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(generated from captions) in a row. and this is the second time Girls, is he a good leader? GIRLS: Yeah. You happy with this choice? of the next island challenge? Shall we reveal the name

Yeah. Yes. and let's find out. Place your hands on the outer ring,

What does that say?

Pedal of Peril. Anna, any ideas? something to do with a bike, I think it's gonna have cos of the pedalling. to do with peril... (LAUGHS) And something going to be something scary. It's probably 'Anna's right. And it is scary. bridge between two giant towers. The island has built a precarious will see the adventurers And this challenge as they can... without falling. trying to pedal across as far Alex from Sting's not happy...' Next time, that I wasn't picked for it. I was really disappointed the weaknesses in Limbo.' 'The island tests there is a weakness in Limbo. I don't think in Pedal of Peril.' 'And the adventurers plummet Ah! Captions by CSI

This Program Is Captioned Live.

Good morning. Leaders from 21

meeting in Peru have pledged to Good morning. Leaders from 21 nations

resist protectionist measures no

matter how punishing the global

downturn gets. The APEC gathering in

the Peruvian capital Lima is seeking

to build on last weekend's G20

which proposed no new trade barriers to build on last weekend's G20 summit

over the next 12 months. At what's

expected to be his final appearance

at an international forum US

President George W Bush offered a

sweeping defence of free trade.

Unseasonal strong cold winds have

swept across the eastern states with

snow in the alps while

south-east Queensland had a welcome snow in the alps while storm-battered

reprieve. The Bureau predicted a

massive front with hail and 100

kilometre per hour winds. However

westerly winds meant the kilometre per hour winds. However dry

thunderstorms couldn't get going

although the strong winds did cause

some damage with three people

by falling trees. In Rugby League some damage with three people injured

Zealand staged the biggest upset in by falling trees. In Rugby League New

World Cup history beating Australia

in the final at Lang Park in

Brisbane. The Kiwis stunned the

and nine-time World Cup champions in Brisbane. The Kiwis stunned the hosts

a see-sawing and controversial

decider sealed by a penalty try. The

final score was 34-20. The win ends

Australia's 33-year domination of

World Cup. And now Insiders with Australia's 33-year domination of the

Barrie Cassidy. This Program is Captioned

Live. Good morning and welcome

to Insiders - The Rudd Government is one year-old tomorrow and the headline

question has to be symbols

versus substance. What best

characterises Rudd's first

year in office? It has been

busy, frenetic at tiles and

because the Government hit

the ground reviewing next

year's agenda will be just as

crowded. Boy the times change

this year T global financial

crisis closed 30 banks and

sent most of the world into recession. This morning we

look back over the past 12

months with the panel with

Prime Minister Julia Gillard. Paul Kelly and the Acting

First here is a reminder of

some of the more memorable

moments. I Kevin Michael

Rudd do swear I will well and

duly never the Commonwealth

of Australia, her land and

her people in the office of

Prime Minister. It gave the

Prime Minister his seat at

the table. A great honour I

present this instrument of

rattlefy case to you. It was

the first COAG meeting under

Kevin Rudd The blame game,

buck-passing, frankly it is

no way to deal the nation's

long-term problem. As Prime

Minister of Australia I'm

sorry. On behalf of the

Government of Australia, I am



The Prime Minister kicked

off an epic 17-day world

odyssey. Of course as Acting

Prime Minister... (speaks

Mandarin) Queenslanders and

Texans have a lot in

common. He announced he was

appointing the first the

female Governor General. Few

pensioners demanded a better were safe as Melbourne

deal from the Federal budget.

Do millionaire's need the

baby bonus? Well I have a

different view of that. The

external commentary on

labor's first budget in 13

years was more mixed. We

have done as much as we

physically can to provide

additional help to the family

budget. If you can't do any

more for families that are struggling and buckling under

petrol get out of the way and

give the job to somebody who

can It was true, this was

some bureaucratic advice

against FuelWatch I

understand there has been

some criticism around the

edges that some public

servants are finding the

hours a bit much. I

suppose I have news for the

public service, there will be

more. We need to have a

vision for an Asia-Pacific

community. A vision that

embraces a regional

institution T proposal I have

put today is to establish an

international commission on nuclear nonproliferation and

disarmament. The tonight

Belinda Neal went bananas at

Iguana's This is indicative

of a pattern of behaviour

which obviously is not

acceptable. I've also

reminded Belinda that none of

is, none of us are guaranteed

of a future in politics. If

you want the so an example of stress from climate change

and where it could go over

time look at what is behind

us here in terms of the

Murray-Darling system. This

is a diabolical policy

problem. Go get em


A great honour and

privilege, humbling. Here we

are in the middle of the

world's biggest economic

crisis for many decades and

he wants to collaborate with

me on the republic? Not the

economy? The global financial crisis is a call inform the global community

the act T decision by the US

Congress not the pass the

measure by the US

administration in the

stabilisation of US financial

markets is disappointing. It

was the worst day on

Australian markets since the

crash of 1987. We are in the economic equivalent of a rolling national security

crisis. So a dramatic slice

of the $22 billion surplus is

being pushed back into the

economy A $10.4 billion

economic security

strategy. The Government will

guarantee every cent of every

got in banks, building

societies and credit unions.

