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The Prime Minister is speaking in the federated states of Micronesia, let's listen in.Good afternoon. As you can see, we are here committed to the security, the stability, the prosperity of the Pacific. Australia has always been a strong and committed partner for this region. All of the countries here, we work with closely all the time. That's why I'm here with the Senator, the Minister for International Development and the Pacific, building those strong personal relationships that underpin that very, very long commitment of partnership. We have had discussions about challenges of climate change. I have made an announcement about additional support there to build resill resilience in the region. We've had discussions about illegal fishing and the need for nations of this region to be able to stop it. Of course, that's where the provision of the patrol boats, particularly the new Pacific patrol boats are so important. We are also providing additional support in terms of aerial surveillance so that the illegal fishers can be identified. Of course, in terms of building the prosperity of the region and its economic resilience, the ability for Pacific Islanders to work in Australia, the seasonal labour program that we have that's been uncapped, this is particularly important to enable them to get that experience in Australia and, of course, send remittances back here. Right across the board, we're providing considerable support but it is one of real partnership. It's one that respects the independence and the sovereignty of the nations of the Pacific but recognises that those people-to-people links are the most important ones and, at our level, at the ministerial level, it's important we're here too, making friends, catching up with old friends, making new ones and building that strong relationship that's so important for our prosperity and the prosperity of our region, the prosperity of our neighbourhood.REPORTER: You mentioned a substantial amount of funds to help with climate change relocation and disaster relief. Can you give us an idea as to a dollar amount on that?We announced it's $300 million over the next four years, $80 million of which is additional funding, $75 million of it goes specifically to disaster relief. It goes across a very wide range of projects. Connie could give more examples. Many of these nations are very small. You go from Papua New Guinea with nearly 8 million people to Tuvalu with 11,000. There are smaller states than that. It is a very wide range. It goes from engineering works to protect against inundations and cyclones to early warning systems. Water is a very big issue here particularly on the atolls and so providing additional rainwater catchment tank systems, in other words, is also a very important part of it.Did someone argue that Australia should cut deeper in the greenhouse gas emissions?There is no doubt the world needs to significantly reduce its global emissions. The good thing is, now, at least we have a global agreement. The mitigation - if you think about the climate challenge in two parts, there are many fastets to it but let's look at two, in terms of reducing greenhouse gas emissions, everyone has to play their part and that has to be a global effort. The good thing is we do have a global agreement. Australia has a commitment, as you know, which we are sticking to which we'll meet. I imagine those commitments will be increased over time. If they are, as part of the global community, we will meet them. That's one side. On the other side, the adaptation and resilience is very much a local issue. You've got to be able to make sure that a particular island, a particular location, a particular city is protected against the consequences of more storms, higher sea levels and higher temperatures and so forth.Tony Abbott said that going nuclear was the best option to lower emissions. Do you agree with his assessment?I haven't seen what Mr Abbott said but the reality is that if you want to address climate change and the need to reduce emissions, you need to have an all-of-the-above strategy. There are many means of doing this. Australia has access to abundant fossil fuel resources including the great transitional fuel and gas. It also has access, of course, to some of the cleanest coal in the world. It also has access to abundant renewable resources of wind and solar and all of the technologies associated with making renewable energies more effective are there now and are developing all the time, particularly battery storage. You'd know from your own state of SA how critical - what a game-changer storage will become. All of these things are on the table. Nuclear energy has always been something that is available to Australia but it is enormously expensive, very, very big cost and, given all of the other opportunities available to Australia, while I don't have any ideological or philosophical objection, by recollection it provides 20% of the world's electricity, it is going to be a very hard case to make that it's economically viable in Australia. (SPEAKING INDISTINCTLY) ... Criteria for membership discussion this week. Whether French Polynesia should become members. What does Australia think about expanding to include the French countries as members of the forum? We will be discussing that tomorrow with the other leaders in the nature - in the leaders' retreat.Was there a money figure put forward or previously leading up as to how much these islands are saying they need to properly combat climate change?A specific figure has not been put to me prior to this forum but the amount that we have committed is a very substantial commitment. Australia is the largest single aid donor in the Pacific but, of course, there are many other countries that contribute too and we encourage them to do so.You are coming up to the anniversary, your wedding anniversary, what would you say - Jobs and growth, 3. 