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23rd January
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Enabling Members to do Better Business in Defence
 
Hi there,

Welcome to another ADA update for 2025!

Supporting Australian Industry to Join AUKUS Submarine Supply Chains

The Government is investing an additional $262 million to support defence industry uplift and develop Australia’s AUKUS nuclear-powered submarine supply chain.

This will be one of the greatest industrial endeavours in Australian history. Australian industry and jobs are at the forefront of the build and sustainment of our next generation conventionally-armed, nuclear-powered submarines. They will also play a vital role in growing more robust and resilient supply chains between Australia, the United Kingdom and the United States.

Over the next two years the Government will fund a range of initiatives to uplift our local defence industry, supporting around 125 businesses across Australia to invest in their own capabilities to meet the high standards of submarine build and sustainment activities in AUKUS nations.

This includes new initiatives and boost support for existing programs. The first tranche of funding will support industry through:

  • The Defence Industry Development Grants Program: further investment into eligible Australian businesses intending to participate in the AUKUS submarine supply chain to receive timely uplift funding for security, skills, international accreditations and manufacturing capital equipment for defence domestic or export supply chains.
  • The Global Supply Chain Program: expanding the program to support major UK and US submarine industry suppliers to provide commercial opportunities for Australian suppliers and increase Australian participation in trilateral supply chains.
  • The Defence Industry Vendor Qualification Program: expanding and accelerating the qualification of Australian products (including, mechanical assemblies, castings, forgings, electro-mechanical components) into US submarine supply chains. This includes working with AUKUS partners to streamline processes and reduce regulatory friction for Australian business.

This investment comes as the AUKUS Naval Nuclear Propulsion Agreement, signed last August, enters into force.

Further information for Australian business to access these opportunities will be available on the Australian Submarine Agency website. Register interest at https://www.asa.gov.au/business-industry
 
Opportunities for SMEs in the defence industry will continue to grow and we are here to help and advocate for our members.

We would also like to hear from you if you have any news or stories about your business that may be of interest to other businesses and organisations.

We look forward to hearing from you.


mailto:info@australiandefencealliance.org.au
Other Announcements
Advanced Strategic Capabilities Accelerator’s (ASCA) Mission 1 Moves to Delivery Phase

The Government is building Australia’s future, providing a financial boost to two local companies to support the rapid development of technology to degrade integrated air and missile defence systems (IAMD) of potential adversaries.

The Advanced Strategic Capabilities Accelerator’s (ASCA) Mission 1 has now moved to delivery phase which will see two local companies, based in Adelaide and Brisbane, continue to develop their IAMD technology to give the Australian Defence Force (ADF) a capability edge.

The ability to degrade IAMD systems of potential adversaries at long ranges is a capability priority for the ADF in line with the National Defence Strategy.

The next phase of ASCA Mission 1 – named Black Thorn - is also a pivotal milestone for ASCA. After 18 months of learning, ASCA is refining its operating model and delivering a new, agile approach to rapidly deliver the next generation of technology for Defence.

This initial investment of $61.5 million underscores the Albanese Government’s commitment to keeping Australians safe but also ensures a future made in Australia by igniting innovation and supporting high-skilled, local jobs.

The awarding of these contracts followed an open approach to market which resulted in funding of nine companies to undertake a co-design effort. ASCA has now entered 12-month contracts with two of the companies to further develop and demonstrate the capability.

Due to security sensitivities, the identity of the companies and details about the technologies will not be publicly disclosed at this stage.
New Drone Radio Production Line in SA

The Government is building Australia’s future, advancing a cutting-edge radio communications production line in South Australia through the DEF129 Uncrewed Aerial Systems project.

In July 2024, the Government announced its intention to invest over $100 million to boost the ADF’s arsenal of drones. One of the two drones selected was the Australian made Sypaq Systems CorvoX.

Codan Communications will deliver the Sentry Mesh 6161 radio into the Sypaq Systems CorvoX under a $15 million contract for the Australian Defence Force (ADF).

The South Australia-based Codan Communications production facility will employ up to 18 highly skilled workers delivering precision engineering to support production, including video encoding, mesh and algorithms equipment packaging, and certification.

The supporting SUAS communication system provides the ADF with scalable solutions and enhanced communications capabilities.
Unsolicited Project Pathways -
Current Focus: Kinetic Capabilities

Throughout the year, the Manufacturing Capability Expansion and Investment Prioritization (MCEIP) office will be accepting unsolicited project submissions from DIBC members for key focus areas of interest under specific critical sectors.

