PM Transcripts

Transcripts from the Prime Ministers of Australia

Howard, John

Period of Service: 11/03/1996 - 03/12/2007
Release Date:
03/11/2000
Release Type:
Media Release
Transcript ID:
12247
Released by:
  • Howard, John Winston
Council of Australian Governments' Communiqu‚ - 8 June 2001

INTRODUCTION

The Council of Australian Governments today held its tenth meeting in
Canberra. The Council, comprising the Prime Minister, Premiers and Chief Ministers and the President of the Australian Local Government Association (ALGA), had wide ranging discussions on important areas of national interest.

This Communique sets out the agreed outcomes of the discussions.

FOOT AND MOUTH DISEASE

Australia is free from major exotic animal diseases such as Foot and

Mouth Disease (FMD). If an outbreak of FMD was to occur in Australia,

there would be a major impact on the agricultural sector, the national

economy and rural and regional Australia. Losses in export revenue for

the livestock sector alone are conservatively estimated to amount to at

least $5.8 billion in the first year. Recovery costs for agriculture and

other affected sectors of the economy would be likely to amount to billions

of dollars over several years after the outbreak has been eradicated.

The Commonwealth government in its 2001-02 Budget has committed a further

$593 million over five years to strengthen Australia's border agencies

in their work to counter threats from exotic pests and diseases, which

is particularly relevant to the risks of foot and mouth disease in current

circumstances. A range of emergency response plans is also in place to

deal with an emergency situation should an outbreak occur.

The Council noted that if a significant outbreak of FMD occurred in Australia,

the technical, logistical, social and financial response needed to manage

the situation would be on a whole-of-government level not experienced

before in peacetime. Appropriate plans therefore need to be upgraded and

tested. The Council agreed to the continued high priority review and revision

of national whole-of-government frameworks for the prevention, preparedness

for, and management of a major emergency disease outbreak, such as FMD.

COAG agreed to establish a Foot and Mouth Disease Taskforce under the

oversight of COAG Senior Officials to coordinate the development of these

frameworks. The Taskforce will be chaired by the Commonwealth and comprise

two officials from each jurisdiction - one from First Ministers' departments

and one from the lead line agency. A representative from ALGA will attend

the Taskforce.

The Council also agreed to:

* the development by States/Territories and the Commonwealth of

complementary whole-of-government frameworks, for their respective jurisdictions,

in enhancing:

* peak level arrangements across and within jurisdictions (beyond

the well tested agricultural arrangements);

* emergency roles and linkages across Commonwealth agencies;

* emergency roles and linkages across and within State/Territory

agencies including the use of all their relevant powers to control

emergency outbreaks;

* the need to adequately support, implement and test these frameworks;

* the Agriculture and Resource Management Council of Australia and New

Zealand (ARMCANZ), or its successor, reporting after its August 2001

meeting to members of COAG out-of-session on the outcomes of its review

of emergency animal disease prevention, preparedness and response arrangements;

* the provision to members of COAG out-of-session, by mid-October 2001,

of a report by COAG Senior Officials outlining the whole-of-government

frameworks; and

* the holding as soon as possible of a full-scale simulation under third

party oversight to test the arrangements.

ENERGY POLICY

The Council considered energy policy on a national level, recognising

that the energy sector affects the lives of all Australians and that it

underpins responsible and sustainable development, international competitiveness

and economic growth. COAG also recognised that energy markets should operate

to maximise provision of reliable energy services and that the effective

operation of an open and competitive energy market contributes to delivering

benefits to households, small business and industry. COAG noted key strategic

issues for Australia's energy future, including the important emerging

role gas will play in any national energy policy because of its domestic

abundance and flexibility and it is a clean energy source. The challenge

for the energy sector is to deliver these benefits within a sustainable

development framework and to meet expectations of social responsibility

and responsiveness to consumers.

All Australian Governments reaffirmed their existing commitments to currently-agreed

principles, reforms and currently-announced timetables underpinning the

development of the national electricity and gas markets and reform of

the energy sector. However, COAG noted the concerns of Queensland and

South Australia that while they will make their best endeavours, they

were not prepared to reaffirm current contestability extension timetables.

