Subjects: state elections; BAS; cricket; innovation statement
E&OE................................
LAWS:
Prime Minister good morning and welcome and Happy New Year.
PRIME MINISTER:
Happy New Year to you John to all of your listeners and welcome back.
LAWS:
Thank you and good to be back. What effect will the Western Australian, Queensland elections have on the Federal Election?
PRIME MINISTER:
I don't think either of them are pointers to what will happen in the federal election. I've never accepted the view that some people have that you can read enormous implications into State Election outcomes so far as federal elections are concerned. So win or lose for the Coalition in either of the two states let me say now I don't think it has any, necessarily any implications for the federal election. I heard somebody interviewed on radio this morning in Mandurah, where I was yesterday at the launch of Richard Court's campaign and this bloke said that "the public's not stupid you know we know the difference between state and federal, and we make our own minds up fairly independently". I think by and large that's right. I find it hard to predict the outcome of either. I naturally hope the Coalition wins in each case but I don't think it really does have a great deal to tell us about what's going to happen federally. I think people do make different judgements. If you can remember some years ago in NSW when Neville Wran was riding high the Fraser Government was polling almost equally as strongly in federal elections in NSW. The last federal poll we did very well in NSW a few months later Carr did very well in NSW. I don't think you can read too much into state elections as far as the federal is concerned.
LAWS:
Where does Neville Wran rank in your list of top politicians?
PRIME MINISTER:
If I was on the Labor side I'd put him right near the top. I mean, I haven't come here to speak in praise of Labor politicians but you've asked me the question - I think he's one of the very best that the Labor Party produced since the war, I think he's streets ahead of people like Whitlam and Keating and I know that's a very cheeky thing to say but I believe it to be true.
LAWS:
I'm sure it is true in your mind. I'm not sure that Mr Whitlam and Mr Keating would agree with that. Given the way your support base was eroded at the last election and it was to a degree, is it going to be tough to win a third term?
PRIME MINISTER:
Yes, very tough. The odds will be against us winning a third term. On the other hand after five years people have got a very clear idea of what we stand for. We do have a policy lazy opposition. Mr Beazley's had five years and he hasn't really carved out a separate policy identity for himself. We are still a very energetic and active Government and today's Innovation Statement is not the statement of a tired government that's run out of ideas. We brought down a very comprehensive Defence White Paper, a social security blue print and big salinity programme in the last half of last year. So life goes on very vigorously since the GST.
LAWS:
Well yeah the Innovation Statement could be the doing of a slightly tired Government knowing it's running up to an election.
PRIME MINISTER:
Well we've been planning it for about a year. It's not something that we've suddenly thought of at the last moment.
LAWS:
You say it might be difficult to win this election. If you lose why will you lose?
PRIME MINISTER:
Well, I'd rather not be a political commentator I'd rather be a political advocate. I mean it's for other people to judge why we might win or lose.
LAWS:
But nobody would know better than you.
PRIME MINISTER:
Well obviously I won't be wanting other than a Coalition victory and it's the people who do the deed in the end who in an aggregate way decide why governments win or lose and I accept the judgement of people. I just think it will be tough, we've got a lot going for us but we've got the fact that it will be the third election going against us and that is always hard.
LAWS:
How do you counter the inevitable claim that a vote for you will in fact be a vote for Peter Costello?
PRIME MINISTER:
By simply saying that when I was asked that question I was being honest and gave an answer. I don't intend to go to the next election with some kind of secret deal as Mr Hawke and Mr Keating did in 1990.
LAWS:
You couldn't resist that.
PRIME MINISTER:
No, well I think it's a fair comment to make. I think the Australian public is entitled to be treated with candour on something like this. I am a very fit energetic person and I feel I'm handling the job well, I'm on top of it. I simply acknowledge that nobody stays around forever. But precisely what I might do and when is something that the electors and God willing I'll decide at an appropriate time. But I just don't believe in looking people in the eye and saying I have no intention of ever retiring, which is basically what my critics in relation to that earlier statement are suggesting that I should've said. Well I'm just not in that game thanks.
LAWS:
So if you win you'll stay there for the full term?
PRIME MINISTER:
Well if I win, what I said those months ago in another interview prevails.
LAWS:
Well say it again.
PRIME MINISTER:
Well I just said that I would reflect on the situation around the time I was 64.
