Interview with Jim Middleton, Newsline

Transcript, E&OE, proof only

Subjects: Foreign diplomats' visit to Queensland, ASX merger, domestic politics, Libya

6 April 2011

JIM MIDDLETON: Foreign Minister Kevin Rudd has spent much of the past few months criss-crossing the globe. Among other things, pushing the case for a no-fly zone in Libya.

But today, he's in Queensland leading a delegation of more than 70 foreign diplomats on a visit designed to demonstrate just how quickly the state is recovering from devastating floods at the beginning of the year.

Foreign Minister, welcome to the program.

KEVIN RUDD: Thanks for having me on the program.

JIM MIDDLETON: Did this large contingent of diplomats visiting your state get the message, floods and all, Queensland is back in business?

KEVIN RUDD: I believe so, because I spent a lot of today with them and I'll spend a lot of tomorrow with them, and the day after in far north Queensland.

The purpose is very simple. Around the international community, when people looked at the floods in Queensland back in January, they saw the extent of the devastation, the extent of the water. Unfortunately, many of them also concluded that had fundamentally wrecked the Queensland economy. That is not the case.

In fact, the Queensland economy is firing along very well. And a large slice of the reconstruction effort has already occurred in terms of all the core economic infrastructure.

So, the message is, essentially, one to the international community, through their diplomats in Australia, to say, 'Queensland is back in business, it's open for business and we want to do business with you.' And that includes tourism as well.

JIM MIDDLETON: Yeah, speaking of tourism, it is a very important industry for Queensland. You'd have to be worried though that the very high value of the dollar may be doing more damage to that in terms of attracting foreign visitors than even the floods did.

KEVIN RUDD: Well, let's just call a spade a spade. I mean, the high dollar affects the export competitiveness of our tourism industry. It also affects the export competitiveness of the sale of Australian education services as well.

We, therefore, simply need to be better at that which we do, given that we don't, by administrative fiat, adjust the Australian exchange rate.

But the bottom line is this: on tourism, there is a particular additional factor, and to some extent, with education services when it comes to Queensland. As many people saw, for weeks on end, this massive water across my own home state of Queensland and concluded that the wreckage was so great that you couldn't possibly come back here on holiday. Furthermore, it would be unwise to come here and do business or send your kids here on study. All those things are, of course, wrong.

So, the key message for tourism and for business, more broadly is, the state's back in business, it's open for business and we want to share our fantastic golden beaches with anyone from the region and beyond who needs to have a family holiday in what is a great family holiday destination.

JIM MIDDLETON: On another subject, the Australia Government appears to have shoved the door on the proposal for a merger of Australia's stock exchange with the - its Singaporean equivalent. As Foreign Minister, are you concerned that Singapore might see this as an example of Australian xenophobia overtaking business and economic opportunity. What can you do to straighten them out?

KEVIN RUDD: Well, the first thing I'd say is this, the Treasurer has made it very clear in his statements in the last 24 hours that the Foreign Investment Review Board has provided a unanimous recommendation on this matter, that he has sought further views from the investment proponents, and that he'll make his final decision known in the days ahead. And that's according to proper process when it comes to considering any significant foreign investment proposal, which this obviously is.

The second point though I'd make is, when it comes to Singapore, when it comes to Australia, these are two countries which robustly act in their national interests.

The Treasurer's required to answer national interest criteria when he assesses any foreign investment application, including ones for such a substantial merger of the two exchanges.

My knowledge of Singapore is that Singapore robustly acts in its national interest whenever it sees the opportunity to do so. So does Australia. But let's see how the Treasurer finally determines the outcome on this one.

JIM MIDDLETON: Now to an issue which has created a degree of interest, certainly, in Australia, but also in the region too. Your mea culpa this week on your about-face on a carbon emissions trading scheme in 2007 when you were Prime Minister, your successor says she wants her ministers to, quote, 'be out there explaining and promoting government policies'. How does volunteering that in 2007 some Cabinet ministers wanted to ditch the ETS entirely assist in that cause?

