Academics downplay Indon diplomatic spat

Indonesia is unlikely to make changes to its relationship with Australia over spying allegations. Source: AAP

FEARS of a breakdown in Australia's relationship with Indonesia appear to be a diplomatic storm in a teacup as intelligence experts downplay the fallout from spying allegations.

The federal government remains silent on leaked documents showing surveillance was undertaken from its Jakarta embassy as part of a US-led intelligence-gathering operation implicating America and its European allies.

But Foreign Minister Julie Bishop can expect a frosty reception from her Indonesian counterpart, Marty Natalegawa, when the pair meet later this week at the Bali Democracy Forum.

The seasoned Indonesian diplomat has said Australia's espionage was unacceptable.

"The recent revelations will have a potentially damaging impact in terms of the trust and confidence between the countries concerned," he said.

However, security and diplomatic academics doubt Indonesia will sever any major ties with Australia as they are mindful of the value of standing agreements.

"Once they have done a bit of huffing and puffing, and we make some soothing noises, it will all go away," Murdoch University's Professor of international relations Mark Beeson told AAP.

The Indonesian government had to present a strong opposition to the spying activity for the sake of national sovereignty, he said.

"There is a lot of sensitivity around sovereignty in Indonesia and to save face in the community the authorities must be seen to be proactive ... but I would be surprised ... if they do anything to change relations," Prof Beeson said.

Australian National University (ANU) Professor Michael Wesley said it would have come as no surprise to Indonesia that surveillance was going on and, in fact, "all countries spy on each other".

The alleged actions of the top-secret Defence Signals Directorate in Jakarta were so well known that Indonesians used to send messages to eavesdroppers, ANU intelligence expert Professor Des Ball said.

"One of the main listening stations that monitors Indonesian communications for years now every Christmas gets a message from their Indonesian counterparts wishing them best wishes for Christmas," Prof Ball told SBS.

Details of the clandestine operations made headlines around the globe after the leaking of US National Security Agency documents.

Mr Natalegawa said Indonesia would join Germany and Brazil in co-sponsoring a resolution in the General Assembly of the United Nations to address allegations of US-led data snooping.

Activist group Anonymous Indonesia claims it has hacked into more than 170 Australian websites in protest at the spying claims.

Web pages, apparently selected at random, were defaced with the message: "Stop Spying on Indonesia" underneath an Indonesian flag imprinted with a black graphic of a Guy Fawkes mask, the image used by Anonymous internationally.

Meanwhile, Ms Bishop is doing her best to strengthen relations between Australia and Indonesia, on Tuesday tweeting a photo of herself with the head of the country's foreign affairs commission, Mahfudz Siddiq, who has also voiced his opposition to the alleged spying.

Ms Bishop is due to travel to Bali on Wednesday ahead of the forum, which opens on Thursday.

A spokeswoman for Ms Bishop said the minister was aware of her Indonesian counterpart's comments.

"Bilateral co-operation in areas such as people smuggling and counter terrorism is to the mutual advantage of both countries," the spokeswoman said in a statement.

She said it was long established practice for the Australian government not to comment on intelligence matters.

13.24 | 0 komentar | Read More

Brown, Palmer showdown moves closer

BOB Brown has accepted Clive Palmer's challenge to a debate following the mining magnate's claim the Greens have ruined Tasmania.

Dr Brown has responded to Mr Palmer's call and Tasmanian senator-elect Jacqui Lambie's pledge to instigate a parliamentary inquiry into the Greens.

The Palmer United Party (PUP) is looking to build on Ms Lambie's success by running candidates in all five seats at next year's state election.

"Clive knows this: if he can get a couple of seats off the Liberals by appealing to the lowest common denominator ... then they'll go for it," the former Greens leader told ABC radio.

"I think Clive's wily enough to know that."

Dr Brown said he would debate Mr Palmer, who was elected to the seat of Fairfax in the federal election, on the future of Tasmania.

He said the arrival of PUP to the federal parliament would add to its diversity but offered Mr palmer a warning.

"Clive has to know that you simply can't purchase what you want when you get into the democratic arena," Dr Brown said.

"You do have to be transparent and you do have to act honourably and above board and that's not always the case with the world of trading and backroom deals and so-on in business."

