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National Press Club -

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94.49US cent. South Australian Premier Mike Rann

is next at the National Press

Club. Our next full bulletin

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Today at the National Press

Club - South Australian premier

Mike ran. Mr R ann is

Australia's longest serving

incumbent premier and the

national President of the ALPN

wall-to-wall Labor States, what

challenges lie ahead for his

party and his State? From the National Press Club in Canberra, South Australian premier Mike Rann.

Ladies and gentlemen, welcome to the National Press

Club and today's National

Australia Bank address. It's a

great pleasure to welcome today

Mike Rann, the premier of South

Australia and the current

national President of the

Australian Labor Party. Mr Rann

is a former journalist, which

makes the occasion all the more

pleasurable for us and he was

Press Secretary to three

premiers of South Australia

before he was elected to

Parliament in 1985. He was a

minister four years later, and

became party leader as Leader

of the Opposition in 1994 and

he is now in his sixth year as

premier of South Australia, and

just about the midway point of his Labor Party presidency.

Glad to have him here. Please

welcome Mike Rann. (APPLAUSE)

Thank you very much, Ken. In

fact, I was just reminiscing

with Ken that I met him back in

the late 1977 or 1978 when I

was working for Don Dunstan,

and Don Dunstan was wearing an

ivory safari suit, I was

wearing a pale powder blue

safari suit and Ken was wearing

a sort of a khaki fawn safari

suit. Some of us can't find

them, others of us can't fit in

them! When I last addressed the

National Press Club with Tim

Flannery in Adelaide more than

five years ago, when National

Press Club came to Adelaide, I

called for an urgent special

COAG meet to be held to

formulate a national response

to the crisis facing the River

Murray that was more than five

years ago, calling for a COAG

meeting specifically on the

River Murray. The words of

warning I issued in February

2003 remain hauntingly and

sadly true. I said back then

that we must treat this as a

national crisis. This is a

massive threat, not just to our

environment, but to our whole

national economy. I went on to

say if we continue as we are,

this once-great river system

will be dead within the next

100 years. I said we had an

historic opportunity with Labor

Leaders in every State and

Territory to work together with

the Federal Government, the

Howard Government, on a project

of national importance. I went

on to Shea that the nation must

be mobilised to a threat that

is not a future possibility but

a present reality. I think many

people that day thought I was a

whinger from the bottom end of

the River Murray system. It

took four years before it was

recognised nationally, and a special summit was held at the

very end of 2006. It was then

another 18 months before the

agreement was reached by COAG

in March this year to hand over

control of the River Murray to

an independent body of experts

running the River Murray on the

basis of science and of course

backed by $10 billion. I will

talk a bit about the River

Murray again later in my

address. But it's fair to say

that in the shorter time

horizon of how the world seems

moderately, perhaps markedly

different now from how it

seemed just over a year ago. It

was just over a year ago when John Howard first indicated

that Barack Obama was

al-Qaeda's preferred candidate

for the United States of

America. That was just a year

ago. When petrol at the pump

was $1.20 a litre. And when

some of the Federal Cabinet had

serious doubts that global

warming was real. That was when

it was widely tipped that Peter

Costello might replace John

Howard in August, and survive

in power perhaps for another decade, because no-one would

vote for wall-to-wall Labor

Governments ruled by unions

dedicated to wage break-out,

deficit spending and a smashed

economy. A year on it's a

different vista that we see

across Australia. There's a better accommodation between

State and Federal Governments,

between environmental groups

and big business. Even between

we're told Brendan Nelson and

Malcolm Turnbull. The bogey men

of wall-to-wall Labor

Governments doesn't appear to

worry anybody at all. Certainly

the world has changed and

nowhere around Australia and

nowhere is transformation more

profound and exciting, I

believe, than in my State of

South Australia. When I arrived

in Adelaide from New Zealand as

a journalist in 1977 to work

for the then premier, Don

Dunstan, South Australia was

the talk of the nation. I

remember one commentator from

Britain describing us as "that

beacon light in the the night

of Australian ignorance". We

were seen as being head and

shoulders above the crowd. Don

Dunstan was seen as the Pierre

Troudeau of Australia. We were

at the leading edge of reform

and cultural, the arts state,

the festival state, and whe a

national voice that far --

and we had a national voice

that far outweighed our size as

a state. We were the leaders in equal opportunity, in

anti-discrimination, in

Aboriginal land rights. By the

time I was elected as premier

in 2002, the landscape had

changed significantly. South

Australia faced tough economic challenges. My first briefing

as a premier in March 2002 was

about the imminent collapse of

Mitsubishi in South Australia.

Our population was in decline.

Our infrastructure was ageing.

Our traditional manufacturing

sector was under challenge. And

the state's collective psyche

can become characterised by

insularity and self-doubt. We

were called by commentators and

journalists in the eastern

states as a rest belt or rest

bucket state. I was not

prepared to preside over the

State's genteel decline. I was

also not prepared ever to be

criticised as a premier that

was prepared to sort of sit

back, be there, and I always

believe the world is divided

between those who want to be

and those who want to do, and

just see what happened. So even though that election result was

tight, it was essentially a

tied election , I told my

Cabinet that we must make bold

decisions and govern as if we

had a 10-seat majority. I also

refused to let my government be

typecast as more of the same.

