What happened Wednesday 12 April, 2023
With that, we’ll wrap up our live coverage of the day’s news.
Here’s a summary of the key news developments:
Australia’s economic growth will slow as the global economy faces “perilous” challenges, persistently high inflation and risks of further financial turmoil, the International Monetary Fund said in its latest global outlook report.
The government could almost halve Australia’s $50bn budget deficit by redesigning stage-three tax cuts, introducing further changes to tax breaks on superannuation and charging a 10% royalty on offshore gas, according to a new report.
A tropical cyclone is expected to make landfall in Western Australia on Thursday, bringing winds strong enough to damage roofing, knock over trees and caravans and cause widespread power outages, the Bureau of Meteorology has warned.
Australian wine producers hope Beijing could soon remove tariffs that slashed the $1.2bn trade by 99% – but say they are wary about relying too heavily on the Chinese market.
Victoria’s energy minister has urged private companies to help do the heavy lifting in the state’s transition to renewable energy, saying the revived public State Electricity Commission will not crowd out the market.
The competition regulator has rejected gas companies’ claims that the emergency price cap and emissions reduction policies are making Australia uncompetitive for gas projects.
Hundreds of visa decisions have been thrown into question by a high court ruling that the government cannot “circumvent” the law by setting policies limiting which cases will be considered by the minister.
John Olsen, one of Australia’s most celebrated artists best known for his landscapes, has died at the age of 95. A tribute to Olsen will be projected on to the Sydney Opera House during the upcoming Vivid festival.
Thanks for reading, have a pleasant evening.
Updated
UNSW to rename 17 buildings after trailblazing women as part of gender equity project
UNSW Sydney will rename 17 buildings and spaces at its Kensington campus after trailblazing women as part of a project to improve gender equity and visibility at the university.
The female role models include the first female graduates of each faculty, the first female professor, the first female deputy chancellor, the first Indigenous female graduate, and other alumnae and former staff who identify as women.
UNSW vice-chancellor professor Attila Brungs said historical prejudice had reduced the contribution of women in the tertiary sector.
If you look at our campuses, because of historical prejudice we haven’t celebrated or made visible the immense and incredible contribution UNSW women have made over the decades. The whole point of the project being led by council was how do we not only redress that but, far more importantly, how do we inspire the next generation of UNSW women?”
Once the spaces are renamed, the university will develop and implement a policy ensuring the naming of buildings and spaces across NSW are equitable and transparent into the future.
All the buildings that currently have names at UNSW are named after men, apart from the Esme Timbery Creative Practice Lab which opened in 2019.
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Dfat secretary welcomes Chinese foreign affairs official to Canberra
The secretary of the Department of Foreign Affairs and Trade has told a visiting Chinese official that it is “in the shared interests of Australia and China to continue on the path of stabilising the bilateral relationship”.
Jan Adams welcomed China’s executive vice minister of foreign affairs, Ma Zhaoxu, to Dfat headquarters in Canberra today.
A statement issued by Dfat a short time ago said the talks between senior officials “covered a range of bilateral and international topics, including trade, consular, human rights, strategic competition, and Russia’s invasion of Ukraine”.
The statement added:
The talks followed the agreement between Foreign Ministers at the Foreign and Strategic Dialogue in December 2022 to maintain high-level contact and commence or re-start dialogue in a range of areas. Australia and China last held bilateral talks at the Secretary-level in Beijing in February 2019.
Executive Vice Minister of Foreign Affairs Ma Zhaoxu is the most senior official from China’s Ministry of Foreign Affairs. He was formerly Ambassador to Australia (2013-2016).”
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Tropical Ilsa predicted to reach category 4 by time of landfall in WA
The tropical cyclone expected to make landfall in Western Australia on Thursday has now reached a category 3 at 370km north-west of the coast of Broome.
The Bureau of Meteorology expects Tropical Cyclone Ilsa to reach a category 4 by the time it makes landfall between Broome and Port Hedland on Thursday, making it the first storm of such magnitude to strike the region in more than a decade.
Wind gusts are expected to pick up to 140km/h as it moves south-west on Wednesday afternoon, with gusts reaching up to 250km/h by the time it makes landfall, the BoM said.
Updated
Santos apologises for use of Indigenous elder’s image
Further to this post about accusations against gas giant Santos from Ngarrindjeri and Kaurna elder Major Moogy Sumner, Santos has apologised for using his image.
Chair Keith Spence has written to Sumner, saying he sincerely apologised, and that the company would remove any images from the website and communications material. Spence said:
As you are no doubt aware, the image was sourced from the video which we filmed with you in 2021 to mark Naidoc Week that year. I thank you for your participation in that very important event to help Santos people learn more about First Nations people and culture.
Spence said he acknowledged Sumner’s views on fossil fuels, and regretted that he was upset about the interactions between Santos and First Nations people at the company’s annual general meeting,
“I listened respectfully to the views and questions of the Gomeroi and Tiwi Island people at the meeting and addressed the concerns they raised to the best of my ability,” he said.
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Australian winemakers hopeful of breakthrough on $1.2bn China trade but still plan to diversify markets
Australian wine producers hope Beijing could soon remove tariffs that slashed the $1.2bn trade by 99% – but say they are wary about relying too heavily on the Chinese market.
After the Australian government announced a deal with China that could lead to the scrapping of tariffs on barley within months, wine producers also expressed cautious optimism.
The chief executive of Australian Grape and Wine, Lee McLean, said he hoped China’s promised review of the barley tariffs went well and could serve as a template for removing the imposts on Australian wine.
Read more:
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Gina Rinehart offloads grazing land larger than Denmark to focus on Wagyu
Australia’s richest person and biggest landholder, Gina Rinhart, has sold off 2.4m hectares of grazing land in the Northern Territory and Queensland in a bid to move her agricultural empire in a new direction.
In a statement, SS. Kidman & Co, said the sale would help the company invest in expanding into its premium beef brands made up of a combination of Santa and Wagyu Genetics.
While the official figures of the sale have been kept confidential by the company, the Australian Financial review reported it was valued at over $200m.
The move comes as surging rural property prices, which saw a 36% increase over the last two years, begin to ease as interest rates rises and commodity prices level out according to the most recent Elders Rural Update.
SS.Kidman & Co was purchased by Rinehart’s Hancock Agriculture and Chinese property developer Gui Guojie’s Shanghai CRED back in 2016 for $386.5m. Since then, the company has managed to offload more than $500m worth of grazing land.
The properties were purchased by Australian family-owned cattle companies, Appleton Cattle Company in Queensland and Harris family in the Northern Territory.
It is not known if there are any foreign equity holders in the deal.
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Tribute to John Olsen will be projected on to Opera House during Vivid festival
The New South Wales arts minister John Graham announced the celebration of Olsen’s work on Wednesday afternoon as he paid tribute to the artist’s career.
He said:
I consider John as a pioneer, a master of his craft who depicted the experience of the Australian ‘landscape’ in a new and contemplative way.
Through his abstract style he helped audiences connect with nature and his masterful ability to transport the public into the vastness of our landscape, underpinned his achievements, and his popularity here and overseas.
I would like to acknowledge John’s significant contribution to the arts as a teacher and mentor. A prodigious work ethic meant he painted until his tenth decade, his energy and creativity undimmed by age.”
He said Australia had lost a “legendary creative” and extended condolences to his family and friends.
