The door has been left open to building a new port facility in Darwin port amid concerns over a Chinese company leasing the existing port.
A Defence review found there was no national security grounds to recommend the Morrison government to overturn the port’s 99-year agreement with China’s Landbridge Group.
Buried in a media release from Deputy Prime Minister Barnaby Joyce was the inclusion of $1.5bn for “new port infrastructure” in Darwin.
Asked if it was for a new Darwin port, to be announced as an election commitment, Defence Minister Peter Dutton did not rule it out.
“There's a massive commitment from the government into the Northern Territory and that does look at port development and ways in which we might be able to look at support through contracts in defence for example,” Mr Dutton told reporters in Canberra.
“We will have more to say about that in due course.”
The new infrastructure could allow for a bypass of the Chinese-owned port.
But Finance Minister Simon Birmingham said it would be built outside of the geographical area leased by Landbridge.
Department officials told an estimates committee on Thursday the funding would be used for port infrastructure, such as offloading facilities and dredging of the shipping channel.
It would be partially funded as part of the government’s wider regional investment package.
The plan is still subject to ongoing business case and feasibility studies.
Senator Birmingham also skirted questions about whether the decision to xjmtzywfund the new port facilities was made before or after the Department of Defence review.
But he said defence was not the primary consideration in the matter.
“This port is for economic development,” Senator Birmingham said.
“It may also have benefits for defence, they're not to be discounted.”
“It helps with regional development aspects of the territory, it is very much about providing jobs and exports in that region.”
During the estimates hearing, the prime minister’s department was quizzed about the Solomon Islands’ planned security deal with China.
Officials declined to say when they were first made aware of the agreement but did confirm Scott Morrison was in communication with Prime Minister Manasseh Sogavare via text message about Australia’s concerns.