And we immediately set about

drawing on the vast experience

of a range of experts

regardless of their politics in

order to bring change to South

Australia. I guess I can prove

that still by the fact that we

have a record majority for any

Labor Government in South

Australia, but in my Cabinet, I

have the leader of the National

Party in South Australia as a

senior minister, I also have an

independent Liberal in the

Cabinet as a senior minister.

Why? Because they are good at

their job and bring a different

culture and bring a regional

and rural perspective to the

Cabinet. In fact, I think

they'd probably be now the two most senior Conservative ministers still standing

anywhere in Australia, but

perhaps that's probably unkind

of me to mention

that. (LAUGHTER) At the outset

on my first day, I said "This

is what we're gonna focus on,

focus on economic development, the environment and social

justice." The fact that I hold

those three Cabinet portfolios

is not a result of random

distribution, as I will explain

shortly. Those three portfolios

are not mute actually

exclusive, as many people

perhaps might believe. So on

that first day, I made a phone

call to Robert Champion

Decretney, from the other side

of politics, he'd just sold

Normandy and I asked him if he

was prepared to work for me and

for government and for the

State for four years for $1 a

year. And he rang me back the

next day and said he thought I

was being profligate with the

State's funds but accepted and

did a brilliant job. I also

phoned on that day Tim

Flannery, who went on to become

Australian of the Year, and

asked him to be my adviser on

sustain blts and climate

change, and also phoned the

Catholic vicar-general in

Adelaide, mon seeing nor David

Cappo who has a national reputation in terms of social

justice, to head our Social

Inclusion Board. All three were

installed as chairs of

independent boards that were

established to oversee these

important policy areas. To

further set South Australia

apart, we needed a

comprehensive blueprint for

change. I was determined to

look beyond the stumbling block

for so many other reform

agendas which is the three or

four-year election cycle,

political promise cycle, to

achieve meaningful change, we

had to look longer term. So we

became the first government in

Australia to draft a state strategic plan that included a

range of hard and firm and

difficult, tough targets for

economic growth, covering every

area of the economy, population

growth, pros pert, health

outcomes, and improvements in

Aboriginal welfare, that were

set at over a decade, where we

want to be as a state in a

decade and in 20 years' time,

what are the targets we will be

measured against, how we're

going to get there, and some of

those targets stretching

through even to 2050. South

Australia's strategic plan is

more than a xend yum of

promises --

xend yum of promises. It's not

a collection of glib mission

statements. It contained 84

clearly defined targets

covering areas as diverse as

business, competitiveness, sustainability, energy,

innovation, fostering closer

communities. And last year,

when we revised the plan - and

the plan came out of the

business community. It came out

of summits that involved

university leaders and

environmental leaders. We

lifted the number of targets to

98, and audits conducted by an

independent and expert

committee reported that we'd

achieved at the two-year mark

of a 10-year plan that we were on track to achieve more than

50% of our targets and publicly

said where we were doing well

and where we were not doing

well. So it was a goad to

action, a rod against our back,

independently audited every two

years to measure our progress.

That made sure that ministers

and me and public service heads

are kept on our toes because we

know the media and the

opposition will use it against

us if we fail. But if we meet

the targets we make them even

tougher. Some of those goals

that people considered

impossible and too difficult to

tackle the. Of course the

strategy would remain merely a vision if the State's economy

couldn't be righted. Last week,

our treasurer Kevin Foley

handed down his 7th State

Budget since we came to office,

which was the 7th consecutive

budget in surplus. We marked

hard to ensure that South

Australia regained its prized

international AAA credit rating

in 2004 and we've held onto it

ever since. And so far this

decade, the State's employment

level has grown by 15%, with

more people in jobs now than

ever before in South

Australia's history. We have

the lowest unemployment ever,

the highest number of people in full-time jobs ever. Record

numbers of people in training

and apprenticeships ever. And

since the beginning of the

decade, business investment,

after years of stagnation, is

up by a massive 129%. Retail

sales, up 42%. Our annual

exports have grown by 63%. And

we currently have around $45

billion worth of major projects

either under way or in the

pipeline. And we are

recognised for our efforts by independent analysis. For

example, a study conducted by

KPMG this year ranks Adelaide

as the most cost competitive

city in Australia in which to

do business. In 2004, the same

study looked at 99 cities

around the world, and we came

out No. 1 in Australia and 10th

in the world. Our response was

that we had to do do better.

2006, the same cities were

surveyed and we came out third

in the worpd and still No. 1 in Australia. --

in the world. The 'Economist'

magazine recently ranked

Adelaide as one of the world's

best business destinations as

well as its sixth most liveable city in the world. To achieve

these results we've built on

South Australia's traditional

strengths in manufacturing and

agriculture, and fostered

greater diversity in

innovation. But the truth is

that we went hell for leather

to diversify our economy, and

particularly in areas such as

mining and defence. I think

there's no better example of

how this has been achieved than

our mining industry, which is

currently in the midst of unprecedented expansion.

