Issue 73 22 May to 09 July , 2015

Saving you time for eight years.

A Weather Edition, whatever the weather may be around Australia

IN THIS ISSUE: Sex Sharing
Housing Prices State federal switches
Federation reform Aboriginal change. BHP support
Shorten Chief of staff resigns 70/30 Union reform
Lots more cheap houses in Australia New coal mine causes fuss for Barnaby
Maurice Newman says new world order Our Riverina and arid zone management
OUR Ship building

Contact Us Affairs of State Letter from Canberra 14 Collins Street Melbourne, 3000 A monthly digest of news from around Australia. Victoria, Australia P 03 9654 1300 Saving you time; now in its eighth year.

F 03 9654 1165 Contents [email protected] www.affairs.com.au 3 Editorial 17 Justice 3 Governance 19 Broadband, IT Letter From Canberra is a monthly public affairs 4 Party Happenings 19 Welfare bulletin, a simple précis, distilling and interpreting 6 Industrial Relations & Employment 20 Transport, Infrastructure public policy and government decisions, which 8 Business, Economy, Manufacturing, Finance 21 Education affect business opportunities in Victoria and Australia. 11 Mining 22 Foreign Affairs 11 Trade 23 Defence Written for the regular traveller, or people with 12 Refugees/Immigration 24 Indigenous meeting-filled days, it’s more about business 13 Tax 24 Sports, Arts opportunities than politics. 14 Climate Change, Environment, Energy 26 Society

Letter from Canberra is independent. It’s not party 16 Agriculture, Cattle, Water 26 Vale political or any other political. It does not have the 17 Media imprimatur of government at any level. About the editor The only communication tool of its type, Letter from Alistair Urquhart, BA LLB Canberra keeps subscribers abreast of recent developments in the policy arena on a local, state Alistair Urquhart graduated from the Australian National University in Canberra, in Law, History and Politics. He may and federal level. even hold the record for miles rowed on Lake Burley Griffin.

Published by A.B Urquhart & Company Pty Ltd He was admitted as a barrister and solicitor to the Supreme Court of Victoria, and remains a (non-practicing) member of trading as Affairs of State. the Law Institute of Victoria. Previously, he graduated from high school in Bethesda, Maryland, and had many Disclaimer: Material in this publication is general opportunities to become aware of the workings of comment and not intended as advice on any Washington D.C.

particular matter. Professional advice should to be For 30 years, he listened every Sunday evening to the late sought before action is taken. Alistair Cooke and his Letter from America . Alistair’s early career was mostly in the coal industry, where he became Material is complied from various sources involved with energy, environmental and water issues, and including newspaper articles, press releases, later in the SME finance sector.

government publications, Hansard, trade journals, He found time to be involved in a range of community etc. activities where he came The editor discusses the weather Copyright: This newsletter is copyright. No part may to understand some of the practical aspects of dealing with government and meeting people across the political with a friend on the corner of be reproduced, stored in or introduced into a spectrum. He now chairs a large disability employment Collins and Spring retrieval system, or transmitted, in any form or by service, including its British operations. any means (electronic, mechanical, photocopying, recording or otherwise), without the prior written About the publisher permission from the publisher. Affairs of State

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22 May to 09 July 2015 Letter From Canberra

EDITORIAL The debate over same-sex marriage Intergenerational Report, the 2015 Behind the Scenes will come to a head when Parliament Budget, and the White Paper We are having some fortunate resumes in August, with a marriage concerning tax reform. opportunities to see the realism of life equality bill moved by Liberal and living and working with the union MP Warren Entsch and seconded by Federation Blues sector/arena. It is unlike the family unit Labor MP Terri Butler and backed by a Andrew Bragg, director of policy at the mostly, the opposite of small business, multi-party grouping to be introduced. Financial Services Council, recently big business, the public service and wrote in a column for The some of its iterations, the politicians Too Many Warning Signs Australian that ‘proposals for and parliamentarians and their staff, According to Sean Carney’s opinion federation reform must be taken to the the academic world, the health world, piece in the Herald Sun, the Secretary 2016 election. Renovating our and the wide range of professions, of federal Treasury, John Fraser, federation is an essential reform, yet and folk just sharing a community or declared there was a housing bubble we have barely fired the starter’s gun working down the street. in Sydney and parts of Melbourne. His in the public debate. Just as there claim was rejected out of hand by the appears to be consensus around the This Editor has talking a hard mind to PM and the Treasurer. Hockey need for tax reform, we need to agree ethics and integrity and truth and responded by saying that there’s no that Australia’s federation requires fairness and civility in recent years, as problem at all with rising house prices radical surgery. To get us in the mood, a result of a few ambushes to his because people keep buying houses. the federal government should issue person. Then the governor of the Reserve the Green Paper of the Federation Bank, Glenn Stevens, chimed in, White Paper process that has been The newspapers and the journalists describing house prices in Sydney as promised.’ have not known for quite some time ‘crazy’ and a ‘social problem’. With that we have government elected for such warnings, if Labor was in power, a certain period of years here in can anyone Will Iemma Do A Carr? Australia at a federal and state level, imagineAbbott and Hockey not going Morris Iemma, who succeeded Bob and one could be amazed that they to town and warning of imminent, Carr as New South Wales Premier in write and print as thought they are debt-fuelled disaster for hardworking 2005 and held the office till 2008, is unaware of this fact. Australian families? planning a return to politics. The Age described him as aiming to Lets have some infrastructure and Disclosure? What Disclosure? contest the marginal federal seat of build and do stuff rather that Early in June, The Australian revealed Barton. An ALP source said: ‘He is hot have Oppositions and other that several federal MPs have refused to trot.’ A separate source said: ‘With opposition query every items every to disclose the reasons for spending his profile he would be very hard to day. taxpayers’ money on travel, have beat.’ ignored requests to justify expenses, Although a state-to-federal switch is Happy Reading. and have even claimed extra sums for much rarer for this country’s politicians the purpose of funding their election- than for their American and German night television appearances. These counterparts, Australian precedents do GOVERNANCE tidings emerged from a damning exist for such a move. Quite apart Same Position, Different Sex report by the Australian National Audit from Joseph Lyons, who in 1931 was Prime Minister Tony Abbott has Office. elected Prime Minister after spending slapped down a cross-party attempt to years as Tasmania’s Premier, Mr Carr legalise same-sex marriage, but still Very Expensive Advertising himself served as federal Foreign faces six weeks of potentially divisive Campaigns Minister in the dying months of the debate over the issue, with The Age announced recently that the Gillard-Rudd government. For that conservative MP’s mobilising to block Federal government had budged more matter,Sir Robert Menzies did a stint any move to legislate the landmark than $36 million to spend on in Victoria’s Deputy Premiership social reform according to The Age. advertising campaigns promoting its before Canberra’s charms beckoned.

3 22 May to 09 July 2015 Letter From Canberra

Childcare In The Senate property, an analysis by the Financial that the current push to recognise first The two big Budget initiatives the Review reveals. Australians in the Constitution in 2017 government has been selling are the – this push being one which Mr Abbott small business tax write-off, and the The same politicians have also highly favours – could be jeopardised, childcare package. But the childcare claimed taxpayer-funded travel unless more ambitious proposals tied package is looking as if it might be in allowance for staying overnight in to the referendum are dropped. Fr trouble in the Senate in August– not Canberra in the past financial year. Brennan, a Jesuit, is also law because there is anything particularly The allowance is currently set at $271 professor at the Australian National wrong with it, but because it is linked a night. The finding comes after it was University. to welfare cuts from last year’s revealed Treasurer Joe Hockey claims budget. travel allowance despite owning a $2 million house in the capital. This Agriculture’s New Head New Assets Test prompted Senator Nick Xenophon to Former Productivity The Federal Government is urge more transparency in the Commission boss Daryl Quinlivan has considering a breakthrough proposal accommodation perk. been appointed the new secretary of to trim the Age Pension for wealthy the federal Agriculture Australians who can fund their own Executive renumeration expert Dean Department after former head Paul retirement, setting up a way to Paatsch said there was no issue with Grimes was controversially sacked. overcome a blockade in the Senate politicians claiming the taxpayer Prime Minister Tony Abbott confirmed and achieve savings worth $20 billion funded travel allowance to stay in their to The Age in March that he had over a decade. Social Services own homes. ‘I don’t see what the big authorised Dr Grimes’ FABULOUS Minister Scott Morrison is looking at deal is. Frankly you get a far better NEW CHART, VERSION ELEVEN. scaling back access to the pension as deal from our politicians in Canberra Refer elsewhere in this Issue or go an alternative to the government’s for the dollar spent.’ online. You should purchase several controversial changes to payment copies for the Team around you, and rates launching talks with senators to to give them away as thoughtful seek a new deal on reform. Four Year Terms presents. Bill Shorten wants federal governments to serve fixed four-year The relationship between the two men Super Concessions Questioned By terms eliminating endless election began to deteriorate last year PM’s Adviser speculation and curbing prime when Joyce asked for Hansard to be Businessman Tony Shepherd, the ministerial power. According to The changed after he gave an incorrect head of Tony Abbott’s Commission of Age, this would require Australians to answer to Parliament about the Audit, has broken ranks with the PM – amend the constitution in a numbers of farmers who had received so The Age announced on June 23 – referendum. He believes the change drought assistance. Abbott announced on the question of superannuation. He would give the Australian public and that Quinlivan, a former deputy says it’s time to ask whether the businesses more certainty, liberating secretary of the department, will take current, multi-billion-dollar, system of them from the guessing game of over the top job for the next five tax concessions is achieving its aim. election timing. Editorial balance to years. Quinlivan also served as the Also, he has called for a doubling in this would include telling the media to deputy secretary of the Department of the rate of capital gain tax, to bring it rake off and to stop trying to change Broadband, Communications and the into line with income tax, and to help any government as soon as the next Digital Economy between 2011 and bring negative gearing under control. one is elected, The MediaParty should 2013. let an elected government have its Politicians Have a Ball elected time to work on finances, Canberra’s political elite came infrastructure and other stuff. PARTY HAPPENINGS together for the annual Midwinter Ball, Credlin Rallies Women with more than 600 politicians, Indigenous Constitution Clause Peta Credlin has issued a call to arms business leaders and lobbyists raising And BHP to women in the Liberal Party to fight funds for charity as organised by the The Australian lately announced institutionalised sexism in politics and Canberra press gallery. The ball was that BHP Billiton has joined the resist the temptation to stamp on other themed with the Disney hit campaign to include indigenous women trying to rise to the top. Tony movie, Frozen, and guests braved Australians as a specific element in Abbott’s chief of staff savaged the freezing rain to gather in the national constitution, in the wake blokey culture in Federal parliament Canberra’s Great Hall as reported in of Tony Abbott having spoken of a and said her party’s tendency to the Herald Sun. long-awaited meeting on the subject, relegate women to marginal seats had to take place during July. Repeatedly lead to a lack of women in the pipeline Who’s Paying the Mortgage? the Prime Minister has made it clear for senior roles after the 2010 election. At least 41 federal politicians have that inserting a clause in the It also put the Coalition in a position claimed the Canberra travel allowance constitution to acknowledge where it risked leaving half the despite owning a residential or indigenous peoples, in a formal sense, electorate ‘pissed off and investment property in Canberra. has been a matter close to his heart marginalised’. Credlin spoke from the Twenty-Seven members of Parliament for a long time. floor at a Melbourne forum on gender and 14 senators own a residential or and politics held by the Menzies investment property in Canberra, or As for indigenous advocate Fr Frank Research Centre as reported in The have a spouse who owns a Canberra Brennan, he warned during mid-May Age. 4 22 May to 09 July 2015 Letter From Canberra

Bumbling Bill Beard-like her marriage, the Labor leadership, from the national executive and for the From the moment this week when Bill and the present government. direct election of national delegates. Shorten’s chief of staff, Ken Direct election was a key Macpherson, resigned citing ill health, During her time as biographer and recommendation of a 2011 review by Labor figures have been discussing journalist, d’Alpuget said that she was party elders Steve Bracks, John the need for the Opposition Leader to far more respectful to political leaders Faulkner and Bob Carr. ensure there is a battle-hardened than journalists generally are today. veteran to fill the vacancy to fill the ‘Bob would never have got to be Prime 70-30 Reform vacancy according to political Minister had the media been as Federal Labor leader Bill Shorten has editor Dennis Shanahan in The Age. intrusive into his private life as they suffered a setback in his home state are now, and Australia would have with the weekend’s party conference been much the poorer for it. Literally in Victoria voting down his preferred Poll Improvement poorer. Let me tell you, he wouldn’t ’70-30’ reforms to reduce union power It’s good news for Tony Abbott in have been. He couldn’t have been in Labor preselections. Delegates from terms of recent opinion polls, and [PM]. We haven’t talked about it but he the Opposition Leader’s own union, good news is not something of which would know it. [Because of] his the Australian Workers Union, voted he has had an over-abundance in drinking in particular and his infidelity.’ against the proposals to increase the 2015. According to The Australian, at weighting of rank-and-file members in the end of May the Prime Minister Factional Shift in the Party preselection contests from 50 per cent enjoyed a stronger opinion poll Opposition Leader Bill Shorten’s right- to 70 per cent. following than Bill Shorten for the first wing faction has lost control of Labor’s time in almost 14 months. The national conference for the first time But members of the Shorten camp government’s second budget is said to since 1979, opening the way for a big said he had emerged from the have lifted its popularity levels. Mr push on traditionally left-wing issues conference with a clear win on his Shorten, meanwhile, is smarting under such as party reform, same-sex other main issue, giving members a 50 the news that despite his party’s marriage, tax, asylum seekers and per cent say in leadership ballots, and better-than-respectable popularity trade. Internal party numbers obtained his much to end mandatory union ratings, voter satisfaction with his own by Fairfax Media show that neither the membership for ALP members looked performance as opposition leader has major Right nor Left factions will set to succeed at the national tumbled to 32 per cent. factions will have a majority of the 397 conference. delegate at the triennial conference, Julia Accuses Kevin Of Bullying which is being held next month in PM was Warned The Kevin Rudd versus Julia Melbourne. Julia Gillard was warned by a senior Gillard fight shows no signs of right-wing powerbroker against ceasing, despite or because of the Labor’s right-wing faction controlled promoting Bill Shorten into a central ALP’s defeat in the 2013 election. the national party through the Hawke, post in her cabinet because he would During early June the ABC began Keating, eventually turn on her, it has been broadcasting a documentary series Rudd and Gillard governments. Loss claimed in the ABC series The Killing called The Killing Season, which of control means the factional chiefs Season. included interviews with both ex-PMs. will now be answerable to a handful of Before it even went to air, the Herald maverick independents, who are likely Palmer Sidelined Sun reported Ms Gillard’s allegation to hold the balance of power. Social Services Minister Scott that Mr Rudd, ‘angry with a decision Morrison has given up talks with she made about Question Time, Among them is veteran Victorian the Palmer United Party over passing approached her and “physically activist Eric Dearricott, who is likely to four key budget measures as reported stepped into my space. Kevin was call for a reduction in union influence in the Herald Sun. The Government always very anxious to strut his stuff in in pre-selections, less intervention needs six of the eight cross bench Question Time.” She said the incident was “quite a bullying encounter. It was, you know, a menacing, angry performance”.’

