What we learned; Wednesday 12 July
Thank you for spending part of your day with us. Before we go - let’s recap the headlines.
Australia and the European Union failed to conclude talks on a planned free trade agreement.
Jim Chalmers appeared to prioritise the budget surplus above further measures to ease the cost-of-living crisis.
Philip Lowe revealed the Reserve Bank would reduce to eight the number of interest rates meetings each year, and that he would be “honoured” to continue as RBA governor as speculation around his future continues
Anthony Albanese condemned North Korea over its latest “egregious” missile test.
And Megan Davis said the latest Closing the Gap data shows that “more of the same” cannot continue and the Indigenous voice was needed to drive change.
We will be back tomorrow morning to do it all again. Until then - stay safe.
Updated
Cyber security agency says TikTok’s data gathering part of reason for government ban
AAP reports:
Officials from the Australian Signals Directorate on Wednesday told a parliamentary inquiry into foreign interference through social media the app could form a picture of information about those with profiles on the platform.
The government banned TikTok from government devices earlier this year, following the lead of other western nations.
Australian Signals Directorate acting director general, Abigail Bradshaw, said the information that could be gathered by TikTok included data such as phone numbers, contacts, IP addresses and SIM card numbers.
“Together, obviously, in aggregated form that creates quite a unique fingerprint in terms of the device,” she said.
“That analysis of the risks associated with the type of data which can be generated ... informed the architecture of the advisory (for the TikTok ban).”
Officials for TikTok, who appeared before the committee on Tuesday, said security for users was its priority.
Updated
Man dies after workplace accident in mid-west NSW
A man has died following a workplace accident near Wellington today, NSW police have announced.
In a statement, police said:
Just before 10 am (Wednesday 12 July 2023), emergency services were called to a solar farm on Goolma Road, Wuuluman, after reports a worker had collapsed.
NSW Ambulance paramedics treated a 41-year-old man at the scene, however, he could not be revived.
Officers from Orana Mid Western Police District attended and established a crime scene which will be examined by specialist police.
A report will be prepared for the information of the Coroner.
Safe Work NSW has been notified.
As inquiries continue, anyone with information is urged to call police or Crime Stoppers on 1800 333 000.
Updated
Penny Wong treated to song
The foreign minister’s question-and-answer session in Jakarta ended on a lighter - and somewhat surprising - note.
The moderator and chair of the Foreign Policy Community of Indonesia, Dino Patti Djalal, said:
I hope that Indonesia can continue to lean on Australia in difficult times and I hope that friendship also means that Australia can also lean on Indonesia whenever it expects - you agree with that?
After Wong agreed with that sentiment, some of the youth delegates began a lively performance of Lean on Me. After the four-minute performance ended, Wong applauded them and declared:
Now we’re all energised, aren’t we? Thank you so much - that was fantastic.
Wong said “No” when asked whether she’d ever had an ending like that at any point in her political life.
Updated
Penny Wong warned against ‘passivity’ amid changing regional power dynamics
Speaking at a youth dialogue in Jakarta, Wong said “we live in very different times and we need a contribution to stability from not just one or two countries but from all”.
Wong’s message was that countries in the region should not just encourage the great powers - the US and China - to responsibly manage their tensions, but that every country had agency to shape the region:
I don’t think passivity in the face of changing dynamics that you describe will be sufficient to ensure stability. So I’ve talked about the importance of guardrails or practical structures that ensure not only dialogue but that we have ways of averting competition escalating into conflict. I think we all have a role to play and the great powers have a role to play.
Wong said “history tells us peace and stability don’t just happen” but that countries must “create the conditions that enable peace and stability”. That included having a region “with sufficient balance to deter aggression and coercion” - meaning a power balance that ensure no one country can dominate.
Wong said it was a time for middle powers and substantial powers - including Australia and Indonesia - to “step up and work together”. She reflected on her goals as foreign affairs minister:
I really do [believe that]. If I sit there and I think what do I want to try and do while I have this role, while I’m in this job, it’s the protection of peace. One of the means by which you do that I think is saying we all have agency. We all have a capacity to do something, to act, to speak. We have to exercise wisdom, we have to work together, but we can’t leave it to others to ensure that our children, the next generation, grows up in the same sort of peace and prosperity that we have known.
An audience member cited Wong’s calls to avert conflict and then asked her: “How do you reconcile this goal with Aukus alliance which raised many questions and concerns among south-east Asians?”
Wong replied that the Aukus partnership with the US and the UK was about “sharing technology”. She noted that Australia was replacing “a capability which has been in place for decades”. (That means the Collins class conventional submarines, although these are to be replaced with nuclear-powered submarines.)
The second point I’d make is Australia’s motivation: we are a middle power. We do not seek to dominate. We seek to contribute in the way we’ve discussed to stability and peace, we seek to contribute to that balance - sufficient balance in the region that ensures all of us can make our own sovereign choices. That is what we are motivated by. Whether it is Aukus or all that we do in the region, we are always motivated to seek that stability, that peace and that prosperity. That’s where we come from.
Updated
Penny Wong points to Australia’s immigration as ‘common ground’ in Indo-Pacific
The foreign affairs minister , who is visiting Jakarta, spoke today at a youth dialogue event convened by the Foreign Policy Community of Indonesia, a thinktank, and the Australian embassy. Asked about Australia’s place in the region, Wong said she wanted to talk about history, geography and approach:
We’ve moved from being a British colony to an independent nation - a nation that sets its own foreign policy. We’ve also changed as a consequence - great consequence of migration. One in two Australians are born overseas or have a parent born overseas. So half of us either come from another country - like me from Sabah, Malaysia - or have a parent who was born overseas. That changes the character of our country. I think it’s an enormous asset and it gives us common ground with the countries of the world but particularly the countries of the region, if you look at who our communities are, how many come from the Asean [Association of Southeast Asian Nations] countries.
I think we are determined to pursue, as that modern Australian nation, our national interests. We bring a very keen sense of our geography to our foreign policy. Ultimately we want security in the region. The famous phrase from a previous Labor prime minister* was ‘security in Asia, not from Asia’, and we believe that deeply.
Finally on our approach: I like to think of our approach as being both principled and practical … I think Australians are quite practical. We like to see how we can make things work, how we can do better, how we can work together, so I hope we bring that to our relationship with you.
Later, when asked by an audience member about respect for Indigenous Australians, Wong said:
This is an important issue for us. We are home to the oldest continuous culture on the planet. We have a long way to go in terms of making sure that our First Nations people, our traditional owners, have similar outcomes to non-Indigenous Australians. There’s still so much disadvantage. Part of that is making sure we recognise who they are and their cultural connection with country and that we are as a nation respectful in acknowledging their traditions, their culture and integrating that into modern Australia.
Wong said even if Australia and Asean members started in different positions, they shared a “pretty similar view” about what they wanted for the future of the Indo-Pacific region at a time of increasing competition between the US and China:
We want to be in a region that’s peaceful. We want to be in a region that’s stable. We want to prosper. And we want to be able to make our own decisions about what’s best for us. So those four attributes of our region, regardless of where we start from, I think we end in a very similar place.
