Issue 225, 8 April 2009

Issue of the week:

Kevin Rudd is the master of keeping the balls in the air while appearing decisive at the same time. The $43 billion announcement yesterday to establish a Government-controlled company to build and operate a new National Broadband Network that will connect 90 per cent of schools, homes and workplaces with optical fibre got the Government out of a difficult situation on two fronts.

One: it was so bold and unexpected a decision that it was always going to overshadow the fact that the Government’s original tender process had not delivered the outcome it was after. Two: the announcement has bought the Government more time to make a decision around the telecommunications regulatory environment.

There’s still a lot of detail to work out and there are now another two consultation processes to go before a network is built. Yet the Government has given itself time to work this all out, while still being seen to be moving forward.

What’s to come:

While unions are flogging self-interested “research” to the media in a bid to stymie the NSW Government’s electricity privatisation version 2.1, Finance Minister Joe Tripodi has a full itinerary of interested parties for his overseas roadshow.

Tripodi recently told an industry briefing the transactions would be completed by the end of the year. To meet that timetable the Minister will be visiting Hong Kong, China, Singapore, the US, Canada, the UK and possibly the Middle East. Meetings are scheduled with integrated utility companies, generation companies, generation developers, infrastructure investors, other investment funds and project finance houses.

Last weekend’s second blackout – while embarrassing for the Government – makes a mockery of their opponents’ claims a publicly-owned electricity sector is a more reliable electricity sector, and only strengthens the argument that greater private investment is needed.

Something you didn’t know:

There have been a lot of political firsts for women lately and OTR has discovered another. Not long ago Ministers Nicola Roxon and Penny Wong joined our first female Governor General Quentin Bryce in the first all female Executive Council in our nation’s history. It passed with little notice in our media and Parliament, but was very significant for those involved and for the role of women in Parliament.

The Executive Council is presided over by the Governor-General and directs the Governor-General in the administration of the Government. Most of the powers vested in the Governor-General, such as appointments and the authorisation of budgets, are exercisable only by "the Governor-General in Council" – that is, under advice from the Federal Executive Council. The Council acts as a formal ratification body for decisions of the Cabinet.

ICU:

Australian actor Kerry Armstrong will think twice before committing to any future commercial endorsements.

Armstrong was recently paid by Coca-Cola to appear in an ad under the banner “Kerry Armstrong on Motherhood and Myth-busting,” supposedly dispelling a number of facts about Coke as myths. The ads were slammed by health groups and this week the ACCC deemed them to be misleading, forcing Coke to publish corrections in newspapers and on its website.

The impact of this episode on Armstrong’s reputation should not be underestimated, just as Playschool presenter Monica Trapaga’s reputation was tarnished through her endorsement of Coco Pops. Brands – whether they’re for products, countries, or people – are precious, often take a long period of time and build and once tarnished are very hard to burnish once more.

Personality of the week:

John-Paul Langbroek is the new leadership hope of the Queensland LNP, bucking party room pressure for a Brisbane-based Liberal to get the nod with a narrow win over Brisbane-based Tim Nicholls.

The Member for Surfers Paradise, Langbroek is a practicing dentist who entered Parliament in 2004. He will take up the position as Shadow Minister for the Arts, directly opposing the Premier. Many in the party have long recognised Langbroek’s potential, but have accused him of going missing on key issues and failing to go for the kill.

Langbroek has already commented that “people vote on policies” and that the LNP has more to do to show it can manage the budget and deliver key services. This will be the challenge for him and his deputy, former leader Laurence Springborg, as they endeavour to build the Party into a serious alternative to Bligh’s Government and try to hold it together at the same time.

Political quotes of the week:

“…And I get to take whatever questions … And if they're really hard, that's why Julia's here.”

– The Prime Minister referring the hard questions to Deputy Prime Minister at the most recent community forum in Victoria, 6 April 2009.

Media quote of the week:

“Kevin Rudd has been constantly haunted by his dietary preferences and more than any other Prime Minister he is being defined by what he eats. Even putting aside what he might have eaten, and drunk, before going to the Scores girlie bar in New York when in Opposition, the interest in Kevin Rudd’s comestible consumption has been remarkable.”

– Malcolm Farr, The Daily Telegraph, 6 April 2009.

ICU quote of the week:

“I acted in good faith and trusted that the information provided to me by the company (Coca-Cola) was truthful and accurate.”

– Actress Kerry Armstrong, The Australian, 3 April 2009.