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Tonight - Murray Darling

boilover, the Commonwealth to

go it alone. John Howard's

quick trip and even quicker

comeback. Today's been alright.

It's had its ups and

downs. Patience losing patients

with longer waiting times. We

ended up coming home in

dismay. And Australia's big

tour hope falls back and blows

up. Unfortunately I was on my

own today. Jesus.

Good evening. Juanita

Phillips with ABC News. A

frustrated John Howard will

resort to constitutional powers

to take control of the Murray

Darling Basin. He's decided to

by-pass Victoria's Steve

Bracks, the only Premier still

refusing to agree to the

Government's $10 billion plan.

The PM will press ahead using

the same powers that Bob Hawke

invoked to stop the Franklin

Dam in Tasmania. His $10

billion water initiative was

John Howard's bold agenda to

launch the election year. But

in Steve Bracks, he met an

immovable obstacle. That is not

acceptable and Victoria will

not be referring powers in the

terms that the Commonwealth has

outlined. It's a great

disappointment, but we will not

be deter Friday going ahead

with a national plan. Locked in

a stand-off with Victoria, the

PM says he will go ahead with

what constitutional powers he

has for the Murray Darling

Basin. Mr Bracks wants to keep

the state borders on this

issue. I want to get rid of

them. He will rely in part on

the constitution's external

affairs powers to enact his

water package, the same section

Bob Hawke used to stop Tasmania's Franklin Dam in the

early '80s. The dam will not go

ahead . This would be

undoubtedly the most contentious case since the

Franklin in 1983. In pressing

ahead with his water plan, John

Howard's taking Queensland, SA,

NSW, and the ACT with him. He

will be splitting the Labor

spoken to the other three Party without even trying. I've

Premiers in the last 20

minutes. They informed me of

what has happened. They've indicated their understanding

of my position. The PM

recognises that SA has been cooperative and indeed we have

stuck to the agreement we

made. The fracturing means two

authorities instead of one will manage the Murray Darling's

water. A deficiency the PM and

Steve Bracks agree is less than

ideal. The PM's letter today

delivered a three-legged horse

an that is regrettable. Mr

Howard says the $10 billion

will still be sent, but he's

reconsidering whether the

package needs changes. John

Howard's response to the Murray

Darling stand-off may have been

sure-footed, but he took a

tumble on the campaign trail.

The PM slipped and fell as he

walked into a radio station in

Perth. He was fine, although

the same can't be said for his

Government's showing in the

latest opinion poll. On the

other side of the fence, Kevin

Rudd had a slip of his own. He

got the name of a Labor

candidate wrong. All the

thrills and spills of the

campaign trail, John Howard hit

the deck in Perth this

morning. Today's been alright.

Its had its ups and downs. Same

story for Kevin Rudd in

Tasmania where, like the PM

before him, he got a

candidate's name wrong, moments

before appearing with Labor

hopeful Jody Campbell. Time to

wander would Jody

Kingston. Latest poll had Labor still holding a commanding

lead, but nearly one-third of

voters say a late switch to Peter Costello would make them

less likely to vote for the

Coalition. No, wonder Mr

Howard's ready to get on his

knees for a vote. Housing

affordability promises to be

one of the big ticket items of

this year es election, no more

so than here in Perth where

prices have nearly doubled in

just three years. John Howard

has repeatedly blamed the

states for failing to release

enough land, but today he

acknowledged that expensive

housing is one of the prices of

prosperity. There are too many

people chasing too few

properties. That is in part a

reflection of the extraordinary

economic growth. Neither he nor

Mr Rudd, he says, has a

short-term fairytale solution.

But that's where the similarity

ends. On issues like the

Haneef case, water and his

indigenous intervention policy,

the PM's accusing the

Opposition Leader of being too

faced. He somehow or other

arranges for or is very happy

to see other people within his

party attack the Government so

that if public opinion shifts,

then he will have covered all

the bases. It's pretty

cynical. I make a call on

behalf of the Opposition in

this country. Mr Beattie

doesn't. If I've trodden on a

few foes, so be it. All part of

the PM's uphill battle to gets

his eyes and hands on the prize

- a 5th election victory.

The Queensland Premier has

called for a Senate inquiry

into the way the Federal

Government has handled the terror case involving Mohammed

Haneef. Today the Gold Coast

doctor got to see the first

photos of his new-born daughter

during a jail visit from a

the Mohammed Haneef case are relative. The implications of

now being played out in three

arenas, legal, political and

personal. As his relative drove

into the jail, politicians were batting back and forth the Queensland Premier's call for a

Senate inquiry. To call for a

Senate inquiry, Senate inquiry?

