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Seven Morning News -

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(generated from captions) the Government's latest challenge - This morning - dwindling water supply. protecting the nation's for the premiership Swan Adam Goodes aims

after winning the Brownlow Medal.

trophy goes missing. And Rugby League's premiership

This program is captioned live. Morning News with Ann Sanders. VOICE-OVER: This is Seven Good morning, welcome to Seven News. the nation's water crisis, The Government has acknowledged

a new office today announcing it's setting up to deal solely with the problem. access to our dwindling supply PM Howard has described

most significant challenges. as one of the nation's for Water Malcolm Turnbull Parliamentary Secretary Office of Water Resources. will now head the He joins me now. Good morning, Mr Turnbull. Toowoomba in southern Queensland We already have cities like and Goulburn in NSW

so much of the country's in drought. crying out for water and for the Government to act? Why has it taken a crisis

The Australian Government has been

taking the lead on water reform

taking the lead on water reform for many years but it is basically

within the jurisdiction and the

control of State Governments and

local Governments. The water control of State Governments and

utilities failed to provide the

water we need are not only regulated

but Government owned. In 2004 John

Howard brought all the Governments

together in the water initiative and Howard brought all the Governments

we have been pushing to get those

water reform complied with by the

states and territories and Ada digs

al impetus and establishing the

office of water resources. It is

Howard Government office of water resources. It is the

Howard Government showing Howard Government showing leadership

on this important issue Labor says

there should be a full ministry on

is it. Is that where the Prime Minister

to is heading? You would have to speak

to the Prime Minister. I am the

parliamentary secretary, I am to the Prime Minister. I am the

passionate about this issue, I am

working all around the country passionate about this issue, I am

make sure we have working all around the country to

make sure we have the right policies

and the right infrastructures in

place. Sometime we have to take

place. Sometime we have to take on

the Government. Sometimes we have to

point out deficiencies, they have

taken billions of dollars and

reinvested very few of them. The

reason for being short of water is

not so much a consequence of drought

but a lack of management and lack of

investment. If you look at a classic

example of that, look at Brisbane.

They are heading into a long hot

summer and el neen yo on the

horizon. It is a grim prospect. We

feel this is a national issue and feel this is a national issue and we

are taking a national leadership

role on water We look forward to role on water We look forward to see

what you can do with it. As we said, what you can do with it. As we said,

it is an important

issue. it is an important environmental has weighed into the deepening row Treasurer Peter Costello to Telstra's board. over the next appointment is urging shareholders The telco's chief executive

the Government's nominee to vote against are out of Sol Trujillo's hands. but Mr Costello says those positions and Telstra have been prickly Relations between the Government to say the least. over the Government's plan And now it's hit rock bottom Advisor Geoff Cousins to appoint former Prime Ministerial to the company's board. back at Telstra, It does look very much like a slap saying, "Take this. in the middle of you "I'm going to put my mates

"because maybe I don't trust you." wants smaller shareholders Telstra CEO Sol Trujillo nomination. to vote against Mr Cousins's who is not working an agenda, All shareholders want someone or an institution. not working for an individual

remains the majority shareholder But the Government confident their man will be elected. and Treasurer Peter Costello is commercial experience in Australia Mr Cousins has got a lot of

have a look at his credentials, and I think when the shareholders I believe they will elect him. of political thuggery. The Opposition has accused the PM withdraw this nomination, John Howard should take a step back, its job of running the company. and allow Telstra to get on with

has taken a battering Telstra's share price to sell the majority of its stake, and as the Government prepares

the public stoush

confidence in potential investors. is doing little to inspire

in them's gotta be crazy. I think anyone who invests Seven News. In Canberra, Gemma Haines,

members have been doubled The salaries of James Hardie's board sufferers say is repulsive. in a move Australia's asbestosis overnight at a meeting in Amsterdam. Shareholders approved the pay rise

was among those Hardie's chief Meredith Hellicar who voted for the pay rise combined pay to $2 million a year. which increases the board's the expense of asbestos victims Critics say the pay rise is at for the company who are still waiting compensation fund. to set up a promised $4.5 billion Two people are dead

on the NSW central coast. after a caravan fire

is on the scene. Seven News reporter Robert Ovadia Rob, what's happened?