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Aboriginal elder accuses Santos of disrespecting his image in promotional video
Gas giant Santos has been accused of disrespect and “grubby PR” for using an Aboriginal elder’s image without permission.
At their annual general meeting last week, Santos showed the crowd a promotional video featuring Ngarrindjeri and Kaurna elder Major Moogy Sumner.
First Nations people attended the meeting, angry about gas developments on their traditional lands.
The video showed Sumner with the words “One Future” superimposed, followed by “One Santos”.
Sumner, a Greens member, former senate candidate, and prominent community leader, said he had “never given permission” for his image to be used, and that he’d written to chair, Keith Spence, asking for it to be removed and for an apology. He said:
Santos have used images of Aboriginal people, including mine, in their promotional materials to give the impression that we consent to the destructive fossil fuels projects that they are carrying out on Aboriginal land.
It is disrespectful that Santos used my image without ever seeking my consent. It is disrespectful that they continue to plan destructive coal, gas and fracking projects on Aboriginal land without the consent of Traditional Owners and Custodians.
It is disrespectful that they refused to listen to or answer the questions of the Gomeroi people and Tiwi Islanders who came to the Santos AGM to express concerns about mining on their Country.
Greens senator Sarah Hanson-Young said it was “disgraceful”, “grubby PR” and “worse than the usual greenwashing”.
“It is a blatant misrepresentation of the views and values of First Nations people,” she said.
Updated
Ken Wyatt says Peter Dutton may allow Liberal party conscience vote on voice
The former Liberal minister for Indigenous Australians, has said he hopes many of MPs from his former party come out in support of the Indigenous voice to parliament.
Wyatt was speaking in Perth with Linda Burney, the minister for Indigenous Australians in the Albanese government, after Wyatt resigned from his party in response to Peter Dutton announcing he would campaign for the no vote.
Wyatt said:
What we should do is allow my former colleagues to work through the issues and make their own decisions and I think Peter Dutton will give them a conscience vote and they will then express the way they want to vote, but I do hope that many more come across.”
Wyatt also said he was open to Liberal MPs contacting him to discuss their position on the voice. “My phone’s always on and I will talk to anybody who wants to have a discussion.”
Asked if the Liberal party’s conscience was being tested at the moment, Wyatt said:
I think there are individuals who are being tested and they will make up their mind. We’ve seen Julian (Leeser) make a tough decision and those decisions are not easy when you step away from whatever structure or organisation you belong to, whether it’s political or social, but it’s something that they will make in their time when they’re ready, because we’ve still got time yet.”
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IMF predicts rocky recovery for the global economy
The International Monetary Fund’s latest report on global growth makes for some sobering reading, with the outlook over the next five years the weakest in more than three decades.
Entitled A Rocky Recovery, the report tells us the world is facing a “perilous phase”, with “feeble and uneven growth” partly blamed on “ominous forces” that could drag on growth and living standards for the rest of the decade and beyond.
What should Australians make of the findings and forecasts?
Read more:
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Victorians warned against eating wild mushrooms
State health authorities are warning of the dangers of consuming wild mushrooms, as wet and cooler weather sees certain types of poisonous mushrooms grow.
Two particular wild mushroom species are at the centre of the warning – death cap mushrooms and yellow staining mushrooms.
The mushrooms commonly grow in metropolitan Melbourne and regional Victoria and can cause gastrointestinal illness, liver failure and death.
Victoria’s Deputy chief health officer, Dr Clare Looker, said:
We’re urging Victorians not to pick and consume wild mushrooms – doing so can have serious consequences for your health.
It is very difficult to distinguish between poisonous and edible wild mushrooms, so people are advised to only consume commercially bought mushrooms.”
Death cap mushrooms – the most dangerous species – are typically found near oak trees.
It is an exotic species that was accidentally introduced from Europe and has been found under other deciduous trees or conifers in other parts of the world.
These mushrooms are large, with a pale yellow-green to olive-brown cap, white gills, a skirt around the stem and a cup-shaped sac around the base.
Symptoms of poisoning by death cap can include stomach pains, nausea, vomiting and diarrhoea within hours of consumption. Even if symptoms subside, serious organ failure can occur 24 to 48 hours after ingestion that may result in death.
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Peter Dutton peppered with questions about opposition to Indigenous voice at Alice Springs press conference
Dutton said he’d be consulting with locals in Alice Springs about the voice, but said it would not solve the problems the community there is currently facing.
We’ve spoken to small businesses, we’ll meet with more of them. We’re speaking with the mayor, who’s obviously got a broader perspective on the town. We’ve spoken with a number of locals just on the street earlier.
We’ll continue that engagement because if you aren’t out there and you aren’t listening to what people are saying, then it’s very hard to find the solutions and solutions aren’t going to be given to you by bureaucrats in Canberra. I can promise the prime minister that.”
He added:
There are plenty of Indigenous people in this country who are completely opposed to the voice because they don’t believe that a Canberra voice is going to provide support to the local community here in Alice Springs in Tennant Creek and Katherine and elsewhere.”
And
The prime minister at the moment is putting forward a model which divides our country. And he won’t explain any of the detail. He won’t look Northern Territorians in the eye and explain how it is that the voice is going to provide solutions to these problems.”
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Opposition leader Peter Dutton is in Alice Springs and is speaking about local crime
Dutton said Anthony Albanese “needs to spend more time than just jumping off the jet, spending an hour or two here and then jumping on the jet and going back to Canberra”.
It’s not sufficient, it’s not good enough. And I think the people of the Northern Territory, but in particularly here in Alice Springs deserve to be heard by their prime minister and he’s not listening.
He’s not acting. And the travesty will continue here in Alice Springs, nothing has changed from when I was here in October, the same stories about break-ins about stolen cars, about risk to human life about the sexual assault of young boys and girls. It’s still exactly as it was then and this community can’t wait.
People that we spoke to on the street today spoke about exactly that issue. Exactly that issue. And they’re just staying at home. And so the economic productivity is lost in this community as well. Tourism numbers are down now … because people won’t go and stay at the caravan park.
Let’s have an honest conversation in our country about the reality of what is happening here, and Canberra is a million miles away.”
Dutton said that solving the crime problem in Alice Springs is beyond the capacity of the Northern Territory government, and called for federal resources to supplement the effort including more Australian Federal Police resources.
Updated
Thanks for your attention today! Elias Visontay will see you through the rest of today’s news.
Cyclone Ilsa could bring flooding to the Northern Territory when it weakens into a deep low and moves through the southern part of the territory on Saturday, the bureau of meteorology is warning.
Federal and state and territory trade ministers to team up
The trade minister, Don Farrell, and his state and territory counterparts have agreed to develop a “Team Australia” approach to advance the country’s trade and investment priorities.
Farrell and other ministers who gathered in Townsville today backed the Australian government’s efforts to stabilise the relationship with China and remove trade impediments.
But a joint statement issued afterwards noted that the ministers “recognised the importance of continuing efforts to diversify trade and investment opportunities to deliver a more productive and secure economy”.
The statement said ministers “noted the work of all jurisdictions in promoting uptake of opportunities created by multilateral, regional and bilateral trade agreements and particularly welcomed steps to deepen economic partnerships in the Indo-Pacific”. It added:
Ministers agreed on the importance of free, fair and open trade and investment to economic growth and reinforced the importance of developing a ‘Team Australia’ approach in advancing Australia’s trade and investment priorities.
This approach includes continuing efforts that support trade and investment diversification, the clean energy transition and supply chain resilience.
