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Tonight - refining the petrol

business, Caltex to shut its

big Kurnell plant. It is

personally devastating, it is devastating on every one of my

work mates. More engineering

jobs go but Qantas shares take

off amid speculation about an

alliance with Emirates. Integration, not incarceration, support

incarceration, support for

asylum seekers to be part of

the community. And our Olympics

chief lays it on the line for

two unhappy athletes. Put your

head down and your bum up and

you concentrate on your job.

Good evening, Craig Allen

with ABC News. The big Caltex

oil refinery at Kurnell in

Sydney will shut down within two years. The company says

two years. The company says it

can no longer compete with the

big Asian refineries. More than

300 people at the plant will

lose their jobs and as Ben

Worsley reports, hundreds of associated contractors will

also feel the pinch. Work

been clocking on at the Kurnell

refinery for nearly 60 years

but their days are numbered. It

is personally devastating and

it is devastating on every one

of my work mates, male and feel

Yale young and old. Within two

years the refinery will become

a fuel storage facility. Of the

430 workers fewer than a

hundred will remain. 300

contractors will also G We

won't take the decision lying

down. We will fight to saver

the refinery. But the deal is

done. We have taken a decision

that will secure the future of

Caltex. That is what it is

about. The company says the

plant is too old and too small

to compete with the new mega

refineries in Asia. The high

dollar is also blamed but not

the carbon tax. Last year we

lost $208 million in our

refinery operations. That is a situation that cannot

continue. Of the oil refined in

Australia, 17% comes from

Kurnell. Caltex will keep its

QLD refinery running but most

of its product will be

imported, possibly from

Singapore, Korea or inside

nah. In any time of conflict,

in any time of natural

disaster, any time of global

uncertainty, Australia will not

have a guaranteed supply. We

have to ensure it is not used

as an excuse by the major fuel

retailers to now try and push

up the margins on petrol and

other refined products. Caltex

insists there will be no change

at the bowser. There will be no

impact and there is no

connection between Caltex

owning and operating a refinery

or not. Despite another round

of job losses, the PM remains

bullish about the economy. We

have a strong economy, low

inflation, low unemployment,

low interest rates and no-one

should be talking the strength

of our economy down. The

closure will leave Australia

with five oil refineries.

Qantas is also shedding more

jobs in Melbourne. The

airline's shutting a service

centre at Tullamarine in

September and will send its

engines overseas for maintenance. More than 150 engineers will lose their jobs

when a joint venture between

Qantas and Lufthansa comes to

an end. Another day, another

round of job losses in Australia's airline

industry. Not fair. I have been

through Ansett and now I have

been through this. It is not right. These guys are just

shutting the door on the place

employees were told without no consultation, the

nothing. The Australian workers

union broke the news to

employees this

afternoon. Unfortunately, your

company has been giving up by

Qantas and Lufthansa. A short

time later management met

workers to confirm they will be

out of a job by September. By

taking this decision now, will

the company remains solvent, it

ensures all employees have the

certainty of knowing they will receive their full entitlements. This facility has

been a fifty-fifty joint

venture between Qantas and

Lufthansa Technik since 2008.

The vast majority of the work

done here is for Qantas and a

union is directing its anger

squarely at the Australian

airline and its CEO. Alan Joyce

three months ago made a similar

statement that no Qantas jobs

or related jobs will be going

offshore. What happened today?