* The security in Asia not from Asia is a reference to Paul Keating - a former Labor prime minister who more often than not these days is add at odds with the current government over issues such as Aukus and China.
Updated
Closing the Gap shows ‘more of the same’ with voice needed for change: Megan Davis
The latest Closing the Gap data shows “proof of the need for a First Nations Voice”, the Uluṟu Dialogue says.
Data released this morning shows only four targets are on track, while four have deteriorated.
Uluṟu Dialogue co-chair, Prof Megan Davis, said the numbers showed that “more of the same” could not continue.
Prof Davis said:
Incredibly, our children are now less equipped to start school than when the national agreement on Closing the Gap began, more of them are in out-of-home care and away from their families, more of our adults are being jailed, and more of our people are dying by suicide.
Current laws, policies and funding are not making a difference to the lives of First Peoples in the way they should.”
It’s time for a First Nations voice to address these issues by hearing from the very people directly impacted.
Davis, one of the architects of the voice, said the proposed consultation body would “lift the bonnet to see why the engine isn’t working and provide actual solutions to problems – not just develop endless reports showing the inadequacies”.
“If we are at the table when decisions about us are made and our input leads to better quality laws and policies, the gap will close significantly. But accepting the current approach is accepting these new metrics,” she said.
“Later this year, the referendum on the voice will be an opportunity to make a real difference. Until then, it’s more of the same.”
Updated
Finance union takes work from home dispute with CBA to Fair Work
The Finance Sector Union is taking its fight against the Commonwealth Bank’s return to office edict to the Fair Work Commission, AAP reports.
The union filed the dispute on Wednesday after the bank told staff they would need to return to the office 50% of the time from Monday.
The union’s national secretary, Julia Angrisano, said there was no consultation with workers before the reduction in work from home arrangements and a large number of members were unhappy with the decision.
“What the CBA has done is ignore the enterprise agreement and instead dictate changes to work from home arrangements that currently suit many of its employees,” Angrisano said.
“The Covid-19 pandemic proved that remote work is a sustainable model and this is convenient for vast numbers of workers.”
Updated
ACTU rejects Jeff Kennett’s comments on public sector working from home
The ACTU has responded to former Victorian premier Jeff Kennett’s suggestion that public servants could take a pay cut if they work from home:
MEDIA RELEASE: ACTU calls out Jeff Kennett on pay cuts for WFH workers pic.twitter.com/thqzQ19HRe
— Australian Unions (@unionsaustralia) July 12, 2023
Updated
Explosion destroys Brisbane house with surrounding area evacuated
Fire investigators are at the scene of an explosion which destroyed a Brisbane townhouse on Wednesday and required surrounding streets to be locked down.
Queensland Fire and Emergency Services (QFES) received multiple 000 calls just before 1pm.
On their way to the scene, crews upgraded the job as they could see large dark plumes of smoke emerging from the property, a QFES spokesperson said.
Police later evacuated surrounding residents and made an emergency declaration under the Public Safety Preservation Act.
The fire was extinguished shortly after 3pm, with an investigation into the cause ongoing.
PSPA DECLARATION: Emergency services are on scene at a fire on Nambucca Cl AT Murrumba Downs around 1pm.
— Queensland Police (@QldPolice) July 12, 2023
PSPA declared between Nambucca Cl, Yaraki Ct, Pine River Dr & Drysdale Ct, encompassing Barnard Cr, Hastings St & Evans Ct. Hastings St & Evans Crt are closed. pic.twitter.com/RqiIrsWHPZ
Updated
NSW to review public sector pay as essential worker shortfall grows
Interstate pay deals could be used to guide future NSW public sector wage agreements as the state faces an exodus of essential workers seeking better conditions, AAP reports.
Two industrial relations experts have been asked by the state government whether “workforce sustainability” and retention issues should be considered by the industrial umpire.
The Health Services Union has warned workers are fleeing to Queensland, the ACT and Victoria because the pay is significantly better and housing cheaper.
The sunshine state is offering interstate paramedics up to $20,000 in a sign-on bonus, while Victorian nurse unit managers have this year been earning $1.50 per hour more than their NSW counterparts.
The terms of reference handed to the task force emphasise the state’s shortfall of essential workers will worsen by 2025 without a concerted effort to stem the outflow.
Updated
Albanese condemns North Korean missile test as ‘breaching UN rules’
The prime minister, Anthony Albanese, has condemned North Korea over its latest “egregious” missile test.
Speaking to reports in Vilnius in Lithuania, ahead of the second day of the Nato summit, Albanese said Australia was attending the gathering “because we understand that in today’s interconnected and globalised world, what occurs in Nato countries also has an impact on the Indo-Pacific”.
Albanese added:
And we’re reminded of the interconnectedness around the world with the once again, egregious launch of an ICBM [intercontinental ballistic missile] by North Korea overnight. Australia condemns North Korea for once again breaching UN rules, and by breaching the international rule of law, and with once again a provocative action, and we stand particularly with our friends in South Korea at this time.
South Korea’s joint chiefs of staff said North Korea fired a ballistic missile off its east coast towards Japan, with the move following threats of retaliation for alleged US spy plane flights.
Albanese is one of the leaders of the so-called Indo-Pacific Four – Australia, Japan, South Korea and New Zealand – who are attending the Nato summit. He said Russia’s “illegal and immoral invasion continues to have a devastating impact on the people of Ukraine, but it also has an impact on the economies around the world with higher inflation, with cost of living pressures and with food security becoming an issue as well”.
Speaking days after former Labor prime minister Paul Keating disparaged the Nato secretary general for the alliance’s increasing attention on the Indo-Pacific, Albanese said it was important for Australia to have a seat at the table:
It [the war in Ukraine] is a reminder of why we need to be engaged and to shape the future rather than allow it to shape us and that is why Australia is here. And we’re very pleased to have formed such a strong personal relationship with the leadership of Japan, South Korea and New Zealand and we look forward to a very constructive engagement here.
Updated
Hobba & Hing to leave triple j’s Drive show next month
Drive hosts Lewis Hobba and Michael Hing will be leaving triple j next month, the ABC has just announced.
In a statement, triple j said:
Hobba & Hing have been an integral part of triple j since their very first show together in 2020. They’ve unleashed an unrivalled blend of entertainment and madness, and their uncanny ability to connect with audiences around the country has earned them a legion of devoted fans who tune in every afternoon to be part of the Hobba & Hing-Corporated experience.
On leaving triple j, Lewis Hobba shares: “Hosting the Drive show has been my dream job since I was 12 and listening to triple j on the bus home. Spending my afternoons with millions of friends for the past 8 years has been a huge privilege. It’s brought me more joy than you can imagine (although sometimes you are super disgusting, you know who you are).
Thank you to everyone who got involved in our silly show; I have zero doubt that the wildest stories in the world come from Hobba & Hing listeners. It’s hard to leave the best job in the country, and I’m going to miss it so much. But it’s the right time to hand the keys over to someone else who will be as excited as I was when I got this job.”