Indeed, we are poised to become

the next Western Australia in

terms of the resources

industry. The scale of what is

happening is quite staggering

and still many people in the

eastern States are unaware. We

currently have around $25

billion worth of mining and

energy projects at various

stages of development. When my

government came to office six

years ago, there were just four operating mines in South

Australia. Now we have 10, with

almost 30 more in various

stages of planning and

development. And this most

recent economic assessment, the

ANZ Bank voted that South

Australia "has joined the ranks

of the mining boom States". But

I spoke to a group of mining

industry experts recently and

they were reluctant to use the

term "boom" because it implies

that there'd be an inevitable

bust to follow. Instead what

we're seeing in South Australia

is not simply a rush that will

burn brightly and then fade

away but an expansion that will

be with us for 100 years or

more. And it has come about not

because of natural forces,

market forces pay plying, that

these things would've happened

anyway. No-one can say that.

No-one can say that in South

Australia but it came about

because of a strategic program

put in place by the government

on 2004 on the advice of our

economic development board. The

government's planned for

accelerated exploration by I

regard as the biggest bang for

buck that any government has

had out of any program, it

recognised that a blanket of

sediment cover had historically

made mineral discovery more

difficult in South Australia

than in other regions. By

undertaking a series of

extensive and detailed

geological surveys, and working

closely with the resources

industry, spending on mining

exploration in our state has

increased 10-fold in five

years. Now outstripping every

State including Queensland

other than WA. Every year the

mining jurisdictions of the world are rateed in terms of

their prospects. Since 2004,

South Australia has risen from

36th place in the world to

fourth in the world out of 68

international mining jurisdictions. That's done by

Canada's Fraser Institute in

Toronto. They've just come out

again. We're No. 4 in the worpd

and we're now ranked ahead of

Western Australia for the first

time in terms of mining

prospects. And at the core of

the State's booming resources

sector is what will become the

world's greatest mine operated

by BHP Billiton, Olympic Dam in

the State's north. The

company's proposed multibillion

dollar investment in its

existing operation Olympic Dam

represents the biggest

expansion ever undertaken in

the global resources industry.

Olympic Dam will be home to the

world's biggest uranium mine,

about 35%, some say, of the

world's known uranium. It will

be the world's fourth largest

copper deposit, the sixth

biggest gold deposit in the

world and the biggest goldmine

in Australia, all contained

within a single ore body. Put

that into perspective. For the last three years BHP Billiton

have been using 22 rigs to

drill continually to try and

find the perimeters of the

deposit. They have now stopped

doing that because they cannot

find the perimeters. They also

decided to go below the current

3,000 feet in which it is mined

underground and is one of the

great mines of the world

already , to see if it kept

going in terms of depth. At

4,000 feet it was the same ore

body, at 5,000 feet the same

ore body, at 6,000 feet, the

same ore body. It will be the

world's biggest mine, bigger

than the giant Escondidia

operation in Chile and is now

Valled at a $1 trillion resou,

the world's first

trillion-dollar mine. To dig

the open pit for this operation

will require the removal of

between 1 and 1.5 million

tonnes of rock or dirt per day,

over day, for four years, until

they get to the actual ore

body. It will involve the

biggest order of trucks in

world history. It will increase

Olympic Dam's contribution to

the State's economy massively.

It will create as many as 8,000

direct jobs in the construction

phase, and up to 20,000

indirect jobs. With South

Australia home to the biggest-known uranium deposit

on the planet, it was only

fitting that I led the charge

to overturn national Labor

Party policies that dictated

how we could recover this

increasingly valuable resource.

So I campaigned very strongly

through last year for the Labor

Party to discard its outdated

and illogical no new mines

uranium policy that had been in

existence since about 1977. The

policy said there could be no

new mines but it was OK to

expand the world's biggest mine

that included 35% of the

world's uranium and it simply

stopped other mines from

developing. Since I persuaded

the ALP to overturn that policy

last year, we now have a number

of exciting world-class uranium

projects being developed

including one announced two

weeks ago in the United States,

which will be, I think, the

biggest find of uranium

anywhere in the past 25 years

since Roxby or Olympic Dam was

first discovered. We now have

more than 160 exploration

licences to explore for

uranium, another 100 being

processed in our state alone. I

want to reiterate all of our

uranium exports are of course

governed by the national export

control Act which means we do

not export to any country

that's not a signatory to the

nuclear non-proliferation

treaty. As we confront the

realities of peak oil and in a

carbon constrained world,

alternative energy sources such

as uranium are growing in

demand. But we've also in South

Australia targetted the vital

issues of sustainability and

tackling climate change as

other areas in which South Australia can establish itself

as a world leader. So far u our

results have been impressive.

John --

drawn prays from leading

environmental figures like Al

Gore, Robert Suzuki for the work we're doing to tackle

global warming. What we want to

do in so many areas is for

South Australia once again to

be the laboratory for new

ideas, to be reforming, to be

the test-bed or the template

for the future. The key to

South Australia's approach in

terms of sustainability and

sustainable energy and tackling

climate change has been our

willingness to work with

industry to bring about change.