Key Points for Consideration:

Current Focus: Kinetic Capabilities (closes January 30 at 5:00pm ET)
  • Kinetic Capabilities (UPP-KIN-25-01): Includes current missile and munition systems; advanced and developing missile capabilities, including hypersonic weapons technology; as well as Counter- Unmanned Aerial/Aircraft Systems (C-UAS) and Directed Energy (DE) weapons.
    • ICAM and DPAP have interest in hypersonic weapons technology for the boost glide as well as air-breathing cruise missile systems. Areas of interest includes systems, subsystems, components and subcomponents, or constituent materials for hypersonic systems, to include composite materials and fibers related to missiles, munitions, and hypersonic weapons.
    • ICAM has an interest in Counter- Unmanned Aerial/Aircraft Systems (C-UAS) and Directed Energy (DE) weapons, to include systems, subsystems, components, and sub-components. Submissions in these two areas should be focused on the IBAS priorities described in section 1.3 of the UPP Guidance.
    • Additional DPAP areas of interest for missiles and munitions include:
  1. Control Actuation Systems (CAS) to precisely position control surfaces to provide flight control in response to guidance commands
  2. Antennas includes those used in. guidance, navigation, control, tracking, and critical flight termination processes
  3. Precision Ball Bearings used for a variety of systems for missiles and munitions
  4. Specialty steel manufacturing that is used for precision ball bearings for missiles and munitions components and subcomponents (M50, 52100, 440C, BG-42, as well as 4340, M50 Nil, M62, and XD-15 steels).
  5. Submissions in these areas should be focused on the DPA Title III criteria described in section 1.3 of the UPP Guidance.
  • Kinetic Capabilities (UPP-KIN-25-02): Includes critical chemicals and their precursors, polymeric materials, metals and minerals used in defense applications, as is or as part of energetic formulations that go into explosives, propellants, and pyrotechnics.
    Round 2 Opening 15th January 2025

    Round 2 of the Critical Technologies Challenge Program will open for applications 15 January 2025 and will close on 26 February 2025.

    Grants from $100,000 to $500,000 for a Stage 1 Feasibility project are available. If your Stage 1 Feasibility project is successful, you may receive up to $5 million for a Stage 2 Demonstrator project.

    The grants are for consortia that include at least one Australian industry-based partner and one Australian research organisation.

    The program provides consortia with funding to develop quantum technology solutions or a component(s) that contributes to a solution for market-led challenges of national significance. Solutions may also involve the use of other advanced technologies such as artificial intelligence and robotics.

    The challenges are:

    1. Challenge 1: Improve biosecurity outcomes by enhancing the detection of invasive pests or diseases, and cargo inspection processes.
    2. Challenge 2: Improve life expectancy, health outcomes and access to health technology for First Nations peoples.
    3. Challenge 3: Optimise transport routes, logistics and supply chain operations.
    4. Challenge 4: Optimise the performance, sustainability, and security of energy networks.

    There will be two grant opportunities as part of this program.

    Stage 1 – Feasibility grant opportunity
    The purpose of the Stage 1 Feasibility grant is to test and demonstrate the technical viability of your proposed solution or component(s) of a solution.

    Stage 2 – Demonstrator grant opportunity
    The purpose of the Stage 2 Demonstrator grant is to support you to build on your Stage 1 Feasibility project and produce working prototypes or demonstrations.

    Only applicants that complete a Stage 1 Feasibility project will be invited to submit an application for Stage 2 Demonstrator funding.

     
    In Case You Missed These Announcements!
      Industry Opportunities
      AUKUS Licence Free Environment

      Under the Defence Trade Controls Amendment Act 2024 (DTC Amendment Act), Australia has established a licence-free environment to promote strategic collaborations with our Australia, United Kingdom, United States (AUKUS) partners.

      The licence-free environment exempts certain Defence and Strategic Goods List (DSGL) goods technology, services from permit requirements when transferring between Australia, the United States and/or the United Kingdom.
      The JOSCAR-AU system was established following an initiative led by a growing number of prime contractors as registered buyers together with the Commonwealth Government.

      JOSCAR-AU is a cross-sector collaborative solution that reduces the time, cost, resources and duplication currently needed to provide information to major prime customers. Holding common supplier information in a central system, the JOSCAR-AU accreditation system allows information to be accessed by all participating buying organisations.