We Don’t Get No Respect: Blanche On Bob Bob Hawke would never have stayed Prime Minister till 1991, or indeed have become Prime Minister in 1983, had the media at the time of his reign been as intrusive as they are now. This is the presumably authoritative verdict from Hawke’s wife and biographer, Blanche d’Alpuget. In an interview which she gave to The Australian, she reflected on Australia’s current media environment, along with 5 22 May to 09 July 2015 Letter From Canberra senators, or the Greens or Labor, on North of the Murray River, further second term in the Lodge – have side to pass its budget legislation, problems are plaguing the disgraced given the federal government some of which requires passage ex-parliamentarian Craig Thomson, headaches because of their belief that before July 1. who is being sued for having allegedly the government is not doing enough to misused Health Services Union create jobs. This finding comes from resources as part of his successful opinion polls taken in six such federal Hock-eyed Hockey 2007 campaign for the seat of Dobell, electorates and commissioned by the On the face of it, Joe Hockey’ advice on NSW’s Central Coast. The union movement. Between 63 and 73 to first-home buyers looking to get into deploying of union resources for per cent of those surveyed reckoned the housing market was self-evidently election campaigns to the House of that the government should be doing correct, as some of his defenders in Representatives is a grey statutory more than it has done so far for the party pointed out. It was not as area at present, and whatever the employment prospects in the areas. bad as his ‘poor people don’t drive authorities decide regarding the cars’ comment, for example, but was Thomson case could well set a Uber Frightens ACTU marked as another step in a string of precedent on the legality or illegality of The rights and wages of workers for missteps. What exactly did the such deploying. unregulated digital companies Treasurer say to kick off another round like Uber – a phenomenon which has of debate about his performance? In the meantime, Mr Thomson’s HSU already become extremely influential nemesis Kathy Jackson has her own in the USA – will become the frontline It was a slap in the face for people difficulties. She has defended her use of a nationwide industrial relations with good jobs including nurses, of union funds for expensive shopping, campaign, according to a teachers and police officers who are travel, gifts, meals, and liquor. These recent Age report. This comes as increasingly priced out of the market. expenses she explained by saying – unions seek ways to stay relevant in Pouring fuel on the fire, Hockey added according to The Australian – that the the so-called ‘sharing economy.’ The that housing was still affordable life of an industrial officer is ‘stressful,’ ACTU says that the boom in because if it wasn’t ‘no one would be while admitting that she cannot freelancing websites and person-to- buying it’. As a wise Liberal MP points remember the work-related purpose of person networks presents a world of out, the Treasurer’s face during the some overseas trips. new problems for workplace standards media conference betrayed the exact and fairness: problems which seldom, moment he realised the insensitivity of if ever, cropped up in the pre-Internet his advice according toJames Unions’ Anti-Abbott Agenda age of clearly defined white-collar and Massola in The Age. A recent Financial Review article dealt blue-collar jobs. with plans by the ACTU to amass a $13 million war chest before the 2016 Meanwhile, the decision by the INDUSTRIAL RELATIONS. federal election. The organisation exceptionally powerful Australian EMPLOYMENT thereby hopes to mobilise activists in Workers’ Union to abstain from voting marginal electorates, in accordance on a resolution in support of increasing Pressure On Shorten with a strategy that has two prongs: it the amount that unions pay to the ‘Shorten’s black hole’ was the aims to turn voters against the Prime ACTU is embarrassing to the latter. headline of a recent front-page report Minister, and it seeks to arrest union The AWU is where Bill Shorten got his in The Age concerning the membership’s long-term decline. As start, and it has been one of the most increasingly embattled Labor well as pressing for an array of potent political forces in, above all, leader. Bill Shorten now has to cope changes to Abbott-supported Queensland – where it sometimes with the revelation that the Australian workplace laws, the ACTU Congress made and broke ALP premiers – since Workers Union poured several favours a new union charter that seeks the 1940s. thousand dollars into his campaign for to articulate an ‘alternative vision’ the safe Victorian seat of Maribyrnong around six broad themes – rights at Union Denounces Anti-Bribery during the 2007 federal work and decent jobs; quality Paper election. Age reporter James education; universal healthcare; The CFMEU has slammed, according Massola wrote: ‘Bill Shorten’s moment dignity in retirement; decent public to The Australian, a report proposing of truth before the royal commission services; and ‘a fair go for all’ – the tougher penalties for companies that into trade unions has been brought last-named of those being especially pay bribes in return for industrial forward to July 8, and the federal concerned with the desire of union peace, saying that it already dismisses opposition leader is likely to appear leaders to make multinationals pay from office any officials who take more than once. more tax. ACTU Secretary Dave corrupt payments. The Royal Oliver wants debate about how unions Commission Into Trade Union On Thursday [June 18], can meet the challenges posed by the Governance recently issued a Commissioner Dyson Heydon agreed digital economy. discussion paper which suggested that to the request from Mr Shorten’s penalties of up to $17 million be lawyers to bring forward his imposed upon companies making appearance in what is widely seen as Jobs And Liberal Voters under-the-table payments to unions. It a move designed to limit potential The Financial Review noted late in also recommended more stringent damage.’ Mr Shorten’s electorate May that Liberal voters in marginal measures to enforce court orders came to be known among certain seats – precisely those constituencies banning pickets or boycotts, and to Labor insiders as ‘the black hole of which, if hostile enough, are the compel increased transparency for Maribyrnong.’ likeliest to deprive Tony Abbott of a union election funds. 6 22 May to 09 July 2015 Letter From Canberra

Spotless Penalty Rates changing the party’s pre-selection costs higher. The call was made by The AWU agreed during late May to rules so as to give union members a Chevron Australia’s managing trade away $6 million of casual direct vote. There is not agreement on director, Roy Krzywosinski, in a workers’ penalty rates, according to transparency and accountability speech at the Australian Petroleum the Financial Review, in exchange for reforms that would transform Production and Exploration $75,000, through a deal which it made governance of the party. The change Association’s annual conference, held with cleaning giant Spotless Group. to pre-selections would, if it was in Melbourne. According to this deal, Spotless would carried out, ensure that members of hand over employees’ details to the party-affiliated unions would be given AWU, which, like most unions an automatic opportunity to join the Liberal MP On Union Power nowadays, wishes to increase its ALP, and then be given a pre- A column on May 25 in the Financial numbers. selection vote. But this would be in Review, by Dan Tehan – the Liberal their capacity as individual members, parliamentarian representing Malcolm Unions’ Female Call-Up and not as constituents of union blocs. Fraser’s erstwhile electorate of A recent Herald Sun report said that Several candidates say this policy Wannon in Victoria’s west – included trade union delegates have now should be explored. these comments: ‘Unions play politics committed themselves to working to the extent that 71 per cent of Labor formally towards 50-50 female Wage Rise Causes Resentment, But senators are former union officials. To representation in elected roles of the Union Defied break this link, unions should be as ACTU and that organisation’s The Financial Review revealed in early accountable as companies. ... Jane affiliates. In September 2014 there June that business have issued a Garrett, a candidate for the [ACTU] was carried out a survey which caution about their possible need to presidency, has tried to court the demonstrated that, even though union cut back on staff, or else reduce influential and militant CFMEU’s numbers around the country are well employee hours. This warning comes support by backing [its] stance against down from their 1960s-1970s apex, 56 despite the Fair Work the Australia-China Free Trade per cent of those who do still hold Commission rejecting the union Agreement. In a globalised world, union membership cards are women. movement’s minimum wage claim. these myopic views on industrial The FWC awarded a modest $16 per action and free trade should be dead But the chair of the ACTU’s women’s week increase to the nation’s low-paid and buried.’ Mr Tehan finished his committee, Julia Fox, has asserted workers, this increase being column by invoking Gough Whitlam’s that this figure overstates the scheduled to take effect from July 1. In election-winning slogan against Bill proportion of women in unions a double blow to the ACTU, the FWC Shorten: ‘It’s time, Comrade Bill.’ because the survey’s sample was awarded a lower minimum wage small and, moreover, skewed. Only 21 increase this year than it did last year. Employment and Productivity unions were examined, and these It refused the ACTU’s claim for $27 John Fraser, Treasury Secretary in were all ones that had a higher-than- per week, and it rejected that body’s Canberra, has called – according to average number of female members push to have employers pay increased the Financial Review – for bipartisan anyway. In 2015, 40 per cent of the superannuation contributions to 1.8 consideration of productivity- president, vice-president, secretary, million workers. enhancing reforms, such as greater and assistant secretary positions were flexibility in product and labour held by women. Chevron Worried About Unions, markets. A long-time American Tax resident, Mr Fraser has paid public Other relevant news, this time US oil major Chevron was reported tribute to the world’s largest economy. from The Australian: another survey – by The Australian as saying that this America recovered unexpectedly well one dealing with the ALP’s five country needs better tax and industrial from the Global Financial Crisis, with presidential candidates, and carried relations systems if it is to surf the national unemployment having halved out by internal groups, Local Labor industry’s long-expected ‘next wave’ of of late to 5 per cent, as opposed to the and Open Labor – showed no LNG projects, after unprecedented 10 per cent jobless level in the USA at candidate actually opposed to growth helped to force construction the post-GFC nadir.