I believe that far more can be

achieved through cooperation

than through coercion. As an

example, when my government

came to office in 2002, there

was not one single operating wind turbine in South

Australia, let alone wind farm.

That wasn't due to any lack of

wind, it reflected the

uncertainty that existed over

regulations and associated

business risks. So we updated

those regulations and sent a

clear message to the sustainable energy industry

that South Australia had a business-friendly approval

process in place for wind

farms. What was the result of

that? A policy change by

government is that with 8% of

the population of Australia,

we're now home to 47% of the nation's installed wind

generation capacity. Billions

of dollars worth. And there's a

number of new wind farms

currently under construction. I

will be returning to Adelaide

later in the week to launch one

and open another. And even

though, again, we have that

just 8% of Australia's

population, we have almost 40%

of the nation's grid connected

solar power capacity. On 1

July, our landmark solar

feed-in laws come into effect. Under the legislation, the

first of its kind in Australia,

households and small consumers

of energy that have solar

panels installed will be

rewarded at double the retail

price for the power they put

back into the grid. And last

week, I announced Australia's

largest rooftop solar array

will be installed on the Royal

Adelaide Showgrounds, five

times bigger than the current

largest rooftop installation at Melbourne's Queen Victoria

Market. We've done that through

demonstration, through public

policy education. Tim Flannery

asked me to solar-power the

museum. Then we put the panels

on the art gallery, the State

Library, the Parliament,

because there wasn't enough hot

air there already! (LAUGHTER)

And then the Adelaide airport.

And so on. We're also leading

the nation - and 250 schools,

where the solar panels, 100

have been done already, will be

actually connected and part of

the process of education in the

curriculum for science and

maths and environment. We're

also leading the nation in the

development of the truly emissions-free geothermal or

hot rocks power source. We're

currently home to more than 80%

of Australia's total investment

in hot rocks, which is worth

about $680 million. In 2006, I

became the first minister in

Australia and one of the first

in the world to take on the

portfolio of climate change.

The following year, our

government became the first in

Australia and the third

jurisdiction in the world to

introduce dedicated climate

change legislation. Under that

statute, South Australia has a

target of reducing its

greenhouse gas emissions by at

least 60% of 1990 levels by the

end of 2050. But I was mindful

that if we had a target that

way out, people would think

that we weren't serious, even

though that matched what other jurisdictions internationally

were proposing, other leaders

internationally were proposing.

So we also set an interim

target of boosting the

proportion of renewable

Powergen rated and consumed in

our State at 20% by 2014.

That's 20% of the all of the

power in South Australia

generated or consumed coming

from either wind or solar by

2014. When I announced that

target, the critics said it was

absolutely unachievable. I'm

very pleased to report to the

National Press Club that that

generation target will be met

by next year, 2009, five years

ahead of schedule, which will

put South Australia into a

world-leading position. In

addition, I've recently announced that the government

is committed to becoming the

world's first carbon-neutral

government for its own

operations and for its tens of

thousands of employees by 2020.

Under our accelerated

timetable, by 2014, the

government will offset 50% of

its own greenhouse gas

emissions when you think of the

power we need for hospitals and

schools and public buildings

and so on, by purchasing 50% of

the government's electricity

requirements from accredited

green power source and through

the purchase of carbon offsets

and then we'll go to 100%.

Owing to the failure of the

previous Federal Government to

tackle the issue of climate change, it was left to the

States to fill the leadership

vacuum in in crucial area. I

was chair of the council of the

Federation which is the states

and Territories without the Commonwealth based on the

Canadian model and we

authorised and enlisted Ross

Garnaut to prepare a report on

emissions trade gd and also to

update the Stern Report or the

Australian equivalent of the

Stern Report. I eagerly await Professor Garnaut's findings

and recommendations when his

final report is tabled later

this year and as we move to

establish a national emissions trading scee. I should say that

we're working as a State not

only with the other States in

Australia but also with

California, with my Doppelganger, Arnold

Schwarzenegger, and also with

Manitoba in Canada and Puliya

pr, in Italy to try to form an

alliance of subnational

governments around the world

that can show leadership in

tackling climate change. The

embrace of innovation that

underpins South Australia's

preparedness to take the lead

in tackling climate change is

also being applied to our revitalised manufacturing

sector. The increased global pressures that were being

applied to a traditional

manufacturing operation such as

the automotive industry meant

that our State had to diversify

its industries and operations.