Michael Hing could not be contacted for comment, but a representative for Mr Hing said, “My client had no idea that ‘embezzling company funds’ was a serious crime and – oh, this is about them leaving? No, sorry, yes, he’s loved working at triple j and loved working with Lucas Hobbes? Hobba? Yes, Lewis Hobba, that’s what I said. No, I’m pretty sure I said Lewis Hobba.” A note on Mr Hing’s desk said, “If anyone is trying to chase me down for money I owe them, good luck. I’m free like the bird”. It is unclear if he realises he is contracted until mid-August.
They may be leaving triple j, but this isn’t the end of the road for Hobba & Hing at the broadcaster, as the pair are launching a podcast called Silver Bullet for the ABC.
Updated
Audio description service launches on ABC iview
For people who are blind or have low vision watching TV can be a frustrating experience as they miss all the non-verbal action.
Audio description, which delivers auditory narrations of visual elements during programming, fills in this gap and makes TV more enjoyable.
On Wednesday the ABC launched an audio description service on ABC iview where more than 100 titles including Bluey, Fisk, Muster Dogs, Four Corners, Australian Story, The Newsreader and Mystery Road make up some of the 1000 hours available after additional funding in the federal budget.
Disability affairs reporter Nas Campanella, who is blind, has taken on the role of ABC audio description campaign ambassador, and she spoke at the Sydney launch about the difference it has made to her life.
The level of detail I received about facial expressions, actions or costumes on screen was dependent on what that person felt I needed to know.
It was frustrating. If I watched a show alone and there were sections with no dialogue, I simply missed out on those often important details. It certainly impacted my enjoyment of a show.
Updated
PM’s potential visit to Beijing yet to be determined, says Wong
Asked about potential plans for Anthony Albanese to visit Beijing, and whether that’s affected by the recent Hong Kong arrest warrants and bounties for two pro-democracy figures based in Australia, Penny Wong said:
I’ve raised consistently on behalf of Australia our concerns about the national security law and in response to those recent events I’ve made very clear that Australia supports freedom of expression. And I’ve particularly made clear that the Australian government will continue to support those in our country … to exercise their right to freedom of expression.
Wong said Albanese had been invited to visit China, but the two governments would “continue to engage” about when would be an “appropriate time” for such a trip. She signalled that Australia’s priorities included the removal of “trade impediments” and progress on the Australian citizens detained in China. Asked whether Beijing needed to move on those issues to lock in an Albanese visit, Wong said:
I think we should always act in our national interests. Engagement is in our national interests. And so too is the removal of the impediments, the trade impediments.
Wong said Australia wanted the barley tariff review to be resolved as quickly as possible.
Asked whether she planned to meet with China’s Wang Yi on the sidelines of the regional meetings in Jakarta this week, she didn’t rule it out:
The diary is long and flexible.
Updated
Wong calls for transparency over Solomon Islands-China police deal
In Jakarta, Penny Wong was also asked about the recently signed police cooperation deal between Solomon Islands and China. The foreign affairs minister called for transparency around the arrangements, and implictly urged China to respect the Pacific Islands Forum:
I think transparency is a good thing and Pacific leaders came together and were very clear that the priority was that the security be provided by the Pacific family.
Let’s take a step back. We all know there is strategic competition in our region. And one of the ways in which that needs to be managed in the context of the Pacific region is for Pacific institutions – the centre of which is the Pacific Islands Forum – to be respected. We support that as a member of the forum.
At recent Pacific Island Forums you’ve seen leaders reassert the importance of Pacific family-first approach to security. That matters for stability, so Australia, like many others, would want transparency about what this agreement means and we would want it discussed at the Pacific Islands Forum.
[continued in next post]
Updated
Asean ‘all deeply concerned’ about crisis in Myanmar, says Penny Wong
Cutting away from RBA news for a moment, and the foreign affairs minister, Penny Wong, has spoken to reporters in Jakarta, Indonesia. Wong, who is due to attend several meetings involving the Association of Southeast Asian Nations (Asean), says:
Asean holds the centre of a region that is stable, that is prosperous, that is secure – a region in which sovereignty is respected, where all countries benefit from a strategic equilibrium, a region that safeguards our capacity to disagree, reserves our agency, that enables all countries to determine our own destiny.
Asean matters to Australia – if you look up from Australia north you see the Asean nations at the centre of our region. That’s why it’s so important for us to continue to engage and os important for us to build on our longstanding partnership.
Asked whether she was unhappy with the slow progress that the Asean grouping was making to stop the violence in Myanmar, where the military seized full power in a coup in 2021, Wong says:
We are all deeply concerned about the humanitarian crisis in Myanmar. We have seen what has happened to democracy, we’ve seen violence and we’ve seen an ongoing humanitarian crisis. I would say members of Asean are deeply concerned as well …
It’s disappointing that those in the junta, and those in leadership in Myanmar, have not chosen to come to the table on the five-point consensus that their colleagues in the region have asked them to respond to.
Wong says there is “a lot of discussion going on” among foreign ministers and leaders. She says Australia will continue to add its voice to those urging a return to transition to democracy.
[continued in next post]
Updated
Lowe’s last audition to keep his RBA job
Philip Lowe was at his avuncular best in his Brisbane address to the Economics Society of Australia, offering a measured commentary on the central bank’s thinking.
Unless he’s a good actor, Lowe doesn’t know yet if his term will be extended beyond 17 September. He’s still up for the role, as Cait’s early post showed.
As auditions go, though, Lowe did make comments that would be in line with what a federal Labor government wants to hear. Specifically, the RBA was prepared to keep interest rates lower than counterpart central banks abroad so long as wage growth remained constrained.
Lowe made multiple references to the need to “preserve” the employment gains achieved by the economy, with the jobless rate remaining near half-century lows.
Odds, though, will still favour Lowe joining that jobless queue after September.
Anyway, more on the address here:
Updated
More housing needed as international students return, Lowe says
And finally, Lowe is asked about the levels of migration.
He says the increase in students has meant less pressure on the labour market in areas like hospitality, which helps bring inflation down. But it has added pressure to the housing market. He says we need to build more houses.
So population growth brings huge advantages to the contrary but we need governments and businesses to keep investing to build a capital stock to support a stronger population.
The housing market is the clearest example of that but there are a lot of other examples as well.
And that’s it – the Q&A has wrapped up.
Updated
Spending slowed by rate hikes but RBA is keeping ‘a completely open mind’ on further rises
Lowe says the hikes are working – if you talk to any retailer at the moment they say spending has slowed.
But don’t think that means he’s not ruling out raising them higher:
We’re confident what we’re doing working, the question mark is what do we need to do, and we have a completely open mind on that question.
Updated
Philip Lowe refuses to speculate on likelihood of his own RBA reappointment
And a question I think a lot of you will be interested in – if Lowe thinks he will keep his job as RBA governor:
In terms of my own position, as I have said before, if I was asked to continue in the role, I would be honoured to do that and I would continue.