The case hasn't been properly

heard yet. He accused the

Queensland Premier of running interference for Labor leader

Kevin Rudd. But the Premier was

un apologetic, speaking up for

the States who supported the anti-terror laws. They need to

be confident the laws are being

applied in the way they were

meant to be. Mohammed Haneef

now has access to television

and told his lawyer he's

perplexed by the politics. He

regards himself as being a

doctor working at the Gold

Coast hospital. So he's a bit

confused as to why politicians

would be so concerned about

what is going on. But he was

moved to tears by the first

photos he's seen of his

new-born daughter and the

family's reassurance. I told

him we all know he is innocent.

I told him the family is with

him. High profile KC Lex Lasry

said the case is causing disquiet. I don't think people

are accepting it. People are

more concerned than they were

in the early stages of the

Hicks case. Haneef's employer

told his wife's cousin his job

will be waiting if he is

released. Talks over

Commonwealth state health

funding have broken down. Tony

Abbott says he won't negotiate

the new healthcare funding

agreement until after the next

election. I don't see any point

in having this discussion when

there is some questions as to

who is going to form a

Government. That decision has

angered the State and Territory

governments. It certainly seems

to me Tony Abbott has thrown in

the towel. He's not engaged in

the negotiations in the way

that he should be. The current

healthcare agreement expires at

the end of June next

year. Adding to the problems,

it's been yet another winter of

discontent for hospital

patients in NSW. The icy

weather and a particularly

vicious strain of flu this year

has put even greater pressure

on the State's struggling

emergency departments. Some

people have had to wait up to

eight hours and even then they've gone home without

seeing a doctor. Last week Hugo

Walshaw had a virus which left

him with a stiff neck. On

Saturday, his GP ordered the

7-year-old to undergo a brain

scan, sending him to Westmead

Children's Hospital. But after

an 8-hour wait at the emergency

department, he and his mother

ran out of patience. No doctor

in site, no CT scan was done.

We ended up coming home in

absolute display. The winter

lurgy has struck many of the State's hospital emergency

departments. Some have reported

six-hour waiting times at Sydney's Royal North Shore

yesterday. This is a clear

case of the Government not

planning for winter and not

opening enough beds in the

wards. The hospital says it was

just an average winter

day. We're talking about a big

increase in numbers, additional

demand. That's always

exacerbated by winter and this

year it is exacerbate ed a a

difficult flu season. Reba

Meagher says more money would

help. We can't meet the

escalation without a proper and

equal commitment from our Federal counterparts. Federal Government rejects that

diagnosis. The problem is not

insufficient money, the problem

is poor management. I would

respectfully suggest to the

States they better manage their

public hospitals. The system is

coping better than it has done

in the past and there is more

improvement on the way. That

small consolation for those

left to wait. It made me feel

like I was stuck in jail for

eight hours doing nothing. And

the long wait isn't over with

hospitals facing a backlog of

patients in need of beds.

The Premier is considering

tightening the law because of

the Kiama rock attack. The man

charged over it was released on bail and there has been a

public outcry. The young woman

struck in the head is still in

a critical condition in hospital. Morris Iemma says the

police had no choice but to

release the suspect, but that could change in the future.

There was no sign of Peter

Hodgkins at his unit today.

Neighbours say the 25-year-old

left yesterday. He's no longer

here. He's left the

property. He's fled the

area. I spoke to his brother

last night. I've been told he

wants to go into protective

custody as he has had two death threats. 122-year-old Nicole

Miller remains in a critical

condition in Wollongong

hospital. It is alleged he

threw rocks through a car

window hitting her. Hodgkins's neighbours are appealing to

members of the public to stop

yelling abuse at the

units. Been putting up with

abusive behaviour and people

driving by and yelling at

obscenities. We're innocent

. Local police have received

abusive phone calls after they charged Hodgkins with malicious wounding and released him.

Police say they had to act

within the existing bail

laws. It's important to

remember that police are not

entitled to use their gut

feeling or act on a whim or

arbitrarily refuse bail. The

Premier says the police bail

decision was right according to

the law, but may be the law

needs to be changed. I've

sought further advice from both

ministers, police and

Attorney-General, whether there

is a case to tighten up the

bail laws in relation to this

type of offence. Hodgkins is

due no court next month. The

British Government's emergency

response committee has been

meeting to consider a new threat. Not terrorism this

time, but flooding. 350,000

people in southern England are

without clean water and with a

power station under threat, a

quarter of a million could soon

be without electricity too.