I have a zip! See you

later. That latest wave came

as Kevin Rudd headed off to

the APEC meeting in Peru and

he continued to talk up his

plan for a new Asia-Pacific community despite reports is

starting to founder. ABC political reporter Chris

Uhlmann is in Peru with the

Prime Minister and I spoke to

him earlier. The Prime Minister would argue rumours

of his idea of a Asia-Pacific

community are dead is

premature, Barrie. We know he

made a speech in June when

they talked about this idea

and despatched former

diplomat Dick Walcott around

the region to talk about

that. Early reports are that

has not gone well and has not

been well received but there

is a feeling abroad there are

enough forums already and

leaders are tied up in enough

of those but the Prime

Minister beg toss differ. He

has been speaking about it since before he left

Australia. He spoke about it

a I gain today here at APEC.

His idea is there is no forum

where the leader of China and

the leader of the US for

example get together and talk

about foreign policy and

economic matters, that they

need to be drawn together. Chris, more

immediately the APEC leaders

all of them have the weight

of the financial crisis on

their shoulders? Well,

Barrie, John Howard famously

said the times would suit him

and perhaps these times might

suit Kevin Rudd. That might

seem an odd thing the say

because in one sense these

are terrible times indeed

with the financial crisis and

they are likely to get worse

with the economic crisis but

there was an article written

on Gordon Brown in the Economist recently saying

this crisis had allowed him

the shake off the time

yesterday voice he spoke with in New Labour and was

speaking with a more

authentic voice. Last year

Kevin Rudd spoke about being

an economic conservative, he

was stand sing in the shadow

of John Howard. The world has

change add lot since then,

now is the time for

intervention and we are

seeing Kevin Rudd speak wing

a more authentic voice. He is

a big Government man and this

is a time for big governments

as people look if you like to

a "Daddy Government" to look

after them as the markets now

are in desperate need for

help. So perhaps cometh the

man, cometh the hour. Malcolm

Turnbull argues he knows the

markets well and that is why

people should trust him to

lead them through this. Kevin

Rudd says he knows how the

time the markets but we will

see which of those arguments

is the stronger. Chris

Uhlmann report fringe the

APEC meeting in Peru.

Overnight a contradictory

position from George Bush I

think we ought to focus our

efforts on three great forces

for economic growth - free

markets, free trade and free

people. First our nations must maintain confidence in

the power of free markets. It

is true the free market

system is not perfect. It can

be subject to excesses and

abuse, yet it is also

essential nations resist the

temptation to over-correct by imposing regulations thanks

would stifle innovation and

choke off growth. The

verdict of history is

unmistakable. The greater

threat to prosperity is not

too little Government

involvement in the market it

is too much. Bring in the

panel at this stage. Denis Atkins, very different approach between George Bush and Kevin Rudd?

Yes, very different approach and George Bush's comments illustrate the fact that he

is on the way out and if you

like the Texas Ranger

approach to financial

management is on the way out

too and also you have to

remember that behind George

Bush's words he has a drying

administration that has

performed some of the biggest Government intervention

thanks anyone has seen in

anybody's lifetime. But the

point Chris Uhlmann made is

right, it is a time of bigger

Government, of more

interventionist Government,

not necessarily too much more regulation but what Kevin

Rudd and others like to call

smarter regulation. So you

have got Kevin Rudd, you have

got Gordon Brown and now you

are about to get the biggest

policy man of them all Barack

Obama taking over in the

White House who is putting

around him some of the

smartest brains in America so

it could be that this kind of

approach is really going to

suit Kevin Rudd and will see

a very different approach It

might not make us richer

though No-one knows But I

think history has shown

over-regulation of the kind

that the new left is dreaming

of now has not made people

richer and that is what

George Bush is warning. You

may call him lame duck and

you are probably right but

his point is accurate

Absence of regulation has not

made people wealthy in the

last 6 months If you want to

take a 6-month snapshot but

over your lifetime and beyond

that capitalism has made you wealthy T younger kind of

people do not tend to

recognise that. I do not

think they are rejecting

capitalism out of hand. Dennis, what else are the newspapers putting the

emphasis on this morning in

terms of Kevin Rudd's trip

the APEC? The big story is

what is going on with his

grand man the reshape the

diplomatic architecture in

the Asia-Pacific with his

plan to have some kind of new

security and economic pact

between the countries of the

Asia-Pacific. He says it is

going well. There seems to be

little thus as from the other

leaders in the region and it

is interesting that every

time Stephen Smith the Foreign Minister who I

presume has the most contact

with the these people, every

time he starts a press

conference on this topic he

point out the plan is for

2020 . Dick Woolcott would

have been misquoted when he

gave a less than enthusiastic

response Dick Woolcott is

charged with selling it. He

says there are no takers.

Kevin Rudd whose idea it was

says it is very popular. Come

on! All my plans for 2020

are still on track! Al Coe

pops, a bit of a snag in that

debate This is about the biggest cultural revolution

of all T Rudd Government is

about to redefine beer in

Australia which is, all these

accusations about style and

substance A cracker story in

'Sun-Herald' but Josh Gordon.