7 22 May to 09 July 2015 Letter From Canberra

Happy Holidays. Very Happy CFMEU Empire Crumbles has lead successive Federal Holidays Australia’s biggest construction union Governments from both sides of Full-time workers, pack your bags! is under siege amid a record $3.55 politics, to believe that budget The latest results from Roy Morgan million payout, a push for surpluses are just on the horizon, with Research revealed that Australia’s full- deregistration and an expected flood dire consequences for voters. time workforce has a grand total of of further damaging allegations at the 123,510,000 days of accrued annual royal commission into union Meeting The Challenge Of Change leave. Which works out to an average corruption. The CFMEU has been On May 29 the federal government of just under 21 days’ leave each. forced to pay for the illegal blockade of took out a half-page advertisement That’s a whole lot of holidays waiting Melbourne’s Emporium shopping in The Australian under the theme of to be taken. centre site since 2012, agreeing to ‘Meeting The Challenge of Change.’ It hand builder Grocon $3.55 million out said: ‘Australia’s more than two million For The Outsourced, Not So Much of its members pockets according to small businesses are the engine room Fun the Herald Sun. of the economy – they make up 96 per Programmed Maintenance managing cent of all Australian businesses. And director Chris Sutherland predicts, Conflict of Interest Concern according to the Intergenerational according to the Financial Review, a Fair Work Commission vice- Report, we need to work smarter and wave of outsourcing of labour in president Michael more efficiently to improve our Australia amid a lower-growth Lawler supported Ms Jackson in economy in the future. That’s why a economy. As an enlarged company a Federal Court battle which has set of change has been introduced in with annual revenues of $3.4 billion, fueled controversy. Ms Jackson, who the federal Budget. The package following the buy-out of rival Skilled has been in a relationship with Mr includes a 1.5 per cent tax cut for Group, Mr Sutherland’s firm is better Lawler since 2008, was celebrated as small companies. There’s also a 5 per positioned to snare a large slice of that a whistleblower after outing then Labor cent tax discount for small businesses work. MP Craig Thompson over claims he operating as partnerships, sole traders used his HSU credit card, when a and trusts from July 1, 2015 … small union official, to pay for prostitutes business will get an immediate tax McClure Behind PM Re Work according to the Herald Sun. deduction for a wide range of business Incentives assets costing up to $20,000.’ More The government’s welfare reviewer, Cash In Enforced details are obtainable at announces The Australian, has Employers will get new rights to direct www.budget.gov.au backed Tony Abbott’s push for more their workers to take leave or offer to incentives to encourage people into buy out up to two weeks of leave a A Matter Of Confidence work, as the Prime Minister opens the year, under a major victory for John Price, Commissioner at way for a rethink of the nation’s social companies in the Fair Work the Australian Securities and security system. Mr Abbott said the Commission. The ruling, which may Investments Commission, was quoted Coalition wanted ‘appropriate eventually apply to the 1.8 million in the June issue of Company incentives’ built into the welfare people employed under awards, was Director as saying – in his column system, to support Australians earning hailed by business but criticised by the entitled ‘A Matter Of Confidence’ – that more. He declared that people should union movement, which said low-paid a balance has to be struck between be ‘better off’ working than on workers with limited bargaining power growth and stability. He encouraged welfare. Patrick McClure, whose would be forced to cash out leave and boards to challenge the assumption welfare review was released in early never have adequate holidays that regulation automatically inhibits 2015, said that the PM’s comments according to The Age. innovation. were very much in line with his own recommendations, which include ‘Many sessions [of the recent ASIC simplifying the existing maze of BUSINESS. ECONOMY. annual forum] emphasised the need to income support payments and MANUFACTURING. FINANCE put customers first. Not merely paying supplements into just five key Forecasts Based on Mere Hope lip-service to this concept but putting it payments. Australia’s most respected public in practice at all levels. In Australia, policy instituted has savaged the confidence in the financial sector has Federal Government’s approach to been eroded following a number of Crunch Time For Life Planners crafting federal budgets, warning well-publicised scandals. Boards and Assistant Treasurer Josh Australia’s economic future is being their senior managers need to Frydenberg has endorsed, according based on ‘hope’ instead of real policy consider if their approach and to the Financial Review, a set of reform. The Grattan Institute is calling, decisions will generally pass the “front proposals, including capping in The Age, on the Federal page test.”’ controversial advance commissions to Government to seriously consider 60 per cent of a policy’s premium in increasing tax collections if it wants to Former Citigroup CEO Vikram S. the first year, agreed by the peak repair the budget and prevent future Pandit, in his address “Creating financial advice and life insurance generations from being saddled with Confidence: The International policy bodies, in the hope of tackling too much debt. Dimension,” posed three questions problems in the industry. If the boards should keep [in] mind when changes are put into action, financial It also wants the Treasury to change making decisions: “Is it in my client’s planners stand to lose more than $225 the way it produces its economic interests? Does it create economic million in revenue per annum by 2018. forecasts, saying erroneous modeling value? Does it contribute to systemic 8 22 May to 09 July 2015 Letter From Canberra stability?”. Good organisational culture the government, which, if put into with a little over 2.5 million families. It is imperative to building investor practice, would make people under 25 has found that the government’s confidence and consumer loyalty.’ wait four weeks, in addition to the families package – including its standard one-week wait time, before popular childcare payments – will Government Treats Consumers they could receive benefits. This is a benefit middle-to-high-income families Like ‘Idiots’ considerable change from the position more than low-income families. Also, it The Financial Review reported which the federal government took in has found that the poorest 20 per cent scathing remarks by Productivity the 2014 Budget, which was to force of households with children will lose Commissioner Peter Harris, who all people under the age of 30 to wait up to 7.1 per cent of their total maintains that governments are six months before they could get the disposable income during the next four treating consumers like ‘idiots’ when dole at all. years, after all budget measures are they obscure facts about poorly taken into account. chosen mega-projects including roads. RBA Says Abbott Needs To Spend Mr Harris reckons that state and Glenn Stevens, Reserve Bank Bad News At The Stock Exchange federal governments alike are governor, has called for the Australian stocks have suffered the botching the selection of infrastructure, government to consider going further worst week in three years. That and he challenged politicians to justify into deficit, so as to fund new happened in early June, says The expensive but low-return projects over infrastructure construction. This call, Age, which went on to mention that hundreds of smaller but more effective according to The Age, came as he these stocks shed $70 billion over the options. ‘Make the case,’ he said, ‘for contradicted Joe Hockey on the past five sessions, as a worsening why the mega-project must be housing affordability and economic outlook for the domestic economy preferred apparently to the higher- debate. He described runaway house aggravated the impact of a global return local project. All of this is most prices, which the Treasurer bond sell-off, to hit local equities obvious in roads investment; the last contemplates with notable calm, as harder than almost any major global redoubt of the unreformed investment ‘scary.’ market. planning process.’ Consumer Confidence Steady, Shorten And The OECD Insurance Going To The Dogs Despite Government’s Problems Nick Cater, in his column for The One of the nation’s largest pet ANZ / Roy Morgan Consumer Australian, observed in May: ‘There insurance providers, Greenstone, is Confidence was steady at 113.5 as of was more disappointing news for the tapping investors – so the Herald May 25, further consolidating the post- hand-wringing industry last week when Sun has reported – for close to $1 Budget bounce in this level. an OECD report found Australia to be billion as it prepares to list on the stock Confidence was reported as being 11 a remarkably fair place. The poor are market. Greenstone, which deals with per cent higher than a year ago, getting richer and the rich are getting pet, life, and funeral insurance, aims to reflecting the more positive community poorer while those in the middle are sell close to 400 million shares, at response to this year’s (as opposed to doing very nicely, thank you. “Between between $2 and $2.50 per share, in last year’s) Commonwealth Budget. 2007 and 2011, the income of the what has emerged as one of the bottom 10 per cent increased by 2 per biggest initial public offerings of 2015. In the meantime, according to cent while incomes at the top declined Newspoll, ‘voters have endorsed the by 1 per cent,” the OECD found. ... IMF Warning To Australia Coalition’s second Budget as the best Some in the ALP know better, but An assessment by the International in seven years. The Australian’s is [Bill] Shorten listening?’ Monetary Fund of Australia’s current Canberra columnist Philip economic situation calls for a broader Hudson wrote: ‘After last year’s Banks On The Nose GST, for ending the capital gains tax Budget Tony Abbott was in a world of The battle over the banking industry’s discount, and for curbs to high-end pain. Now he has hope and his good reputation, to the provisional superannuation concessions. backbench [has] something to fight extent that it continues to have one, Delivering a warning that the Reserve for.’ In the fortnight after the Budget, intensified late in May. An Agearticle Bank of Australia might need to deliver the Coalition’s primary vote increased announced that two of Australia’s top more interest rates cuts, a team of the by one point, to 40 per cent; but the regulators took a simultaneous swipe IMF’s officials visiting the country said ALP’s primary vote over the same at the culture at the heart of the – so reports the Financial Review – period went up by two points, although nation’s largest financial institutions. that Australians faced significantly even after that improvement, Labor’s ‘When culture is rotten, it often is weaker income growth than they have total figure was lower (37 per cent) ordinary Australians who lose their been used to over the past two than the Coalition’s. money. Markets might recover, but decades. often people do not,’ ASIC … But Elsewhere, Budget Woes chairman Greg Medcraft said at Dole Not An ‘Ikea Catalogue’ New analysis from the National Centre the Stockbrokers’ Association of A proposal that relaxes a government for Social and Economic Australia’s recent annual conference, plan to make young people wait six Modelling has shown, The in a speech which called upon months for the dole should not be Age announces, how the federal financial institutions to clean up treated like an ‘Ikea catalogue to go government’s budget consolidation – cultural problems. shopping for benefits,’ according to for the second year in a row – is being Social Services Minister Scott made at the expense of the less well- The regulator is worried that a crisis of Morrison. The Age quoted him in the off. NATSEM divides the community confidence among many members of wake of legislation being prepared by into five segments, or quintiles, each the public, in the wake of a slew of 9 22 May to 09 July 2015 Letter From Canberra governance scandals in some of Sydney and, increasingly, Melbourne next four years and new infrastructure Australia’s largest banks over the past too. Crunching the relevant numbers spending. But theProductivity year, could weaken the integrity of at the instigation of the Greens Party, Commission isn’t sharing in the financial markets. Commonwealth which commissioned the research, euphoria, nor does it welcome the Bank of Australia, ANZ Banking the Parliamentary Budget Office has Abbott government’s concept of Group, National Australia Bank, sought to find out how much money ‘growth centres’, even though Macquarie Group, and UBS are would flow into government coffers if the Business Council of Australia has among those that have needed to deal negative gearing was scrapped for backed this concept. as best they can with the fallout from new residential investments. The scandals over the past 12 months. Greens want the extra revenue to pay For the Productivity Commission, for more affordable housing to help moves towards these centres would Credit Card Gravy Train those who, if not homeless already, be ‘ill-informed policies that risk The Financial Review announced in remain vulnerable in the current prosperity. The commission calls for early June that political pressure is property market. an independent assessment of building on the major banks to reduce industry and export assistance for their interest rates on credit cards, Whatever happens as the outcome of specific sectors and firms.’ which have become some of the most that business, residential property lucrative products in the entire banking billionaire Harry Triguboff will wish to You’re an Expensive Country industry. These days, the difference be told. Mr Triguboff has taken to the The head of one of the world’s biggest between the 2 per cent official interest NSW Supreme Court the state construction groups, which lost $1.4 rate set by the Reserve Bank, and on government headed by Liberal billion of work when the Victorian the other hand credit card interest Premier Mike Baird, which excluded Government cancelled the East West rates of around 20 per cent, is almost him from a 3,000-apartment Link motorway, says contractors have as big as it has ever been. development project in Sydney’s become hostages to northern suburbs. He is the nation’s politicians. Christian Gazaignes, chief Property Bubble: Will It Burst? biggest apartment developer, and he executive of Bouygues Travaux Treasury Secretary John Fraser was was blocked from the project after Publics, the infrastructure arm of reported in a Financial Review front- hiring as his general new project French multinational Bouygues, said page story as having declared parts of manager a government employee who to the Financial Review that the Sydney and Melbourne to be had an intimate understanding of the scrapping of the road and tunnel to unequivocally in a property bubble that $150 million North Ryde infrastructure. link freeways on the east and west resembles a ‘feeding frenzy.’ This is a ‘Why,’ the 82-year-old tycoon told The sides by Victoria’s new Labor startling declaration – startling not Australian, ‘have I taken the government was a ‘very bad issue’ least in its mixed metaphors – from government to court? Because they that had huge consequences for the one of the nation’s most senior insulted me. I won’t let them get away company. ‘We were not expecting to economic managers, and it has with it.’ UrbanGrowth NSW is the have this type of problem in Australia’ prompted conjecture that it will lead to government agency in charge of the tougher regulatory intervention by a North Shore development known as Force Superfunds to Invest federal government which has to go to ‘Lachlan’s Line’. The University of Sydney Business the polls no later than next year. School has proposed that Prominent businessman David Voter discontent over property prices government’s require superannuation Murray, also in the Financial Review, has been cited as a factor affecting the funds to invest in infrastructure predicted that the Australian election that occurred last March in development in return for what it Prudential Regulation Authority would Australia’s most populous state. This describes as the ‘generous’ tax indeed impose tighter lending controls. election, it is true, returned Mr Baird’s concessions currently employed by administration to power. Opinion polls the sector. An Infrastructure Australia For its part, the global ratings continue to show that the Premier is audit haas found that the demand for agency Moody’s told The Age that personally much better liked than was public transport will nearly double moves by the major Australian banks his predecessor Barry O’Farrell. But while congestion on Australia’s roads to curb the dramatic growth in the Liberals’ enormous majority from could be costing the economy more investment property lending do not go 2011 was much reduced. The ALP, than $53 billion a year by 2031 without far enough. The banks, the agency whilst failing to come even close to its massive new investment in transport said, will have to do more this year to recent Queensland upset triumph, won infrastructure. In a commentary titled bolster their books and to limit higher- 14 extra NSW seats. And the Greens, ‘Infrastructure Financing: Following the risk lending, so as to address risks in in their best-ever result for a non- Money’, the schools highly respected the housing market and appease Tasmanian legislature, won three Institute of Transport and Logistics regulators. seats. Studies says long term retirement funds are a ‘good match’ for the Negative Gearing In Bottom Gear? Migration, House Prices, Growth nation’s long term infrastructure The Sunday Age announced that the Centres, and NSW Windfall needs. federal government could raise an According to a front-page Financial extra $42 billion in revenue over the Review report, a surge in migration to Second Opinion Needed next 10 years, under a plan to curtail Sydney from mining states is driving Healthcare groups are split over calls negative gearing and to curb surging the housing boom that allowed the to remove pharmacy ownership and property prices. Nowadays, such NSW government to pledge an location restrictions, with Small prices are particularly exorbitant in unprecedented run of surpluses for the Business Minister Bruce 10 22 May to 09 July 2015 Letter From Canberra

Billsonwarning that the outlets cannot Why We Won’t Invest Game On be treated like any other retail Ninety per cent of Australian firms BHP Billiton chief executive Andrew operation. According to The won’t embark on investment if the Mackenzie has declared the Olympic Australian, State and territory laws expected return is less than 10 per Dam expansion is ‘game on’ but limit ownership to registered cent, according to new Reserve Bank admits there are technical and pharmacists, but the Harper review of Australia research reported in manufacturing hurdles that must be says this has no bearing on the quality the Financial Review, highlighting the worked out before final approval is of advice or care provided, and points divide over why low official interest given to the giant project. The out no similar laws applying to GP rates aren’t spurring an economic expansion would be a boon for South practices. recovery. Australia according to The Australian.

Beware Aussie Rules Flying Setback Eyeing New Markets Tougher new foreign investment rules A top planning official has declared Australia’s biggest fruit and vegetable are acting as a disincentive to much- that new mines in the Queensland grower and supplier, the Costa Group, needed offshore investment in coalfields will not be approved if they is expected to offer about 60 per cent agriculture, says the Australian are 100 per cent staffed by FIFO of its shares to institutions and new government’s most senior workers according to The Age. In investors when it lists on agribusiness comments that highlight a stark shift in the Australian Stock Exchange in July mandarin. Austrade investment political attitudes toward FIFO, BHP according to The Australian. specialist David Watson, appointed 12 Billiton and its partner Mitsubishiwere months ago by Trade MinisterAndrew told their plans to build a new coking Robb to facilitate investment into coal mine in the Bowen Basin would Insider Trading Claims agriculture and food, said the new be approved only if some employees Personal finance company IOOF rules had created a lot of uncertainty were allowed to live in local towns. Group faces allegations of in the offshore investor community Queensland’s coordinator- misconduct, insider trading, cheating according to the Financial Review. general, Barry Broe, made the on exams and misrepresentation of comments in his evaluation of the Red performance numbers on funds. In MINING Hill project. one of the most damning incidents, Labor Approves Coal Exploration confidential documents revealed Four new licences to explore for coal Miners Taxing Tax Scheme by The Age reveal one in Victoria have been approved by the Greenpeace has accused the mining senior IOOFstaff member was government, the first since it came to lobby of ‘breathtaking hypocrisy’ in its investigated by the company in 2009 power. And the government has also attempt to silence environmental over suspicious trading. It is believed granted a separate coal ‘retention groups by stripping them of charitable the company did not report the licence’, which permits an expired status when minerals and oil industry suspicious trade to ASIC. exploration permit. The new coal groups are themselves bankrolled by licences come as the state tax-deductible contributions from Instead, internal emails say the staff government has heavily promoted its mining companies according to The member was given a final warning and climate-change credentials since Age. told to donate the profits made on winning the 2014 election, launching a illegal trading to a charity wholesale review of climate-change TRADE ofIOOF’s choice. Insider trading can laws and programs an saying it wants Austrade is looking for Senior attract a prison sentence, to reestablish a state renewable Trade Commissioners where IOOF refused to comment. energy target according to The Age. From New York, Dubai and Tokyo to

