Category: AUSTRALIAN

Source: BusinessSpectator

The consumer price index for the September quarter confirmed Australia’s annual inflation rate at 2.2 per cent. It is yet another low outcome, locking in another reading where inflation has been within the target band for the Reserve Bank of Australia.

While the wages data are not due for release until next month, it is all but certain that they will exceed the 2.2 per cent inflation rate (the Labour Price Index will probably rise 3 per cent or a touch more). This will lock in another year of rising real wages.

Indeed, for more than a decade, Australian workers have enjoyed rising real wages, which has seen cost of living pressures continuously ease and purchasing power rise – lifting Australian’s living standards to among the highest of any country in the world.

The 2.2 per cent inflation rate is, as always, made up of a very diverse range of price changes, both up and down, and some of these are worth digging into to see how the average consumers’ purchasing power is changing.

The items within the CPI that recorded some big price rises over the past year are probably obvious.

Tobacco prices jumped 9.2 per cent, which in large part is due to the higher government excise. Chicken prices rose 4.5 per cent while egg prices were 3.2 per cent higher, proving that the chicken came first? The price of breakfast cereals was up a healthy 4.3 per cent.

Utilities prices continued to power higher, as everyone knows. Property rates jumped 7.9 per cent, while water and sewerage costs rose 9.3 per cent, electricity was up a sizzling 6.1 per cent and gas rose 5.8 per cent. Childcare prices also surged, increasing 8.8 per cent. Medical and hospital services prices rose a solid 5.6 per cent.

Amid all of this, petrol prices rose 8.3 per cent, while urban transport fares were up 3.7 per cent. Domestic holiday travel costs rose 6.8 per cent. Education prices rose 5.6 per cent, while insurance costs were 4 per cent higher.

These price changes suggest it has been tough if you are a car driving, sick, chicken-loving smoker at university with a child who has a penchant for some fancy muesli.

But of course, no one is that narrow in their consumption spending. There were a range of items where prices fell. Indeed, there were some quite spectacular price falls within the CPI over the past year.

Lamb and goat prices dropped 10.6 per cent, vegetable prices are down 10.7 per cent while fruit prices are 5.7 per cent lower. Bring on that roast lamb with baked vegetables and buttered beans with fruit salad for desert.

Beef and veal prices were also 3.6 per cent lower, while cheese prices slid 2.8 per cent. Even coffee and tea prices were 0.5 per cent lower.

Also falling was the price of women’s clothes, down 2.2 per cent for the year, while children’s clothes fell 2.3 per cent. Furniture prices fell out of bed, dropping 3.9 per cent, while household appliance prices were 5.2 per cent lower.

The price of new cars continued to fall, dropping 3.2 per cent. At the same time, audio, visual and computer equipment prices declined 11.3 per cent. Games, toys and hobbies dropped 2.8 per cent.

If you happen to be a big-eating, hi-tech women with a strong bias to buying new clothes, fancy furniture, a new car and a love of Monopoly, Pictionary and fishing, your cost of living has actually fallen.

The point of all this is that the CPI basket of goods includes a vast array of items but in the end it is made up of the weighted average spending by the average household on that range of goods and services.

And there are always some items whose price goes up, sometimes a lot, and items whose price goes down, sometimes a lot.

The bottom line is that the Reserve Bank has, for 20 years now, ensured that on average, the annual inflation rate has been spot on 2.5 per cent, right in the middle of the target band.

This success for the Bank in having and meeting its inflation target remains an unappreciated success story of the reform agenda of the past 30 years. Not only has low inflation helped to boost living standards and wellbeing for most if not all Australians, it has allowed interest rates to remain low and relatively stable, which in itself has been a boon for business investment and consumer spending.

Long live low inflation, even if the components within the CPI record sharp divergences in price trends from time to time.

Source: Treasury

Making a Submission
Interested parties are invited to comment on the draft amendments to the Minerals Resource Rent Tax Repeal and Other Measures Bill 2013.

While submissions may be lodged electronically or by post, electronic lodgement is preferred. For accessibility reasons, please submit responses sent via email in a Word or RTF format. An additional PDF version may also be submitted.

All information (including name and address details) contained in submissions will be made available to the public on the Treasury website unless you indicate that you would like all or part of your submission to remain in confidence. Automatically generated confidentiality statements in emails do not suffice for this purpose. Respondents who would like part of their submission to remain in confidence should provide this information marked as such in a separate attachment.

Legal requirements, such as those imposed by the Freedom of Information Act 1982, may affect the confidentiality of your submission.