The federal government and state and territory governments also plan to improve their coordination on how to attract foreign direct investment focused on sectors of national significance. They will seek to improve national coordination when it comes to trade advocacy, marketing strategies and the conduct of trade promotion in overseas markets.
More broadly, ministers also “acknowledged our strength lies in our diversity”. The statement said:
Australia is multicultural and welcoming, with a highly educated and creative workforce. International investors, companies and talent are drawn to our reputation for quality and innovation across multiple industries, including research and education, agriculture and food, health, renewable energy and technology.
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Simon Birmingham won’t campaign for no vote on voice to parliament
The shadow minister for foreign affairs says he won’t be actively campaigning for a “no” vote in the voice to parliament referendum.
In interviews, Birmingham has not appeared an enthusiastic supporter the Liberal party’s decision to oppose the Indigenous voice to parliament, leading to speculation he could follow his colleague Julian Leeser in resigning from the frontbench in order to be able to support the voice.
The One Nation leader Pauline Hanson yesterday called for Birmingham to step down if he could “not provide leadership the Coalition must have to effectively oppose the voice.”
Appearing on Sky News this afternoon, Birmingham has said he will not resign from the frontbench, but nor is it his intention to actively campaign for the “no” case.
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ACCC calls for new laws to protect Indigenous cultural assets
ACCC chair, Gina Cass-Gottlieb, also weighed in on the Indigenous art controversy revealed by The Australian newspaper.
Asked what the ACCC could do for consumers duped about the provenance of artwork and to respond to allegations of “white interference in Indigenous art”, Cass-Gottlieb told the Press Club:
The ACCC is very concerned in relation to these matters. We are engaged in cross-government work that is looking at a number of lines and responses to this problem, so one is IP Australia’s work across government looking at a specific culturally tailored protection of Indigenous knowledge and Indigenous cultural assets so that we cannot only ... prevent unauthorised misappropriation of Indigenous cultural assets and also presentation of work as if it is authentic when it is not, so we are looking for not only the current intellectual property protections but we think there should be culturally appropriate [protections], recognising Indigenous knowledge and culture over the generations.
So, firstly, we support those initiatives and the Productivity Commission recommendations in relation to specific culturally appropriate protections. We do currently have powers in relation to misleading and deceptive conduct if there have been misleading representations about provenance. The ACCC has been successful in the Birubi Art Pty Ltd case in getting contraventions in terms of misleading representations where there were artefacts presented as genuine, painted by Aboriginal artists within Australia, so artefacts, boomerangs and didgeridoos, that actually had been produced in Indonesia.
We obtained federal court declarations that they were contraventions, that they were contraventions, that they werefraudulent, but also a penalty of $2.3m recognising not only the economic harm to Indigenous communities but also the cultural and social harm in the misappropriation of the cultural representations.
So we have got that power, we do strongly support additional legislative conferring of protections because we will not always be able to identify breach of the Australian consumer law. So we do think there needs to be a very specific new set of laws to give actual property and economic rights in Indigenous cultural assets.
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NSW public housing funding ‘a snake eating itself,’ minister says
The new NSW housing minister, Rose Jackson, says she would describe the state of public housing funding as “a snake eating itself.”
Jackson says change will be forthcoming under the new government, as she starts briefings in the new portfolio.
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Queensland tobacco and vape amendments ‘too little, too late’, inquiry hears
Proposed amendments to Queensland’s tobacco and vaping laws are “too little, too late” as illegal supply runs rampant across the state, a parliamentary inquiry has been told.
The Health and Environment Committee held a public hearing in Townsville today about the Tobacco and Other Smoking Products Amendment Bill.
Proposed amendments include a licensing scheme for the wholesale and retail sale of smoking products, creating deterrents against the unlawful supply of smoking products along with penalties and the introduction of new offences and penalties to protect children from smoking.
The director of Townsville’s public health unit, Dr Steven Donohue, told the hearing ongoing legal disparities have impeded attempts by health authorities to stem the illegal sale of tobacco and vaping products in the region.
He said due to the emergence and ongoing prevalence of vaping products, apart from illegal “chop chop” tobacco, Australia will have a new generation of smokers that will place a burden on healthcare systems.
A new addict is far worse for the health of the community and the individual, than an old addict.
The additional burden on the health services, the costs and the suffering are a fraction of what will occur with the new generation of children and teenagers who are being addicted right now. This is a public health crisis.
Fundamentally, this amendment bill is too little, too late, too weak, way too complicated, too slow and the cost of trying to implement it is way beyond what resources we have on this.
The committee will hear further submissions on the Gold Coast tomorrow before a final hearing in Brisbane.
- AAP
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‘Important time to watch competition in airlines’: ACCC
The chair of the consumer watchdog has lamented that its monitoring of domestic air passenger services will end amid soaring airfares and new airlines entering the market.
Taking questions after addressing the National Press Club on Wednesday, Australian Competition and Consumer Commission (ACCC) chair Gina Cass-Gottlieb, was asked about the airline competition monitoring responsibility it was tasked with in 2020 as a Covid response.
The ACCC was directed to monitor prices, costs and profits in the domestic air passenger sector for three years, and through its quarterly reports, the watchdog has made headlines including putting airlines on notice over a concern they were deliberately slowing their return to full service to keep airfares high.
The ACCC can only continue the monitoring if it is directed to by the treasurer, Jim Chalmers. The Albanese government has not yet indicated it will extend the monitoring directive.
Cass-Gottlieb said “it is an important time to watch competition in airlines”, particularly noting the entrance of budget carrier Bonza into the market and the issue of slots at Sydney airport limiting new competition.
She added:
We are concerned about competition and we’re concerned about price. Some of the aspects relating to anti-competitive conduct, sit with us perpetually and very presently in our minds, so we will watch for anti-competitive conduct carefully and we also watch for misleading and deceptive and unconscionable conduct in relation to consumers. But the overall reporting unfortunately will end.
Asked if she wanted to see the monitoring continue, she said:
We see value in it, but we also recognise that there are many areas of investigation that need to be undertaken.
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Questions on gas companies’ stance on price cap
Taking questions, Cass-Gottlieb says it is “not accurate” for Woodside and other gas companies to say that the price cap and safeguard mechanism are uncompetitive.
Ben Westcott from Bloomberg:
Gas companies have been saying for some time the imposition of price as well as the safeguard mechanism are making it an uncompetitive environment for Australia for new investment and that those prices will be put on to consumers. Is that an accurate assessment in Australia?
Cass-Gottlieb:
I don’t think it is accurate. The emergency price does not apply to new supply and the emergency price.
We have substantial data that both covers costs and reasonable return on costs in relation to existing supply.
… An express policy objective that is stated in the consultation is that the reasonable pricing framework and the process under the code is to be consistent with incentives to invest in new supply and the ACCC reports have shown the importance even in a transitioning economy for bringing new supply on in the east coast of Australia.
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ACCC boss addressing National Press Club
The chair of the consumer watchdog, Gina Cass-Gottleib, has been addressing the National Press Club this lunchtime, reflecting on 12 months in the role since she took over from Rod Simms.
Cass-Gottleib has called for reforms to Australia’s merger laws to protect competition in Australia’s economy, which were first proposed by Simms.
While Cass-Gottleib says most mergers do not harm competition, some can “entail a material change in a structure of a market.”