That's why we've aggressively

pursued a number of major

Defence contracts and now

indisputably established South

Australia as the nation's

defence state. In the past four

years, we've secured around $14

billion worth of Defence

contracts, including the $8

billionaire warfare destroyers

project, that represents the

biggest and most complex

Defence capital project ever

undertaken in this country. It

will lead to the creation of thousands of direct and

indirect jobs and will play a major role in further

transforming the State's

economy. That project will be

based at the Tech Port Australia facility down at Port

Adelaide, a precinct into which

the government, the State Government for a Defence

project, has invested more than

$300 million. It will house a

common user facility next to

the Australian submarine

corporation, the largest ship

lift in the Southern

Hemisphere. It's our

willingness to put our money

where our mouth is and show

strong support for these major

national projects that has

enabled South Australia to

consistent ly win around 30% of

national defence capital

expenditure for new equipment

and systems upgrades. As a

consequence, our State is now a

regional headquarters and

operations home to some of the

world's leading Defence

companies such as BA Systems

and now we're seeing increasing

numbers of high-end jobs for

Rathion and a range of other

companies. From 2011 we'll also

host the Australian Army's

relocated 7th Battalion mechanised battle group which

will require nearly $700

million in capital facilities,

and I'm very pleased to inform

you that tenders have just been

issued for that capital works

to establish a superbase near

Edinburgh in Adelaide's

northern suburbs. These major Defence related industries

along with an array of

leading-edge information and communications technology

operations are based in the outer northern and

north-western suburban precinct

of Adelaide. It's no

coincidence, therefore, that

the major investment in public transport infrastructure that

was unveiled in last Thursday's

State Budget has a strong focus

on that region. Adelaide's north-west corridor has also been identified as the site for

a number of large-scale housing

developments worth billions of

dollars. And of course, this expansion in specialist

industries such as mining,

Defence and advanced

manufacturers, will create an

urgent need for skilled

workers. To address that issue,

South Australia is welcoming

historically high numbers of

overseas migrant, the biggest

increase in migrants since

1972. We're also ensuring there

is an increase in the number of

skilled local workers and we're

setting up a Defence skills

centre down at Tech Port, five

mining skills centres and a

series of trade skills centres.

At the same time elevating Adelaide's international status

as a learning city. Education

is now South Australia's fourth

highest export. And Adelaide is

home to the first three foreign

universities to set up campuses

on Australian soil. We already

host the Pittsburgh-based

Carnegie-Mellon university, one

of the world's top universities

in IT and software engineering.

We're also home to a small

branch of the UK-based

Cranfield Defence University

and that's an institution

renowned globally for its

specialised courses in the

defence area. Just last month I

announced that the prestigious

University College London

ranked the ninth best

university in the world in the

'Times' higher education

supplement listings and about

three or fourth in Britain

after Oxford and Cambridge,

will establish a campus in

Adelaide from next year.

Keeping with the State's huge

mining industry expansion,

University College London will

deliver a postgraduate Masters

Science in energy and resource

management and offer places to

a number of doctoral students.

South Australia also of course

has three world-class existing

universities that post an outstanding pedigree in

research and teaching. Indeed,

our State has long been

synonymous with science and

innovation. We've produced a

total of five Nobel Prize

winners, more than any other Australian capital city. So

it's fitting therefore that

Adelaide has also been chosen

as the location for the first

satellite operation of the

famous 200-year-old Royal

Institution of Science in Great

Britain to be established

outside the United Kingdom.

There was an announcement last

week to coincide in London with

the Queen's opening of the

refurbished Royal Institution

in London. It will be chaired

by Peter Yates but a board that

includes people such as Baroness Springfield from

Britain, it will be based ined

a laidz and promote science and

science education around the

nation. It will also be the

base for the Australian Science

Media Centre which has a

database of 1400 scientists who

are plugged in to media around

Australia when doing stories on

science subjects. The initiative to establish the

Royal Institution Australia was

a result of the South

Australian Government Thinkers

in Residence program, that

included people such as

Baroness Springfield and

Stephen Snyders who advises Arnold Schwarzenegger on

climate change issues and

Herbert Giriday, who is helping

us reduce our carbon footprint.

Through that program, in which

leading international experts,

spend time in Adelaide and

provide thought provoking ideas

to address some of our policy

issues. They come to Cabinet,

participate in discussions,

come to the executive committee

of Cabinet, do masterclasses,

work with policy advisers. So

where we are now as a State on

the cusp of a mining and

defence boom. Our challenge is

to ensure that the benefits

derived from our prosperity

flow through to everyone in the

community. And that's why one

of my overriding priorities

upon taking office was to

establish a social inclusion

initiative, to increase opportunities for people who

are marginalised in our

society. If the State is to

receive an economic dividend,

particularly from our mining

expansion, I want to make

certain that we receive a

social dividend as well,

particularly for people who've

had generational unemployment

or who've been locked out of

opportunities for a long time,

particularly our Aboriginal

people. Based on a model

established by former British

Prime Minister Tony Blair,

South Australia's social

inclusion initiative is

designed to tackle a range of

areas, and decrease social

fragmentation. Importantly, the

Social Inclusion Board that

oversees this initiative has

the authority to intervene and

confront issues at the highest

level. The head of our economic

development board, the hefd of

our Social Inclusion Board, sit

in on the executive committee

of Cabinet, breaking all

precedents. And it's not about

throwing money at problems,

which hasn't worked in the

past; it's about forging

different partnerships and

basically confronting old

philosophies of how we deal

with protracted disadvantage.

Also about tackling excessive

bureaucracy in order to

institute real reform. These

areas that we've looked at

include school retention rate,

juvenile offending, Indigenous

health, and the issue that

we've made a key priority,

which is homelessness . In 2004

we implemented a program to

assist homeless people and

targetted those who sleep rough

in our city and towns on a

nightly basis. And while the

national rate of people

sleeping rough increased by 19%

between 2001 and 2006, in South

Australia, we defied the trend,

we're the only jurisdiction to

see homelessness drop. Again,

as a result of another

initiative that arose from our

Thinkers in Residence program,

we've introduced the highly

successful Common Ground

Adelaide Project to provide

supported long-term

accommodation for low-income

and previously homeless people.