Closing date for submissions: Thursday, 31 October 2013
Address written submissions to:

Manager
Resource Tax Unit
Indirect, Philanthropy and Resource Tax Division
The Treasury
Langton Crescent
PARKES ACT 2600

Email: MRRTRepeal@treasury.gov.au
For enquiries please call James O’Toole (02) 6263 3112 .

Source: TheHerald

Professor Afaf Girgis from the Ingham Institute for Applied Medical Research is investigating the psychological impact of cancer. Picture: Marina Neil
THE psychological health of cancer patients has become the primary focus for a team of researchers at the Ingham Institute in Sydney and the University of Newcastle.

While the physical impacts of cancer are broadly researched, the psychological impact of the disease has been under-investigated according to Ingham Institute psychological-oncology group leader Professor Afaf Girgis.

Professor Girgis and Professor Brian Kelly, from the University of Newcastle, aim to develop a model of psychological care for patients with urological, head and neck cancers at John Hunter Hospital.

Professor Girgis, who is based in Newcastle, said the model would be implemented at John Hunter Hospital first, with the idea of rolling it out to other areas of the country.

Initial studies with urological, head and neck cancers patients at the hospital has revealed a wide range of issues and concerns in relation to their illness. These can include disfigurement and body issues for head and neck patients.

The findings were presented at the Hunter Medical Research Institute’s Translational Cancer Research Conference, which began at Newcastle City Hall yesterday and runs until tomorrow.

‘‘The needs of urological and head and neck cancer patients are very high and would benefit from having their own specific model of care in hospitals and cancer therapy units,’’ Professor Girgis said.

The next phase will involve testing the model with patients and healthcare professionals to evaluate its effectiveness in reducing levels of patient distress.

A key element is improving access to information, with the project providing an iPad app to patients in hospital to help them access resources to ease their psychological distress..

‘‘Initial clinician and patient feedback has shown that having access to electronic resources like iPads where patients can go online to address health questions and concerns quickly and easily can help to reduce their levels of distress,’’ Professor Girgis said.

The final results of the study will be available by the end of next year.

The Ingham Institute is a non-profit research organisation in Sydney, which was established at Liverpool Hospital.

Source: FootballAustralia

Football Federation Australia (FFA) has today announced that Ange Postecoglou has been appointed Head Coach of the Socceroos.

The five-year agreement runs until August 2018 and will see Postecoglou takes charge of the Socceroos at the 2014 FIFA World Cup Brazil, the 2015 AFC Asian Cup Australia and in the 2018 FIFA World Cup Asian qualification matches.

Postecoglou, 48, will officially start in the position next Monday 28 October and his first match as Head Coach will be against Costa Rica at Allianz Stadium, Sydney on Tuesday 19 November (7.30pm kick off).
Tickets will be on sale to the Football Family from next Monday 12 noon and to the public on Friday 1 November. For details visit http://www.footballaustralia.com.au/tickets

FFA Chairman Frank Lowy said he was pleased that his long-held ambition to appoint an Australian as coach of the Socceroos had been realised.

“It was always our plan that one day an Australian would be appointed coach, and I said precisely that when we appointed the previous coach,” said Lowy.

“But I have never taken the view that the coach should be an Australian for the sake of having an Australian. I have always believed we should get the best person we can for the job.

“The fact that Ange is the best qualified, and an Australian, achieves our objective.”

FFA CEO David Gallop said today the appointment of Postecoglou was symbolic of how far the game has come in the past decade under the leadership of Frank Lowy and his Board.

“I’m delighted that the game has reached the point where the best-qualified coach for the Socceroos happens to be someone who’s learned his football in this country and who lives and breathes the mission of Australian football,” said Gallop.

“It shows how the era of full-time professionalism in the Hyundai A-League and qualification for three consecutive FIFA World Cups is driving technical excellence.

“In Ange, the Socceroos will have a Head Coach who has exceptional experience and achievements on the domestic and international stage. In any recruitment situation you consider the overall package that the person brings to the role.

“We wanted the best person for the job of coaching the Socceroos to highest possible standards. It’s also very significant that Ange has a deep understanding of the culture and passion of Australian football. He’s a leader in every sense.

“The FFA Board have moved quickly on the preferred candidate and with the upcoming camp and match in November it was prudent to secure Ange’s services this week.”

Ange Postecoglou said he felt honoured and humbled to be chosen as Head Coach of the Socceroos.

