Antarctic icebreaker faces potential cost overruns totalling $100 million

Nuyina (Photo: Knud E. Hansen)
Nuyina (Photo: Knud E. Hansen)

The Australian Antarctic Division (AAD) has submitted a report stating that operation of the icebreaker Nuyina up to 2030 will incur a cost blowout totalling $100 million.

According to the AAD budgetary outlook discussed recently in the Senate, "significant issues" attributed to "realised risks and unforeseen issues" were highlighted during the vessel's operate and maintain phase.

The outlook also stated that approximately $100 million in funding would be needed until June 30, 2030 to resolve the identified issues.

Following its delivery to Australia in 2021, Nuyina has been beset by numerous issues such as mechanical problems that prevented it from embarking on any expeditions in 2023; malfunctioning cranes that meant only a limited selection of cargo could be loaded on board; crewing and maintenance costs being higher than anticipated; inaccurate fuel consumption projections; and directional stability concerns.

Because of the latter issue, port operator TasPorts has prohibited the vessel from transiting underneath Tasmania's Tasman Bridge from its homeport of Hobart to a refuelling jetty at Selfs Point just four kilometres away. The vessel has to instead sail 660 kilometres from Hobart to the Port of Burnie for bunkering before it could sail for Antarctica.

The AAD said it has also been compelled to employ additional personnel besides the 29 it originally proposed to crew the vessel. This was after the department realised the vessel was "significantly more complex than first envisioned" and that a larger crew complement would help it meet the required base level of operations.

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