PRIME MINISTER
TRANSCRIPT OF NEWS CONFERENCE, TINDAL RAAF0 BASE
9 AUGUST 1989
E OE PROOF ONLY
JOURNALIST: this morning?
PM: I really haven't taken any Lime to look at them. I've
Sbeen told they are good. But I'm up here to look at Kangaroo
89 and I can tell you it's a matter of very great pride
to be here. Not only the obvious efficiency but the commitment
and pride of our fellows is something that I find very moving.
JOURNALIST: You spoke to Geoffrey Palmer yesterday. Did
you talk to him about New Zealand's position on the nuclear
ships ban.
PM: No, not particularly. I was talking with him about
that before. The New Zealand Government knows the position
of itself and my Government on this. We just disagree with
them on that. It's been made clear on many occasions.
But 1 did take the opportunity of saying to him that I hope
they would go ahead with the frigate deal. That wads a much
more immediate concern.
JOURNALIST: What did he respond to that?
SPM: I think it's not Lair that I -go into the details of
a private discussion, from his point of view. I believe
that he will be supportive and I hope that that's the result
that will emerge.
JOURNALIST: If New Zealand didn't want to be pairt of the
frigate deal, what implications might there be-for our defence
relationship with them?
PM: I've made it quite clear before. I'll say it again.
New Zealand can't expect that a decision of that kind would
have no impact. We have deliberately, since New Zealand
made the decision to cease effectively to be part of ANZUS,
we have deliberately increased the bilateral defence cooperation.
We've done that with the agreement and the under standing
of the United States. You can't have a position where it's
essentially all one way, where Australia is accepting more
and more of the responsibility for what must essentially
be seen as a shared involvement. If-Australia and New Zealand
are going to be able to maximise the opportunity for effective
cooperation, there must be a degree of interoperability
of equipment and training. Quite clearly the capacity of
Australia and New Zealand to have an extension of their
naval capacity depends upon the way in which we can cooperate.
A decision on their part not to be part of this extension
of our capacity, which should be a joint capacity, would
be disadvantagous and the judgement would inevitably be
one that would be somewhat adverse to the relationship as
far as Australia was concerned if that was their decision.
O JOURNALIST: You're about to board anACWAC, an American
? AEWAC. Would you like to see Auistralia have that sort of
apabil1ity?
PM: The concept is interesting but the equipment is extraordinarily
expensive and is not necessarily the type that would be
appropriate for Australia. We maintain an interest in the
concept and we will be looking to see down the track whether
there is a version of this concept which is both more
appropriate to our needs and our economic capacity.
JOURNALIST: The Industrial Relationu Commission decision
to give a 6.5% wage rise. Is that going to take the pressure
off Australian families?
PM: It will be part of an overall range of decisions.
to the approach which affect the standards of Australian
families. There are wages and I'm glad to see that the
decision has been made which will mean significant increases
for pooplo lower gt~ ndard of income who need it and
also for those with skills. secondly there's tax. We've
just seen the signficant reductions iii tax now operative.
Thirdly there's the decisions that are taken in the area
of social welfare, with very significant increases for families
particularly lower income families. When you take those
three strands of policy together then you are having a degree
of protection which Australian families need and deserve.
JOURNALIST: So you reject the criticism of the wage rise
by the Opposition?
PM: Well, is anyone taking the Opposition Very seriously
at the moment on anything?
JOURNALIST: affeoL the prospect of tax cuts which you
mentioned on Sunday?
3
PM: Listen, you wouli've ueen. I hope, the transcript of
what I said on Sunday and also what I said on Monday. I've
said no more and no less than this. That in over six years
we have taken the decisions which are necessary to advance
Australia's growth and protect Australia's interests. We'll
do that at all times. I have said no more than that as
we prepare for 1990-91 that all relevant options are on
the table. That would be one that would be on the table.
But there is no intention to announce that there would be
any tax cuts. I said, and the transcript shows, that that
would be an option that could be considered. In regard
to 89-90 surpluses, they have already been taken into account
in the tax cuts that are operating now. Quite clearly,
what will continue to be predominant in our considerations
is the current account and the protection of our external
Sposition. Within that overall framework of approach as
I say, everything will be on that table. But there is no
promise, no commitment in the arenof tax cuts. There wasn't
on Sunday, there wdsn'L on Monday, and as I recall it it's
Wednesday today, there's none on Wednesday.
JUUKNIIIAbr: .~ UaU1 ljuvm that you will mako a docigion
on the frigate next week? do you think you can get
PM: very near future. The Minister for Defence, Mr
Beazley, has the intention to bring the recommendation of
the Defence Forces to us in the relatively near future.
Whether it's next week or the week after will be a matter
for decision by Mr Beazley. But it's in the very near future.
JOURNALIST: your showing in the Morgan figures out
today?
PM: No, I'm more interested in other things up hure.
ends