ID :
44263
Thu, 02/05/2009 - 15:47
Auther :

Rudd urges action on $42b stimulus plan

Prime Minister Kevin Rudd says he's ready to start "cracking heads and knocking
skulls" to roll out the government's $42 billion economic stimulus package.
Mr Rudd used war-time rhetoric saying the economic situation was a national
emergency after signing off on the details of the package with state and territory
leaders in a specially convened Council of Australian Governments (COAG) meeting in
Canberra on Thursday.
But the battle continued in parliament in a 12-hour overnight sitting of the lower
house, which finally passed the stimulus bills shortly after 5am (AEDT) on Thursday.
The six bills, which will allow the government to increase its current borrowing
through the bond market from $75 billion to $200 billion, are before a Senate
inquiry which began on Thursday evening, hearing evidence from Treasury Secretary
Ken Henry.
The inquiry will sit on Friday and Monday, forcing the government to wait until next
Thursday at least before the Senate votes on the bills.
The premiers have already signed a communique setting out a timetable for the
rollout of the $28.8 billion of school maintenance and construction, road and rail
repairs, and new public housing.
Senior public servant Mike Mrdak, a deputy secretary in the Department of Prime
Minister and Cabinet, has been chosen by Mr Rudd to oversee the massive program as
commonwealth coordinator general.
The premiers discussed which projects were "shovel in the ground ready" to begin by
June and they must submit a list of proposed school projects within two weeks.
Mr Rudd said the aim was to have 20 per cent of the modernisation program for 7,500
primary schools underway by June this year, with the next two rounds of 40 per cent
each to follow in late 2009 and in 2010.
Chair of COAG, Queensland Premier Anna Bligh, caught the mood when she told a news
conference after the meeting that these were "unprecedented and extraordinary times"
requiring action with "confidence, courage and conviction".
Premiers pledged to ensure bureaucratic red tape did not stop projects getting under
way quickly.
As his federal leader argued against the $42 billion package, the only Liberal
Premier, Western Australia's Colin Barnett, shied away from commenting, only to say
he supported nation building.
"I'm not going to tell people they can't get a payment," Mr Barnett said.
Mr Rudd said that Australia was in a national economic emergency requiring everyone
to roll their sleeves up and take a direct interest.
"I said that we were in uncharted, unprecedented times," Mr Rudd said.
"This is going to require us cracking heads, knocking skulls together, to make sure
it all happens on the ground quick smart."
In question time, the government intensified its attack on Opposition Leader Malcolm
Turnbull, accusing him of putting his own ego ahead of the national interest for
opposing the stimulus package.
Tempers frayed easily after the long night in the parliamentary chamber, and the
opposition asked a barrage of questions querying the effectiveness of the October
$10.4 billion stimulus package and the prudence of the new one.
Mr Rudd seized on several media appearances this week by former treasurer Peter
Costello, saying they explained that Mr Turnbull's decision to block the package was
an internal party manoeuvre.
"It is not national leadership, it is simply an exercise in political tactics," Mr
Rudd said.
"If it was a Liberal political tactic that would be one thing. What is worse about
it is it is internal party politics as well, directed at the impending challenge
from the member for Higgins."
Mr Turnbull hit the airwaves all day explaining the package was too big and
irresponsible because it would saddle every Australian with $9,500 of debt.
He even posted a video message on YouTube and the Liberal Party got into the act by
printing flyers and a mock red credit card called the "Rudd Card" with the slogan
"You Can't Afford It".
Mr Rudd and government officials will brief stakeholders in the private and
community sectors on how the stimulus package will be rolled out in a series of
meetings in Canberra on Friday.


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