Brewers are getting around

the excise scheme by brew

pink up malt-ternatives, they

are like beer. There is one

called Bolt we are thrilled

to see Clearly a fake, red

and called Bolt, I don't

believe a word of it.

Cheap, intoxicating and leads

to social crime. Spot on!

Leads the happy people. The

interesting thing here is the

same thing with the alcopops,

what the concern is about is

sweet drinks. It is a war

against sweetness and this is

bizarre. What next? Are we

going the abolish

rose. Andrew, one other

political story, petro has

confirmed he will leave at

the next election?

Yes, this will come as a

great disappointment to many

in the Labor party but not so

much to many Liberal Party

faithful who think that Petro

who is hailed by the peeda

generally as up holding the

most finest and traditional

Liberal virtues will have

seen him as not quit as

useful to the Liberal Party

as he used to be, particularly holding such a

safe seat and it will be a

chance for the Liberal Party

to debate the values is for.

Is a seat, the preselection should go to someone who is

the future of the Liberal

Party and that is so safe so

just exactly who the forces

the align behind will be a

statement of where the

Liberal Party goes in the

future A quick word of

defence of Petro, I think whatever your views and

whether they coincide with

those of his you could never

argue about the fact that

that man has a great strength

of opinion and character. It

took a lot for him to

continue with his views,

continue lobbying The left

love him. I don't doubt that

but I think... for most this

period, most of his Liberal

Party colleagues did not

appreciate what he was

doing. I tonight a quote in

the paper, they will be

canvassing far and wide

Thanks for the call this

morning Josh. In other words

he is a certain starter John

Rostrom is not a certain

starter but here are two

people examples of what the

Liberal Party could have

debate about. Josh is more

conservative as is John. Higgins might be available down the track.

They could share it I guess

Either would make a great contribution the Parliament.

It is that sort of seat. That

is the papers A special 'Your Shout' this morning, Mike

Bowers take as stroll down

the street where Kevin Rudd

was brought up and you get

some surprising results but

now to Julia Gillard our

studio guess an here is

Malcolm Turnbull the Leader

of the Opposition reflecting

on the first year of the Rudd

Government Throughout his

year in office Mr Rudd has

had a political strategy but

no economic strategy.

Everything has been focused

on the grand gesture t

headline. We had Mr Swan and

Mr Rudd talking up inflation.

They egged on the Reserve

Bank to put on interest rates

at precise think wrong time.

We have seen it with the bank

got guarantees. You have seen

witness the absurd FuelWatch

scheme. There is a long list.

It has been a Government of

spin. It has not been a Government of substance. They

have got to get off the

politics and the spin and

focus on solid economic

managementment. That is what

Australia needs, real

leadership. Julia Gillard good morning Good morning,

bar y. What do you say to

that question, simple bombs

over sub stance? You would

ex-peck t turn turn to say

that, he is the lead er of

the open situation and a

clever poll dish ian but this

is a Government which has

delivered on its promises. We

believed I was very important to rebuild faith in

Government by doing what we

promised after the Howard era

of core and non-core promises

we have said what we said we

were going to do. We have put

in place the long-term

foundations of reform. These

have not been easy jobs, they

have been made harder by the

global financial crisis but

we have stayed on track. But

in the time available in what way have you substantially

changed the country? Snchts

in the early days we ratified

Kyoto and ended the decade of

climate change denial and

in-action that characterisesed the Liberal

Party. We finally apologised

to the Stolen Generations of indigenous Australians and we

set up a system with Jenny

Mack when for indigenous

results. We have ended the

workplace agreements the most

hated part of WorkChoices and

we delivered in the May

budget $55 billion to support families including tax cuts,

new money into the childcare

tax rebate to lift the burden

of fees. Since the global

financial crisis has come

along obviously we have done

everything we can to stay in

front and to keep this

economy growing. That has

changed so much. Do you now

see not only will you have

that challenge to deal with

in the future but it will

frustrate your effort to

bring about the reforms you

talk about? This is a Government that has always

been very clear on its

priorities. We have said we

wanted to invest in an

education revolution, that

was bore to the chance of

every child in the nation.

But also important to long-term prosperity and we

wanted to invest in the

things that families rely on

in Health Services for

example. As we move into the council of Australian governments next weekend we

will be pursuing those

priorities. In my own area of education I have consist

didn'tly said there is

nothing more important to a

child's education the quality

of the teacher in front of

the classroom and that is why

we are going to bring new

money, new investments into

quality teaching. But

something has to give. Things

have changed We have had $40

billion knocked out of our

revenues. We have been clear

with the states t Australian

nation that that will have an

effect. That means you have

to be even more focused on

your priorities and making

smart investments there. That

is what we intend to do. That

is what our investments in

teacher quality are about.

