Monday, February 22, 2010

The Polyphonic Spree perform in Brisbane

My second visit to the Powerhouse on Friday was to see the American band the Polyphonic Spree. The Spree is a Texan outfit with anything from 17 to 27 members on stage at any one time. Possibly due to the difficulties of playing in Australia (though this was their second visit in two years) they were down to the “bare bones” 17 that took the stage in New Farm. This included two percussionists, two guitarists, a bassist, three piece brass section, four piece Polyphonic Choir, a flautist, a keyboard player, two piece strings and front man and lead singer Tim DeLaughter. DeLaughter and fellow Polyphonics Pirro and Bryan Wakeland were in the band Tripping Daisy which disbanded in 1999 after the drug overdose death of guitarist Wes Berggren.


I always wondered how DeLaughter and co managed to make money out of touring given the number of band members and they went further in this tour handing out hundreds of free hats, Indian chief headgear, necklaces, masks and bracelets. It made for a colourful audience who expectantly waited for the Spree to emerge from behind the screen.

The foliage was dense.

Finally the band did emerge and put on a terrific show with their own music interspersed by such eclectic offerings as Paul McCartney's Live and Let Die,Neil Diamond's Sweet Caroline and Nirvana's Lithium.

Went upstairs to get a better view. This was a restricted ticket area only but I mumbled something about being a journalist and was allowed to take a few photos before being booted out.

foliage heaven.

Cowboys entertaining Indians.

A clue to how the band pays for its expenses. Apparently DeLaughter also makes big money from UK supermarket chain Sainsbury's use of "Light and Day / Reach For the Sun" for its advertising.

Tim takes centre stage.

Tim takes side stage.

Stuck in the middle again with you.

Mad balloon time.

End of Act 1. Just Tim left on stage with half the Polyphonic Choir.

More balloons yet to fall.

The Interval shows the foliage in all its glory.

Back for Part 2 in traditional kafkan garb.

Now its paper time and the venue briefly resembles an Argentinian football game.

I loved the Polyphonic parapharnalia over the stage.

More paper lace.

Finally the white balloons are released.

As Tim takes the final encore.

Time for a victory salute.

Before bowing to the audience.

And lining up to say farewell. An enjoyable (and eventful) gig is over.

Sunday, February 21, 2010

Walkley Photo award exhibition at the Powerhouse

On another enjoyably busy weekend in Brisbane I went to the New Farm Powerhouse twice on Friday for different events. The first was the Walkley Press Photo 2010 exhibition and the second was a gig by American band the Polyphonic Spree (which I’ll feature tomorrow night). Every year more than 1000 photographs are judged for selection in the Walkley Press Photo Awards. This exhibition showcases over 100 works by Australia’s best photojournalists selected on the short list nomination for the Walkley Award. The photos chronicle the news, events, elation and tragedy of the year in media. Sorry about the glare in the photos of the photos. While I take photos as part of my job, I doubt if I’ll be worrying the Walkley panel on this evidence.

Renee Nowytarger of The Australian won the 2009 Nikon-Walkley Press Photographer of the Year. This was one of her photos called Tears of Stolen Love. The woman in the photo is 33-year-old Essina Sullivan who was a member of the Stolen Generation. Essina was captured crying as she spoke of her removal from her family in Northern NSW aged just two. It was her last memory of her grandmother who was beating her hand on the boot of the car that removed Sullivan from her family.

This photo “Displaced Future” is by the Sydney Morning Herald’s Kate Geraghty who was a finalist for best photographic essay in the 2009 Walkley Awards. Geraghty flew to the DRC where five million have died and another million displaced making it the world's deadliest conflict since World War II. Geraghty visited the displacement camps near Goma in eastern DRC. Conditions inside the camps are dire, rows and rows of banana humpies housing entire families with nothing but volcanic rock to sleep on. Thousands queue for food and water and diseases such as dysentery and cholera spread throughout the camps filling the mass graves in near by banana plantations. Geraghty said “many I photographed had lost everything, were terrified, in shock and in mourning but I also encountered dignity and hope where one would expect to find anger and bitterness.”

"Bekasi Waste" by Kate Geraghty. This haunting image is of 91-year-old Muchitar walking down a mountain of rubbish as the day breaks over the Bantar Gebang rubbish dump in the Jakarta suburb of Bakasi. Muchitar scavenges for rubbish, among 5,000 people doing the same at the dump.

This was Brad Hunter’s Lin Family Funeral. The quiet Sydney suburb of Epping was shocked when an entire family was murdered last July. Newsagency owner Min Lin and his family were found bludgeoned to death in their beds. On 8 August over a thousand mourners from the local community paid their respects to the five Lin family members at the Badgery Pavilion in Homebush. Hunter is a photographer at the Northern District Times and he took this shot at the Pavilion.

This was the press photo of the year by Renee Nowytarger. Called “Party Blues” it captures then Liberal Party leader Malcolm Turnbull at a retirement home the day after an unfavourable news poll. The photo epitomises Turnbull’s position (and self-pity) which was soon to become untenable. See a better version of the photo here.

This was one of the many iconic photos from Black Saturday when 179 people died in bushfires in Victoria on 7 February 2009. The Age’s Jason South took this photo of an exhausted firefighter at an unknown location.

This was another Black Saturday moment captured by Alex Coppel of the Melbourne Herald-Sun as firefighters are forced to retreat as a giant wave of flame approaches. The photo was infamously used by a London tabloid (the Daily Mail if memory serves) with the odious headline “hey Bruce the fire is that way”.

Wednesday, February 17, 2010

Iceland aims to become the Caymans of journalism

A group of Icelandic MPs have launched an exiting new collaboration to turn the country into a haven of investigative journalism. The MPs are collaborating with Wikileaks to amend laws to grant protection for journalists, sources and whistleblowers. The plan would also provide data storage facilities as well as combating “libel tourism”, the practice of bringing defamation charges wherever the law is most attractive for the plaintiff. The intention is to provide a comprehensive Freedom of Information Act, whistleblower and source protections, limited prior restraint, protection for ISPs and protection from the insidious act of “libel tourism”.

The proposal submitted to the Althing (Icelandic Parliament) yesterday asks the government to find ways to strengthen freedoms of expression and information freedom in Iceland, as well as providing strong protections for sources and whistleblowers. The proposal requests changes to law, and an examination of the legal environments of other countries to get a “best of breed” law in freedoms of expression and information. It also recommends the establishment of an international prize to be called The Icelandic Freedom of Expression Award.

The aim is to turn the island nation of 350,000 people into the world's first "offshore publishing centre." According to Mother Jones, the proposals could turn Iceland into the Cayman Islands of journalism. It says the proposal is based on the business model of offshore financial centres like Switzerland, which attracts investors with an enticing combination of low taxes and strict bank secrecy laws. Iceland could be the equivalent for investigative journalists if, as expected, it passes what would be the strongest source protection and freedom of speech laws in the world.

