PM: It's great to be back at Geelong, great to be back at Deakin University. And this has been a great day for this local community, who have Darren and Richard as the local Members- because we're making an investment in the future of the Geelong economy, an investment in the future of Australia's economy.
The work done here with carbon fibre is terrific. A carbon fibre pen, one of the many things where you see the application of carbon fibre and other advanced materials being developed here at this great facility here in Geelong. And we're proud of the fact that we're investing in the future of this facility. This is a large investment, $37 million, makes a big difference for the future, and this is going to be a world class facility, and in fact one of the world's leading centres when it comes to new materials research.
For people who don't understand what new materials are about, it's really important to underline what we're talking about here. You need basic substances to build things with, and in days gone by we had timber, we had cement, we've had steel, we've had all sorts of building materials. Now we're looking at a whole new generation of these building materials in part based on fibre research. And that is the centre of excellence which we are celebrating here today. That's what we're investing in, because it's all part of building a strong economy for Geelong for the future, and a strong economy for Australia for the future. It makes a real difference.
As I said in my remarks before, when I became Leader of the Opposition years ago, I said I never wanted to be Prime Minister of Australia if the country didn't make things anymore. That remains my position. And when we look at this new generation of building materials, not just designed here, not just applied here, but potentially manufactured here for use right across the world, this is a good day for the local area, a good day for this region, and a good day for the country.
One thing else I'd say before I take your questions. I note the statements made recently by our political opponents about where they would take the economic management of Australia and its regions. In the midst of the chaos and confusion that we've seen in Mr Abbott's Budget reply, he has announced some pretty extreme policy when it comes to local economies like this.
Extreme policies like cutting future investment in trades training centres. Extreme policies like cutting into health, e-health, and other GP-related services like GP super clinics. Cuts like that mean a big difference for the future, cuts to the abolition of broadband, that is so important for the future as well. Cuts when it comes to clean and renewable energy for the future. These are quite extreme policies, and where the rubber hits the road is in communities like this.
If you're going to cut trades training centres, cut- savagely- the green car fund, cut also into high-speed broadband, cut also into health and hospitals, and into GP super clinics, and cut investment in clean green energy for the future, you're actually sending a torpedo into the heart of the Geelong economy, you're sending a torpedo into the heart of regional economies right across Australia.
So in the midst of all the chaos and confusion of the last few days, you pour it all back, and you see some pretty extreme policies which will make a fundamental difference on the ground across regional Australia, if they were to be implemented. We stand for growth, we stand for jobs, we stand for investing in the future. It seems we see more and more evidence that they stand for torpedoing growth, job cuts, job insecurity and undermining the big investments in the future.
Over to you folks.
JOURNALIST: (inaudible)
PM: It's a great place. Cats are playing tonight, against Collingwood. Who's backing Collingwood? She's backing the Cats-
JOURNALIST: (inaudible)
PM: It's because we've got a big investment here in Deakin. This is a very large investment for us, $37 million. Cabinet only took this decision a short time ago, and we wanted to get out down here and get the work going. This application was made by the University some time ago into the Education Investment Fund, we've been through it, we've approved it, it's time to get cracking and to announce it.
As for our local Members here, they're doing a fantastic job. Their record of local achievement is strong, and it is good, and this, frankly, just builds on it.
JOURNALIST: Prime Minister (inaudible) ALP (inaudible) branch stacking allegations that were raised mid-week, do you think there's a need for an independent inquiry, or are you happy with the ALP investigating that matter?
PM: These are matters for the state organisation of the ALP.
JOURNALIST: The Aussie dollar is on the decline at the moment, are you concerned traders are abandoning our dollar at the moment?
PM: I've seen a few reckless remarks by the Liberal party on this question. Everybody around the world knows that there is a genuine crisis of confidence in Europe, in particular in Greece, and concerning sovereign debt and, as a consequence, there are significant changes in currency markets and equities markets right across the world. The second point I'd make is this- if you look at the adjustments which have occurred in the last 24 hours to the Australian equities index in general, in fact, the adjustment in the minerals index is less than occurred to the overall stock market index. I think it's important to bear that in mind.
JOURNALIST: So you don't agree with those calling the Aussie dollar less (inaudible)
PM: I go to the answer that I just gave you. And both of the points I just raised.
JOURNALIST: Prime Minister, given the comments of the mining industry and given the comments of Garnaut as well, what's your view now about the state of play of the resources tax, is it time to compromise or back down?
PM: We are strong supporters of a resources super profits tax because it provides better super for working families, tax cuts for all Australian businesses, bigger tax cuts for small business, and enables us to invest in the infrastructure of tomorrow. As I've said before, we believe we've got this policy basically right. We've always said we'll consult with the industry on detail, on implementation, and on transition. And that's what's happening with the Treasury consultation panel right now, with companies right across the country.
JOURNALIST: Are you worried about legal action in relation to (inaudible) WA?