3%, economic growth, what about that? Continued strong growth in jobs. A continued strong transition from a mining construction boom to one that is more diverse. That's been - that is the most tangible outcome over the last year. That's what Australians can look at, stronger economic growth despite the downturn in the mining construction boom. Many economists would have said Australia would have had a hard landing. There weren't many people projecting growth at these levels. Since I became Prime Minister, I have set out with a clear economic plan, I began with an innovation and science agenda, the first one of that kind set out by an Australian government. That was a big confidence boost. We went on to legislate to ensure that multi-nationals pay their tax. Again, very important piece of legislation. The Labor Party voted against it, by the way. We then went on to demonstrate how we could turn the upgrade in our defence capabilities that we needed, our Defence White Paper, turn that into a rejuvenation of Australian industry. The Defence Industry Plan is one that is filled with a commitment to innovation and cutting-edge industries. Again, building confidence, building jobs, supporting the economy. Then, of course, you saw in the budget the reforms in superannuation, the reforms to business tax. These are all new measures that have been critically important in building that confidence. On the social level, we've got the NDIS rolling out to the full extent. Everyone's signed up now. We've got an innovative, really innovative and substantially-increased spending on mental health. We also have announced, it was one of my first announcements, new measures to grapple with the scourge of domestic violence. Right across the board - it's a long list of achievements. Reforming the voting system in the Senate has been a very important measure. But in the 12 months, or nearly 12 months since I have been PM, it has been consistent steps of reform all focused on the goal that I set out of ensuring that we make a successful transition from an economy fired up by mining construction boom to one that is more diverse. You don't have to take my word for it. The statistics tell you the story. Strong jobs growth. Strong economic growth. Stronger than any of the countries in the G7. Growth that would be the envy of almost any of the developed countries around the table at the G20.Casting further back into your plan, you were the further head of the Republic movement - (SPEAKING INDISTINCTLY) .All donations to the Republican movement will be gratefully received. I have made a few myself over the years so I'm familiar with that great cause. Of course, I led the campaign for the 'Yes' vote in the referendum. I think the - we will know when the time is right. The critical thing with the Republic debate is it's got to be one driven by strong popular support. That's why it is really up to the ARM to drive that agenda. I am an avowed Republican, I'm one of the founders of the Australian Republican Movement and strong supporter of it but it has to have that support so that people sense that it is on the front burner of the political stove, so that people feel it is something we need to address right now. Any other questions?The NT royal commission, Tony Abbott says the Government shouldn't have responded in panic to a TV program -No. The royal commission is a very appropriate response to what appeared to be a systemic failure in the justice system in the NT and so appropriate was the response that the principal critique of it that's been made has been that it should have applied to all of Australia. But there were special circumstances in the NT that made it appropriate for the inquiry to be focused on the NT alone and, in particular, because we want to get the inquiry conducted and held and report within a reasonable time frame. If you expand the time frame or the terms of reference of these inquiries, again and again and again, you end up with an inquiry that can become unmanageable, it can go on for many years. There clearly has been a shocking failure in the Territory and that is why the Territory Government, both before the election and after the election, strongly supports the inquiry.That's the Prime Minister Malcolm Turnbull speaking in Pompeii in the federated states of Micronesia ahead of the leaders' meeting. Let's go to Adelaide where Nick Xenophon is speaking.... Whilst this is not in the renewable energy space, I will give you an example of what happens when, with research and development, you can do great things. Wi-fi was discovered by the CSIRO through their radio astronomy division. It's already delivered over half a billion dollars in dividends to the Commonwealth of Australia because of its commercialisation. What we are proposing in amendments and a second reading amendment we are putting up to the Senate next week is to oppose the funding cut on the basis that there ought to be a change in the funding mechanism to ensure that if a renewable energy technology has commercial success, then the grant ought to be repaid and there ought to be the ability for ARENA to take an equity in that project so that it can reap the benefit of that.

