Malcolm thinks a cigar is always just a cigar

Shadow Treasurer and all-round pukka Malcolm Turnbull's reply during question time at the National Press Club on Wednesday, 21 May 2008.

"I'm not going to engage in self-analysis."

Sort of says it all about Malcolm doesn't it?

Transcript of Address to the National Press Club here.

And wants his tax review to look at the Goods and Services Tax

"The Review will involve all aspects of the tax system that are amenable to reform in the national interest.
This will involve an examination of taxation:
At the Commonwealth level, including but not limited to: income tax, company tax, dividend imputation, the goods and services tax, international tax, excises and customs duties, fringe benefits tax, revenue from any emissions trading scheme, capital gains tax, superannuation taxes, and resource rent tax; and
At the State and Local level, including but not limited to: transactions taxes, payroll taxes, property taxes, and gambling taxes.
In conducting the Review, Professor Ergas will consult widely, including through the release of public discussion papers and a tax reform conference. The Review will be completed by the end of 2008."

I take some comfort from the fact that Turnbull and Ergas (both believing the 'great unwashed' adhere to the politics of envy) are reviewing the tax system while the Coalition is in opposition. Otherwise the Prof might just lumber us all with a higher rate of GST in his almost one-size-fits-all view of our society.

And Rudd wonders why the peasants are revolting

There has been just a hint of exaperation in Kevin Rudd's tone, as he answers media questions regarding peasants pensioners and this year's federal budget.
Perhaps he might be a little more understanding of pensioner concerns about cost-of-living increases after reading that Woolworths has higher markups on groceries in Australia because it is established, holds large market share and is a price leader.
The sheer arrogance of Woolies attitude is enough to set even much younger teeth on edge.
In regional areas like the NSW North Coast where lack of competition is marked, this admission of price gouging rankles retirees, old age and disability pensioners.

"Supermarket giant Woolworths has admitted customers pay more for groceries in its Australian stores than in its New Zealand shops.
Woolworths chief executive Michael Luscombe told a national inquiry into grocery prices that competition in Australia and New Zealand is the same, but admitted its mark-ups are higher here than across the Tasman.
Mr Luscombe told the Australian Competition and Consumer Commission (ACCC) inquiry the margins are lower in New Zealand because Woolworths is not the price leader there.
"We may have to sometimes reduce prices further in New Zealand to make money," Mr Luscombe said.
"The business that we purchased in New Zealand is not in the same position (as here)... significant investments still need to be made in New Zealand.
"The issue in New Zealand is we have a very strong competitor who has been very stable for a long time."
Mr Luscombe said Woolworths had built its business up in Australia over 80 years, while its Kiwi arm was much younger.
Woolworths owns three major supermarket chains in New Zealand - Woolworths, Foodtown and Countdown. Its main competitor is New Zealand-owned Foodstuffs.
Mr Luscombe said internal polling showed Woolworths holds 30.77 per cent of the grocery market share in Australia.
The ACCC estimates Woolworths and Coles hold about 80 per cent of the market."

New Matilda slices and dices MalcolmTurnbull

Mark Bahnisch at his finest in PollieGraph (New Matilda) yesterday.

The Libs don’t seem to have any capacity for a disciplined approach to opposition. Despite the claims from Nick Minchin and others that Nelson would bring a “consultative” style to the leadership - in contrast to Howard’s - it appears clear that in the absence of the prize of government they’re incapable of turning their fire on Labor as opposed to scattering it among themselves. Just as some of the shine had rubbed off Swan’s budget, they’ve handed the government two devastating lines of attack - the disunity angle and the fact that they themselves know that their centrepiece budget reply “measure” is a piece of populist garbage and that they were concerned it would tear up their mythical but much cherished “economic management” brand.
Nelson sacking Turnbull would be an absolute disaster for them, for reasons that ought to be obvious. On the other hand, Nelson keeping Turnbull would be an absolute disaster for them, for reasons that ought to be obvious.
A lot of this can be traced back to their continuing failure to adapt to opposition. They need to make the government the story, not contend - in undignified and risible ways - with each other for their 15 minutes of fame in the public eye. Turnbull’s under-reported attempt at a censure on the budget after Question Time last week is a more revelatory moment than has been written up - it shows his own lack of discipline and overweening egotism in trying to shove himself into the spotlight on a day that should have been Nelson’s. Even from the point of view of a leadership contender, it’s a thousand types of dumb.

* Alternative portrait of Malcolm Turnbull (above) found at ABC News.

Snap, crackle and 'alcopop'

Spooner cartoon in The Age yesterday.

