The tax harvest.

Tonight most of the Australian population will have a few drinks and stay up late to watch the fireworks as they welcome in a new year.

This new year looks like bringing with it a lot more problems than the old year delivered, and one of those problems will be an increase in the tax harvest scattered across most aspects of life.

It seems to be a rite of passage that state governments see the new year as the starting date for implementing their never ending quest for more money. From tomorrow there will be some tax increases that are hard to miss. For instance, train and bus fares will jump seven and a half percent.

The tax increases that go unnoticed are the ones that subtly add to the cost of living. All the fees that get tacked on to any matter proceeding through the courts will rise from tomorrow. All sorts of licenses - including the compulsory green slip needed to register a car - will marginally rise.

None of these are large enough to generate a public out cry - but they will take a few dollars here and there out of your pocket - and for some strange reason they never seem to tally in the published rate of inflation.

It is often called " the nickel and dime " approach.

Many will face this new year with trepidation - because job security is threatened by the financial meltdown and the extent of the world recession has yet to be determined.

We will probably all survive to greet another new year twelve months from now - but as a wise man once predicted - nothing is certain - except " death and taxes " !

Expect those taxes to inch ever upward every year when the fireworks end !

A WIN-WIN situation !

There is no doubt that Wollongong council is guilty of a massive dereliction of duty in allowing our main sporting stadium and entertainment centres to be concentrated at the lower end of Crown street - without any attempt to provide parking.

The present meltdown may actually provide the key to unscrambling this unholy mess !

The " Gravity " proposal will not be built in the immediate future - and there is a doubt that it would be viable if the competing centre in Keira street ever eventually gets under way. That leaves the old Dwyer's site a vacant blot on the landscape.

Nobody is suggesting that parking to service Wollongong's needs should be free.

Now would be a good time for the council to be creative and provide an incentive for this to be turned into several levels of paid parking - with the space above zoned for luxury apartment living.

The incentive to attract developer interest should be a council offer to make this development rate free for a ninety nine year period.

That would be a huge attraction because rates cut deeply into the profits of any commercial venture - and that includes car parking. The same applies to choosing a dwelling in which to live - and it seems certain that freedom from future inflation increases would be a major attraction.

The opportunity to free the city of the blight of an entertainment district lacking parking is knocking on the door. It is just a matter of whether this city has the gumption and vision to seize that opportunity !

Recipe for Armageddon !

The events in Gaza defy logic ! Palestinian militants fire rockets and mortars into Israel, targeting the civilian population. The Israeli defence forces hit back with air strikes that kill 280 people - and wound over double that number.

The Palestinians claim that they are fighting a war to reclaim their country. The Israelis say they are defending their civilian population from acts of war intended to promote genocide. Both attitudes have elements of truth.

Hostilities have been ongoing since 1948 - and there is every chance that in the future they may escalate to the point where nuclear weapons are used.

The arms race has changed in recent years. Israel is known to have atomic weapons. Unstable and militant Islamic nation Pakistan has developed nuclear weapons very recently - and close neighbour Iran is rumoured to be well on the way to joining the nuclear club.

The total lack of logic where religion is involved makes Armageddon a likely eventual outcome.

If the radical Palestinian elements are given a nuclear bomb there is little doubt that they would deploy it against an Israeli city - and if that happened there is no doubt that Israel would use it's nuclear weapons in defence.

Just how far such a nuclear exchange could spread would be any one's guess, but while ever hatred is measured beyond reason the unthinkable is not only possible - but inevitable.

There is no answer. No amount of negotiation and no action by other countries is going to defuse the core reason for this ongoing war.

It will be left to the writers of future history books to ponder on what might have been !

A " Dark Knight " opportunity !

A lot of people are in trouble because of what they perceived as a sure fire, money making opportunity.

In July toll company Brisconnections floated at $ 3 a share - but quickly tanked and the share price dropped to an incredible one tenth of one cent a share. Many jumped in and bought huge quantities, lured by this companies stated promise of paying a 5.95 cent dividend in November. It looked like a sure fire road to immense riches.

What few bothered to find out was the fine print. Brisconnections floated on the condition that shareholders pay an additional $1 per share on April 29, hence the holders of those shares suddenly found themselves facing a payout way beyond their means - and to add to the misery - the company cut that dividend back to .05 cents - and delayed it until after the $1 call.

Shocked shareholders learned that they could not abandon their shareholding - and they faced loss of their homes, cars and personal wealth if the company pursued it's legal obligations and sued them for the money.

The shares are on the market - but of course there are no buyers.

It is amazing that some smart entrepreneur has not seized the opportunity offering. Those in trouble would heave a sigh of relief if they could find a buyer for their shares - and the debt would immediately transfer to the new owner.

What an opportunity for a person with absolutely no assets. No house. No car. Not a brass razoo in the bank - to offer to take those shares of the hands of distressed buyers - for a fee.

It would be a case of a " Dark Knight " riding to the rescue - and in the process becoming incredibly rich provided the money was a " donation " to a third person who had no business connection with the buyer.

