NZ Arsenal

The NZ Arsenal is the purchasing, maintenance contracting, and supply chain management agency for sensitive tools and stores for the NZ Army and the Coastguard. It works with defence suppliers, civilian agencies and other governments. It is largely a civilian agency itself. It must securely manage and transport sensitive (and sometimes secret) weapons, tools and stores. It does not compete to provide civilian goods or services like N3 (formerly the Government Stores Board) to supply pens or toilet paper. .

The arsenal is the main procurement agency of the defence force. It is subject to OAG, Police and NZSIS oversight

The Arsenal is divided into the following departments:
  • Defence Ventures
  • Facilities Management
  • Maintenance Engineering
  • Weapons and Munitions
  • Security
The arsenal operates security on defence and coastguard bases as well as ensuring the smooth mechanical functioning of defence assets.

Defence Ventures
This replaces the Defence Technology Agency which is privatised. The DTA employs 87 scientists at a cost of $10m. Defence Ventures is a venture capital fund specifically for developing defence and dual use products and services by New Zealanders. The fund would be set at $30m per annum for ten years and expected to be self sustaining after that. It would be operated by a civilian venture capital fund.

Facilities Management (~30 staff)
This manages defence real estate and contracts for the provision of facilities for defence accommodation, storage, training and preparations.

Maintenance Engineering (~30 staff)
This is a contract management role for providing maintenance for moveable systems including vehicles, craft, vessels, aircraft and heavy machinery mostly by civilian contractors to a suitable specification. For example defence equipment may require low thermal signature paint while coastguard equipment may not.

Weapons and Munitions (~120 staff)
This is the only part of the operation which is not outsourced to civilian agencies. The task is to maintain, and manage access to restricted or secret moveable military systems, weapons and munitions on bases, docks and airports.

Security (~60 staff + Military Police)
The Arsenal maintains the security on all Headquarters, Army, Coastguard, Academy, Network and its own assets. This makes use of automated systems and surveillance but relies on the Military Police Battalion for on-the ground presence.

Estimated Budget $50m