If I am not asked to continue in the role, I will do my best to support my successor, and the treasurer has said he will make an announcement before the end of this month.
I haven’t got anything more to add on that.
Updated
RBA raised rates more slowly than other central banks to preserve jobs: Lowe
Lowe has been asked about why the RBA’s increase in rates has been less aggressive than other countries like Canada, UK, New Zealand and USA.
(Hopefully, this question doesn’t give him any ideas!)
Joking aside, he said there are a few reasons.
Firstly, normal wage growth is slower than in most advanced countries. Secondly, the labour supply in Australia is a lot more flexible than in other countries. And thirdly, it’s about trying to keep people in jobs:
We have been prepared to go a bit slower to try and preserve those gains in the labour market that we have got over the last two years. It took us nearly 50 years to get back to full employment. We are probably through that, but youth unemployment is the lowest it has been in decades, people have been able to get jobs.
So there is a huge economic and social benefit. So we took the decision to go a bit more slowly back to the target than some other central banks to try and preserve that, and I still hope we can manage it.
Lowe says if they can’t, they will focus on bringing down inflation, despite impacts on employment level.
I want to assure you that we are deadly serious about this. We will get inflation back to target, and we are going a bit slower than others because we want to preserve the gains in the labour market.
Updated
Corporate profits not main driver of inflation as profits share has not blown out: Lowe
Lowe has been asked if he thinks inflation is being driven by large corporations. In short, he says it has contributed but is not the primary source:
The aggregate data show that the profits share – excluding the resources sector, which is appropriate to treat them differently – the share has not risen in Australia.
What we have seen is firms be able to increase their prices in line with the higher input costs. Being able to pass on input costs fully and preserve the proper margins, but the profit margins have not blown out.
There are some specific firms where you could say the profits have increased, but by and large, they are confined to specific areas of the economy.
Updated
RBA felt explicit rates communication was ‘right thing to do’ during pandemic: Lowe
Lowe has been asked about communicating the message around monetary policy and if the RBA should be more vague.
He answered by acknowledging how the RBA’s former (explicit) prediction on rates was incorrect. He said the pandemic called for a different style in communication:
We were explicit about what we thought was the likely path to interest rates. It turned out we were wrong. We thought at the time, given the circumstances and the forecast, that was the right thing to do.
Updated
‘No one can be sure’ of productivity growth in next 20 years: Lowe
Lowe is now taking questions.
The first question is about whether we are entering a period of interest rates being higher than a previous period, ie when baby boomers made up most of the workforce:
That is a very good question, and the truth is no one can be sure here, but I can tell you this is how I think about the real rate being influenced by the underlying rate of productivity growth in the economy, and the balance between savings and investment.
So is productivity growth going to be higher or lower in the next 20 years that it has been the last 20 years? I don’t know the answer to that.
Updated
Conflict of interest rules to be strengthened after review of RBA code of conduct
All managers will be expected to “create an inclusive environment where staff can share ideas in an open and constructive way”, Lowe said.
As for conflicts of interest of the board (and its future additional monetary policy board), Lowe said: “I want to note that the [review] panel did not hear any evidence of problems in this area and I know from first-hand experience that the board members take their responsibilities very seriously”.
Still, the board has reviewed the code of conduct and “agreed to strengthen the already strong standards by making it crystal clear that members, and entities they control, are prohibited from transacting in interest rate and foreign exchange derivatives and from active trading in financial instruments”.
Questions for Lowe coming now.
Updated
Communications, culture to change at the RBA, Lowe says
The markets’ attention seems to have focused on the changes of the RBA meeting rather than Lowe’s rate rise comments. The Australian dollar and stocks have barely budged so far.
Anyway, communications will be among the big changes the RBA will be attempting to implement – whether or not Philip Lowe is in charge after 17 September when his term is scheduled to end.
The RBA will have a separate communications department, with a search to begin soon for an executive to head it.
And the RBA is also “embarking on a significant program of cultural change”, a nod to criticism that Martin Place in Sydney has tended to promote from within.
(The new governor, if there is one, looks like being an outsider or perhaps a former RBA staffer making a return.)
[continued in next post]
Updated
China delays decision on barley tariffs in setback on trade dispute resolution
China has asked for an extra month to decide whether to scrap hefty tariffs on Australian barley, dashing hopes of an imminent breakthrough in one of the biggest trade disputes between the two countries.
The Albanese government said it was disappointed by the delay, and warned that it was ready to revive its case at the global trade umpire, the World Trade Organization, if Beijing doesn’t scrap the measure by August.
Updated
Less frequent RBA meetings will mean more time to examine issues in detail: Lowe
According to a copy of his speech provided by the bank, Lowe said:
The less frequent and longer meetings will provide more time for the board to examine issues in detail and to have deeper discussions on monetary policy strategy, alternative policy options and risks, as well as on communication.
Likewise, the staff will have more time for analysis, with less time spent preparing summaries of recent developments.
The Reserve Bank’s operations had not been scrutinised closely for about three decades before the recent review. The bank’s record run of interest rate rises over the past 14 months have added to criticism, with Lowe’s position under pressure after he incorrectly forecast in late 2021 that interest rates may not need to rise until 2024.
One key recommendation in the review was the call for the RBA to have a separate monetary policy board of experts, much like peer institutions in the UK and New Zealand. That change, though, will be part of separate legislation and was not the focus of Lowe’s speech on Tuesday.
On interest rates, Lowe said: “It is possible that some further tightening will be required to return inflation to target within a reasonable timeframe.
“Whether or not this is required will depend on how the economy and inflation evolve,” he said, adding that at its 1 August meeting the board would have an updated set of economic forecasts from the staff as well as a revised assessment of the balance of risks.
More soon, including perhaps some comments about Lowe’s own fate.
Updated
RBA’s Lowe says fewer rate meetings from 2024; further rate rises not a certainty
The Reserve Bank will cut the number of meetings that set the official interest rates from 11 times a year to eight, starting next February as the central bank begins implementing the recommendations of a review.
The RBA governor, Philip Lowe, announced the changes in Brisbane on Wednesday. He also addressed the bank’s decision to leave its cash rate on hold earlier this month, saying that “it remains to be determined whether monetary policy has more work to do”.
The speech may be the last Lowe makes before the treasurer, Jim Chalmers, announces the next RBA governor appointment after Lowe’s seven-year term expires on 17 September. Lowe is widely expected to be replaced, with the timing of the change to be determined.
The RBA board currently meets on the first Tuesday of every month bar a January break. From next year, it will gather on the first Tuesday of February, May, August and November. The other four meetings will be held midway between these meetings, with those dates to be published soon.
Each will typically start on the prior Monday afternoon and end on the following day. The board’s verdict would then be announced at 2.30pm on the Tuesday, with the governor then holding a media conference an hour later to explain the decision.
