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Live.

New pinch point. The

government considers a $40 a

tonne carbon tax. A fuming cigarette industry takes on the plain packaging brands are worth billions. No it will be billions. These

bail and new allegations about

the IMF's top banker. Was PM,

now political author, and

Malcolm Fraser doesn't hold

back. Well in today's world,

it's the leadership of both the

Liberal Party and Labor Party

are failing Australia. Australia deserves something

better.

Welcome to ABC News across

Australia. I'm Ros Childs. The

local share market is making

small gains thanks to the small gains thanks

miners.

Climate change is one of the toughest issues facing the Federal Government and putting

a price on carbon is integral

in the government's plan

to-to-reduce emissions but a confidential report that a price of $40 a tonne

will be needed to force a

switch away from coal. That's

much higher than the widely

expected figure of $20 to $30 a

tonne. Bronwyn Herbert joins me

now from Canberra. Does the

report tell us anything about

the government's plans on the

carbon price? What the report

does tell us is exactly what

incentive is needed for

industry to switch from the old coal to the new electricity power, basically to reduce Australia's emissions.

What it has said, this

confidential report, that it

would need a $40 price over

time for basically to be enough

incentive for industry to

invest. That's a hot topic for

the government today, the multiparty Climate Change

Committee is meeting in

Canberra. That includes the key independents, Rob Oakeshott and

Tony Windsor, as well as the

Greens senator Christine Milne. morning that a $40 price tag on

its own isn't enough to boost renewables, and the Climate

Change Minister said a $40 a

price tag. It's a long way off

being a starting point. What's

been the reaction from the

opposition? The Opposition

Leader Tony Abbott has been out

in campaign mode Geelong this

morning and basically he's

jumped on Greg Combet's comments

being far off $40. I think it's

significant that the minister

this morning said that the carbon carbon price will be well short

of $40 a tonne, when it of $40 a tonne, when it first

starts. Underline those words.

When it first starts. The point

of this tax is that whatever

level it starts at, it will go

up and up and up. What about

plan? Does Tony Abbott's climate action

look at the impact of

that? What the report looks at is continued investment

government with a carbon tax government with uncertainty, for say the

with no real rules, but also, the coalition's so-called

direct action plan. And it

basically puts a figure on that

being by 2017 to cost a rise in electricity prices of $1 billion to the sector. still no sign when the latest Bronwyn, thank

group of asylum seekers to be detained on Christmas Island

will be flying to another country for immigration

first processing. The group is the

first to test the Federal Government's new offshore

employee sesing policy. Andrew

O'Connor reports from Christmas Island. The 54 asylum seekers

what we understand are mainly

Iranian have spent their first

tight in the Phosphate Hill detention centre here on

Christmas Island. They arrived in a very small and tightly packed boat. They were brought to what is a low-security

detention facility. Once inside, they were on the Federal Government's new inside, they were fully briefed

offshore immigration policy and

what it means for them. They were told that any application

they might make for asylum

Australia and they in fact wouldn't be processed in

country for immigration would be flown to a third

processing. The Department of

group Immigration tells us that this

from the other detainees inside

the facility. They may there is also concerns they may in fact

even resist being taken off the

island when it comes to be

flown to a third country. We've

had no indication yet as to

what their reaction has been to this latest news. The Federal

Government is still negotiating

with Malaysia and Papua New

Guinea. Those agreements have

yet to be finalised. Until they

are, this group will remain in

Island. Just where and when detention here

they will be flown out has yet

to be decided. One of

Australia's big tobacco

companies has launched a concerted campaign Federal Government's plans to

outlaw brands on cigarette packets. British American Tobacco Australia is

threatening to lower the price

of its cigarettes to compete

with inevitable rises in black

the move market product the company says

the move will provoke. It's

also embarking on an the government's plan. David

Crow is the CEO of BATA and he

joins me now from Sydney. Isn't

of your threat to reduce the price

of your cigarettes simply a

sign of desperation? No. We're

launching a campaign today in

the press, in the radio and on

billboards to highlight series of very pragmatic billboards to highlight a

questions for the government to

understand and consider with

this legislation this plain

packaging Bill. This Bill means

that packs will end up with no

branding, they will have olive

colour and they won't be distinguishable between real

of new packs. What we'll see is a raft

brought in by the triads and

the underworld and the

syndicates in Indonesia and China. Obviously as far as the

Middle East and Eastern Europe. These will flood the market. Those products also represent