Ann, a grisly scene here and the

caravan van went up in flames. Residents

Residents saw it go up and some of Residents saw it go

Residents saw it go up and some of

these residents were burnt as they

try today save the people inside but

sadly there was nothing they could sadly there was nothing they

do. A mother and daughter died in

the fire but a teenage boy managed

to escape. He has been treated for

smoke inhalation and he is receiving

counselling as not

counselling as not only having to

watch what happened but being

powerless to stop it. A chaplain from the New South from the New South Wales ambulance

from the New South Wales ambulance

services is also here at the caravan

services is also here at the caravan

park offering comfort to the

neighbours and they are upset by neighbours and they are upset by

what happened and

what happened and fire services are

fire. here to determine what caused the here to determine what caused

A woman has a broken spine into a dry creek bed after her car crashed in Sydney's west overnight. ran off the road at Kings Park Police say the 22-year-old P-plater before smashing through a fence and into the creek.

Three passengers were also taken to hospital with various injuries. A fourth passenger escaped uninjured.

Two Sydney parents have been reunited with their toddler who decided to go for an early-morning stroll on his own. The 3-year-old boy was spotted by a taxidriver at Glenhaven just after 4am. To wake up not to find your son at home and you just heard on the radio that a kid was wondering around is a very horrible feeling. The parents say they're unsure how their curious son left their house, saying the doors were deadlocked. Sydney Swan Adam Goodes is the toast of the AFL this morning

after collecting his second Brownlow Medal. Goodes beat Bulldogs veteran Scott West in last night's count but says his focus

is on the Swans' campaign for back-to-back premierships.

This weekend, the Swans are going for a slice of history in the Grand Final. Last night, Adam Goodes created his own piece. Sydney, A. Goodes, three votes. The winner of the 2006 Brownlow Medal is Adam Goodes, Sydney Swans. Goodes became just the second player in the last 20 years and just the 12th player ever

to win two Brownlow Medals. The 26-year-old accepting the award at the Swans' private dinner in Sydney. We've had a fantastic year up here and we've got one more week to go and I'm gonna keep a lid on this. You know, it's a fantastic honour but we have bigger fish to fry this weekend against the Eagles. Goodes polled 26 votes, earning three of those in the final round, to beat Bulldogs veteran Scott West by three. West Coast's Daniel Kerr polled third

but was ineligible due to suspension. To be honest, I was pretty much hoping that I'd have the draw with Scotty West. He's had a fantastic career. Goodes may be the man of the moment. but there was also plenty of attention paid to the players' wives and girlfriends in the fashion stakes. She's taken all year to make this, this is her masterpiece. Elegance was the order of the day

with dresses from some of Australia's top designers,

arguably gaining as much coverage as the count itself. Seven sport reporter Dylan Howard joins me now from Melbourne. Dylan, it was a great night, and Adam Goodes is a deserving winner.

Just the 12th player to ever win two

Brownlow Medals but more notebly he

Brownlow Medals but more notebly he is the first player outside of

Victoria to win two of highest

Victoria to win two of highest earning honours. You got to feel earning honours. You got to feel for

Scott West who trailed and lost

Scott West who trailed and lost by

three votes. You do have to

three votes. You do have to feel for

him. It is the 5th time that Scott

him. It is the 5th time that Scott West has finished in the top four

and the second time he is bridesmaid

in the game's highest individual

in the game's highest individual honour. The quinella to Goodes is

the most deserving out come I did

not forget about my team-mates and this medal is

this medal is just as much theirs

this medal is just as much theirs as

mine. Without them it is nothing and

I truly believe that. There is no

shame in coming second. As much as

shame in coming second. As much as I

would love to win a Brownlow, I

don't feel it

don't feel it is

don't feel it is any shame coming don't feel it is any shame coming

second to a guy like Adam Goodes The

Brownlow is almost just as much

about fashion and last night was

different The

different The stakes on the fashion

field are even higher. Classic lines

and beautiful gowns were the order

for the women. As far the men, it

for the women. As far the men, it

was strict black tie. There is Shane

Crawford, he had a bit of flair

wearing white shoes. They wearing white shoes. They were told

if they didn't wear black tie they

if they didn't wear black tie they would not be admitted. There is

Rachel McLeod, wife of Andrew

McLeod. They had the number McLeod. They had the number 23 McLeod. They had the number 23