Picketing absolute pivot

point that make as difference

for a child's education T

quality of the teacher standing in front of the class. One suggestside

calling it a revolution is a

bit rich. Where are you going

to put the priorities? The

industry is still waiting. Is

it going to be in primary,

secondary, Teshy, where will

you start? . We have invested

in 116,000 computers. $90

million into new trades

training centres, steps being

taken forward on a new

national curriculum. Where do

we go from here? I would

like to see us next Saturday

at the council of Australian

governments put new investment into teacher

quality. New investment into

disadvantaged schools then

next year we will respond to

the Bradley review into

higher education and be

shaping the future of both

universities and vocational

education and train in in

this country. So teachers are

the priority? Quality

teaching is the thing that

make the biggest difference

to a child's learning outcomes. The evidence right

around the world would tell

you, you cannot have a better

education system in the

quality of the teachers who

teach in it. If you want to

lift quality you need to lift

teacher quality. Paid

maternity leave, I'm sure

there are a lot of people

urging you to make sure that

does not fall off the table?

We have invoicety debated

paid maternity leave. We

promised at the election we

could get the Productivity

Commission to look at it.

They have have and their

process is still in train for

finalisation. We have said we

will look at the final

results and they will need to

be weighed in the budget

process. Yes these are difficult days. Government

revenues had a $40 billion

hole punched in them because

of the global financial

crisis. It will require us to

be very concentrated on the

key priorities. Paid maternity leave is something

we believe is important but

we will look at the final Productivity Commission

report and we will weigh it

in the budget process. So

when something has to give it

might be paid maternity leave

and you introduce that when

you can afford it not

before? It will be a

difficult budget

circumstance. We deliberately

created a big surplus in the

May budget so we would have

money to invest if necessary

and it has been necessary. We

have seen the biggest

financial crisis possibly since the Great Depression.

We have seen economies around

the world moving into

recession. We have used some

of that money, $10.4 billion

to help this economy stain

front. We are committed to

looking at fast-tracking

infrastructure and making announcements in December.

Come next May budget we will

be focused on key priorities.

Obviously we want to be in

the business of looking at

paid maternity leave, that is

why we will the productivity

commission report on it. But

we will deal with the final

brie orty setting in the

budget. It is the only

responsible thing to do. Do you think Kevin Rudd is

getting the best out of his team or should he heed Bob

Hawke's advice and set some

of them free? I think Kevin

is getting the best out of

his team. He has made some

generous comments about the

team during the course of

some interest sues on the

one-year anniversary. I think

the team has worked well

together and worked well

together supporting him. Do

you feel you have all the

freedom you need? We

necessarily have certain

processes and so we should

but ministers are there day

the day getting on with the

job, delivering the promises,

building the foundations of

long-term reform. Taking

their ideas the Cabinet table

where they are worked through

and I think the team has

responded well to move in from opposition into

Government and they have got

on with the job that we have

asked them to do, deliver the promises, build the

foundations of long-term

reform. You say at the end of

the firster a reshuffle is

the furthest thing from his

mind? . I think it is the

furthest thing from his mind

and he has been very clear,

there will be no

reshuffle. Wayne Swan has the

toughest job of all What the

Prime Minister has said, some reshuffle speculation for

whatever reason has come into

the media about the potential

of a reshuffle over the Christmas period and the

Prime Minister has ruled that

out. More immediate issues -

can you under that a loft

parents are worried they have

not been able to lock in

childcare arrangements for

next year? I can absolutely

under that. The ABC Learning

situation has made mums and

dads around the country very

anxious. They rely on chilled

care to go to work. We

provided stability for them

by making available to the

receiver up to $22 million so

they knew exactly what would

happen until 31 December this year, that is they would

still be able to get the

childcare they needed. The

receiver and my team who are working with the receiver are

working as hard as they can

and the receiver is working

as hard as he can to make an

announcement about 2009 as

soon as possible. What sort

of shape can that taking go

into next year? The

receiver has been clear he

has had to work through this

centre by centre and when he

makes the announcement which

he is working onto make as

soon as possible with my team

working alongside him, he

will be clarifying the future

of centres for mums and

dads. You seem to be

suggesting that the Federal

Government will manage the

sector more tightly in the

future. Is that one of the

lessons and how do you do

that when it is essentially a

state responsibility anyway?

What I have said - and I

absolutely believe - is the

Liberal Government made a

major error in uncaping the

number of childcare places

and then letting the market

rip. Now the error was not in

uncaping places, mums and dads needed childcare for

their children, the problem

was letting the market rip so

they had no quality plan, no

work force plan, no plan to bring childcare centres to

places without them. No way

of managing this market.

Every day since we have been

elected to Government we have

been building those things in

childcare a new quality plan,

working with states and

territories, bringing accreditation an licensing

together so they work together, a new work force

plan a new plan to bring

childcare centres to where

they are needed. Following the ABC Learning collapse

obviously we are going to

look at further measures

necessary in childcare and my

colleague Chris bow wan has pointed out our moves on creeping acquisitions would have made a difference in

terms of this big consolidation of the

childcare system into the

hands of one company. You do

not think it will get worse?

ABC Learning obviously has

had the voluntary

administration problem. A

company associated in a transaction with ABC

Learning, CFK has had a

problem, but right around

this country childcare

centres are run by people,

some of them seeking to earn

a profit, some of them representatives of community organisations that do not

seek to make a profit, and

they run perfectly viable,

perfectly stable childcare

centres that will be there in

5 and 10 years time so there

is nothing fundamentally

wrong with the childcare

model in that sense. You can

run a stable viable quality

centre. ABC Learning got into

difficulties and it is

causing associate

difficulties for CFK. On

industrial relations and unions running television

advertisements from today

critical of your new laws.