The proposal is the brainchild of the Icelandic Modern Media Initiative which addresses the key issues for freedom of expression in the digital age. The IMMI say Iceland is “at a unique crossroads”. The IMMI is feeding of the sense of change in the electorate as a result of the economic meltdown in the banking sector, in order to prevent it from taking place again. It also quotes Reporters Sans Frontiers who say Iceland dropped from first in the world for freedom of expression in 2007) to 9th last year. “It is time,” say IMMI’s founders, “this trend was rectified”.

The IMMI was drafted with help from Julian Assange and Daniel Schmitt, two of the founders of Wikileaks. WikiLeaks editor Julian Assange has been in Iceland for the past two months, consulting parliamentarians on the project. Assange says Wikileaks has fought off more than 100 legal attacks over the past three years by spreading assets assets, encrypting everything, and moving telecommunications and people around the world. He says the Iceland will adopt the strongest press and source protection laws from around the world.

Assange said the move was driven by Icelandic people who have just suffered the largest economic meltdown of any country per capita in the GFC. He said Icelanders believe fundamental change was needed in order to prevent such events from taking place again including better bank regulation and better media oversight of dirty deals between banks and politicians. He quotes the “libel tourism” of Iceland’s largest bank Kaupthing which brought a successful suit against a Danish tabloid, Ekstra Bladet, in London where the costs of fighting libel is prohibitive. Iceland’s second largest bank Landsbanki also sued a Danish media outlet over its Russian mafia connections. http://icelandtalks.net/?p=471

Icelandic writer and blogger Alda Sigmundsdottir says the aim of the proposed legislation is not to allow people to publish freely any old rubbish and get away with it. “The point is not to make Iceland a haven for tabloids, paedophiles or similar low-level activities,” she said. Sigmundsdottir said the idea was to create a framework wherein investigative journalism and free speech can flourish. “Anything that is illegal will still be illegal,” she said. “The amendments will not change that.

However the Citizen Media Law Project says that while the laws are well-intentioned, they probably won’t achieve much because of the principle that publication happens at the point of download, not the point of upload. It quotes the famous (or more correctly infamous) case of Dow Jones v Gutnick where Melbourne tycoon Joe Gutnick sued Barron's Online for publishing a supposedly defamatory article about him. Gutnick applied the writ in Victoria where only a handful of people read the article but the Australian High Court ruled this was where Gutnick’s reputation was and ruled against Barron’s.

For better or worse, says the CMLP, the poorly thought-out Australian ruling has set the precedent in similar cases around the world since. So while Iceland’s protections will suit Wikileaks they will not be useful for multi-national media companies. Harvard law professor Jonathan Zittrain believes it was unclear how broadly the laws could be applied should they pass. "Unless the executives behind a particular media company are themselves prepared to move to Iceland, I'm not sure how substantial the protections can be," he said. "A state can still demand that someone on its territory answer questions or turn over information on pain of fines or imprisonment."

Tuesday, February 16, 2010

Scammers use Haiti earthquake for online fraud

The Haiti earthquake had an unintended consequence of driving up phishing and scam attacks across the Internet in the first month of this year. In the days after the Haiti quake, scammers asked users to donate money to a charity however any donation disappeared into an offshore bank account. Building on this, spammers began to send phishing messages, pretending to be from legitimate organisations like UNICEF. Hackers also took advantage of the tragedy to deliver malware. In one example, users download a Trojan when they click on the link to view a supposed video of the earthquake damage. The findings were in the monthly State of Spam and Phishing report from Symantec. (photo by alex_lee2001)

The report found both scam and phishing categories doubled as in percentage of all spam in January 2010 compared to a month earlier. The total of scam and phishing messages came in at 21 percent of all spam, which is the highest level recorded since the inception of the report. As well as Haitian scams, the report found the well-known Nigerian 419 scam (named for the section of the Nigerian penal code which addresses fraud schemes) was on the rise again as was online pharmacy spam.

Symantec say spammers have changed their tactics regarding online pharmacy spam. They have now taken to using subject lines such as “Must-Know Rules of Better Shopping” and “You Must Know About This Promotion” which are vaguer than “RE: SALE 70% OFF on Pfizer.” Other misleading subject lines such as “Confirmation Mail” and “Special Ticket Receipt” were also used for online pharmacy spam messages.

They also say phishing attacks are getting more and more targeted in nature and are focused on attacking major brands rather than being mass attacks. Symantec observed a 25 percent decrease from the previous month in all phishing attacks. The decline was primarily due to a decrease in the volume of phishing toolkit attacks which have halved from the previous month. A 16 percent decrease was observed in non-English phishing sites as well. More than 95 Web hosting services were used, which accounted for 13 percent of all phishing attacks, a decrease of 12 percent in total Web host URLs when compared to the previous month.

The US remains the most likely point of origin of spam. Approximately one in four of all spam is American-based with Brazil next most likely far behind in second place with just 6 percent. India, Germany and Netherlands are responsible for 5 percent each. The US is even more dominant in the categories of geo-location of phishing lures and hosts with 52 percent of the former category and 49 percent of the latter. Germany is second far behind with 6 percent in both categories.

Symantec notes that China has clamped down on spamming by suspending new overseas .cn domain registrations. The China Internet Network Information Center stated this suspension will allow them to implement a better procedure to verify registrant information from overseas registrations. This was a follow-up action to a related move in mid-December that required additional paperwork with registrations. As a result, spam messages with .cn domain URL dropped by more than half in January, compared to December with a steep drop towards end of January.

The report also found a new trend in adult oriented phishing. The phishing site tempts the unwary by promising free pornography after logging in or signing up. These scams affect users who enter their credentials in the hopes of obtaining pornography. Upon entering login credentials, the site redirects to a pornographic website before leading to a fake antivirus site containing malicious code. An incredible 92 percent of adult phishing scams were on social networking sites. The phishing sites were created using free webhosting services.

The report offers advice so familiar it beggars belief so many people are still falling victims. It talks about unsubscribing from lists, keeping your mail address secret, deleting all spam, avoid clicking on suspicious links and email attachments or replying to spam, don’t fill in forms online that ask for personal information and finally don’t forward virus warnings which are usually hoaxes. Spamming is a multi-billion dollar industry that relies on the truth of the hoary phrase that “there’s a sucker born every minute”.

Sunday, February 14, 2010

2010 election: Much ado about nothing

Sometime later year Australia will go to the polls to elect a federal government. Following previous precedents, the incumbent Labor administration will be returned to office with a similar majority it gained in 2007 or slightly less. Both sides of politics will portray this is a victory. For Kevin Rudd, there is the obvious success of being returned as Prime Minister a second time at an election – a feat only ever achieved by three Labor leaders (Andrew Fisher, Gough Whitlam and Bob Hawke). Meanwhile the Coalition will paint a narrow defeat as a success for their strategy of appealing to the right-wing base when it handed Tony Abbott the leadership in a three-way ballot on 1 December last year.

But first to Rudd, for whom the result will be the end product of three years of communications discipline and dedication to the task. This is something he learned from his predecessor John Howard, an equally ruthless electioneerer. Nothing else – be it the GFC, climate change, or reform in education and industrial relations - has come remotely close in Rudd’s everyday calculations. Ever since 25 November 2007, Rudd’s Government has been devoted to one task: how to stay in office in 2010.