There would be no point in suing a person without assets - and those with assets would be more than willing to pay a handsome fee to preserve those assets.

Opportunity knocks !

Disaster awaits us !

The Australian Bio Security Co-Op Research centre for emerging infectious diseases has released a chilling report on probable coming events.

A warming world and a rapidly increasing population in nations to our north make the emergence of new infectious diseases - and the reactivation of some old diseases - to be inevitable.

The warnings are there to be seen. It is only a matter of months since SARS broke out in some hot spots - and deaths from bird flu are ongoing in some of our northern neighbouring countries.

Decades ago the world was shocked when a totally new disease - AIDS - ravaged the gay communities of the world, and today that disease is still killing thousands of heterosexuals in many parts of the world.

The problem is that a warming world in combination with increasing numbers of people living in close proximity to each other - and to animals - generates the opportunity for new viruses to emerge.

There is always the chance of a disease of unprecedented power sweeping the scythe of death across nations - and in most cases new diseases are immune from conventional remedies and it takes years for science to devise an answer.

At the same time, old diseases are capable of mutation and taking on new defences and some that could scour population centres are Blue Tongue, Rabies and Foot and Mouth disease.

Customs and immigration are our first line of defence, but in this era of air transport a perfect defence is impossible. The best we can hope is that science is on the ball and working to anticipate what can appear suddenly out of left field - and that luck is on our side !

A mystery benefactor !

Something strange is happening in Shellharbour village !

Last month a package containing $ 210 was received at a local burger store. A note enclosed asked the proprietors to keep ten dollars - and spend the remaining two hundred dollars giving free burgers to their customers. The identity of this benefactor remains a mystery.

Two weeks later there was a similar incident. This time the money went to the proprietors of a chocolate shop - and once again lucky customers were overjoyed to receive their purchases free.

To heighten the mystery, half of a map accompanied the first and second act of altruism - and when combined this map led to the location of a third amount of $ 210 - this time destined for free food from a local cafe.

Rumours are going the rounds of Shellharbour village. Some suppose that this is the legacy of a deceased former resident with no close relatives to share his money while others favour a more bizarre twist associated with the spirit world.

There is a chance that this may be the end of the benevolence as a cryptic message on the map reached conclusion - but there is also no hint as to where this money is coming from - and therefore it may continue.

At the risk of being cynical, there is also a very good chance that this is the creation of a very smart advertising executive.

Things are tough and times are hard - and there is nothing like a mystery - particularly one that hints at the supernatural - to get people's attention.

Could it be that the merchants of Shellharbour Village have combined to create this sensation as a way of drawing people to their small community to shop ? If so, the advertising it has created is many times the value of the six hundred and thirty dollars spent giving away free goodies !

If this is the case it shows a " get up and go " spirit that is a welcome example in these difficult times.

Whatever the cause - there are some who will be drawn to shop in the village in the hope that they may be a beneficiary of the mystery - and get something for free.

Who could ask for better advertising ?

Opportunity knocks !

Christmas day ! This morning countless kids will shriek with joy as they open their presents. Later, families will celebrate the festive season with Christmas dinner. The only bleak thought is the certainty that for a few people Christmas will be a tragedy - because of accidents causing death on our roads.

There never will be a completely safe road system - but the roads we have leave a lot to be desired. We badly need a divided highway linking Melbourne, Sydney and Brisbane - and the Princes Highway - linking the sea-bord towns between this state and Victoria is an accident waiting to happen.

There is a plan to spend our way out of the looming recession, and top of the list of things to do should be the creation of the road system this country so badly needs.

It will be a huge task. We compare our present roads unfavourably with other countries, but in all fairness it must be remembered that Australia is a continent similar in size to the United States - but with a population of just twenty two million - compared to their three hundred million people.

This world recession is not going to be over soon - and spending our way out of trouble is likely to be a multi year project. There are plans to improve the road system in the pipeline - but they need expansion and fine tuning to soak up the expected unemployed and deliver a road system that will not only save lives - but create the commercial network the economy needs.

A good road system would return a handsome dividend for this country's future !

Inflation - the new enemy.

A lot of people must be wondering why Australia is taking a hit from the world economic meltdown. Our economy was in good shape. Employment was strong. We actually had a massive economic surplus.

It all started when a few greedy firms in Wall street, USA took advantage of a money surplus to make home loans available to people who lacked the ability to service those loans.

Then they bundled these loans into what they termed " Securities " and duped banks and investment firms into buying them as secure investments. When borrowers began to default it was realised that this was worthless paper. The money market panicked - banks stopped lending - and the world was on it's way to recession !

Governments of all political persuasions are spending money like drunken sailors trying to head off disaster. Most likely Australia has spent that massive surplus and will shortly join the rest of the world in fueling that spending spree by moving into deficit spending.

World government spending has moved off the description graph. We no longer speak of billions and trillions - like Zimbabwe we may need to coin a new word to accommodate this largess - maybe " Squillions " would do ?