Here is one advertisement

that features a retired judge Unfortunately not all

Australian workers are equal

before the law. Construction workers are subject to

industrial laws such as we

have never before seen in

this country. They can be

fined up to $22,000 for

stopping work and jailed for

up to 6 months for refusing

to answer questions about a

workplace meeting. One law

for construction workers,

another law for everybody

else. So as they see it the

Australian building

construction commission

imposes laws and regulations

and standards on them that do not apply anywhere else in

the industry Can I say this

about workplace relations

generally, we promised to sweep WorkChoices away and we

will and I can confirm the legislation to do that will

be introduced into the

Parliament on Tuesday so it

is a short 48 hours away.

That will deliver on the

promises we gave the

Australian people in our

forward with fairness policy

document. You hope to get

that through in the next fortnight? We hope to get it through House of

Representatives in the next fortnight then in evidence

the bring there will be a

Senate committee process and

we will be asking the Senate

the deal with that

expeditiously and to deal

with the legislation in

February next year. Then on

the ABCCt building and

construction commission, we

see it in our policy document

Forward with Fairness that we

would have a measured process

for change that, we would

abolish the ABCC on 31

January 2010. It would be

replaced by a new

inspectorate in our new

industrial umpire Fair Work

Australia and we would have a

consultative procession that

change. We are having that

and we have retired judge

Murray Wilcox leading that

process. You would not have

left it in place for all this

time if you did not believe construction workers brought

it on themselves? We have

been very clear that whatever

industry it is people have to

comply with the law. The

building industry can be a

tough game, in the building

industry we have say people

have to comply with the law.

That is true of employers,

employees and of unions, and

we have said there would

always be a tough cop on the

beat in building and

construction. That tough cop

on the beat will be in our

new specialist inspectorate

in Fair Work Australia and

His Honour Murray Wilcox is

working through the process with all industry

stakeholders to design the

weigh-in which that tough cop

on the beat will work. But in

the meantime they are treated differently and in your view

did they deserve that

status? I have no tolerance

for unlawful conduct. When I

look at the building industry

I see problems on both sides.

On the building workers who

have not got their

superannuation or not got

proper payments when they

were due them so there is a

problem with employers not

complying the law. Of course there has been problems from

time to time with unlawful

industrial conduct by

employees and the message is

a simple one to everybody in

the industry - the law is the

law, everybody must comply

with it and there is no tolerance for none comply

yans. At the latest count by

the time tomorrow rolls

around you will have been

Acting Prime Minister for 69

days. This is a pattern that

will be repeated year in,

year out while Kevin Rudd is the Prime Minister? I'm glad

you have added it up, Barrie,

because I have not, but obviously the Prime Minister

this year has travelled overseas on very important

missions T one he is on new

at APEC obviously will be

around a set of discussion

about the global financial crisis, about what happened

at G20, about the message for developed economies. About

how we are going to deal with

this crisis together.

Including fiscal stimulus and better financial regulation so these trips are necessary and when the Prime Minister

is away obviously it falls

the me to mind the store. Are

you enjoying it #12346r7b89s

well, you know, I love the

job I do day the day, I love

doing the education an

workplace relations work. I love being Deputy Prime

Minister and that gives me a sex responsibilities and I'm

happy the mind the store when the Prime Minister is away.

I'm Mike Bowers and I'm

here in Princess street Nambour to take the temperature of the Kevin

Rudd's Government first year

with the people who used to

live in the street with him.

If the reception of the dogs

is anything to go by this

could be very sent ining!

This is Faye Barber who used

to be Kevin's history

teacher. What was he like at

school? Brilliant. He was dux

the year I taught him, 1974.

He had As in every single

subject he studied and he was

just beyond belief. Was it a threatening thing the prepare

for a lesson with Kevin? In

some ways, yes, because he

was very analytical so I

would prepare a lesson and he

would also prepare a lesson!

Then we would have this

secret dialogue. If you had

to write Kevin's report card

for his first year in offers,

what mark would he

get? Trying hard and

achieving almost the

impossible. I would have the

say he has set immense goals

for himself. Did he dissplay those boundless amounts of

energy at school? He was

always in the school musical.

They tell me he played cricket. I did not ever see

him play cricket but yes, I

think he was pretty busy

nonstop. Did you get thinking

link at the time you thought this guy might be Prime

Minister one day? I think he

was determined to be the

Prime Minister from age 15

on. We are talking to Jean

Woodhouse at number 8. Jean,

did you know Kevin? I did,

yes, I knew him when he was

small. I worked on his

parents dairy farm and he was

one 2-year-old when he was a

very sick little boy, he had

dislocated hips when he was

born and his mum had to take

him to Brisbane and get big

like steel things all down

his legs and he had to sort

of move them apart in the

middle because he could not

move his feet and he had to

stay like that for 12 months

and he could only lie on his

back and he used to cry day

and night. What was he like

as a teenager? Very good,

very well behaved. Very good,

yes, you would have been

proud of him if he was yours. There is a certain

amount of pride in this

street, that he lived in it.

Does that count for the whole

of Nambour? Is there a

certain amount of pride here?

