HOST: Good morning Prime Minister.
PM: Good morning.
HOST: Welcome to the program and thank you for taking all the calls.
PM: No problems at all, my pleasure.
HOST: Prime Minister before we cross to all the listeners, there's a lot of anger in the community at the moment, a lot of disillusionment with politics in generally, why do you think there's so much hostility directed towards your Government?
PM: I think we've lived through some anxious and uncertain times, following the global financial crisis I think people have looked around the world and seen a lot of uncertainty and that's made them feel uncertain. People also know that we're facing up to big challenges like climate change, and we've lived through some very difficult days over the course of this year, particularly in Queensland, so all of that I think has impacted on community mood.
HOST: Don't you think you're avoiding the big one though, people just hate this carbon tax?
PM: Well I think people do want to see us get on and do something effective to tackle climate change. I have been out and about talking to community members and overwhelmingly people do think climate change is real, they are unsure about our carbon pricing scheme, absolutely, I'm not trying to pretend that that's not a big factor on peoples' minds, but I have found as I've gone and explained the details to people, that people have felt more comfortable when they've understood both how the price is going to be paid, that it's going to be paid by the big polluters, that it is going to drive clean energy investment and new jobs, and that people are going to get assistance in the form of tax cuts, increased family payments and increased pensions.
HOST: Alright, okay, let's talk to our listeners, an opportunity for them to talk to you. Peter of Cedarvale, yes Peter, what would the question be?
CALLER: Morning Prime Minister.
PM: Good morning.
CALLER: I was just wondering, how much money have we got in the bank?
PM: Well our Government finances are very strong, the budget's returning to surplus in 2012-13 exactly as we promised. We did of course get hit by the global financial crisis, that hit Government revenue, the amount of money that comes into the Government, and we also moved to stimulate the economy to protect Australian jobs. What's the right thing to do now that our economy in its fundamentals is strong, is to put some money in the bank and that's what returning the budget to surplus is all about.
HOST: We're all very concerned about the debt crisis in America, that could have huge ramifications here in Australia.
PM: Look this is a very important week for the US and for the global economy and I know people are looking at what's happening in Washington and then they also look at events in Europe, in Greece and Portugal and other places and worry about that, I can understand all of that. Here in Australia we do get impacted by global economic events, but we should have some confidence that our economy has got strong underlying fundamentals, you know when we look at what's happening in our economy we've got a huge pipeline of investment, more than $400 billion coming on stream, we've got low unemployment, we've got sound Government finances, we've got good regulation, we're in the part of the world that is still growing, and it's hungry to buy the things that we've got to sell, so those things I think in our own economy, should help people face this period with confidence.
HOST: Ok we'll try and get to as many calls as possible. Lorna at Capalaba good morning.
CALLER: Good morning premier.
HOST: Prime Minister.
CALLER: I'm in small business and I can assure you that we have not been through hard times, we are going through hard times, and can you explain to me please how the normal person weighs carbon, we're all being accused of using it, but I can see where I can weigh it or how I know what I'm using?
PM: Right well thank you for that question. I understand even as the economy when you look at the big economic indicators, the so-called macroeconomic indicators, when we look at them and we see that they're strong, that that still means people in their own lives can be really struggling to make ends meet and to pay all of the bills, and we wanted to take a little bit of pressure off with new measures to help with the cost of getting kids to school for example, new support for families with teenagers, new ways of helping with childcare costs, but I get that there's lots of days that people open up a new bill and just shake their heads and think how I am going to make all of this add up.
In terms of pricing carbon, it's not the amount of carbon pollution that an individual generates in their life that is being, the price isn't being paid on that, the price is being paid on the carbon pollution generated by around 500 big companies. What that means is they'll change the way they work so that they generate less carbon pollution-
HOST: Yeah but we'll all be affected by it because the charges-
PM: Absolutely, but I do think it's really important, some people do think that somehow this is a tax being paid by them, it's a price being paid by big polluters-
HOST: Which we'll pay for in the long run.
PM: Yes there will be some flow through price impacts, we've been very upfront about that, the flow through price impacts will be less than one per cent, that's less than a cent in a dollar and to help people through there will be tax cuts, for example people earning under $80,000 will get a tax cut, the vast majority of them will see a tax cut of around $300. There'll be pension increases of $338 for a single pensioner, and there will be family payment increases of up to $110 per child and people can get all of their individual details by getting on the Clean Energy Future website, there's a household estimator there, you put in your details and it spits out what happens for you.
HOST: I'll just take a few more questions. Charles, good morning Charles.
CALLER: Good morning, how are you?
HOST: Good thanks.
CALLER: And Prime Minister?
PM: Good morning Charles.
CALLER: Good morning Prime Minister. My question's really relatively simple, could you tell me the total federal debt, how much we're in debt for and is the carbon dioxide tax, it is a carbon dioxide tax, designed to pay that off?
PM: Absolutely not, no. The price that is paid by the around 500 big polluters will go for three purposes. Number one, more than half of it will go to assist households to fund the tax cuts and pension increases and family payment increases that I've spoken of. Another section of it will go to support Australian jobs, and a third section will go to help assist with clean energy projects for the future. This is not about revenue raising for the Federal Government.
HOST: Alright, let's talk to Phil of Shailer Park, he may have a different question. Yes, Phil?
CALLER: Yeah, good morning Prime Minister. I'm a Vietnam veteran, served in the service for 30 odd years, served in two wars, risked my life many times and now I'm trying to survive on the Defence Force Retirement and Death Benefit Pension, because of unfair indexation. Now we give the old age pensioners fair indexation, but this bill was sunk by Senator Lundy, I believe in the house, just in the last month and we've got to live below the poverty line, the 55,000 veterans that are earning the DFRDB pension. Can you give me an answer why we're being fairly untreated, or being punished?