Spending our way out of trouble may - or may not work, but one thing is certain - and that is the world is using it's printing presses to generate the money it is throwing at the economy. There simply isn't a source of money of that magnitude from any other source.

Do you remember when the biggest banknote available in Australia was the twenty dollar bill ? The steady march of inflation saw the introduction of the fifty dollar bill - and a few years later the hundred dollar bill.

Have you noticed the creeping inflation, despite the insistence by the government and the economists that inflation is " just mildly " outside the " comfort zone " of three percent.

Have you noticed that buying a single tomato now often costs fifty cents - and that bus and train fares are increasing at double and even treble this supposed inflation rate - and that electricity and gas are predicted to fade beyond the reach of low income earners ?

We are about to see a readjustment of monetary value - and that is called hyper inflation. World government debt incurred to try and head off economic collapse can only decrease the value of money in real terms - and that means your savings and the amount you are counting on for retirement is becoming a shrinking commodity.

This " fact of life " is met by a wall of silence from both the government - and the economists who have the skill to see it coming - because it is far safer to live in a world where we are insulated from bad news.

We will surely survive this world meltdown - but the economy we are accustomed to will be as remote as the days of pounds, shillings and pence way back in 1966.

The day when everyone will be a millionaire is about to dawn !

Solar panel gobbledegook !

Few would disagree that having solar panels on the roof is a good idea. Solar panels can use the sun to give hot water without the need to tap fossil fuel burning electricity generators - and can actually produce electricity without giving off harmful carbon emissions.

The government heavily subsidizes the installation of solar panels - but all that is about to change from July 09.

This subsidy is means tested - and the division point is for those earning more and those earning less than $ 100,000 a year.

Amazingly those earning less than $ 100,000 will have their subsidy cut by $ 3,600 and those earning more than $ 100,000 will have their subsidy increased - and there will be a marked disparity between the subsidy offered to those living in the southern states - compared with the rest of Australia.

For residents of Sydney, Brisbane, Adelaide and Perth those earning under $ 100,000 will see their subsidy drop for $ 9275 to $ 6374, while those earning over $ 100,000 will see theirs increase from $ 1275 to $ 6374.

In Victoria and Tasmania the under $ 100,000 lot will go from $ 9093 to $ 5660 and the over $ 100,000 from $ 1093 to $ 5466.

It seems that the Federal government is alarmed at the popularity of this scheme - and has taken steps to slow the drain on it's funds.

It seems like a " smoke and mirrors " operation based on simple mathematics.

The number of people earning more than $ 100,000 is a whole lot lower than the vast majority - who earn considerably less than that sum. By reducing the subsidy to the larger group it becomes less attractive - and therefore the applications fall and the government shells out less money.

Perhaps it has something to do with the perception that the humble working folk are " the great unwashed " and therefore free hot water is wasted on them. It would be an interesting survey to establish if the rich shower more than the poor - and no doubt some statistician on the government payroll will one day undertake such a task.

Whatever the reason - from July solar panels will move further from the reach of the average wage earner - which seems a strange decision from a government that professes socialist credentials !

Rescue costs !

There will undoubtedly be criticism of the $ 1 million spent sending HMAS Arunta on a 1200 kilometre mercy dash to rescue injured sailor Yann Elies from his yacht in the Great Southern Ocean.

Yann was competing in the Vendee Globe around-the-world race and in previous years mishaps have led to similar dramatic rescues - and a similar heavy expense sheeted home to Australian taxpayers.

It would be unthinkable that Australia would refuse to respond to such calls for help. We have obligations under international treaties to assist people of all nationalities in trouble - and it is the Australian psyche to disregard cost when human life is at stake.

What would be nice would be for the organisers of races like the Vendee Globe to take out an insurance policy to cover at least part of the cost of such rescues.

The race has sponsors and the media shows great interest - hence a levy to provide cover would not be unreasonable.

By it's very nature, sailing in the Great Southern Ocean is a risky business. It is far removed from anywhere - and is well known for producing huge storms and hazards such as drifting ice bergs.

An Australian response is not likely to change in the future - and at least the dash of an Australian warship can be written off as a training exercise.

A task of Biblical proportions !

Kevin Rudd's government has announced a budget of $ 6.1 billion to house the homeless people of this country.

Somehow that brings back memories of a previous prime minister who set a date by which " No child in Australia will live in poverty. "

It is estimated that on any given night 105,000 Australians are homeless, and that of these 16,000 sleep rough in the streets. The Federal government is pledging that within twelve years all those sleeping rough will be found a home.

Apparently the government does not understand the meaning of the phrase " Supply and demand ! "

If the supply is sufficient - demand quickly follows !

The churches hold out their hands for money and one of the reasons they claim our benevolence is to minister to the poor. The strange phenomenon is that we have hordes of obscenely rich churches - and despite this the legions of the poor never seem to decrease.

The reasons people are homeless are varied - and that ranges from the personal tragedy of alcoholism, sexual abuse and mental illness - to plain old fashioned selfishness and a refusal to obey the basic rules of self discipline in our relationship with others.