No, he has his people that

would probably dislike him

immensely but he has never

given us any reason to

dislike him. There has been a

certain amount of criticism

he travels too much, he is

out of the country too much.

Do you think this is a valid

point? I agree with that

thoroughly and I know he will

not mind me saying that

because he is - well, I am

like a mum to him so he would

not be game to give me any

cheek. How has he gone in his

first year? Struggled in

some spots but I would like

to see him do more with the

hospitals on his list because unfortunately t hospital

everybody will use it sooner

or later and definitely the

schools and third think poor

old seniors need to be helped

along! Apart from those things what do you hope to

see in the next year of a

Rudd Government? Less

travelling overseas

definitely and I do not like

having the pay these big

salaries to former Prime

Ministers, definitely not!

There you have it Kevin,

straight from someone who who

used to nurse you as a kid,

Solicen up!

This is Bob Fawkner a

long-time local resident of

those areas. Did you know

Kevin? Yes, at various public

functions I got to know him a

bit but not intimately or

anything like that. How do

you think he is going? Yeah,

I think he is going pretty

well. They always say it is

good to be lucky as

politician, I think he has

been pretty lucky Kevin. Thus

economic crisis he is right

in the middle of at the moment gives him the chance

to strut the international

stage and exercise all those

skills and he is doing that

very well I think. Was there

thinking link as a younger

man he was going to be like

this do you think? When I

first came across Kevin I did

not give him a great chance

of kicking on in the

political game but then after

after the Latham debacle I

think anybody had a bit of a

chance didn't they? If

there is one thing you would

like to see in the next year

of a Rudd Labor Government

what would you like the see?

I think the real challenge

is for him and for everyone

for him to get on top of this

economic crisis that we have

and if he comes into that

well he will end up being a

very notable Prime Minister,

that is pie view. Do you

think he has one eye on

history? They all have. You

have to have a big eget and I think he is well equipped in

that area. Well done Mike

Bowers. I love that moment

when the history teacher said

she would prefer a lesson and

so would Kevin and she

battled to city ahead of

them There would be a

secratic discussion It is

difficult to imagine what

Kevin Rudd would be like as a

schoolboy but the idea of the secratic dialogue He asks

the questions and answers

them! He was having that

kind of dialogue with some

kids in Peru and these pictures are just in. Have a

being loo at this My name is

k at this My name is Kevin.

I reckon there is a theme

here T proximity of nuns

causes him to speak in

tongues. Remember World Youth

Day. The group of Australian

nuns were working with at the

slums in Peru and he made a

visit there while at the APEC

meeting T first 12 months of

the Rudd years began with the

signing of Kyoto but the big

decisions on the environment

are still ahead?

Absolutely. Is so interesting

when Julia, when she was

asked by you to nominate the

two things that have changed

the country. The first two

things see said were Kyoto

which is signing a piece of

paper and nothing has come of

that. We are still the see

the emissions trading scheme.

The other was the "Sorry"

which again was a piece of

paper and we have not seen

anything come of either. It

is so interesting that in a

sense the financial crisis

while you do not wish that on

anyone and it has caused a

lot of pain out there, has

given Rudd finally something

substantial to work on.

Before then it was just all

the symbols and I think in a

sense this will to be thing

that defines him, tests him

and gives him his chance of

greatness. I think you are

right there is - in a way

Prime Ministers get defined

by the things they don't ban

not the things they do planch

I completely disagree with

you on the "Sorry" front.

That is so much more than a

piece of paper. Kyoto has

been ancient history because

we had been obliging and

living up the the Kyoto

protocol and committed to by the Howard Government in

1997, we are sticking the on

it but not sign sing it, this bizarre war of words But

when you are a new Government

you have to mark a bit of

territory and demonstrate the

old administration has gone

and I think that was what

that was about and it was

sending a signal the all the

people who voted for Labor

and for Kevin Rudd it was

worth doing because we are

different and we are doing

this. The other thing which

has now been long forgotten

but the other thing during

that first week or so, he

told all his caucus members

to go out and spend a night

with the homeless. There is a

white paper, 'Green Paper'

working through the system on

that and hopefully something

will come of it but there is

a different thing saying "We

are a different

administration" which is

smart politics if you get

elected. The 2020 summit came

along and in 2020 behind

sight what will emerge from

that and is the money there

in the first place? Some

people but very, very few

recognise this was a completely in substantial

stunt and it went with the

Kyoto and the Stolen

Generations and I just add

tKyoto is about tackling the

climate change that stopped

10 years ago and the Stolen

Generation is an apology to a

Stolen Generation and you

could possibly not name 10

stolen children. This 2020

summit was incredible. At the

time so many journalists

treated it seriously as

really providing solutions

for the future. So many

journalists were a part of

it Exactly, which I think is

a low mark in journalism. Now

we are not even breathless

with an is the pration for

Kevin Rudd's official

response to this suggestions

raised at the time. We real

eyes now how in substantial,

out-of-time they were. I

think a lot of journalists

were very sceptical about it

Why did they participate in

it? Many more reported on

it than participated in it.