Rigid control of communications is the key and Rudd’s closest acolytes are in his PR machine and kitchen cabinet (Gillard, Swan and Tanner). The downside of such a tightly-run communication strategy is that it has left Rudd looking inflexible, remote, humourless and without charisma. Having personally seen Rudd in action at one of the community cabinets in 2008, I can confirm that he is flexible, engaging, and humorous though he is never quite charismatic. But Rudd has been perfectly willing to sacrifice these attributes when dealing with the medium that still most decides elections: television.

His Government deserves credit too for mastering the strategy. With the possible exception of Peter Garrett (whose previous life allows him frequent gaffe credit points which he continues to spend at an inordinate rate), they have been a superbly efficient team that has also managed to successfully communicate the message du jour. And despite the fact that Rudd is a somewhat isolated figure within the party and not attached to any of the factions, they have offered resolute and unquestioning support for his leadership.

It is the matter of leadership which has been the Achilles Heel of the Opposition and a direct consequence of Peter Costello’s refusal to go down with the ship in 2007. Brendan Nelson was a lightweight who offered only comic value as leader. Malcolm Turnbull was a brilliant mind but too out of touch with the zeitgeist of the party and too arrogant to even see there was a problem. Joe Hockey ruled himself out with his ETS conscience vote (though I happen to agree with him that voting on climate change ought to be a primary matter of conscience) and fell between the two precarious stools of the party room.

That left Tony Abbott as last man standing. So far he has enjoyed a good run in the media which is keen to run with his pitch as a virile outdoorsy leader standing in stark contrast to the nerdy PM. It is a risky strategy that could alienate as much as it attracts but so far it is working well. Each photo op of Abbott's pre-dawn lycra excursions or weekend “budgie smuggling” manages to exude an air of virility that was lacking in previous Liberal leadership teams. It also acts as a distraction to the fact that the extreme right has taken over the party and he is surrounded by a bunch of ageing has-beens that looked tired in the Howard era and doesn't look any more inviting five years later.

Abbott is the same age as Rudd so will feel he has plenty of mileage ahead of him. It is unlikely he will want to stand aside as leader in defeat and if he manages to keep the majority of his comrades in office he will be regarded with affection by sitting MPs who thought they were heading to the slaughterhouse as recently as six months ago. But the net result of Abbott retaining power in the party is to make a Coalition victory in 2013 more unlikely. Though the 2010 political narrative has been about the success of Abbott’s aggressive “opposition to everything” approach, it cannot be sustained in the longer run and will make the party seem obstructionist and negative. No one will be listening to him in 2012 if he is still spouting on about a “great, big tax”.

Of course on one level, Abbott is on the money: an Emissions Trading System is indeed a “great, big tax”. But working properly, that is what it is designed to do. It is designed to make traditional means of creating power more expensive so that we move away to non-carbon alternatives. If he was really serious about tackling this problem, Abbott could go further and attack Labor’s hypocrisy over nuclear energy it is prepared to sell but not use. But Abbott is heart a populist without the stomach for a campaign against the large NIMBY opposition it would attract.

Make no mistake, if Australia is to have any chance of getting to 2050 with 80 percent emissions reductions it has to go nuclear - and soon, given the long lead times to build power stations. It may only be a temporary measure for 20 to 30 years while the technology to convert solar or wind energy for mass baseload is ironed out. But that doesn’t make it any less urgent. Or unfortunately any more likely. Rudd is perfectly aware of nuclear possibilities but his dedicated eye to election mechanics stops him from looking too closely at it. The Greens are also too blinded by their environmental purity to actually do anything concrete to solve the problem (witness how they dealt themselves out of the ETS debate last year). And so when scholars of the future look back on the 2010 election, all they will see is squandered opportunity and rank political hypocrisy across the spectrum. Happy voting.

Friday, February 12, 2010

Two months in: Thoughts of a new journalist

In the preface to his book “Not for Publication”, ABC journalist Chris Masters noted how the practice of journalism was imprecise. Masters said journalists are constantly in a rush “calculating the odds of what will become objective truth, based on limited primary information and intelligence.” Faced with this apparently insurmountable difficulty, Masters concluded that journalists survive only by “being right more often than not”. In this world of limitless possibilities and limited time and information, it is judgement that sets apart a good journalist from a mediocre one. (photo of Roma Saleyards by Derek Barry)

Barely two months into my career as a journalist, I have no idea yet which side of the fence I’m going to end up on. I’m confident that in the dozens of stories I’ve written so far I’ve been right more often than I’ve been wrong. But the wrong ones are more memorable because they have consequences that you know about. Very few people ring in to tell you how wonderful such and such a story was (though it has happened and I’m delighted when it happens). But I always know when I get it wrong. People ring in, write in or arrive at the office telling me exactly how and where I got a matter wrong. I’ve had people in tears, people irate, and people shaking their head at the obvious venality of journalists and all because I printed something in the newspaper that was wrong, or misquoted someone or misspelt a name or missed a vital detail.

Imprecision is a daily hazard in a busy environment. And the fact is that much of the news I report has unsavoury consequences for someone, so I can face abuse even when I get the facts right. The other day, a young woman crashed her car into a bottle tree on a nearby street. The car was a write-off but the woman wasn’t seriously hurt. We found out about it and took some photos of the ambulances and police. Someone told us her name and we printed that in the story including an eye-witness account that she was seen running across the road to where her boyfriend works.

Today the lady appeared in the office with her Mum and both were visibly upset and angry. The girl said we had made a laughing stock of her and “everyone knew about it”. Her Mum wanted to know why we printed the name when other reports didn’t have that detail. I defended the story as factually accurate and said we were duty bound to our readers to print the name if we knew it. After 15 minutes of heated discussion, they left slightly mollified but still very unhappy.

Are newspapers really that powerful still that my words can have such a reaction? The answer is obviously yes. I was in a pub last night where I struck up a conversation with a young Canadian lad who had just started in the oil industry here in Roma. He was initially willing to have a friendly chat but when I told him I was a journalist, he immediately clammed up. “I’m not allowed to talk to the media,” he told me. I wasn’t after him for a story but both he and I realised the conversation was finished. The oil and gas industries are not alone in their press paranoia. All the big companies and government departments here have similar rules. No-one from council (except the mayor, CEO and communications officer) can talk to me, nor can anyone from the department of health.

And so when there is a problem such as that arose last week at Roma Hospital with mass resignations of doctors, I found it difficult to get at an objective truth of what happened. I couldn't speak to anyone at the hospital and got shunted to a media unit in Brisbane where I got a carefully crafted, bland and heavily spun message that only vaguely approximated to the truth. It may not have been Queensland Health’s fault that the doctors resigned but their caginess in providing an answer only serves to increase suspicion there is a problem. And so media policies designed to keep an organisation “on message” usually turn out to be counter-productive. Journalists and the public become cynical when constantly provided a diet of unrelenting positivity. And those with a genuine grievance within the organisation will spill the beans anonymously (as has happened at Roma Hospital) and often with a lot more openness than if they were allowed to speak freely on the record.