"All the same, from a political and an economic viewpoint, what Nelson had to say stank. His about-face on the increase in the tax on premixed alcoholic drinks could well turn out to be the decision that cruelled his leadership once and for all.
Here's the fundamental truth of it: you can't say on April 27 that you support a tax increase on alcopops and then declare in a nationally televised prime-time parliamentary speech 18 days later that you're utterly opposed to it and will block it in the Senate, and retain your political credibility.
This is what the Opposition Leader said only a little over two weeks ago, after Labor announced its decision to lift the tax on alcopops by 70%. "While we're not normally supporters of tax increases, increasing the tax on these alcopops, these mixers, that young people are in many cases abusing, if that is going to reduce the abuse of these alcoholic mixers then it's something that we certainly are prepared to support."
How can you go from accepting something as a reasonable preventive health measure to seeing it as a blatant tax grab? When you're desperate, you have no genuine new ideas, your political mortality is so strong you can taste it, and you're still not fully accepting that you've lost power, you'll do it."

Portraits of a drowning man

Cartoon comments found at:
http://www.nma.gov.au/
http://www.leahy.com.au/
http://www.inkcinct.com.au
http://www.nicholsoncartoons.com.au/

Budget Reply '08: I'm big, I'm bad, I'm Brendan Nelson

It was obvious that the Budget Reply by the Leader of the Opposition, Brendan Nelson, was going to be something else when, before proceedings formally began, the cameras sprang the Coalition acknowledging a rent-a-crowd in had positioned in the public gallery.

Nelson's speech was different to the Federal Treasurer's 13 April budget speech on many levels.

The first was that, unlike Wayne Swan's speech, Nelson's monologue was heard out in polite silence by those on the other side.
The Coalition heckling during Swan's speech was a pitiful and petty effort and, it was a relief that Labor MPs were capable of more restraint last night.

The second difference was an amusing phenomenon.
The Coalition frontbench seated behind Nelson were a constant visual distraction as their heads bobbed in agreement like so many car rear-window animal ornaments.
Indeed Julie Bishop appeared almost frenetic at times.
The Labor frontbench behind Swan on Tuesday night were thankfully only occasionally afflicted with this peculiar tic.

However, it was the third difference which had the real impact.
The sheer hypocrisy which saturated Brendan Nelson's speech was almost beyond belief (Wayne Swan may have had a rather boring delivery but at least he sounded believable).

Suddenly Nelson was against policy, procedure and practices which were unchanged from the days of the former Howard Government in which he was first an ordinary MP and then a minister.

The Howard Government never locked in old age pension and carer bonus payments beyond one budget year, but suddenly the Rudd Government was mean and tricky to do the same.

He also decided that taxing 'alcopops' as spirits was unfair and would be resisted, although initially agreeing with the increased taxation proposal and way back in 1996 getting to his feet in the House of Representatives to complain that this type of alcoholic drink was too cheap.

Nelson repeatedly accused the Rudd Government of delivering a high taxing budget and then went on to say that he would oppose the removal of one tax - the Medicare levy for workers earning less than $150,000.

After years of Coalition neglect Nelson also decided to find that education and universities were important and chivvied the Rudd Government for its education policies which actually appear to reverse some of that neglect.

He was scathing about the current government's planned inquiries and reviews. Yet in a 2005 Sydney Morning Herald interview he cheerfully admitted; In the four years since he took over the $23 billion Education, Science and Training portfolio he's unleashed an unremitting stream of inquiries, reviews, reforms and initiatives, and says he has no intention of slowing down.

Brendan Nelson sketchily outlined his 'grand' economic plans for the future (which sounded very like old Howard policy) and his 5 cent solution to rising global petrol prices. Knowing full well that he will never survive as leader long enough to influence Coalition policy in the months leading up to the next federal election.

My favourite line in all this posturing occurred when Nelson accused Labor of the Coalition's biggest sin under the prime ministership of John Howard; punishing those it does not like.

Somewhere in the middle of his spin and unsupported accusations, the Leader of the Opposition decided to continue Howard's culture wars by denigrating university lecturers as social engineers and, somewhere towards the end of his delivery, resolved that Australia should become reconciled with our indigenous history (something that his national apology speech demonstrated that he was incapable of doing himself).

The Leader of the Opposition tried at times to whip himself into sincerity but failed. He declared himself angry with all the emotion of a limp lettuce leaf.

At one point Nelson stated;The government has perpetrated a fraud on the Australian public.
From my perspective this is exactly what Nelson himself was attempting last night.