COAG also agreed to a national energy policy framework to guide future

energy policy decision-making by jurisdictions.

Against this background, COAG agreed on the following priority actions:

In order that Governments can provide effective policy leadership to

meet the opportunities and challenges facing the energy sector, COAG agreed

to establish a new Ministerial Council on Energy and to provide it with

a series of priority tasks for its consideration and resolution. These

tasks include examining: future energy use scenarios for Australia; potential

for harmonising regulatory arrangements; opportunities for increasing

interconnection and system security in electricity and gas; and ways of

enhancing cooperative energy efficiency activities. COAG also agreed that

the new Council be established and meet as soon as possible including

to oversee the processes of the independent review (see below), which

is designed to provide a firm information basis for future government

decisions on energy market development and for the Council's future work.

COAG noted the establishment of a National Electricity Market (NEM) policy

Forum of Ministers with specific policy responsibilities in relation to

the NEM from NSW, Victoria, Queensland, South Australia and the ACT, in

which the Commonwealth and Tasmania will participate. In the context of

previous COAG agreements to establish a NEM, the Forum will give urgent

attention to NEM issues of impediments to investment in interconnection,

transmission pricing, regulatory overlap, market behaviour (eg. rebidding)

and the effectiveness of regulatory arrangements in promoting efficient

market outcomes. It will also address regional boundaries and demand side

participation.

In this context, COAG agreed to request the National Electricity Code

Administrator (NECA) to review Value of Lost Load (VoLL). COAG also agreed

to request NECA give early attention to NEM bidding and rebidding rules

in its current review under the National Electricity Code.

The Forum will report to members of COAG following its first meeting

in late June on key approaches and timetables for addressing these priority

issues.

In light of strategic issues affecting Australia's future energy requirements

and the need to respond to likely future challenges and international

developments, COAG agreed to an independent review of energy market directions

so that further Australian energy market development can be focussed on

areas likely to generate the most significant benefits.

COAG agreed that this review will identify the strategic issues for Australian

energy markets and the policies required from Commonwealth, State and

Territory governments. The Panel will consist of three eminent, technically

qualified persons with the Commonwealth to select the chair and the two

further members to be agreed by the Commonwealth, the States and Territories.

The Review, which will include a public consultation and submission process,

will report within 12 months of its commencement, with its report being

provided concurrently to all COAG members through the new Ministerial

Council on Energy. Costs of the Review will be shared on a 50:50 basis

between the Commonwealth and the States/Territories.

Further details of COAG's agreement, including agreed terms of reference

for COAG's independent review of energy market directions can be found

at: http://www.coag.gov.au/meetings/080601/energy.htm.

REVIEW OF MINISTERIAL COUNCILS

Following a review of the number and role of Ministerial Councils, Heads

of Government have agreed to a streamlining of Ministerial Councils which

combines a number of Councils in related functional fields, to strengthen

their strategic direction and improve opportunities for cooperative policy

development. The proposed changes are outlined at: http://www.coag.gov.au/meetings/080601/councils_review.htm.

The Council further agreed that Senior Officials would develop, for consideration

out-of-session by COAG, a proposal for a more fundamental structural reform

to the Ministerial Council system.

As part of the review of Ministerial Councils, COAG agreed to introduce

new "Guidelines for the Creation of New Ministerial Councils". The guidelines

introduce a series of issues to be addressed before a Council can be established.

COAG further agreed upon a revised version of the existing Broad Protocols

and General Principles for the Operation of Ministerial Councils with

a view to improving the overall coordination, efficiency and effectiveness

of Ministerial Councils.

In this context, COAG agreed that local government be represented appropriately

on Ministerial Councils where there was a clear local government interest.

Heads of Government reaffirmed that Ministerial Councils play an important

role in facilitating consultation and cooperation between Governments.

The agreed changes will improve the co-ordination and integration of policy

and other issues of common interest within the Federation.

