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World trade ministers prepare for talks

World trade ministers prepare for talks

Broadcast: 19/09/2006

Reporter: Helen Brown

Trade ministers from 18 nations are in the Queensland city of Cairns preparing for two days of
intense negotiations to try and find a way to re-start talks about world trade.


TONY JONES: Well, ministers from 18 nations are settling into the tropical Queensland city of
Cairns tonight, preparing for two days of intense negotiations to try to find a way to restart
world trade talks. The PM, and the Trade Minister and Deputy PM, Mark Vaile, is asking for the
nations to cut tariffs and the level of support given by individual countries to farmers by a
further 5 per cent. The stakes are high for the so called Cairns Group. It has to find a way to
convince heavyweights, such as Europe, and developing nations like India to come back to the
negotiating table. Helen Brown reports.

HELEN BROWN: Farm leaders have converged on Cairns to meet the ministers and deliver a clear

DAVID CROMBIE: We're calling on the ministers, in their meetings tomorrow, to be ambitious, to be
brave and to deliver.

HELEN BROWN: The farming representatives are worried that talks about the further reform of world
trade won't restart unless some significant changes are made by the 150 participating nations. The
DOHA round, as it's called, stalled earlier this year when the key players refused to further
reduce tariffs or the level of money and support given to their own farmers.

ALEJANDRO DELFINI: DOHA must be relaunched somehow, and the sooner the better. We have a
tremendous, tremendous responsibility.

HELEN BROWN: The Cairns Group was set up by farm exporting nations in a bid to gain fair and
increased access to international markets. Twenty years later the forum has moved back to where it
started. But it could be argued that the stakes facing the group are now much higher.

PETER GALLAGHER: Over the past few years those surpluses and deficits have grown to the point
where, sooner or later, the market is going to adjust them.

HELEN BROWN: The World Bank has come out today and said the trade impasse is a threat to economic
growth. Peter Gallagher was involved in the setting up of the Cairns Group. He says the latest
warnings show how critical the trading situation is compared to 20 years ago.

PETER GALLAGHER: Over the past few years those surpluses and deficits have grown to the point
where, sooner or later, the market is going to adjust them. The best way to guarantee that they'll
adjust smoothly, rather than sort of cataclysmically as they did in the '97 Asian financial markets
crisis, would be reduce to trade barriers.

HELEN BROWN: The US and European Union blame each other for the stand off in negotiations. Already,
the EU's Chief Trade Negotiator, Peter Mandelson, has rejected the Australian plan, describing it
as unfair and unacceptable. That means fast growing nations, such as India, are also less likely to
expose their farmers to greater world competition.

PETER GALLAGHER: There is a serious threat that the European argument to developing countries,
"Look, let's not do this because it threatens your agricultural employment in the short term,"
there is a serious threat that that argument will work.

HELEN BROWN: The head of the World Trade Organisation, Pasquale Lami, has said that if the talks
are to restart, it has to be by around March next year.

The nation's farmers are also having to face the difficulties posed by the weather. The Government
forecaster, ABARE, says a lack of significant rain across grain growing regions means this year's
harvest of crops such as wheat and barley is likely to be down 36 per cent on last year. Farm
leaders say many farmers had already faced a prolonged dry period before this year's dry conditions
set in. Helen Brown, Lateline.

Protesters demand Hungarian PM resignation

Protesters demand Hungarian PM resignation

Broadcast: 19/09/2006

Reporter: Tony Jones

There have been clashes in the centre of Budapest between riot police and thousands of protestors
demanding the resignation of the Hungarian Prime Minister, Ferenc Gyurcsany.


TONY JONES: Now to the central European leader who was caught out telling the truth about his
nation's economy in a secret recording and now faces a public rebellion. Revelations of the
Hungarian PM's frank self assessment sparked a night of anti Government riots which left more than
150 people injured. Thousands of people took to the streets of the capital, Budapest, to demand
Prime Minister Gyurcsany's resignation. Demonstrators burned cars and tried to storm the offices of
the national broadcaster to make their demands live on television. The protest started after the
release of a secret recording in which the PM admitted lying to people morning and night about the
economy in order to win re-election.

FEREC GYURCSANY: It's obvious that we lied throughout the last year and a half to two years. It was
perfectly clear that what we were saying was completely untrue, and in the meantime we did
absolutely nothing for the last four years. You can't point to anything significant that the
Government has done during the past four years of which we can be proud.