The ACCC need the tools necessary to scrutinise and if necessary prevent those mergers which are likely to substantially lessen competition.
The problem, she says, is businesses are increasingly pushing the boundaries of the informal mergers regime.
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As the tributes continue to John Olsen, take a look back at some of his works:
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Australia reiterates commitment to Ukraine after Kyiv’s request for Hawkei vehicles
The Australian government has said it is “committed to delivering on its current contribution to Ukraine” after Kyiv requested Australian Hawkei protected mobility vehicles.
The Ukrainian ambassador to Australia, Vasyl Myroshnychenko, told ABC TV today that his country was “incredibly thankful to Australians for the support provided to date”, including Bushmaster vehicles.
But he said Hawkei vehicles would be “very helpful” in saving lives and helping Ukraine “fend off the enemy”. The use of the vehicles in Ukraine would also help Australia test and improve the vehicles.
The comments follow a flashy post by Ukraine’s defence ministry on Twitter yesterday:
A spokesperson for the deputy prime minister, Richard Marles, said the support package remained under review:
As the deputy prime minister has said, Australia will stand with Ukraine for the duration of this conflict so that Ukraine is in a position to determine the outcome of this conflict on its terms.
The Australian government is committed to delivering on its current contribution to Ukraine.
The government will continue to review its response options in relation to the evolving situation in Ukraine.
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AEC website on voice referendum also includes ‘disinformation register’
As we mentioned earlier, the electoral commission has today launched its information website ahead of the referendum on the Indigenous voice to parliament.
The website also includes a “disinformation register” which lists prominent pieces of disinformation the AEC has discovered regarding the announced referendum on the voice to parliament, as well as the AEC’s response.
The AEC says it won’t be responsible for fact-checking claims about the yes or no case for a referendum, but they do seek to clarify the facts when it comes to referendum process itself.
For example, the disinformation that the referendum will be voluntary like the 2017 Marriage Law Postal Survey. The AEC says the correct information is that:
Referendums are compulsory, like a federal election.
The AEC did not run the Marriage Law Postal Survey in 2017. The Postal Survey was neither a referendum nor a plebiscite, and was run by the Bureau of Statistics.
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Shane Warne service a ‘funeral for Victoria’: Eddie McGuire
Melbourne media personality Eddie McGuire has defended the reported $1.6m price tag for Shane Warne’s state funeral, saying the service did more than honour the cricket legend.
The two-hour service cost taxpayers more than $1.6m, the Age newspaper reported on Wednesday.
McGuire confirmed his production company JAM TV was allocated $1m to broadcast the service across the country and internationally.
But he defended the price tag, saying it not only honoured Warne but allowed Victorians to mourn.
McGuire told 3AW:
In a lot of ways, we saw this as being Victoria’s funeral,” Mr McGuire told 3AW on Wednesday.
I had to bury my mother with 10 people in the room at the funeral and I got great succour out of the fact that we all came together for a collective funeral in the name of our great mate Shane Warne.
More than 55,000 people attended the free service, which featured remote performances from Elton John, Coldplay’s Chris Martin and Robbie Williams.
Victorian major events minister Steve Dimopoulos said it was important those offered a state funeral were honoured with dignity, regardless of the price. He told reporters today:
I would rather be accused of being over the top than not celebrating and giving Victorians the chance to celebrate the life of iconic people in this state.
– AAP
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Trade minister says ‘team Australia’ must work together to tackle global challenges
The federal trade minister, Don Farrell, has warned of a wide range of challenges affecting global trade.
At the beginning of a meeting in Townsville with his state and territory counterparts, Farrell said it was “vitally important that we maintain close commonwealth and state relations – let’s call it team Australia – to tackle the challenges that we face together”.
Farrell said:
With high inflation and interest rates in Australia and many other parts of the world, we’ve seen chronic skills shortages, ongoing global supply chain disruption post-Covid, of course the growing effects of climate change and with the threats and challenges to the global rules-based order like the illegal and immoral Russian invasion of Ukraine, these all create challenges for global trade.
But we simply have no choice but to keep working to address these and future challenges.
Farrell noted that he and the foreign affairs minister, Penny Wong, had announced yesterday “that we had reached agreement with China to provide a pathway for resolution of our dispute over Australian barley”. He said the ministers hoped this arrangement “sets a template for resolving, then, the other trade disputes that are still outstanding with China”.
Today’s meeting is the first gathering of commonwealth, state and territory trade and investment ministers since 2019. It is understood Farrell planned to use the meeting to provide an update on China relations while continuing to promote trade diversification. He was also set to update the meeting on Australia’s other free trade agreements (India, UK and EU).
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To my fellow dinosaur nerds out there, in case you missed it, you’ll want to read Donna Lu’s latest about what researchers have learned from the first nearly complete sauropod skull ever found in Australia.
The fossil found in outback Queensland may reinforce the theory that dinosaurs travelled between South America and Australia, using Antarctica as a pathway.
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Dutton pays tribute to John Olsen
The opposition leader, Peter Dutton, has paid tribute to John Olsen for this ability to transmit “the beauty of life and magic of our landscape into something even more beautiful and magical on canvas.”
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‘Referendums ... it’s been a while’: AEC launches website on voice vote
The Australian Electoral Commission is kicking off its information campaign ahead of the voice referendum, with the dedicated website going live this hour.
The website gives Australians a chance to brush up on the basics of how referendums work before they vote later this year on the question whether they want an Indigenous voice to parliament in the nation’s constitution.
The subheadings include a rundown on topics including understanding the constitution, “Referendums 101,” the referendum count, and information for campaigners.
The website’s headline “Referendums ... it’s been a while” is a nod to the fact that Australians have not voted in a federal referendum in almost a quarter of a century. More than 6.4m enrolled voters were not of voting age when the last referendum was held in 1999, according to the AEC.
The commission says it will strive throughout the coming months to make sure no voters are left in the dark. Commissioner, Tom Rogers, said:
The constitution plays an active, daily role in the lives of Australians but it’s not on everyone’s coffee table at home, so it’s appropriate that ahead of a referendum we explain what it is and the upcoming process that seeks to change a part of it.
The topic of the referendum is for others to debate but when it comes to the process, we’ll be running it and we’re here to help inform Australian voters and answer any questions they might have.
Our aim is for Australians to feel comfortable voting in a referendum and know how the process works.
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Tributes pour in for artist John Olsen
Tributes continue to flow in for John Olsen who died last night at age 95. The assistant treasurer, Stephen Jones, remembers Olsen as a generous benefactor to the arts in his electorate, while the National Portrait Gallery has paid tribute to the painter as “one of the major figures of twentieth-century Australian art”.
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RBA rates pause gives consumers heart to keep on spending
International Monetary Fund gloom aside (see earlier posts), things are actually looking a little more promising for Australian consumers.
ANZ/Roy Morgan’s latest week survey found sentiment picked up 1.1 points after the Reserve Bank of Australia snapped its run of 10 consecutive interest rate rises by leaving the cash rate unchanged at 3.6%.
Catherine Birch, an ANZ senior economist, said:
Unsurprisingly, this was the most positive result following an RBA meeting since before rate hikes began in May last year, with the gain led by those paying off their mortgage (+3.9 points).
It was the first time since November that consumer confidence notched up three gains a row – although it’s still near historic lows.
Something else that will cheer those hard hearts in the RBA is that households are also becoming less worried about inflation rising. The latest drop, to 5.1%, is the lowest since mid-February and suggests consumers – along with economists – think inflation has peaked.