Turns into a great success. I can't believe that the Turnbull Government is going down the path of decimating the renewable energy funding agency arena. It has the potential to drive technological Innovation, to drive real changes in the renewable energy space. If we are to achieve our Paris agreement targets, we need to be driving technology. The real risk of the Government's slashing of the renewable energy fund ARENA is we will see a brain drain of our best and brightest leaving this country. We will have an exodus of our brightest scientists going overseas, our researchers being snapped up by other countries, whether it's China, the US, in Europe simply because we have devastated this fund.Do you have concerns what may happen to the ARENA funding, what impact it may have here in SA?It will have a huge impact. I have been working with a local business in the renewable energy space that has come up, that is working on a particular technology that has significant potential. The person behind that company has told me that he has been in talks with Japanese and Singaporean companies that are all over him like a rash because they see the potential. ARENA is the obvious funding agency for that. If it takes off, it will be a huge economic and jobs boon for the State but, basically, we'll be kicking those sorts of renewable energy entrepreneurs and innovators out of the country by decimating ARENA. $1. 3 billion in cuts would be devastating. To give you an idea of how significant these cuts are, just give you an idea, it would mean in 2017-18 year, going down from half a billion to $107 million. In 2018-19 going down from $237 million to $67 million and so on. In 2019-20, $468 million to $19 million. That gives you an idea of the amount of devastation that the renewable energy sector, those innovators will face.You are talking about a handout scheme that may turn into a loan scheme but isn't a loan scheme that anyway because if the renewable projects don't stack up, there is not going to be any equity to pay back the debt?I see your point but in relation to ARENA, we have the Clean Energy Finance Corporation that runs on a commercial basis, where loans are paid back for more mature technologies, if you like, but where they can't get commercial financing but it's still done on a commercial basis. What is happening with ARENA is that the grant scheme will be actually changed to a loan scheme, it will still effectively require a pay-back, it will change the very nature of the scheme and essentially all those innovative projects that have potential, those early start-ups, those early stages of research and development that can't get funding now under what the Government is proposing will effectively be put to an end. So the Government is doing something quite radical. It is not just the funding cut, it's also the fact that the criteria for the funding is being turned on its head to something that is completely different to what ARENA was proposed as in the first place.In the political donation space -Can I say this about political donations? This is something my colleague is working on, he will be taking the lead on this but there is one issue that hasn't been looked at in the context of this debate. That relates to the whole issue of foreign agents and foreign donations. In the United States, since 1938, they've had very clear rules about foreign agents and a foreign agent could be an Australian citizen but it could be someone who is acting extensively for another country and there are restrictions in the US as to their conduct in US political affairs. We need to consider, in the context of any reform, the sorts of laws they've had in the US since before World War II which have served that country well to get rid of or at least tackle covert political interference from foreign powers. In the context of this debate, we need to include or consider at the very least what the US has been doing since before World War II.Your campaign received very sizeable donations -Yes, we have.How is that different to what with we have seen with Sam Dastyari? How is your position not compromised -If I can give the single donor a plug, it was Ian Mel rose and his associated companies, he runs optical super stores, the largest Australian-owned optical dispenser left in the country. The rest have been taken over by large multi-nationals and Ian Melrose has been very up-front about that. We share common interests in relation to human rights, he is concerned about gambling law reform. There is no problem with donations so long as there is great trept transparency. Ian is very proud to be paying tax here in Australia. He doesn't have any offshore arrangements such as other optical dispensers who are based in other countries including one that is based in a tax haven as a matter of coincidence. The issue is transparency. The issue is disclosing those donations up-front, which is what we did during the election campaign. We disclosed a donation that was over the threshold within a day when Ian Melrose made that donation in the course of the election campaign whereas you wouldn't be finding out about the large donations