TONY JONES: Police eventually dispersed the crowds using water cannon. The PM is vowing to hold on
to power.

Widow addresses Kovco inquiry

Widow addresses Kovco inquiry

Broadcast: 19/09/2006

Reporter: Leigh Sales

The widow of Private Jake Kovco has addressed the military inquiry into his death on the last day
of deliberations.


TONY JONES: Well, back home, and the widow of Jake Kovco has told a military inquiry she believes
her husband's death in Iraq was a tragic mistake. But Shelley Kovco says the mistakes afterwards
were unforgivable. The investigation into Private Kovco's death wound up today, with the President
of the Board of Inquiry saying that suicide was simply not a consideration. Leigh Sales reports.

LEIGH SALES: Shelley Kovco has made this walk into the inquiry investigating her husband's death
most days for the past two and a half months. Today she did it for the last time, as the Board
finished its hearings. Mrs Kovco read a statement to the investigators, describing the heartbreak
at her husband's death and the blunders afterwards. She said the thought of this chaotic Kuwaiti
morgue looking after his body was intolerable: "To think that my husband was taken somewhere like
that is with me all the time." Shelley Kovco doesn't believe the two soldiers in the room with her
husband when he died had anything to do with it. Nor is she suspicious of the soldier on patrol
with Private Kovco that day, whose DNA is all over the weapon: "I don't believe they killed Jake or
had anything to do with his death. It was a horrible accident."

Shelley Kovco said she was deeply hurt by the publication of rumours that her husband had been
reading a 'Dear John' e mail from her which caused him to kill himself. She said that was untrue
and that they had a happy marriage.

Shelley Kovco and her parents don't believe there has been a conspiracy or cover up. That puts them
at odds with the soldier's mother, Judy Kovco, who does.

JUDY KOVCO: Enduring this inquiry, I just find this is face saving for them, for the army. This is
not about my son's death.

LEIGH SALES: In a significant development, the Board has ruled out suicide: "Suicide doesn't come
into our reasoning whatsoever," the inquiry chief told the hearing room twice today. The Board of
Inquiry will provide a report to defence leadership later this year. Leigh Sales, Lateline.

Row erupts between Pell and Muslim leaders

Row erupts between Pell and Muslim leaders

Broadcast: 19/09/2006

Reporter: John Stewart

A row has erupted between the leader of the Catholic Church in Australia, Cardinal George Pell, and
local Muslim leaders.


TONY JONES: A row has erupted between the leader of the Catholic Church in Australia, Cardinal
George Pell, and local Muslim leaders. Cardinal Pell has refused to rule out a link between Islam
and violence. Australia's Muslim leaders says the Pope has already apologised for his comments
about Islam, but that Cardinal Pell is making things worse. John Stewart reports.

JOHN STEWART: George Pell is known as a cardinal who doesn't shrink from a fight. Despite the
Pope's apology for making a speech linking Islam to violence, Cardinal Pell says that some Muslims
are violent and they need to change their ways.

CARDINAL GEORGE PELL: If there is some sort of criticisms, even mild, there are elements among the
Muslims who will resort to violence or the threat of violence.

JOHN STEWART: Today Australian Muslim leaders hit back at the cardinal, saying he is out of step
with the Vatican.

AMEER ALI: George Pell, unlike the other cardinals, is not admitting the fact that it was an
inappropriate quotation and inappropriate language.

JOHN STEWART: Cardinal Pell says the Pope's speech was an academic presentation, never intended to
offend. The speech was part of a German university lecture in which the Pope quoted a 14th century
Byzantine emperor, who criticised the Prophet Mohammed for bringing evil to the world and using the
sword to spread the faith. Local Muslim leaders say they don't understand why the cardinal has
entered the debate, and that he's now fuelling the controversy.

AMEER ALI: We know George Pell, he is a controversial man. It's not the first time that he has
talked about Islam and the violence. So we know George Pell. George Pell is entitled to, he should
defend his Pope, that's understandable. But he is missing the point. He has sidetracked the issue.
The issue is the wrong language, and that's what the Muslim community was against and that's what
provoked all this violence.

JOHN STEWART: Cardinal Pell said in a statement that he agrees with sentiments expressed by the
Parliamentary Secretary on Multicultural Affairs. Andrew Robb told a meeting of Muslim clerics last
weekend that Australian Muslims need to stop viewing themselves as victims, and denounce

ANDREW ROBB: The community, everyone else, can help, but essentially you've got to accept this is
your problem. You can't wish it away.