Homelessness is not something we can ignore, but most people would think the prime minister is being naively optimistic if he thinks that just throwing money at the problem will make it vanish.

What odds that twelve years from now - like that promise of the end of child poverty - very little will have changed ?

A holiday - but not for all !

The decision to repeal Boxing day as a " no trading " day for major stores will get a mixed reception.

Some will welcome the chance to return Christmas presents that are the wrong size - the wrong colour - or just plain awful !

The people who have to work in those stores will surely miss what has become a rare event in this country - two continuous days off work apart from their annual holiday break.

Big business will heave a sigh of relief at the news - because times are hard and this means that they are able to compete on a level playing field. In previous years that ban only applied to major centres - places deemed " tourist areas " were permitted to open.

It all seems to revolve around the concept of a market place without restrictions versus the rights of employees to a reasonable life style. The concept of Sunday as a day of rest has long gone - and it can not be too long before some traders will want to open their doors on Christmas day and Good Friday.

What seems to be missing is the first concept of supply and demand. There is only so much money in the community available to be spent. If the shops are closed for a day this spending is delayed until they open their doors - provided that closure is universal and there is no cheating.

If Boxing day reverts to a non trading day - except for convenience shops and petrol stations - the big traders actually save a days penalty wages - and lose nothing in the volume of overall sales - and the people they employ get a two day break.

It seems to be a win all round situation !

The " Air safety " question.

Sydney has been an incredibly lucky city. Since the start of air transport Kingsford Smith airport in the heart of the city has had an unblemished safety record.

Unlike some overseas airports, there has not been an event where a huge passenger jet has crashed and ploughed through suburbia, killing and maiming hundreds.

This can probably be attributed to rigid safety regulations, well maintained modern aircraft, superbly skilled crews - and luck !

The pressure to create a second Sydney airport seems to have faded. Badgery's Creek has been ruled out and there is no immediate contender in sight - and hence the big jets continue to fly into the heart of Sydney - and will do so for many decades to come, even if a second airport decision was made right now.

What is surprising is that there is a second airport operating right in this city - and it is the primary training ground for aspiring pilots - and yesterday the worst fears of those living nearby was realised when two light planes collided - and one crashed into a home, killing the two pilots.

This raises the question. Should Bankstown be the site for pilot training schools, given that all approaches are over a built-up area of residential suburbs ?

The answer is clearly - no !

Bankstown also has a role as a freight airport and at least this traffic is operated by pilots with long flying experience. It is also slowly emerging as the base for regional passenger services on the basis that overseas jet traffic leaves little room for regional operations at Kingsford Smith.

It seems almost unbelievable that Bankstown must also share air space with large numbers of light training aircraft flown by trainee pilots. This is a certain recipe for disaster - as yesterday's events illustrated.

The government would be wise to immediately consider moving pilot training to a regional airport well outside the Sydney basin. There would probably be opposition on the base of time and distance involved, but the advantages of safety and the removal of stress in trying to manage trainee pilots and commercial traffic over a densely built-up area is overwhelming.

The other advantage is - unlike a duplicate of Sydney's main airport - a training facility would not be a costly airport to establish - and it could be sited at any of a number of existing regional facilities.

Such a move would benefit all concerned !

Land price sanity !

At long last some sanity is being applied to the massive land release about to occur at West Dapto. The number of blocks will be reduced from 19,000 to 16,000 - but the price per block will also fall by $ 64,000.

This will happen because the state government has removed the up-front housing levies imposed on developers and decided to apply any levies at the time of sale.

It accepts that housing at West Dapto in the $ 320,000 to $ 450,000 mark would not fulfill needs - and would certainly not apply the brakes to house prices generally in the Illawarra.

This action finally draws the whole question of development levies kicking and screaming into the public domain. Levies were introduced years ago to help pay for the government infrastructure needed to service new housing estates.

Obviously new housing needed access roads - and from there the list grew. There was a need for telephone services, street lighting, schools, churches, hospitals, fire stations, bus services - and shopping centres.

Levies to provide these got tacked onto the price of newly released land - but the services were usually decades behind - and in many cases never fully provided

Families faced a choice. Move into a new estate and live in a cultural desert - or pay a little more and live in an established suburb with all the amenities ?

In many cases, councils hoarded the money from development levies and used the interest from it's investment to fund projects that had absolutely nothing to do with the area from whence the money was collected.

The big question is whether those who buy newly released land should have to pay for all the services required, or whether this should be a charge on government and be drawn from the taxes levied on the entire community ?

It seems that government thinking is slowly moving to that point of view !

Life gets harder !

One of the avenues available to citizens trying to navigate the complexities of the law is closing.

People who can not afford a lawyer and who do not qualify for legal aid have in the past had the opportunity to consult Chamber Registrar John Kuczwal at Wollongong Court House. This position was formerly known as a Chamber Magistrate.

John Kuczwal does not give legal advice, but provides guidance on the options available under the law. This could involve matters relating to children, debt, neighbouring disputes and violence.