This is affluent rural England

grappling with the worst floods

in six decades. Due to a

shortage of land, tens of

thousands of Britons live on

flood plains. Now hundreds have

been evacuate Friday their

homes. Navy sent in extra

forces to save a power station.

If it is inundated, a quarter

of a million people will lose

electricity and fresh water.

Already bottled supplies are

running low. Basically it's

trying to get water to survive.

Some of Britain's key rivers,

including the Thames, are more

than 6m higher than

normal. No-one knows if it's

going up or down. It went down

and then it's gone up. You get

on with it. The water comes in

and ebbs a bit and flows and

goes and comes back. You get

used to it. The Government's

slow response to the emergency

has been criticised. A recent

report revealed almost half of

Britain's flood defences are inadequate. Now Britain's PM

has announced a review. It's

pretty clear that some of the

19th century structures we're

dealing with infrastructure and

where they were cited is

something we will have to

review. Britain's Air Force

says this is its biggest

operation in peace time. Airlifting dozens of residents

to safety. Forecasters say the

flood warnings continue in

central Britain. They've warned

weary residents that water

levels will peak in the next

two days. More rain is also

expected. In other parts of

Europe, it's not flooding, but

extreme heat that is causing

problems. In Greece, two pilots

were killed when their water

bomber crashed while fighting a

fire on the island of Evia.

Strong winds have fanned more

than 300 blazes around the

country. Greece has been sweltering under its worst

heatwave in 100 years. Some

relief is expected later in the

week. Tony Blair has begun a

2-day visit to Israel on his

first visit as special envoy.

He held talks with the Israeli-Palestinian leadership

in Jerusalem. They hope Mr

Blair's arrival will add

momentum to the stalled peace

process, even though he doesn't

have the authority to negotiate

a deal. We think his being here

is a very positive element. He has the strength of character

and is well-known as somebody

who wants to make a change. The

Palestinian Islamist group,

Hamas, has accused Mr Blair of

bias and has warned it should

not be ignored. Even in space,

somebody has to take out the

garbage. On the International

Space Station, the job fell to

American astronaut Clayton

Anderson. I will throw it back

and forward. NASA normally

brings its waste back to Earth

rather than add to the orbiting junkyard, but this time two

pieces of outdated equipment

had to be thrown out, one of

them an amonia tank weighing

635 kilograms. The space junk

is expected to orbit for

another 10 months before

reentering the atmosphere and

burning up. You're watching ABC

News. Tonight's top story - the

Federal Government is to seize

control of the Murray Darling

Basin after Victoria again rejected John Howard's water

plan. And still to come -

remembering the Sydney

benefactor whose life became a

real page turner.