JOHN STEWART: It's a debate likely to continue until at least the Federal election. John Stewart,

Tony Jones speaks with Prime Minister John Howard

Tony Jones speaks with Prime Minister John Howard

Broadcast: 19/09/2006

Reporter: Tony Jones

Tony Jones speaks with Prime Minister John Howard.


TONY JONES: Earlier this evening, in our interview, the PM, John Howard, entered the debate over
the comments by both the Pope and Cardinal George Pell. He was critical of the angry reaction in
the is Islamic world to the Pope's comments, and he championed the right of Cardinal Pell to defend
his religious leader. He also spoke the Australian values test, the killing of Canadian troops in
Afghanistan, terrorism and global warming, and he debated the link between tax cuts, inflation and
interest rates. But we began the interview with the reported rejection of Australia's free trade
initiative by the European Union's Chief Trade Negotiator, Peter Mandelson. Mr Howard was in our
Sydney studio.

Prime Minister, thanks for joining us.

JOHN HOWARD: It's a pleasure.

TONY JONES: The EU's trade boss, Peter Mandelson, is saying, and if he's right there is no way that
your trade plan will be accepted by the Europeans. So that has implications for the DOHA round. I'm
wondering where it leave the Cairns Group Initiative?

JOHN HOWARD: Well the Cairns Group Initiative will still go ahead. We are used to rejection by the

TONY JONES: And the Americans?

JOHN HOWARD: Well, more so the Europeans. It should be said, in defence of the Americans, that they
did make quite a big offer in this latest set of negotiations. It's our judgment that the failure
of the Europeans to respond adequately to the American offer was one of the reasons why the
negotiations fell over. That is not to say that we think the Americans are lily white when it comes
to agricultural subsidies; plainly they are not. But on a scale of transgression in the area of
subsidies, the European transgression is the greater.

TONY JONES: Now, Mr Mandelson has told the Fin Review that you're not even handed about this,
you're not in touch with the changes in Europe, he says. This is Tony Blair's former spin doctor,
we should bear in mind. He's playing hard personal politics here. Is he actually personally putting
in danger the free trade agreement?

JOHN HOWARD: I don't feel that he is playing personal politics. He's wrong when he says I'm not in
touch. I know the levels of protection in Europe, and they are much greater than those in the US.
But it has to be said again that when you look at Australia compared with the US, the European
Union and Japan, the level of protection for agriculture in this country is miniscule, sort of,
what, 3 or 4 per cent. It's in the 20s in the US, in the 30s to 40s in Europe, and higher than that
still in Japan. So this country does not run high protection in agriculture. Other countries do,
and we've always argued that that's the root cause of our complaint. But even more importantly than
that, we argue that dropping trade protection in agriculture would help the developing countries,
because often that's all they've got. If they could get more access, they could lift their living

TONY JONES: Very briefly, though; if Europe rejects your proposal from the Cairns Group, it's dead,
isn't it?

JOHN HOWARD: Tony, nothing is ever dead in the area of trade negotiations. You've got to keep at it
and at it and at it, and eventually one hopes there will be a breakthrough. But we have been used
to being knocked back in the past and I'm sure that will continue to be the case, but eventually
there will be a breakthrough. Eventually domestic constituencies in countries that have high
agricultural protection will say, "We're sick of bearing the cost of this and we want some change."

TONY JONES: Now, PM, let's move on to other issues: As you'd be well aware, the Pope has provoked
anger in the Muslim world after quoting a 14th century emperor who accused the Prophet Mohammed of
inspiring evil and inhuman human ideas and spreading his word by the sword. Now Australia's leading
Catholic has called, again, for an examination of whether the Koran, and what the Koran, in fact,
has written about violence.


TONY JONES: Do you think Cardinal Pell has a point in focussing on what the Koran has written about

JOHN HOWARD: Well I think the cardinal has a point in making the point that it's a strange form of
restraint to respond to words you disagree with, with demonstrations and threats of violence. The
Islamic community is perfectly entitled to criticise the Pope and the Pope is perfectly entitled,
and other religious leaders are perfectly entitled, to express their views about other religions.
But we're all meant to believe in peace and we're all meant to adhere to peaceful religions and I
just think it's very strange and disappointing that whenever the Pope says something that people,
or on this particular occasion, let's stick to this, he has said something that people don't agree
with and that provokes demonstrations. Now, we are all meant to be bound by a belief in free speech
and free expression, and my, I suppose, exasperation would be that of many of the people in
Australia, that, okay, they may not like what His Holiness said and whether he should have said it
or not is, in a sense, beside the point, but we are meant to believe in free speech and we are
meant to not overreact. I think it's very important with these things that people don't overreact.
I'm sure the great bulk of Catholics around the world want good relations with Islam, and the
Catholic Church, itself, cops a fair amount of abuse on a daily basis. If Catholics rioted every
time people attacked the Catholic Church, you'd have riots on a very regular basis.