PM: Look, there are special arrangements for veterans pensions, that are different to other pensions and of course, there are special health arrangements and things too, for example many veterans qualify for the Gold Card. What I think might be the best thing to do, is if I could ask perhaps if our radio presenters don't mind, but if we get your specific details through the producer, I'm happy to follow that up with you directly and then able to have a real discussion about your personal circumstances.
HOST: Love to do that, thanks Prime Minister and Phil.
PM: Thank you.
HOST: Alright, that would be good of you. Barbara of Albany Creek, good morning Barbara.
CALLER: Good morning, Julia, how are you?
PM: I'm good thank you.
CALLER: Keep your head up.
PM: Thank you very much.
CALLER: Okay Julia, my question is this: I have a daughter who graduated from teaching in 2010, with two degrees. The government isn't able to place her at this stage, she is categorised as a supply teacher and is also holding down a permanent part time position at a local supermarket, which she has been doing since the end of Year 10. Now, the whole issue is, being a supply teacher, you get the call at quarter to seven, between quarter to seven and 7:30 that morning, can you work today - yes, I'm happy to work today and off she goes. And then she starts at 4:30 at the local supermarket. Now that's, you know Julia, off and on, off and on, off and on. She may get a call for a one days school and that same day she'll get a call for a contract for a school for maybe three weeks, she is unable to take it, because she has already put down to do that one day at a school.
What are we going to do Julia?
PM: Look, this is, this is tough - I actually know a little bit about this from my own family life, my nephew's girlfriend is in exactly the same position, so I know what it can be like. The decisions about how employment works for state schools, are obviously decisions for state government and then the catholic sector makes the same decisions and independent schools make their own decisions. I've been keen to invest in upgrading our view and our resources for the teaching profession. We've made more than half a billion dollars available to do that, because I do want to see great teachers have a secure future. So I don't have an automatic answer for you, I do know that there's a lot of teachers in a similar position and it is very tough, but we have been keen to work with state government's on better valuing our teachers.
HOST: Hey, we'll take, we've got time for two quick callers. Yes Ken?
CALLER: Thank you Prime Minister for taking my call. In relation to Queensland floods and there's still a lot of victims out there who haven't even got a house to live in at the moment. At that time you gave a lot of lip service to the Queenslanders and saying how you're going to stand behind them. You give Indonesia $500 million. Indonesia's full of multi-millionaires and they've got a lot of money and a lot of them officials are corrupt over there - why couldn't you've just given them $250 and help Queenslanders out more.
Because, I'll tell you what Prime Minister, they're still suffering today and as I said, a lot of them are still living in their houses and they've got a lot of bills to pay and they haven't got much money.
HOST: Thanks Ken.
PM: Ken, thanks for that and I know, having recently visited Queensland that there are still a lot of people doing it tough. I was out in Ipswich particularly, talking to people who had been flood affected. We made available a funding package of $5.6 billion to rebuild from the natural disasters of summer. So, we have been investing in Queensland and we will continue to invest in Queensland.
In making sure that we're working to rebuild the roads and the rail, working with communities-
HOST: Yeah, I guess the big question is why so much aid to Indonesia though?
PM: Well, let's just get a sense of size and scale here, though. $5.6 billion is the funding package that I struck to respond to the natural disasters we had over summer. So, a lot more than has been pointed to in terms of aid to Indonesia. So, let's get a sense of size and scale.
Then on why do we fund schools in Indonesia. We fund schools in Indonesia because it's fundamentally in our national interest that people in Indonesia, young people in Indonesia, get a rounded, balanced education. We obviously want to make sure that people don't get distortions in their education, which can leave people at risk of being radicalised and involving themselves in terrorist organisations. A balanced, decent education for those people is in our nation's interest, that's why we do it.
HOST: OK, and just one very final question. G'day Craig.
CALLER: Good morning Prime Minister.
PM: Good morning.
CALLER: How are you?
PM: I've very well, thank you.
CALLER: That's the way. I just want to ring up and say thank you and congratulations for brining a new reform to Australia. It makes me very proud to be Australian.
PM: Oh, thank you very much.
CALLER: I remember the reforms of the early 80s and 90s and that set us up for what we are today and I think this reform will do exactly the same thing in a few years time. So, I hope you get this through, Prime Minister.
HOST: There's one supporter for you, before we go.
HOST: Prime Minister, we have a resident, our local Member in Canon Hill here is the Foreign Minister, Mr Kevin Rudd. He goes in for aortic valve replacement surgery today. Like to wish him a cheerio?
PM: I've personally spoken to Kevin about all of this and he's a very - I think businesslike is the right word, because he's been through it before and he knows exactly what to expect. But, I think we'll all be wishing him the best. Any operation obviously has its stresses and strains, so we'll be wishing him all the best as he goes through it.
But, he's got a real sense of confidence about it all. I think having been through it before means there aren't mysteries and surprises.
HOST: Alright, do you think Anna Bligh - there's rumours that Anna Bligh might be moved, might be ousted. What are your thoughts on that one?
PM: I think Anna Bligh's doing a great job leading Queensland, leading it as it recovers from the summer of natural disasters and leading it as it seizes, what I think will be a great economic future. I've made the point when I've been in Queensland and I'm happy to make it here today - there's no state that can look forward to more benefit from a clean energy future than Queensland.
And whenever I'm there, Anna Bligh not only reminds me you've got a lot of sunshine, but you've got great quality sunshine when it comes to generating solar energy. So, Queensland's got a lot to gain from a cleaner energy future.
HOST: Alright, we appreciate your time this morning.
PM: Thank you very much.