These jobs are going

offshore. Qantas says modern

engines are more reliable and

require less maintenance which

means there is not enough work

at this facility for it to

remain viable. The airline says

that is what LTQ Engineering

has pulled out of the

violentent yur. The engines

that were being maintained here

in Melbourne will now be sent

to Germany and passengers

wanting to travel to Europe may

soon be taking a different

route. Qantas has confirmed it

is talking to Emirates about

forming an alliance. It hopes

it will help revive its ailing

business. A defiant Julia

Gillard insists she's still got

a lot of work to do as PM,

including getting the

to her disability insurance conservative states to sign up

scheme. Yesterday's stand-off

has turned into an ugly

slanging match. The PM's

accusing the states of cheap

politics, while they say they

were ambushed. Bronwyn

Chapman is stuck in a

stalemate. The Commonwealth's

on one side, the states on the other, the disabled in the

middle. It sin credibly

frustrating and it is incredibly disheartening that

the lives of so many people can

be caught up in this. Just

stuck on that point. Ms Chapman

has brittle bones. She would

has brittle bones. She would

have benefited from the

disability insurance trial but

NSW refused to sign up. It looked like some light at the

end of the tunnel for a lot of

us in that. Some of our needs

may finally be met. For this

deadlock to now have taken

place t is like the rug has

been pulled out from under

us. Some places did agree to

host trials. But they're all smaller Labor

is whether jurisdictions. The issue today

is whether Premier O'Farrell

and Premier Bailleu can find it

in their hearts to do the right

thing by the people that they

represent. In a routine we

have seen before, a PM's

accusing premiers of cheap

politics and premiers are accusing a PM of ambushing

them. I think the PM dropped

the ball, yeah, I do. Talks are continuing between officials and no-one's ruling out

and no-one's ruling out a

compromise. I am seeking to do

the right thing by disabled

people and get this right and

the important thing is to get

it right. It is important to

get the trial right and get the

arrangements for the trial

right. Julia Gillard argues the

best way to get it right is to

hold trials and says her door

is still open. I am not going

to rest until these reforms are

bedded in and ready for the

long term future of our

long term future of our country. I will certainly be

here doing it, thanks very

much. In other words, Julia

Gillard is not going anywhere.

While the PM's defiant, some

members of her team are a

little less determined. The

former Speaker Harry Jenkins is

the latest MP to announce he

won't be contesting the next

election after 26 years in

politics.

politics. Harry Jenkins

replacement as Speaker plunged

the office into controversy. As

Peter Slipper defend his

reputation in the Federal Court

it has released hundreds of

pages of evidence showing how

widely James Ashby consulted

before launching his sexual

harassment complaint against Mr Slipper. Greg Jennett

reports. Bit by bit, text

message by text message, government lawyers

government lawyers are laying

out their case that there is

much more to James Ashby's

complaint against Peter Slipper

than sexual harassment. These

900 pages trace, email and text

conversations between Mr Ashby

and a coterie of QLD LNP

figures as he upon yesterday

what to do two months before

going public, James Ashby

texted about making "Life

texted about making "Life changing decisions, national

decisions actually" and asks a

contact "Would you put a bullet

in my head to save the nation?

". Mr Ashby never displayed his

disloyalty to his boss, telling

Mr Slipper he would "Put his

tactical brain into action to

see you give Mal a carving up".

A reference to former minister

Mal Brough who was circling for

LNP pre-selection. The Federal

Court could take months to

decide what happens with the

case but by this weekend, Mr

Brough will know whether he's

won his campaign to become the

LNP's candidate in Mr Slipper's

seat. Turkey has closed its

border with Syria to all but

refugees. It is believed many

Syrian government troops have

withdrawn from the frontier to

help retake the northern city

help retake the northern city of Aleppo from rebel fighters.

Events on the battlefield are

only one of President Assad's

current concerns, high profile

defections continue to chip

away at his regime. Norman

Hermant reports from Jerusalem.

On Syrian opposition web

sites a, steady stream of video

purports to paint a picture of

the fight for Syria's biggest

city, Aleppo. Certainly these

images match the eyewitness

accounts of the battle. Rebels

outgunned and targeted by

attack jets but holding on.

Large numbers of government

tanks are reported to be moving towards the city. They are

believed to be reinforced by

thousands of troops pulled away

from border posts with Turkey.

Ankora has sealed its border to

all but refugees. Once the

trucks stop rolling a vital

trade route will be cut off.

The UN has revealed that half

of its 300 observers have been

sent home and the rest are

barely able to function. The UN

is still trying to keep its

peace plan alive. We have to

hope that the whole process

gains traction, that the

vicious circle of violence can seize. Prospects for a

political solution look dim.

Russia has criticised Western

nations for failing to condemn

last week's bombing that

devastated Syria's security

leadership. For the Assad

government defections are now a

constant problem, a top Sunni

general who defected earlier this month has appeared on television for the first time