Brendan Nelson's budget reply here.

Federal Budget 2008-09: Janelle Saffin delivers for Page

While those on a full disability support pension are reeling from Wayne Swan's slap in the face (which saw them excluded from any cost-of-living mitigation bonus), those who have spent years on the public dental service waiting list are in flat despair and many others on the NSW North Coast are wondering about the Rudd Government's commitment to tackle climate change in light of the poor funding spread contained in this year's budget papers.

However, what cannot be gainsayed is the commitment of the Labor MP for Page, Janelle Saffin.
Ms. Saffin made sure that all funding promises (scattered like confetti across the Northern Rivers during the 2007 federal election campaign) were remembered.

The Northern Rivers Echo yesterday.

Southern Cross University has received a one-off grant of $5.2 million as part of the Australian Government’s $500 commitment to universities announced in the federal budget.
SCU vice-chancellor Professor Paul Clark said the grant came at a time when the university needed to expand facilities at its Lismore campus. He said the funding would provide support for high quality education, student amenities such as childcare, and boost SCU’s research capacity.
Other grants announced in Tuesday night’s budget include $7 million over two years to fast track radiotherapy services at Lismore Base Hospital. This is on top of $8 million already committed to the project.
There’s also $250,000 in recurrent funding for the Lismore-based Northern Rivers Business Enterprise Centre, $200,000 for the proposed Lismore Homeless Shelter, and $140,000 to upgrade the Browns Creek pumping station and flood levee as part of the Lismore Flood Management Plan.
The grants comes on top of $2.22 million in family support programs announced for Lismore in April.
In other areas $13.6 million has been allocated to begin work on the $90 million Alstonville bypass, while $100 million will be brought forward in 2008/09 for the Pacific Highway bypass at Ballina.
Casino will receive $3 million for development of the town’s community centre, and a further $2 million for the revitalisation of the town centre.

In The Daily Examiner on the same day.

The district's biggest win comes with an $18-million injection into upgrading the Grafton Base Hospital over the next 12 months.
The funding will be used to build a new accident and emergency department as well as establishing three new operating theatres.
This funding will no longer be tied to a hospital board being established at Grafton Base Hospital.
Grafton will also get its GP super clinic as part of a $275.2 million fund which will establish 31 clinics of its type throughout Australia.........
"We have also kept our promise of a $2 million grant for the Yamba Indoor Centre even though the local council has downgraded this project from $7.8 million to $4 million."
The good news for South Grafton residents is Skinner Street will receive a $1-million revitalisation package.
The fourth big pre-election promise was money for an upgrade of the Grafton saleyards and once again the Government has delivered with a $125,000 grant.

Rudd and his ministers may disappoint, but so far Janelle Saffin is showing she is good value.

There will be blood on the Liberal Party brand if....

There will blood all over the Liberal Party brand if it goes ahead with the rumoured threat to use Coalition Senate numbers to block any legislation needed to create a means test for the $5,000 'baby bonus'.

Liberal MPs will find the lower income half of their electorates at the front door ready to rip their bl**dy arms off, for wanting to give this increased bonus to the wealthy.
The wealthier half of their electorates will be waiting by the car with a noosed rope ready to string them high, because not means testing this increased bonus will result in the expectant parents among them falling within the Rudd Government net of managed cash transfers.

After all it's introducing periodic 'baby bonus' payments over 13 weeks to avoid paying out the $5,000 upfront, and even the rich couldn't be trusted not to splurge any lump sum on a new plasma TV or trip to the snow (the excuse for removing the lump sum from less wealthy parents).
And you can bet your last bob that these staged payments will require that a lot more information be supplied to Centrelink.

Either way Labor wins. It either gets to make the Libs look stupid or beat-up on the poor without much opposition.

There is also likely to be further blood splattered across the party brand when Liberal MPs realise that neither Nelson or Turnbull are going to come out of the budget debate looking credible - constantly repeating the phrase "high taxing budget" is not going to cut it in an electorate with tax cuts in its pocket and when the bulk of Labor's election promises are being met.

Graphic found at The Age.

A very personal kneejerk reaction to the Rudd-Swan 2008-09 Federal Budget

Belonging to a recognised category of poor that contains less than half a million souls and has little political clout, it has been so long since a Federal Budget gave me anything that I now treat budget night as a matter for hilarity.
Wayne Swan's first budget did not disappoint in that regard.
I am again one of those that government expects to make and scrape, in the face of rising costs and reduced options.

Swan's lullaby for the majority can be found here.
Turnbull's shrill trill can be read here.