Dr Brown was speaking from the US, where he will give evidence in the civil case brought against the Sea Shepherd conservation group by Japanese whaling interests.

The law suit is being brought against the US arm of the group and will not affect plans by Sea Shepherd Australia to take on the Japanese fleet, which claims to conduct scientific whaling.

Dr Brown, a Sea Shepherd Australia director, remains hopeful the International Court of Justice will outlaw the annual hunt before it can begin.

"The big question then is, if that happens, will the Japanese abide by the international court decision and not send the whale killing fleet south?" he said.

13.24 | 0 komentar | Read More

Linc blames regulation for overseas move

LINC Energy will shut its underground coal gasification research and development facility in south-west Queensland and move overseas.

The shutdown of the facility at Chinchilla will cost several million dollars and put the future of 30 workers at risk.

Linc chief executive Peter Bond said the company expected to begin relocating by the end of 2013 to either Poland, Indonesia or Wyoming in the US, due to a frustratingly slow local approvals process.

"The Queensland government has to take control of the regulator and make sure the policy is being followed rather than the regulator running to the beat of their own drum," Mr Bond told AAP.

"There's a disconnect between the ministerial level and the mid-tier departments."

The underground coal gasification (UCG) process converts coal into gas through combustion in the coal seam.

Mr Bond said Linc would aim to retain all of the 30 affected staff and offer positions at the company's Australian or overseas facilities.

"We're trying to limit redundancies," he said.

"Ideally we'd like to have none."

Linc said the decision came after a continuous two year operation at its UCG Gasifier 5 (G5) at Chinchilla facility.

The completion of G5 operations marked the end of almost 14 years of operational trials and technology, research and development, he said.

If the Queensland government approved the company's current G6 expansion it could potentially extend operations at Chinchilla for another two or three years, Mr Bond said.

However, he is not hopeful of a resolution after three years of waiting.

"With the demand we're getting from locations like Asia it makes no sense to continue trying to keep the government happy when we've got other governments that are happy to work with us," he said.

Shares in the company dropped half a cent to $1.355.

13.24 | 0 komentar | Read More

Inflation remains benign despite Sept CPI

Inflation is expected to remain benign to the end of the year, despite the falling dollar. Source: AAP

INFLATION is expected to remain benign to the end of the year, despite the falling Australian dollar, leaving the door open for a further rate cut.

The TD Securities/Melbourne Institute Monthly Inflation Gauge rose 0.1 per cent in October, following a 0.2 per cent rise in September and a 0.1 per cent increase in August.

The inflation gauge increased by 2.1 per cent in the 12 months to October, figures released on Monday show.

Price rises for new homes, non-alcoholic drinks, meat and seafood were offset by falls in the price of fruit, vegetables, petrol and furniture.

The consumer price index (CPI), the key measure of inflation released by the Australian Bureau of Statistics, rose 1.2 per cent in the September quarter - stronger than the 0.8 per cent rise economists were forecasting.

Economists said the higher-than-expected figure ended any hope of another cash rate cut in 2013.

But the inflation gauge shows inflation remains benign, TD Securities head of Asia-Pacific research Annette Beacher said.

"Compared with the surprise jump in headline inflation in the September quarter, this October report is rather benign, and starts the final quarter of the year with a whisper," Ms Beacher said.

"Headline inflation and our trimmed mean measure of inflation were both only 2.1 per cent higher than a year ago, suggesting no sign of a pickup in inflation in the final months of 2013.

"While early days yet, this report is likely to provide some relief for the Reserve Bank as tradable inflation was flat in the month after three consecutive increases."

Ms Beacher said the Reserve Bank of Australia (RBA) was likely to leave the cash rate on hold at 2.5 per cent when it meets on Tuesday.

"After two neutral-bias communiques, we expect a near repeat tomorrow," she said.

"It will be interesting to see if the board agrees with the RBA governor's recent proclamation that 'at some point in the future the Australian dollar will be materially lower than it is today' as that message managed to dent the dollar to a considerable extent last week and keep rate cut hopes alive."

13.23 | 0 komentar | Read More

Pilbara quad biker found safe and well

A 51-YEAR-OLD man who went missing while quad biking with friends in Western Australia's Pilbara region over the weekend has been found.