I’m making it sound like I am not enjoying myself here and nothing could be further from the truth. I love the town and I am delighted people are reading my work and engaging with it. I get a kick out of that and hope that The Western Star is providing a genuinely useful service of describing Roma and the surrounding district to itself. But in the absence of objective truth, I certainly need to develop a thicker skin about criticism and get over my unrealistic desire to please everyone. It is simply impossible. But some things are possible. Getting people’s names right 100 percent of the time would be a useful start. It would not only eliminate a lot of criticism, it is also a basic courtesy to the reader.

Wednesday, February 10, 2010

Public service workers strike in Greece as austerity measures kick in

Greek public service workers have launched a nationwide strike in protest at government measures to tackle the country's crippling budget deficit. The strike has affected airports, schools, hospitals and government offices across the country as workers fight government attempts to freeze pay, impose taxes and reform pensions. It is the latest headache for beleaguered new socialist Prime Minister George Papandreou who had had to deal with a three-week protest by farmers demanding higher government subsidies. This week he has raised the average retirement age, frozen public sector salaries and increased taxes on petrol.

Greece's deficit currently stands at 12.7 percent which is four times higher than eurozone rules allow. Its debt is soaring towards half a trillion dollars with markets sceptical the country will be able to bail itself out. There is a strong possibility that Greece, Spain or Portugal will default on its debts and require them to either abandon the euro or get an EU bailout. European governments have agreed in principle to support Greece and are considering various options, including bilateral aid. German self-interest to keep the euro zone strong is likely to lead to an aid package from Berlin. It is also arguable Germany has a duty of care. Greece's troubles originated when low interest rates that were inappropriate for Greece were maintained to rescue Germany from an economic slump.

If the eurozone does not come to the rescue, a more desperate option would be to turn to the International Monetary Fund. The IMF has helped other eastern European countries like Latvia and Hungary in 2009 but it hasn't had to intervene in the eurozone. This would be a blow to the euro’s prestige and significantly the only support from the idea is coming from non-euro countries such as the UK and Sweden. Former Bank of England policy maker Charles Goodhart said that while such a move would be a precedent, the amount of money required to rescue the Greek fiscal position is relatively minor. “I would ask the IMF to come in,” he said. “From the European point of view, it’s the least bad option.”

There are also untested legal issues to deal with as there is no clear procedure for bailing out a euro zone economy. Article 122 of the EU treaty says the EU Council can decide "upon the measures appropriate to the economic situation", but should be used only if severe difficulties arise in the supply of certain products, notably energy. The treaty also states Council may grant, under conditions, financial assistance to a member state, if that state "is in difficulties or is seriously threatened with severe difficulties caused by natural disasters or exceptional occurrences beyond its control".

The problem is that it was the difficulties were not beyond Greece’s control. The Greek deficit got out of control due to a mixture of incompetence and deceit. Successive Greek governments had managed to pull the wool over the eyes of Brussels’ bureaucrats until the new Pasok Government doubled the projected GDP deficit from 6 to 12 percent late last year. Greece needs to raise almost $100 billion this year to refinance existing debt and keep paying salaries and pensions. Because most of that is front-loaded into the first six months, the government plans to raise 40 percent of it by April whatever the cost. To bankers this smacks of desperation and ratings agencies reacting by downgrading Greece’s credit rating thus making their loans even more expensive.

What the issue is bringing to the table are inherent problems within the eurozone. The currency cannot be devalued because the same currency is used by 16 countries with economies in wildly differing states of health. That means that while Greece’s ability to repay is being crippled by austerity measures, there is no way to lower the cost of the debt. Cuts inflicted on the eurozone's weaker economies highlight a fundamental weakness: the lack of a centralised budgetary mechanism, such as exists in the US, to move resources as needed around the EU. Gerard Lyons, chief economist at Standard Chartered said if monetary union is to survive, it has to become a political union. “If it doesn't there is likely to be some sort of implosion and a move towards a two-speed Europe,” he said.

Tuesday, February 09, 2010

Government gives $240 million bribe to commercial TV stations

Channel Ten and Seven shares have soared in the wake of the Government’s cynical bribe of the free-to-air commercial channels yesterday. Ten Network Holdings gained 8.9 per cent to $1.65 and Seven Network rose 2.1 per cent to $6.86 after the Minister for Broadband, Communications and the Digital Economy Stephen Conroy gave hefty licence fee “rebates” to the three commercial stations.

Under the deal, the Government will cut licence fees paid by the networks, which calculated at 9 per cent of gross advertising revenues, by 33 per cent for the 2010 financial year and 50 per cent for the 2011 financial year. The move will significantly boost the earnings for media groups Ten Network, Seven Network and Nine (the latter is owned by private equity company CVC and not on the share market). Instead of paying $286 million in licence fees they will pay $192m in 2010 and just $143m in 2011.

The grubby deal has Prime Minister Kevin Rudd’s hands all over it. He and Conroy brokered it with industry group Free TV Australia chair Wayne Goss, a close friend of Rudd and his former boss as premier of Queensland. The Australian says the deal is part of the post digital cutover negotiation. The government could earn a $1 billion when it sells the analogue spectrum after the digital cutover in 2013. Telecommunications companies want the spectrum to build high-speed fourth generation wireless networks.

But it is not hard to see a more immediate political agenda at work. As Glenn Dyer reminds us, this is an election year. Rudd has been toadying up to all the television networks of late in an effort to look good on what remains by far the more important communication medium available to him. It is unlikely the TV stations will be keen to give him bad coverage now that he has showered them in such largesse. Dyer said the deal is also a sweetener to keep the networks onside during the digital transition.

Fellow Crikey writer Bernard Keane (articled paywalled) is also deeply unimpressed. Keane says the free-to-air networks are already handsomely compensated for the transition to digital. These policies include a moratorium on competition until at least 2014, the award of free spectrum for digital take-up, the most restrictive sports anti-siphoning laws in the world, and a grant of $260m to regional broadcasters to offset digital transmission costs. There is also a 20 percent tax rebate for production costs. As Keane notes, “this is an absolutely wretched decision”.

However outrage has been relatively muted outside Crikey (with the honourable exception of Peter Martin). Needless to say, the television stations themselves are not going to badmouth the deal. On the contrary, the Free TV Australia consortium, which represents all of Australia's commercial free-to-air television licencees, welcomed the announcement. The body’s CEO Julie Flynn called it a recognition of the commercial’s key role in delivering Australian content. “Free TV broadcasters are the major underwriters of Australian content despite the challenge of competing media platforms and fragmenting audiences,” she said. “But it is clear that as we moved to a converged media environment the basis for the old system of licence fees needs to be reviewed".