Prior to the IMF’s outlook update, investors were heavily tipping (91%) that the RBA will leave its interest rate on hold when the board next meets on 2 May. Economists are more divided on that score.
Investors are also ignoring the IMF’s outlook for years of “feeble” growth, with stocks up about 0.7% in early trading and the Aussie dollar pretty flat at close to two-thirds of the value of a US dollar.
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Tamboran Resources reported to regulators over ‘greenwashing’ net zero claims
Activist organisations Lock the Gate and GetUp have filed greenwashing complaints with corporate regulators over gas company Tamboran Resources’ net zero claims.
The groups have filed the complaints with the Australian Competition and Consumer Commission and the Australian Securities and Investments Commission for what they alleged is a lack of evidence to support Tamboran’s claims that it supports net zero emissions from its planned fracking operations in the Northern Territory.
The groups alleged comments made by the company after the federal parliament passed reforms to the safeguard mechanism were misleading. They also alleged the company has no plans to mitigate downstream emissions from its projects.
Lock the Gate Alliance’s national coordinator, Carmel Flint, said:
If gas production is allowed to proceed in the Territory it will unleash a greenhouse gas bomb. Tamboran’s claims that this is somehow consistent with the Paris agreement to limit global warming to 1.5C would be laughable if the climate crisis wasn’t so serious.
A Tamboran spokesperson said the company would work with the federal and territory governments to achieve net zero emissions and it had a “leading net zero target to achieve net zero equity scope 1 and 2 [greenhouse gas] emissions by first commercial production”.
The safeguard reforms announced last week have established new regulations for net zero scope 1 emissions for gas production in the Beetaloo. This target is no longer Tamboran’s target but a requirement for any company in the Beetaloo.
Tamboran will comply with all Australian regulations, including net zero targets for scope 1 emissions.
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Victorians miss out on $1bn in superannuation a year
Hundreds of thousands of Victorians are missing out on a combined $1bn in superannuation each year, AAP reports.
Industry Super Australia analysed the latest tax data, finding 642,000 workers were not paid an average of $1,617 in super in 2019-20.
That equates to $7.7bn in superannuation across seven years.
Industry Super Australia’s chief executive, Bernie Dean, said in a statement:
Missing out on more than $1bn in super that they’ve earned a year is a crushing financial blow for Victoria’s workers.
Tradies, labourers and machine operators were more likely to miss out, with about $3.3b in super going unpaid across seven years.
Dean said an outdated law allowed employers to pay super quarterly rather than on payday, leading to underpayments and exploitation of workers.
Super should be paid more frequently so workers and regulators could monitor the payments, Dean said.
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The prime minister, Anthony Albanese, has spoken during his leave to pay tribute to John Olsen as a “poet of the brush”.
You can read more about the life of the artist, who has died aged 95, here:
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BoM says Cyclone Ilsa will strengthen to category 3 today
The Bureau of Meteorology expects that as the cyclone moves south-west towards Western Australia’s Pilbara coast, it will strengthen to a category 3 system later today, and category 4 tomorrow.
The BoM said:
A severe impact is likely along the coast and adjacent inland parts between Port Hedland and Broome, during late Thursday or early Friday.
The BoM is warning there will be a number of hazards, including destructive winds, heavy rainfall and abnormally high tides.
It also warned the “very destructive core of Ilsa” is expected to cross the coast between Bidyadanga and De Grey on Thursday night or Friday morning.
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Busy schedule could be factor in Albanese not attending Nato summit
There is a bit of chatter about Anthony Albanese not attending the Nato summit in Lithuania. That doesn’t mean Australia won’t send a representative – the deputy prime minister and defence minister, Richard Marles, could attend, as could Penny Wong.
But our sources tell us it could be a matter of timing. Albanese is attending King Charles’ coronation in May where he will meet with the UK prime minister, Rishi Sunak.
There are concerns that the July Nato summit is too soon after the coronation trip apparently. Also, Albanese attended the last Nato summit in Madrid, soon after he was sworn in as prime minister. The Quad meeting – the US, Japan and India will be held in Australia in May as well, so that is seen as another avenue for direct talks with the US.
So the short version is – Albanese may still decide to attend, but it is unlikely, given his schedule in the months before hand.
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Wong says it’s ‘a matter for the PM’ whether he attends Nato meeting
The foreign minister and acting prime minister, Penny Wong, has commented on reports that Anthony Albanese may not attend the next Nato meeting.
Wong told Sky News:
First, of course he attended last year. It is important we continue to work, near and far. Geographically the countries of Nato may be a long way away but the principle is the same, which is that we should work together for a world which is more stable, in which sovereignty is respected and the rules based order continues to operate.
That’s why Australia has continued to support Ukraine against the illegal and immoral invasion of its country by Russia. The prime minister attended Nato last year, it’s an invitation that has also been extended [this year] – obviously it will be a matter for the prime minister to determine whether he can attend or not. He’ll have more to say about that when he’s back from his leave.
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Wine could be next in China trade thaw: Penny Wong
The acting prime minister, Penny Wong, has revealed wine could be next cab off the rank when it comes to suspending trade disputes with China.
On Tuesday the Albanese government announced it would suspend its World Trade Organization (WTO) trade dispute over barley as China says it will conduct an expedited review of its 80% tariff on Australian barley.
Wong told Sky News:
China imposed additional duties on a number of Australian products. Obviously barley is the one we’re dealing with right now. We said those additional impediments, duties are not justified. We took it to the WTO. What China has agreed to do is an expedited review of those tariffs. And in return for that what we’ve said is we’ll suspend our World Trade Organization dispute while you review your tariffs on barley. What the government is trying to do is expedite the removal of those tariffs.
Obviously there’s still a way to go … but we are seeking to have a pathway to clear that impediment. And if that works we’ll work to apply that to other Australian products, probably the next one I’d want to look at is wine.
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China outlook among the IMF’s economic clouds
The latest global economic outlook from the International Monetary Fund (IMF) makes for some sobering reading.
The “perilous” challenges are many, with a slowdown of growth in advanced economies key to the wider woes:
To be sure, markets have largely priced in these forecasts so there is not a material change today. Instead, investor focus is largely on tonight’s release (AEST time) of consumer price inflation in March that will probably have a big sway in what happens to US interest rates next month.
Some of the other takeaways from the IMF report are worth noting, especially concerning China. China’s trajectory is of particular interest to Australia given it’s our largest trading partner by far (as well as the prompt for $368bn-plus Aukus submarines).
The IMF has left its January forecasts for China’s GDP unchanged. Growth will quicken to 5.2% in 2023 from 3% last year, but slow to 4.5% next year. In other words, the IMF is not tipping any extra “bump” from China’s rebound from Covid.
And there are internal and external headwinds gathering.
The IMF said:
As China’s economic reforms slowed and even reversed, major trading partners became increasingly concerned by the economic role of the state in domestic and export markets, including technology transfer practices and the footprint of state-owned enterprises with an international presence.
Recent US actions are “explicitly aiming to hinder China’s advancement in sectors such as semiconductors and green energy equipment”, it said.
For example, the US has imposed export controls to restrict China’s access to advanced computing and semiconductor items,” it said. “The Creating Helpful Incentives to Produce Semiconductors (CHIPS) and Science Act and the Inflation Reduction Act (IRA) aim to advance US global leadership in key technologies by imposing high domestic-content requirements.
