PM Transcripts

Transcripts from the Prime Ministers of Australia

Howard, John

Period of Service: 11/03/1996 - 03/12/2007
Release Date:
09/02/1999
Release Type:
Interview
Transcript ID:
11220
Released by:
  • Howard, John Winston
TRANSCRIPT OF THE PRIME MINISTER THE HON JOHN HOWARD MP TELEVISION INTERVIEW WITH KERRY O’BRIEN 7.30 REPORT, ABC TV

E&OE....................................................................................................

O'BRIEN:

John Howard, welcome to the programme. We'll go to the guidelines

in a few minutes but if we could start with the preamble. You've

said that you detect that a lot of Australians across the political

and social spectrum would support a new preamble to the Constitution

recognising Aborigines as this country's original occupants.

Would you personally like to see that preamble?

PRIME MINISTER:

If I was satisfied that it had a good chance of winning support at

a referendum, yes.

O'BRIEN:

But you seem to acknowledging already that it does have that support.

PRIME MINISTER:

Well, please, look, please, Kerry, can we sort of start the New Year

on a proper basis. Can I just answer the question. What I intend to

do is to talk to my colleagues in the Party Room about this. And can

I make the point that the preamble is not an after-thought or add-on,

it's something that came up at the Constitutional Convention.

And can I also say that we have no hope of getting a preamble accepted

either within the Government and elsewhere to go on the ballot paper

or by the Australian people if people keep upping the ante and saying

you've got to go further than simply recognising historical truth,

and that is the Aborigines were here first. I think if you start going

beyond that and you start introducing elements like particular rights

or particular disadvantage, you're talking here about putting

something in the Constitution, you're not talking about a day-to-day

debate. So, the answer is, I would like to see it. There are difficulties.

I want to talk to my colleagues about it. It's not about frustrating

the republic. I've been upfront in my opposition to a republic

and I've been twice elected as Prime Minister of this country

as an anti-republican. So I don't think my bona fides on that

issue can be dragged into the debate. I just simply believe that if

we could reach agreement as a nation on acknowledging that historical

truth, that would be a very important piece of symbolism for our Centenary

of Federation. Now, that's the beginning and the end of my thought

on that particular aspect.

O'BRIEN:

To be honest, I thought when you paused there that you'd actually

finished your answer but that's all right.

PRIME MINISTER:

Well, having exchanged apologies and friendly glances, go on with

the next question.

O'BRIEN:

Well, given that your personal view is that you would like to see

the right kind of preamble, will you argue for that in your Party

Room?

PRIME MINISTER:

Oh look, I've already gone public on this but what I do in the

Party Room is a matter between me and my colleagues and we have our

own way of determining this. Bear in mind that we have maturely allowed

a free vote on the republican issue. And some people would legitimately

say, well, if you're going to have a free vote on the republican

issue, because the preamble only came up because we're talking

about a republic, that free vote should extend to the preamble as

well. Although you could end up with a situation where just about

everybody supports it even though, as far as the understanding of

the party is concerned, people are open to...are allowed to vote

against it or to argue against it. But that's something that

I'll discuss with my colleagues. And I've put it on the

table. I've been open about it. I've explained my motivation.

It's not machiavellian, it's genuine. And in a couple of

weeks time I'll get my Liberal and National Party colleagues

together and we'll have a talk. I'll listen to what they've

got to say. And there may well be elements in that discussion that

put a different complexion on it but as of now I repeat what I said

yesterday, I think this nation would be ennobled if we could find

a way of acknowledging that simple historical truth in our foundation

document. Now, let's not be too cynical or too conspiratorial

about something like this. It is just a view I have.

O'BRIEN:

You're obviously concerned that if you broaden that preamble

too much that you will alienate a number of people, you've said

that. But then you would be equally concerned, wouldn't you,

that if it's not broad enough for indigenous Australians and

some other Australians that you're still going to have a rancorous

debate that becomes race-based?

PRIME MINISTER:

Well, I wish, with great respect, people, including journalists, wouldn't

drag race-based into the discussion of anything at all that sort of

talks about our indigenous people. I mean, what I'm trying to

do is as far away from a race-based debate as you could possibly get

yourself. Nothing in this area is going to satisfy everybody. There

will be some people on the Aboriginal side who will never be satisfied.

