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9am with David and Kim -

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(generated from captions) There's mercifully, only one week

to go. The shopping centres have

been stormed. The babies have been

kissed and the barrels have been

porked S. there anything left to

promise? If you're feeling election

fatigue, imagine what it's like

running one? The PM dropped by for

a chat a couple of weeks ago and now Kevin Rudd joins us to discuss

what life would be like under Labor.

Thank you for having me on the Welcome. It's love 3 have you back.

program. There's this new word it's

called a Rudd slide. Never used by

me, I've got to say. If you know

how hard it is to win this election,

it's trench warfare. Another five

sleeps. You were saying to us

before we came back that it's just

a day at a time. You just keep

slogging it out? I think that's

true. It's tough. It's a tough

business. Our job is to get the

message out to working families about what we have as an

alternative plan for the country's

future. That's why we're offering

new leadership. The staff just told

me we've been to 34 or 35

electorates in this campaign and

something like 40 or 50 radio interviews. 20-plus shopping

centres and 1,016 babies kissed, no.

An awful lot of school girls I

noticed too? Why do you find the

schools a good platform to speak

at? To go to schools? I'm passionate about pan education

revolution. So much of this

election will be about a referendum

on the country's future and a referendum about whether we're

going to have a world-class

education system or one which

continues to fall behind the rest

of the world and I'm passionate

about that. I want us to be right

up there and it's a referenedm

about whether we're going to act on

climate change or not? You've seen the report in today's newspapers

about the most recent report by

scientists. When you go to schools

and talking to young people, they

have a natural vested interest in the future about the education

system and climate change and want

to know if we have real plans for

that, and we do. You mentioned

passion and your passion for this

role. I want to know what else is

it about Kevin Rudd that you're

passionate about and we don't know

a lot about the man behind the man

who will be PM, do we? How do you

like your breakfast in the morning?

A Vegemite on toast, man. Do you

make it yourself? I do, actually.

Muesli, a glass of orange juice and

a cup of tea. That's about it. I'm

a basic Aussie breakfast. Being a

Virgo, I would assume you would

like... Your birthday is September

22? Yes J. what year? 10 years

younger than you. And no work yet.

But do you like to line everything

up - I think this is significant.

People want to know a bit about

what it is that makes you tick and

what you find funny? I find a lot

of life exceptionally funny. I was

talking to Rove last night and he's

a scream, that guy. He's just a

barrel of laughs. That was good fun.

But I'm just like any other person,

I just find most of life really,

really funny. Then the serious

stuff that you've got to plan for

the country's future. What do I

enjoy? We have a closely knit

family and spend a lot of time at

home thon verandah. We've got this

crazy dog who's name is Abbey,

she's a golden retriever. She's our

guard dog and ever since our

security detail arrived from the Australian Federal Police for this

campaign, she's licked them all to

members of the family. I death and regarded them all as

members of the family. I don't

think I've heard her bark in anger

at anybody. And we have a crazy cat

whose name is Jasper. It's a normal

semi-chaotic suburban household.

How would moving to Canberra affect your family? How will your

son find life in Canberra, do you

think? Marcus is a great kid. He is

the baby of the family. He's just

turned 14, going on 28, if you know

what I mean. And he came down to

Rove last night because he's a big

fan of Rove's. When Rove takes the

mickey out of all of us, including

me. I'm sure he secretly emails

lines to Rove. He's got that sense

of humour. But we do take things

one step at a time. The one thing

that's ahead of us right now is can

we prevail in this election on

Saturday? If we're elected and if

I'm elected PM, then you start

making a whole series of other

decisions. And if not, you've got

other things to consider. In the

papers yesterday you pointed out

your 5-point plan. Top of the list

was to ratify Kyoto. It's now even

more pressing because of this

report that came out over the

weekend. So you will go to Bali for the convention? I think it's very

important to say to the rest of the

world that Australia is now part of

the global solution, and not just

part of the global problem. I can't understand why Mr Howard would have

signed Kyoto and refused to ratify

it and changed his mind. If you're

concerned about the future of our

the papers today which has an economy and look at the report in

across eastern and southern impact of rainfall patterns right

Australia by 2030, impact on the

Great Barrier Reef by 2020 and the

evidence from the scientists about

the effect human activity has on

global warming. When I talk about

the election being a referendum on

the future, I have a plan footoo

act on these challenges. Mr Howard

has had 11 years to act and has refused. I have a plan on refused. I have a plan on

education, and he has had 11 years

and hasn't done anything. We're

offering new leadership for the

future. This report wants immediate

action on emissions? Will you do more? There are three specific

things we're doing? One is

ratifying Kyoto and that puts us at

the global negotiating table to

work out what we and the rest of

the world will do for the

commitment periods. The second is,

we've already society target of

bringing down our own greenhouse

gas emissions by 60% by 2050. And

they think it's irresponsible. the Government opposes that because

they think it's irresponsible. I

think it's irresponsible not to act

on climate change because it will

damage the economy. The third thing

is this f you're out there and people are watching the people are watching the program

this morning are saying, "What can

we do ourselves about solar and

other forms of renewable energy,

our plan is to boost the solar, the

renewable energy target to 20% by

2020. Now that will boost the solar

industry in this country, to make

it a bigger part of what we now do

and wind as well. So there are

three things we will do differently.