PM: I think it's pretty important to focus on the need to bring about a reform for the Nation which makes a difference to the competitiveness of all businesses in the nation. Let's go to the core elements. Businesses right around the country need to have a better company rate because, currently, they are becoming less competitive against the company tax rate that's applied around the world.
So we're using this change, for the mining industry, to bring down the company tax rate by two percentage points nationwide. Secondly, to make small businesses more competitive by giving them an extra helping hand with a tax break for a $5000 write-off against their asset purchases in a given year. Thirdly, better super for working families. Fourthly, funding infrastructure developments around the country. We think we've got that balance about right, but we'll continue to consult with industry on detail and implementation and on transition.
JOURNALIST: (inaudible) Victorian ALP?
PM: I can say that any such accusations should be dealt with by the state executive of the Australian Labor Party, and I'm sure that investigation is underway.
JOURNALIST: Ross Garnaut (inaudible) an ally of the Government, an architect of the ETS, and has now said you should compromise with miners on this tax.
PM: Look, the consultation process that I've just referred to goes to detail, goes to implementation and goes to transition. We've said that from day one. You know something-can I say that we're going to have a lot of people out there from various mining industries proclaiming doom, gloom and despair in the midst of a consultation process.
Guess what, a lot of those mining companies don't want to pay any more tax. Guess what, they expect, therefore, the rest of the taxpayers to somehow subsidise better super for everybody else, tax cuts for the rest of business, and on top of that, the funding of infrastructure.
Let me give you an example about how expensive infrastructure is. We, the Australian Government, partnered with the Victorian Government in massive investments in roads in this region alone. The ring road around Geelong, the highway as well, these are multi-hundred million dollar investment. We're doing this right around the country.
You know something? You've got to find future revenue sources to build the infrastructure for the future, as well. That's why we believe that mining companies can pay a fairer share. That's why we believe the Australian people also deserve a fairer share from the resource which they themselves ultimately own.
JOURNALIST: What's Tony Abbott (inaudible) talking about consultation (inaudible) BHP met with the Treasury yesterday, Rio meet with the Treasury today (inaudible)
PM: Well, the- these consultations will continue for some time yet. The Treasurer leads the consultations. I'm sure if you put that question to him as the responsible Minister he'd have a response to you- for you, but I can just say that this will take some time. When you're looking at companies in vastly difference circumstances right across the country, obviously the issues they raise are all going to be different, from the BHPs and the Rios of this world down to the others, but we think we've got a good consultation panel lined up to do this work, and I think about 100 companies are currently with the panel, working their way through the detail of this.
JOURNALIST: The mining tax (inaudible) your health reform (inaudible)
PM: The bottom line is we've achieved, with the cooperation with the states and territories, the biggest reform to the health and hospitals system since Medicare. You've got five states and two territories signed up. Biggest change that we've seen for decades. We think we've got a good reform for the future. I'm sure there'll continue to be technical discussions with the WA Government. Those will continue, but for the rest of the country, we intend to get on with the business of rolling out these reforms. They are big and they and they are important.
The last time I was here I was at Geelong Hospital. They can't wait for these reforms to start from 1 July, because it means a greater flow-through of funds for the additional work that they need for accident and emergency, for elective surgery, for sub-acute beds. These are the practical things that people want. That's what we have done through this, as well.
JOURNALIST: Prime Minister, you've been cancelling a few media appearances. What's the explanation for that?
PM: Well, I think that question should be directed to my media office. I'm not aware of that at all.
JOURNALIST: (inaudible) has coming out to say 'look, to get rid of this mining super tax you need to get rid of the Government'.
PM: Well, Twiggy is entitled to his own view and I'm sure he'll have many more colourful views to express in the period ahead. It's a democracy. He can say what he wishes. I think what the Australian people are saying is that they believe that when this resource is owned by the Australian people, a fair share should go to the mining industry and a fair share should go to the Australian people in terms of better super for retirement for working families, a fair go in terms of tax cuts to businesses and small business, in terms of better investment in infrastructure.
So, it's going to be an interesting debate, but this is an important reform for the future. One last thing before I head back the airport is on the application of the cuts that I mentioned before from Mr Abbott- let's be very clear about what happens in communities like this.
The Corio trades training centre, a combined investment, from memory, of $10 million or $11 million by the Australian Government, bringing together some eight or nine local secondary schools, a state-of-the-art trades training centre, now, under Mr Abbott, to be slashed. That is, cut, abolished, no longer existing.
Can I say this is a very basic matter of concern for local communities like this? Communities like this, as Darren was saying to me before, you've parts of this region which don't have access to decent broadband. We've got a plan to fix that. It's called the National Broadband Network. We're rolling it out in Tasmania as we speak. So, under Mr Abbott, no more broadband, gone. Corio trades training centre, gone. Investment in local health services, Barwon e-health initiative- gone, because we're providing future funding for that as well.
On the ground here the cuts mean real changes, so let's be very blunt about this. It's not just the chaos and confusion we've seen in recent days. The extreme policies which, frankly, torpedo local economies like this and torpedo the health reforms we've agreed on with the Victorian Government.
Having said that, folks, I've got to zip.