New budget analysis has found the Australian Defence Force (ADF) is receiving less "core funding" than before the last election, with parliament this week set to also scrutinise recent controversial overseas military spending decisions.
The latest example of potential local defence work being sent offshore involves a $307 million marine surveillance system purchased from the United States, which has not yet been publicly announced by Australia.
Formal confirmation of the decision to acquire the US Navy's Surveillance Towed Array Sensor System (SURTASS) has only come from a notice to Congress published earlier this month.
"The Government of Australia has requested to buy Surveillance Towed Array Sensor System Expeditionary mission systems for Vessels of Opportunity (VOO)," the US Defense Security Cooperation Agency announced on May 4.
Despite the same technology being produced in Australia for decades, Defence says the federal government authorised the department to instead source the capability via a US Foreign Military Sale (FMS).
"The Government gave Defence approval to approach the US about release of the system to Australia on an accelerated timeline in response to our challenging strategic environment, as outlined in the 2023 Defence Strategic Review," a Defence spokesperson told the ABC.
Australian manufacturers are growing increasingly uneasy with the government's approach to military procurement, fearing international "off-the-shelf" purchases are being prioritised over a sovereign defence capability.
Last week the ABC revealed the Albanese government was also considering importing billions of dollars' worth of new high-tech infantry fighting vehicles from overseas rather than building them in Australia.
'Core funding reduced by $1.5 billion over next three years'
A new research paper has found the recent federal budget leaves Defence with less core funding for the next three years, than was available to the department for the same period in the March 2022 budget.
Analysis produced by the Australian Strategic Policy Institute (ASPI) finds the only increase was compensation for higher costs for imported military equipment due to a fall in the Australian dollar.
According to the ASPI publication, Defence's core funding will be reduced by $1.5 billion over the next three years, despite government warnings of a rapidly deteriorating security environment in the Indo-Pacific.
"The only increase in Defence funding since the budget in March 2022 is $4 billion in compensation for the fall in the value of the Australian dollar, which has pushed up the cost of its imported equipment.
"Excluding that, this year's Budget provides $1.5 billion less to Defence over the next three years than the Budget last March," the report concludes.
Senate estimates to grill Campbell over Afghanistan medals
Independent Tasmanian senator Jacqui Lambie has vowed to forcefully question Defence chief General Angus Campbell during Senate estimates hearings this week, over his push to remove Afghanistan war decorations from some soldiers.
Last week the ABC revealed General Campbell had written to several current and former ADF members, informing them their honours for distinguished and conspicuous service on warlike operations could soon be cancelled.
Senator Lambie said there were "problems here" and questioned whether the top brass at the time of the war, including General Campbell, would be made to also hand back their medals.
"These guys have been through crap and (there are) no charges. Now putting their faces and families out there," she told Channel 9.
She said she would question whether General Campbell was prepared to "lead by example and hand back his own medals".