REVIEW OF DISASTER RELIEF AND MITIGATION

The Council agreed to commission a wide-ranging review of how Australia

deals with natural disasters. Across the nation, the economic cost of

natural disasters averages over $1.1 billion annually. The review will

examine arrangements for natural disaster relief and community recovery,

gaps in disaster insurance, disaster mitigation programmes, and Australia's

capacity to respond to such emergencies. All jurisdictions, and ALGA,

will take part in the review, which will be chaired by the Commonwealth.

Through this important review governments will jointly assess the effectiveness

of programmes to reduce the risks associated with disasters, and to help

communities manage, respond and recover from them. In doing so, the review

will identify options for improving on existing arrangements.

RECONCILIATION FRAMEWORK

The Council confirmed its continuing commitment to addressing the social

and economic disadvantages experienced by many indigenous Australians.

All governments have reported progress in implementing the reconciliation

framework agreed by the Council in November 2000. Governments have focussed

on responding to the three priority areas for action under the framework

- community leadership, reviewing and re-engineering programmes and services

to achieve better outcomes for indigenous peoples, and building links

between the business sector and indigenous communities to advance economic

independence. The Council noted that the development of partnerships between

indigenous peoples and governments, greater flexibility and coordination

between programmes, and a focus on practical outcomes for local communities

are key factors in advancing reconciliation.

Ministerial Councils continue to play an important role in the implementation

of the reconciliation framework and are progressing the development of

action plans, benchmarks and reporting strategies for improving outcomes

for indigenous peoples.

The Council noted that it would continue to review progress under the

reconciliation framework, and that a detailed report on progress achieved

by governments and Ministerial Councils would be coordinated by the Senior

Officials' Working Group and provided to the Council by the end of 2001.

NATIONAL ACTION PLAN FOR SALINITY AND WATER QUALITY

The Council reviewed the substantial progress being made in giving effect

to the National Action Plan for Salinity and Water Quality in Australia

agreed on by COAG at its 3 November 2000 meeting. The Commonwealth, State

and Territory governments, as well as ALGA reiterated their commitment

to working with regional communities to address the problems arising from

increasing salinity and deteriorating water quality and to finalising

the structure and implementation arrangements required for Action Plan

projects to commence.

The Council noted that the Commonwealth and South Australia would sign

the first Bilateral Agreement under the National Action Plan today and

that the ACT will sign the Intergovernmental Agreement, joining Queensland,

South Australia and the Northern Territory, which have already done so.

The Council also agreed to the establishment of a Natural Resource Management

Ministerial Council to oversee implementation of the Action Plan as part

of its consideration of the review of Ministerial Councils.

ASSISTED REPRODUCTIVE TECHNOLOGY, INCLUDING HUMAN CLONING

The Council committed itself to achieving nationally consistent provisions

in legislation to prohibit human cloning .

It also agreed that jurisdictions work towards nationally consistent

approaches to regulate assisted reproductive technology and related emerging

human technologies.

In reaching agreement on this latter issue Heads of Government were acutely

aware of the need to engage the community on the matter and to ensure

that all sectors of the community benefit fully from advances in medical

science while prohibiting unacceptable practices. The Council has sought

a report from Health Ministers by the end of the year on technical issues

with the aim of a nationally consistent approach being in place in all

jurisdictions by June 2002.

OTHER MATTERS

The Council discussed the Commonwealth, States and Territory Governments

responses to the collapse of HIH Insurance Group and agreed to support

the Royal Commission. The Prime Minister briefed the Council on Commonwealth

actions for the expeditious establishment of the Royal Commission.

The Prime Minister advised the Council that the Commonwealth would introduce

amendments to the Insurance Act 1973 into the current sitting of the Commonwealth

Parliament, to reform the prudential regulation of the general insurance

industry.

Heads of Government also discussed the relationship between health and

aged care policies, and housing and noted that these issues are being

dealt with by respective Ministers.

Heads of Government noted the High Court decision (in Brodie v Singleton

Shire Council; Ghantous v Hawkesbury City Council, 31 May 2001) in relation

to the "highway rule" and agreed to commission the Australian Transport

Council to examine the implications of this decision and report back to

Heads of Government, out-of-session if required.

Council of Australian Governments

8 June 2001

See also http://archive.coag.gov.au/coag_meeting_outcomes/2001-06-08/index.cfm

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