Often sound advice from the Chamber Registrar can defuse grievances and lead to a resolution without the need for court action, and as such this is a valuable service much appreciated by the public.

In future the time available to consult with the public will be extremely limited because additional court duties have been imposed on the Chamber Registrar. Those seeking advice will have to make do with accessing a call centre.

It seems part of the shrinking free public services being wound back because of the economic downturn - but the advice of a call centre can not match the value of a friendly face to face interview with wise legal council in setting the under privileged at ease and providing guidance.

It also underlines the gap between rich and poor when it comes to the law. The rich can afford fancy lawyers and their day in court.

That is now something that moves further away for the lower level of society !

Telstra plays " hardball " !

Yesterday Telstra shares fell 48 c - an 11.6% drop - on the news that the Telco had been dumped from the tender process for the National High Speed Broadband service.

Telstra has long played hardball when it comes to negotiating with the government and in a glaring attempt to use it's muscle to it's own advantage it chose to ignore one of the five mandatory requirements of the tender process.

It failed to include plans to allow " small and medium enterprise participation " - SME - to allow a wide range of providers to supply goods and services to the project.

By shutting out the rank and file, Telstra obviously intended to keep work on the project " in house " - and thus be able to enhance it's profits from behind a veil of secrecy.

It seems to be a case of Telstra issuing a dare. It believes it is so big that the project can not proceed without it's inclusion - and in that respect it does hold a huge advantage.

The broadband project does not intend to deliver a broadband service to every home and office in the country. The plan is to provide it " to the node " - which means to the telephone exchange in each city and town.

Telstra owns the copper wire that delivers telephone services from these exchanges to every home and office, and it is declining to make that copper wire available unless it gets it's own way and controls both the system - and the prices it chooses to charge.

It is a dangerous brinksmanship. The cheapest way to connect the exchanges to homes and offices would be via the existing copper cable network - but that is not the only way possible.

The government could opt to up the ante and replace copper cable with a wireless connection - similar to the mobile phone system. If that happened, Telstra would be left with a billion dollar investment in place that would be instantly redundant - and which would turn from an asset into a liability.

Copper wire is old technology and Telstra is playing with fire if it pushes too hard. The losers would be the Mum and Dad investors who bought Telstra shares in the hope of a bonanza similar to the Commonwealth bank issue when Telstra was privatized.

This s a high stakes poker game. If Telstra finds it has a losing hand of cards the executives in charge will walk away rich men - and the shareholders will bear the losses.

Global warming - decision day !

Today the Australian government will announce the target for reducing Co2 emissions, due to start in 2010. Whatever that figure - it will not please everyone !

The objective is to cease warming the planet by reducing the amount of carbon generated and this is to be measured as a reduction achieved by the year 2020.

The government has suggested that this target will be somewhere in the range between five and twenty percent - generating howls of pain from both ends of the debate spectrum.

For the purists a low figure will achieve nothing and condemn the world to rising seas, lower rainfall and the death of millions.
For industry the gazetting of a higher figure would amount to " economic suicide " because the cost of implementation would make us uncompetitive and see our economy crash to ruin.

The fact that the decision is being taken at a time when most of the world has slid into recession and the world economy is on a knife edge is seen by many as a good reason to delay the start until times improve. Others question whether any figure is sustainable unless all the nations on this planet agree to jump aboard.

Then there is the question of good faith. Leaders of some countries are known for agreeing to plans and signing legal documents - and at the same time having no intention of actually meeting these obligations.

Pledges of money at world forums are little more than a joke - when implementation is ignored. Why should anything be different when it comes to climate change and the pain necessary to reduce Co2 levels.

It seems that Australia is likely to be one of the first nations to bite the bullet and announce a binding reduction target. World reaction will give an indication of just how seriously other nations are committed to action rather than just rhetoric.

A deathly silence would not bode well for this planet !

Darker nights ahead !

Very few people give much thought to the street lights that make our suburbs safe at night. They are simply a fact of life - and we only give them thought when a bulb needs replacing or a storm causes a power failure.

The light poles, cables and bulbs are all supplied by which ever power company services our neck of the woods. Energy Australia, Integral Energy or Country Energy then bill the local council for the power used.

We know that electricity prices are set to rise sharply - and lighting the city and suburbs uses a lot of that commodity. The power companies are talking to the Australian Energy Regulator ( AER ), about an 11% increase in July - and suggesting that street lighting costs could increase by 40% by 2014.

Councils fear this is an under estimate - and that the true cost could be more likely 67% by 2014.

Rate rises are pegged by the state government, hence if street lighting increases sharply councils will either have to cut back other services - or make economies with the street lighting programme.

Sooner or later they will need to consider a range of options - and these could include a reduction in the wattage of light bulbs used to the idea of turning off every second street light.

The result would be a dimmer city - and public safety would have to be a consideration - but that seems to be the choice between keeping street lighting in it's present form and reducing items such as the hours of public libraries or mending fewer pot holes in our roads.

Either way - it will not be a popular decision !

The " Cockatoo Run " is alive and well !