about 16% of Australia, it's

about 1 in 5 cigarettes in the

country are already illegal. This will just expand even

more. It's growing at about

150% at the moment. So we

really do need the government

to sit back and listen to the

issues that we're raising and

we raise them in a very advertising and through

dialogue as much as we can. So

black market cigarettes would your response to that influx of

be to drop your

have to. We're not sure hat

this stage. We haven't seen the

Bill. We have an exposure draft

at the moment there is 20 days

left until the submissions go in. Then obviously there is a

rapid process after that. We're

saying not government very

openly in a pragmatic way is

can you just stop, listen can you just stop, listen to the companies like ours, talk to

all the stakeholders, all the

guys involved. Because

obviously this illicit trade

issue coming this is very dramatic. It will

will become very cheap.

Remember, a smuggled product in Australia currently sells for

about $5. A product that I sell

sells for about $16. That's

obviously where we'd have obviously where we'd have to

try to compete at some stage.

But we don't know how the

consumer will react at this

stage. But the government is determined to get this legislation through. One option is to cut prices of cigarettes. If you do that, wouldn't that go against your previous philosophy of

responsible smoking if you like in

in that cigarettes will just

become more available, more accessible accessible to children. Ros,

that's exactly the issue. The government's put a Bill together that will motivate

people to bring illegal product

into the country. It's an

incredible situation. We need to obviously talk understand the issues. And

that's really crucial to us. We

may have to drop our prices at

some stage. Depends how the

consumers react to these packages. We'll consider that

when we get the Bill but at the

moment we're in consultation. We really want the government

to talk to us. All the people involved.

involved. Retailers, consumers and obviously all the

government agencies, customs

and excise. They're the guys

that fight so hard every day to

try to stop this illegal

what it's all about. That's why

we're out in the media today

talking and launching this

campaign to really bring a

series of pretty simple questions actually. Guys, have

you really thought this through? We don't think they've

done their homework. We really

want them to do their homework and build legislation that

actually really works. We

understand that government also do legislation. We're very

pragmatic about that. But we

want legislation that will work

and that won't backfire on the

government and mean that more people fires. That's obviously not

good at all. Thanks for joining us. Thanks, Ros. The Queensland Premier Anna Bligh's post flood honeymoon with the

voters is over with a new

opinion poll showing she'd lose

a state election if it were

held now. Today's Newspoll

shows the new Liberal National

leader Campbell Newman has a 14

point lead as preferred premier. That's significantly higher than John-Paul Langbroek who was

trailing Anna Bligh. The LNP's

vote has also soared since he

took over as leadership to an election winning 60%. An election is due in Queensland

by March next year. The

5-year-old girl at the centre

of a national abduction alert has

has been found dead in northern

New South Wales. Kayla Rogers had been abducted from the

scene of a double murder on the

Gold Coast. The girl's mother was

was one of two people found

dead in a unit at Robina.

Police yesterday launched a search

were able to track the car to

the town of Casino using mobile

phone signals. Late last night,

officers found a car under a

bridge. Inside the bodies of

the girl and her father. The

cause of death will be subject

to a post-mortem. We suspect it

may have been carbon monoxide poisoning. Officers who made

the discovery are being offered

counselling. In New York, the head of the international

monetary fund has been denied

bail over allegations he tried to rape a household

housekeeper. A Manhattan judge ruled ruled that Strauss-Khan Strauss

posed a flight risk, remanding

him in custody. A political

career in ruins. Strauss-Khan

Strauss. As the charges were

read, cameras

face of a haggard and humiliated International Monetary Fund chief. Criminal sexual acts sexual acts in the first degree. New York City police

say when a 32-year-old housekeeper entered his

multiroom hotel suite, Dominique Strauss-Khan steped from the bathroom naked and chased and assaulted her. He

forced her to perform oral sex

on him. Arguing against resources to flee the United

States. He has almost no

incentive to stay in this country and every incentive and

resource with which to leave.