political parties have received, others have received, until February next year. Transparency is the key issue.Ian Melrose has significant personal interest, not necessarily commercial interest, in East Timor.Yes. Let me deal with that issue. The question was that Ian Melrose has significant personal interests in East Timor. Not commercial interests. He actually helps fund a malnutrition clinic. He has been doing that for years with his wife because of the level of malnutrition in Timor is an international disgrace and his interests are those of humanitarian and human rights. I don't mind aligning myself with someone who is going to fund a malnutrition clinic in a developing country, one of our closest neighbours, where many commentators believe we have done the wrong thing by East Timor in the way we dealt with them. Of course, there is the notorious case of witness K, the raiding of the officers of the former ACT Attorney-General and the fact that witness K, a former ASIS operative apparently has come forward to speak about the bugging of the East Timorese Cabinet room. That is not in our national interest to behave like that with our closest neighbours, one of our poorest neighbours.He has been campaigning on an issue in direct conflict with the Australian Government's policy. If you are talking about banning foreign agents, do you have to walk a careful line here?Not at all. Not at all. Because it's not in Australia's interest, in my view, for Australia to be behaving badly to one of our poorest neighbours. The effective of that - this is something I have written about in newspaper columns published in Fairfax and the Sydney Morning Herald - if the consequence of that is to open the door to other countries on our doorstep to have greater influence on one of our closest neighbours if we have behaved badly towards them and it's very much in Australia's national interest to be a good neighbour and behave fairly with our neighbours, otherwise we open the door to other countries having undue influence on another country on our doorstep.Do you think there should be greater scrutiny on politicians and how they possibly arrange their meetings around getting free tickets in a certain city?Which certain city are we talking about?I don't know - they get tickets somewhere, possibly arrange a meeting -You are talking probably the AFL. Can I do a shout out to those people who have rung me in the last few days saying distinguish "Do you want tickets to a footy match?" . I know nothing about football but I hope the Crows win the grand final. Can I just say that it's going to pass - got to pass the pub test. There is a real issue about some of those things not passing the pub test. If we had an overhaul of the entitlements regime for politicians, that was rejected by both major parties of virtually instant disclosure or win one -- within one month, that is something that would change the way entitlements are used.(SPEAKING INDISTINCTLY) If an MP says they went to the grand final because they had to discuss important electoral matters, good luck to them but rather than finding out about it six moontss after the event, we should find out within days or within the month and that way we get a better idea of what's going on. I think that will keep all polys, including me, on our toes if the disclosure regime was more immediate.On another matter, what did you make of SA's State Government around the future of the energy market yesterday? Was that a step in the right direction?You are probably going to regret asking me this question. The question was about the South Australian Government's announcement about the energy market. If I can go back a number of years, Danny Price, the managing director of Frontier Economics. Back in 2009, he gave me advice along with Malcolm Turnbull, we jointly commissioned him when Malcolm Turnbull was Opposition Leader, to come up with an alternative Emissions Trading Scheme. The scheme he came up with at the time would have been much more efficient, wouldn't have caused power prices to spike, would have been a much cleaner and greener scheme and would have made much more sense in both economic terms as well. That scheme was dismissed at the time by Senator Penny Wong as a mongrel of a scheme. Fast-forward seven years later, Federal Labor adopted that scheme so it seems the mongrel has become a top dog and it seems that the South Australian Government is now going down the path of looking at this. The consequences of going down the path that the South Australian - the consequences of going down the of the Frontier scheme would be to see more reliablity in power supplies and reduction in power price. Let me put this in perspective: If the Liberal Opposition in SA opposes this approach, then effectively they're snubbing Malcolm Turnbull for what he proposed back in 2009. This is a smart way to reduce carbon pollution and also to reduce power prices at the same time.Nick Xenophon there speaking in Adelaide. Let's check in with the day's sports news with News Radio's Chris Glassock.We weren't seeing this coming. The Bulldogs are through defeating the West Coast Eagles in the AFL. The