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Labor's support for Coalition energy policy under microscope – politics live | Labor's support for Coalition energy policy under microscope – politics live |
(35 minutes later) | |
1.24am BST | |
01:24 | |
Labor mourns Holden | |
Bill Shorten has fired the latest salvo in the ‘Australia First’ wars, using the closure of Holden tomorrow as a rallying cry: | |
Where are the visionaries now? Turnbull blamed the wages of the workers when Holden made their decision, he’s washed his hands of it, not his problem. Australia is a good manufacturing nation, we’re a great manufacturing nation. I want to congratulate generations of Australian workers and their families who have worked at Holden, who have worked in the auto component industry. They are world-class trades people building a world-class product. This car industry did not need to close. It closed because of the lazy,negligent, disinterest of the right-wing economic rationalists of the Turnbull and Abbott government. They goaded the industry into going. As a result, Australia is poorer tomorrow because of the inaction and neglect of the Turnbull Government. We say to those who still work in Australian manufacturing, Labor’s got your back. We understand, and if we get the privilege to form a government, we will back Australian made and Australian manufacturing. We have announced on the weekend inSouth Australia the creation of anAustralian manufacturing future fund. This will ensure that the finance is available for all the great manufacturing ideas, for all the small and medium businesses who want to back Australian Made. I promised Australia and I promised the Australian manufacturing sector that the three-word slogan you are most going to hear from me if I’m Prime Minister is “made in Australia”. | |
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Bill Shorten has just repeated his dab move for school students ahead of a media event at Old Parliament House. | |
pin this gif pic.twitter.com/UGeqQkAm1D | |
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As expected, the Medicinal cannabis bill has just passed the Senate | |
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The Senate is busy debating the Greens motion on medicinal cannabis, which opens up the market for Australian-grown products to be accessed by patients and stops the government from using clauses in import products to stop category A drugs from being prescribed to terminally ill patients. | |
Labor is in support of this and it looks like most of the crossbench is as well. | |
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Ben Doherty | |
Yesterday it was the proposed welfare drug testing trial which caught the UN’s attention – and not in a good way, as Paul Karp reported | |
Today: | |
Australia’s marriage equality postal survey has attracted international criticism overnight, with the UN human rights committee in Geneva telling the government that fundamental rights were not to be judged by a show of hands, or granted by virtue of popular opinion. | |
Committee member Sarah Cleveland told the Australian delegation of the survey: “human rights are not to be determined by opinion poll or a popular vote”. | |
Australia’s human rights record is being examined by the committee – indigenous incarceration and asylum policies are expected to be pre-eminent – in Geneva this week, at the same time as the country was elected uncontested to the UN’s powerful human rights council in New York. | |
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at 1.07am BST | |
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While the government works to stave off a banking royal commission, Scott Morrison has announced the actions it is taking to pull the banking industry into line. | |
From his statement: | |
Banking Executive Accountability Regime (BEAR) | |
The government is bringing greater accountability to our banks, introducing tough new rules for banks and their executives that will keep their behaviour and decision making in check. Under the BEAR, banks and their senior executives and directors will be expected to conduct their business with honesty and integrity, prudence, care and diligence; deal with APRA in an open, constructive and cooperative way; and prevent matters from arising that would adversely affect the bank’s reputation or hurt its customers. | |
Where these expectations are not met there will be strict consequences. | |
APRA will be empowered to more easily remove or disqualify executives, dish out substantial fines to banks when they fail to crack down on bad practices, and claw back remuneration from individuals. | |
Banks will also be required to register individuals with APRA before appointing them as senior executives and directors. And APRA will have new powers to examine witnesses, including during potential investigations of breaches of the BEAR. | |
Section 66 | |
Legislation is also being introduced to deliver more choice for customers by boosting competition in financial services. | |
We are lifting the prohibition on the use of the word “bank”, so all banking businesses with an ADI licence will be able to use this term. Currently only ADIs with more than $50 million in capital can call themselves a bank. | |
Credit cards | |
The reforms include: | |
• requiring that affordability assessments be based on a consumer’s ability to repay the credit limit within a reasonable period; | |
• banning unsolicited offers of credit limit increases; | |
• simplifying how credit card interest is calculated; and | |
• requiring credit card providers to have online options to cancel cards or to reduce credit limits. | |
Crisis Management | |
APRA will be given clear powers that will enable it to set requirements on resolution planning and ensure banks and insurers are better prepared for a crisis. | |