Denying all charges, the

62-year-old high powered

defence team argued that the

IMF chief had cooperated with

authorities and had left the

hotel in a rush because he was

running late. The reason he was

rushing is because he had a

luncheon appointment. Even a

defence offer to post $1

million a bail, give up his

travel documents, stay with his New

wear an electronic tag failed

to sway the judge, who denied bail,

bail, remanding him in

custody. We are obviously

disappointed by the court's decision. I think it's

important that you all

understand that this battle has

just begun. Prosecutors say

this isn't the first time

Strauss-Khan has been involved

in such an incident. A French

writer says he assault ed

replaced at the IMF,

Strauss-Khan is facing the

fight of his life to clear his name. Donald Trump has

abandoned his bid for the White

House. In a statement, the high

profile property czar declared

he's not ready to leave the

private sector as business is

his greatest passion. After he

was publicly humiliate ed

recently after his suspicion

that President Obama was that President Obama was born

outside the United States was

discredited. He can finally

focus on the issues that matter, like matter, like did we fake the moon landing? The out spoke en

developer and TV celebrity

remains convinced he could win

the election, but some suggested he has just been

trying to drum up reality --

publicity for his reality TV show. Colonel Gaddafi, his son, are the subject of an

arrest warrant being sought in

the International Criminal

Court. His forces attacked

Libyan civilians in their home

and in public spaces. Using

heavy weaponry against participants in funeral

processions. Judges must now

examine the evidence to decide

whether to approve the

application, though the court is not is not recognised by Tripoli.

Central to the case against Colonel Gaddafi is the crucial

battle ground of Misrata in

Libya's west. Hundreds of

people have reportedly been

killed in an

city now all but cut off from

the outside world. We

approached the harbour cautiously. Colonel Gaddafi's

forces have mined the area

repeatedly and shelled the

docks. But today, it's eerily

quiet. Misrata's suffering has

been spectacular. On every

street the evidence of two

brutal months under siege . But

now, amid the ruins, a moment

of celebration. Civilians

finally emerging from their

homes to mark an unlikely victory. Gaddafi's forces have

been driven back from Misrata,

at least for now. The remains of his display is a monument to one

man's cruelty. My father's house was destroyed and my

cousin tried to get him out and

I heard the rocket landed on

top of both of them. Today like

everyone else here, this man is digesting the news that Colonel

Gaddafi may now be indicted by

an International Court for war crimes. He has particular

reason to care. On Friday, a children's bedroom. He lost his

3-year-old daughter and baby

son. "I want Gaddafi to be

killed", he says but then

changes his mind. "No, he must

be put on trial." Over the

last couple of days, Colonel Gaddafi's forces have been

pushed well back from Misrata.

The city is no longer in The city is no longer in range

of his artillery and rockets.

NATO and its air strikes have

played a decisive role For now the rebels here say

they have no plans to do more than protect their ruined city.

Britain is calling for intensification of the air

campaign across Libya. It will

need that and more to break the

wider deadlock here.

The prospect of final

examinations is something that

send as chill through every

university student. But what if

all uni exams were abolished?

That's arts dean at Macquarie

University in Sydney. University in Sydney. Professor John Simons says John Simons says students would

probably do better if they were

freed from examination pressure. Well, it's not only

me. There's a lot of

educational research to back me

up as well. But fundamentally,

my experience as a teacher

without the research just shows

me that when you give students

other options, they tend to do

better. If there were no exams, wouldn't plagiarism

become a problem, how could was submitting for grading was

their own? Well, that's a

problem now of course even with

exams. And cheating in exams exams. And cheating in exams is

an occasional problem as well

although quite a rare one. We

wouldn't. We have to trust our

students and we have to make

sure that we teach them to do

the right thing in the right

way. A lot of efforts' money

comes from fee-paying overseas

students, so by having no exams

wouldn't you be devaluing the

degrees you were offering and wouldn't that overseas students? I've heard

that argument. And it may be

true. And that may be a reason we're

we're not doing it. But I think

that there's no magic standard

that happens when you take an

exam and there are plenty of universities in

universities in the world, universities in the world, not sure about in Australia, but