The small group had been quad biking near the Fortescue River on Sunday when they left the area to return to Pannawonica at about 4pm (WST).

It's believed the man became separated from his friends, who reported him missing at about 8.45pm (WST).

Just before 1pm (WST) on Monday, police said he had been found safe and well.

He is being flown by helicopter to a medical centre in Pannawonica for assessment.

13.23 | 0 komentar | Read More

Whitehaven says future will be OK

WHITEHAVEN Coal's chairman has told shareholders the company's future is assured following a difficult year in which it posted a $82 million loss and its share price more than halved.

Chairman Mark Vaile said that although global coal markets had been tight and prices flat, there had been a modest improvement in thermal and metallurgical coal prices in recent months.

Mr Vaile said the ramp-up of the company's flagship Narrabri underground mine and development of the Maules Creek open pit mine would equip it for the future with two large, low cost, highly productive and efficient mines.

"We doubled our coal sales in fiscal 2013 and have plans to more than double production again over the next three years," he said at the company's annual general meeting on Monday.

"As you are aware, Whitehaven is a company in transition from being a four million tonne (a year) producer to 23 million tonne producer with two, world class tier-one mines."

However, the highly regarded $767 million Maules Creek project has been delayed by court action by opponents who say it will damage the local environment north of Sydney. A decision is expected next month.

A ruling against it would put pressure on Whitehaven's balance sheet with its planned cashflows from coal sales at the new mine also delayed.

The company last month said it had started talks with its lenders, led by ANZ, about restructuring its $1.2 billion debt facility because of delays to Maules Creek.

The company's market capitalisation is currently only $1.6 billion with its share price falling from $3.61 in early January.

The shares dropped six cents to $1.545 on Monday.

13.23 | 0 komentar | Read More

Long wait ahead for WA voters

Deputy PM Warren Truss says any fresh Senate poll in WA should be held as soon as possible. Source: AAP

WEST Australians may have to wait until next year to find out if they have to return to the ballot box for a fresh Senate election, a constitutional expert warns.

The Australian Electoral Commission (AEC) announced on Saturday that Greens Senator Scott Ludlam and the Australian Sports Party's Wayne Dropulich had been elected to the Senate after a controversial partial recount in WA.

The announcement came as former Australian Federal Police commissioner Mick Keelty continued his investigation into 1375 missing votes.

Palmer United Party leader Clive Palmer immediately flagged a High Court challenge after his candidate Zhenya "Dio" Wang and Labor's Louise Pratt missed out, despite having been successful in the initial count.

Once the writs for the Senate election are returned to the WA governor early this week, there is a 40-day window for legal challenges to be lodged.

The High Court, sitting as the Court of Disputed Returns, would decide whether a new election should be held.

University of Queensland Law Professor Graeme Orr said it might be months before the court could consider the matter, although it might sit over Christmas if necessary.

"It would be too quick to (happen within) the 40 days because you have to get all the evidence together and (the full bench of) judges together," he told AAP.

Prof Orr said parties lodging a challenge had to supply a statement of claim outlining their evidence, which would take time to compile.

He pointed to the Queensland election in July 1995, in which a court challenge was lodged in August, before a decision came out in December ordering a by-election.

The by-election took place in February 1996.

Labor Deputy Leader Tanya Plibersek said Mr Kelty's investigation must be allowed to run its course, but did not rule out Labor pushing for a fresh poll.

"I think it's obviously very important Western Australians are confident that they got the senators they voted for," she told reporters in Sydney.

"But the question of how we can have that confidence is one for a few days' time when the investigation is complete."

She described the situation as a "very unfortunate incident", but said the AEC had a reputation for being the best and most reliable in the world.

Deputy Prime Minister Warren Truss said any new Senate election in WA should be held as soon as possible.

The situation of missing votes was a debacle.

"The whole event is a huge embarrassment for the Australian electoral system and we must make sure it doesn't happen again," Mr Truss said.

Senator Ludlam allowed himself a brief moment of celebration on being declared re-elected, but is not certain his victory will stick.

"We are really in uncharted territory," he said.

