Originally Posted by
JeanKhul
On Friday April 1st (today) :
"Is it true that australian taxpayers will have to pay 5,5 billions australian dollars for non-existent submarines ? " asked Senator Penny Wong (opposition leader) at Canberra.
"It will be something like that" did answer Defense Secretary Tony Dalton
Sort of cancellation fees.
Election time play on words by Wong. 5.5B is what has been expended so far up to contract cancellation. Many media outlets have taken this to be that we are paying 5.5B is to severe the contract which is incorrect. The actual cancellation costs would be a fraction of this amount.