The submarine contract comes up at a very time for SA with the closure of Holden in 2017 and the loss of thousands of support jobs. The price of natural gas in SA is also expected to double or triple in the next few years. Torrens Island power station for example is Australia's biggest gas user. I'm inclined to say forget submarines and build a nuclear power station instead. That will generate many jobs and set up SA for the future.

Others have pointed out that while the Collinses were beset with problems we didn't seem to actually need a reliable submarine fleet. However we do need to spend billions of dollars on creating alternative jobs in value-for-money projects. Spend the money just not on subs.

If our submarines are to be built overseas, then the key question must be the level of local content.

A minor part of this would be writing the manuals, but something much more substantial could be engineered, with a little imagination.

Both Japan and Germany, have higher labor costs; and spare parts may be vastly more expensive, and unprocurable!
And this is where the protective moat, would work against us!
If we are to procure a foreign build sub, then it should be both American and nuclear powered.
Nuclear powered subs could stay out to sea for many months, and form the basis of any counter measure; aided by our huge coastline, if we were ever attacked and occupied, by a vastly superior power?
Diesel power limits the available range; nuclear provides almost limitless options, including circling the globe and approaching from the south, and under protective ice?
And it's hard to argue against torpedo beating speed!
As in the past, our US procurement have included considerable technical assistance, and local assembly/fit-out options.
It seems passing strange to can the local build option, when we have finally learned how to build the things.
Ditto warships.
Finally the government needs to remain cognizant of the raw economic facts.
Every dollar spent offshore is money that exits our economy. Say a billion per sub, GONE! POOF!
However, if we spend that money locally, it goes round and round the economy up to 7 times before finally exhausting; and therefore, is reaped as 7 fold, [usual multiplier factors] job and or wealth building opportunities, along with all the total tax liabilities; that flows from that.
i.e., taxpayer pays out so much, less what the ATO reaps back from the increased economic activity.
Say a billion and a half per local built sub, less the additional tax return; thanks to the increased economic activity!
And therefore, as much as 1.1 billions as an additional tax windfall.
Meaning, the actual cost to us in raw numbers, could be as low as just 400,000, or if you will, around 600,000 less in real terms, than what we might pay, IN TOTAL, for an offshore built option.
At the end of the day, the taxpayer need transparency and an open tender process!
Rhrosty.

Why can we not keep developing the Collins? Surely by now we should be getting better at it.
Relying on foreign countries for national defense is bizarre. Our greatest weakness is our dependence on others. The first step towards national security must be self sufficiency.

When Bill Shorten raged about 360 odd Australian ships being sunk by the Japanese navy during WW2, my first thoughts were 'gee, would be great to have some of them, really must be quite good at it'.

One has to question the rationality of making our nation dependent on a foreign power for our defense capabilities.
Quite apart from the loss of skills, facilities and industries we so sorely need there is the question of an actual war scenario, without local support infrastucture and manufacturing our submarine fleet could very quickly become a very dead white elephant indeed.
When it comes to questions of Defense the neo-con mentality is simply suicidal, if not outright TREASON!
There is no apparent reason why Australia cannot build it's own Defense capabilities, ships, subs, millitary vehicles of all descriptions, even planes, think of all the jobs and economic benefits to be had, think of a government backed scheme on the order of the Snowy, making us a strong and independent nation as a bonus. Such a program would almost immediately soak up all the auto industry unemployed, along with most other unemployed as well, and the spin-offs for small manufacturing and services would be exponential.
All it requires is VISION, but alas, there's a very poor view when your snout is buried in the Golden Trough, as is clearly the case with the Canetoad's Liberats and the Lazy Laboringers.