13.24 | 0 komentar | Read More

Turnbull in tussle over NBN contracts

Malcolm Turnbull has vowed to take marginal seats out of the equation during the NBN roll-out. Source: AAP

LABOR has seized on revelations the Coalition has booted 500,000 households off the National Broadband Network roll-out map.

Communications Minister Malcolm Turnbull claims those affected are actually the victims of Labor's "lies and spin".

"(The Labor government) had a metric which said that construction had commenced at the point plans were called for," he told Network Ten on Sunday.

"This is the equivalent of saying you had started construction on a new house, from the moment you called your architect and asked her to do a sketch plan."

Deputy Labor Tanya Plibersek hit back accusing the Abbott government of a breaking an election promise not to rip up existing contracts.

"Instead of getting top quality, state-of-the-art national broadband network fibre to the premises, they will get instead the poor cousin," she told reporters in Sydney.

Mr Turnbull has also vowed to take marginal seats out of the equation during the roll-out of the NBN.

Mr Turnbull says a survey is underway to identify parts of Australia with the worst broadband.

"(Places) where the need for upgrade is greatest, they will be prioritised," Mr Turnbull said.

Another priority will be areas where demand for high-speed internet is greatest, such as business and industrial parks.

Asked if he would change the previous focus on marginal seats, Mr Turnbull said: "Yes".

"The NBN Co has to start being operated ... like a rational business that seeks to do its job as quickly and cost-effectively as possible," he said.

Mr Turnbull declined to comment on whether there had been legal claims lodged over asbestos scares at NBN construction sites.

Last week Prime Minister Tony Abbott ruled out overturning the ban on Chinese telecom giant Huawei tendering for work on the NBN.

Mr Turnbull said the decision was a question of "managing risk".

"Other companies and other countries have taken different judgments," he said.

He admitted that Huawei had in the past undercut the prices of western telco suppliers but stopped short of saying it would be cheaper to build the NBN with Huawei's involvement.

Mr Turnbull said Vodafone and Optus used Huawei equipment in their Australian networks and they would attest that it worked properly and was cheaper.

"These are things you've got to weigh up," he said.

13.24 | 0 komentar | Read More

Free vote on gay marriage likely:Turnbull

COMMUNICATIONS Minister Malcolm Turnbull believes the coalition is likely to grant MPs a conscience vote if a gay marriage private member's bill comes before federal parliament.

Mr Turnbull said on Saturday there was a mood in the coalition party room for a free vote on the issue.

"As to whether there would be a majority in favour of same-sex marriage in the House of Representatives and the Senate, I don't know," he told Network Ten.

He said he believed if the coalition had allowed a conscience vote when the issue was debated in the last parliament it would have made no difference to the outcome.

"There nonetheless would not have been the numbers to get it passed," Mr Turnbull said.

He reiterated his support for gay marriage.

Australian Greens senator Sarah Hanson-Young flagged her party would re-introduce a private members bill on gay marriage when parliament resumes in a fortnight.

"This parliament can achieve marriage equality but it will take all sides working together to make it happen," she said in a statement.

She put the call out for politicians from other parties to co-sponsor the bill.

13.24 | 0 komentar | Read More

Plibersek lashes WA premier

DEPUTY federal Labor leader Tanya Plibersek has taken a swipe at West Australian Premier Colin Barnett, saying he has "broken promise after promise" since winning a second term.

Ms Plibersek used much of her address at the state Labor Party's annual conference in Belmont on Saturday to lash the Liberal leader.

"Like the Liberal state premiers in the eastern states, Colin Barnett is showing the people of WA a little preview of what they can expect from a Tony Abbott government," she said.

"You say as little as possible to get elected and you do your worst once you get there."

She lambasted Mr Barnett for cuts to education, closing wheat-belt rail lines, a 12.5 per cent increase in land tax and his government's failure to deliver a pledged redevelopment of Royal Perth Hospital.

"West Australians did not get the Colin Barnett they voted for," Ms Plibersek said.

Also at the conference, there were several references to the need for unity in the party, while Ms Plibersek paid tribute to Labor Senator Louise Pratt, who had endured weeks of stress waiting to find out whether she had retained her seat.

The Australian Electoral Commission will announce the results of the WA Senate recount and distribution of preferences after 2pm (WST).

13.24 | 0 komentar | Read More