JOURNALIST: Penny Wong, thanks for your time.
WONG: Good to be with you.
JOURNALIST: You were Climate Change Minister when Kevin Rudd shelved the emissions trading scheme. You had to defend the decision at the time. Do you now agree with Kevin Rudd that it was a mistake?
WONG: Look, what Im focused on is what were doing now which is to try and put a price on carbon. Taking up the fight to Tony Abbott on this issue given that hes turned his back on action on climate change, and having the dialogue with the Australian people as the Prime Minister is about why it is we need to put a price on carbon and move to a low pollution economy
JOURNALIST: Clearly not all of your colleagues are focused on the future exclusively. So again, do you agree that that decision in the last term was a mistake?
WONG: Its a decision that political historians and political journalists no doubt will continue to analyse and consider. And people have various views.
JOURNALIST: And people in the Labor Party too?
WONG: I think whats important here is to remember not just where weve been but what were doing now. I mean, this Government will be judged by what we do now in terms of the price on carbon. The Prime Minister, Julia Gillard, is leading that fight because she knows this is the right thing to do. Thats what we will be judged on; thats what the Prime Minister will be judged on.
JOURNALIST: I appreciate the need to focus on the here and now and the future but very briefly, was it a mistake?
WONG: Look, theres no doubt it was a decision that had, as Ive said before, implications and a lot of people will trawl over what they were. But I think the important thing is this. Unlike the Opposition, unlike Tony Abbott, weve always had a clear view that you need to put a price on carbon. The Prime Minister is out there in the Australian community talking with Australians about why it is we need to do that. A responsible reform, and shes showing the leadership to deliver it.
JOURNALIST: Kevin Rudd told caucus at the time that you and Lindsay Tanner wanted to press ahead with the Carbon Pollution Reduction Scheme. And it was Julia Gillard and Wayne Swan who wanted to abandon it. So the point now is, doesnt it leave a big question mark over Julia Gillards commitment to introduce a carbon price?
WONG: Absolutely not. And I think people should look at what the Prime Minister is doing now, what she is out there arguing for. I think she is demonstrating her commitment in a way political leaders do by taking on tough, possibly at times unpopular, but the right reforms in the national interest.
JOURNALIST: But she wanted to baulk on it last year.
WONG: Just hang on a sec, just hang on a sec. I mean, when Bob Hawke took on the tariff debate, it wasnt popular. When Paul Keating took on the native title debate, that wasnt popular. But they were the right reforms and they were argued through by Labor Prime Ministers prepared to take their case to the people and explain why. And thats what this Labor Prime Minister is doing.
JOURNALIST: But the point is, when the going got tough in the last term, the suggestion is that she ducked it, she wanted to run from the fallout.
WONG: David, I dont think anybody looking at the Prime Minister and what shes been prepared to do since becoming Prime Minister, and what she is currently doing in taking on a very tough fight against a man, Mr Abbott, who came to his position on the back of opposition to action on climate change. I dont think anyone looking at whats happening now would suggest the Prime Minister hasnt got the mettle for this fight.
JOURNALIST: Why do you think Kevin Rudd is talking about this now?
WONG: Youd have to ask Kevin that. He was asked a question on a television show last night and he answered it.
JOURNALIST: Is it helpful though?
WONG: You know, theres always going to be discussion about whats gone before. As the Government, we need to be focused on what we are doing now and explaining to the Australian people the way ahead.
JOURNALIST: Do you think Kevin Rudd is trying to damage Julia Gillard?
WONG: Kevin is a good man, a man that is serving in the Gillard Cabinet. Hes made very clear his view that he wants to be Foreign Minister and thats the job hes enjoying.
JOURNALIST: You dont think he wants to get the leadership back?
WONG: We have a leader, we have a Prime Minister. And she is out there advocating for a carbon price on behalf of the Government.
JOURNALIST: But you dont think Kevin Rudd wants the leadership back?
WONG: I think Kevin is very happy, as he said, being the Foreign Minister. And hes doing a very good job of it.