The 2020 summit is a perfect

example of what Dennis was

talking about. I can see it

as nothing for Kevin Rudd to

say "I'm the new guy in town,

you are all invited to come

and blabber away for a

weekend and we will put it in

a big book and forget about

it!" Depending which way you

look at it, it was the high

watermark or low watermark of

feel-good politics T only

substantial thing we got out

of it was the Ken Henry Ray

view on taxation. Something

good might come of that but

you did not need a 2020

summit to come up with that

idea There is another

element Dennis. A lot of what

you say is absolutely true

but the other element is that

it goes into Kevin Rudd's

remarkable need to vount

themselves with names, to surround himself with names

and name-drop and bring in

the cultural elite which was

very successful 9998

ordinary Australians, Hugh

Jackman and Kate Blanchette.

The budget, the $22 billion

surplus. Beyond the budget

the financial crisis hit and

Paul Kelly political

commentator with the 'The

Australian' that changed

everything It did, it meant

that Kevin Rudd had to recast

his economic policy and

remake his political

strategy. He seized the

crisis. He present himself as

the man for the moments. His

Nar #2i6 was he will save Australians from the global

recession or at least

minimise the impact of the

global downturn and in this

sense he is trying to depict

himself as a electronic

leader. He has moved a long

way Tfiscal conservative of

2007 is now the big spender

of 2008. The very cautious

Prime Minister we saw at the

start of the year now says

that he is the decisive man

of action T leader who

boosted about the budget

surplus, stairs down the gun

Barrett next year of a very

substantial budget deficit. The organising principle here

in policy terms is this will

be a highly interventionist

Government. Next year things

get very, very ugly, it will

be very tough T budget

process will be extremely difficult T fundamental

question is will the downturn

destroy the Rudd Government?

I do not think it necessarily

will. I think Rudd has

established himself in such a

strong way it is ?for him the

survive a very severe downturn. It is difficult to

look beyond the crisis but

what else stands out for you

during the last 12 months?

There are some Big Ben much

marks, Barrie. The apology

the tin dig news people T

point the make about the

apology is it is not just

about the the past, it is

about the full. Rudd said the

real meaning of the apology

was to narrow the gap between

indigenous and non-Indigenous

Australians in terms of

living standards so he has

very ambitious objectives

there. The point to make

about climate change is not

so much Kyoto. Rudd is

committed in 201the pricing

carbon and going ahead with

the ETS. This is a big structural change to the

Australian economy. The other

benchmark is COAG, that comes

to a head next weekend. He

wants the redefine and

reshape Federal-state

relations. Frankly I have a

very severe question-mark

about how much he will

actually be able to do there

and finally foreign policy.

He has travelled moreover

seas in the first year than

any other Prime Minister. Can

I tell you, he is on the

phone all the time to other

world leaders. This is a very

major project for Kevin Rudd, Australian foreign

policy. Paul, summing up, 12

months in what sort of a Prime Minister do you think

he is proving to be? He is

a bundle of contradictions,

Barrie, but you have to stay

the outstanding feature is he

is a very good politician. He

looks comfortable and assured

as Prime Minister. He is

trying to project as the

natural Prime Minister. In

the polls he is standing

today - his standing today is

higher than what it was when

he won the election in late

207. He controls and

dominates his Government very much, although one should

note here in passing that

Julia Gillard has a very

strong profile as Deputy

Prime Minister and as Acting

Prime Minister. Rudd is a

populist, he is a policy man.

He believes in consensus. He

hates offending people. There

are no Rudd laters today the

way there were Howard laters

just after 12 months because

of the way Howard had handled

Pauline Hanson but I think at

the end of the day Rudd

should consider, he should

have a hard look at the way

the Government is operating.

I think the priorities are

not sorted out. I think the

quality of public

administration is not good. I

think that we still have not

seen Rudd take hard decisions

and I do not know had the way

he actually operates is in fact thenible for the

long-term. Paul Kelly thank

you for that. If two event

demonstrate how thing haves

changed and how dramatically

they have changed we will go

back to the campaign speech

just over a year ago then the

meeting with the mayors and the shire presidents this

week. Have a look at this

Today I'm saying loud and

clear that this sort service

reckless spending must

stop. Our intention is to

have this spending done as

quickly as possible. Fair

enough! I mean times have

changed and so are the

priorities Not fair enough

Barrie. What the Reserve Bank

Governor is say sing he is

warning about that reckless

behaviours, be careful about

how you spend This is spend

$300 million in 10 months or

lose it, we do not care how

you spend it just spend it, as long as it is not on

roads. That is about the only

thing that is spared. When

you shower money like that at people whose own business

pork barrels it will get

wasted. Just give to it the

public. You think at the

local level they will keep a

close eye on where it is

spent and they will have a

good sense of how it is spent

or not? You would hope they

would. The local Government

sector in Australia has lost

its share of overall tax

revenue at both State and

Federal levels so there is a

shortfall and it has built up

over a long period of time.

There is a lot you can do - I

mean I think it would be

terrific if they all spent it

on public libraries. There is

a tremendous need in every

local Government authority in

the country for additional

services and additional community infrastructure.

