PRIME MINISTER:
This year's APEC meeting has more than the usual significance not only for all countries but also for Australia. It's a great opportunity to discuss co-operation in the region on climate change because five out of the six members of AP6 are members of APEC and I will discuss with all of the people with whom I have bilateral meetings, starting with President Bush and President Hu Jintao of China, climate change and energy security issues. The two are linked. It's also an opportunity to renew our commitment as a group of countries to the trade liberalisation goals of APEC and importantly also in my discussions with President Bush we will naturally canvass bilateral relations and the situation in Iraq. Any questions?
JOURNALIST:
Prime Minister, what will be your message to George Bush about Iraq and the coalition's forces there?
PRIME MINISTER:
Well I will discuss the situation. I am not going to telegraph in advance everything I am saying. I have already stated very plainly for everybody to see and understand my view on there being no case for a fundamental change in strategy. Obviously tactics must always be reviewed and we will discuss that during our meeting over lunch tomorrow.
JOURNALIST:
So will you be arguing then for no change to the status quo?
PRIME MINISTER:
Look, I will be discussing with him the situation consistent with what I have been saying over the past couple of weeks.
JOURNALIST:
Prime Minister, are you hoping that an initiative with China on climate and emissions might come out of the conference?
PRIME MINISTER:
I don't think there will be a particular initiative in those terms. I do, however, believe that China and Australia can co-operate a lot more closely on matters of clean coal technology and I will specifically discuss that matter with the Chinese President.
JOURNALIST:
Would you expect that climate change will be a key focus of APEC next year when it's here in Sydney as well?
PRIME MINISTER:
Well let's get this year out of the way. I think climate change will be an issue at all APEC meetings because APEC brings together energy-rich countries like Australia and Canada and energy-hungry countries such as China and Japan. Two more questions before the climate...
JOURNALIST:
Al Gore has said that you could be a power broker on climate change if Australia was to change its strategy. What influence do you think you could wield over the US and would you be prepared to change the strategy?
PRIME MINISTER:
We won't be signing the present Kyoto arrangement because that would potentially hurt Australia and that's my position. I am in this to protect Australia's interests and we did not sign Kyoto because it potentially would have disadvantaged Australia. We need a new arrangement that includes everybody so that Australia won't be disadvantaged. That's my strategy and it's not going to change.
JOURNALIST:
Just on Mr Scully potentially joining federal politics...
PRIME MINISTER:
Mr Scully, heavens above. What, in federal politics? I wonder which Labor non-mate is going to be put aside to make way for him?
JOURNALIST:
Do you think he'd make a good federal politician?
PRIME MINISTER:
No.
JOURNALIST:
Prime Minister, do you think there needs to be changes to allow fathers to have more rights to DNA testing to allow them to really determine whether they actually are the fathers of their children?
PRIME MINISTER:
Well I think it's an issue that should be examined, I'm not going to give a tick. I think people are obviously, when they believe they've been...their position is in doubt, I think they're entitled to all the available medical science to establish their position. Whether that means that you need changes is not something I'm properly advised on. I'm quite happy to look at it because people are entitled if there is doubt on these matters to have the situation clarified.
JOURNALIST:
Prime Minister, Mr Murdoch's comments that the tax system is stifling business and initiative, what's your reaction to those comments?
PRIME MINISTER:
Well I don't agree with him. This country, for example, has a lower company tax rate than the United States, it's 35 per cent in America, it's 30 here. We've just introduced with effect from the first of July, massive cuts in taxation for middle and higher income earners. From the first of July next year all tax on superannuation pensions for people over the age of 60 will be abolished. If you look at the United States, the United States still has death duties and it still has a limited form of Capital Gains Tax. So when you put all of those things into the mix, I don't think it's accurate to say that the Australian taxation system stifles incentive. We all like lower tax, but we also like a reasonable level of public services and I believe Australian has struck the right balance. I think we have a better balance in this country than in many others between an incentive-laden tax system but also providing decent public services and I think the Australian public has demonstrated over the years that it wants both. It wants lower taxation but it also wants good health and education services and I'm determined to strike a proper balance between the two. Thank you.
[ends]