APRA will also be provided an expanded set of crisis resolution powers to allow it to act decisively to facilitate the orderly resolution of a distressed bank or insurer. | |
Macroprudential powers | |
APRA will be able to make rules where it sees that the activities of non-bank lenders are materially contributing to risks of instability in the Australian financial system. | |
APRA will also be given the ability to collect data from the non-bank lender sector to determine if and when to use this new power. | |
Modernising APRA’s legislative framework | |
The legislation will insert an objects provision into the Banking Act 1959 to make clear APRA’s roles and responsibilities under the Act, aligning it with other acts such as the Life Insurance Act 1995. | |
This will make clear that APRA can, and will, act to address varying economic circumstances and stresses as they arise across different parts of Australia. | |
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at 12.56am BST | |
12.41am BST | 12.41am BST |
00:41 | 00:41 |
On issues which were all-encompassing but appear to have become less all-encompassing, the next round of banking hearings is on tomorrow. | |
David Coleman said the government’s plan of hauling the banking execs ahead of a parliamentary committee on the semi-regular, rather than a banking royal commission is working. | David Coleman said the government’s plan of hauling the banking execs ahead of a parliamentary committee on the semi-regular, rather than a banking royal commission is working. |
It’s become less obvious as the RBA stays steady on rates – which has made non-action by the banks, or delayed action by the banks, a little less obvious. | |
But Coleman told Sky the banks were still being questioned over “pay and go” fees –where paypass/paywave cards are being routed through the Visa or Mastercard route –which carries fees for retailers and ultimately customers. | |
So the ATM fee scrapping looks a lot less generous when you consider the drop in the number of people using ATMs and the amount of money being raked in by pay-and-go card habits. | So the ATM fee scrapping looks a lot less generous when you consider the drop in the number of people using ATMs and the amount of money being raked in by pay-and-go card habits. |
Coleman said the committee was making progress on that. | Coleman said the committee was making progress on that. |
Labor has maintained a royal commission is the only way to investigate what is happening in the Australian banking industry, but Coleman said the committee was having “ a real, substantive effect” | |
“Nine our of our 10 recommendations to the government were adopted, so the things about customers being able to get redress when things go wrong, that has been fixed. That was a real issue – the lack of executive accountability, no senior executives fired for any of the scandals in the banking industry – that has been fixed through the executive accountability regime. The lack of competition – we are changing the rules to make it easier to set up a bank so you can compete with the big four. All these things are happening. It is good to see moves like ATM fee abolition. We have also seen three of the four banks that have come out with a low-cost credit card in response to the inquiry and that is a big issue for a lot of Australians, so we are seeing a positive change, but we will keep at this, because this is an inquiry that goes forever, this is not a one-year inquiry, this is a permanent oversight function, we have achieved a lot in the first year and we will keep doing it.” | |
But it is not all sunshine and lollipops even in the Coaltion party room on banking. | But it is not all sunshine and lollipops even in the Coaltion party room on banking. |
As Katharine Murphy told us yesterday, a brouhaha was brewing in the party room over the plans to regulate the salary and appointment of banking executives: | As Katharine Murphy told us yesterday, a brouhaha was brewing in the party room over the plans to regulate the salary and appointment of banking executives: |
Veteran Liberal MP Russell Broadbent kicked up a stink about this package in the Coalition party room meeting yesterday, and is reserving his rights, which means he might cross the floor to vote against the change. | Veteran Liberal MP Russell Broadbent kicked up a stink about this package in the Coalition party room meeting yesterday, and is reserving his rights, which means he might cross the floor to vote against the change. |
Broadbent has told me governments should not be regulating the internal affairs of businesses. He says that’s like Labor’s plans for bank nationalisation in the 1940s. | Broadbent has told me governments should not be regulating the internal affairs of businesses. He says that’s like Labor’s plans for bank nationalisation in the 1940s. |
“This is totally at odds with what the Liberal and National parties stand for,” Broadbent said. “I think Ben Chifley tried something like this in 1947.” | |
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at 12.52am BST | |
12.24am BST | 12.24am BST |
00:24 | 00:24 |
A Neg for breakfast | A Neg for breakfast |
Katharine Murphy | Katharine Murphy |
Malcolm Turnbull has started Thursday with a breakfast hosted by the Ai Group to explain the government’s new energy policy to the suits. The prime minister this week has been flanked by a hastily convened Jedi council – the heads of the energy market regulators – and they came along for the ride to the National Press Club this morning. | Malcolm Turnbull has started Thursday with a breakfast hosted by the Ai Group to explain the government’s new energy policy to the suits. The prime minister this week has been flanked by a hastily convened Jedi council – the heads of the energy market regulators – and they came along for the ride to the National Press Club this morning. |