TONY JONES: Let's look at what Cardinal Pell is saying because he's talking to Muslims here in
Australia about examining, or re examining what the Koran says about violence. Have you read the
Koran? Or at least have you read the sections of it that Cardinal Pell seems particularly to be
focusing on, the war verses?

JOHN HOWARD: I don't know whether I have specifically read the bits that Cardinal Pell is referring
to, but, Tony, I'm not going to get into an adjudication of a statement made by Cardinal Pell, I
mean it's not my role. He's entitled to make statements, and whatever statements he makes he will
justify and defend. But from a public policy point of view, as the PM of a country that obviously
is greatly influenced by the Judaea Christian ethic, but nonetheless respects other religion, and
indeed the people who have no religious belief at all, I think we should all take a deep breath on
these things and all have a sense of proportion. We seem to be living in a world where people have
no sense of proportion. Okay, they don't like what was said, I'm sure that the Pope was not
intending to attack Islam. He has expressed his regrets and I think we should really move on, to
use that rather hackneyed phrase of the modern world.

TONY JONES: Do you mean Cardinal Pell as well when you ask people to move on? Because asked if
there are links between religion and violence at the heart of Islam, Cardinal Pell said he would,
"... welcome clarification from our Islamic friends on that point." It's dangerous territory, isn't

JOHN HOWARD: I think what the cardinal was doing was defending the head of his church, and so he
should. I'd defend the head of the church if I were in Cardinal Pell's position; I'm not. But as an
observer and knowing Cardinal Pell, who is a great believer in religious tolerance and religious
understanding in the Australian community, I'm sure he wasn't intending other than to defend His
Holiness, and that's very understandable.

TONY JONES: Can you ask open questions like this about the violent past of Islam without, in the
same breath, acknowledging the violent past of the Christian Church, for example?

JOHN HOWARD: I think I've heard him say that the Christian Church has been guilty of transgression.
I mean all religions, well let me put it this way: People have committed evil in the name of all of
the world's great religions. At the moment, however, the problem is that a common thread in
terrorism around the world gives the indication of Islam as a sanction, or a blessing, on acts of
terrorism, and that is the common thread. I don't, at the moment, note terrorist groups killing
people and invoking the authority of the Catholic Church, or indeed the Christian Church, of which
the Catholic Church is clearly a dominant part, as some kind of authority. I mean that's the
difference. Sure, people have done evil things. The Third Reich was inaugurated, as I remember
years and years ago, in a church building. I mean, all sorts of evil things have been done under
the cover of religion. But the problem we have at the moment is that the common thread of all of
these terrorist attacks is that the terrorists claim the authority of Allah. Now that's a blasphemy
on Islam. It's because they do blaspheme Islam that many of us, myself included, like to see
moderate leaders attacking terrorism. I'm very pleased at the response of many of the Islamic
leaders in the past little while in Australia on that very issue. They know that terrorism is no
part of Islam, they know that the beliefs of Islam are incompatible with murder and terrorism and
hatred. The commonality between all of the world's great religions is enormous.

TONY JONES: Let's talk about the common thread you were talking about earlier, because I'm
wondering if it's reflected in your reasons for talking about an Australian values test. You say
it's got nothing at all to do with Islam, but it was never even mooted before the threat of Islamic
fundamentalism, was it?

JOHN HOWARD: Tony, I have been talking about the need for a common adherence to a set of Australian
values for years. Now, come on, Tony, you can go back, you've got plenty of archival footage here,
and I've been talking about the need to avoid zealous multiculturalism, I've been talking about the
need for there to be an overriding commitment to Australian values for years and years and years.
Don't anybody try and put it to me that I've only started to talk about these things since
terrorism became an issue.

TONY JONES: This is what's given it the momentum to actually become a major issue, isn't it?