Australia isn’t alone in relying on US defence links for its security but also looking to China to underpin economic growth. How this tension plays out in coming years will be part of that “perilous” path for Australia and much of the global economy.
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Public Universities Australia expresses concern over reports of management misconduct being ignored
Public Universities Australia (PUA) has criticised the discussion paper released by the Australian universities accord panel, poised to set the agenda for the tertiary sector for the next 30 years.
In its submission to the panel, PUA said the paper had “several vital omissions”, including the role of universities as a “reservoir of deep expertise” and its emphasis on economic, rather than academic, value.
The framing of the accord demonstrates little appreciation of universities’ role in supporting a healthy and robust democracy. There is an over-emphasis in the discussion document on the economic and social role of professional training and job readiness.
Importantly, there is no recognition in the discussion document that our universities are currently experiencing a governance crisis, whereby the guiding principles are now derived from management and corporate practices rather than academic values … PUA is deeply concerned about the growing number of reports it has received concerning abuses of power and other forms of misconduct by university management, particularly those directed against staff and students.
PUA said the discussion paper didn’t recognise “recent erosion in academic standards and conditions”, suggesting academics were “routinely excluded” from the decision-making process in universities.
University management, increasingly comprised of people with little or no academic experience, fails to manage in accordance with academic values. Such university managers cannot lead by example because they have either not been trained to lead, or have insufficient academic experience. The only resort for such senior managers is to impose their will through blunt authoritarianism.
Our current Australian Higher Education System (AHES) should be reformed in such a way as to provide appropriate employment for academics on livable salaries with acceptable workloads, conditions, and lifelong, secure career pathways. The AHES should also be ensuring that students are provided with the support and education they deserve.
The final paper will be delivered to the education minister by the end of 2023.
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Universities call for ‘sustainable’ research funding changes
Replacing the Coalition’s job ready graduates package and increasing research funding to the OECD level are among a series of reforms called upon by the university sector.
Peak university bodies have lodged their submissions for the universities accord discussion paper, poised to be the biggest reform to the tertiary sector in more than a decade.
The Australian National University (ANU) said the future of tertiary education should be “student-centric” and “sustainably funded”, with funding for research and development to increase to at least the OECD average of 2.7%.
Australia’s gross expenditure on research and development is 1.8%, lagging behind the UK (2.9%), Japan (3.3%) and Israel (5.6%).
ANU said public funding for domestic places should be aligned with the actual costs of teaching and learning, balancing commonwealth funding and student contributions, in opposition to the current job ready graduates package introduced by the Coalition.
It also called for greater diversity and specialisation of institutions – including university colleges, teaching only and research-intensive universities, and a review of student income support payments to reduce financial barriers for low socioeconomic and First Nations students.
The chief executive of Universities Australia, Catriona Jackson, echoed the demands of ANU. She said investment and research and development was at a 15-year-low.
Australia urgently needs more of what universities offer … university graduates, regardless of the degree they study, deliver significant social benefits and drive the economy, making it $185bn bigger than it otherwise would be.
Price signals as a driver of student choice simply do not work, which is why we’re calling for the Job-ready Graduates package to be replaced. Government funding is falling while the cost of doing research is rising, forcing universities to rely on international student fee revenue to support these vital endeavours. This is not sustainable.
The Australian Technology Network of Universities (ATN), made 22 recommendations including universal and lifelong access to education to be provided to all Australians post secondary school and a national participation fund to assist students with the rising cost of living.
The ATN executive director, Luke Sheehy, said the accord should set national targets and targets for individual universities in order to improve accountability.
Each university should also have its own accord, negotiated with an independent expert authority, which would agree targets for its own community and allocate government funding … these five-year accords will bring purpose, certainty and accountability to universities, ensuring they have the funding they need to deliver for their community.
Independent Higher Education Australia called for the end to Fee-Help loan inequity with a “universal, income contingent loan scheme” or the abolishment of the loan payment paid by independent sector students. It also urged for incentives for work integrated learning placements to be introduced, such as an incremental payments system.
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Sussan Ley visits 16 marginal seats pre-budget blitz
The deputy Liberal leader, Sussan Ley, will tour 16 seats across five states in 16 days, campaigning on the cost-of-living crisis in the lead-up to May’s budget.
What’s interesting about this tour is that after the Aston byelection defeat the Liberals are clearly signalling they have not given up on the inner city.
Leys’ visit includes: four seats lost to the teals at the 2019 and 2022 elections (North Sydney, Warringah, Mackellar and Goldstein); several Labor gains from Liberal heartland suburbs (Higgins, Bennelong); target seats held by Labor (Lyons, Macnamara); a few Liberal metro seats (Sturt, Menzies); and a swag in its stronghold of Queensland (Forde, Longman, Herbert and Fisher).
Ley will discuss local manufacturing, re-engage with multicultural groups including Chinese and Korean communities in Bennelong, and the Jewish community in Macnamara, women’s groups, and environmental groups in Zali Steggall’s seat of Warringah.
Ley said:
The prime minister said he would leave no one behind and that things would be cheaper but there would be very few Australians who could say their cost-of-living has gotten easier since Anthony Albanese made those promises one year ago …
As I move around the country over the next 16 days, I’ll be listening intently to what supports workers and small businesses are looking for in the budget so that we can take that to Canberra and hold Anthony Albanese accountable for delivering it.
I am looking forward to getting input from across the community, because as we go towards the next election, Australians will be relying on us to get the policy settings right so that we can deliver on their needs, wants and priorities.
As bad as this government has been … to win the next election the Liberal party needs to demonstrate we’ve got the solutions to the problems facing Australians and the feedback and ideas that come from these visits will be crucial in our policy development.
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Sussan Ley says Leeser’s voice position is ‘unique’ in Liberal party
The deputy Liberal leader, Sussan Ley, is defending the party’s decision to bind frontbenchers to oppose the Indigenous voice to parliament.
Ley said Julian Leeser’s decision to step down as shadow minister for Indigenous affairs and shadow attorney general came down to his unique position because of his role in helping draft the foundations of the voice during the past decade.
Ley told Sunrise:
Julian is in a unique position because of his history with the voice but as deputy leader and someone who knows my colleagues well, the overwhelming view of our party room is one that has been put forward right now by Peter Dutton and I.
And that’s important because we know that to get the best outcomes for Indigenous Australians, we do not want divisive model that Anthony Albanese has put forward.
But we all agree on wanting those outcomes and being absolutely passionate about achieving them.
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Penny Wong calls China’s war games over Taiwan ‘destabilising’
As we mentioned earlier on the blog, China has promised to review its barley tariffs over the next three to four months, and the Australian government on its end, will temporarily suspend its World Trade Organization (WTO) dispute.
The minister for foreign affairs, Penny Wong, this morning told ABC News the duties imposed on Australian barley were unjustified and the government is working to have them removed “as quickly as possible.”
It is certainly a good step that China has agreed to expedite the review. And what I’ve said to the Chinese, my Chinese counterparts, to the former and current foreign ministers, is that it’s in both countries’ interests for these impediments to be removed. Obviously it’s in Australian producers’ interests, but the Chinese market will want access to the high-quality Australian barley we produce … we look to a resolution in the next few months.
Asked about China simulating war games over Taiwan in the last week, Wong reiterates “the importance of China behaving as a global leader that it is”.