[continued in next post]
Updated
Partners and staff at big consultancy firms sacked for misconduct including sexual harassment
Dozens of staff and partners at Australia’s biggest consulting firms have been fired in the last two years for conduct breaches including integrity failures, dishonesty, bullying and sexual harassment.
KPMG, Deloitte and EY have disclosed the sackings to an ongoing Senate inquiry into the behaviour of government consultancy firms, which was triggered by PwC’s misuse of confidential tax policy information.
In answer to questions from the Greens senator Barbara Pocock, KPMG confirmed it received 88 internal complaints about staff conduct last financial year, with 38 substantiated. The majority of these were classed as “code of conduct breaches” or bullying. Eleven people were sacked and others were issued written warnings or had their pay cut.
Eight partners at EY Australia have been sacked in the last two years for failing to meet the company’s values. The reasons for termination include sexual harassment, bullying, dishonesty and “not acting with integrity in relation to a workplace investigation”.
The firm also confirmed there were 17 formal workplace investigations launched last year in response to accusations of sexual harassment, bullying and other misconduct. Thirteen of these were substantiated, with one ongoing investigation.
Deloitte confirmed 121 instances of misconduct in the last financial year, with 13 involving partners, four of whom were sacked. The number of breaches increased from 78 recorded a year earlier, when two partners were sacked.
Updated
Australian universities report finds quality of education eroded by ‘long-term underfunding’
First up, let’s start with this new report that shows while 40% of all jobs at universities are now casual positions, vice-chancellor salaries averaged almost $1m in 2020.
My colleague Jordyn Beazley has the story:
Of the 1,002 respondents in the report by the Australia Institute’s Centre for Future Work, 83% said they were concerned universities’ focus on profit was undermining education standards.
The report said federal funding for universities from 1995 to 2021 – excluding government-funded Help loans which are later repaid by students – has declined by $6.5bn, which equates to 46.5% of current higher education funding.
You can read her story here:
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Hello everyone, this is Cait Kelly – I will be with you for the rest of the afternoon. Let’s get into it!
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Thanks for joining me on the blog this morning!
I’m now handing over to Cait Kelly, who will take you through the afternoon’s news.
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Scientists work on bringing giant kelp forests back to life
This is what giant kelp restoration looks like in action:
Giant kelp restoration in action! pic.twitter.com/91yStSSSog
— Great Southern Reef Foundation (@GSR_Australia) July 11, 2023
Our science writer Donna Lu has written about the potential of the restoration effort in Tasmania, where thick underwater forests used to be so dense they were marked as shipping hazards on nautical charts.
Thriving giant kelp once provided habitat for fur seals, seahorses, weedy sea dragons, rock lobsters, abalone and fish. But since the 1960s, Tasmania’s giant kelp has all but vanished.
You can read her full story here:
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AEC expresses concern over low voter turnout in Fadden byelection
The Australian Electoral Commission are worried about low participation in the Fadden byelection, according to an AEC media release.
The commission is taking up more avenues of communication “than we’ve ever done for a single by-election” to urge voters in the division of Fadden in the Northern Gold Coast region to vote in Saturday’s byelection.
The Australian electoral commissioner, Tom Rogers, said the number of votes cast so far are below expectations.
“By-elections have traditionally had less people participate than in a full federal election but it’s just as important to have your say,” Rogers said:
The early voting numbers we’re seeing are down by approximately 27 per cent based on the same period in 2022 federal election.
Typically, if someone casts their vote early in one election, they’ll do so in the next one as well – and we’re not quite seeing that here which makes us worry about low participation.
Rogers said every Fadden household had been sent an official guide to the byelection, and the AEC were advertising through social media and media representatives.
We’re also sending text messages and emails to Fadden residents we have the contact details for – it’s a reminder of their right and responsibility to vote.
It’s more communication than we’ve ever done for a single by-election but ultimately we know that political campaigning activities and media coverage will always be key vehicles for awareness and motivation to vote.
Are you postal voting for the Fadden by-election? Applications close 6pm today! Visit https://t.co/cZYdxFGeMM to submit your application before the deadline. pic.twitter.com/ocdtq1vY7J
— AEC ✏️ (@AusElectoralCom) July 12, 2023
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Sydneysiders are on the move again as rideshares surge
Rideshare services seem to be winning the competition with taxis as travel returns to pre-pandemic levels in Sydney, AAP reports.
More Sydneysiders are using services such as Uber, Didi, Ola and Shebah in 2023 than they did in 2019, according to a survey by the Independent Pricing and Regulatory Tribunal.
Taxi rides almost matched 2019 levels – they are just 4% short of the pre-pandemic benchmark.
The findings come despite Uber’s price-spike controversy in March.
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Australia’s rooftop solar installations may set fresh record this year
There’s a lot of concern about the pace of the rollout of renewable energy in Australia but there’s one area where the country continues to shine: rooftop solar.
With the half year behind us we can get a look at how we’re going in 2023. Thanks to Green Energy Markets – who crunched the data on renewable energy certificates – we can see installations are up about a fifth compared with 2022 to almost 1.5 gigawatts of new capacity.
By the end of the year, we should be close to if not topping the record 2021 year, said GEM analyst, Tristan Edis.
Here’s our report:
Today’s another sunny day across most of the country with little chance of rain, and more of the same to come for another week or so:
One of those winter days when the Australian mainland is almost rainless. Coming eight days won't see much rain either... pic.twitter.com/wKZhQtTslf
— @phannam@mastodon.green (@p_hannam) July 11, 2023
And not surprisingly, rooftop solar is going well again today, supplying about a quarter of eastern Australia’s electricity and it’s not even noon.
In Victoria, which is a fair way south, the share is about 22%, according to the excellent OpenNEM website:
Another sunny, windy day means renewables are doing well in national electricity market, supplying more than half the power even before midday. Rooftop solar alone is meeting about a quarter of demand. (Source: @OpenNem ) pic.twitter.com/GyKjoE4rg4
— @phannam@mastodon.green (@p_hannam) July 12, 2023
Qantas pilot turned fake solicitor fined
A former Qantas pilot pretended to be a lawyer because he wanted to change the direction of his life, AAP reports.
Nathaniel Whitehall, 55, was fined $4,500 and served a one-year good behaviour order at Downing Centre local court today.
After flying Qantas planes for more than 20 years, Whitehall took early retirement in 2020, seeking to “move in a new direction”.
He began working for a Newcastle conveyancing company, and prepared and witnessed the signing of multiple family wills while pretending to be a lawyer. He also legally represented a woman for a traffic infringement in Belmont local court in late 2020, and signed a water access licence.
Whitehall told the court he did not gain or benefit anything from his legal sham.
“I was, in some cases, just simply helping out a friend or a colleague,” he said. He represented himself throughout his proceedings.
Magistrate Juliana Crofts said the offences were below the mid-range but she was concerned about his lack of remorse.
“The way the matter was run before the court does seem to indicate a lack of understanding as to the seriousness of the offending,” she said during sentencing.
Prosecutor David Viney said:
Unqualified people practising as solicitors place their clients in very difficult positions.