11 22 May to 09 July 2015 Letter From Canberra

Frankfurt, Jakarta, New Delhi and the centres or if they provide Speaking English, Or Possibly Not Shanghai, Austrade is looking for information to journalists. On May 14, The recently announced policy of applicants before Sunday 26 July. the government’s Border Force Act English tests for foreigners wanting to TheAustralian Trade Commission is was passed quietly by the federal become Australian citizens has been the Australian Government agency parliament, with the ALP legislators’ greeted with a mixed response, that promotes trade, investment and consent, and with little public says The Age. This response has education, and develops tourism discussion. It clamps down on come not only from educational policy and research. ‘entrusted people’ in detention centres authorities, but also from immigrants – recording or disclosing information ranging from scientists and media Momentous China Treaty about conditions in places such as stars to property developers – who Chinese companies will gain the right Nauru and Manus Island. have already been granted citizenship to sue Australian governments in here. Dr Karl Kruszelnicki, TV international tribunals under an Children Held Five Years In luminary, came to Australia at the age agreement that will eventually allow 95 Detention of two, and was born to Polish parents per cent of Australian goods exports to Asylum-seekers, including women and who were lucky to escape the Nazi enter China duty free. Prime their children, are spending nearly five genocide. He said, ‘If you consider Minister Tony Abbott said he and years in Australian immigration somebody who’s coming here in their China’s Commerce Minister, Gao detention facilities, as the average 50s and 60s, it’s in some cases hard Hucheng, would one day be able to time spent in detention has soared to for them to learn the language.’ say to their grandchildren ‘Yes, we one of the longest rates in the world. were there the day this extraordinary So announced The Age in a front- Leaks on Citizenship agreement was signed.’ page article which noted that the Tony Abbott has issued a rebuke to Commonwealth and Immigration his cabinet over damaging leaks that The deal will eliminate the tariffs of up Ombudsman has slammed the federal recently took place, those leaks having to 20 per cent on dairy exports within 1 government for these rates, having been related to citizenship policies. He years, eliminate the 12 to 15 per cent found that children are being born, and has warned, says the Herald Sun, of tariff on beef over nine years and the remain, in detention centres waiting for ‘personal and political’ consequences 14 to 20 per cent tariff on wine over their families’ claims of protection to if that behaviour continues. This four years, and give Australia an extra be processed or for their security warning came a week after details duty-free quota for wool. But the assessments to be cleared. The somehow made their way into the agreement also includes an investor- Ombudsman’s report appeared on public arena concerning an intra- state dispute settlement clause that May 27 and is designed to be a cabinet quarrel over whether to strip will allow Chinese companies that ‘snapshot in time’ of immigration Australian citizenship from those believe they have been discriminated detention. It also showed that six terrorists who now have it, and who do against to appeal to an extraterritorial children had been born in detention not hold citizenship of any other land, tribunal. According to The Age, between November 2012 and but who may be able to become Australian companies gain reciprocal February 2013. citizens of some other land in the rights to appeal against Chinese future. government decisions. People-Smuggling Horrifies PM Columnist David Crowe opined in The True Aussie Global Brand Tony Abbott, according to The Australian that the entire thing All Australian food could be sold Australian, has expressed horror at constitutes, for the PM, a problem overseas using a single brand and the migration crisis in South-East Asia, which should never have happened in logo that agricultural producers hope and has said he was ‘appalled at the the first place. ‘Cabinet leaks over the will enhance Australia’s global latest demonstration of the evil trade citizenship issue were preventable,’ reputation for high-quality food and of people-smuggling.’ This expression wrote Mr Crowe. ‘Anyone who has reduce competing marketing of outrage came shortly before a watched the Road Runner outsmart campaigns. The phrase ‘True Aussie’, Kuala Lumpur meeting attended by Wile E. Coyote should know the key to next to a colourful stylised map of Foreign Minister Julie Bishop as well success is making sure there is Australia, will be unveiled in Canberra. as her Malaysian, Indonesian, and enough time to stamp out a fuse The campaign is backed by Fortescue Thai counterparts. before it ignores a barrel of dynamite. Metals Group founder and For Tony Abbott, the fuse that led to a farmer Andrew Forrest, advertising The Abbott government’s strategy for cabinet split started to burn three buyer Harold Mitchell and many food curbing people-smuggling will soon be months ago. The wonder is that industry bodies and businesses presented at a Thailand conference – nobody snuffed it out when there was according to the Financial Review. so said The Australianrecently – time.’ by Andrew Goledzinowski, who used REFUGEES/ IMMIGRATION to head the Foreign Affairs Unity and Cohesion Detention Centres and Department’s Pakistan and Laura Tingle wrote in a Whistleblowing Afghanistan branches. Mr recent Financial Review column that The Age announced in early June that Goledzinowski has served both the federal government’s citizenship under a sweeping new statute, doctors Coalition and Labor governments with discussion paper promotes Australia’s and teachers working in immigration ease, and former ALP Foreign ‘success as a unified and cohesive detention facilities could face prison Minister Gareth Evans has called him nation.’ But citizenship, she said, was terms – anything up to two years – if ‘terrific, sharp, bright, and with good working spectacularly to create the they speak out against conditions in values.’ impression of a very un-unified and 12 22 May to 09 July 2015 Letter From Canberra un-cohesive government in Canberra, Age. Mr Abbott declared the new Australian Government, if their as at early June. power to stop foreign fighters returning enterprises are intercepted on the high was necessary because such people seas, says Michael Gordon. Rather Citizenship Consultations could ‘get off’ if brought back to a court than close down the people The Age recently ran an in Australia where evidence based on smugglers’ business model, it advertisement announcing the federal foreign intelligence for example, may suggests another form of profit. government’s establishment of be inadmissible. national citizenship consultations. In May, the advertisement stated, Tony North Bound TAX Abbott ‘announced new measures to Migrant workers willing to live in the Tax Concessions and Green strengthen Australian citizenship, tropics will be given preferential Groups including a National Consultation on treatment as the Federal Government Prominent financial backers of Citizenship to (a) improve the pledges a further $1.2 billion to environmental causes have warned understanding of the privileges and developing Australia’s north. The new that any move by the Abbott responsibilities of Australian money, part of the Government’s government to tighten tax concessions citizenship; (b) examine way to better White Paper on Developing Northern for donations to pro-green movements promote this understanding; and (c) Australia, comes on top of $5 billion will impede funding for protecting seek the public’s view on further already set aside for infrastructure nature and the climate. This appeared possible measures.’ As part of a projects. ‘There’s only a little over a in a recent Age item about donors to ‘national conversation,’ Australians will million people north of the Tropic of environmental programs. The Abbott be asked if they want the citizenship Capricorn but they are very dynamic administration has lately launched a test tightened to include more people and it is a remarkably dynamic parliamentary committee enquiry into questions about allegiance to the part of our country’ said Prime a registry of green groups that allows country, unifying values, and the rule Minister Tony Abbott. those donating to groups such as of law. the Wilderness A new $75 million Co-operative Society and Greenpeace, along with Citizenship Loss For Graffiti? Research Centre on Developing smaller organisations, to deduct Under the federal government’s Northern Australia will be established contributions from their tax. planned legislation, dual nationals who according to the Herald Sun. Trade are convicted of certain offences Minister Andrew Robb said by 2050 According to the government, the would be automatically stripped of half of the world’s population would review is needed to ensure that tax their citizenship. These offences, live in the tropics. concessions do not support illegal according to The Age, range from activity, and to make certain that treachery, sabotage, and mutiny all Refugee Convention’s Principles environmental groups face high the way down to damaging or Lost at Sea standards of transparency. destroying Commonwealth property. The response of rich countries to the Someone who spray-painted graffiti biggest movement of people since The Australian similarly mentioned across the front of Canberra’s World War II is an epic failure. Rather that miners are calling for Parliament House – as Byron than Australia taking a lead in rescuing environmental organisations which Bay’sGareth Smith, who has both vulnerable people found at sea, recent back illegal protests to be stripped of Australian and UK citizenship, did in allegations that money has instead their tax-deductible status. They argue 2000 to protest against the Howard been handed over to people that blockades have cost the mining government – would be liable to lose smugglers, by Australian officials, are industry and taxpayers millions of his citizenship under such statutes. extraordinary. The way Australia treats dollars’ worth of lost revenue. asylum seekers is already abysmal. TheMinerals Council of Australia, in a The legislation also includes a broad As reported in The Age, when we find submission which it made to the same range of speech-related offences such someone on a leaky boat at sea, federal parliamentary enquiry as urging violence or advocating fearing for their life, we should rescue mentioned above, asserted that it terrorism. In addition, the amendments them, not tow them away, according wants groups which pay court fines, to the Citizenship Act mean that a dual to Claire Mallinson who is the national and which fund trips to observe national who engages in terrorism- director for Amnesty International. international protest activities, to be related activity automatically forfeits deprived of the tax benefits they now his Australian citizenship even without Top Secret Business enjoy. a conviction, though he can appeal the By refusing to deny that his revocation in court. government paid people smugglers to A blockade of the Hay Point coal take intercepted asylum seekers back terminal in Mackay, Queensland, This is Constitutional to Indonesia, Tony Abbott has given a during 2009 by Greenpeace Australia Senior Federal Government ministers green light to the deadly trade he Pacific cost BHP Billiton Mitsubishi are increasingly confident that a rightly despises. The explanation for Alliance about $13 million and proposed new citizenship cancellation neither confirming nor denying the Queensland taxpayers $1 million, the power to be applied to dual nationals reports to The Age is that he doesn’t MCA says. Greenpeace is a charity fighting with terrorist groups, will not want to give information to ‘our and a registered environmental run foul of the Constitution, even as enemies’ by commenting on organisation. As such, according to the Prime Minister said some of the operational matters. But this answer the MCA, it is specifically forbidden to accused would not be convicted in gives those very enemies reason to engage in unlawful and unsafe Australian courts according to The believe they may profit, courtesy of the activities. 13 22 May to 09 July 2015 Letter From Canberra