Bulldogs attacked from the onset so with ferocious pressure and unrelenting commitment, they created numerous chances up-front and the little men, Caleb Daniel and Luke Dahlhaus took control of the match. Daniel for me probably the man of the match. The Bulldogs stretched their lead at every change. Celebrated a 47-point win wholeheartedly at the end of the match. Two weeks ago they were beaten on the same ground by lowly Fremantle. Now they are through to the next stage of the AFL finals. They go on to prepare to meet the loser of tonight's Geelong-Hawthorn qualifying match. In the Bulldogs dressing room, it says "Anything is possible". They've got it up in their dressing room on the slogan. Maybe it is because they're chasing their first flag from 62 years. It's been a long drought for the Western Bulldogs.The NRL finals kick off tonight as well with an all-Queensland match.A packed out Lang Park. The old rivals between Queensland, the Brisbane Broncos and the Gold Coast Titans. If you asked anyone at the start of the year where these teams would have ended up, they would have said complete opposite ends of the table. The Broncos, last year's beaten grand finalists, are hoping to go one better this year but they have to do it the hard way having finished in fifth. They'll start as strong favourites against the Titans which has done well to get there. Defied expectations to reach the finals in 8th spot. Gold Coast fans will be looking to prized recruit Jarryd Hayne to play a leading role. He will be playing at fullback tonight and his clash with Darius Boyd is one to look out for. An intriguing battles in the halves. Ash Taylor takes on his old club and Ben Hunt. Big crowd assured to kick off the finals series. For the loser tonight, the season comes to an abrupt halt. A packed-out Lang Park. I give the Titans some chance but I think the Broncos will be too strong.Tennis, Serena Williams crashed out of the US Open. What happened?Gobsmacked at this one. Everyone thought she was cruising to another final but not to be. She has been beaten by Karolina Pliskova. World No.10. Playing in her first Grand Slam semifinal. No signs of nerves. She pulled out all the strokes to win the first set 6-2. Williams had been serving so well throughout the tournament. It just went a little bit awry at the crucial moments. Here she is serving an ace but when it really matter latered on at match point, second set, got to 6-all, tie break, unbelievably double faulted. So uncharacteristic for Serena Williams. Crashing out. I think everyone at Flushing Meadows was gobsmacked that the champ has gone. She will face either Caroline Wozniacki or Angelique Kerber, Pliskova, of course, in her first ever grand final. Williams' loss cost -- cost her her shot at the Grand Slam title. She will be stuck with Steffi Graff. Kerber will become the new world No.1 when the rankings are released Monday.News out of surfing?They are back at southern California. It was an entertaining first round. Here is Joel Parkinson, after a 9. 1, he pulled out a 9. 5 with his second wave. He was up against Mick Fanning and Mick Fanning only surfing in a handful of events this year. Parkinson too good in the end. Beautiful waves on the Trestles beachline. He is safely through to the third round. Here is Fanning who also surfed a 7. 8. After that horrific 2015, he is having a more enjoyable 2016 but he will have to go through the repo charge.Good to see you, thank you.Thank you.Let's look at the national weather with Vanessa O'Hanlon.From northerly winds to a south-westerly change, a deepening system moving over the south-east and bringing lots of rain with flood watches and warnings from Tasmania all the way up to NSW. Clearer skies behind that. We have got a high-pressure system that comes in for SA but our next band of cloud is part of a cold front that heads up to the south-west and behind it we've got speckled cold cloud, that will take most of the south into the start of next week.

Tomorrow that band of rain moves over to the eastern parts of Queensland, mainly up into the north-eastern areas of NSW and clears off the NSW coast away from Tasmania and Victoria. There's our next weather system that will travel through the Bight. It will affect everybody by Monday with very cold temperatures.

Thanks Vanessa. That's ABC News for now. I'm Jeremy Fernandez. Thanks for watching.

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This program is not captioned. This program is live captioned by Ericsson Access Services. Today: A stoush erupts between the the
Prime Minister and Tony Abbott about the royal commission into youth detention. The former Federal MP Clive Palmer cops a grilling at the Federal Court over the demise of Queensland Nickel. Cable car emergency - dozens of people stranded in the air above the French Alps. Good afternoon, you're watching ABC News. You're watching ABC News. I'm Jeremy Fernandez. Also ahead on the program, swimmer Lakeisha Patterson takes out Australia's first gold medal at the Paralympics Games in Rio. And the Western Bulldogs open the AFL finals with a stunning upset victory over the West Coast Eagles.