LAWS:
So it's possible then that a vote for you might be a vote for Peter Costello?
PRIME MINISTER:
Well one thing is certain, John, and that is that I'll level with the Australian public. Inevitably you're asked those questions after you've been around for a while and rather than have some sort of secret deal that I conceal from the public, I think people want to know.
LAWS:
And will you come clean with the electorate before the election?
PRIME MINISTER:
I've already done so.
LAWS:
And nothing will change between now and election time?
PRIME MINISTER:
No, I have laid it all out now. It's there and it's something people factor in but I would rather that people feel that I've been candid with them then knowing that I might do something and not disclose it.
LAWS:
They thought you were being candid with them when you said no GST, never ever.
PRIME MINISTER:
Well, I did after changing my mind, I did submit myself to the judgement of the people before I introduced a GST.
LAWS:
I must say I don't see anything wrong with people changing their mind.
PRIME MINISTER:
I mean, if you change your mind after you've won an election on the strength of the earlier statement and you implement something you said you wouldn't do without going back to the people that is being duplicitous. But on this occasion I said "ok, we said no GST, we now are going to have one but before we introduce it you can throw us out if you don't like it". You can't be more transparent than that.
LAWS:
No you can't and in fact you, your road to victory on the back of the so-called Howard battlers. Many of those people are small business owners not battling to complete that paperwork associated with the GST and you know there's terrific problems there.
PRIME MINISTER:
I get mixed reports. Some people complain, others say they don't understand what the fuss is all about. I had an anecdotal experience of that, my family did only the week before last, a very small contractor who was doing something for us privately said :"Look I don't know what all the fuss of this thing is all about. I run my show out of this little place and I've got my mobile etc and there's no problem so I don't know what they're all carrying on about". But to be fair others have said the opposite we are looking at it very closely.
LAWS:
Well the tax office claims that only 15% of businesses have submitted the forms and the next deadline is around the corner isn't it?
PRIME MINISTER:
Yes, but they have also indicated that they are going to be fairly reasonable and understanding and accommodating in relation to this form that is due in on the 5th of February. What we have said is that we are quite literally monitoring this very closely and I said last week and I repeat on your programme that if there are any lingering problems then we are going to do something about it.
LAWS:
Well if only 15% of businesses that have submitted forms and they're all supposed to be in by the 5th of February there's got to be something wrong with it hasn't there?
PRIME MINISTER:
Well the submission rate in relation to the first requirement was very high, very high indeed. So let's wait and see until the date has come and gone.
LAWS:
Do you think the system does need improving?
PRIME MINISTER:
Well I've always said that we would be willing to fine tune the implementation. I've always said that.
LAWS:
That original date was pushed back.
PRIME MINISTER:
Yes it was. But John there's nothing really, to my mind, there's nothing really idle or dramatic or worrying about that because in the end, in the end you've got to accept it with a new system like this, with a big change like this.
LAWS:
Massive change.
PRIME MINISTER:
Yes I know that and you are going to have some teething troubles and I never pretended otherwise.
LAWS:
The commercials that are spouting the benefits of the National Heritage Fund, which I subscribe to and think are very good. How long is it going to be before they're deemed to be party political by the opposition?
PRIME MINISTER:
Well I don't know whether they've complained about them to date. They may have and I may not be aware of those complaints. But they're of a piece with a lot of factual information of that kind which is provided by state and federal governments of both political persuasions. They certainly wouldn't be run in the immediate lead up to and the duration of an election campaign.
LAWS:
What do you call the immediate lead up to?
PRIME MINISTER:
I suppose the period after it's been announced or everybody thinks it's about to be announced and the policy speech. I'm sort of, I'm not talking months so they'll be on for a while.
LAWS:
You're not going to tell me when.
PRIME MINISTER:
I don't know when the election will be.
LAWS:
You don't know when the election will be?
PRIME MINISTER:
No I don't. I mean it's required constitutionally I think by the end of the year or early in January. Well I can tell you I'm not having an election early in January. I don't think the public would thank me for that. No way.
LAWS:
On to other important issues. As a cricket lover how did you react to Mark Waugh's initial refusal to speak to the [inaudible]?