certainly in Britain and

Europe, where exams have

already gone. What was their

experience? Well, I've worked

in one several years ago, and

frankly, our students better. We didn't notice a rise

in plagiarism. And we found it

easier to administer our

programs. This wouldn't work

with all subjects. Things like a language, for example, you'd

need an exam to judge a

student's progress? Yeah,

that's correct. I mean, I am

not saying we shouldn't have

any exams. What I'm saying is

that we should be very careful

about why we have examness and set them when they're

appropriate and not just as a

blanket method of assessing

students. At the end of your paper, you put forward an even more radical suggestion, that is,

is, offering no assessment at

all. How would that work? Well,

I believe that one of the biggest challenges that

universities face is getting

the students to transition from high school to their first

year. And one of the biggest

hurdles that - one of the biggest things that makes that

a problem is the assessment

system. I think we should be

looking at assessing student

the on their aptitude, on the

way they participate, on the way

university. And be less university. And be less worried

about setting them more hurdles

to jump. Thank you for that. Thank you. Fairfax Media

is selling off its radio

stations. On offer are Sydney's

2UE and Melbourne's 3AW as well as it's other metropolitan

talkback and music stations.

Analysts value at group at

around $250 million. The

announcement comes after the sacking of at the 'Age' and 'Sydney

Morning Herald' newspapers. The

organic industry is tipped to

be this year's fastest growing

industry. Grown without pesticides and antiobiotics, organic

organic food is undergoing organic food is undergoing

something of a boom with the industry almost doubling in

size in the last couple of

years. Now the big supermarkets

are jumping on the bandwagon

lured by the pros pekts of food

which is not quite so price

sensitive. Organic produce has

been around a long time. But

now more and more people pay extra for the

benefits. Organic means more

than just an apple. It has

embedded in it a whole range of different values that people are prepared to pay for.

Organic producer Liz Clay says

business is booming at her

stall at a Melbourne farmers

market. And research company

Ibis World believes the organic

industry will be the fastest

growing sector this year. It

says revenue is forecast to reach around half

dollars, up almost 15% from 12

months ago. Organic has months ago. Organic has never

been a passing fad. We've been

around for over 30 years around for over 30 years now in Australia, certified organic,

and it's the growth of organic

has been steady but it's been

consistent. As its popularity

increases, organic products are

becoming more available. Both Coles and Woolworths are

rapidly increasing their

organic ranges. And as organic produce is more available, and

there's

prices are coming down. 60% of organic products sold in

Australia are imported because

demand outstrips production.

unlike the mainstream agricultural industry, which is

losing farmers every year, the

number of organic producers is

increasing, and more are

needed. As there's also a large export market to cater

for. China is the real for. China is the real star.

That's worth over $2 billion

and growing. But despite its potential, there are some challenges ahead

challenges ahead for organic industry. It's still seen as this irrelevant seen as this irrelevant fringe niche, and it's not recognised

as the fastest growing agricultural sector in the

world. The organic federation

says for the sector to reach

its full potential in

Australia, the government and

industry need to increase their investment in organics. Some of

the other stories making news

in business. Rather than

fighting over a limited pool of

workers, mining industry chiefs in Queensland and address the chronic shortage. The Queensland Resources

Council and the WA Chamber of

Minerals have signed a

memorandum of understanding to

work with each work with each other and the Federal Government to train

thousands of potential thousands of potential employees. Small business

conditions and confidence were

still weak in the March quarter

according to a survey by the Australian Chamber of Commerce

and Industry. Many of the

indicators that were a problem

for small business remained

positive for larger companies.

The former The former Swedish car maker

Saab has once again pulled back

from the brink of collapse,

rescued by China's biggest car

company Pangda. There is no

larger car group in the world.

They do 470,000 cars last

year. Just days before, a deal

with another Chinese motoring

giant Hawtai fell through. Saab

was revived last year when the

tiny Dutch car maker Spiker brought it from General Motors.

Time for a check of the markets

now. The Australian market is

nudging up today? It's the

market is up slightly falls on Wall Street overnight.

The ASX 200 is up 4 points to

4653. The miners are finding

some support today as copper

prices rebound. BHP Billiton is

up more than 1% and OneSteel

has also put on 1%. That's to

$1.89. How are Fairfax shares looking? They're looking good

as we heard earlier, Fairfax

formal sale process for some of

its radio assets and Fairfax

shares are up half a per cent.