These exercises have been destabilising. I made that point last year when we saw a similar set of circumstances. What we will continue to advocate for Australia, and also for the region, is that we want the status quo maintained and, importantly, we don’t want any unilateral change to the status quo. So, Australia will continue to advocate that and will continue to urge de-escalation.
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More leaders, including the environment minister, Tanya Plibersek, and the New South Wales premier, Chris Minns, have paid tribute to landscape painter John Olsen who died last night.
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Bridget Archer says she was not surprised by Leeser's resignation
Leeser will now be able to join backbencher colleague Bridget Archer in campaigning “yes” for an Indigenous voice to parliament.
Archer is speaking to ABC News Breakfast about her reaction to her colleague’s resignation, which she says didn’t come as a total surprise.
Julian is a very principled person and he has put an enormous amount of work into this over many, many years. So, it wasn’t really surprising to me that he found himself at odds with the position, and I think that he has shown an enormous amount of integrity in taking this decision.
Archer says she agrees with Senator Andrew Bragg that Leeser’s resignation will help the referendum succeed.
As Senator Bragg said, Julian is also an authentic conservative, and so I think having that combination campaigning actively for a yes vote will be enormously helpful, particularly to Liberal-minded or conservative-minded voters who are considering what they are going do with the referendum.
Archer is asked about the opinion piece that appeared over the weekend in her local paper, the Launceston Examiner, headlined: “Bridget Archer is a standout in a Liberal party full of unelectable boofheads.”
I think that’s a pretty harsh assessment. But I do think that there is work to be done, and I think that there are clear lessons from the election campaign and also from the Aston byelection a couple of weekends ago.
And we have to learn those lessons, you know, if we are going to be electable into the future. We need to be listening to the messages that voters have been sending us. I’m not sure that we are doing that yet.
Archer highlights credible climate policy as one area that the Coalition need to be hearing the message on.
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Leeser says ‘overwhelming view’ of Liberals was to oppose voice
Leeser said he was not able to convince his party to allow a conscience vote for the frontbench – despite this being the case for same-sex marriage and the republic referendum – because opposing the referendum’s wording was the “overwhelming view” of the Liberal party room.
It was the overwhelming view of my colleagues – both from the frontbench and the backbench that that they wanted to see the party oppose the words that the prime minister has put forward in the referendum. It’s been the party’s position that we support constitutional recognition to the local and regional bodies but the party did not want to support – and it was the overwhelming view – the idea of the voice in the constitution.
For me as a person who’d been involved in this debate before I became a member of parliament, who was one of the initial architects of the national body in the constitution, I found myself in a difficult position.
…I wanted to say to my children, that it’s important in politics to be able to stand for something even when it costs you. And so we have this great tradition in the Liberal party, where frontbenchers are bound by the decisions of shadow cabinet, but backbenchers have the freedom to campaign for the issues that they see as important, even when that is not the same position as the rest of the party.
If I was in the Labor party, I would have had to resign or be expelled from the entire party. That is not the position of the liberal party. I can remain a loyal Liberal.
Leeser is playing down the idea that his stepping down might lead others to resign from the Liberal frontbench:
That’s a matter for others. I don’t suspect that there will be. I’ve had a unique position this debate because of my long involvement, because of the fact that I was there at the beginning.
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Leeser says Dutton came to voice referendum ‘with an open mind’
Julian Leeser, is reflecting on his decision yesterday to step down as the Liberal party’s Indigenous affairs spokesman, so that he could campaign for the ‘yes’ vote because Liberal backbenchers not bound by the official party position.
Speaking to ABC Radio, Leeser is asked if he agrees with Ken Wyatt who told the 7.30 program that he doesn’t think that Peter Dutton was ever contemplating supporting this referendum or a yes vote.
No I completely disagree with Ken. Peter Dutton came to this issue with an open mind. He genuinely did.
The fact that he appointed me as the Shadow Minister for Indigenous Australians and shadow attorney general with my long history in this space. The fact that he combined those portfolios is indicative an open mind.
But from day one, he said he’s got an open mind but he asked for details and that detail was never forthcoming. The government never answered the questions that he put forward.
There was no serious bipartisan engagement of the sort that we saw during the Abbott ,Turnbull and Morrison years where we even had reports that were delivered both to the government and the leader of the opposition.
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Chalmers welcomes Grattan Institute budget report
Chalmers is saying he welcomes the Grattan Institute’s 15 policy options to reduce spending or increase revenue he considers appealing.
Obviously we listen carefully when they put forward proposals like those that they’ve put forward overnight. There’s obviously some that we won’t be coming at, but you know, for example, they mentioned the PRRT [petroleum resource rent tax], and as you know, we’ve spoken about before, the Treasury is working through options when it comes to the PRRT tax on gas.
You know that we’ve got modest but meaningful changes in the works for superannuation tax breaks. So there is some common ground in that report.
There are some things that will come out, but I think the overall point that the Grattan Institute is making in that report is that we do have a structural issue in the budget even as the budget gets a bit better in the near term because the high commodity prices and low unemployment, we’ve got structural challenges that come from the cost of servicing that trillion dollars in Liberal liberal debt combined with the NDIS and aged care and health care and national security.
… I don’t really want to go through the all of the recommendations and give for instance – like abolishing family tax benefit, partly for couples, but keeping it to the single parents – that’s not something that we’ve been contemplating or considering but what I’m trying to do, rather than go through them all, is to say that we welcome contributions like these.
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Treasurer flags power bill assistance
The treasurer, Jim Chalmers, is giving more specifics about how this IMF report may affect the upcoming May budget. He’s flagging the government will be helping Australians pay their electricity bills.
Chalmers:
As we say these forecasts about a decline in the economy are because of these cost of living pressures, which is hurting families and pensioners and people right around Australia.
Because they are expected to be persistent because we expect inflation to be higher than we’d like for longer than we’d like and we do need to deal with in a responsible, methodical way those cost-of-living pressures and so we need to do that in a way that doesn’t make inflation worse.
We can’t just throw endless amounts of cash at problems in our economy, but we can make a meaningful difference in areas like for example, giving people a little bit of help with their energy bills in a responsible way. That’s one way that we can take some of the edge off his cost of living pressures.
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Treasurer expects Australia's economy 'to slow considerably', after IMF report
The treasurer, Jim Chalmers, is speaking to ABC Radio following a new report from the International Monetary Fund downgrading the world economy, cutting the forecast of global growth to just 2.8%.
On the view of the International Monetary Fund, the global economy is on an increasingly perilous path. The situation in the world has become more complex and more challenging even over the course of the last few months. And so we won’t be completely immune from that.
The Treasury does expect our own economy to slow considerably later this year because of that combination of a slowing global economy and the impact of higher interest rates here at home as well. So we’ve got a lot coming at us from around the world.
RN Breakfast host Patricia Karvelas:
So is it your view that avoiding a recession is still possible but a lot harder now?
Chalmers:
Of course, it’s still possible and it’s still the expectation of the Treasury and the Reserve Bank, and a number of other economic forecasters here in Australia.
But we need to be upfront … and say that a slowing global economy matters to us a great deal, and we do expect our own economy to slow considerably the Treasury and the Reserve Bank are not currently expecting a recession here at home.
But the economy will slow and that’s why this budget is so important in a little under four weeks’ time because what we need to do is provide some responsible cost of living relief without adding to inflation.
We need to lay the foundations for growth in our economy at the same time as we try and make ourselves more resilient to these sorts of international shocks.