KEVIN RUDD: Well, the first thing I'd say is that I was posed a pretty direct question on an ABC program the other night, Q&A, about my attitude to that decision which, by the way, was in 2010, not 2007. And that decision was one to delay the implementation of the Emissions Trading Scheme by two years, effectively through until 2012. And the reason for that, in part, was that we couldn't gain the numbers in the Senate until the middle of 2011 following an election, and our ETS had been knocked back by the Australian Senate through the conservatives' domination of Senate on two occasions already.

That's the background to this. I was asked a direct question: did I get my judgement wrong on this. And I said, yes, I had. Honest answer to a question posed to me directly.

On the other part of your question, which is the government's policy in relation to putting a price on carbon, I've said on multiple occasions that I fully support the government's resolve to do that. It's important. Climate change science is real. Australia must act nationally. You must act through putting a price on carbon, and it requires international action as well.

These two things are entirely consistent with one another. One referring to the period under which I was Prime Minister, the second referring to the period of this new government under the prime ministership of Julia Gillard where I am out there supporting a price on carbon, as are other ministers.

JIM MIDDLETON: You're quite right, it was 2010, not 2007. But I do recall plenty of times when you - in other roles that when you've been asked direct questions, you have found ways of addressing them more diplomatically, if I could put it that way.

The Prime Minister appears to have given you a free pass, saying that you will sometimes be asked questions, you'll sometimes answer them. Will you keep using that freedom?

KEVIN RUDD: Well, the bottom line is this: you've got to ask yourself a question in terms of the prime ministership of Mr Howard, the prime ministership of Mr Hawke, and the period of which I've been Prime Minister, you're going to ask questions about your record and what you've achieved, or what you may have failed to achieve. And it's important that, as appropriate, that persons in those positions answer those questions in the context of setting the record straight. I reaffirmed that again today.

JIM MIDDLETON: Is it more important though to set the record straight from your point of view about your period as Prime Minister, even if it undermines the ability of the government to sell, to promote the policies that it is presenting right now?

KEVIN RUDD: In terms of the events of 12 months or so ago, as I said, from time to time, as the Prime Minister of that government in 2007-2010, if questions arise in terms of the accuracy of what transpired, as appropriate, I will engage that debate to ensure the record is set straight.

It's a robust business. There are always a diversity of views, as there were in that period. I've reflected on - I've reflected that in my comments the other night. I'm also underlying very clearly my absolute support for the government's position now to put a price on carbon, which the conservative Opposition continue to oppose.

JIM MIDDLETON: One final issue. You were very enthusiastic and early advocate of multilateral military action against the Libyan regime of Muammar Qaddafi. There is increasing concern being expressed among the rebels that the forces, the multilateral - multinational forces are not doing enough.

Do you worry that if this mission fails, that the well-being, the kind thoughts that have been delivered towards the international community might rebound and that the Middle East could return to its default position of seeing the West as being the cause of all its problems?

KEVIN RUDD: The bottom line is, the international community has acted. It agreed on UN Security Council resolution 1973. What did that authorise? All necessary measures by participating states to protect the Libyan people against the prospect of attack from the Libyan regime. And that's why you've seen multiple NATO forces participating in that military action.

Secondly, what we've heard from the chairman of Joint Chiefs of Staff, United States, is that, so far, 25 per cent of the military assets of the Libyan regime have been destroyed.

Thirdly, we have the defection, in effect, of the Libyan Foreign Minister, together with other members of the regime.

This is not trending well at the moment for Colonel Qaddafi, though Colonel Qaddafi has come back from worse before.

All I would say is, the international community must maintain its resolve.

JIM MIDDLETON: Foreign Minister, thank you very much.

KEVIN RUDD: Thanks very much, Jim.

ENDS

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