JOHN HOWARD: It may be in the minds of some commentators and even interviewers. But that's drawing
a very, very long bow, to say that I've only been on about Australian values and the common bonds
that unite us as Australians.

TONY JONES: I don't think anyone is saying that. What people are saying is that the Australian
values test seems to be linked to this fear of Islamic fundamentalism. That seems to be pretty

JOHN HOWARD: I think that's a link that some people might seek to draw, but it's much broader than

TONY JONES: Okay. Mr Howard, fighting Islamic extremists in Afghanistan, four Canadian soldiers
have been killed in the past 24 hours, another 12 were injured. That means 36 Canadian soldiers
have been killed in Afghanistan, overall 28 in this past year. My question for you is, would you
have the resolve to keep Australian troops on the ground in Afghanistan if we were getting the same
sort of casualties as the Canadians are?

JOHN HOWARD: Tony, I'm not going to answer a hypothetical question based on something that I hope
and pray never happens, and that is just not a question I care to answer. I will say this; that the
Canadians have suffered enormously and I feel very deeply for what's happened. They are carrying a
very heavy burden in Afghanistan, and I think we all have to understand that Afghanistan has gotten
a lot more dangerous and our own forces are exposed to a lot of danger, the British are, the
Americans are and they're carrying a very heavy burden and they're fighting in some of the very
dangerous areas. But we have to maintain our commitment in Afghanistan because even the Labor Party
supports us in relation to Afghanistan. They're critical of our position in Iraq, although we find
the same issues are at stake in both countries. We find we that to leave either to the control of
the terrorists would be an enormous blunder. But it's quite difficult, but I really don't want to
hypothesise about the number of Australian deaths. That really is not something I want to do.

TONY JONES: Alexander Downer is urging the Canadians to stay the course there, not to be spooked by
these numbers of casualties. Is that something you also endorse?

JOHN HOWARD: Obviously we want all of the countries that are involved Afghanistan to stay there. We
would like to see a still greater European contribution, we certainly would. There is a very heavy
contribution from the British, and we are working with the Dutch in our part of Imruzkin Province,
and we would like all of those countries to stay, as we would like those countries that are Iraq to
stay there, as we will stay there until we assess that our mission has been completed.

TONY JONES: What do you see as the biggest threat to Australia in the future, terrorism or global

JOHN HOWARD: I think terrorism is a greater threat because I think we are doing things about global
warming. We're doing things about terrorism, but terrorism is more arbitrary, it's far more
capricious, and of course its immediate consequences on the people it touches are more hideous.

TONY JONES: You'd be aware that that was a rhetorical question that Al Gore asked in his film.

JOHN HOWARD: Yes, (indistinct).

TONY JONES: Precisely, because he is saying that the difference is that the actual fate of the
planet is at stake with global warming, not with terrorism.

JOHN HOWARD: Well, I will see the film, he sent me a copy and we had a brief discussion about it.
But whilst believing that the planet is getting warmer and whilst accepting some, I don't accept
all, and I believe that the methods that he proposes will do a lot of short and medium term damage
to the Australian economy. It will send industries offshore, send Australian jobs to countries like
China and Indonesia. I think we can tackle the problem in a different and equally effective way.

TONY JONES: You might be aware, I don't know, that there is a strong, sort of, rumour, it has been
reported widely now that President Bush is about to do a huge U turn.

JOHN HOWARD: I've seen some reports.

TONY JONES: Would that influence you if he did?

JOHN HOWARD: We make our own assessment of these things. Our own assessment is that if Australia
were to sign the Kyoto Protocol, we would damage our country's interests because the arrangements
would impose obligations on us that would not be imposed on countries like China and Indonesia.
Therefore it would be less costly for industry to invest in those countries and they'd take their
investments from Australia elsewhere and we lose jobs.

TONY JONES: Okay. Mr Howard, let's move on again to the economy in this case.


TONY JONES: In Singapore at the weekend the Treasurer warned that inflation would remain above the
Reserve Bank's comfort zone of 2 to 3 per cent for some time to come. If he's right, Australians
should prepare themselves for another round of interest rate rises, should they not?

JOHN HOWARD: I'm not going to speculate about future interest rate rises, except to make the
obvious point that they'll always be lower under a Coalition Government than a Labor Government,
and we've got a lot of field evidence to support that. The monetary policy agreement was that
inflation should remain between the target of 2 to 3 per cent over the cycle. That means that on
occasions it can go above that, and on occasions it will be below it. It's an average over the
cycle. I think you have to bear that in mind in looking at Peter Costello's comment.