It was clear from the mood in the room that what business leaders want is bipartisanship. They want a policy which makes sense and they want to know the policy will remain constant for a reasonable period of time. | It was clear from the mood in the room that what business leaders want is bipartisanship. They want a policy which makes sense and they want to know the policy will remain constant for a reasonable period of time. |
Turnbull said rather grandly in his pitch that the government looked to the opposition to settle the climate wars, but he also studded his remarks with plenty of trolling of the South Australian government’s idiocy and ideology, and of Labor’s stupidity more generally. | Turnbull said rather grandly in his pitch that the government looked to the opposition to settle the climate wars, but he also studded his remarks with plenty of trolling of the South Australian government’s idiocy and ideology, and of Labor’s stupidity more generally. |
A couple of business leaders asked very politely about bipartisanship, including the host, the Ai Group’s chief executive, Innes Willox, who asked whether Turnbull had a plan B in the event the states didn’t like the new plan. Willox asked what would happen if the states said no. “Let’s focus on getting them to say yes,” Turnbull said, side stepping the elephant in the room. | A couple of business leaders asked very politely about bipartisanship, including the host, the Ai Group’s chief executive, Innes Willox, who asked whether Turnbull had a plan B in the event the states didn’t like the new plan. Willox asked what would happen if the states said no. “Let’s focus on getting them to say yes,” Turnbull said, side stepping the elephant in the room. |
I made an attempt to put the elephant back in the room by asking whether the government actually wanted a fight with Labor on energy, or whether they wanted a settlement – and if they wanted a settlement, was it productive to keep bagging Labor and the states publicly all the time? The prime minister thought one had to point out previous mistakes in order to create the ground for a settlement in energy. | I made an attempt to put the elephant back in the room by asking whether the government actually wanted a fight with Labor on energy, or whether they wanted a settlement – and if they wanted a settlement, was it productive to keep bagging Labor and the states publicly all the time? The prime minister thought one had to point out previous mistakes in order to create the ground for a settlement in energy. |
John Pierce, one of the Jedi council, and the chairman of the Australian Energy Market Commission, was asked a question about prices and economic modelling. Pierce noted that economic models “don’t give you the truth”. He said good economic models lined up elegantly with the assumptions that were built into them. Rather than focussing on things like specific price reductions association with the new framework, Pierce hoped people would focus on the model. He said the purpose of the energy guarantee was simple: the business that produces the lowest cost, reliable energy, which was consistent with the emissions reduction target, “wins”. | John Pierce, one of the Jedi council, and the chairman of the Australian Energy Market Commission, was asked a question about prices and economic modelling. Pierce noted that economic models “don’t give you the truth”. He said good economic models lined up elegantly with the assumptions that were built into them. Rather than focussing on things like specific price reductions association with the new framework, Pierce hoped people would focus on the model. He said the purpose of the energy guarantee was simple: the business that produces the lowest cost, reliable energy, which was consistent with the emissions reduction target, “wins”. |
Pierce was asked later whether the new framework was actually a de facto carbon price, as a lot of analysts have noted. He thought not. His explanation for why a system which creates a market for emissions reduction via regulation wasn’t a form of carbon price wasn’t entirely convincing. | Pierce was asked later whether the new framework was actually a de facto carbon price, as a lot of analysts have noted. He thought not. His explanation for why a system which creates a market for emissions reduction via regulation wasn’t a form of carbon price wasn’t entirely convincing. |
He said South Australia, for example, wouldn’t have to do much in order to comply with the emissions reductions rules, given its high proportion of renewables. He then moved to say the new system priced reliability. Given the national energy guarantee has two components: reliability and emissions reduction, it wasn’t clear why the system priced one but not the other. | He said South Australia, for example, wouldn’t have to do much in order to comply with the emissions reductions rules, given its high proportion of renewables. He then moved to say the new system priced reliability. Given the national energy guarantee has two components: reliability and emissions reduction, it wasn’t clear why the system priced one but not the other. |
In case it’s not clear – it’s not helpful to the government to point out in public that the Coalition party room has just ticked off on a form of carbon pricing after having resisted any sort of carbon pricing for the best part of a decade. Not helpful. People who want a solution to the problem don’t want to engage on this turf. | In case it’s not clear – it’s not helpful to the government to point out in public that the Coalition party room has just ticked off on a form of carbon pricing after having resisted any sort of carbon pricing for the best part of a decade. Not helpful. People who want a solution to the problem don’t want to engage on this turf. |
Updated | Updated |
at 12.43am BST | at 12.43am BST |
12.19am BST | 12.19am BST |
00:19 | 00:19 |