“The Socceroos belong to the people of this nation,” said Postecoglou. “It’s my job to make sure we represent all that’s good in Australian football. We need to strive for greatness, to play with spirit and have an unwavering belief in our mission.

“I was proud to represent my country as a player and I have the same immense feeling of pride today. I thank Frank Lowy, David Gallop and the FFA for having the faith in my ability to do this job successfully.”

David Gallop has thanked the Melbourne Victory for agreeing to release Postecoglou from his contract with the Hyundai A-League club.

“The nation came calling for Ange and that left the Melbourne Victory Chairman Anthony Di Pietro and his Board of Directors with a decision to make,” said Gallop.

“Victory has done the right thing by Australian football and the club is to be commended.”

ANGE POSTECOGLOU

Nationality: Australian
Date of Birth: 27 August 1965

Club playing career:
1984-1993 South Melbourne (NSL) 193 games (19 goals)
1984 NSL Premiers (South Melbourne)
1984 NSL Champions (South Melbourne)
1985 NSL Premiers (South Melbourne)
1990/91 NSL Champions (South Melbourne)
1992/93 NSL Premiers (South Melbourne)

Representative playing career:
1986-88 Socceroos 4 games (0 goals)

Coaching career:
1996 – 2000 South Melbourne (NSL)
2000 – 2007 Australian U20 National Team
2008 Panachaiki
2009 – 2012 Brisbane Roar (Hyundai A-League)
2012 – 2013 Melbourne Victory (Hyundai A-League)

Coaching achievements:
1997/98 National Soccer League Premiers (South Melbourne)
1997/98 National Soccer League Champions (South Melbourne)
1998/99 National Soccer League Champions (South Melbourne)
1999 Oceania Club Champions (South Melbourne)
2000 Coached South Melbourne at FIFA Club World Championships
2010/11 Hyundai A-League Premiers (Brisbane Roar)
2010/11 Hyundai A-League Coach of the Year
2011 Hyundai A-League Champions (Brisbane Roar)
2012 Hyundai A-League Champions (Brisbane Roar)
2013 Voted as Head Coach of the Foxtel A-League All Stars v Manchester United

Source: News

Source: TheDailyTelegraph

Source: ABC

New South Wales MPs who plan to table same-sex marriage laws in state parliament say their bill can withstand a High Court challenge.

The ACT’s same-sex marriage bill passed in the Legislative Assembly yesterday, but the Federal Government is set to challenge the law.

Federal Attorney-General George Brandis has said he has received advice that the bill was “invalid by reason of inconsistency” with the Commonwealth Marriage Act.

Attention has turned to the New South Wales Parliament where a debate is set next week for a bill drafted by a cross-party group of MPs, including Labor’s Penny Sharpe.

Ms Sharpe says the draft has been scrutinised by constitutional lawyers and the proposed law creates a separate legal category for same-sex marriage distinct from the federal Marriage Act.

“Because the Federal Government only deals with marriage for heterosexual couples, our advice says that that would be perfectly consistent with the federal constitution,” she said.

“The ban on marriage for same-sex couples federally has left open the ability for states to legislate for same-sex couples and that’s what we intend to do.”

The bill will be debated in the Upper House late next week.

Source: SydneyWaterNews

NSW Premier Barry O’Farrell today announced residents in the Blue Mountains, the Hunter and Southern Highlands will not be charged for water used to defend their homes during the bush fire crisis.

Customers will not be billed for water used to defend their homes in the following suburbs:

Springwood
Faulconbridge
Hawkesbury Heights
Winmalee
Yellow Rock
Mount Riverview
Emu Heights
Nords Wharf
Caves Beach
Murrays Beach
Cams Wharf
Raymond Terrace
Tomago
Williamtown
Medowie
Salt Ash
Campvale
Heatherbrae
Fingal Bay
Yanderra
Bargo
Buxton
Wilton

Mr O’Farrell and Minister for Finance and Services Andrew Constance said the policy will be extended to cover more households if conditions deteriorate.

“In emergencies like this, it’s vital government agencies work together to assist people wherever they can and provide practical help to households – and that’s exactly what we’re doing,” Mr O’Farrell said.

“This is a very difficult time for residents in the Blue Mountains, Hunter and Southern Highlands and the last thing they need to be worrying about is how much water they are using and the impact on their bills,” he said.

“This benefit could be extended to more households depending on conditions and fire movement over the next few days.

“It’s just another example of the practical way the NSW Government is helping assist residents in bush fire areas. Yesterday, I announced we would waive the waste levy for all residents and businesses cleaning-up after the fires.