TONY JONES: On 18 August, in his last appearance before the House of Representatives Economics
Committee the former Reserve Bank Governor said, "... the market forecast of more rate rises to
come is probably about the right assessment." That's a quote from him. It's more likely there will
be than there won't be?

JOHN HOWARD: Tony, I'm not going to speculate about what the bank may do in that area, except to
make the obvious point that it has responsibilities to manage monetary policy in an intelligent
fashion, and we, as a government, have a responsibility to contribute to a framework that keeps
inflation as low as possible, and that's what our policies have done.

TONY JONES: It's a political for you problem for you, though, isn't it, if people start focusing on
some of Ian MacFarlane's other comments and comparing them to what the Government has said?

JOHN HOWARD: I don't mind people focusing on Ian MacFarlane's comments. They can do that as
frequently as they choose, and I think you were just about to do so.

TONY JONES: I am. The obvious example is the last round of tax cuts in July. Mr MacFarlane says the
Reserve Bank was worried those cuts would be inflationary. The Treasurer's suggestion that he
endorsed big tax cuts was a misrepresentation.

JOHN HOWARD: Yes, but then the governor subsequently made another statement that sort of cancelled
that out. The governor has made a lot of statements, and if you look at all of them you'll find
that, on balance, he didn't criticise the Government's tax cuts. In fact, my recollection is that
right at the end he said the opposite.

TONY JONES: I'm focusing on what he said to the Parliamentary Committee.

JOHN HOWARD: I know, but he said something later on.

TONY JONES: Presumably he wasn't under any pressure to say anything else, and before the
Parliamentary Committee

JOHN HOWARD: When you say 'pressure', I mean nobody has put pressure on the former governor. What
are you talking about?

TONY JONES: There was public criticism of him.

JOHN HOWARD: People are entitled to answer criticism of them when those criticisms are made. If
you're talking about the statements we made during the election campaign, we don't retreat from
those statements at all.

TONY JONES: I'm not talking about what. I am talking about is, this is what he said to the
committee: "I even see now that my words are being used by the Treasurer to say, 'Oh, but I was
urged to do it by the Governor of the Reserve Bank.' It's a very funny game, it's a funny game
we're playing here on fiscal policy, and it is a game." Now that's pretty serious, isn't it?

JOHN HOWARD: No, I don't think it is. I think, Tony, he's using 'game' not in the literal sense.
He's using 'game' in the sense that people often, in a political environment, say they're in or out
of the game. You know that as well as I do. He did make some other statements about tax cuts that
had the effect of, certainly in our view and in the view of many others, neutralising those earlier
statements to the Committee.

TONY JONES: But the earlier statements were pretty profound.

JOHN HOWARD: But in politics...

TONY JONES: Why do you think he turned around and said the opposite of what he said to the

JOHN HOWARD: I'm not here answering for him, and can I say, I think he was a first rate Reserve
Bank Governor. I think his 10 years as the head of the Reserve Bank were very successful and I
think he is entitled to see his tenure in a very positive light. However, if you look at the
totality of what he said, including remarks he made after those remarks before the House of
Representatives Committee, I think you'll agree with me.

TONY JONES: It's very confusing, though, when you're looking at his statements and they all
conflict with each other.

JOHN HOWARD: I'm not accountable for other people's statements.

TONY JONES: I understand that.

MR HOUGHTON: I have to defend accusations made about my statements. My position is very clear on
these things.

TONY JONES: It's six months to the next budget, it's 12 months or so to the next election. Given
all of this and given the original statements that MacFarlane said about the inflationary impact of
tax cuts, do you now rule out having tax cuts before the next election?

JOHN HOWARD: Tony, don't ask me to start ruling things in and out. I'm not going to do that. But
what I am going to say is this; that the tax cuts we gave in the last budget were significant. They
were not only significant in size, but the structural character of the changes we made to the tax
scales, of really pushing down the rates for the middle and higher income earners to put more
incentive into the scale, and also providing relief at the lower end. Whilst I'm not ruling
anything in or out, I'm making the point that the tax relief we gave in the last budget, which was
widely supported and eminently responsible from the fiscal point of view, was significant. As to
what we do in the next budget, Peter and I haven't even begun to think about that.

TONY JONES: You're looking at the forward estimates. You must have a clue of what's going to be

JOHN HOWARD: I look at forward estimates the whole time. But Tony...

