Poor police plan prompted half-billion dollar blowout

audit
A probe found a state police force did not effectively plan updates for its central technology. -AAP Image

Despite knowing for more than a decade its technology was out-of-date, an audit has found a state police force trusted critical upgrades to a high-risk supplier, contributing to a cost blowout.

NSW Police spent $155 million in tech upgrades between 2021 and 2025, more than half of its allocated budget, but only replaced one of five of its core systems, a probe by the state's auditor-general found.

The probe determined NSW Police did not effectively plan updates to its central technology, much of which in place since 1994 and based on an obsolete programming language.

Having tried to fix the problem since 2006, the final delivery date for the program has blown out four years to 2031 and the projected final cost will be nearly $500 million higher than first thought.

"The slow progress has required the NSW Police force to allocate program funds to extend the life of its legacy systems," the report says.

"In the meantime, the delay in delivery has resulted in technology and operational risks and reduced operational effectiveness."

One of the key issues leading to the cost and time blowouts was the selection of a "high-risk" supplier during the first stages of the upgrade.

Police received legal advice warning about the financial position, limited experience and lack of capability of its chosen overseas start-up firm.

But the force pushed ahead with that company anyway.

That decision cost police nearly $20 million in spending on work that delivered no benefit, the audit found.

"In June 2022, the supplier advised the NSW Police Force it could not deliver a forensics and exhibits system, and that delivery of (other components) would be delayed by several years," the report says.

The force terminated the contract with the start-up in 2022 and has since updated its procedures by applying stricter requirements for suppliers, the report said.

The auditor-general recommended the force should continue to demonstrate effective program governance and incorporate the lessons learned from its previous slip-ups.

Police Commissioner Mal Lanyon thanked the audit office in April for the review of procedures and the force acknowledged the cost and time extensions needed for upgrades to be completed, a police spokesman said in a statement.

"The project has already delivered the essential platforms and infrastructure needed to stabilise operations (and) improve cyber security," the spokesman said.