There are some people on the other side who are intensely suspicious

of even mentioning Aborigines. I think what I've got is a simple,

middle-ground proposition and that is we recognise something that

no reasonable man or woman could deny and that is that the first Australians

were the indigenous people. We don't start saying that we have

to entrench in the Constitution that they have ongoing rights of a

particular character. They have rights as Australians, no more no

less, but it is undeniably the truth that they were here before any

other people. Now, I don't think it's too hard to acknowledge

that. But once people start upping the ante and saying, we've

got to go further, we've got to have custodianship mentioned,

we've got to have ongoing rights, particular kinds mentioned,

you lose me, you lose middle Australia because they would not want

that and they would see that as pushing the envelope too far.

O'BRIEN:

On today's new ministerial guidelines. You lost a lot of ministers

in the last term under your previous guidelines. The new guidelines

are being interpreted already as having been softened. Does that indicate

that you were perhaps a little over zealous with the first set of

guidelines?

PRIME MINISTER:

Well, you can debate whether I was or I wasn't. Perhaps some

people would argue that I was. The changes, Kerry, in today's

document are not extensive. What I've basically done is said

that you can make a divestment of – it's not a breach of

the guidelines – you have a divestment of shares to independent

adult children. You can't divest to dependent children and hope

to escape the guidelines. And we've also allowed, in pursuance

of the study of blind trusts that I commissioned about two years ago,

we're going to allow Ministers to hand over control of their

share portfolios to nominees as an alternative to divestment. Now,

there are a few other relatively minor changes but the great bulk

of the previous guidelines remain. They're not really softened.

I think they're made more common sense, they're made more

realistic. You will never get a satisfactory set of guidelines and

I don't think you'll ever get rid of argument in this area

unless you have Parliament full of people who've never owned

an asset, who've never sought to be successful in business, who've

never shown any kind of independent entrepreneurial imagination. And

while ever you have people who are jealous of the success of others

you're going to have criticism that guidelines aren't tight

enough.

O'BRIEN:

But when you talk about Ministers passing shares on to the management

control of professional nominees, are they clearly defined as blind

trusts where the Minister, under instruction, is not told anything

about the future management of those shares?

PRIME MINISTER:

But they're circumstances where he has nothing to do with it,

that's what I've got in mind.

O'BRIEN:

And no knowledge of.

PRIME MINISTER:

No.

O'BRIEN:

Is that spelt out in the guidelines?

PRIME MINISTER:

Well, I don't have the document with me. And can I tell you I

settled the document about three months ago and it's because

Parliament's been in recess that I haven't tabled it. And

I'm not going to pledge myself to every last word of it without

getting it out and I don't carry it with me in my pocket. But

the intent is to create a situation where a person can hand over control

of his portfolio to somebody independently, he no longer exercises

control. And that is regarded as a reasonable alternative to a situation

where you have complete divestment.

O'BRIEN:

But do you accept that if the Minister is seen to be divested of any

possible personal interest or conflict of interest in shares that

might impact on his own portfolio responsibilities, that in handing

that over, not only does he hand over control of those shares, he

loses knowledge of any future movement of shares?

PRIME MINISTER:

Well, the circumstance that we have in mind is to put a person in

a situation where he can say, look, you run this, I have no control

over what you do and I can't influence your decisions.

O'BRIEN:

Okay. On the GST and Peter Costello's admissions today that he

didn't get Treasury to model the employment effects of the new

tax – given the size of the unemployment problem in Australia

and its import to us all, why wouldn't you try to model the effects

of that in advance as you did other elements?

PRIME MINISTER:

Well, for the reason the Treasurer explained. And this, Kerry, is

not a new admission. I mean, I think I said this and Peter said this

some months ago. We do still have a big unemployment problem. We've

both recognised that. And tax reform is part of solving that problem,

but it's only part of it. You need to have further movement in

freeing up the labour market. You need to do more about the interaction

of the welfare system and unemployment benefits, including things

like literacy and numeracy testing and instruction for people who

can't get jobs. You also need, of course, a high rate of economic

growth. Now, none of us have claimed that the only answer to unemployment

is the GST. What we do claim is that if you reform the tax system

so that the economy grows more strongly and we can trade more competitively,

that will make a contribution towards reducing unemployment because

it will add to economic activity and economic growth. And the way

in which tax reform impacts on employment is that it boosts economic

performance and economic performance in turn brings forth the demand

for more jobs.