The key thing is so we become part

of the future solution on climate

change. Because it's a real

practical consequence, for so many

people watching the program today,

is water. And if we don't act now,

then frankly water is a massive

problem down the track for a dry

continent like Australia. When you

go to Bali, will you take an

Environment Minister with you? Who

will it be? Of course. Before I go

to your next question, he's cooking

doing a fantastic job. Unlike his

opponent, Malcolm Turnbull, Peter

Garrett believes in climate change

and is determined to be part of a

climate change solution with

Australia. The Environment Minister

goes and apart from the Treasurer, the Finance Minister and the

Minister for Industrial Relations,

the rest of the team will be

determined once the election is had

if we win. Is Mr Garrett up to the

job, because he's made a couple of

naive blunders? Life in politics is

full of a few things here and there.

He was having a joke, off air, and

that's just life. I mean f they

held the scrutiny up to me in terms

of being 100% sort of accurate

every time, no-one is. Mr Howard's

not. Mr Costello's not. And Mr

Downer rarely is. He does look good

in fishnet stockings. That's a

judgment for you to make. Not a man

you'd turn gay for? Something I

would not comment on this program.

Do you think that Mr Garret, it has

been caught between a rock and a

hard place. He's a passionate man

on the environment but he's had to

toe the line. That makes it

difficult for him? I've got to know

Peter really well over the last couple of years and since he was

elected to the parliament last time

round. He's a genuinely decent

human being with a passion for

saving the planet. I'd much rather

have someone like that batting in

my team and holding up that as a

goal for our party and our country,

than an alternative government for

11 years who have pretended climate

change doesn't exist. Or even when

they've been given report by their

bureaucrats saying, "Guys, you

should act," pushing it under the

carpet. Mr Howard says it's an

alternative between the economy and

the environment. If you do not act

on climate change, the flow-through

consequences for water and the

economy are huge. It's in our national economic self-interest to

act on climate change, just as it

is on education. I want a

world-class education system. Not

one that just continues to fall

behind the rest of the world.

That's why the election this

Saturday will be so much a

referendum on the future on these

questions. You mentioned education

and there are families. There's maternity leave provisions and

child care. Is Labor more family

friendly than the Liberals? The

least family friendly piece of

legislation out there is WorkChoices. You're out there,

you're a working family, and after

Mr Howard introduced his

WorkChoices legislation, you could

be told on Friday night that you've

got to work on the weekend, without

any notice, really, or without any

penalty rates, without any overtime.

That's the law that he brought in.

If you're trying to plan your weekends as a family, to weekends as a family, to be together for sporting fixtures on

Saturday f you go to church, go to

church on Sunday or whatever, this

gets in the road of everything,

quite apart from the impact thon

family budget. So Mr Howard broke

his promise last election to hold

interest rates at their then levels,

they've gone up six times since

then. If you're a first-home buyer,

about $3,000 a year worth of broken

promises and WorkChoices on top of

that. Mr Howard says he's not going

to stay around if he wins this

election, he's handing over to Mr

Costello. Mr Costello says from the

record that he believes we should

be going much, much further on WorkChoices and therefore the

impact on the family budget, on

penalty rates, overtime and your

ability to pay the bills will be

much, much worse once Costello

takes over. And that's the plan.

You're saying that's therefore

putting much more pressure on

families? It obviously brings in to

questions issues like child care

and maternity leave provisions.

Where does Labor stand on paid maternity leave for the population?

The key question there is our

approach to a working families

under financial pressure is to do

things at multiple levels. Mr

Howard says working families have

never been better off. We don't

agree. Child care, the first one

you raised. Child care rebate is

30%, out of pocket child care

expenses. We would increase it to

50% and bring forward the payments

so they're made on a quarterly

basis. It increases the amount that

you can claim back per child with a

cap per child of $7,500, much

higher than it is now. You've got

other measures too. You would have

seen policies on our education tax refund which means if you're

spending up to $1500 a year on spending up to $1500 a year on your

child at secondary school, home

computers and the rest, you can

claim up to 50% of it back. For

primary school kids the same, with

the ceiling be $750. With schools,

we're on about making sure every

kid in the country, Yoor 9, 10, 11

and 12 has a computer terminal on

their desk at school. We don't

think any kid should be left behind.