If any of these matters caused harm or damages to clients then they would be in the position of not having insurance coverage.
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Jim Chalmers and Angus Taylor have met to discuss appointment of RBA governor
Treasurer Jim Chalmers has had preliminary conversations with shadow treasurer Angus Taylor about the appointment of a Reserve Bank of Australia governor, he tells press:
This is a decision for the cabinet … and I take the role of the cabinet and the opinions of my colleagues very seriously.
This is one of the biggest appointments the government will make. It is a big job … and I am approaching it in a methodical and measured and considered and consultative way, which presents the magnitude of the decision that the government will make about the governor of the Reserve Bank.
I am obligated to consult with the opposition on the appointment of the Reserve Bank governor.
We will appoint someone who has the necessary experience and expertise.
Whether it is a Reserve Bank review or appointment of the governor, our interest here is in ensuring we get the best possible central bank to take the country forward amid a really uncertain time for the global economy.
The treasurer still does not indicate when a governor will be appointed, or who – leaving unknown the fate of current governor Philip Lowe.
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ANZ won’t sign up to a voluntary code to deal with scams
ANZ chief Shayne Elliot has been fielding questions from the House of Representatives’ economic committee, with the rise of scams a priority topic for MPs such as Labor’s Jerome Laxale.
Laxale cited examples of customers who had lost money and pressed Elliot about what ANZ was going to do about it.
The member for Bennelong said Australian banks were refunding just 2-5% of the amount being scammed, compared with about 66% in the UK, where the laws are being tightened further next year.
“If I went ahead and wrote a similar code and put it on your desk next week, would you sign up to [a] voluntary code to refund some your customers in certain circumstances?” Laxale asked.
“No,” Elliot said, saying the banks were at the end of such scams, and the problem was more about the “ecosystem” that includes telecom companies and social media platforms. A voluntary code “doesn’t stop the scams”.
“We’ve got to do a better job on education. We are investing in more technology to stop scams and to detect them,” he said.
Having such a code might have “unintended consequences potentially as people will be even less careful about falling for scams,” Elliot said. “Scammers will still make the money. And now we’ve socialised the cost of that.”
Perhaps fair enough, but then again the banks were on track to make more than $16bn in profit in the first half of this year alone ... so there might be some scope to share a bit more of customers’ losses to scams.
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Suzi Dougherty’s photograph of her 18-year-old son Caspar was deemed ‘suspicious’, as a photography competition’s judges thought it may have been generated by artificial intelligence … even though it was taken on her mobile.
Woman’s iPhone photo of son rejected from Sydney competition after judges ruled it could be AI https://t.co/IVYH5Vinl1
— david munk (@davidmunk) July 11, 2023
I found this rather amusing. You can read the full story from Tory Shephard here:
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Andrews government rejects suggestion of pay cut for public servants who are working from home
Andrews government frontbencher Ben Carroll has batted away a suggestion by the former Victorian Liberal premier Jeff Kennett for employees to take a pay cut for working at home.
Kennett has called for public servants working from home to be paid less than frontline government employees like nurses who must attend their workplace everyday. Data from the Property Council, released in March, showed Melbourne was the only state capital with an office occupancy rate of less than 50%.
Speaking to reporters, Carroll said the Andrews government did “not take advice from Jeff Kennett”:
Jeff’s entitled to his ideas but let’s look at the evidence. Women participation in the labor market is at 63%. We’ve never broken that barrier before. So there are different elements that need to be considered.
Carolll said there could not be a “blanket rule” for any job sector.
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The home affairs department has expressed concern with the data collection practices of apps other than those with origins in China.
While much of the focus of the ban on government devices and concern over foreign interference has been restricted to TikTok, and to a lesser extent WeChat, the home affairs department told the parliament that data collection practices and the potential for foreign interference is a concern on a range of apps.
The department’s acting first assistant secretary for digital security policy, Peter Anstee, said:
There are a lot of applications that can collect a huge amount of data.. I don’t think that risk is unique to any particular app.
He added the risk of foreign interference exists across a broad range of apps, not just those with origins in authoritarian states.
The department provided a report on the risks of social media apps to the home affairs minister, Clare O’Neil, in March.
A Guardian FOI for the report was refused on the grounds it had information from an intelligence agency. The parliament has also sought a copy, but the department confirmed on Wednesday it was unlikely to be made public.
The environment minister Tanya Plibersek approved habitat clearing for a defence housing development in Darwin last month, despite a significant risk for what has been described as one of Australia’s most beautiful endangered birds.
The Labor Government needs to urgently intervene to stop the destruction of Lee Point (Binybara)! pic.twitter.com/8jRnU758cT
— Senator Lidia Thorpe (@SenatorThorpe) July 11, 2023
The land “is not just home to the Gouldian finch,” critic Ben Abbatangelo says. “It’s part of the Larrakia nation. And it deserves protection.”
You can read his full opinion piece here:
ANZ boss tells committee customers are ‘in remarkably good shape’
All four of the big banks are fronting the House of Representatives economics standing committee today and tomorrow as part of a review into the dominant companies. (Follow live here.)
ANZ kicks off today’s session, with CEO Shayne Elliot saying the bank’s customers “by and large, are faring extremely well”.
So, despite the fastest run-up in official interest rates in more than three decades, just $6 of $1,000 in ANZ’s home loans portfolio is overdue more than 90 days. That ratio is better than pre-Covid levels.
Deposits, for instance, continue to rise, Elliot said. “People are in remarkably good shape” and phone calls from customers for help “are up a little bit”.
That’s not to say all is going well, with some customers struggling. Shoppers are favouring “white labels” rather than brand-named products and are cutting back on discretionary spending such as health clubs and dining out.
How that plays out in coming months will depend in part on how many people lose jobs, with ANZ expecting the jobless rate to rise from 3.6% in May to 4.2% by the end of this year and to 5% next year.
Elliott is likely to be questioned about the bank’s profit margins and whether ANZ and its peers might be sharing in the pain of some of its customers.
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Queensland police now able to sponsor up to 500 new officer visas a year
The Queensland police service is now able to sponsor up to 500 new officers per year, through the employer nomination scheme visa, under a new labour agreement signed by the minister for immigration, citizenship and multicultural affairs, Andrew Giles.
There have been more than 15,000 expressions of interests from police officers “all around the world,” according to a statement from Giles’ office. The most interest is coming from the UK, Canada and South Africa.
The first job offers for the October intake will be made this week from more than 300 applicants in the pipeline.
Giles says:
Peter Dutton removed police officers from the skilled occupation priority list. The Albanese government is working to undo his mess.
We’re working with the Queensland government to deliver more police on Queensland streets, helping support the safety and security of Queenslanders.
Alongside efforts to get through the backlog of almost one million visas left by the Liberals, this government is committed to working with employers, government and unions on labour agreements that address skills shortages across the country.
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Signals directorate says Tiktok data collection forms ‘very unique fingerprint’ of users
TikTok’s data collection formed a “very unique fingerprint” of its users, according to the Australian Signals Directorate advice that led to the ban of the app on federal government devices.