One of the best tourist attractions of this state was the " Cockatoo Run " - a journey from Central in Sydney through the scenic south coast to Robertson in the southern highlands.

The centre piece of this return to the steam age was the magnificent 3801 steam engine pulling antique coaches. There was a waiting list to book a ticket - until a disinterested state government pulled the plug.

The restored 3801 was housed at Everleigh rail yards - and the government had plans to develop this for high rise living. Steam engines need coal and water, facilities of the past in an electric age and something the government couldn't be bothered providing. They simply refused to renew the lease on 3801 - and that great old engine was returned to the train graveyard at Thirlmere - and left to rot !

The Cockatoo Run lives on - this time pulled by engine 5917. This American built black monster was restored at Cowra by the Lachlan Valley railway and once again full loads of tourists will experience the age of steam as they journey through magnificent rain forests on a memorable days outing.

There remains one thing yet to be restored. In the 3801 days the coming of this train was heralded by it sounding it's steam whistle. This unique sound on a Sunday morning brought children running to the rail line to see the train - but the mean spirited complained and termed this " noise pollution " - and the whistle was silenced.

Lets hope the driver of 5917 once again pulls the lanyard - and that nostalgic sound of a by-gone age again delights enthusiasts as it steams on it's south coast journey.

The " Go Home " solution !

Wollongong council has released details of a plan to control drinking and food hours in this city - and it seems to create more problems than it solves.

The idea is to separate pubs and clubs into two categories - those that presently exist, whose hours and conditions will be unchanged - and " new " premises which will be forced to adopt vastly changed trading conditions.

The existing clubs and pubs have a mix of trading hours that range from 4 am closing to unrestricted 24/7 operations. There is public disquiet at the conduct of patrons exiting these venues, resulting in fist fights, graffiti and damage to property.

According to the council plan all new alcohol outlets would face a 1 am closing time and food premises would close at midnight. New pubs and clubs could apply for an extension - which would mandate a 2-30 am lockout and a 4 am close. Food outlets could be granted an extension to a 2 am close.

The " Catch 22 " provision is that should any existing location wish to make improvement to their premises that would necessitate a Development Application to Council ( DA ) - this would result in that venue moving from " existing " to " new " in the application of these rules.

It doesn't take Einstein to figure that this imposition would immediately close off all thought of venue improvement. The drinking scene in this city would be stuck in a time warp - and it would do absolutely nothing to improve the rowdy behavior of patrons exiting the existing club and pub scene.

It looks like the new Council Administration is trying hard not to upset the owners of existing venues, given their clout and ability to guide public opinion - and at the same time give the voters the impression that they are moving to clean up the mess.

The question nobody seems to want to address is whether we need licensed premises dispensing alcohol 24/7 !

It would make a whole lot more sense to simply bring in a new closing time that would seem reasonable to most people.

The longer people drink - the drunker they get ! If they haven't had enough to drink by 1 am or possibly 2 am - then there is a case for requiring them to do the rest of their drinking in the safety of their own homes.

Council should bite the bullet - and bring in a " go home " policy and mandate a reasonable closing time for this regions clubs and pubs. There would be no need for legislation on food hours as a result.

Nobody stays open when the customers have gone home !

Beware the legal bandits !

Identity theft seems to be the latest crime wave separating victims from their hard earned money, but there are also clever people operating entirely within the law who are achieving the same result.

Vast numbers of people found themselves owning shares when the N.R.M.A. demutualized some years ago. For some this was their first experience at owning shares and as a result entrepeneurs started to exploit their vulnerability.

All holders of I.A.G shares - this being the insurance arm of N.R.M.A. - received letters offering to buy their shares. The inducement was that there would be no broker's fees - and all the holder needed to do was to sign on the dotted line of the attached legal transfer document.

The only problem was the price. The sum offered for the shares was usually at least half of what those shares were currently worth on the stock exchange.

It is amazing just how many people happily signed away their free shares. In some cases they were hit at a vulnerable time when money was urgently needed and many had no idea what the actual worth of their shares would be - and had no idea that it could be determined by checking the share prices in their local newspaper.

This purchase scheme runs on a well oiled strategy - and once again letters of offer are in the mail to all I.A.G. shareholders. Circumstances may have changed since the previous offer. The owners of the shares may be deceased and the shares passed on to a spouse or other family member.

Perhaps the present economic downturn may be more conducive to triggering a selling decision.

This has been a most successful operation and it has netted the organizers millions of dollars. What can be more simple than buying something at half it's worth and promptly reselling in through the legitimate stock exchange ?

The scheme is also perfectly legal. No law is broken if a buyer offers to purchase something at a price lower than it's worth. That is the first law of commerce and is exploited daily when merchants advertise in newspapers and on TV offering goods way below their supposedly real value - thus reversing the deal.

Buying or selling - both sides need to do their homework - and for those with shares the best protection is to learn to keep abreast of values by checking the share price in daily newspapers on a regular basis.

And check with a financial adviser before signing on that dotted line !

Maxi cabs.