Well, if it's not the trains

in NSW, it's the buses. The

State Government is on course

for another run-in with public

transport workers. This time

over a new ticketing system

that keeps breaking down. The

bus union says the Government has squandered millions of

dollars trying it out. The bus

union says the latest trial of the integrated ticket system,

known as the T-card, is failing

drivers on a daily basis. It

says ticket sales are being

scrambled and the satellite

link, which is supposed to

register passenger journeys,

keeps breaking down. Their

vehicle location system loses

the buses. The drivers have to

manually enter where the bus

is, especially in the city. The

satellite is losing the

location of the buses. Today

the Transport Minister took to

the road to highlight increased

patronage of private buss in

Sydney's west. Mr Watkins says

the new system won't be rolled

out until all the flaws are

ironed out. There have been

technical problems. That's what

has held it up. No industrial issues. The unions beg to

differ. There is a dispute. The

union says one driver became so

distracted by the T-card trial

that he left his hand brake off

and the bus crashed into a

fence. The driver was sacked,

butter reinstated. The union

says the first trial at a

railway station also went

haywire. Either the system is

working or it's not working and

we have to face reality - shut

it down and look for an

alternative. Our members can't

be expected to be guinea pigs

for years and years. The Labor

Government first pledged to

introduce the integrated

ticketing system in 1997. He

hasn't told us where the tens of millions of dollars have

gone in relation to the T-card

proposal. He hasn't told us

why after ten years of

announcements we're still not

close to having an integrated

ticketing system. The trial of

the T-card by schoolchildren

has been under way since

January 2005. A man who ran

over Peter Costello's chief of staff in Canberra last month

has been fined $2,000. The

hit-and-run left the

Treasurer's staff member go Mr

Gaetjens in a coma. 28-year-old

Mr Simpson pleaded guilty. The

court was told that Simpson

panicked and drove off when he

saw Mr Gaetjens had a friend

with him who could call for

help. Mr Gaetjens is expected to be well enough to leave

hospital next week. Qantas has

launched its new logo, the

first change to the flying

kangaroo in 23 years. The

airline says it had to reshape

the famous red roo before

taking delivery of its new super jumbos next year. The

structure of the A380s tail

means part of the old logo

wouldn't fit. So they had to

come up with a new one. It's a more contemporary striel

kangaroo. It is bigger than the

current kangaroo. The big thing

is you will be able to see the

whole kangaroo instead of a

kangaroo on the new aircraft

that basically wouldn't have a

leg. The airline has also

unveiled its new first-class

features. The A380 is the

largest passenger jet and

Qantas has promised even

economy seats will have a

little more room. In finance,

the Australian share market

continued climbing today,

spurred on by glowing

production reports from mining

companies. Whatever tomorrow's

inflation numbers say, interest

rates won't come down any time

soon. That's reinforcing the

Australian dollar. The currency

ent up again and hit an 18-year

high. It's worth less than 88

US cents, but interest rates

are helping reinforce

perceptions of New Zealand and

Australian dollars. CommSec

released the updated iPod price

graph showing how the prices

have fallen as the Australian

dollar rises. Will you see the

dollar up more than 12% against

the US currency and iPod prices

down 9%. Not all importers have

cut prices. The price of a bag

of Eukanuba dog food, imported

from the United States, has

gone up 6% this year. It's an

example of why some

commentators suggest the Aussie

dollar may not deliver price

relief. None of this makes much

difference to BHP Billiton this announced annual record

production. Here's a list of

resources BHP is producing in

record amounts this financial

year. On the way to what is

expected to be a record profit

of a mere $14-odd billion.

Investors love that stuff and the All Ordinaries Index

reached a new peak of its own.

Gold miner Newcrest also

announced record production

sending its share price up more

than 6%. Oil Search paid the

price for announcing a cut in

oil production and most of the

banks finished the day ahead.

That's finance. The first

Australian to swim the English

Channel has put her medal

collection up for auction.

Linda McGill is recovering from

a three-year battle with facial

cancer and says she decided to

sell her medals to declutter

her life. She made waves in the

1960s winning Commonwealth

golds and representing

Australia at the '64 Olympics

alongside Dawn Fraser. Her

collection was bought for

$20,000 by the national

Maritime museum in Sydney. I

think the collection will be

very happy now. It was stuffed

in old boxes and cupboards in

my home for 40 years. Now

people can look at it. She says

the money will help pay her

medical expenses and she will

look forward to seeing her

memorabilia on display.

Australia's Cadel Evans is

losing ground in the Tour de

France and he's also losing his

cool. He is still in third

place, but has slipped to 4

minutes behind the race leader.

He's blaming the treatment he's

receive Friday his opponents

and his own team. It was

another fork in the road for

Cadel Evans. As the Tour de France leader, Michael

Rasmussen, and his closest

rival went wheel for wheel in

the 15th stage to each other's

advantage, Australia's lone

hope was fuming. Cadel Evans

looking far from happy. Evans's

gripe was his perceived lack of

support as Alberto Contador and

a battling Rasmussen separate

Friday the peloton to chase the

stage leaders. They cooperated together against me and when I

have half the peloton behind me

with team-mate s what, am I

supposed to do. Rasmussen

survived the tussle with

Contador as the duo finished

10th and 11th behind a very

you've nated Alexandre

Vinokourov. Evans's 13th

placing put him 4 minutes

adrift. The time gap has opened. Stirling Mortlock

survived a late push for George

Gregan to be anointed captain

of a 30-strong Wallaby World

Cup squad. Everyone on the team

contributes to how the team

goes. That's how I like to

captain. He has more familiar.