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Tributes to John Olsen
Here are some of the tributes to artist John Olsen which have already flowed in on social media following the news of his death.
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Australian artist John Olsen has died aged 95
John Olsen, one of Australia’s most celebrated artists best known for his landscapes, has died aged 95.
Olsen, who won the Archibald prize in 2005 for a self-portrait and was appointed to the Order of Australia in 2001, passed away on Tuesday evening surrounded by his family.
A tribute to his long career will be beamed onto the building’s sails next month during the Vivid Sydney festival.
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Wyatt accuses Liberals of ‘not wanting to give Aboriginal people a seat at the table’
Ken Wyatt has called the Liberal party’s opposition to the Indigenous voice to parliament a “stubborn position”.
Wyatt, the first Aboriginal person to be Indigenous Australians minister, resigned from the party last week, less than 24 hours after the opposition leader, Peter Dutton, announced the Liberal party would oppose the voice.
Speaking to ABC’s 7.30 program last night, Wyatt said the decision was a difficult one:
It was a hard decision, I had to weigh up my love of the Liberal party and its values and what it stands for against a stubborn position of not wanting to give Aboriginal people a seat at the table.
Wyatt also hit out at Dutton’s claims that the voice would be a “Canberra voice”:
It is about local community designing their regional voice and then the regional voice selecting people they want to represent them in Canberra. It’s not a Canberra voice. It is not elite. It is people from the grassroots.
Dutton has criticised the voice being able to advise executive government but Wyatt said this was critical in having consultation on Indigenous issues before legislation was finalised in parliament.
This is not a detrimental process. It allows them to sit and put their position to government. It’s too late after a party room, it’s too late after it’s been tabled in parliament.
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Good morning! Natasha May now on deck with you
The International Monetary Fund has downgraded the world economy, cutting the forecast of global growth to just 2.8%.
We’ll bring you what the treasurer, Jim Chalmers, has to say about that news when he speaks to ABC Radio before he heads to Washington for talks with the G20 finance ministers.
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Local government call for overhaul of EV policy
More than 100 mayors and local councillors from multiple Australian states and territories have published a letter urging the federal government to overhaul the country’s electric vehicle policies, AAP reports.
The statement, issued on Wednesday and endorsed by 120 local government officials, called on the Albanese government to introduce fuel efficiency standards to bring more low- and zero-emissions vehicles into the country.
The statement arrives just weeks before the May budget and months after the government received more than 500 submissions to its national electric vehicle strategy paper.
In the statement, local government officials urged the government to introduce a standard that was mandatory, equivalent to those in other countries, that would encourage the import of more low and zero-emission vehicles, and that would be reviewed every five years.
The Bendigo mayor, Andrea Metcalf, said a fuel efficiency standard could help her Victorian community as it was struggling to meet its electric vehicle aims.
The city of greater Bendigo has a goal to transition more than 100 light fleet to electric vehicles by 2030, however we are held back by the limited options available in Australia at the right price point.
We also know that some people in our community are in a similar position.
The Mitcham mayor, Heather Holmes-Ross, said the South Australian council also faced waiting periods of many months to access electric vehicles, delaying their adoption.
“The implementation of fuel-efficiency standards is essential if we are to lead our community in EV uptake,” she said.
The Climate Council advocacy head, Jennifer Rayner, said feedback from local government organisations showed many were finding it difficult to secure large orders of electric vehicles or to find the models they needed.
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Evacuations in Western Australia as cyclone gathers strength
Evacuations are under way in Western Australia’s north-west as tourists, miners and pastoralists flee the projected path of a strengthening cyclone, AAP reports.
Tropical Cyclone Ilsa is now a category two system off the Kimberley coast, about 350km north-west of Broome.
Ilsa is forecast to track south over the next two days and become a potentially destructive category four system before crossing the coast north-east of Port Hedland early on Friday.
The fire and emergency services commissioner, Darren Klemm, said remote Aboriginal communities, pastoral stations, mines and tourism operators in its path had been contacted.
Workers at Wallal Downs cattle station, Newcrest’s Telfer mine and caravan parks are being evacuated, along with non-critical workers at BHP’s sites across the region.
People living in structures that are not built to withstand a category four weather event have been told to move out of the area.
“It’s been 10 years since we’ve had a category four cyclone impact the coast of WA and so many people up in the Pilbara and the Kimberley wouldn’t have experienced that sort of impact,” Klemm said.
Extra emergency workers, essential supplies and aircraft have also been sent to the region.
Klemm said the North West Coastal Highway between Port Hedland and Broome would probably close in the coming days due to flooding. The Port Hedland port will be cleared of vessels, including iron ore carriers, on Wednesday.
“People need to make sure they’re well prepared for winds in excess of 200km/h, which is going to be significant,” Klemm said.
Todd Smith, a Bureau of Meteorology spokesperson, said the cyclone would rapidly grow in strength over the coming days and its impacts would be felt across a wide area between Broome and Port Hedland.
“It’s going to cause a lot of damage to trees, vegetation and any buildings and infrastructure that aren’t up to code, and caravans, cars are going to get blown around,” he said.
Smith warned abnormally high tides, large waves and flooding are possible and people should avoid coastal and low-lying areas.
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China vows to ‘re-establish trust’ with Australia
The Chinese government has said it will work constructively with Australia to “resolve our respective concerns on trade and economic issues in a balanced way”.
The comments follow the Australian government’s announcement yesterday of a “pathway” to a possible resolution of the long-running dispute over Beijing’s 80% tariffs on Australian barley.
The Australian government said it will temporarily suspend its World Trade Organization (WTO) dispute as China promises to review its barley tariffs over the next three to four months. Australia said it will resume the WTO challenge if Beijing doesn’t scrap the tariffs at the end of that review.
Wang Wenbin, a Chinese foreign ministry spokesperson, told reporters in Beijing overnight that the two economies “have a lot to offer each other and such cooperation is good for both sides”.
He said improving the relationship between China and Australia was “not only in the fundamental interest of both peoples, but also conducive to peace and development in the Asia-Pacific and beyond”.
Wang said China was “ready to work with Australia to further implement the important common understandings reached between the leaders at their Bali meeting” in November and also between the foreign ministers in December:
By following the principles of mutual respect, mutual benefit and seeking common ground while shelving differences, we aim to re-establish trust between the two countries and bring bilateral relations to the right track and, in this process, resolve our respective concerns on trade and economic issues in a balanced way through constructive consultation to the benefit of both peoples.
For analysis of the potential barley off-ramp, see this piece from last night:
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Welcome
Good morning and welcome to our rolling news coverage. I’m Martin Farrer and I’ll be bringing you some of the top stories before my colleague takes the reins.
We have an exclusive this morning from our chief political correspondent, Paul Karp. He reports that banks will be compelled to hand over the data of 1.7 million landlords, including transaction details, as part of a tax office crackdown in search of $1.3bn in revenue lost from residential investment properties. More coming on that story.
After news that Australia has reached a deal with China that may lead to the removal of tariffs on barley introduced at the height of diplomatic tensions in 2020, officials in Beijing have said they will work constructively with Canberra to “resolve our respective concerns on trade and economic issues in a balanced way” and “reestablish trust” between the two countries.
Tributes are being paid to John Olsen, one of Australia’s most celebrated artists, who has died aged 95. Olsen, who was best known for his landscapes and won the Archibald prize in 2005, died on Tuesday evening surrounded by his family.