and husband and wife diplomats,

with ambassador rank have also

reportedly defected. Syria's

regime is fighting for survival

on more than just the

battlefield. The Australian Human Rights Commission and the

Red Cross says there's no

reason why thousands of asylum

seekers should remain in

detention centres when they

could be cared for in the

community. As for those already

in community detention, the Human Rights Watch dog has

called on the government to

allow them to work. The Human

Rights Commission can go where

very few members of the public

are permitted, into the

nation's immigration detention

centres. The human face is very

disturbing. We see very

troubled people, people

obviously suffering mental ill health. Children whose

potential for development is

almost certainly being

undermined. In recent months,

the commission has also been

visiting detainees living in

the community. It is the most

humane solution, as it happens,

it is also the cheapest solution. Currently more than

5,000 people are in immigration

detention centres. Almost 1400

are in the community. We have

60% of children in the

community at the moment, 60% of

the children being processed

for refugee claims live in the

community. The Red Cross is

caring for asylum seekers in

community detention and, like

the Human Rights Commission, it

is calling for thousands more

detainees to be moved out of

detention centres. Red Cross

has worked very hard to meet

this humanitarian need and

there are many other organisations in the community

that are now coming on board to

do the same. Of course we can,

we should and we must. The

Human Rights Commission says

asylum seekers in community

detention also need to

work. You will not get anybody

who will work harder for you

than an asylum seeker who needs

a job. That is not something

the government is prepared to

consider at the moment. Give

somebody work rights, then you

would have the situation which is probably not appropriate to

continue to provide them with accommodation. Right now,

accommodation. Right now, Chris

Bowen says the Government

deserves some credit for

reducing average immigration

detention times from nine

months to three. The North

Korean media has revealed new

leader Kim Jong-un is married.

The secretive state has

released very little

information about the marriage

and has not confirmed

speculation that the woman seen

publicly with Kim is a former

pop singer. But the revelation

some still a major departure

from the style of Kim's late

father who guarded his private

life like a State secret. North

Asia correspondent Mark Willacy reports. From being made

marshal of the mother land to

being married to the mystery

woman. It has been a big week

for Kim Jong-un. After much

speculation about the identity

of his consort, all was

revealed on State

TV. TRANSLATION: While a song

of ak lambation was echoing

throughout the place, the

supreme leader, dear marshal

Kim Jong-un entered the hall

for the opening ceremony with

his wife, comrade Ri

Sol-ju. When the happy couple

were hitched wasn't disclosed.

Some analysts say it could have

been several years ago.

Whenever it was, it seems the

guest list was exclusive. To my

knowledge, I don't think we

were invited to the wedding,

nor did we have any advanced

information. Ri Sol-ju first

appeared with the chubby young

leader earlier this month at a

bizarre concert featuring

dancing Disney characters and

the Rocky movie theme. Since

then, they visited a Morse Lee

yum, an amusement park and a

kindergarten where both patted

the heads of children. North

Koreans never had their heads

patted by Kim's father, in fact

the stern-faced Kim Jong-il

never appeared publicly with

any of his wife's. Inside the

her mit kingdom, few even knew

their names. At one stage Kim

Jong-il married a dancer. Now

there is speculation his son

has married a singer. This is

Ri Sol-ju the communist

crooner. Is it Ri Sol-ju the

first lady of North Korea?

That is another mystery only the young prince of Pyongyang

and his inner circle can solve.

Some good news for home

owners after years of falling

prices, forecasters are saying

the only way is up. A new

report shows national house

prices have risen for two consecutive quarters.

Recent improvements in

auction clearances and lower interest rates has helped house

prices to stage a recovery. In

recent times, there are more

buyers in the market. In fact,

this month we had three times

the amount of sales we usually

have. New data shows Australian

capital city house prices rose

0.4% over the June

quarter. That follows a 0.5%

rise in the March quarter.

National house prices are up by

just a tick under 1% so far

this year. From the middle of

2010, Australian house prices

have been under significant

pressure but over the last two

quarters, it appears the market

has bottomed out. What we're

seeing now is a reaffirmation

of the fundamental underlying

strength of the Australian

housing market which is driven

by as pier races for home

ownership and shortage of

supply in most centres. Over

the June quarter all capital

cities posted gains except

Darwin and Brisbane. The

Melbourne market is now leading

the increases, up 1.6% on

buoyant demand from first home

buyers. Anal sifts say average

national house prices are

expected to keep rising but it

once again raises the issue of

housing affordability. For many

Australians purchasing property

remains out of reach, even

after the house price falls of

the past few years. It is

alarming to see house price

growth start to pick up again

and if we see it picking up

like it was back in the early

2000s we will have a real

problem with housing

affordability on our hands. The

problem isn't as great for

units. Price for them remain

soft, down 0.8%. Housing and development were the focus of

political debate in the ACT

today as the leaders squared

off at a forum organised by the Property Council. Katy

Gallagher pledged to appoint a

new minister for regional

development if she's

reelected. I am doing that work

at the moment in addition to

some other roles. Going forward

if we create this new focus it should sit with the Chief

Minister. Working with the

region is good but let's deal

with the cause of people moving

over the border which is the

high cost of first homes here

in Canberra. The Liberals are

also eyeing off public schools

that don't make the grade. They

are promising to spend $250,000

on an audit of school building

to be carried out by a new

infrastructure commissioner. In

finance, buyers returned to the

share market today despite

ongoing concerns about Europe.