      JOSCAR-AU is designed to make the process of pre-qualification or accreditation as efficient as possible – saving your company a significant amount of the time, effort and cost associated with working for multiple clients.

      Hellios enables more effective compliance with client requirements for business through a single process. Your initial registration will determine the level of pre-qualification or accreditation that your clients require, based on an automated risk profile.

      Expert advice is provided throughout the process to guide you including identifying potential business improvement opportunities that may increase your competitive advantage.


      Registration on JOSCAR-AU is either by invitation from your registered JOSCAR-AU buyer or via self nomination. If your buyer has asked you to complete the JOSCAR-AU questionnaire, they will contact Hellios directly on your behalf. Hellios will then process this request and send a link to the questionnaire for you to complete. If you would like to self nominate, please reach out at joscar@hellios.com.au.
       

      BAESA/GAP Industry Training: Estimating For Defence

      BAE Systems Australia and the Global Access Program are pleased to once again offer Estimating & Pricing Industry Training during 2024.

      Delivering competitive and defendable proposals for Defence requires a variety of estimating techniques to build robust, credible and defendable Basis of Estimates. Learn how to challenge your cost base, supplier quotes, estimates and price, and submit a compliant proposal that meets customer requirements, represents value for money, and can survive a cost investigation.

      Estimating For Defence is a two day course developed by Estimating & Pricing (E&P) at BAE Systems Australia, and delivered in partnership with the Global Access Program (GAP).

      To register, please click on the BAE Systems supplier portal link now - http://BAESystemsSupplierPortal.icn.org.au

      If you require any further information, please contact Megan Allan directly on
      megan.allan@baesystems.au.
       
      Open to Industry partners Based in Australia, Canada, and the UK

      The Defense Industrial Base Consortium (DIBC) aims to coalesce and expand the defense industrial base (DIB) in support of the Manufacturing, Capability Expansion, and Investment Prioritization Directorate (MCEIP) critical sectors and additional areas of interest. To align with the recent modification to the definition of Domestic Source for Title III of the Defense Production Act, and in keeping with the MCEIP vision of delivering a resilient U.S. supply chain and workforce able to respond in times of national security crisis, DIBC is excited to announce that we are opening membership to Industry partners in Canada, the United Kingdom, and Australia. This increased level of collaboration will aid the DIBC in achieving MCEIP’s mission and vision.

      The application to become a DIBC member can be found here. International members will need to apply for a NCAGE Code and UEI prior to joining DIBC. To apply for a NCAGE code, each organization will need to register at https://sam.gov/. Instructions on how to register can be found here.

      If you have questions about the application process, please feel free to reach out to dibconsortium@ati.org.
       
      SME Connect Programs

      Australia’s national science agency, CSIRO, has announced a $20 million investment to provide small to medium enterprises (SMEs) with greater access to vital research and development (R&D) opportunities to accelerate their growth.

      The funding will allow CSIRO’s SME Connect team to support up to 750 SMEs through a range of programs and initiatives that provide facilitation, training, dollar-matched funding and support to start-ups and SMEs seeking to engage in company-led research projects.

      One of the programs being supported is SME Connects flagship program, CSIRO Kick-Start. Since its inception in 2017, the Kick-Start program has facilitated over 280 company-led R&D projects, with alumni companies collectively holding a market value exceeding $2 billion.

      Dr Doug Hilton, CSIRO’s Chief Executive, emphasised the significance of this investment and the transformative impact it would have for Australia’s critical SME sector.

      The Victorian Land Systems Fund – Supply Chain Uplift Program will support Victorian defence industry businesses to work with Hanwha Defense Australia (Hanwha) as part of its supply chain. The program will help build businesses’ capabilities so they can help Hanwha deliver the Commonwealth Government’s $1 billion Land 8116 Self-Propelled Howitzer program.

      Funding will support eligible Victorian businesses to:

      • gain relevant accreditations and meet industry specific compliance requirements
      • prepare tenders
      • undertake minor facilities upgrades and equipment fit outs
      • develop new or enhance current defence products or services
      • undertake defence R&D
      • participate in trade missions to pursue collaboration and export opportunities.

      Businesses must engage with Hanwha and receive its support before applying.

      Applications to the Victorian Land Systems Fund Supply Chain Uplift Program are now open and close on 30 June 2024 or until funds have been exhausted.
      Defence Industry Development Grants Program

      The Defence Industry Development Grants Program (the program) will award grants over four years from 2024-25 to 2027-28. The program was announced as part of the Defence Industry Development Strategy.