With the strong support of

local business, we've opened

our first Common Ground

building with 38 units in at

laid's city centre last year,

and a second building with 60

units due for completion in

2009. South Australia is

leading the nation in the fight

against homelessness, so I'm

delighted that the new Federal

Government, under Kevin Rudd's

leadership, is adopting a

number of our initiatives . The

Commonwealth has recently

announced its own minister for

social inclusion, the Deputy

Prime Minister, Julia Gillard.

It's established a national

Social Inclusion Board. In

another significant move,

Therese Rein, the wife of Prime

Minister Kevin Rudd, has taken

on the role of a national

Common Ground patron. In order

to provide a complete range of

services to the South Australian economy and

community, we're committed to

the greatest investment in

infrastructure in the State's

history. And once again, this

is targetted spending that

tackles our most important

needs. It includes a 1.7

billion dollar state-of-the-art

hospital in the heart of

Adelaide over the railway

lines. A revamp of other

existing hospitals and schools.

A $1.1 billion desalination

plant to secured a laid's water

supply, and that's in addition

to the giant desalination plant

that will be built another

Whyalla to service the --

near Whyalla to service the

giant Olympic Dam expansion.

The election of the Rudd

Government last November has

helped us reach a breakthrough

in the development of the

Murray-Darling basin with a $10

billion action plan. We are certainly absolutely committed

to working with the Federal

Government. It was a great

shame that it took so long to

get that agreement, but that

agreement is critically

important. It was vitally

important that an independent

commission of experts run the

River Murray, not another group

of politicians, 'cause that's

been the problem for so long.

And it was very important, too,

as we lobbied to have a big

slice of that $10 billion being

spent on the critical issue,

apart from the lack of rain,

which is of course

overallocation of irrigation

licences along the river. So

I'm currently, our Cabinet this

week, will sign off on our

submissions to the COAG process

for our slice of that $10

billion. And in terms of

expenditure on water

infrastructure, in addition to the desalination plant and

obviously front of mind at this

very moment, is not only the

plight of our irrigators in the

riverland, but also the

desperate situation facing the

lower plaiks --

Lower Lakes in South Australia

N last week's State Budget , we

outlined a $2 billion

investment to modernise and

extend Adelaide's public

transport network. That

includes an expanded coast-to-coast tram service

from Glenelg through the city

down to port Adelaide to

Semaphore and also to AAMI

Stadium and the electrification

of our trains. Like the

expansion of the mining sector

and the development of the

defence industry, the transport

program will transform our city

for the next 50 to 100 years.

We looked at what happened in

Portland Oregon. Everywhere the

tram was extended, it generated

huge amounts of development.

Just yesterday, our government

launched sweeping changes to

the State's planning system to

massively reduce red tape and

most importantly cut the time

it takes to get planning

permission. Business estimates

that these reforms will be

worth $5 billion to our local

economy over the next five

years. Therefore, unlocking

wealth. These changes to our

planning system have already

drawn strong praise from the

business and property communities. Property Council

executive director Nathan Payne

said yesterday "This is the

single biggest economic re

South Australia has seen in the

past two decades." Ladies and

gentlemen, as was the case when

I moved from Auckland to

Adelaide three decades ago to

work for Don Dunstan, and be

confronted by Ken in a safari

suit, South Australia is once

again punching well above its

weight. We're proving that it

is possible to be probusiness,

promining, proenvironment and

pro-social justice. We're showing thaw don't have to be

the biggest to be the leader.

And we're setting a powerful

example of what can be achieved

by being smarter, by being hung

rear, by setting the bar

higher, by daring to be bold,

by daring to be bipartisan and

by sticking to a clear vision,

backed by a plan that has measurable targets against

which we can be judged. Hang

reeier. I may be biased, but I

believe as a former journalist,

here at the National Press

Club, that this is a great

story, and it's one well worth

writing home about. Thank you

for having me here today. --

hungrier. (APPLAUSE)

Thank you, Mr Premier. We

have our usual period of

questions starting today with

David Crowe. Thank you, I'm

from the 'Australian Financial

Review'. I was interested in

your mention of the resources

and defence boom. I just wanted

to ask you about resources. The

impression I got was that you

believe that this resources

boom is not a boom but is a

lasting uplift that could last

for 100 years. I just want to

check on that. You don't think

it's got an end. Kevin Rudd

seems to - is preparing for the

possibility of it ending, but

don't think so. The second

aspects of that question is: on

uranium, if you crusaded within

the Labour Party to change

policy, why don't you adopt a

similar crusade on the prospect

of exporting uranium to India,

which is a democracy, and would

benefit South Australia? OK.