Tampon Tax And Populism According to The Age, he came under billion the budget savings negotiated Philip Coorey of the Financial fire this month after he wrote an article over preceding weeks. The petrol Review recently informed readers that in The Australian which said that backflip sidelined the Greens, who economists and business groups scientific modelling showing the link were negotiating to support the accused Joe Hockey of making between humans and climate change increase in return for allocating some populist and ad-hoc tax changes. The was inaccurate, and that the real of the billions in extra revenue that the accusation came in the wake of the agenda was a ‘new world order’ led by increase would create. Treasurer’s decision to exempt the United Nations. He was tampons and other female sanitary denounced for having said this by a More Solar, Fossil Fuels To Survive products from the GST. As for the Greens senator, Larissa Waters, and Relentless growth in rooftop solar Prime Minister, he has been reported also opposed by Rob Vertessy, who is systems will help renewable energy by the same newspaper as saying he chief executive at the Bureau of overtake fossil fuels for power himself has ‘no enthusiasm for the Meteorology. generation by 2040, the Financial idea,’ and is convinced that any Reviewhas stated. Yet ‘the survival of changes should be proposed by state Nor has criticism of the Abbott cheap old coal-fired plants will mean governments. government’s environmental policies Australia’s carbon emissions from stopped at the water’s edge. Kofi electricity won’t fall significantly for at Cyclist Push for Tax Break Annan, best known as the former least 20 years, new analyses have One tax lobby group hopes to appeal United Nations Secretary-General, found. Emissions of greenhouse to Prime Minister Tony was likewise mentioned in The Age as gases from Australia’s power sector Abbott’s passion for bike riding, having headed a panel which called will fall only nine per cent by 2030 arguing lycra-clad commuters should Australia a climate change ‘free rider.’ from 2014 levels under current policy get a tax break. A coalition of bicycle The panel’s 2015 report lumped settings, and will remain “stubbornly organisations has asked the Australia with Japan, Russia, and high” unless the closure of coal plants government’s tax white paper task Canada as appearing ‘to have is accelerated, Bloomberg New force to consider allowing workers to withdrawn from the community of Energy Finance says in a report.’ salary sacrifice the cost of bikes, nations seeking to tackle dangerous helmets and safety equipment, in the climate change.’ Hockey Buries Iron Ore Inquiry same way thousands of gas-guzzling Joe Hockey recently ended a week of cars are salary packaged each year Greens And Petrol governmental indecision, the Financial according to the Financial Review. The Australian Greens are, according Review noted, by ruling out an inquiry to the Financial Review, negotiating a to examine allegations, from Useless Tax Review deal with the federal government to Fortescue Metals Group A Federal Court judge has slammed increase the petrol excise in return for chairman Andrew Forrest, that the Federal Government for ruling out a portion of the revenue being rivals BHP Billiton and Rio Tinto are changes to the negative gearing, dedicated towards improving public combining in order to drive down the superannuation concessions and GST transport. Richard Di Natale, who on price of iron ore. as part of its tax review, saying the May 6 took over from the much more entire debate is politically infected and nationally celebrated Christine Meanwhile, Don Argus, former BHP ‘handcuffed’ from being able to Milne as the Greens’ leader in the Billiton chairman, warned the achieve any useful reform as reported Senate, also said that his party was Treasurer and the general public in The Age. prepared to pass revamped cuts to the during mid-May that Australia would pension – cuts which have been become ‘a laughing stock of the world’ Justice Richard Edmonds, who was sought by Social Security if the government intervened in the appointed to the Federal Court under Minister Scott Morrison – but only if iron ore market. He said that the Howard Government in May 2005 the government, in its turn, reversed intervention would make the nation and has previously been critical of the its recent decision to abandon what non-competitive and would send lack of political will by leaders to carry the Greens want to see: namely, a mixed signals about whether Australia out tax reform, said the Federal review into retirement incomes. was a command economy or a market Government’s review would turn out to economy. be just as useless as the former Labor Senator Di Natale said that he government’s attempts back in 2009. believed he could achieve a deal on Norway’s No To Coal petrol excise that would attain several Norway’s sovereign wealth fund, the of the Greens’ policy objectives: taxing world’s biggest, will shed its holdings CLIMATE CHANGE. fossil fuels, while making society fairer in all companies and utilities that have ENVIRONMENT. ENERGY in general, and in particular giving heavy exposure to coal in a move to Climate Change Controversy people better alternatives to current reduce climate risk. This news Claims by the Prime Minister’s chief national transportation arrangements. emerged in the form of a deal made by business adviser about climate At present the Greens wield the the nation’s parliament, which is change have been rejected by the balance of Senate power. known locally as the Storting, and it head of the Bureau of Meteorology as was reported in the Financial Review. ‘incorrect,’ ‘irrelevant,’ and ‘old red But another Financial Review report herrings.’ The adviser concerned said that the government had Foreign Coal Subsidies: $4bn And was Maurice Newman, who is the swooped upon a Labor offer to Counting chairman of the PM’s business reintroduce the twice-yearly increase Australia has received more than $4 advisory council. of petrol excise, taking to almost $11 billion from foreign governments to 14 22 May to 09 July 2015 Letter From Canberra fund coal projects since 2007. This ‘remote recreation’ for 90 per cent of Increased Rooftop Solar Power remarkable figure comes from a new the area (1.58 million hectares), has Subsidy report, discussed in The Age, that been rejected in a draft decision of the Recently the Financial highlights the extent to which wealthy committee. The WHC urged the Review announced that the rooftop countries are still financing fossil fuels. federal government to ensure, even if solar boom has come at a cost of And Australian taxpayers have the state government could or would more than $9 billion to the public, via subsidised coalmines and power not do so, that the area’s new subsidies that need to be radically plants around the world to the tune of management plan provided overhauled to ensure the expected $1.4 billion, via the Export Finance ‘recognition of [the] wilderness surge in battery storage use doesn’t and Insurance Corporation, a character of the property as one of its entrench more waste. This is the government bank that helps fund key values.’ Tasmania’s Premier, Will finding of the Grattan Institute, which Australian projects in other countries. Hodgman, led the Liberals to power in lately released a report that exposed March 2014 after 16 uninterrupted the costs of the solar revolution. By Government-owned institutions poured years of ALP rule in the state. the time subsidies finally run out, more than $US73 billion into coal households and businesses that have between 2007 and 2014, research by Wind Farm Commission Proposed failed to go solar will have spent more the National Resources Defence Liberal Democrat Senator David than $14 million subsidising those Council, Oil Change International, and Leyonhjelm seeks – according to The already using solar power. the World Wide Fund for Age – Tony Abbott’s backing for a Nature shows. The global report is an national wind farm commission. If While hitherto lavish state subsidies attempt to unravel a web of public established, this commission would have been cut back, solar PV is set to finance for coal-fired power plants, in investigate complaints about wind get a new lease of life through battery particular. This finance has been turbines. The Prime Minister, for his storage, which is becoming cheaper ‘moved through largely unknown and part, has already told Sydney and more efficient than it used to be. opaque institutions’ by governments to broadcaster Alan Jones that he wants But unless changes are made to the fund projects overseas. fewer such turbines in Australia. way in which households are charged for their use of the power grid, further Renewable Energy: Let Funding Vatican Pleads For Action On inefficiency and inequity will result, the Flow Climate Change report found. Billions of dollars in renewable energy Pope Francis has issued a call for projects are set to flow, after the humanity to tackle climate change, as The institute’s energy program Coalition and the ALP – according part of Laudato Si, his new director Tony Wood – who co-wrote to The Australian – joined forces and encyclical. The Age said that the the report – has said: ‘If we want broke the impasse over the pontiff ‘decries humanity’s increasing fairer, cheaper, cleaner electricity Renewable Energy Target, in a deal and damaging footprint on the earth, we’ve got to get on our bike and really that will cut it to 33,000GWh by 2020. which he likened to a sister and a get this whole reform process back on Industry mother.’ the rails again. Australia could have Minister Ian Macfarlane,Environment reduced emissions for much less Minister Greg Hunt, and Labor’s Clean Energy Report: Well Done money. Governments have created a environmental spokesman Mark The Clean Energy Council has lately policy mess that should never be Butler clinched the deal, which will cut released its report for 2014, which repeated.’ the target from 41,000GWh. over 60 pages gives a very good summary of the Australian situation. Batteries will turn households from As revealed in the same newspaper Call the Council direct and no doubt it consumers into more effective during mid-May, the breakthrough will send you a copy of the report, or ‘prosumers,’ a useful portmanteau came when the government dropped a else call the editor. word combining ‘consumer’ and demand for a review every two years ‘producer.’ Such users will be able to to be replaced by periodic reports on Trouble For Parrots produce as well as consume power. the progress of the RET. Previously, Laboratory tests will soon reveal, Even homes without rooftop solar will Labor and the Clean Energy Council according to The Australian, how the be able to benefit by storing power had been demanding the dropping of last wild population of the critically during the day – when prices are low – the reviews, to ensure investor endangered orange-bellied parrot and selling it back later in the evening, certainty. came to be infected with a lethal when prices are much higher. Keen for disease in the Tasmanian forest, and reliable power, households in urban Wilderness Heritage Charge the fallout inside Australia’s scientific areas are still seen as very unlikely to Rejected community could be brutal. Orange- use batteries to disconnect from the The World Heritage Committee is set bellied parrots are categorised as grid completely. to slap down an attempt by being on the brink of extinction. In the Tasmania’s Liberal state government wild, only about 50 remain, with Bigger Cuts In Emissions to ditch existing wilderness zoning in scientists cleaning their nesting boxes The Abbott government is weighing most of the island’s remote south- regularly and putting out seeds and tougher emissions reduction targets, west. According to The Age, the fruit for them on feeding tables each so The Age says, for the post-2020 state’s plan to make the Tasmanian summer. Now the population has been period than conservative members of Wilderness World Heritage Area found to be riddled with break and the cabinet had wanted to see. This ‘wilderness’ in name only, and to feather disease, thanks to a retro-virus development comes in ‘a move that replace it in practice with the tag that is always serious and often fatal. would restore Australia to the 15 22 May to 09 July 2015 Letter From Canberra international mainstream on climate but contrasts with Prime MinisterTony power station near Geelong in Victoria change policy and challenge the Prime Abbott’s attitude. in August. Minister’s reputation as a global warming denier.’ Grid Is the Future Taking the Wind Out AGL energy’s new chief In comments unlikely to build public ACCC Examining the East Coast executive, Andy Vesey, has insisted confidence in the government’s Gas Market the electricity grid has a hugely commitment to address global The Australian Competition and important future as the backbone of a warming ahead of the Paris climate Consumer Commission issues paper powerful and high-tech interconnected change summit in December, Mr on the East Coast Gas Market Inquiry supply system serving customers with Abbott said he shared concerns that is one of the early steps in assessing efficient and reliable power. In contrast wind farms were ugly, noisy and competition in the gas market. ‘The to some predictions that the power potentially harmful to health despite an issues paper is seeking the views of network is doomed to obsolescence absence of scientific evidence of any industry and stakeholders about as households disconnected and danger. Urged on by conservative competitiveness in the market,’ Mr generated their own electricity, Mr radio host Alan Jones, Mr Sims said at the Energy Networks Vesey told The Financial Abbott agreed that wind farms were Association Gas Seminar in Review’sNational Infrastructure unnecessary, revealing his preference Melbourne according to Summit that the grid would become was to have fewer of them as reported an ACCC press release. increasingly more connected, in The Age. providing better efficiency and greater Nukes Too Costly value. ‘The networks are not archaic, Victorian cattle farmer Hamish Nuclear energy may be too costly in they are not a legacy of some old Officer lives a good deal closer to wind Australia to compete with renewables, system, they are vitally, vitally turbines than most people closest to according to Ross Garnaut in The important’ the Southern Hemisphere’s largest Australian. The world is moving wind turbine. ‘You don’t need to lift decisively towards a low-carbon your voice to have a conversation economy and Australia was uniquely Ran Out of Energy nearly as much as you would in a city placed to benefit from this. However, Alinta Energy has been given up the street’ Mr Officer says. ‘For someone Australia needed to remove political fight to keep its two ageing coal-fired like the Prime Minister to stand there debate from discussion on renewable power stations in operation, as a glut and say they’re noisy - it’s a very energy and instead let economics in power supply, made worse by the blanket statement. Noisy compared to decide, Professor Garnaut said. While growth in million effort to return them what?’ demand for uranium exports to to profit. Up to 478 job losses are countries such as China and India expected from the shutdown of the would increase in the future, his Northern and Playford B power plants, AGRICULTURE. CATTLE. WATER doubts about the economic merits of as well as the Leigh Creek coal mine Irrigation System Being Dismantled nuclear energy came during the South that supplies them, which will close by From the Riverina-based Australian royal commission into March 2018 and possibly earlier. magazine Farm Talk, in its May 2015 nuclear energy and ahead of debate at number, comes a detailed article Labor’s party conference concerning The job cuts will more than halve TPG by Neil Eagle – a citrus and beef their position on nuclear energy. Capital-owned Alinta’s total workforce producer based in the town of and prompted South Australia Liberal Barham, just north of the NSW / Resist Energy Limitations Opposition leader Steven Marshall to Victoria border – lamenting the Shell Australia country point to a ‘jobs crisis’ in the state ‘progressive dismantling of our chairman Andrew Smith has warned in The Age, which already face the nation’s major irrigation system.’ The against ‘glib, simplistic’ statements on closure of the automotive industry in evidence, he says, is stark. ‘“Water”, coal, declaring that no nation has 2017 at the latest, whenHolden is the resource of a region, has been lost prospered by demonising affordable scheduled to stop vehicle to: other areas/states; the government, energy. Amid raging debate about the manufacturing. both state and federal, and the global divestment push, Mr Smith says Commonwealth Environmental Water Austrlaia should resist pressure from a What is interesting about the action Holder (from buy-backs); water ‘vocal minority’ to limit the energy taken by Alinta’s owners is that it speculators, who may or may not own choices available. Writing exclusively represents a harbinger of things to land.’ A document from 2004, the for The Australian, he says that the come as demand for electricity falls House of Representatives’ Interim concept of sustainability should apply and supply from renewable sources Report into the Living Murray, ‘stated equally to the economy and to the ramps up. This is not to say that all “that the science was not adequate to environment. coal-fired power stations are capital justify any water being removed from hungry and unprofitable. Plenty still productive use”.’ Hunt and Abbott Division make money and some will absorb the Environment Minister Greg Hunt says demand left by those that leave the Harvard’s John Briscoe, according to that Australia’s electricity sector is market. Mr Eagle, maintained that ‘Australia likely to achieve zero carbon was considered the world leader in emissions by the end of the century. Alinta’s move follows Alcoa’s Arid Zone water management prior to According to The Age, this aligns with announcement, before the Renewable the 2007 Water Act and … he feels the ambition of the Group of Energy Target was revised last month, Australia has now lost its way and will Seven biggest developed economies, to close its Anglsea coal mine and not reclaim that status unless the Act 16 22 May to 09 July 2015 Letter From Canberra is redrafted to restore the balance Santos, and the Australasian Railway that domestic violence was a ‘hidden between socio-economic and Association are existing users of the disaster’ in their towns. The environmental needs.’ Also, ‘The spectrum. They have warned that its Australian revealed in May that a supposed compensation being sale could affect safety at remote group of 21 women’s organisations, proposed by government via grants for mining sites and railways. including the Country Women’s development of alternative enterprises Association and the National Rural will not solve the problems of these ABCDEFQ Women’s Coalition, would like to see a communities [near the Murray-Darling The ABC deliberately arranged, funding model for domestic violence basin]. … This misuse of a valuable according to The Australian, for a services. What they want is something water resource will inevitably have to ‘convicted criminal and terrorist similar to the National Disability change and the key to prevention of sympathiser’ to confront federal MPs Insurance Scheme, which works on a further damage is for that change to on one of its top-rating programs, case-by-case basis. take place quickly.’ raising security fears and unleashing a fierce political backlash. The Drug Gangs Off The Scale High and Dry Australian Federal Police was on The Herald Sun announced that The environmental plan to restore the stand-by, as of June 24, to brief the Australian gangsters have created one flow of our rivers has a harsh high-powered ABC board after the of the world’s biggest drug cartels and downside, according to Sue federal government urged an overhaul are trafficking tonnes of cocaine and Neales in The Australian. The Murray- of security at Q&A following its ecstasy around the world. They are Darling Basin Plan was designed in decision to allow Zaky Mallah, a man using our ports, and even the nation’s the name of the environment where convicted of threatening to kill ASIO authorities in the crime-fighting sector we were told of the restoration of river officers, to join the studio audience admit that totally stopping such usage health and saving of the environment. without any security checks. is unlikely to happen. An investigation Rhonda Creighton says ‘I consider by the newspaper itself found that the myself a greenie but this is Mr Mallah’s appearance on Q&A was Balkan-based gangs – led by some of environmental vandalism; these deliberately manufactured by the ABC Australia’s most wanted men – had bureaucrats are sending all this water to ambush guests, including established ‘entrenched infiltration’ at down the river at the wrong time and politicians, government frontbencher almost every level of Australian in the wrong amounts and turning this Steven Ciobo and Labor’s Joel society. One law enforcer put it this beautiful river into a silted drain.’ Fitzgibbon, and all sides of politics way: ‘Balkan organised crime is now condemned the ABC for its grave error the biggest threat to Australia. [Being] Such attitudes are becoming more of judgement after Mr Mallah blamed entrenched and disciplined and common across the rural community, the government for Australians who influential in local communities ... has although they have not been part of chose to join the Islamic State. ‘The made it a serious challenge to crack.’ the spotlight with several years of Liberals have just justified to many more rain across southern and eastern Australian Muslims in the community In the meantime, The Age announced Australia. But as predictions of an El tonight to leave and go to Syria and that under tough new visa-cancellation Nino-induced dry spring and summer join ISIL because of ministers like laws, dozens of criminals within grew stronger, and the need for him,’ Mr Mallah said on the program in Victoria would be deported. These Australia to expand its agricultural and response to comments by Mr Ciobo. figures included suspected Mafia food production in order to earn more WATCH THIS SPACE figures, outlaw bikies, and sex export dollars as the mining industry offenders. It is understood that as declines. JUSTICE many as 110 bikies and Mafia kingpins Terror On its Way could be deported because of MEDIA Australia will consider raising the terror suspicions that they have been Spectrum Sale To Telcos alert level to ‘extreme’ as the Federal involved in organised crime or The federal government is pushing Government prepares to introduce a because they are serving a Victorian ahead with the sale of valuable new national terror alert system to prison sentence. electronic airspace in rural and help prepare the nation for the threat regional Australia, says the Financial of a terrorist attack on home soil. Under changes to the Migration Act Review, despite safety fears raised by According to The Age, after calling a that came into law in December 2014, mining and rail operators. Spectrum is meeting of the Cabinet’s national Immigration and Border Protection used by all broadcast technologies, security committee in Melbourne in the Minister Peter Dutton has the power to and the government is set to reap wake of attacks across the world, the cancel the visas of suspected or hundreds of millions of dollars when it Prime Minister said Australia would convicted criminals. It is believed that auctions off blocks in the 1800MHz consider the advice of intelligence a list made by Victoria Police after band to telecommunications agencies over the nation’s terror alert high-level discussions contains the companies. level, which was lifted to ‘high’ in names of several dozen criminals who September. face deportation under the new law, The move promises to bring mobile regardless of whether they have been broadband and phone services to rural Sunday Too Far Away: Rural charged with a criminal offence. and regional communities if Telstra, Violence A ‘Hidden Disaster’ Singtel-Optus and Vodafone Rural women have urged the federal Libs And Terror Threat In Donations Hutchison Australia bid for the government to introduced specialised Drive spectrum and ramp up sales of their family violence ‘teams’ in regional An email to Liberal Party members services in the bush. But Rio Tinto, areas of Australia. They have declared was the subject of a front-page report 17 22 May to 09 July 2015 Letter From Canberra in The Age on June 25. This email global drug trafficking networks. Italian refugees, has been ‘essentially calls for donations ‘to support a national Bruno Hajko was allowed to punitive’ and shows the government SAFER Australia,’ and has been enter, and stay in, Australia on a 457 acting ultra vires. Taken individually, condemned by the PM’s own office, visa. This was notwithstanding his she maintained, the new laws might which rushed to distance Tony close ties to an eastern European be justified on the grounds of Abbott from the fundraising message. syndicate that has been under necessity and proportionality; but investigation by both the Australian ‘viewed together they are more than The email features a large picture of Crime Commission and the Australian the sum of their parts,’ and amounted Mr Abbott and the quote: ‘Terrorists Federal Police. to an over-reaching of executive who are dual-nationals will have their power. citizenships stripped.’ Authorised by Threat To PM? Victorian Liberal state director Simon Counter-terrorism police, according The Terror Generation Frost, the message says that with a to The Age, suspected that a young According to The Age, the country’s federal election due next year, Melbourne man who last September first national security chief has warned donations are ‘critical to allow the was shot dead in a police station car that the new and unprecedented threat Abbott government to continue on with park had threatened Tony of terrorism in Australia could be with the job of keeping Australia safe.’ Abbott’s physical safety. The man in us for decades and possibly for a question was Numan Haider, 18 at the generation to come. In a stark Bad News For Chrysler’s Ex-Boss time he was killed. assessment of the growing security The Age announced that Fiat Chrysler risk, National Counter Terrorism Co- Australia is seeking to freeze the Gina’s Day In Court ordinator Greg Moriarty revealed that assets of former Australian managing The Australian devoted much of its he had been stunned by the classified director Clyde Campbell, and his May 29 front page to the news intelligence briefings to the extent of wife Simone Campbell. These assets that Gina Rinehart – after three and a the threats now facing the nation. include the couple’s family home in half years, not to mention countless Brighton as well as holiday homes in court appearances – was told by the Muslim Heroes to Expose Queensland and Victoria. Mr Campbell NSW Supreme Court that she would Attorney-General George Brandis has has been accused of misappropriating lose control of the $4 billion-plus Hope vowed to ‘expose ISIL for what it is in and misusing more than $300 million Margaret Hancock trust, which was set the minds of the young’ by using in company money, hoping thereby to up by her father for the benefit of her Muslim role models to tell a ‘journey of fund an extravagant lifestyle for his children. heroes’. Senator Brandis made the family and business associates. He is vow as he wrapped up the said, in addition, to have supplied free Her eldest child, Bianca Rinehart, who government’s two-day Sydney summit cars illicitly for such A-listers as Shane with brother John Hancock has battled to counter violent extremism, where he Warne, Elizabeth Hurley, and Gary her and two half-sisters for control of also flagged yet another round of Ablett Junior. the trust and its 23.5 per cent stake in counter-terrorism legislation in the the family’s flagship Hancock works as reported in The Age. Malaysians In Property Scam Prospecting, will now replace Mrs A front-page story which The Age ran Rinehart as trustee. The latter, though, ‘We’re going to talk about both the on June 23 said that ‘the first hand is still Australia’s wealthiest individual. strength and resilience of our own evidence has emerged of Australian societies in practical ways through property prices being inflated, as real Human Rights And Democracy spokespeople who are role models for estate is used as a safe haven or Gillian Triggs, the Australian Human the young, particularly young Muslim money-laundering hub by corrupt Rights Commission president who kids, and we are also going to expose foreign nationals. The alleged criminal made front-page news last year, has the poverty and despair that ISIL conduct is linked to multi-million-dollar warned that national democracy is represents’ property transactions which drove a under threat, as the rift between her group of small Australian tradesmen to organisation and the federal Up Front Bill the wall and which implicates top government widens. She reckons the Federal Labor leader Bill Shorten will Malaysian officials and businessmen. government’s move to expand appear before the royal commission discretionary ministerial powers that into union corruption as a scandal Fairfax Media can reveal that a group may be exercised with limited or no deepens around the conduct of his of super-rich Malaysian officials, judicial scrutiny constitutes – and The former union. Mr Shorten, a former spending their own government’s Age quoted her on this – ‘a growing Victorian and national Australian investment funds, have bid up the threat to democracy.’ In addition, she Workers Union secretary, announced price of a Melbourne apartment block has blamed an increasing array of he will testify before the inquiry in from $17.8 million to $22.5 million. The laws that diminish liberties and expand either late August or early September extra $4.75 million was then laundered executive power on the failure of according to The Age.. Lots in next out of Australia and allegedly paid as successive parliaments to protect issue. bribes in Malaysia.’ democratic rights. One of Australia’s biggest builders Have Visa, Will Racketeer Speaking after Immigration paid Mr Shorten’s union nearly Organised crime syndicates have Minister Peter Dutton denounced her, $300,000 after he struck a workplace been accused by The Age of Professor Triggs also suggested that deal that cut conditions and saved the exploiting Australia’s 457 worker visa the indefinite detention of thousands of company as much as $100 million on scheme to recruit members for their asylum-seekers, most of whom are the EastLink project. A media 18 22 May to 09 July 2015 Letter From Canberra investigation has uncovered that large metaphorically – how hospitals are to pass the upper house in their payments from joint-venture built and the manner in which patients current form. builderThiess John Holland to are treated. Equipment costs for the Australian Workers Union when Mr accommodating the obese are much Hockey Versus AMA Shorten, now Opposition Leader, ran greater than those for accommodating Joe Hockey has lashed out at the the union. the non-obese. Whereas a standard head of the Australian Medical hospital bed costs $3,300, a hospital Association, whom he accused – bed for an obese patient costs $8,500. so The Australian has told its readers BROADBAND. IT – of using ‘extreme’ language. This Metadata Secretly Accessed Likewise: for an emergency trolley, comes as a row has developed Seventy-Seven agencies used $5,000 (standard) versus $12,800 between doctors and the Abbott personal phone and online records of (obese); for a hospital chair, $400 government. AMA president Associate Australians without a warrant more (standard) versus $7,000 (obese); for Professor Brian Owler called the than 330,000 times in the past year a shower commode chair, $400 decision by the government, to help according to the Herald Sun. (standard) versus $1,700 (obese); and the foundation of a medical school at Metadata, which includes records of for a mattress, $260 (standard) versus Curtin University in Western Australia, who rang who, from where and when, $565 (obese). Total: for a standard- as a ‘calamitous captain’s call’ by the was accessed by organisations such size patient, $9,360; for an obese Prime Minister, and referred to the asCorrections Victoria, RSPCA patient, a whopping $30,565. So even latter as ‘Captain Chaos.’ The Victoria, the Transport Accident if the obese patient isn’t getting Treasurer wasn’t remotely bashful in Commission and the Victorian enough exercise, his wallet soon will responding: ‘There is a shortage of Workcover Authority in criminal be. doctors ... I think Brian Owler’s investigations. language was extreme and certainly Drug Prices and PBS Charges not fitting for someone representing a Ditch the Landline Customers will pay up to 50 per cent great profession. Quite frankly, I think The number of people with a mobile less for many common medicines, his comments were out of order.’ but no fixed line home phone has under changes announced to the climbed to 5.2 million, more than Pharmaceutical Benefits Scheme But the Associate Professor laughed double the 2.2 million four years ago. recently announced by Health off Mr Hockey’s attack, saying that The Australians Get Mobile report also Minister Sussan Ley and reported doctors were still dealing with the estimates one in five adults are using in The Age. The changes are also consequences of last year’s federal only mobile devices, such as phones, expected to save the federal budget budget. He also maintained that tablets or mobile broadband about $3 billion over five years, by the Australian Medical Students’ connection for the internet. And one in encouraging consumers to choose Association, the Committee of eight are exclusively mobile - with no cheaper, chemically identical generic Presidents of Medical Colleges, the fixed-line telephone nor fixed internet versions of off-patent drugs and less AMA itself, and Health Workforce in their homes. expensive similar drugs. Australia agreed with him in believing that expanding the number of existing According to the Herald Ms Ley will introduce legislation to medical schools was a bad idea. They Sun, Australian Communications and enact the changes, after inking five- would all rather put the focus upon Media Authority research and analysis year deals with the Pharmacy more training for those graduates who section manager Hugh Clapin said Guild and the Generic Medicines have already emerged. improved network coverage, the Industry Association. Negotiations with smartphone explosion, better wi-fi the patented medicine industry, Call The Doctor: Medibank Is Sick access and cost considerations were represented by Medicines Australia, The Herald Sun has stated that shares driving the trend. were still being continued at the time in health insurance giant Medibank are the relevant Age issue went to press. threatening to sink below their original Future-Proof Network price for the first time since the Communications Minister Malcolm Subsidised Medicine Expenses company’s high-profile public float. Turnbull says he’s relaxed Senators have threatened to veto $7 about Telstra pulling out of national billion in savings in the Budget, as the Medibank Wants More Answers broadband network construction federal government was reported According to The Australian, Medibank tenders and that it’s impossible to by The Australian to have conceded Private – which is the country’s largest future-proof the NBN. Speaking at defeat on last year’s ambitious $1.3 single health insurer – wants to know the Financial Review’s National billion plan to charge patients more for how surgery can cost more than 70 Infrastructure Summit, Mr subsidised medicines. An exclusive per cent more in one hospital than it Turnbull said he had a better survey of cross-bench, ALP, and does in another. The health fund is understanding of the project and its Greens senators revealed that three calling for an industry-wide program to risks compared with his predecessors. new Budget measures were set to fail, improve quality and efficiency controls, despite the government’s attempt to after it analysed admissions for 2014 retreat from some of the harsh policies and thus discovered that they showed WELFARE which it advocated in 2014. The $3.5 significant variations in hospital Obesity: Weighing The Costs billion child-care package, the removal provider charges; in prosthesis The Sunday Age announced on May of ‘double-dipping’ for paid parental charges; and in medical provider 31 that Australia’s obesity epidemic is leave, and the one-month wait for the charges. These disparities manifested reshaping – literally rather than just dole for young people would be unable themselves even after unpredictable 19 22 May to 09 July 2015 Letter From Canberra complications had been factored in, executives have $200,000-plus airports have hitherto prevented it and they were based on averaging the packages, and a further 18 senior staff here. top five per cent and bottom five per earn up to $130,787. cent of bills. Satellites And Aviation Mirabel Replenished Recently the Australian Business Surge In Measles According to the Herald Sun, funding Aviation Administration urged Federal Health Department data show, cuts for a service that supported Airservices Australia to help offset the a recent Age report reveals, that 340 carers of children in families affected costs to operators of having to measles cases were recorded in by alcohol and drug abuse will be introduce new satellite-based Australia during 2014. This represents reversed by Social Services technology by reducing customer the highest number since 1998. The Minister Scott Morrison. The Mirabel charges in its next long-term pricing rate of measles cases on a per-capita Foundation, which was stripped of its agreement. An article in The basis also peaked in 2014, with about funding under previous minister Kevin Australian revealed that ABAA chief 15 cases for every million people in Andrews in December will gain a executive David Bell said, in a Australia. These unfortunate $456,000 Commonwealth grant across submission to the air traffic controller, developments are being blamed partly the next two years. that ‘very considerable costs’ had on travel – scores of people have been incurred by business aviation brought the disease into the country – owners required to install satellite- and partly on the rise in the proportion TRANSPORT. INFRASTRUCTURE based Automatic Dependent of unvaccinated to vaccinated children Virgin Says Flight War ‘Not Surveillance-Broadcast (ADS-B) among those who already live here. Sustainable’ equipment in business jets. John Borghetti, chef executive Cannabis: Split Among Doctors of Virgin Australia, has issued a Melbourne Airport Welcomes Air The Sunday Age announced on June warning in The Age that the airline China’s Direct Beijing Service 14 that Australia’s medical community would be forced to reconsider flying on Chris Woodruff, CEO at Melbourne is divided within itself on the use of marginal routes in the country’s north, Airport, announced in early June his medical marijuana to treat conditions were the federal government to approval of the inaugural direct Air such as childhood epilepsy. implement a controversial plan which China Beijing-Melbourne service. Contention exists among the nation’s would allow foreign carriers to operate ‘China continues to be our most doctors as to the burden of proof that domestic services in the Top End. important and number one long-haul should be required before cannabis- With Virgin staring at a loss this market, growing more than 20 per cent based pharmaceuticals are considered financial year before it is expected to in the last quarter alone. I think Air effective and safe. return to profitability in 2015-16 – and China for its continued support in with the air travel industry around the improving connections to this Very much in the pro-legalisation world being one of the most price- important market.’ camp is David Penington, former conscious, customer-empowered professor of medicine and Vice- sectors there is – Mr Borghetti also Rail Track Sale Will ‘Lift Costs’ Chancellor (1988-95) at the University said that he expected demand from The federal government has been of Melbourne, who said: ‘There is leisure travellers to be ‘very soft’ for warned that the privatisation of the strong anecdotal and epidemiological the next six months, thanks to the Australian Rail Track Corporation evidence that it [medical marijuana] weak state of the Australian economy. could increase the cost of access for does work.’ The same edition of the users and could run counter to a push same newspaper carried a long report, The government’s plans have also to shift freight from roads to trains. Rail by science journalist Andrew been castigated by the ALP’s operator Pacific National, The Masterson, which dramatically began: spokesman on transport, the Sydney Australian reports, has also warned ‘Think the dope trade is a cottage political veteran Anthony Albanese, that the NSW government’s multi- industry run by people in rainbow T- who told The Age that such plans billion-dollar infrastructure investment shirts and dreadlocks? You’re busted: would be ‘unilateral economic program is at odds with the aim of the medical marijuana industry is disarmament.’ In 2013 Mr Albanese shifting freight from roads back to rail, expansionist, aggressive and defiantly was a serious candidate for the Labor because it would make road transport capitalist.’ federal leadership, and could well faster and, to stevedores, even more seek the job again if Bill Shorten fails appealing than it currently is. Human Rights Costs to deliver the goods in 2016. Australia’s human rights watchdog Coalition, ALP, And Shipping presides over a mini-empire in which Business will have greater choice dozens of fat cats earn $100,000-plus Smith Versus Watchdog among shipping companies, under a salaries. The Australian Human Rights The aviation watchdog CASA has ‘substantial’ deregulation of shipping in Commission employs more than 120 buckled to more than a decade of coastal waters which was unveiled on people ad paid out a total of almost pressure from various aviation May 20 by the federal government and $16 million in wages and other operatives – including tycoon Dick was noted in The Australian. The benefits, its 2013-14 annual report, Smith – and has agreed, according move will wind back the ALP- published in March, says. Commission to The Australian, to allow airport generated laws that forced shipping president Professor Gillian Triggs is on ground staff, including firemen, to companies to pay local wages to a $408,000 annual package, and her provide air-traffic information. This set- foreign seafarers carrying domestic six fellow commissioners earn about up has long been accepted in freight between Australian ports. By $331,000 each. Three other America, but federal laws controlling contrast, the new laws will apply only 20 22 May to 09 July 2015 Letter From Canberra to ships that spend most of their time concern on the part of classroom own undergraduate fees, while in Australian waters. teachers that some students are opposing proposed cuts to course skipping breakfast, leaving them funding. Don’t Build More Freeways unable to focus properly upon lessons. A worldwide trend away from driving Gonski And Public School Means- cars should make investors and Two-thirds of classroom teachers say Testing governments more cautious about that a handful of their students According to The Age, an architect of building big new motorways, saysJohn habitually come to school hungry, with the David Gonski school reforms has Daley, chief executive of the Grattan about three kids in every classroom slammed a proposal, contained in a Institute. Mr Daley told the Financial estimated to have skipped breakfast leaked government discussion paper, Review that falling car use was one of on any typical school day. The for the federal government to abdicate the most important trends in problem is worse in public schools and its current practice of funding public infrastructure and it should be more likely to happen in rural Australia schools. The complaint says that any discussed more than it was by than in urban Australia. Maria such abdication would be ‘completely decision makers. ‘We should be very Packard, from the Dieticians’ foreign’ to the equity principles careful about the assumption that road Association of Australia, described the underpinning the Gonski model. usage is going to keep rising in the results as disturbing. future at the same rate that it has in A total of 319 pages in length, the past.’ The most recent Bureau of Muslim Schools: Hardliners Under the Gonski Report contained 26 Transport Infrastructure and Regional Scrutiny findings. The Age says that in general, Economics data suggested passenger The Australian reports that the largest ‘The report observed a decline in the kilometres travelled was falling or provider of Muslim education in the performance of Australian schools, a stable, he said. This was in line with country will be subjected to a growing gap between the highest and global trends, which suggested a nationwide audit of its schools. This lowest achieving students, an significant change was happening in announcement comes as the federal unnecessarily complex funding model, all developed countries. government swoops on the Australian inadequate data and disadvantage Federation of Islamic based on socio-economic status.’ Australia must adapt radical new user Councils following a series of Recommendations in the report pays systems for roads and other complaints. included ‘a schooling resource transport, including technology such standard with extra loadings for as dynamic pricing and even satellite disadvantaged students including tracking, or face mounting congestion Good News For Maths-Haters, Bad those with a disability, a fairer funding that will damage productivity and living News For Pyne model, strengthened governance and standards. But the proposal for Education Minister Christopher accountability.’ satellite tracking got a cool reception Pyne has failed in his May bid to make from deputy Prime Minister and a mathematics or science subject On June 24, The Australian quoted Bill Infrastructure Minister Warren Truss, compulsory in the last year of Shorten as having softened his stand who said it ‘wouldn’t pass the pub Australians’ high school tuition. on whether a future Labor government test.’ Federal Assistant Infrastructure According to the Financial Review, would reinstate $80 billion in school Minister Jamie Briggs told any hopes Mr Pyne had of getting this and hospital funding while also the Financial Review’s National scheme accepted were dashed by the preparing the ground to trim future Infrastructure Summit in Sydney that rebuffs he received from Labor outlays on iconic education reforms. Australia was lagging behind the rest governments in Queensland, Victoria, The Opposition Leader left room to of the world when it came to cost and South Australia. scale back the ALP’s commitments in recovery for road infrastructure. the two vital policy areas as he warned Campus Fee Deregulation Opposed his colleagues to be ready for an Privatise Us Deregulating university fees is not an election within weeks, focusing Roads and railways need to ‘get off essential process for Australia to have attention on the budgetary policies of the drip’ of the public purse and find a sustainable and high-quality both major parties. alternative sources of funding to university sector. That’s the verdict, improve Australia’s transport mentioned in The Age, which was infrastructure, says the chair of lately delivered by Barney Glover, who Nobel Winner To Lead ANU Infrastructure Australia, Mark is the new chairman of Universities One of Australia’s most renowned Birrell in The Age. Australia. Professor Glover is the vice- research scientists, Brian Schmidt – a chancellor of one of Australia’s newer joint winner of the Nobel Prize for campuses – the University of Western physics in 2011 – will be the next vice- EDUCATION Sydney – and he said that the chancellor of the Australian National Too Hungry To Learn? university funding debate must focus University, the institution where he has In a news announcement which on the ‘compelling case’ for increased worked as a star researcher for the conjures up thoughts of Depression- government investment: not just past two decades. Current ANU era American novels like The Grapes requiring students to pay more for a chancellor, ex-Foreign-Minister Gareth of Wrath, a recent Herald Sun article degree. Universities Australia itself Evans, said that Professor Schmidt stated that three children per class in represents the country’s 39 had been chosen from a ‘stellar field’ every Aussie school arrive hungry. universities, and it has strongly to take over from Ian Young, who will The poll was carried out by Foodbank supported the Abbott government’s step down from the vice-chancellor’s Australia, and it reveals increasing push to allow universities to set their role at the end of 2015. 21 22 May to 09 July 2015 Letter From Canberra