TONY JONES: Is tax relief, effectively, over because of the inflationary impacts?

JOHN HOWARD: Tony, Tony, please, let's not waste time. This is a game. If you're trying to get me

TONY JONES: That's what the Former Reserve Bank Governor said.

JOHN HOWARD: I'm making a comment on your question.

TONY JONES: It isn't a game to the people who are looking for tax cuts, and it won't be a game if
it causes inflation.

JOHN HOWARD: Tony, I think people understand that in the last budget significant tax cuts were
given. I'm not going to start speculating about next year's budget, but I do emphasise that the tax
relief in the last budget was very significant, it was long term, and very welcomed by the
Australian community, as were the historic reforms to superannuation.

TONY JONES: Prime Minister, we'll have to leave it there, we're out of time. We thank you very much
for coming in to join us tonight.

JOHN HOWARD: It's good to be here.

Nyoongar people win native title over Perth

Nyoongar people win native title over Perth

Broadcast: 19/09/2006

Reporter: Tony Jones

An Aboriginal community in Western Australia has won a landmark native title claim in the Federal
Court, covering the entire metropolitan area of Perth.


TONY JONES: An Aboriginal community in Western Australia has won a landmark native title claim in
the Federal Court, covering the entire metropolitan area of Perth. It's the first claim to have
been granted over a capital city. The finding recognises that the Nyoongar people have maintained a
traditional connection to the land. They'll be allowed to live on the land and conserve and use the
area's natural resources. But Murray Wilcox told the court that the native title decision should
not be seen as a pot of gold for the claimants or a disaster for the rest of the community.

JUSTICE MURRAY WILCOX: A native title determination does not affect freehold or most leasehold
land. It cannot take away people's backyards. The vast majority of private land holders in the
Perth region will be unaffected by this case.

TONY JONES: Today's finding is expected to be used to negotiate a wider claim. The West Australian
Government says it doesn't accept the decision.

Brock farewelled in Melbourne

Brock farewelled in Melbourne

Broadcast: 19/09/2006

Reporter: Helen Clarke

Thousands of people have gathered in Melbourne for the funeral of motor racing legend Peter Brock.


TONY JONES: Well the racing car driver, Peter Brock, has been given a moving farewell in Melbourne.
Thousands of fans flooded into the heart of Melbourne, along with sports personalities and
politicians, for a state funeral. People across the country watched live television coverage of the
event. Chris Clark reports.

CHRIS CLARK: After a life in the fast lane, this was a day which celebrated Peter Brock's life in
two quite different ways. In Melbourne, they came in their racing colours To St Paul's Cathedral,
sometimes with their own homemade tributes to their hero. There was the grandeur of a state
funeral, where family, friends, politicians and sportsmen and women came to pay their respects. On
the mountain where he made his reputation, a tribute to the man they called 'Peter Perfect'. For a
generation of Australians who saw him win Bathurst nine times, the sight of him flying around this
circuit was an inspiration. But it wasn't just Peter Brock the racing driver who was remembered

FRAN BAILEY: It was a privilege to be a friend. Rest in peace, Peter.

CHRIS CLARK: There was his work for children, through the Brock Foundation, his commitment to
environmental causes and his interest in Aboriginal Australians. Peter Brock's daughter, Alexandra,
offered her own unvarnished and affectionate portrait.

ALEXANDRA BROCK: Dad was a fallible man. He could piss you off, he could rub you the wrong way, but
he could also make you feel so special and so happy.

CHRIS CLARK: Those who couldn't get into the cathedral could watch everything on a big screen
across the road. It all seemed to fit the tone and sentiment of the day perfectly.

MALE SPEAKER: Everyone that spoke to him or met him come away feeling, like they said, 10 foot
tall, mate. He made everyone feel big.

FEMALE SPEAKER: He'll always be remembered for the things he's done, like his Brock Foundation, his
racing career.

CHRIS CLARK: A state funeral is a formal occasion, but there is nothing stuffy about this.
According to those who knew Peter Brock well, that's just the way he would have wanted it.

NEIL CROMPTON: I would like to say what a tremendous privilege this is has been to speak here
today. So thank you to the family. So for Peter, thank you very much for truly enhancing our lives.

CHRIS CLARK: Peter Brock won fame and respect not just because he was a brilliant racing driver,
and today Australians honoured him in their own fashion. Chris Clark, Lateline.