JOURNALIST: Lets move on to the Budget. We are being told its going to be a tough Budget once again. And there are some pressures there, particularly after the natural disasters weve seen here in Australia and in Japan. The Reserve Bank has pointed that out as well in its statement today. Whats it doing to the budget bottom line? Whats the latest estimate on how much its going to knock off the budget bottom line?
WONG: Well we know theres going to be a significant drop in revenue from company tax. We know that Treasury has advised a further $3 billion off. The company tax take is likely over and above the reduction we also already saw and reported in the November update.
JOURNALIST: Because of the Aussie dollar?
WONG: Because of a number of things. One is the patchwork economy. So some parts of the economy are growing very strongly, others less so. We also as you know have a cautious consumer and of course we have a high dollar. And that in the November update as you might recall did mean we saw some revision downwards and weve seen even more significant revision downwards now. So thats going to make what was a tough job even tougher.
JOURNALIST: So $3 billion off the company tax receipts the Government will collect?
WONG: Thats right. Thats since the November update which is about $6 billion since the last Budget. So thats giving you an indication of the hit on revenue that were expecting. But look, you know what this Budget has to be about? It has to be about recognising the demands of the long term. And the demands of the long term are an economy we anticipate in the years ahead to be growing very strongly with all of the benefits and some of the challenges that brings. Its true we have some short term softness, in for example as Ive said on the consumer side and of course on the revenue side for the reasons outlined. So weve got to manage as a Government bringing down a budget that recognises those short term challenges but not to be diverted from the long term.
JOURNALIST: Are any of those areas quarantined from spending cuts?
WONG: Well this is a rule in rule out budget question, I think David. Well asked.
JOURNALIST: Well its the principle. Are some areas too important to cut?
WONG: We know that there are areas that, for example, we already have a program in the Defence area; the strategic plan. So thats obviously already delivering savings to be invested in capabilities over time. That plan is out there. But broadly, this is a budget where we have taken the view that weve got to look very closely in a very disciplined way at Government spending.
JOURNALIST: I wanted to ask you quickly on a couple of other matters. The Greens are very upset with the Prime Minister over her comments last week in a speech where she said that the Greens would never embrace Labors delight at sharing the values of everyday Australians who lead purposeful and dignified lives through their love of family and nation. Do you agree the Greens dont share a love of family and nation?
WONG: I dont agree with the premise of your question. I think what the Prime Minister is expressing there is the difference between a party of government which appeals and seeks to appeal to a broad section of the Australian population, and a minority political party such as the Greens political party, who really have an agenda around possibly one or two seats in the Lower House but primarily are an Upper House party.
JOURNALIST: Well, this was a bigger issue than that though. She was saying they dont share the values of everyday Australians when it comes to love of family and nation.
WONG: It the difference between, I think its an expression of the difference between a party that is a broad based party, and a party that is a political party in minority and a political party that appeals to a smaller section of the population.
JOURNALIST: Its a bit different to saying they dont share a love of family and nation?
WONG: I think theres a whole quote there. Shes expressing the view that Labor is a party historically, and today, which is a party of broad appeal. Thats the job of a party of government.
JOURNALIST: Alright, a couple of other quick ones. Another detention centre being open, this time in southern Tasmania. I think its going to cost $15 million. All of this must be adding up. As you put together the Budget, the detention system, the strains its facing must be costing a fair bit.
WONG: Well David, detention is expensive, ask the previous government. They spent hundreds of millions of dollars on their detention
JOURNALIST: Are you spending less or more?
WONG: We dont apologise for putting the resources in to ensure we maintain a proper detention system, consistent with the policies weve outlined.
JOURNALIST: Are you spending any less or more than the Howard Government?
WONG: Well look, the spending we have on this and all areas is in the budget papers, is in the updates, is in the appropriation bills.
JOURNALIST: Alright. And just finally, Julia Gillards former chief of staff, Amanda Lampe would she make a good national secretary of the ALP?
WONG: Look, these really are matters for the organisational party and Im going to leave that to them.
JOURNALIST: Penny Wong, thank you.
WONG: Good to speak with you.
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