The Illawarra has it's first maxi cab. The only question seems to be why this excellent idea took so long to morph into reality !

Cabs date back to the horse and carriage days - and the number of seats available is actually diminishing. Decades ago most cabs took five passengers and the driver. Today that has shrunk to four passengers and the driver - the replacement of the front bench seat in favour of front bucket seats having removed a capacity of one.

The first Illawarra maxi cab - based at Shellharbour - can take eleven passengers.

There are attractive economics in it's fare structure. More than four passengers result in the meter charging a fare and a half for the remainder up to the eleven capacity.

Suppose a party of people require transport from Albion Park to Wollongong and their numbers would necessitate two cabs. The fare would be $ 180 for two cabs to make this trip. In comparison - the maxi cab charging at a fare and a half would only cost $ 90.

Knowing that a maxi cab is available, many people will tailor their outings accordingly. There is value in combining friends and family to share the cost of an outing rather than several people making their own arrangements.

We have special cabs for the disabled. It is a long overdue extension of thinking to introduce bigger capacity cabs to move groups of people who wish a night out - and being responsible people wish to avoid the danger of drinking and driving.

The state government could do it's part by introducing lower registration fees to help offset the higher purchase price of such vehicles !

The right to demonstrate ?

We seem to be moving to the far left when it comes to our attitude to public demonstrations. Few would argue that the public have a right to protest against government decisions of which they disagree. The problem is just what degree of violence is acceptable !

The nation of Greece has seen it's youth take to the streets, smashing business houses and committing arson. In one incident a youth throwing a " Molotov cocktail " was shot by police and killed.

As a result, the police involved have been arrested. A minister has stood down from his post - and an enraged mob is roaming the streets causing more damage.

Many here would be reminded of a similar riot at Redfern several years ago. In that instance poor police leadership saw police without body armour face a drunken mob of Aboriginals who assaulted them with " Molotov cocktails ". No shots were fired, but the police were criticised for defending themselves with batons.

It is reasonable to question whether a demonstrator has the right to try and inflict grievous bodily harm - or even death - on a police officer and expect to get away with it without deadly force being used in defence.

The only reason people resort to such tactics is the certain knowledge that deadly force will not be employed.

The attitude of the public is fickle. If a police officer is badly injured in such a riot the public tends to shrug their shoulders and look the other way.

If a demonstrator is similarly injured the outpouring of rage knows no bounds - and of course - the defensive action of the police is condemned.

There would be few instances of extreme violence in demonstrations if the sure and certain outcome would be the use of deadly force in return.

When demonstrators burn cars and buildings, assault citizens opposed to their view - and try to kill police they are surely no better than terrorists.

It is time the " softly - softly " approach was abandoned - and force was met with force !

The slave drivers !

Medical people will ring alarm bells at the news that in the first twelve months of government forty percent of Kevin Rudd's staff have quit - and Deputy Prime minister Julia Gillard has experienced an even greater attrition rate of fifty percent - with " overwork " claimed as the reason.

A new government fresh to office has a big task of setting it's agenda and the past twelve months have been unusual in that the world has experienced a financial meltdown, but that sort of resignation rate would get the full attention of union officials if it happened in private industry.

Workers advocate Bill Shorten comments " I don't think people have been worked too hard ", but that is hardly reassuring considering that he is referring to his boss and the deputy boss of his own political party. He is hardly likely to voice criticism in such circumstances.

Any good psychologist would see danger in this situation. Either these two political leaders are slave drivers who demand performance beyond human capacity from their subordinates - or they are themselves working at an unsustainable rate and expect their crew to work to a similar level.

In either case there is only one possible consequence - and that is " burnout " !

We are now seeing this " burnout " in the attrition rate. Jobs at this level pay very good salaries and have huge perks so employees do not relinquish them lightly.

The fact that so many throw in the towel and walk away has a lot to do with the medical consequences of impossible hours and mental strain. Such conditions are clear factors in alcohol abuse, marriage breakdowns and the deterioration of mental health that has so many unpleasant manifestations.

The big danger is to the continuing health of Rudd and Gillard - and their capacity to perform in the top jobs in this country.

So far they seem to have done a good job as our leaders and it would be catastrophic if their work load impaired their mental ability - causing them to make mistakes that this country could ill afford in the present economic circumstances.

The message is clear. They need to slow down - and evaluate what still needs to be done at a less frenetic pace.

If this impossible attrition of their staff continues Australia will have good reason to believe that the same fate will overtake the two people at the pinnacle of power !

Tyre danger !

It's a fact of life that most drivers pay too little attention to the tyres on their car. As long as there is enough tread showing to pass the annual registration inspection seems to be the extent of their concern.

Tyre pressure also is widely ignored, despite the fact that under inflated tyres cause drag and reduce petrol economy, and both under and over inflation cause uneven wear and bring the date of replacement closer.

Some people try to save money by using low cost retreaded tyres, but these have a habit of tread separation - and should never be used as steering tyres if the vehicle is to be driven above very low speeds. Retreads function satisfactorily in stop/start commuter driving, but beware using them on the open road.