O'BRIEN:

But as you also know, there have been other models that suggest that

at least in the short-term substantial jobs in particular sectors

can and possibly will be lost and even that there might be some loss

or marginal effect in the long-term. Peter Costello, late last year,

was quoting one outside report as saying there'd be 190,000 new

jobs but there was no Treasury modelling on that.

PRIME MINISTER:

Well, we've never disguised that. What we've said is –

and this analysis so far stands unrefuted – that the tax reform

will add to economic growth and economic growth will call forth demand

for a larger number of jobs. Now, you can't put a precise figure

on that and I didn't argue that during the election campaign,

in fact, I was attacked for not doing so. But I just say again, Kerry,

that we put all of this before the Australian people. We didn't

make false representations about the employment impacts during the

election campaign. We said it would be beneficial but we didn't

try and put a figure on it because, frankly, it is just not possible.

And you talk about modelling – the man that Labor's relying

on for a lot of their argument is Peter Dixon and he said that in

the short-term the plan would create 30,000 new jobs.

O'BRIEN:

In one circumstance but in another circumstance you might lose 100,000

jobs.

PRIME MINISTER:

Yeah, but I mean...

O'BRIEN:

But that is selective quoting on your part, isn't it?

PRIME MINISTER:

Well, when you say...but you can equally say you've got selective

modelling. You can't take one segment of a tax plan as big as

this and hold that up and say, this outcome alone either damns or

endorses the taxation policy. You have to look at the whole piece.

And I would go back to what I said a moment ago that so far the evidence

before the Senate committee has not adequately refuted the broad economic

analysis contained in the document that I released before the election

last year.

O'BRIEN:

Okay, if we can just turn our eyes offshore for a moment. East Timor

continues to make headlines, particularly with Indonesia's open

canvassing of possible – and I know it's only possible –

independence. How relaxed would you be about an independent East Timor

with Indonesian sanction?

PRIME MINISTER:

I would prefer an autonomous East Timor within Indonesia. And I would

hope that Indonesia and East Timorese leaders will continue to work

towards that. If that is unachievable then I would hope that the transition

to independence would be as orderly and as carefully planned and as

sympathetically undertaken by the Indonesians and others and we want

to help. This is very important to Australia. And if that is to be

the case, if the East Timorese people won't accept autonomy –

and I don't regard the issue as completely beyond resolution

and I think there still should be attempts to achieve that –

but if that comes about it would be not be as preferable to me as

East Timorese autonomy within Indonesia.

O'BRIEN:

Why?

PRIME MINISTER:

Well, I think there would be an inherent instability. There would

be an economic and strategic vulnerability. There would be the potential

for, I think, ongoing tension between Indonesia and the independent

East Timor of a type that mightn't exist if East Timor were an

autonomous part of Indonesia. There's no really happy outcome

of this. I mean, we played a major role in bringing about a change

of Indonesian policy because we believe that the previous position

was increasingly unsustainable. But it has always been our preference

to see East Timor autonomously part of Indonesia for the reasons that

I've just put forward but we recognise in the end that if that

is not what the people will accept, well, we don't support it

being imposed upon them, of course we don't. But that doesn't

make it illogical for us to hope that it might still be possible to

achieve the autonomous within Indonesia outcome.

O'BRIEN:

Very briefly because we are out of time, would a UN security force,

given the instability in the lead up with negotiations and so on,

would a UN security force in the area be a good idea and would Australia

consider contributing to that?

PRIME MINISTER:

Well, hypothetical questions at the moment. I want to see continued

diplomatic effort invested not only by Australia but by others in

trying to persuade the Indonesians and the East Timorese to the virtues

of the preference I've expressed. And I think those avenues should

be exhausted genuinely, not only by us, by others, before we start

examining what are still hypothetical propositions.

O'BRIEN:

Prime Minister, thanks for talking with us.

PRIME MINISTER:

A pleasure.

[Ends]

11220