Conroy himself also sought to sell the decision as content protection even though there was no new initiative in that direction. He said the rebate recognised the importance of ensuring TV audiences have strong levels of Australian programs. It also addresses problems with the digital cutover and the fact that licence fees in Australia are more expensive compared with other countries such as the US, UK and Canada. Conroy said the Australian Content Standard required commercial television broadcasters to produce and screen 55 percent local content between 6am and midnight, 7 days per week, and provides for the production of Australian drama and children’s programming. “Broadcasters have a unique role in preserving our national culture and the commercial television sector invests hundreds of millions of dollars each year in the production of local content,” he said. “New media platforms are bringing a wealth of choice to Australian viewers, but the Government recognises that Australian television broadcasters have an important role in ensuring that Australian stories remain at the centre of our viewing experience.”

The Pay TV peak body Astra called the tax-breaks anti-competitive and against consumer interests. ASTRA’s Chief Executive Officer Petra Buchanan said taxpayers were subsidising foreign-owned broadcasters to meet existing broadcasting obligations. “It is couch potato policy that reduces their incentive to invest compete and innovate,” she said. “By using taxpayers’ money to prop up the old players, innovation and competition in the television space will continue to be curbed.” Buchanan is right to be outraged. This deal is bad as anything extracted during the Packer era and stinks to high heaven. Labour and the Opposition (which also supports the deal) ought to be ashamed of themselves.

Monday, February 08, 2010

Pew finds the young are deserting blogging for social media

A new report from the Pew Internet and American Life project has found blogging has dropped among teens and young adults while simultaneously rising among older adults since 2006. The findings suggest that as blogging has matured as a practice, so has its practitioners. The survey was conducted as one of a series of reports undertaken by the Pew Research Center to highlight the attitudes and behaviours of American adults ages 18 to 29. The report brought together recent findings about internet and social media use among young adults and situated it within comparable data for adolescents and adults older than 30. Pew surveyed 800 adolescents and 2,253 adults in 2009 to get their data. (photo:eurleif)

The report found the Internet is a crucial “central and indispensable element” of the lives of American teenagers and young adults. 93 percent of teens between the ages of 12 and 17 went online, a number that has remained stable for three years. Nearly two-thirds of teen internet users go online every day. Families with teenage children are also most like to have a broadband connection (76 percent and up 5 points since 2006). It will probably surprise no one that the older you get, the less likely you are to be connected to the net. 74 percent of adults use the internet. But that number is skewed because younger adults (18-29) go online at a rate equal to that of teens (at 93 percent).81 percent of adults aged 30-49 are online while just 38 percent (but still rising) of those over 65 are hooked up.

Use of gadgets
is on the rise as the Internet increasingly moves away from the desktop and onto mobile and wireless platforms. But again the growth is skewed towards the young. In September 2009, Pew asked adults about seven gadgets: (however they listed just six: mobile phones, laptops and desktops, mp3 players, gaming devices and ebook readers). On average, adults owned just under three gadgets. Young adults of age 18-29 averaged nearly 4 gadgets while adults ages 30 to 64 average 3 gadgets. But adults 65 and older on average owned roughly 1.5 gadgets out of the 7.

While the desktop or laptop remains the dominant way of getting online, newer ways of connecting are making headway. More than a quarter of teen mobile phone users use their cell phone to go online. A similar number of teens with a game console (PS3, Xbox or Wii) use it to go online. One in five owners of portable gaming devices uses it for Internet access. Perhaps surprisingly white adults are less likely than African Americans and Hispanics to use the internet wirelessly. African Americans are the most active users of the mobile internet, and their use is growing at a faster pace than mobile internet use among whites or Hispanics.

Less of a surprise is the fact that teens are avid users of social networks. Three quarters of online American teens ages 12 to 17 used an online social network website, a statistic that has been growing at 7 percent each year since 2006. Teenagers are also more likely to use it as they get older. While more than 4 in 5 online teens ages 14-17 use online social networks, just a bit more than half of online teens ages 12-13 say they use the sites. Pew says this may be due to age restrictions on social networking sites that request that 12 year olds refrain from registering or posting profiles, but do not actively prevent it. The other notable statistic is that differences in gender are evening out ending the previous dominance of girls on social networks.

Usage of social networks stays constant in the 18-29 age group but then drops off rapidly for those over 40. Adults are also more likely to have profiles on multiple sites. Among adult profile owners, Facebook is currently the social network of choice; 73 percent of adults now maintain a profile on Facebook, 48 percent are on MySpace and 14 percent use LinkedIn. Analysis by education and household income show that support for Facebook and LinkedIn rises with both factors validating Danah Boyd’s research into the subject.

The news is not so good for Twitter. Pew’s September 2009 data suggest teens do not use the microblogging platform in large numbers. While one in five adult internet users ages 18 and older use Twitter or update their status online, teen data collected at a similar time show that only 8 percent of online American teens ages 12-17 use Twitter. Pew did add a rider to say the question for teens was worded quite differently from how the question was posed to adults so the results are not strictly comparable. With adults there was a sliding scale of Twitter usage with age. 37 percent of online 18-24 year olds use the platform compared to just 4 percent of over 65s.

But while use of all other web2.0 platforms was on the rise among the young, the striking exception was blogging. Teenage blogging has dropped from 28 percent to 14 percent of all users in the last three years. The decline spreads to commenting on other blogs. 52 percent of social network-using teens report commenting on friends’ blogs, down from 76 percent commenting in 2006. Young adults show a similar decline. However blog as a whole had not declined as there has been a corresponding increase in blogging among older adults. The hard work involved in blogging is increasingly becoming an old person’s game.

Sunday, February 07, 2010

Nagorno Karabakh: Tensions escalate in the Black Garden

A senior US government official has described the unresolved conflicts of the Caucasus including Nagorno-Karabakh as one of the “most likely flashpoints in the Eurasia region”. Director of National Intelligence Dennis C. Blair was speaking to the US Senate Select Committee on Intelligence at the open Hearing on “Current and Projected Threats to the United States when he made the statement. But while events in Abkhazia and South Ossetia have gotten plenty of media attention in recent times, the “frozen war” between Armenia and Azerbaijan has fallen off the radar. (photo: Matthew Collin)

Blair said the war (dormant since 1994) may heat up again due to the complications of local international relations. There has been some progress in the past year toward Turkey-Armenia rapprochement, however this has affected the delicate relationship between Armenia and Azerbaijan, and increases the risk of a renewed conflict in Nagorno-Karabakh, Blair said. There was hope that the Turkey-Armenia border would be opened for the first time since 1993. But Turkey is baulking at Armenian calls to recognise the 1915 genocide and Turkish Prime Minister Recep Tayyip Erdogan has boxed himself in by proclaiming that the protocols for reconciliation will not be implemented until Armenia withdraws from occupied Azerbaijani territory.

That prospect seems extremely unlikely. Just how far away the sides are, was exposed in the somewhat surreal announcement this week from The Moscow Times that Armenia and Azerbaijan have “agreed on a preamble to an agreement” on the conflict. The principles of the agreement, first proposed in 2007, would see Armenia returning territories occupied by its troops that lie outside Karabakh proper to Azerbaijan but leaving a corridor linking Armenia with the disputed enclave on Azeri soil.