The latest unemployment figures are due at 11.30am (AEDT) today, so get ready for that. | The latest unemployment figures are due at 11.30am (AEDT) today, so get ready for that. |
But on the jobs front, Christopher Knaus has written on an alarming trend: | But on the jobs front, Christopher Knaus has written on an alarming trend: |
Entry-level jobs are disappearing from the Australian labour market, and five entry-level workers are now competing for each advertised job, a report has found. | Entry-level jobs are disappearing from the Australian labour market, and five entry-level workers are now competing for each advertised job, a report has found. |
The findings prompted Anglicare Australia’s deputy director, Roland Manderson, to call on the government to stop making scapegoats of the unemployed. | The findings prompted Anglicare Australia’s deputy director, Roland Manderson, to call on the government to stop making scapegoats of the unemployed. |
You’ll find more on that here and we will bring you the unemployment figures shortly after they are released. | You’ll find more on that here and we will bring you the unemployment figures shortly after they are released. |
Updated | Updated |
at 12.21am BST | at 12.21am BST |
12.02am BST | 12.02am BST |
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But Dutton did confirm that those who applied for citizenship after 20 April, when the government first proposed its changes, which included longer waiting periods for citizenship, will be processed under the existing rules. | But Dutton did confirm that those who applied for citizenship after 20 April, when the government first proposed its changes, which included longer waiting periods for citizenship, will be processed under the existing rules. |
Updated | Updated |
at 12.20am BST | at 12.20am BST |
11.53pm BST | 11.53pm BST |
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Peter Dutton is not backing down on his citizenship changes and is condemning Tony Burke for condemning him. It seems Dutton is not impressed with the comparison to the White Australia Policy. | Peter Dutton is not backing down on his citizenship changes and is condemning Tony Burke for condemning him. It seems Dutton is not impressed with the comparison to the White Australia Policy. |
It is very clear from their own statements that for a long period of time they have supported strengthening the Citizenship Act but they are acting now against the national interest and in their own political interest by pulling this stunt in the Senate with the Greens in an effort to try to delay debate about what is a very important bill. Now what we have proposed in relation to the bill, very sensibly, we’ve been able to negotiate with the independent senators, given that the Labor party will enter into no sensible discussion at all. We have been able to offer up some amendments to the bill which address, in large part, some of the recommendations put forward by the Senate committee; our discussions with the independent senators will continue because we will not be distracted by a political stunt in the Senate between the Labor party and the Greens. We believe very strongly that the proposal we have put forward is moderate, it is sensible, and as I pointed out this morning, we have cancelled the visas of 3,000 people who have committed serious offences, in many cases against Australian citizens, including against children and including the distribution of drugs such as ice. One-thousand-one-hundred people within that cohort were permanent residents and would have gone on to become Australian citizens. Our argument is that these changes were sensible, because we are asking people not only to abide by Australian laws but to adhere to Australian values and we have put forward some sensible amendments. Our discussions will continue with the independents but Tony Burke’s completely over-the-top reaction today really shows that he and Mr Shorten are acting not in the national interest but in their own political interest and for that they should be condemned. | It is very clear from their own statements that for a long period of time they have supported strengthening the Citizenship Act but they are acting now against the national interest and in their own political interest by pulling this stunt in the Senate with the Greens in an effort to try to delay debate about what is a very important bill. Now what we have proposed in relation to the bill, very sensibly, we’ve been able to negotiate with the independent senators, given that the Labor party will enter into no sensible discussion at all. We have been able to offer up some amendments to the bill which address, in large part, some of the recommendations put forward by the Senate committee; our discussions with the independent senators will continue because we will not be distracted by a political stunt in the Senate between the Labor party and the Greens. We believe very strongly that the proposal we have put forward is moderate, it is sensible, and as I pointed out this morning, we have cancelled the visas of 3,000 people who have committed serious offences, in many cases against Australian citizens, including against children and including the distribution of drugs such as ice. One-thousand-one-hundred people within that cohort were permanent residents and would have gone on to become Australian citizens. Our argument is that these changes were sensible, because we are asking people not only to abide by Australian laws but to adhere to Australian values and we have put forward some sensible amendments. Our discussions will continue with the independents but Tony Burke’s completely over-the-top reaction today really shows that he and Mr Shorten are acting not in the national interest but in their own political interest and for that they should be condemned. |
Updated | Updated |
at 12.19am BST | at 12.19am BST |