Coalition confirms investment for new Darwin port in major blow to China

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Finance Minister Simon Birmingham has confirmed the government is considering a potential new port project in the Northern Territory, side-stepping China with potential “benefits for defence”.

Buried deep in the regional investment section of Tuesday’s budget papers was $1.5 billion designated to new infrastructure in the Northern Territory.

“What we’re doing in the Northern Territory is investing in infrastructure to support a project of economic development championed by the Northern Territory government… that would provide enhanced opportunities for energy exports and wealth generation for the country,” Mr Birmingham said during Senate Estimates on Thursday.

“That does look at port development and ways in which we might be able to support through contracts through defence for example the underpinning of a business model.Mr Birmingham backed his Cabinet colleague and said there was a possibility any new infrastructure could see both economic and defence benefits.

Lat year, a Department of Defence review into the port found there were no grounds on national security to strip the lease from the Chinese company. Defence Minister Peter Dutton said there was a"massive commitment" from the Morrison Government into the Northern Territory. Picture: NCA NewsWire / Dan Peled“And they’ve been doing it in the Top End of Australia for quite some time since the lease was done.”

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