Fed: Defence forces face cuts after bungled cost estimates
SYDNEY, Dec 16 AAP - Australia's defence forces reportedly face cuts to vital weaponsprograms after bungled cost estimates by the Defence Department.
The Sydney Morning Herald today quoted Defence Minister Robert Hill as saying figuresin the department's defence White Paper were littered with "under-valuations and under-estimates".
And he suggested the cost bungle could lead to modifications of the proposed $23.5billion defence equipment upgrade.
"So you have two alternatives - you find more money or you modify the capability,"
Mr Hill told the paper.
"We may not be able to achieve all the capabilities at the level we originally had in mind."
The newspaper said that among the projects expected to be reviewed were a replacementcombat system for the Collins class submarine; the Global Hawke unmanned aerial vehicleproject; and upgrading of navy frigates and troop helicopters.
AAP nd/ao
KEYWORD: DEFENCE

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