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What is Defence West?
The Australian Government has identified Western Australia as the location of Henderson Defence Precinct and the operational hub for AUKUS.
In that context it is interesting to see that on 17 June 2026, the Defence West Bill 2026 was introduced in Western Australia by Minister for Defence Industries, the Hon Paul Papalia MP. The Bill will turn Defence West, an agency created in 2017 in the Department of Jobs, Tourism, Science and Innovation, into Australia’s first standalone independent statutory authority. The key objectives of Defence West as set out in the Bill are to increase the defence industry’s growth in all domains, provide expert advice, promote defence projects, and support veterans.
Mr Papalia said in his Second Reading Speech that the Bill would grow the defence industry, create high-value jobs, drive long-term economic diversification and support veterans. Mr Papalia stated the reforms are necessary for ensuring that Western Australia does not miss out on opportunities to expand the defence sector, particularly for long-term projects such as AUKUS.
Why has Defence West been established?
In the 2024 Growing the Defence Industry in Western Australia discussion paper, giving Defence West clearer objectives and outcomes was found to be an area requiring improvement. It was noted Defence West would need to become a “dedicated statutory authority with sufficient resources and a mandate to oversee all aspects of industry development”. The Hon P Tinley AM MLA stated in the Chair’s Forward to the discussion paper that “‘Unity of command’ is currently lacking’ and a “single point of entry into government” is needed. This wording is identical to that used in the announcement of the Bill.
Earlier this year, the WA Government called for expressions of interest into the Western Defence Forge, which will be a new defence manufacturing hub. Defence West appears to be the agency in charge of the project.
What powers does Defence West have?
The functions of Defence West include to promote and support growth, diversification and global competitiveness of the State’s defence industry; plan, operate and manage defence industry precincts, assets and projects; operating and managing defence industry and research; form partnerships and alliances with entities for development and research; and providing financial support for defence initiatives.
In order to carry out these functions, Defence West is given all powers necessary to perform these functions, and along with the ability to purchase and deal with property; enter into contracts; participate in business arrangements; develop technologies; produce and publish information; and engage or act as agents.
Relevance to the national defence sector
Defence West demonstrates that the WA Government is serious about taking advantage of the significant defence infrastructure spending that will occur at Henderson, HMAS Stirling and at other locations in WA, with a view to developing complementary defence industries and ecosystems.
Defence West also provides a potential model that other states and territories may follow as they consider how the investment by the Australian Government in defence and defence infrastructure may create opportunities or challenges for their economies.
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