The agency’s acting director-general, Abigail Bradshaw, told a parliamentary committee on foreign interference on social media that the data collection includes: device data, browsing activity within the TikTok browser, usernames, email addresses, contacts, phone numbers, photos, user IDs, SIM card numbers, device type, unique device IDs, installed apps, IP addresses, telecommunications provider details and details on devices on the same network.
Bradshaw said:
Together obviously in aggregated form that creates quite a unique fingerprint in terms of the device.
She said there were also risks associated with foreign ownership of TikTok.
And I know I heard the committee comment before on the operation of the Chinese national intelligence law, which requires that citizens, companies and organisations are required to cooperate and that that cooperation – there is capacity to ask for their cooperation not to be disclosed.
TikTok told the committee yesterday it had never been asked to provide data to the Chinese government, and would refuse if asked.
Updated
Treasurer Jim Chalmers was also questioned on RN Breakfast about the timing of his announcement about who will be the Reserve Bank governor when Philip Lowe’s seven-year term ends on 17 September.
Chalmers was careful not to reveal the timing of his announcement nor who might be on the list for consideration. He wants a cabinet discussion before making the statement public and he plans to consult with Angus Taylor his shadow in parliament.
What he declined to say was when that cabinet discussion would be had and whether it would happen before he headed to India with Lowe in tow on Sunday.
“I don’t want to speculate on the timing of it,” he told Patricia Karvelas. “I want to do that in a respectful way”, including respecting the input of his cabinet colleagues.
At the risk of reading too much into it, the “respectful way” could be interpreted to mean he doesn’t want to embarrass Lowe by making the decision public that he’s been overlooked for someone else before they head off to Ahmedabad and a G20 conference. A choice of someone other than Lowe is likely.
(We looked at who might be the best candidate here.)
As it happens, Lowe gets to make a speech today in Brisbane about how he would implement the findings of the RBA review. Wonder if he might comment that he’s stepping aside and make it easier for Chalmers to be “respectful”.
Two die in ‘intense’ house fire in Sydney’s west
Two elderly people have died after being pulled from a “thick and intense” house fire in Sydney’s west this morning.
Fire and rescue were called to a two-level home in Wetherill Park at 6:42am.
“The smoke was so thick they couldn’t see the second level,” superintendent Adam Dewberry told Guardian Australia.
The crew of six fire trucks and 24 firefighters arrived to the scene “under extreme fire conditions”, where a number of neighbours were already trying to get access into the house.
“They knew two elderly people were inside,” Dewberry said. “They did a wonderful job, pulling the door open, wedging open the roller door.”
“Unfortunately the fire was too well advanced … the fire was thick and intense.”
Firefighters located two people inside, and ambulance paramedics attempted resuscitation. Both people were confirmed deceased by paramedics who attended, Dewberry said.
Two passersby have been assessed by paramedics for smoke inhalation. Fire and Rescue are now looking at where the fire started and how.
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50-year old Queenslander dies after car collides with coal train
A 50-year-old man has died after a fatal traffic crash involving a coal train and a car last night, according to a Queensland police media release.
Shortly after 9pm, a Toyota Landcruiser and a coal train collided at Peter Delemothe Road near Thurso Road, initial investigations indicated. A passenger of the Landcruiser, a 50-year-old Townsville man, sustained critical injuries and died at the scene.
The driver of the Landcruiser, a 40-year-old Townsville man, also sustained serious injuries. He was transported to Bowen hospital and then airlifted to Mackay Base hospital.
The two drivers of the coal train were not physically injured.
Forensic crash unit investigations are continuing.
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Illicit drug use in Australia rose over summer
Here is more from the national wastewater drug monitoring report from the Australian Criminal Intelligence Commission.
Illicit drug use in Australia jumped over summer, AAP reports.
Methylamphetamine, cocaine, fentanyl, MDMA, MDA and ketamine all increased over the warmer months. Heroin, oxycodone and cannabis use did go down.
The commission’s acting chief executive, Matt Rippon, said the overall findings were disturbing, reminding Australians their illicit drug habits fund organised crime:
The sole beneficiaries of this increased consumption are serious and organised crime groups which make significant profits from their illegal activities.
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Australia’s drug habits revealed
Here are Australia’s drug-habits, broken down by city, courtesy of the latest national wastewater drug monitoring report from the Australian Criminal Intelligence Commission and AAP:
Sydneysiders consumed the most cocaine, MDMA and nicotine.
Melburnians consumed the most heroin, fentanyl and ketamine.
Methylamphetamine was most popular in Adelaide.
The highest amount of alcohol was detected in Darwin.
The largest amounts of cannabis and oxycodone were in Hobart.
Perth ranked first for MDA use.
The second highest heroin and oxycodone use was in the ACT.
And regionally:
New South Wales residents used the most cocaine and fentanyl.
The highest amounts of MDMA and oxycodone were found in Queensland.
The most MDA was detected in regional South Australia.
Heroin was most popular in Victoria.
The highest cannabis and methylamphetamine consumption was in Western Australia.
The findings are based on wastewater testing at 57 treatment plants in capital cities and regional areas from December 2022 to February 2023.
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Investigation into 50-year old woman’s death in Sydney’s west continues
Investigations are continuing after a woman was found dead inside a home in Sydney’s west overnight, according to a NSW police media release.
At about 8.15pm yesterday, emergency services were called to a home in Rooty Hill over concerns for a woman’s welfare. The woman was found dead at the scene upon arrival by officers from Mt Druitt Police area command.
She has not been formally identified but it is believed to be in her 50s.
A 50-year-old man – who is known to the woman – was found with injuries to his throat and arms. He was taken to Westmead hospital in a critical condition, where he remains under police guard.
A crime scene has been established and investigations are continuing into the circumstances surrounding the incident.
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Victorians warned over gastro superbug
Cases of a gastro superbug are rising in Victoria, the chief health officer Brett Sutton warns clinicians and the public.
Called shigellosis, the superbug is a bowel infection and can lead to acute diarrhoea, fever, nausea, vomiting and abdominal cramps. It is antibiotic-resistant, highly contagious and can be transmitted through sexual contact.
Symptoms can develop as early as 12 hours, or as late as one week, after exposure. Cases can remain infectious for up to four weeks after symptoms resolve.
Read the full story here:
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A student on New South Wales’s Central Coast has died after contracting the influenza virus, just days after NSW chief health officer Kerry Chant warned circulation of influenza B was rising and young people were at heightened risk from the strain.
You can read the full story here:
Chalmers confirms Labor not contemplating additional cost-of-living relief measures right now
Patricia Karvelas clarifies whether there is hope for more cost of living relief with treasurer Jim Chalmers on ABC RN this morning:
“What you’re saying is, if you make an assessment that the economic conditions are deteriorating, you do believe there might be a case for more support?,” she asks.