The buildings material maker

James Hardie says it expects to continue dividends from the

second half of 2012. James

Hardie says it's now able to

generate strong cash flows,

that's despite a continuing difficult operating the US, where James Hardie does

a lot of its business. James Hardie shares are up more than

3%. That's to $5.86. The property developer Mirvac put out some profit

guidance? Yes. Mirvac says it

remains on track to deliver earnings growth of between 1

and 14% in 2011-11 and Mirvac

shares are up a touch to $1.21.

Another factor the market might be looking at today, the RBA has just released the minutes from its May policy meeting. The Central Bank says interest

rates will likely need to go higher at some higher at some point to keep a lid on inflation especially as

global inflation risks have

moved to the upside. A check

now of the domestic market's

other big movers in the ASX top

100: That slide on Wall Street

now as traders sold off some

recent high-flying stocks.

A quick look at ear stories

making news around the world. A

flood emergency is continuing

in much of Colombia, where

heavy rains have pushed up

river levels and increased the

threat of landslides. A record rainy season has affected more than 3 nearly 450, and wrecked

thousands of homes. And the

Endeavour shuttle has blasted off from Cape Canaveral on its

last mission before retirement.

The last flight of the sister ship

ship Atlantis will signal the

end of the program later this

year. Malcolm Fraser has won a

major literary award for his memoirs and taken the

opportunity to swipe at today's

political leaders labelling seekers inhumane. He has

accused of Labor Party of following the Liberal Party to

the bottom of the barrel, and

demeaning Australia. His book 'Malcolm Fraser: The Political

Memoirs' co-written with

Margaret Simons, was named the

book of the year at the New

South Wales Premier's literary

awards. Australia's top authors

from the past year gathered at

a gala dinner at the Sydney

Opera House for the country's Opera House for the country's oldest premier's literary awards. Malcolm Fraser

Margaret Simons won a prize

pool of $50,000 for both the

non-fiction award and book of

the year for 'Malcolm Fraser: The Political Memoirs'. Mr

Fraser has Fraser has often criticised his former Liberal Party colleagues for being too conservative. Now

he believes both major parties

have lost their way over asylum

seekers. I think it's the

leadership of the party that

failed. And the leadership of -

in today's world, that's the

Party and the Labor Party have and

and are failing Australia.

Australia deserves something

better. They both say they're

going to stop the boats. They

both have policies

both have policies which in

older times would've been regarded as inhumane. Margaret

Simons helped Fraser sift through

through a lifetime of memories including his dismissal of the government in

1975 an event which divided the nation. Initially he didn't

want to talk about 1975. We got

past that. Too much in the

past. No, it's not painful.

No. These were the first

awards presented by the new Liberal Premier Barry

O'Farrell. He committed his

government to supporting the arts financially, and admitted

his own love of books and

writers' festivals. There is something erotic about sitting in an

audience being read to. I know that is

that is a strange confession.

Melbourne author Alex Miller

won the major fiction award for

his novel 'Love Song'.

A look at the weather now.

The satellite shows cloud over the west, the Northern Territory and South Australia,

ahead of a deepening trough.

Low cloud lingering over

Tasmania and Victoria under a

high and low cloud over eastern

Queensland in strong south-east winds. A a cold morning and mostly sunny

day to the south east. Moist

onshore winds over coastal Queensland and northern New

South Wales will bring a few

showers. A deepening showers. A deepening trough will cause showers and isolated storms A final check of the markets.

There is continuous news on

ABC News 24 and also news

on-line. Our next full bulletin on ABC1 is at 7pm. I'm Ros

Childs. Thanks for And have a great afternoon. Closed Captions by CSI

This is Otterton Mill in Devon. In here is one of the earliest industrial processes. This water turns this wheel, which turns this thing here, which turns a big mill stone in there to turn this into one of these. Everybody needed bread, so there used to be thousands of mills all over the country. This is Dotton. It's a couple of miles from Otterton. There used to be a mill here, but it was knocked down in the 1960s. The first record of a mill on this site though is in Doomsday in 1086. We've never dug a mill before, so this site gives us a unique opportunity to look into part of what would have been everyday life for tens of thousands of people.