It is appropriate the Russians try to fix the problem as they caused the mess in the first place. The original name for the area in both Armenian and Azerbaijani was Karabakh (or Garabag) which meant “black garden”. Long a melting pot of Turkic, Armenian, Persian and Azeri influences, the area was subsumed into the Russian Empire in 1828. Under Russian influence the Muslim population declined as more Armenians moved into the province. After the Russian Revolution, the region descended into a series of wars that involved the Armenians, Azerbaijanis and British (who had defeated the Ottomans). Eventually the Red Army took over. Despite initial promises to give the province to Armenia, Stalin awarded it to Azerbaijan to placate a hostile Turkey. Under Soviet rule the appellation “Nagorno” meaning highland or mountainous was added to the name.

Under the Communist ideology, issues of nationalism rarely floated to the surface but tensions remained through the 20th century. As the union began to break up in the late 1980s the Azeri government took advantage by beginning ethic cleansing in the town of Askeran. But when the local legislative body voted for a union with Armenia, the area erupted in all out conflict. Over the next five years, more than a million Azerbaijanis and Armenians were driven from their homes and 30,000 people died.

The Russians negotiated a ceasefire in 1994 which holds tenuously to the present day. As a result of the conflict, Nagorno-Karabakh and seven surrounding districts (which represents 20 percent of Azerbaijan's territory) remain occupied by Armenian armed forces. The capital Stepanakert has been rebuilt, with financial support from Armenia and the huge Armenian diaspora. Peace talks have been the responsibility of the so-called OSCE Minsk Group co-chaired by Russia, US and France. The Group has been attempting to broker an end to the dispute for over a decade. In 1997 they tabled settlement proposals seen as a starting point for negotiations by Azerbaijan and Armenia but not by the de facto authorities in Nagorno-Karabakh itself. When Armenian president Levon Ter-Petrosyan tried to encourage the enclave to join the talks he was forced to resign amid cries of betrayal.

In 2006 Nagorno-Karabakh held a referendum which voted for the approval a new constitution and referred to itself as a sovereign state. Azerbaijan declared the poll illegitimate but continued to talk peace. However tensions have risen in recent months after a series of tough statements from Ilham Aliyev, Azerbaijan's long-term dictatorial president. Aliyev has been growing in confidence as energy-rich Azerbaijan has been using some of its huge revenues from oil and gas sales to fund massive increases in defence expenditure. He had now warned that if peace talks don't deliver results, he could order a new offensive to retake Nagorno-Karabakh and the areas around it. Aliyev told euronews.net military action was “a fundamental right of Azerbaijan”.

Saturday, February 06, 2010

Flooding in Roma

The area of Roma I'm living in is doing a passable imitation of Venice at the moment. At around 5pm yesterday evening the normally trickling Bungil Creek peaked at 7 meters. It was enough to burst the banks and flood over the two bridges near my house. The roads around me became rivers and the gardens turned into swimming pools. So far, it is hasn’t been high enough to get into the houses but the Bureau of Meteorology is saying we are not finished with the rain.

The speed was a bit of a shock to me though the warning signs had been growing all week. We’ve had several decent falls during the week and the creek had been steadily getting higher. The cyclepath along the creek has been impassable since Monday but I still wasn’t expecting the water to get to the road level.

There was another huge downpour late on Thursday night and it was starting to wreak havoc Friday morning. I got up to go to work and had to cross the creek to get to Roma’s town centre. The waters had burst the banks and the bridge was under water. That was what the sign said ‘road under water’ not ‘road closed’. Nevertheless I wasn’t keen to drive across in my 2WD car until I saw someone else do it safely. I cagily followed the car across the bridge without incident.

When I got to the office, it was clear the town had suffered storm water drain damage during the night. The waters had gone down but they left the pavements caked with mud and very slippery. In the height of the downpour, some of the drains started to overflow and spilled water onto the lower side of the street. It was the second time this week that had happened. To be on the safe side I parked on the higher side in case it should happen again.

In the office the news soon came through from the SES they were expecting the floods to be bigger than 1997’s version. I knew immediately it was going to be a big day. A few weeks ago I’d done a retrospective in the paper about Roma floods of the past and the 1997 pics were impressive. As were the ones from the several flood events of the 1980s. Much of inland Australia is on a floodplain and Roma is no different. It has been flooded often enough that it caused a 19th century move of the town centre away from the creek.

I figured I would be taking lots of photos for the 2010 flood event so decided I needed to be dressed appropriately and drove home for a change of clothes. The bridge over the creek was now closed but there was a back way via a second higher bridge. I got past a couple of places where the road was “under water” but it was just safe enough to get through. When I got home, the waters were approaching the gate and my landlady was moving everything upstairs that needed to be kept dry. I grabbed a t-shirt, pair of shorts and thongs (footwear, just in case anyone is wondering) and headed back to town the way I came.

On Bungil St just south of where I lived the creek had also flooded the road. The problem here was that there was no other passable road in for those who lived on this street east of the creek. There was one other way in on foot via the Big Rig and I decided to check that out. The Big Rig celebrates Roma’s oil heritage and there is a kiddie train that goes over a footbridge on the creek. The waters had not risen that high and I crossed the footbridge to get to the east side of Bungil Road. I also had to cross the waterlogged sports grounds but it was easy enough barefoot.

The locals I met all looked happy and seemingly unfazed by the rising waters that were starting to get into their gardens. One owner admitted he did not have flood insurance but the atmosphere was almost party-like as they gathered around to admire the novelty of the rising waters. Only once was my own equanimity challenged when some kid casually asked me (perhaps hoping for a reaction) “had I seen a snake?” I said I hadn’t and he told me he’d only seen a baby one. I guess the waters would be flushing them out a bit.

There was an SES boat on hand to ferry people back to the “mainland” west of the creek but that was only being used by a few people to get to the shops or pick up kids from school. No-one was evacuating here just yet. One guy in his 80s was glued to his radio and swore loudly at the council who “couldn’t effin well tell him when the waters would peak”.

In this little field trip I had a camera but left the note pad in the car. I waded back to the footbridge (now extremely wary for snakes) and decided to go back to the office to download the photos. But before that I decided to check out the creek crossing on the main Brisbane road into town. Here the waters were flowing rapidly but just below the bridge so traffic wasn’t affected. While taking photos from the bridge, another 80 year old man joined me. I'd met him before and he sat down on the barrier next to me and chatted about floods past.

He had a cane which he twirled around to add dramatic effect to the stories he told. However I was worried because the shoulder on the bridge was narrow and I thought he would wave it into oncoming traffic which he had his back turned to. This was particularly dangerous whenever the occasional massive road train would shudder past us at 70kph barely a metre away. When I warned him of the impending danger, he pointed his cane imperiously at the dividing line on the ground and said “they can’t come past that”. True, but I was more worried about his cane in the air than on the ground.

Anyway, neither of us came to harm and I went back to the office. The other journalist had been out taking photos too and we compared notes before I headed back to the Creek. Again I went over the footbridge at the Big Rig and waded across the waterlogged grounds. Immediately I noticed the road had been become more flooded in the hour or so I was away and nearly every garden was inundated. Still the mood was optimistic and no house was yet flooded as far as I could tell. One owner on a side street pointed to the brackish water outside his house and said that meant it had peaked. But a few minutes later the SES guys with the boat told me the waters were still rising.

