Australia to spend $10B on base for nuclear-powered submarines

Australia will spend an estimated $10 billion to build a base for its new nuclear-powered submarines, Prime Minister Scott Morrison has announced.

The new facility on the country's east coast will provide "deployment opportunities in both the Indian and Pacific oceans" and "enhance Australia's strategic deterrent capability in the Pacific Ocean," the premier said in a statement.

"Australia faces a difficult and dangerous security environment and we must continue to invest in growing the capability of our ADF (Australian Defense Force) to ensure we keep Australians safe," he said late on Monday in a statement.

Morrison stressed that the AUKUS partnership forged with the US and UK last year will give Australia "access to the best technology in the world to support our efforts to deter threats against our national interest in the Indo-Pacific."

AUKUS security pact

Under the AUKUS pact, seen as an attempt to counter China's expanding economic and military influence in the region, the US and UK will help Australia build nuclear-powered submarines.

Australian Defence Minister Peter Dutton said the decision to acquire nuclear-powered submarines was driven by "the changing strategic environment."

He said the new base "will ensure Australia has the infrastructure and facilities ready to support those submarines when they enter service."

"A new navy base on the east coast will also have significant advantages for training, personnel and for Australia's defence industry," he added.

Last year, Australia revealed its intention to acquire at least eight nuclear-powered submarines as part of the newly created AUKUS pact.