You get better and better the

more you do it. 21-year-old

Queensland fly half the former

Brisbane Bronco Shaun Berrigan

was a bolter. My goal was to

play. To receive the honour,

it's something I'm

privileged. Before getting down

to business for the cup, which

starts in September, the

Wallabies were fated. Lock

Nathan Sharpe took out

Australian rugby's most

prestigious award, the John

Eales medal. It was his

greatest moment, but Padraig Harrington knows he was close

to disaster at the British

Open. The Irishman has conceded

only a superb chip shot helped

him avoid the fate of his

friend, Jean van der Velde, who

famously collapsed the last

time the Open was held at

Carney. On that occasion the Frenchman self-destructed with

a triple bogey on the final

hole. Something Harrington was

well aware of as he struggled

up the 18th. Was I destined to

take seven because it was

somewhere in the subconscious.

Thankfully I got that out of my

head and battle and made a chip

and putt. If there ever was a

good double bogey, I made

it. Harp har has taken a week off to savour the

victory. Parramatta's climb to

outright third on the NRL

ladder with a 20-16 win over

the Broncos in Brisbane last

night. The Eels turned on the

razzle-dazzle setting up a

lead. Despite injure missing

injuried stars, the Broncos

mounted a comeback. Their

momentum was halted when Jarryd

Hayne failed to get up after

this collision. The Broncos

later accused Hayne of taking a

dive. To see him get up and

carry on like he did affords

was disappointing. We have to have ethics and codes amongst

players and coaches. That

doesn't happen. The boys on the

field said they could see his

eyes rolling back in his

head. The Eels held on to claim two valuable premiership

points, despite Shaun

Berrigan's solo effort in the

dying stages. It's one of the

most generous gifts that

Australians have ever received

and 100 years later the

Mitchell Library in Sydney just

keeps on giving. Scholars and

researchers are still exploring

and enjoying its cultural

riches. Today, the man

responsible for it, was

honoured. It was a small

ceremony for one of Australia's

greatest benefactors. David

Scott Mitchell is buried along

with his parents in Rookwood

Cemetery. He never Maried, but

three generations of nephews

and nieces descended from the founder of the Mitchell

Library, gathered to mark the

centenary of his death. I am

very proud that somebody with

such a vision - that I have

this connection. Before

Mitchell died in 1907, he made

an offer almost impossible to

refuse. If the Government built

a new public library, he would

line the shelves with his

entire collection of 40,000

books, manuscripts and maps

. No book, magazine, article,

documentary, film, radio, or

even a website today about

Australia or the Pacific can be

unaffected by the Mitchell

Library. Among the gems now on

display is the crown jewel of Australian manuscripts - Sir

banks banks banks's handwritten

diaries from the 'Endeavour'

voyage. There's Henry Lawson's

first book of poetry. And the

first book published in

Australia - a somewhat dry 1802

tome of the governor's

orders. As well as the enormous

number of books, Mitchell left

a bequest of ?70,000, which is

still being used to add to the collection. By today's

standards, that was a fortune,

about a billion dollars. David

Mitchell's great-great-great

nephew Arlo Janet Mereweather

is too young to understand what

all the fuss is about, but he's

among future generations likely

to benefit from his ancestor's

extraordinary legacy. Time for

the weather now. It got up to

18 degrees in Sydney today.

That was average. Up to 16 in

the west at Penrith. Right now

in Sydney the temperature is 15

degrees, still average, and the pressure is rising.

There is scattered cloud. A

high jet stream crossing the

south-east, but no rain out of

it. Showers along the

Queensland coast. On the

synoptic chart, there is a cold

front across south-west WA,

mild northerly winds in

southern Australia and a

weakening front over Tasmania

with on-shore winds on the

Queensland coast.

Tonight's top stories - the

Federal Government is to seize

control of the Murray Darling

Basin because Victoria won't

agree to the $10 billion

management plan. It's been a

day of political stumbles with

John Howard taking a fall in

Perth and Kevin Rudd forgetting

a Labor candidate's name in

Tasmania. The Premier is considering tightening the law

after the man accused of the

Kiama rock attack was released

on bail. That is ABC News for

this Tuesday. The '7:30 Report'

is up next. And I'll be back

with an update in an hour.

Goodnight. Closed Captions by CSI

Hi, my name is Anne. I'd like

to know if you plan to defend

that statement. Tonight on the

7:30 report, bringing politics

to the people, voters grilling

political candidates via cyber

space. And The first US

presidential campaign to go

online. Will elections ever be

the same? Candidates and

parties are about to find out

that they don't control

politics anymore. CC

Welcome to the program and

first, a lashing of domestic

politics. John Howard and Kevin

Rudd are spending a lot of time

these days in furious

agreement. The Labor leader

says he support's the

Government's position on

Tasmanian forests, on Dr Haneef

and on Aboriginal affairs