Besieged Qantas shares found

some support following the news

of the possible tie-up with

Middle Eastern carrier

Emirates. Here's Phillip Lasker. Investors put their

concerns about Europe on the

backburner today, they decided

to do a little buying instead.

The market enjoyed its best day

in a week. Coles owner Wesfarmers said some of the

carbon tax compensation found

its way to the supermarkets.

Grocery sales went up 3% in the

June quarter and Qantas

executives now know what the

market thinks of a possible

international tie-up with the

Middle Eastern carrier

Emirates. That speculation was

worth around $200 million to

the value of the company today.

Here's a graph the money made

per passenger by full service

airlines throughout the Asia

Pacific. Apart from the sharp

fall recently it has been

virtually flat since the middle

of last year. It highlights the

growth in low cost carriers.

The strong dollar means it is

expensive when you get here.

Some people think the

Australian dollar is overvalue

ewed. The currency's measure

called the trade weighted index

tracks out trade closely. The

terms of trade has been rising over the years because we have

been getting higher prices for

our exports like iron ore like

items like imported flat screen

TVs have been getting cheaper.

Recently the terms of trade has

gone down while the trade

weighted index has held up. It

is being supported by foreign

money fleeing Europe for our

government bonds. Australia's a

AAA rated country. If that gap

doesn't look like closing, the

Reserve Bank may cut interest

rates to bring the currency

down. That's finance. An iconic

cross from the Long Tan

battlefield in Vietnam has been

loaned to the Australian War

Memorial. The cross arrived in

Canberra from the Dong Nai

Museum in Vietnam. It was

carefully lifted from its box

this morning in preparation for

public display. 18 soldiers

were killed and 24 wounded in

the battle of Lang Park. When 6

RAR went back to Vietnam for

its second tour in 1969, they

designed and built and

installed a cross. It means

there is a real bit of history

that Australians can come and

see and that will mean a lot

for Vietnam veterans to

actually see this cross that

was on the actual battlefield. The cross goes on

public display on 17 August to

coincide with the 46th

anniversary of the battle. After weeks of negative

publicity, the London Olympics

appear to have turned a corner.

With just one day to go before the Opening Ceremony, the

clouds are clearing, literally

and metaphorically. Here's

Phillip Williams. As the

Olympic torch nears its final

destination after its 12,500km

journey excitement in London is

becoming more apparent. It is

winding its way through some of

the suburbs of central London

on the 68th day of the relay. While competition has started

with women's sock why err in

Cardiff and Glasgow, it was

revealed that nine track and

field athletes have failed drug

tests. Three Russians, two

Ukrainian, one Greek and one

Turkish athlete have been

banned from competing on the track. If someone thinks

they're home free in 15 days

time from some form of cheating

here in London, they should

hold their breath for at least

eight years. The same diligence

can't be said of organisers at the women's football event in

Scotland. The North Korean team

walked off the pitch when the

South Korean flag was shown

alongside team members at the

stadium. The Australian camp

remains embroiled in a row

about athlete selection. John

Steffensen and Josh Ross have

hit out at selectors for

overlooking them in their

individual events. Mary Gearin reports. This was supposed to

be a way for two disgrunt yelled athletes to put their

issues behind them. It looks

like mutiny just days out from

the Olympics. Why wouldn't you

select me and nominate me to

see how I was going closer

towards the Games. It makes

sense but the selectors don't

have common sense. I stand by

everything I said not to run

the individual 400. It is

evident and wrong on many

levels. The two relay runners

are upset they weren't given a

chance to run individual events

with their B qualifying times.

One junior world champion was

selected that way. Earlier in

the day team boss Nick Green

showed he wasn't impressed by

the continuing drama. My

suggestion would be that you

get into the village and you

put your head down and bum up

and concentrate on your job. I

am disappointed with Nick

Green's comments in the media.