As the rain returned, I went back to the western side of the creek for some more photos. The Emergency guys there told me the creek was now up to 7m and still rising. As if the sight of roads resembling rivers wasn’t surreal enough, a rainbow rose above the scene. It was another picture to add to a great collection today. Finally around 6pm I decided to get back home on foot. I went over the creek bridge that was not overflowing but by now all the access roads to my house were closed. I had to walk back barefoot on the centre of the road as the water rose to waist level in parts.
At my house the waters had crossed the gate and waterlogged the entire garden. The water level had risen to the first of three steps into the house. Although the waters receded again overnight, they are still predicting rain for the next three days and it won’t take much for the inundation to rise further. One thing I’ve learned over the last few days is to not be surprised what water can do.

Thursday, February 04, 2010

Rajapaksa consolidates power after Sri Lankan election win

Sri Lankan President Mahinda Rajapaksa chose the nation’s first independence day since the end of the civil war to call on the Tamils to work with the government but he ruled out self-determination. Rajapaksa spoke in Tamil in Kandy today where he appealed to the ethnic minority to “solve our problems ourselves through discussions”. He said independence day had assumed greater significance as it was the first since the defeat of Tamil Tiger rebels last year."The freedom from colonial rule that we gained 62 years ago is now more meaningful because we have been liberated from the forces of separatist terror that marred our freedom for nearly half that period," he said. The speech was his first public address to the nation since his re-election as president last month. (photo credit: AP/Eranga Jayawardena)

But the international Tamil community is no mood to quickly forgive the Singhalese leader after his brutal suppression of the 25-year uprising last year. The Australasian Federation of Tamil Associations said the Tamil Diaspora continues to mourn Independence Day as it marks the beginning of national oppression. It says when Britain granted independence to Sri Lanka in 1948, it failed to provide a federal arrangement for Tamils and Singhalese to share political power. They say this paved the way for the majority to systematically and consistently discriminate and brutally oppress the Tamils and led to the struggle that followed. “The Sri Lankan state’s genocidal attack on the Tamil people in 1983 lead to a 26 year long armed conflict that ended on 18 May 2009 with the defeat of the Liberation Tigers of Tamil Eelam,” they said.

Similarly the British Tamils Forum dismissed Rajapaksa's claim to want to resolve ethnic tensions. Suren Surendiran, a senior member of the Forum told Al Jazeera Rajapaksa has been saying that forever. "Mr Rajapaksa has proven to be a very oppressive and discriminating president. The Tamils are not celebrating today as an independence day,” he said. “Rajapaksa was not voted in the north and east, where the Tamils are - it's their land."

And while Rajapaksa was probably appealing in vain to the Tamils in the centre of the country, back in the capital 5,000 supporters of his defeated opponent, former army chief General Sarath Fonseka, took to the streets to protest the results. Rajapaksa has sacked a dozen senior military officers in the aftermath of the election. He accused the officers of breaching military discipline and siding with Fonseka. He also said they were plotting to stage a coup and assassinate him. Some of the officers were arrested after troops surrounded a hotel in Colombo last week claiming there were army deserters inside. Sri Lankan Foreign Minister Rohitha Bogollagama said it was a pre-emptive action by Fonseka. “[They were] trying to occupy premises in the city,” he said. “These are not done in a democracy.”

At a news conference on Saturday Fonseka strongly denied the claims of a coup but said a number of army officers had given him inside information during his campaign. “The information given by these officers pertained to efforts by the campaign managers of Mr. Rajapaksa to defame and assassinate me,” he said. Most of the officers forced to resign were closely aligned to him. In the election on 26 January, Rajapaksa defeated him by a large margin 58 to 40 percent.

According to the BBC there were a number of factors that helped Rajapaksa win so easily. They cited his “fiery rhetoric and sure popular touch” as well as his emphasis on the primacy of his role in last year's war victory. There is also little doubt that ordinary people's sense that their streets are safer than they have been for the past 30 years played a major role. But the Tamil minority voted in the main for Fonseka and ethnic tensions remain as strong as ever despite the end of the war.

There are also fears of a crackdown on democracy now that Rajapaksa has the best part of another seven years to rule the country. Media and human rights groups accuse him of closing and blocking news outlets and harassing, assaulting and detaining journalists who it claims were biased towards Fonseka. Human Rights Watch say that since the election authorities have detained and questioned several journalists, blocked news websites, and expelled a foreign journalist. At least one journalist has been assaulted and several have been threatened. HRW Asia Director Brad Adams said he feared the crackdown was just the beginning of a campaign to get rid of critical voices before the parliamentary elections due on 22 April. "Sri Lanka's friends should tell the government that any crackdown on civil society will harm future relations,” he said.

Wednesday, February 03, 2010

Mad Monckton and the media

Christopher Monckton’s mad-stare eyes should be a giveaway. As they rotate maniacally on high spin cycle, they present to the world a mirror of a tortured soul hell-bent on washing peculiarly dirty demons in public. Monckton is on a mission to show he is right and thousands of scientists are wrong. And the public and media hacks he is speaking to on his current Australian tour are desperate to hear what the “Lord” has to say.

It is no accident that those who flock to hear Monckton are white, elderly and wealthy. They like their life as it is and don’t want any inconvenient truths disturbing their repose. Nor will they be around long enough to face up to the consequences. Monckton’s shtick is a grab-bag of half-truths, innuendo and hints of world government that his troubled audience lap up. The trouble about climate change is once you know it to be true, you are compelled to act on it. Hence the importance of the soothing balm telling people "don’t worry, it doesn’t exist and there is no reason to change what you are currently doing". Monckton is an expert in this field of reassurance towards inertia. The 3rd viscount Monckton of Benchley in Kent is a slick audience operator imbued with the confidence that comes with his deep upper-class pedigree and a colourful history of his own showmanship to back it up.

Appropriately for such a quixotic character, Christopher Walter Monckton was born on St Valentine’s Day in 1952, the first son of Major-General Gilbert Walter Riversdale Monckton 2nd Viscount Monckton of Brenchley, CB, OBE, MC, MA, DL. Christopher’s grandfather was a lawyer and politician born plain old Walter Monckton but was wealthy enough to be educated at Harrow and Oxford. After advising Edward VIII in the abdication crisis, and putting out propaganda for Churchill in the war, he was elected to Westminster as a Tory MP in 1951. After serving as a senior government minister for six years he blundered by opposing Eden on Suez and was put out to pasture. His reward was the viscountcy Monckton of Benchley which he held till his death in 1965.

His war hero son Gilbert inherited the honour which entitled him to a seat in the House of Lords. There he spoke up for rural and military interests and left the Tory Party when they started cutting back on military spending. When he lost his lifetime seat in Tony Blair's constitutional reforms during the Hunting Bill, his manifesto for election to the House supported the muzzling of cats to stop the torture of mice. But Gilbert failed to live up to the mad peer stereotype other than occasionally flaunting his habit of wearing Arab dress and preparing his own brew of Arab coffee.