On maternity leave, making it

easier for people - we support the

baby bonus which is already out

there - we want it to be possible

for parents to have more flexible

arrangements when it comes to

unpaid maternity leave for a second

year and that could apply to either

the mother or the father, because

the first two years of a child's

development are really important.

Any plan to open up a child minding system in Parliament House? I

haven't looked at that. We're

losing female politicians. Would

that certainly show, would it lead

the way? You know, I actually have

a slightly different approach. I'd

like to make sure child care was

done properly across the country.

We've gut a policy to build another

250 child-care centres across the

country. Just to do something on the supply side. Quite apart from

making it more affordable through

there increased child care tax

rebate, we were referring to before.

I want to make it easier for

working families to plan their

future. There's no silver bullet

here. I can't solve every problem.

If you have practical policies out

there on more affordable child care

and practical policys to help

people with the cost of education,

I think that represents a real

difference for families who are

really under financial pressure.

And that's where we want to help

for the future. You've made a lot about being economic conservative.

I think at last count you've

pledged $50 billion odd worth of

promises, that's very frugal of you,

do you worry that given economic

concerns around the world will have

an impact on a Rudd Government? Well, you're right, I'm an economic

conservative because I believe in budget surpluses and budget surpluses and independence

of the Reserve Bank, I believe in keeping maximum downward pressure

on inflation, so we have maximum

downward pressure on interest rates.

The Reserve Bank has suggested both

yours and Mr Howard's pledges will

be inflationary? When you look at

what Mr Howard did at his campaign

launch a week ago today, where we

had the $10 billion spending spree,

you could almost see the cash being

thrown around like confetti, that

was the same day that the Reserve

Bank issued its monetary policy

statement warning about an upward

adjustment to the inflation

forecast next year which has a

roll-on effect for interest rates.

And, secondly, the fact that we

needed therefore to be very mindful

of other inflationary pressures in

the economy. Mr Howard ignored that,

$10 billion spending spree. I give

mine a couple of days later and

said, "Enough is enough." What I

put on the table that day was

barely $2 billion worth of new

undertakings, because I thought

that was the responsible course of

action. It -t had another effect.

Mr Howard had another $10 billion

ready to spend that week. And

because we took a responsible

course of action in our campaign

launch on Wednesday, we undermined

that. And as a consequence, I think

the nation is better off. Alright,

we're nearly out of time but I'd

love to chat with you briefly about

Therese, she's clearly an enormous

support to you and I don't think

it's been miss bide anybody if you

do become PM after the election on

Saturday, it would be the first

time we've had a First Lady who not

only has her own surname... And a

damn good one too, Reine. She's

built a business from scratch. What

I want to know -- Reyne. What sort

of pressure does that put on a

marriage when she's sold her life's work to support her husband? We've

been married 26 years. We celebrate

our anniversary on the day of the

ALP launch. "Guys, could you be a

bit more sensitive." That's a

separate story. And we've known

each other for 30 years. So we've

been working together as a team and

as a married partnership for a long,

long time. I respect enormously her

skigz, taken independently, --

decision, taken npltly too, sell

her Australian domestic business,

whether I win the election or don't.

The conclusion she reached was it

represented too much of a potential

conflict of interest between her

business domestically which would

depend in large part of the continuation of Government

contracts which has occurred under the Howard Government for the last

11 years, as to opposed if I'm PM,

that being a real problem. But that being a real problem. But her international business she's

retained. She's going to continue working with her international

business and she's a good exporter

for Australia. I'm proud of everything she's done. I everything she's done. I think she's fantastic. She will continue

working on the international one as

long as there's no conflict of

interest? Let me tell you this, the

Australian Government does not let contracts overseas, foreign

countries. They do their own thing.

So, I mean, she has this career to

pursue. But, you know something,

I'm proud of everything she's done.

She started with nothing. $10,000

bank loan and built up her business.

She's fantastic. On the way through

she's been fantastic as a mother and raising these three wonderful

kids of ours. She's a respecter of what Mrs Howard has done. Raising

kids, good kids in a political

family, with so much exposure s

really tough. I admire what the

Howards have done, as does she.

It's fantastic to see you again and

we wish you all the best for the

final week of the campaign. And we

see whether you can conjure up the

third hangover of your life if you

win. I'm not going to go there. No

chance of a big night. I want go

anywhere. A strong cup of tea. And

some Vegemite toast. Thank you for

your time this morning. Thank your time this morning. Thank you for having me on the program.