      The objective of the program is to build the industrial base Australia needs to achieve Defence outcomes in areas of strategic priority.

      The Defence Industry Development Grants Program funds four distinct grant opportunity streams tailored to address the program outcomes:

      1. Sovereign Industrial Priorities
      2. Skilling
      3. Exports
      4. Security.

      These four grants opportunities will be assessed in batches. We will regularly update the closing dates for each batch on this page. You can apply at any time.

      All projects are due to be completed by 31 Mar 2028.

      About the streams

      The Sovereign Industrial Priorities stream will assist eligible small to medium enterprises (SMEs) to purchase manufacturing plant and equipment which is used directly to develop and/or deliver programs that are in line with the Sovereign Defence Industrial Priorities (SDIPs) described in the Defence Industry Development Strategy.

      The Skilling stream helps Australian defence industry to upskill and train in priority trade, technical and professional skillsets to develop a workforce with the right mix of qualified and experienced personnel to meet Defence requirements. The program will enhance the capacity and capability of Australian defence industry workforce to deliver SDIPs described in the Defence Industry Development Strategy.

      The Exports stream provides support for small to medium enterprises (SMEs) to overcome export barriers and help defence industry build scale and competitiveness in defence capability priority areas as identified by the SDIPs described in the Defence Industry Development Strategy.

      The Security stream helps Australian defence industry improve and maintain security in priority areas as identified by the SDIPs and in line with the Defence Industry Security Program.

      Industry Growth Program - Support for Innovative SMEs to Commercialise and Grow their Business

      The program supports innovative small and medium enterprises undertaking commercialisation and/or growth projects within the National Reconstruction Fund priority areas through advisory services and opportunities for matched grant funding. Minor changes or improvements to existing products or services are not considered innovative.

      You will be connected to an Industry Growth Program Adviser who will provide tailored advice to support your commercialisation and/or growth project.

      Once you have received this advice, you may also be able to apply for:

      • grants of $50,000 to $250,000 to support early-stage commercialisation projects
      • grants of $100,000 to $5 million for commercialisation and growth projects.

      More info >
      Australian Space Industry Capability Database

      The Australian Space Industry Capability database will open for industry submissions from mid-July. Companies can upload information on their:

      • Location
      • Capability
      • Workforce

      The database has been developed by SIAA and is supported by the Australian Trade and Investment Commission (Austrade), the Australian Space Agency, the Office of Defence Industry Support and SmartSat CRC.

      Register your interest in the Australian Space Industry Database by emailing operations@spaceindustry.com.au
      Australia Partner Network

      Leidos Australia is focused on working with Australian Industry for delivery of all of our projects. We know the importance of supporting the growth of sovereign capability and would like to work with more Australian businesses at all stages of our delivery lifecycle.

      We encourage Australian companies, who are interested in working with us on the opportunities identified above or on other business requirements as they arise, to complete the following registration form.

      In your submission, you should highlight your experience with any relevant Defence, Intelligence, ICT and cyber capabilities and technologies. Our team will then be in touch to identify potential next steps.

      ODIS provides a range of grants to support defence industry businesses. These grants help Australian small and medium enterprises grow to meet Defence capability needs and join global defence industry supply chains.



      The ODIS Defence Business Readiness Tool (DBRT) is a platform used by our Industry Engagement Team to assess the Defence Readiness of Australian Small and Medium Enterprises. The DBRT is the first step in the journey to becoming a supplier to Defence.

      To use this secure tool you must have an account. You can either sign in with an existing account or create a new one. You will need to provide your Australian Business Number (ABN) when registering your account.

      Get Defence Ready with DBRT 2.0 and unlock the true potential of your SME within the Defence industry!
      AusTender provides centralised publication of Australian Government business opportunities, annual procurement plans and contracts awarded.
      Grants and Programs Finder

      If you’re doing business in Australia, this guided search will help you find grants, funding and support programs from across government.
      Here is a link to the ICN Gateway where you will find major Government and Defence work packages
       
      Is your business looking to sell to the Australian Government? The newly updated Selling to Government website has all the information and support you need to get involved in government procurement and contracting opportunities. Find out more >
       
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      Australian Defence Alliance Victoria Inc.
      570 Bourke Street
      Melbourne Victoria 3000
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