Just on those questions - I

mean, the Olympic Dam

expansion, which is the world's

biggest mine by a country mile,

they made their decisions not

on the current price of

uranium, which has been at

record levels, but at a much,

much lower rate. We're talking

about a mine that will be

around for 150 years. They did

not buy from Western Mining

that resource. It's now been

revalued to be US $1 trillion,

just to leave it there as a car

park or some kind of mirage in

the desert. I mean, that's

clearly not the case. They

spent $500 million there in the

last year alone. And because

we've got a series of other

mines, including a decision by

General Atomics just two weeks

ago to develop the Beverley

Four Mile Mine, which is the

second-biggest find in the last

25, 30 years. We believe that

in South Australia, mining will

dominate our economy for the

future. Oifts currently No. 2

behind --

it's currently No. 2, just

behind our wine industry. So I

certainly believe that for

South Australia, our resources

expansion is here for the long

haul. On other issues, you

mentioned in terms of

campaigning on other issues

relating to uranium - I have to

say it was a tough fight. There

was 400 delegates I think at

the national conference, and I

think we got it through by

about eight votes. I was locked

in rooms for some days lobbying

to get that xwlaing in policy,

because it was a logical one.

But there has been a law

established under previous

governments including

acknowledged by the Howard

Government which sells we

cannot sell uranium to

countries that are not

signatories to the nuclear

non-proliferation treaty. You

would remember, because your

paper covered it, when it was

not that long ago when India

was testing nuclear weapons

near Jaisalmir on the Pakistan

border which caused

condemnation from John Howard

and Alexander Downer. I have a

great deal of confidence in the

current Prime Minister of

India, Mr Singh. I think he is

an outstanding world leader. I

know that he's currently and

his government are currently

talking to the IAEA, the

international Atomic Energy

Commission, and also the

nuclear users group and the

nuclear producers group about

seeing if there can be some

accommodation under the UN international safeguards

protocols of India's position.

So those things need to be

resolved. There's no need to

rush to judgment on this. The

uranium isn't going anywhere at

the moment. It's in the ground

and there's 150 years of it. In

fact, about - probably about -

nearly 50% of the world's

uranium is based in my State.

The next question is from is

an droo O'Malley. I'm from AAP.

As premier, would you put up

with your MPs generating the

headlines that be Linda Neil

and John Dellabosca are

generating at the moment?

Should he be stepping aside for

the best interests of New South

Wales Labor? I have known John

for over 20 years. I have

always found him to be extremely honourable and

decent. I mean, I read what's

in the newspapers, but I was

talking to some people earlier

and to Ken about, you always

have to check the facts first.

All of us who've been

journalists. Not anyone in this

room is a beat-up merchant. I

can tell by just looking around

the tables! I saw a story a few

years ago that I had been seen

in an altercation at a service

station trying to break the

rules about when they had a

petrol shortage of evens and

odd days and I was seen in a

silver Honda having an

altercation demanding that I

have my even-numbered car being

fueled on an odd day. Except I

don't have a driving licence,

don't drive a car, and have

never been in a silver Honda,

but that dominated the

headlines. So it's always good

to find out the truth. I also

read a couple of years ago that

my wife was at the - then my

fiancee was the Cannes Film

Festival at taxpayers' expense,

except she was in Adelaide five minutes away from the newspaper

office. It always pays to check

the facts first. Mark Davis

from the 'Sydney Morning

Herald', formerly of Adelaide.

Good to see you! You haven't

aged at all. I want to follow

up on David's question about

uranium sales to India and your

answer where you referred to

the discussions going on

between Mr Singh and the

various international agencies.

Do you see any conditions under

which it would be acceptable

for South Australian uranium to

be sold to India while it

remains a non-signatory to the

non-proliferation treaty?

Ultimately, that's going to be

a decision for a Federal

Government. But the law of

Australia is quite clear, and

the policies of both the Howard

Government and the Rudd

Government are quite clear as

well. You want to get it right,

because if you break that press

dent, then there's lots of

other issues of people saying

why don't you sell it to these

other countries that perhaps

are less rigorous? As I point

out again, it wasn't that long

ago that India was in real

trouble internationally for its

testing regime at a time that

was seen as extraordinarily

provocative and that was only,

I think, about 1998 or 1999,

from memory. So those things

would have to be negotiated.