“I’m pleased Sydney Water and Hunter Water are doing their part to help in waiving excess water charges,” he said.

Mr Constance said Sydney Water and Hunter Water are working with fire authorities to identify areas affected by the fires, and credit customers’ accounts based on that information.

“Sydney Water and Hunter Water will look at an affected customer’s water consumption record from the same period last year and compare it with this year’s water consumption. The difference will be automatically credited back to the customer,” Mr Constance said.

“Residents in other bush fire areas may be supplied by local council water providers and I encourage them to consider the same benefit.

“I would also like to thank the Sydney Water and Hunter Water crews who have been working around the clock to maintain water supply and wastewater systems for bush fire affected residents.

“The organisations are working closely with fire authorities to ensure water gets to where it’s needed.

“This decision follows representations from locals MPs.”

Source: SMH

Treasurer Joe Hockey has responded to Australia’s ballooning credit card bill by almost doubling the borrowing limit to half a trillion dollars.

In an extraordinary move at odds with repeated Coalition warnings of a debt crisis spiralling out of control under the previous Labor government, Mr Hockey has announced the debt ceiling of $300 billion would be increased in a single leap, to $500 billion.

Cabinet approved the new limit on Tuesday and it will be legislated when Parliament returns next month.
Cabinet also approved the terms of reference and personnel for its long-promised commission of audit of government spending, with Mr Hockey arguing it would do the work of winding back the debt.

In a decision certain to raise concerns over its level of influence over government policy, the audit will be headed by Tony Shepherd, the president of the most influential lobby group for the big end of town, the Business Council of Australia.

Also on the board will be former Howard government minister Amanda Vanstone, former top public servant Peter Boxall, former Treasury secretary Tony Cole and former West Australian bureaucrat Robert Fisher.

The composition of the audit and tight timelines of less than six months have fuelled concerns of a sharp contraction of some programs. Mr Shepherd’s organisation has previously advocated radical business-friendly policies such as increases to the GST.

Economists say the debt limit is not, of itself expected to affect Australia’s AAA credit rating but simply reflects the reality that during a global downturn government spending has necessarily exceeded revenues.

However, the scope of the new borrowing limit has prompted speculation that the government may be planning extra borrowings to fund large ”off-budget” infrastructure projects, mirroring the way the national broadband network has been financed.

Labor finance spokesman Tony Burke slammed the government for proposing to increase the limit before providing the Mid-Year Economic and Fiscal Outlook report. ”The party that said they were all about turning around debt has now asked for permission for it to go to half a trillion dollars,” he said.

Mr Hockey blamed the radical increase on ”the legacy of a bad Labor government”. He said it had been made necessary because the present debt limit would have been reached by December 12 on the way to an overall debt of about $400 billion over the four-year budget period.

By its own admission, the government wants to jack up the limit once only, thereby removing the need to bring another debt ceiling rise to the Parliament closer to the next election.
Insiders said the prospect of trying to convince ”economically illiterate” independent senators of the need for the increase might have been a consideration.

In an unusually brief news conference, Mr Hockey offered no detailed explanation of the debt increase. ”We are increasing it to that level because I’ve been advised that on 12 December the current debt limit of $300 billion will be hit,” he said.

”We need to move quickly to deal with this, particularly in the wake of what’s been revealed in the United States in recent times.

”We need to put it beyond any doubt and we do not want to have to revisit this issue again. We’ve been advised it will now exceed $400 billion on current trends.”

The last debt ceiling increase was just a quarter of the new increase, at $50 billion.

Mr Hockey said it was important to have what he called ”a buffer of $40 [billion] to $60 billion to provide stability to the issuer, the AOFM [Australian Office of Financial Management]”.

”We have decided to go to $500 billion. This is the legacy of a bad Labor government and this is part of the job that we have to fix.”

Market Economics managing director Stephen Koukoulas said the decision was valid because contrary to the bellicose rhetoric of the Coalition before the election, Australia ”did not have a debt crisis then, and does not have one now”.

Mr Hockey brushed off concerns that the government’s promised commission of audit would be overly influenced by the BCA.

Finance Minister Mathias Cormann said the audit would report quickly, with phase 1 (examining efficiency and effectiveness of spending) delivered to the government by January and phase 2 (looking at public sector performance) reporting by March.

Mr Burke said the announcements were a breach of promise. ”What Joe Hockey is now doing on both the commission of cuts and on the issue of the debt ceiling is a million miles away from the expectations he gave the Australian people before the election.”