PRIME MINISTER:
I've been asked this. I'd rather not express a view. I am a cricket lover and that means that I respect the role of the Australian Cricket Board in running cricket. And it does involve his rights and it also involves the role of the board. And I can't say something like this privately, on a program like this - it becomes a matter of public knowledge. I'm the Prime Minister. Everyone knows how much I love the game and you know, it's Howard sort of does this or that, Howard criticises the board, Howard backs Waugh, and Howard slams Waugh. I mean it's a very difficult delicate issue. I have a lot of regard for him as a player. It's also very important that the board defend the game and the integrity of the game and that's what I think it's trying to do and I don't want to take it any further than that.
LAWS:
Do you feel a bit sorry for Mark Waugh that these allegations have become headlines of apparent fact?
PRIME MINISTER:
Well that happens to a lot people in the public eye.
LAWS:
It sure does.
PRIME MINISTER:
I know it happens every day to, well not, I mean perhaps these are of a slightly different character these allegations, but often in the public eye you can be condemned for something for which you're not responsible. I mean I don't know the ins and outs. I have no idea and I don't pretend to have a view on that. I do however understand that the board's established a procedure and they're trying to do their best to protect the name of cricket.
LAWS:
Are you aware of this latest controversy involving Shane Warne?
PRIME MINISTER:
Well I read it in the papers. I didn't hear it. I was travelling back from Western Australia last night.
LAWS:
On the red eye?
PRIME MINISTER:
Yes. Well I went over and back, I went from Melbourne to Perth and back to Sydney yesterday. And I had to go to the launch of the WA Liberal campaign and I just didn't, I didn't see or hear any of the match.
LAWS:
Do you have the same attitude to Shane Warne, you'd prefer not to comment?
PRIME MINISTER:
Well I saw what Steve Waugh had to say.
LAWS:
That'll do?
PRIME MINISTER:
Yeah I think it will on this occasion, yes.
LAWS:
Okay good to see you Prime Minister. Thank you very much for your time. The innovation statement we'll await with interest. Are you going to give me any..?
PRIME MINISTER:
Well we are going to put a lot more resources into research grants. We're going to, as we did with health and medical research grants, we're going to double the public provision, government support for research grants. We're going to put more resources into encouraging research and development by industry and I think when the whole thing is revealed the people will see it as a very comprehensive plan to augment an already big provision by the government. What we're essentially trying to do is to back the abilities that this country has. We've always been very good at ideas and the tragedy is that in the past good ideas have sprung up in Australia and they've gone overseas.
LAWS:
Yeah the reason for that being that we didn't give enough help at government level.
PRIME MINISTER:
Well that's been the criticism.
LAWS:
I think it's the fact.
PRIME MINISTER:
I think it's also a reflection on perhaps the lack of the same entrepreneurial culture that may have existed in countries such as the United States. We're not alone. The British suffered this experience after World War II. Things like the jet engine that were developed, conceived, were really effectively commercialised by other countries. So we're not alone in this and I think one of the gaps in our culture which not only governments have to address but business has to address. I mean business can't just sit there and say the problem is the fault of the government. I mean the actual government support for research and development, public sector support for research and development is quite high in Australia, the business support's quite low.
LAWS:
Are you going to put the tax breaks back?
PRIME MINISTER:
We're going to have what's called a premium tax rate - for extra research you attract a higher rate. We're not going to bring back the syndication. That was being rorted.
LAWS:
So what will the new system be as far as tax breaks?
PRIME MINISTER:
Well you're going to have, if you spend more on research over and above what you're already spending than you'll get an extra tax break.
LAWS:
Why the extra uni places?
PRIME MINISTER:
Because there is a desperate shortage of people in mathematics and science.
LAWS:
Well I rather felt the other way, but certainly in that area.
PRIME MINISTER:
Very very big gap between people. I mean we need more scientists and if we can provide more university places which are ear marked for mathematics and science I think we can help produce more and fill some of the gaps particularly for school teaching.
LAWS:
Okay. We'll watch with interest and see what else it contains. I presume you won't give me any more clues now will you?
PRIME MINISTER:
No I've got a further announcement to make, a big announcement to make at 12:30 in the speech so I think I better keep the rest of it.
LAWS:
Okay. What's that big announcement about?
PRIME MINISTER:
About innovation and science and technology and backing Australia's abilities.
LAWS:
Nice to be back Prime Minister and it's good to be able to talk to you on my first day back.
PRIME MINISTER:
Thank you.
LAWS:
And I appreciate your time and look forward to talking to you again very soon.
PRIME MINISTER:
Thanks John.
[ends]