“I think it’s smart and responsible to manage the budget in a way where you are improving the bottom line if you can,” Chalmers responds. “And we’ve made a really substantial improvement to the bottom line, the budget is in much better nick than what we inherited. And that’s a good thing. But it hasn’t come at the expense of helping people.”
Having a budget which is in much better nick means that if at some future point – and we’re not contemplating additional measures right now – but at some future point if we need to, we do that from a much more solid foundation. And that’s because we’re managing the budget so responsibly.
These comments come after Chalmers appeared to prioritise the budget surplus above further measures to ease the cost-of-living crisis when he made the Sambell oration in Melbourne last night.
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No need to choose between compassion and responsible economic managment, Chalmers says
Treasurer Jim Chalmers says there is no need to choose between compassion and responsible economic management on ABC RN this morning:
We have demonstrated over a little over a year in office that you don’t have to choose between managing the economy in a responsible way, and providing cost-of-living help for people who really need it, people who are doing it tough. And I think for too long, the economic debate has been dominated in this country by this false choice, between responsibility and compassion.
Pointing to “the biggest surplus” and “the cost-of-living help we’re providing,” Chalmers says:
The textbook response in the kinds of economic conditions that we confront together is you get the budget in much better nick, not at the expense of people doing it tough but so that you can provide a much more solid foundation to help them.
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PM meets Macron
Here is prime minister Anthony Albanese with French president Emmanuel Macron at the Nato summit.
Europe must be open, prosperous and free. And I know there is no stronger advocate for that vision than French President @EmmanuelMacron pic.twitter.com/nDMfgGOBi1
— Anthony Albanese (@AlboMP) July 11, 2023
“Today we had the opportunity to discuss trade and security, and how we can continue our shared work in support of Ukraine, and for a united and resilient Pacific,” he tweeted.
Today we had the opportunity to discuss trade and security, and how we can continue our shared work in support of Ukraine, and for a united and resilient Pacific. 🇦🇺🇫🇷 pic.twitter.com/yx9Ql0MVXo
— Anthony Albanese (@AlboMP) July 11, 2023
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Good morning
Thank you Martin Farrer for kicking off the blog this morning.
I’m Rafqa Touma, and I’ll be with you for the day. If you see anything you don’t want us to miss, let me know on Twitter or Threads.
Let’s get into it.
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Albanese meets world leaders at Nato summit
Here’s more on what the prime minister’s been up to in Lithuania, courtesy of Australian Associated Press.
Anthony Albanese met Nato secretary general Jens Stoltenberg, thanking him for Australia’s inclusion in the military alliance’s summit:
We will be engaged in support of the people of Ukraine for as long as is necessary.
A day earlier he announced the deployment of an Australian reconnaissance aircraft to Europe amid the conflict.
Albanese spoke to France’s President Emmanuel Macron on the sidelines of the summit.
He revealed that Macron had invited him to visit France earlier in the week but this had not been possible because he was in Germany. Albanese said he had offered the French president an invitation to visit Australia.
The prime minister also met his UK counterpart Rishi Sunak, Portuguese leader António Costa and Danish prime minister Mette Frederiksen on Tuesday.
Albanese said he hoped to meet on Wednesday with Ukraine’s President Volodymyr Zelenskiy.
The prime minister also spoke with a bipartisan delegation of US senators who will play a role in passing laws to enable the transfer of Virginia class nuclear-powered submarines to Australia.
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NSW to outline reforms tackling homelessness
People accessing temporary accommodation in New South Wales will have access to a bed for longer under changes to the state government scheme being announced later today.
The reforms include increasing temporary accommodation from two to seven days and raising the eligibility asset cap from $1,000 to $5,000.
It will be removed entirely for people fleeing domestic or family violence.
The homelessness minister, Rose Jackson, said a couple of days was not enough time for someone to organise their next steps:
We want to ease the burden on people trying to find stable accommodation, not add to it.
Homelessness is not a personal failing. Many people are one bad job, one bad relationship, one climate disaster away from facing homelessness.
We need to strengthen our safety net to ensure people don’t fall through the cracks and find themselves unable to access shelter.
The premier, Chris Minns, will explain the changes at a press conference today.
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Jim Chalmers puts budget surplus ahead cost-of-living help
Jim Chalmers appeared to prioritise the budget surplus above further measures to ease the cost-of-living crisis when he made the Sambell oration in Melbourne last night.
Outlining what he said were Labor’s achievements in office so far, the treasurer said:
Ours is a government of hard heads and warm hearts. That colours our approach to the economic conditions and our budget strategy – including what we’re doing to help the most vulnerable.
But he said inflation was “higher than we’d like, for longer than we’d like”, and that the economy was slowing because of higher interest rates.
He indicated that therefore the budget surplus – or “buffer” – would need to be strong and said the government would have to “find ways of relieving cost-of-living pressures without adding to them”:
In this complex environment, textbook fiscal policy requires us to take the pressure off inflation by rebuilding our buffers.
Our efforts to strengthen the budget have not in any way come at the expense of helping people.
The bigger surplus is in addition to, not instead of, cost-of-living relief.
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EU trade talks break down
Here’s more on the break down of those EU trade talks in Brussels overnight, according to AAP.
A European Commission representative said:
We made progress but more work is required to address key outstanding issues.
Anthony Albanese had said that any deal would need to give Australian farmers’ goods, especially beef and sheep meat, more access to the bloc. On Tuesday in Vilnius he said:
We’ll continue to argue the case for a free trade agreement. But we won’t just sign up to a deal for the sake of it, what we want is a good deal for Australia.
The trade minister, Don Farrell, said officials on both sides would continue negotiations and try to meet again next month:
I’m optimistic that with some goodwill, some hard work, some perseverance, we’re going to get there.
Read more:
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Welcome
Good morning and welcome to the live blog. I’m Martin Farrer and I’ve got some of the overnight news before my colleague Rafqa Touma takes over.
It’s been another lively few hours on the diplomatic front in Europe, with Anthony Albanese rubbing shoulders with western leaders as they decided the fate of Ukraine’s hopes of joining Nato. In the end, no firm invitation emerged. But in Brussels Australia saw hopes of its own dashed as talks on a free trade deal with the European Union broke down without a deal. More coming up.
Just four Closing the Gap targets are on track and four others are going backwards, according to the latest data. The Productivity Commission’s latest report found worsening outcomes in Indigenous early childhood development, increased numbers of adults in prison and children in out-of-home care, and an increase in Indigenous suicide. Linda Burney, minister for Indigenous Australians, points to the report this morning as more evidence for the need for a yes vote in the voice referendum.
Things are hotting up in the Fadden byelection taking place on Saturday, with Labor telling voters that “Stuart Robert’s disgraceful robodebt destroyed lives” in a string of negative social media ads targeting the outgoing MP’s legacy. The contest could deliver another blow for opposition leader Peter Dutton should the Coalition candidate lose.
And Jim Chalmers has delivered a speech saying his is a government of “hard heads and warm hearts” – suggesting that the budget surplus will not be spent on more cost-of-living relief.
With all that, let’s get going.