Blue whether and a tremendous need for

A tremendous need for twin

city in St Petersburg. Come

on! I think the big

political story here is in

the space of one calendar

year or just at bit over

Kevin Rudd has managed the

recalibrate public expectation toss wean people

off copious centralised

Government spending which is

what he spent the last

campaign doing in that

campaign speech he was all about "I'm going to stop

giving you money" and

everybody said "Brilliant,

please close down my

hospitals! Marvellous" but in

his first year in Government

he has turned it around again

and now public spending is a

good thing. It is

extraordinary and a tribute

to just how destabilising and

anarchic this is But through

all that Glenn Stevens is

right. If they go crazy and

spend money on crazy schemes

and non-productive things then the public will turn

against that. We have to move

on but in terms of the

performance of the ministry overall Bob Hawke had some

advice during the week for

Kevin Rudd You get your best

out of ministers if you just

give them free reign. When I

came in I said the my ministers only two circumstances which I will be

involved in your portfolio,

one is if you ask me and two

if there is an issue that

arise that's has a whole-of-Government con

anything and there again I

think Kevin would probably,

you know, get, you know,

greater, you know, output

from others if there was a

slightly freer rein. On the other hand and Kevin Rudd may

have been a bit of a control

freak in this sense but some

of the ministers have been a

bit lacklustre but be in has

screwed up in a year and compare with that John

Howard's first year in

office, we have all

complained about the control

freak side of Kevin Rudd's political operation but if

you look back over the year

it has worked pretty well. He

has had historically one of

the most trouble-free first

years of any Prime Minister.

Result-free, trouble-free,

that is a good outcome? I think you are right. You have

to do something in order to

make a mistake It is inning

to hear Bob Hawke's analysis.

It points up the

quintessential difference

between those two guys

styles, Bob Hawke was a

specialist in creating

tension, he loved to walk-in

to a room full of people

warring with each other

trying to hammer out a consensus Bob Hawke pound

for pound his front bench was

better, far better. There are

some very good ones on Kevin

Rudd's front bench like Julia

Gillard who ironically does

get the freedom and Lindsay Tanner but it tails off

pretty rapidly really. On the

other side of politics

Malcolm Turnbull has replaced

Brendan Nelson but the polls

have not shiftside One poll

has, that is the approval of

the opposition leader.

Malcolm Turnbull has some political capital in the bank

there but yeah, on two-party

referred and on the

difference between preferred

Prime Minister the gap is as

big as it was before Brendan

Nelson left The problem for opposition leaders at times

like these are all eyes are focused on the guy who is

actually in a position to do something about what is happening The circumstance

are different, true. But it

is also true the say that

Brendan Nelson somehow had the antipathy of the press

gallery to battle with in a

way that Malcolm Turnbull

doesn't, I think it is odd

that they both get the same

results in a two-party

referred terms but one got savaged and one gets a

pass. More with our panel

shortly, Annabel Crabb, Denis

Atkins and Andrew Bolt but

first here is Mike Bowers

Talking Pictures on location

in Kevin Rudd's electorate.

I'm Mike Bowers and we

have come do the Big

Pineapple in Nambour

Queensland for a very special

edition of Talking Pictures.

It is a celebration of

everything Kevin and I'm

joined by a man who is

Queensland royalty and his

credentials cannot be

questioned Queensland-wise. I

feel like we are in the cone

of silence t nut train Yes,

the special nut-mobile that

Charles and Di road in. Kevin

could not be here because he

is everywhere else. We got

him here in spirit and it

took a cartoonist to pint out

the pineapple was not a bad

likeness but the you-lick

needs breaking down. Sean it

has been a year. Does it seem

like a year? It does not

It has been a lot of fun and

time flies when you are

having fun. He certainly has

given you guys no shortage of

things to draw. We will get

into some of the stuff from

the week T Prime Minister started the week in

Washington. Everyone was very

keen the see if this was

going to be a fallout with the previous President George

Bush and whether relations

are frozen somewhat Yes, Frosty the Snowman was

playing I think instead of

Hail to the Chief. G 20,

"Gee, you are going to stay

20 kilometres from me over

dinner". A Great Warren cartoon.

Mark Knight has the

Howard years on the White

House television. I wonder

if this is that kind of sad

scene that Baz Luhrmann had

to cut out of Australia, you

know. Love gone wrong.

Jilted lover almost Speaking

of Australia. David Pope.

Downer as nick Col Kidman is

very disturbing A little too

close to reality. John

Howard as Hugh Jackman that

is a look I have never

seen. Cos tell yes as the

trusty steed the horse he is

riding who never bucked him

off. Oprah Winfrey was right,

they never make romantic

epics like that any more

This is my favourite. Run us

through this? Kevin at the

Australian Council of local Government meeting handing

out the donation the the

councillors sand the

councillor says - It is the

Kevin slush fund being

alluded to there. A nice

drawing too. I wonder if

there is any money for the

Big Pineapple. We might ask

about that later. The

incomparable David Rowe who -

you think this is a bit Bob

Jelly? Yes, the councillor

from hell. Look like he will

built any monument for Rudd.

The big Kev would look nice

here on the hill

Yes, it would. There is a

niche market for tourism

there. You have picked up on

the zone there must be more

than one Kevin because of the

way he appears everywhere

That is the unwritten story.

Kevin 08 the secret. Run us

through this. A few Rudds

with the little keys in their back one says -

There is 8 of them there

by the way. U is a