But I think that it's been a

good rule, because we have held

- been held up high as being

responsible exporters of uranium, only for civil

purposes. And I think we should

hold on to that dearly and hold

our reputation dearly. There's

plenty of other people wanting

our uranium. Michelle Grattan,

the 'Age'. Two questions. One

is with the car tariffs in the

news at the moment, what is

your attitude to further

reductions of tariffs on cars

and secondly, in our Noel as

national President of the ALP,

would you like to see any

changes, any reforms to, for

example, attract stronger candidates or get more

membership for the party, or do

you think seeing the Labor

Party's in government

everywhere, it's best to just

let things tick over? Well,

just on the first one - we've

made a submission to Steve

Bracks's inquiry, which was

quite a detailed submission

covering a range of things, and

obviously we're very interested

in the green car issue. I mean,

I think that Mitsubishi made a

fatal mistake in going for a

6-cylinder saloon car that with

compete with Ford, Toyota and

Holden. I think it was a

fateful error that didn't read

market signals or consumer

trends internationally, even

though the 380 was actually a

very good car and had a

terrific work force. So we've

made a submission that the

tariff regime be frozen and

that's mainly because we think

that whilst we've been a

supporter of free trade,

there's no point in being kind

of stupid about it, while other

countries, our competitors, maintain high import barriers,

either tax or tariff barriers,

and while we end up sort of

taking a dive. We've seen a

massive fall in the number of

cars sold in Australia that are

made in Australia in the past

10 years alone. I'm very

pleased that Holden in South

Australia, which currently

exports 30% of its cars, will

by next year reach an export

total of 50%. They're selling

into the United States a

Pontiac V8, they will also be

selling the ute, which I think

will be sold as a Pontiac

sports truck in America. And

already, the Pontiac V8 is

going gang busters. So we

support a freeze n on the

tariff as it is rather than

dropping it in 2010,

particularly because of the

increase in the value of the

Australian dollar. We just

think there needs to be a

holding action there. In terms

of candidates - one of the

things that we do on the

National Executive is we try to

make sure we get the best

candidates around the country.

And that's something that we're

constantly looking for. I mean,

I know in my own jurisdiction,

apart from having people from

other political parties in

Cabinet, I went out and

recruited people. I recruited

Jane Lomax Smith who wasn't a

member of the Labor Party but

the Lord Mayor of Adelaide, to

become a member of Parliament

and a minister. I recruited the

mayor of Gawler, recruited the

mayor of Norwood. So I think

you constant ly have to

rejuvenate and regenerate and

just because we're in power

nationally and a across the

States and Territories, that

means we have to be even more

vigilant in making sure we're

connected to the people. That's

why I take my quab note out

every two months for two days

into a different area of the

state, hold public meetings

where the whole Cabinet or the

heads of the public service can

be questioned by the public.

That's very healthy. You have

to constantly work to be

connected, to be in touch. I'm

very pleased that Kevin Rudd is

doing the same. Mark Kenny,

from the Press Club board.

Thanks for that very passionate

advocacy of South Australia. It

makes me wonder what we're all

doing living here! You

mentioned that South Australia

is poised to become really the

next WA, that you're really

moving into the big league as a

resources State. I'm wondering

what your attitude is to the

forthcoming emissions trading

scheme. There are a number of

options being discussed at the

moment. You say you're awaiting the Garnaut Report, but does

that resources status for South

Australia have any implications

forrer attitude to the

emissions tradesing scheme and

in terms of how it should apply

to resources and how it ought

to apply to, for example,

petrol? Well, in terms of emissions trading, you remember

that I went down

that I went down to Bondi Beach

and I stood next to Morris

Iemma and John Thwait, s. As

Chair of the Council of the

Federation, I release ed a

discussion paper on setting up

an emissions tradeing scheme.

It was one that would learn

from both the pluses and the

problems of the European

trading scheme but also looking

at what happened in the north

west and north east State of

the United States. I'm passionately committed to

seeing it established there's absolutely no doubt that just

as I want to offset in terms of

what we're doing, in terms of desalination, with carbon

offsets, what we're doing as a State, parallel with our drive

to get mining going, we're

going to be the world leader in

terms of the percentage of our

power coming from sustainable

energy. I just should say by of

just a brief diversion, the hot

rocks, I really think members

of the media should go and talk

to people like Petranerm and

Geodynamics. It's up near Inner

Minka. They produced their

first emission-free power in

January next year. They will

then setting up a pilot plant,

eventually moving to a 500

megawatt plant. Totally emissions-free, continuous,

baseline energy, so it will be sustainable alongside what

we're doing with wind power and

I asked the people there, what

percentage of that particular

field had in terms of producing

emission-free energy and they

said 10,000 megawatts which is

about three times the energy

needs - more than three times

the energy needs of South

Australia. We want to she that

hot rocks power powering what's happening in the mining

industry, so that it could be

again a demonstration that you

can be pro climate change, pro

sustainable energy and pro mining at the same time.

Closed Captions by CSI

Yvonne Kenny is a diva of the great opera houses of the world. It's a long way from her first-sung notes as a public school girl. We're here at the Conservatorium of Music in Sydney

where many years ago Yvonne took singing lessons. She's come back to conduct a master class. This week's Talking Head is Yvonne Kenny. THEME MUSIC When you're on stage at those great moments of operatic triumph, what does it feel like to be you? Well, when it really works, sort of in the ultimate performance, it's hard to explain. I mean, first of all you have an amazing combination

of extremely beautiful and very passionate music. You have, hopefully, a wonderful drama, a dramatic text to sing,

and you also have your own instrument, which hopefully is a beautiful voice which touches people's hearts. The human voice perhaps is the most powerful communication of all instruments. When you also have a very good audience who are concentrated and participating there's a special energy in the theatre. Your whole awareness within your senses is so heightened that time seems to expand somehow. More happens in a minute than would in normal life. Sometimes I feel as though something comes through me. I'm just a vessel for an inspiration from...from elsewhere. Let's have a look at the life of the young Yvonne. I grew up in what's called a lower north shore suburb of Sydney which is Northbridge. There was my mother and my father, my brother Gordon and I. Gordon is seven year