emblazoned on her back. Is that a

emblazoned on her back. Is that a fashion faux pas I reckon you did

very well. I didn't know you know so

much about fashion. Adam Goodes is

in line for another award. Yes, we

are hear for the announcement of the

coaches association. Goodes is

considered the frontrunner. considered the frontrunner. It could

be a quinella. The

be a quinella. The difference

between this award and the Brownlow,

between this award and the Brownlow,

the umpires award the medal and here

the coaches have their verdict. You

have to consider that Scott West

have to consider that Scott West is

high on the list and there is the

announcement of the coach of the year. You announcement of the coach of the

year. You would expect it would come

year. You would expect it would come

from the west Thanks very much.

from the west Thanks very much. Good to talk to you again. Next in Seven News - our business and finance report. The study putting Mars Bars before muesli. And the girl dubbed the 'little miracle' taking the first steps to a new life.

Rescue teams have confirmed the death of Australian conservationist Jill Bowling in Nepal. Dr Bowling was among 24 people on board a helicopter that crashed in the country's remote east.

They were returning from a World Wildlife Fund project. It is a huge loss for this organisation and also for conversation in Nepal and of course for the families of these 24 people. A ground crew reached the crash site yesterday. The area is too rugged for a helicopter to land in. To the US and the leaked government report that suggests the war in Iraq has actually increased the threat of terrorism. It's proving to be a damning indictment on the Bush Administration. For reaction to this report, we're joined by our US Correspondent, Anna Coren. Anna, just a few days ago we were told more people are now dying in Iraq than under Saddam Hussein.

This report suggests the war has made all nations more vulnerable to terror attacks.

That is right. Part of this intelligence report that was

designed specificcally for the

designed specificcally for the President has been leaked to the President has been leaked to the

media and it certainly does not media and it certainly does not

paint the Iraqi war in a positive

light. The findings reveal that the war in Iraq has

war in Iraq has made the terror

threat worse for the United

threat worse for the United States and the world. It has created a

and the world. It has created a

breeding ground for new Islamic

radicals. It is a consensus radicals. It is a consensus of

thoughts from the countries 16

intelligence agencies. They seized

on these findings on these findings orderinga a

hearing of military offices saying

Rumsfeld fuelled the managing the of

the war. Iraq

the war. Iraq didn't have to be the war. Iraq didn't have to be the

way it was. We create thd way it was. We create thd

insurgency. We let it grow and we insurgency. We let it grow and we

let it blossom The White House is

downplaying these findings saying it

is not telling the whole story And is not telling the whole story And the president

the president Masharraf has released

his mem rars and he said he has no choice but

choice but to support the war of

September 11 or face an American

onslaught. He said it has made the

world more dangerous. He is due to

meet President Bush and Afghan

president on Wednesday to overcome

ways on the Pakistani Afghan border,

ways on the Pakistani Afghan border,

that is where Osama bin Laden is

believed to be hiding We will

believed to be hiding We will have to leave it there. Thank you very much. A sight of so much pain and heartache during Hurricane Katrina is today returning to its former glory. The Superdome in New Orleans is re-opening for football, giving residents a sign their town

is finally returning to normal.

If this city knows anything - it knows how throw a party. For the first time in almost two years.. ..it's game day again in New Orleans. A sea of black and gold has replaced the water that surrounded the Superdome

but nothing can erase the memories of what happened here. When you walked in there it was like... ..it's like man you stepped into hell or something.

Alita Cusher was there when the roof tore away. Now, as she cleans up her home in the Ninth Ward, she wonders how almost $145 million has been spent on the stadium while there are still broken power lines and homemade street signs in her neighbourhood. I'd of been more focused on trying to get, you know, people back in their homes rather than in the dome.

But many still trying to cut a new path after Katrina say the Superdome and the Saints are a sign of hope. Anything that's getting rebuilt in town or opened is a good thing. And as the Saints come marching back into the dome, players realize they will be battling much more than the Atlanta Falcons. We know how much it means to the city of New Orleans. It means they are another huge step closer to being whole again.