FOREIGN AFFAIRS In a similar spirit, Peter are in secret negotiations with Gay Your Life May Be Jennings, Australian Strategic Policy Canberra authorities – so says a front- The US Supreme Court has declared Institute executive director, told The page report from The Australian – to that same-sex couples have a right to Australian that this country’s soldiers flee the war zone and come back to amrry anywhere in the United States. and other coalition military advisers their homeland. But the talks stalled in Gay and lesbian couples can already should accompany Iraqi troops into mid-May, amid concerns from the marry in 36 states and the District of battle against Islamic State militants to fighters themselves over what Columbia. The court’s 5-4 ruling encourage them to stand and fight. punishment they would face in means the remaining 14 states, in the Such a strategy, he said, would Australia, and also amid the post- south and midwest, will have to stop change the role of Australian troops in Lindt-Café fear by the government that enforcing their bans on same-sex Iraq from ‘advise and assist’ to ‘advise, they might pose a terror threat if back marriage according to The Age. The assist, and accompany’ as they did on native soil. outcome is the culmination of two effectively in Afghanistan. Mr decades of Supreme Court litigation Jennings, who heads the over marriage and gay rights. government’s Defence White Paper Chinese Investments President Barack Obama, a big advisory team, acknowledged that the The Financial Review reported in late proponent of gay marriage, tweeted two situations differed from one May that Chinese-linked companies his delight at the ruling. He was joined another, and that an anti-Islamic-State have applied to Australia’s Foreign by presidential hopeful Hillary Clinton, action would be much the more Investment Review Board in the hope who called it a ‘historic victory.’ dangerous of the two. that they will be given permission for an investment that involves But on May 29, Age columnist John the Fortescue Group. Andrew Jakarta Probes Garnaut took a different tack. ‘If you Forrest was also described by the The Indonesian Government says it is believe Julie Bishop you’d think same newspaper as having gone to shocked by allegations that Australian terrorism is “the most significant threat ground amid speculation that Chinese officials paid people smugglers to turn to the global rules-based order to interests are lining up at the Board; Mr back asylum seekers at sea and says emerge in the past 70 years.” And in Forrest is a one-third Fortescue owner it will investigate what could be case you thought she was talking himself. ‘bribery’ or ‘even people smuggling’. loosely, or off-the-cuff, the Foreign In The Age, Foreign Ministry Minister went out of her way to assure Spokesman Arrmanatha Nasir said the her Sydney Institute audience: Charges Of Aussie Corruption In boat pushback and bribery claims “Included in my considerations is the Nauru were not yet officially confirmed and rise of communism and the Cold War.” The Age announced in early June that that police in Kupang were still Bishop’s giddy belief in the power of federal police officers were preparing investigating. terrorism – ranking it higher than Cold to lay criminal charges over War flirtations with nuclear allegations that a number of high- Armageddon – is consistent with the ranking Nauru politicians accepted Fighting Against Terror implied priorities of Prime Minister bribes from an Australian company. Tony Abbott said in late May, Tony Abbott, who has lifted the Islamic Nauru’s president since 2013 has according to the Financial Review, that State’s “death cult” to the very top of been Baron Waqa. a defeat of Iraqi forces which recently his talking points.’ For Mr Garnaut took place in the city of Ramadi entails himself, by contrast, ‘Terrorists will the need for extra efforts on Australia’s come and go, but China [is] here to A Passage To India With Trade part to fight against the Islamic State. stay.’ Minister The Prime Minister maintained that Trade and Investment Minister Andrew these would have to include making Home Sweet Home, I’m A Terrorist Robb returned to India during late domestic counter-terrorism At least three Australians suspected of April, after his third visit to that country arrangements as tough as possible. fighting with terrorist groups in Syria in fewer than eight months. According to The Australian’s coverage, he hoped to maintain pressure on the ambitious goal of securing a free trade agreement with the Indian government before 2015 is over. ‘It won’t be easy, but it certainly remains an achievable goal,’ Mr Robb said.