I admire and have a lot of

respect for him. Speaking the

truth is too much for some. In

a twist, head coach Eric

Hollingsworth was standing

alongside both athletes. I am comfortable with them having

their opinion as I can have an

pg and as the federation has an

opinion. There is a happier

Australian lot, the five men's

road cyclists say their team is

well bonded and confident. I

can definitely say this is the

best team Australia have ever

fielded going into the men's

road race. It is just a few

days since the riders completed

the gruelling three-week Tour

de France so they have come to

the surrounds of Surrey to

escape the distractions of the

village, to familiarise

themselves with a part of the

course and to relax, though not

too much. It is a really fine

line that we are walking of

doing enough that you can still

recover but not so little that

your body shuts down. It is

really tricky for us. It has

been a tricky day for a lot of

people. As for that British

obsession, the weather, a hot

31 here in London today and

clear. For tomorrow's Opening

Ceremony it looks like the rain

might return. The QLD Reds

half-back Will Genia has held

onto his title of the

Australian super rugby player

of the year. Genia polled three

votes in the last regular

season game to finish one ahead

of his team-mate Scott

Higginbotham. He joins Chris

Latham and George Smith as the

only players to have won the

award in consecutive years. I

didn't think I would win it

because I thought there were a

few more players out there that

were more deserving of the

award. One that comes to mind

is Scott Higginbotham for

us. QLD dominated the awards.

Ewen McKenzie was coach of the

year and the Reds took out the

try of the year award for a

spectacular team effort

finished off by Dom Shipperly

against the Rebels. The

Brumbies centre Joseph Tomano

was named rookie of the

year. Sydney's first fully

trained whale rescue team has

had a practice run. They're

honing their skills for the

real thing, saving whales

tangled in fishing nets. They

are the special forces branch

of national parks. A freshly trained team that has to stay

sharp. It can be a very

dangerous activity. We are

talking about very large

animals that have enormous

power and anything can go

wrong. We need to do a lot of

training and a lot of

training. A boom in whales

combined with commercial

fishermen mean more animals are

getting snagged on old fishing

gear. Whales are increasing

around 10% every year we have

observed. The probability of

encounters with whales is

increasing and we will most

likely see more of this type of

incident. Today the team are

practising on a rubber whale

tail that is tangled in rope.

The first step is to attach

buoys to the line. It is known

as kegging and several of these

large buoys are tied to the

whale. Kegging the operation

slows the animal down and tires

it out so that the cutting team

can approach safely. The

technique is as old as Moby

dick. We are using a technique

used by ancient whalers to slow

the whale down and kill them.

We use it to save them. After

that the team move in with a

very long-handled knife and cut

the rope. Success. There is a

warning not to try this at

home. It is hard to imagine a

stray bit of fishing line or

rope could tame these giants of

the sea. Just this week a

humpback washed up dead on the

NSW mid-north coast. It is hoped this training will mean

the next one can be saved. It

was a bit of a confused day

weather wise with morning

showers, then a slab of sunshine before the rain

returned. A top of 15 in the

city. A few degrees cooler than

that in Tuggeranong.

A cold front brought nasty

weather to southern Victoria

and Tasmania. The low pressure

system is bringing a swirl of

heavy cloud from its centre

near Bass Strait and there is

speckled cloud from a pool of

cold air sitting behind it in

the Bight. A trough sitting up

the eastern sea board is

dragging onshore winds and

showers over a long stretch of

coast. The southern low

pressure system will clear away

pretty quickly.

Before we go, a brief recap

of the top stories. Caltex is

shutting down its big Kurnell

refinery in Sydney. More than

300 jobs will be lost. More

than 150 engineering jobs will

go as Qantas shuts a

maintenance plant in Melbourne. That is the news for

now. Stay with us for '7.30'

with Leigh Sales. We will leave

you with war planes from Six

Nations arriving in Darwin for

air combat exercises. Thanks

for your company. Good night. Closed Captions by CSI.

Welcome to the program.

Tonight - the plot thickens.

Tonight - the plot thickens. A

mass of new evidence reveals

the depth of political intrigue

in the case against the

parliamentary Speaker Peter

Slipper. People talk to me all

the time. People talk to him as

a local member. There's nothing

sinister about that. And

breaking a taboo. The rising

problem of self-harm among

young Australians. I had issues

with food and eating and my

body image I guess. And I was

unable to I guess control my

emotions in terms of what was

happening inside. And it

happened one day the first time

I self-injured was at school, I

went to the toilets and I cut myself. This Program Is Captioned Live.