That's...it's pretty powerful. Almost as powerful as the refurbished dome, once a symbol of the horror Katrina left behind, now a beacon of hope - a sign that, like their football team, right now New Orleans is undefeated in the wake of the storm. Weeks after undergoing surgery to separate her legs, a Peruvian girl nicknamed the 'Little Mermaid'

has taken her first solo steps. Milagros Cerron, whose name means 'miracles' in Spanish, was born with her legs fused together. The 3-year-old underwent two operations to reverse the rare birth defect. She'll need more surgery when she's a teenager, mostly for cosmetic reasons. There are only three known cases where children have survived

the disease known as 'mermaid syndrome'. To business and finance news now. Joining us is David Halliday from Macquarie Financial Services. David, how will Telstra's stoush with the Government over the appointment of a director affect T3 shares?

Ann, the T3 flight will go ahead. It

does create uncertainty. It has

does create uncertainty. It has been

a bit of a characteristic for

a bit of a characteristic for Telstra and the CEO and the Government

Government continue to bash heads on

Government continue to bash heads on

issues. The issues confronting

people is that revenue growth is people is that revenue growth is

quite low. The competition in the

tell communication market is high

and that is why they have been clashing head. Certainly clashing head. Certainly people

looking at Telstra will look at the

dividend. The level of dividends dividend. The level of dividends is

probably the things that will

probably the things that will

influence people but this recent

stoush will not stop David, thank stoush will not stop David, thank

you for your time this morning. Next in Seven News - the day's sports news including a new coach for a footy club in turmoil.

as road rage grips the race track. And crashing into competitors

To breaking news now. A debacle over the NRL's most prized possession. The trophy that's awarded to the Grand Final went missing during a visit to Melbourne. It's been found, but in whole new controversy. Seven Sport reporter Patrick Molihan is trying to follow it. Pat, What's happened?

A major embarrassment for the Rugby

League down here in Melbourne. They

were to have photos taken with the

trophy but trophy but unfortunately

trophy but unfortunately it didn't

make it down here. The photographer

make it down here. The photographer

checked it in and there was no checked it in and there was no

trophy. They had to use a dummy for

photos with individuals and the

coach is absolutely shattered. At

5:00 this morning I checked in for

my flight to photograph the Storm. my flight to photograph the Storm. We always photograph We always photograph the grand

We always photograph the grand final

teams with and without the trophy

teams with and without the trophy so we got one with the winners because

it is hard to get retiring players

back. I checked in the trophy. I

back. I checked in the trophy. I checked it into baggage and it was

tagged and I went down later and tagged and I went down later and the

trophy was not there. I am not going

to cast any aspersions

to cast any aspersions but out there

somewhere there is a very lonely

trophy and I would like it to call

home. It has been located. It was

sent to Perth by sent to Perth by

sent to Perth by mistake. I don't

know if the West Coast Eagles are

not going to get one but it has been

found and they will get the found and they will get the trophy

back tonight Pretty heavy trophy to back tonight Pretty heavy trophy found and they will get the trophy

go missing. in Rugby League The worst-kept secret to be formally announced today is expected with Ricky Stuart to be named the new coach of the Cronulla Sharks. The club's board met last night to discuss a replacement for the sacked Stuart Raper. And this is one man that you don't want to cut off in traffic. Michael Simko was racing in the Glass City Auto Race in Toledo. He was upset about being bumped out of the race by Don St Denis.

Simko jumped out of his car and literally into St Denis's vehicle. A few blows followed before the pair was broken up by race officials. Stay with Seven. I'll have the national forecast right after this break.

at the national weather. Time for a look A shower or two and 26 in Brisbane. but mostly fine and 21. Sydney will be cloudy

Fine and 20 for Melbourne. Mostly fine in Hobart and 17. Fine also in Adelaide and 23. Sunny in Perth and 20.

in Darwin. And a fine, warm 32 degrees to now. And that's Seven's Morning News throughout the day. We'll have updates I'm Ann Sanders. Have a great day. Thanks for your company. Australian Caption Centre. Supertext captions by the www.auscap.com.au