Senate to inquire into defence housing

A Senate committee will examine the government's controversial plan to privatise Defence Housing Australia.

Shadow defence minister Stephen Conroy wants the Foreign Affairs, Defence and Trade Committee to examine operations of DHA, including management and implications for current residents if existing housing stock is sold.

The committee will report back by April 30.

DHA was founded in 1987 to provide housing for defence personnel following longstanding complaints about the standard of defence accommodation, some dating back to World War II.

Its 2014-15 annual report says it is managing more than 18,000 properties worth about $10 billion, including its own property portfolio, worth more than $2.9 billion. It paid the government a dividend of $53.9 million.

The government's commission of audit, released in May 2014, recommended privatising a number of government entities including DHA.

The government has conducted a scoping study on the possible sale but made no decision on privatisation in the May budget.