When Gilbert died in 2006, eldest son Christopher became the 3rd Viscount Monckton of Brenchley. Like both his forebears he was educated at Harrow but follow his father to Cambridge. Also like his father Christopher failed in his bid to be elected to the House of Lords and did not pick up a single vote in the 2007 by-election he contested. But this was not his first brush with politics. After he left Cambridge in 1974 with an MA he became a journalist and joined the pro-Conservative think tank the Centre for Policy Studies. His paper on the privatisation of council housing attracted the attention of the Thatcher Government and he worked for the Downing St policy unit for four years.

In 1986 he returned to journalism, first at Today then at the Evening Standard. In 1999 Monckton became briefly prominent for his board game called the Eternity Puzzle. 209 irregularly shaped pieces were required to fill the 12-sided puzzle and Monckton offered a prize of £1m to solve it. Although Monckton said he had to sell his £1.5m Aberdeenshire mansion to the eventual winners, he more than recouped this amount thanks to his clever marketing of the game and its reward.

Since he got his peerage in 2006, Monckton has been most closely associated with pushing the line about a global warming conspiracy. He took issue with the Stern Report, the IPCC and the British Labour government all of whom he accused of "creating world government". He claimed the changes in temperature preceded the changes in CO2 levels and said the UN ignored the medieval warm period. He said the Antarctic has cooled and gained ice-mass in the past 30 years. He said the sun caused what little global warming there was. Although there was not a single peer-reviewed scientific paper that backed any of this up, newspapers like the Daily Telegraph lapped it up and gave Monckton credibility and a wider audience.

Monckton is slowly getting the gravitas he has craved despite having a head full of crackpot ideas. Among these is that upon reading Rachel Carson’s A Silent Spring Jackie Kennedy forced her then husband President John F Kennedy to ban DDT which Monckton said “caused the death of 40 million people”. He also got away with telling many hopelessly underprepared Australian journalists he won a Nobel Peace in 2007, a lie he later laughed off as a joke.

But Monckton has turned himself into a walking joke. He revels in the role of poster boy for the far right which cannot accept the truth of global warming because that would mean accepting political opponents were correct. Monckton and his coterie are on an apparent roll. A pessimistic George Monbiot wrote in November: “There is no point in denying it: we’re losing. Climate change denial is spreading like a contagious disease.” But as his Australian trip is proving, Monckton’s contagion is limited to fellow-travellers among the media and the self-funded retirees. Not a single scientist has emerged to back him up. As even the conservative pro-farmer Fairfax publication The Land has realised, he is only preaching to the converted.

Monday, February 01, 2010

Rudd Government issues Intergenerational Report

The Rudd Federal Government has issued its first Intergenerational Report since taking power in 2007. The report assesses the fiscal and economic challenges of an ageing population as well as discussing associated environmental challenges and social sustainability. The tone of the document is set by its first sentence “Australia faces significant intergenerational challenges”. Bernard Keane called it a political document in an election year showing Labor's long-term economic reform agenda and how much of a threat the Coalition is to Australia.

Treasurer Wayne Swan launched the report today with a speech to the National Press Club in Canberra. Swan said the government was deliberately beginning “a big national conversation” on the topic of ageing. “When you're a baby boomer like me – and like many of you in this room – you never read a document with the year 2050 in it without some sober reflection on your own place (more likely, your lack of a place) in it,” Swan said. But Swan would not be alone in his swansong. By 2050 23 percent of all Australians will be over 65 – doubled the current number and 6 percent will be over 85 –quadruple the current number. The author of this blog is chastened to note he will just about fall into the latter category if still alive in 2050.

One in four over 65 means fewer workers to support retirees and young dependants with obvious effects to economic growth and increased demand for government services. The report overview says that a growing population will help manage this problem but at the cost of pressure on our infrastructure, services and environment. It also acknowledges climate change is one of the most significant challenges to long-term economic sustainability and says Australia's ability to meet these future challenges depends on “adjustments” taken now. These include increasing productivity and participation in the workforce, restraining unsustainable spending growth, planning for demographic change and tackling climate change.

The key mantra of the report is “responsible economic management” which at first glance is one of those terribly meaningless statements. After all, who would admit to following irresponsible economic management? But this particular version is informed by the three Ps: productivity, participation and population. Productivity is a walking Labor election platform based on “nation building infrastructure, skills and education” but it is astutely complemented by the traditional Liberal values of “sound monetary and fiscal policies and the microeconomic reform agenda”.

Fiscally that means capping real growth in spending to 2 per cent until the budget returns to surplus. The last budget estimated that it would be at least 2016 before surplus returned so it effectively caps real growth for the foreseeable future. The document blithely says this will “bring structural improvements to the budget, reducing the fiscal pressures of ageing and escalating health costs.” What the document does not say is what will happen to spending if the economy does not grow or there is another recession.

Health Reform and the CPRS were another two key planks of the report. The government said it has set up the National Health and Hospitals Reform Commission to assist with reforming the health and hospitals system. However the NHHRC recommendations have not yet been taken to COAG and there is some doubt they will fix the problems of public hospitals if a large central agency continues to tell hospitals how to treat their patients. The CPRS is also problematic not least because the Rudd Government is no closer to getting its legislation through the parliament.

The document forecasts a total population of 36 million in 2050 (currently 22 million). While the increased numbers will benefit the economy, it puts pressure on infrastructure, services and the environment. The report cites the CPRS and water reform as critical success factors in managing this problem. It says that without climate change action there will be an increase in extreme weather events, irrigated agriculture in the Murray-Darling Basin would cease, water supplies will decrease to dangerous levels and national icons such as the Great Barrier Reef will probably be destroyed. This is all true, but it is difficult to see how the Government’s weak CPRS will have much affect despite the backup of the Renewable Energy Target and the $4.5 billion Clean Energy Initiative.

Tax reform is another intriguing aspect of the report. The government plans to release the Australia's Future Tax System Review (commonly known as the Henry Review) early this year which it says “will lay out further steps for reforming the tax and transfer system to make it fairer, simpler and more competitive.” It says tax reform will be a 10-year project “likely to come in waves and will be conducted with extensive consultation.” It also notes drily “reform will not be easy.” Especially with a watching media determined to extract maximum value from judging winners and losers.

The report serves many sometimes conflicting ambitions. On the one side there is the need to continue economic growth but there is no acceptance that economic growth is a leading indicator of global warning. Similarly the difficulties of a rapidly growing population are touched on but it never really explains how the infrastructure challenges are going to be met – again without acknowledging the likely environmental impact. This is not to denigrate the report too much, it is a worthy document demanding of some respect and debate. Writing at the ABC, Stephen Long quoted one economist saying the report was “Thomas Malthus meets John Maynard Keynes.” But perhaps they both should meet James Hansen. Neither Malthus nor Keynes had to worry about living in a world where carbon dioxide emissions are rapidly approaching 400 ppm. That fact is the elephant in the Intergenerational Report.