Bernie’s Left Hook To Hillary Until very lately, those political commentators cognisant of Vermont Senator Bernie Sanders in the first place – and there weren’t all that many of them – usually dismissed him as a left-wing provincial idealist incapable (03) 9654 1300 of acquiring a serious national [email protected] reputation, let alone of frightening the

Clinton-forged establishment within 22 22 May to 09 July 2015 Letter From Canberra the Democratic Party. As Barack the Exporter Supply Chain Assurance to all land reclamation activities in the Obama’s term of office approaches its System (ESCAS), which is the South China Sea disputed region. close (a 1947 amendment to the US regulatory framework set up by Julia Constitution forbids any president to Gillard’s government four years ago to serve more than two terms), that’s no ensure that beasts exported from Shipbuilding At Risk longer true. The Age noted on June 10 Australia were spared needless Shipbuilder BAE systems told workers that in the contest for the Democrats’ suffering. The framework came into at a mass meeting that it would not presidential nomination, Mr Sanders being after public outrage over the live tender for the construction of 21 new surprised everybody by cattle trade to Indonesia. ‘That Pacific patrol boats, a $600-million slashing Hillary Clinton’s hitherto Australian cattle could be subjected to project the Federal Government hoped formidable opinion poll lead, coming such abuse in an approved abattoir,’ it would be a lifeline for the struggling within eight percentage points of her Ms White stated, ‘presents further industry. The announcement raises approval ratings in the key primary evidence that this system is fatally serious doubts about the future of the state of Wisconsin. At first his low- flawed.’ Williamstown shipyard. BAE, who budget bid was called quixotic when employs about 1100 workers, laid off he launched it in April. Then, he said DEFENCE about 150 employees and that his ‘key concerns were growing Bolt On Anzac Day And National subcontractors earlier this year and inequality, campaign finance reform, Warfare foreshadowed 80 further redundancies and climate change.’ His ambition Discussing the Gallipoli centenary and last month. BAE said in The Age the seems much less quixotic right now. in particular the commemorations on defence contract would not be April 25 itself, Herald awarded until 2017, meaning work Ex-PM Goes To Jail Sun columnist Andrew Bolt observed could not start until 2018. ‘The Being a former head of Israel’s two days later: ‘Academics and Australian naval shipbuilding industry government won’t save you if you’re historians sneered but they couldn’t needs the government to accelerate found guilty of fraud. The 69-year- stop Australians turning out on Anzac future naval shipbuilding projects ... old Ehud Olmert has now learnt this Day in massive numbers ... Anzac Day with a plan that supports continuous the hard way. An Israeli court recently was important to them. It was a rare production.’ sentenced him to eight months’ symbol of what united us – not just to imprisonment for having taken illegal each other but to our past and our payments from an American best traditions.’ Cull Your Numbers businessman. The Herald Sun noted As many as 1000 Defence jobs, that Olmert was convicted of actually Destroyers Over Budget including those of senior managers accepting envelopes filled with cash The Air Warfare Destroyer program and uniformed officers, will go as part while he was Trade Minister. He held will run about $2 billion over budget, of a major restructuring of the Defence this job before his 2006-09 term as and will be nearly three years late. Department. The government will also Prime Minister. This is the pessimistic finding, noted scrap two major agencies and in The Australian, of a forensic audit disperse their responsibilities and staff Caught On Camera: Aussie Animals recently released. The total cost to through the department, Defence In Israeli Abattoir build the three missile destroyers will Minister Kevin Andrews announced in Australian cattle and sheep have been exceed $9 billion, meaning that each The Australian. He said the filmed being brutally slaughtered in an ship will cost approximately $3 billion. government was adopting 75 of 76 Australian-approved abattoir in Israel. Comparable ships constructed by recommendations made in an The hidden camera footage, some of Navantia in Spain cost a lot less: exhaustive review of Defence carried which was reproduced in The Age’s about $1 billion. If Australia had out by a team led by former Rio Tinto report on the matter, was obtained in bought the ships ready-made from the Australia head David Peever. an investigation by animal rights group Spaniards, it could have had nine of Animals Australia. It shows cattle them for the price of three, or saved Unmanned Drones Limited having their tails deliberately crushed, $6 billion. Australia’s new giant unmanned attempting to regain their feet after aircraft may not be able to track having their throats cut, and being Testing the China Waters terrorist movements in neighbouring hoisted upside-down while Greg Sheridan reported in The countries due to a budget shortfall unconscious. Australian that the Abbott government which could rob the drones of this is seriously and actively considering special feature. According to The Age, The group’s chief investigator, Lyn conducting its own ‘Freedom Of Australia plans to spend about $2.5 White, said that the remote access to Information’ exercises near artificial billion for up to seven unmanned CCTV vision was necessary because islands built by China in disputed Triton maritime drones in a move the presence of CCTV cameras at the territory in the South China Sea. Likely which will transform Australia’s ability abattoir itself, at Deir Al Asad in options being considered appear to to patrol its vast maritime approaches. Israel’s north, had not deterred include the use of a P-3 maritime workers from mistreating the animals. reconnaissance aircraft. A similar It All Counts Two Australian exporters – Livestock aspect of China’s global influence Australia will begin to count to count Shipping Services and Otway became evident in a recent appeal by the cost of its military and police Exports – ship animals to Israel. Defence Minister Kevin deployments in humanitarian disasters Andrews, whom the Financial and UN peacekeeping operations as Ms White maintained that the Review reported as having urged that part of its overseas aid spend, Foreign investigation highlighted the failure of a halt be called by the Chinese regime Minister Julie Bishop says. The new 23 22 May to 09 July 2015 Letter From Canberra reporting system will be modeled on FFA and FIFA: Not Such A Beautiful of Australian football funds by Warner, the United States’ ‘green book’, which Game this matter having been referred to the tallies all forms of US assistance given Suddenly it seems like small beer, The Australian Federal Police by South to other countries, including economic Age observed. The ‘small beer’ in Australia’s independent Senator Nick aid and ‘military assistance’ according question would be pretty intoxicating Xenophon. to The Age. beer to most of us. To wit: the $500,000 of taxpayers’ money which Soldiers’ Remains To Come Home soccer’s Football Federation AFP Hunts For Missing Payment The remains of 25 Australian soldiers Australia deposited in a Caribbean Billionaire soccer and media killed in the disastrous Vietnam War bank account in 2010, amid its failed boss Frank Lowy released in early between 1962 and 1966 will be campaign to secure the 2022 World June confidential documents – exhumed and returned to Australia, Cup. That money was supposed to be including a $US462,200 cheque from should their families choose, under an a donation to help build a football Australia allegedly embezzled by a offer which was recently made by the stadium in Trinidad and Tobago. FIFA chief – as it seemed likely that federal government. Of the 60,000 Instead, it was allegedly pocketed the FBI would investigate payments Australians of fighting age, 521 did not by Jack Warner, a politician and made by Australian sources before our return alive, although from 1966 leading football exponent there, who failed bid to host the 2020 World Cup. onwards the fallen were repatriated was also the vice-president of the The Herald Sun confirmed that FFA, rather than buried in a third country. game’s world governing body: as opposed to FIFA, officials also The very last Australian troops still the Fédération Internationale de revealed having made contact with the serving in Vietnam left in 1972, Football Association, better known as Australian Federal Police, which is when Gough Whitlam led the ALP to FIFA. helping to probe donations made to its first federal victory in 23 years. the West Indies’ Jack Warner. Late in May, the 72-year-old ‘Trinidad Push To Build On Defence Land Jack’ was one of the biggest fish Parcels of defence land around the among 14 men, nine former and Goodes Backed By AFL country could be released by the current officials of FIFA included, who Adam Goodes’ controversial war Commonwealth, according to The were arrested and accused of dance, the Herald Sun tells us, has Age, in order to create more affordable ‘rampant, systemic, and deep-rooted’ been backed by indigenous players housing. This idea is being corruption. Authorities from no fewer and the AFL itself, but wider opinion championed in Victoria by than three US government offices – remains divided. Meanwhile, Nigel Premier Daniel Andrews. the FBI, the Justice Department, and Scullion, the Indigenous Affairs the Internal Revenue Service – Minister, weighed in simply by saying INDIGENOUS alleged that these defendants had ‘Good on ya, Goodsey.’ City Rally Slams Closure taken or paid more than $US150 Around 1000 protestors blocked peak- million, the equivalent of $A196 Miles Franklin Winner hour traffic in the city to rally against million, in kickbacks and bribes. Some Sofie Laguna scaled the heights of her the closure of remote Aboriginal of these transactions were as long ago third chosen profession on June 23, communities in late June. The as 1991. when she won the $60,000 Miles protestors had set up a blockade on Franklin Literary Award for The Eye of Swan Street bridge and held a In another relevant Age news the Sheep, a ‘raw, high-energy’ novel smoking ceremony, chanting ‘Stop the item, Sussan Ley, who is our own about a developmentally challenged forced closures’ according to The Age. government’s Minister for Sport as boy. According to The Australian, Ms well as for Health, proclaimed that Laguna originally studied law, then Australia would not commit public abandoned that for acting – she had SPORTS. ARTS money to any World Cup bid overseen several parts in Blue Heelers and A Culture Funding Changes by FIFA unless and until that body is Country Practice on television – before Condemned reformed. ‘Sport,’ she said, ‘is taking up writing both fiction and Two leading philanthropists have ultimately about the participants, fans drama. denounced the federal government for and the love of the game, not creating confusion in the arts with its individual interests, and corruption of recent decision to cut $110 million any form has no place.’ Melbourne Maestro from the Australia Council and to Now the man who has been in charge establish a new funding program On the last day of May, The Sunday of the Melbourne International within the Arts Ministry. The Age announced that FIFA Chamber Music Competition for the Australian reported that a fortnight president Sepp Blatter, recently re- past decade, Benjamin Woodroffe, 44, after the Budget announcement of the elected, had given the strongest is joining past winners on the world cutback took the culture sector by indication to date that Australia and stage. He leaves in September to take surprise, Arts Minister George other dissenting countries could suffer up a new job as secretary-general of Brandis still had not made clear how recriminations over their efforts to oust the World Federation of International the new National Program for him from soccer’s top job. Blatter was Music Competitions. ‘My priority has Excellence in the Arts was going to returned as the head of the game’s always been helping young artists operate. One of the philanthropists governing body during the FIFA realise their full potential. Moving to concerned, Kim Williams, predicted congress in Switzerland on May 29. Geneva will allow me to do it on a that it would surprise nobody if donors That very day, another Age article bigger scale.’ According to The Age, ‘kept their hands in their pockets.’ referred to an alleged $500,000 theft the federation is the umbrella body 24 22 May to 09 July 2015 Letter From Canberra

25 22 May to 09 July 2015 Letter From Canberra representing all the world’s 116 music discuss the 800th anniversary of wife; described by biographer and competitions. Magna Carta, and the legacy of this broadcaster Paul Barry as ‘an ground-breaking document in terms of amazing individual, with boundless our own legal system, Good detail confidence and energy ... also a man SOCIETY next edition. with a huge ego, scant regard for the Seeking A Say On Same-Sex rules, and precious little empathy.’ Marriage Perhaps his best epitaph can be found Nicholas Reece, a principal fellow at Pope Warms Climate in the late Kerry Packer’s words: ‘You the University of Melbourne, devoted Politicians from across the political only get one Alan Bond in your an Age column in late May to spectrum and Catholic Church leaders lifetime, and I’ve had mine.’ Amen to recommending what Ireland recently have welcomed Pope Francis’ major that. adopted: a plebiscite on the issue of encyclical on the environment, saying whether same-sex marriage should be they expect it to have a significant William Cooper, aged 81. Artist declared legal here (it is already legal impact on the local and international described by Sir David Attenborough in Britain, New Zealand, France, climate change debate, with the as ‘greatest living scientific painter of Argentina, and the US). He wrote: ‘A potential of changing voting intentions. birds’; responsible for such books plebiscite could break the political Melbourne Archbishop Denis Hart, as Parrots of the World and Pigeons impasse over marriage equality that is who is also president of the Australian and Doves in Australia. an embarrassment to Australia.’ Catholic Bishops Conference, described the encyclical as a ‘clarion Les Royston Johnson, aged 90. ALP A recent Financial Review report, call’ to all global leaders, including parliamentarian 1955-66 and again commenting upon the Irish referendum those in Australia, to take stronger 1969-83; the youngest member of the – where 62 per cent of voters, almost leadership on climate change as 1955-58 House of Representatives; he incredibly in a land once renowned for reported in The Age. was Minister for Aboriginal Affairs in the toughest Catholicism, favoured Gough Whitlam’s cabinet, and Bob same-sex marriage – said: ‘While Hawke appointed him Australia’s High Ireland needed to change its We Are Poorer for It Commissioner to New Zealand. Bill constitution to achieve marriage Paul Hogan has lamented the Shorten called Johnson ‘Labor to his equality, Australia could do so through absence of larrikins in Australian bootstraps.’ Parliament ... Tony Abbott said the society. I agree with him. Over the question of whether to legalise same- past few years political correctness John Forbes Nash, aged 86. World- sex marriage had been dealt with has been taken to absurd levels. The renowned mathematical genius, 1994 “convincingly” in the last parliament. In wrong word used innocently is labelled Nobel laureate in economic sciences, 2002, legislation that would have racist, or misogynistic, inappropriate or and the subject of the Oscar-winning allowed same-sex couples to marry worse. Apologies are demanded. Russell Crowe movie A Beautiful was voted down in a 98-42 split.’ Larrikins do not have to be law- Mind; killed with his wife in a New breakers, but they have a challenging Jersey road accident, when the driver Meanwhile, on May 29, The sense of humour. According to Jeff of the taxi in which they were both Australian carried a full-page ad with Kennett in the Herald Sun, they do passengers lost control of his vehicle the headline: ‘Join the growing list of things that are often on the edge of while taking them from Newark Airport. Corporate Australia supporting good taste or convention. Marriage Equality.’ Companies listed therein include Westpac, ANZ, David Ron Spencer, aged 81. Veteran Jones, and Ben & Jerry’s. According VALE organiser of the Miscellaneous to a new poll which The Agecited in Workers’ Union (‘Missos’) and left- early June, a clear majority – between Alan Bond, aged 77. Australia’s wing peace-activist, whose 64 and 69 per cent – of voters in key greatest living folk hero after 1983 and involvement with the ALP ensured the Coalition-held seats would support the the America’s Cup triumph, before the beginning of Senator Kim Carr’s notion of federal parliamentarians imploding of ‘WA Inc.’ saw him parliamentary career, but who – unlike having a free vote on same-sex incarcerated for fraud, after which fellow peace-activists such as former marriage. And in a separate hiatus he bounced back with much of Deputy Prime Minister Jim Cairns – development which The Age his old panache, despite the tragic was denied a visiting visa by the US reported, Alastair McKenzie, who is deaths of his daughter and second government. the brother of Nationals Senator Bridget McKenzie and a fellow member of the same party, produced a 370-word letter denouncing her opposition to same- sex marriage.

Magna Carta 1215-2015 At The Sydney Institute on June 9, Human Rights Commissioner Tim Wilson, lawyer Anya Poukchanski, and PriceWaterhouseCoopers Financi al Services Leader Hugh Harley met to 26 22 May to 09 July 2015 Letter From Canberra

Letter from Canberra 6 July 2015 Dianne Smith Chief Executive

Victoria Tourism Industry Council

Avalon seizes golden aviation opportunity, however tourism disappointed by shelving of Point Nepean project

This month the Victoria Tourism Industry Council (VTIC) welcomed the announcement that Jetstar will introduce daily flights between the Gold Coast and Avalon Airport, as a result of its agreement with the State Government that sees the continuation of the airport’s passenger operations.

It is wonderful for Western Victoria to have direct access to a population of more than 500,000 people around the Gold Coast airport. The additional 65,000 seats a year coming into Avalon will provide a significant opportunity to showcase all the region has to offer throughout greater Geelong, the Bellarine Peninsula and the Great Ocean Road.

VTIC applauds Jetstar’s commitment to work closely with local and state tourism bodies to promote the greater Geelong region in the South East Queensland market and looks forward to the release of the second of the two additional routes under the agreement.

However, Victoria’s tourism sector was disappointed that a compromise was not reached to continue with an innovative project in Mornington Peninsula’s Point Nepean site, following the State Government’s decision to walk away from an agreement with the private sector.

The plan centred on the Quarantine Station part of this National Park and entailed a sustainable development that was sensitive to the local environment. Its focus was to preserve the integrity of the site’s natural and cultural heritage and to create more access for people to experience this wonderful place. However the failure to reach a compromise means the state is delayed in realising the benefits of sustainable tourism.

Public private partnerships are vital to the growth and prosperity of our sector. Point Nepean is a significant cultural and heritage site and the private sector was positive about working with government on a great project for Victoria.

The State Government has delayed this Point Nepean development, which has the potential to diminish private sector confidence in investing in Victorian tourism projects.

Our industry saw this as a litmus test for future developments of this nature and there is now concern regarding investment in innovative, job creating new tourism projects in Victoria.

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