKUS, it includes Australia's procurement of our future submarines, it includes building a seamless defence industrial base between our two countries. All of these issues have been supported across the American political spectrum; Democrats, Republicans, Trump Republicans alike. And so I think Australians, as they watch what unfolds over the course of today and tomorrow, can do so with a sense of confidence that no matter who wins, the alliance is in good shape.

MURPHY: Minister, we will talk to you when we know who the new president is. Thank you so much for your time this morning.

MARLES: Thanks, Catherine.

ENDS