Subjects: Ethanol; Iraq; terrorism; Max Moore Wilton.
E&OE...........
DALLY:
And to discuss the ethanol issue, plus Australia';s potential involvement in military action against Iraq, we';re joined by Prime Minister John Howard. Prime Minister, thanks for joining us.
PRIME MINISTER:
Always a pleasure.
DALLY:
Now is the Federal Government walking away from its responsibility to protect motorists by the Government not properly limiting the amount of ethanol in petrol?
PRIME MINISTER:
No it';s not, the scientific evidence which is the only evidence on which a cap could be properly based is still inconclusive. In the meantime we have asked the states to require publication of material about the ethanol content in petrol.
DALLY:
You say the evidence is inconclusive, what more evidence do you want when major car manufactures say that car owners risk their warrantees becoming invalid if the damage caused to an engine is by petrol with more than 10 per cent ethanol in it?
PRIME MINISTER:
We have no reason to resist imposing a cap if in fact there is a good scientific case for it. But companies come to the Government frequently with different points of view and we have to get independent expert advice and when that';s available and it';s conclusive then we act, but until it';s available and conclusive it';s not good government to be pressured into acting.
DALLY:
Prime Minister, is there a clear conflict of interest for your government in that the Manildra Group, which is the major supplier of ethanol in this country, is also a big supporter of the Liberal Party?
PRIME MINISTER:
Well I don';t know the extent of any financial support that company gives to my party, but I do know this, that it has over the years also given a lot of support to the Labor Party, but a lot of companies give support. But look any suggestion that we';re taking this stance because of financial support from that or any other company is something I reject, I regard it as quite wrong and offensive and there';s no basis for you to say that
DALLY:
Can we move onto the issue of war with Iraq, the Australian military are apparently making plans to send SAS troops, apart from other commitments by the Australian military, to fight in Iraq by early next year. Is that true and does that mean that our involvement in a war with Iraq is a forgone conclusion.
PRIME MINISTER:
No decision has been taken by the Government to commit Australian military forces to action against Iraq.
DALLY:
But the military is making plans?
PRIME MINISTER:
I indicated some weeks ago that the Australian Defence Force was making contingency arrangements, as you would expect them to do, against the possibility that there might be some Australian military involvement. I mean, that has been really accepted and known now for some time. But, Helen, I don't want a military conflict with Iraq. I hope it can be avoided. It can be avoided if the Iraqi regime complies in full with the United Nations resolutions. And I hope that that is ultimately what occurs.
DALLY:
Prime Minister, in recent weeks you have said that Australia, this soil, is now more exposed to terrorism. Does that mean that we should commit our military resources here and in this region and not to a war in the other side of the world in Iraq?
PRIME MINISTER:
What I will do is say bluntly to you that any action we take in relation to the committing of forces in the future will not be at the expense of our capacity to deal with threats at home.
DALLY:
Now you';ve had a couple of very close advisers, Lynton Crosby is leaving and now Max Moore Wilton. You';ve also had discussions with Treasurer Peter Costello, he tells us, that you';ve talked about this leadership issue. Have you come to any agreement.
PRIME MINISTER:
Look, I don't have anything to add to what I've previously said on that subject except in relation to Max to say that that is quite unrelated to anything I've said on that other subject, quite unrelated, and why people should be getting excited and drawing conclusions and making connections is beyond me. I didn't think the silly season in journalism started until Boxing Day
DALLY:
Prime Minister Howard, thank you.
PRIME MINISTER:
Thank you.
[ends]