Now there is a new danger being brought to the attention of motorists. The age of tyres is a factor and many people who have new tyres installed expect that they are buying a product made in recent months.

Beware the dealer who has a sloppy record of stock turnover - or is discounting a line of tyres which may have been a poor seller and remained in the warehouse for years.

Tyres have a manufactured date embossed into their sidewall - and it is important to check this to see that the manufacture date was recent.

Also keep in mind that spare tyre in the boot. Many people do not rotate their tyres to get a spread of mileage and in some cases the tyre in the boot matches the manufacture date of the car - and in an old car that could be a fatal combination.

Tyres have a tendency to perish with age, and when you are doing a legal 110 kph on the freeway that is not a good time to experience tyre failure.

Regular attention to air pressure - and checking the manufactured date when replacing tyres can pay dividends - and make for safe motoring !

Borrowed money !

Few would disagree with the strategy of Kevin Rudd's government to try and spend our way out of trouble. It is a plan being followed by most other developed nations and there is at least a fair chance it will succeed.

That surplus of just about twenty-two billion dollars has been a God send. Without it we would be deep in deficit to bolster public spending - and money borrowed is something that eventually has to be paid back.

It seems inevitable that we will have to embrace a deficit to keep the money stream flowing and the big question that will worry many people is just how political the spending of that money will become.

The government is talking about funding some sort of development bank that the states can draw on to finance essential infrastructure projects. The danger is that politics will get in the act and we will see states with a Labor government rise to the top of the list in the hope that these projects will deliver public voting support - and keep Labor state governments in power.

There is also the question of what this money will finance. The last thing we need is political choices that look good to the voters because they employ people - but in reality deliver little to the benefit long term of the country.

Politicians being politicians there is every chance that re-election will take precedence over the public good.

We are facing the most dangerous financial period since 1929 and if ever fiscal management needed the right choices and an unbiased approach it is now.

When we adopt a deficit culture those making the decisions should remember that the money being borrowed to fix today's problems will become a debt that our children and grand children will have to repay.

Politicians fade to a very comfortable retirement when their time in parliament ends - but the decisions they make become a legacy for every man, woman and child in this country - and their heirs !

A new " loop " bus.

The state government plan to introduce " loop " bus services to Wollongong and other major centres is probably the best and most practical transport innovation in recent decades.

In Wollongong this 14.7 kilometres loop will service the beach, the entertainment precinct, the CBD and the Mall, the railway station, the hospital, the University - and the inner city suburbs from Fairy Meadow in the north.

Buses will run every ten minutes both ways in peak during weekdays - and at twenty minute intervals off peak - while weekend services will be on a thirty minute time frame. It is envisaged that the service will involve a thirty-five minute round trip.

One worrying feature is the suggestion of just seventeen bus stops, meaning that each stop will be just under a kilometre apart. The important thing will be to ensure that there is ample car parking available close to each of those stops.

The purpose of this loop bus is to get people out of their cars and using public transport. The planners need to take into account that most people will still use their car to get to where they intend to board the bus - and will use their car to return home after the journey.

The biggest remaining problem will be - inertia ! This is a marvellous idea, providing transport free of charge to solve the parking problem, but getting people to actual break their usual transport pattern and go by bus will be a challenge.

How to achieve that remains to be worked out, but the biggest tragedy this city will face would be to have these free buses running day and night - without passengers.

If the loop bus fails because of lack of patronage we will only have ourselves to blame - and it will fail if people turn their backs on it.

Somehow the promotional people have a job on their hands - to convince the people of Wollongong that driving their cars to destinations serviced by the loop bus is simply so anti-social that they will be condemned by their peers.

It worked with other conservation measures. How many people still waste water openly ? How many haven't changed to power efficient light bulbs ?

The challenge will be to convert public attitudes. How that can be achieved is the question still to be addressed !

Credit cards.

Interest rates are falling fast as Reserve banks the world over try and head off the looming financial meltdown. Good news for those with a mortgage - but offering no relief for those heavily indebted to the banks through their credit card regimes.

It all started in Australia back in 1974 when Bankcard was introduced. The banks aggressively mailed out this new credit card to customers and the ubiquitous " Bankcard Welcome " appeared alongside merchant's cash registers.

People who had never experienced credit beyond a local store card suddenly found themselves targeted with their credit limit repeatedly increased and minimum repayments deceptively alluring. In most cases no interest was charged if the card was fully paid within thirty days.

It went downhill from there. Credit cards could be used overseas and could fund holidays. Interest rates crept up - and then the banks moved in for the killing.
Suddenly a plethora of extra charges applied. Pay a day late and cop a hefty fee. Administration fees and number of transaction fees vastly increased bank profits - and made credit cards a losing proposition for many.

The subtle marketing plan the banks used was the scattergun approach. Credit worthiness was not an option. The banks dished out credit cards and raised credit limits with reckless gay abandon.

Young people with little commercial experience fell into the trap and became hopelessly over committed - and many faced bankruptcy. Credit cards became the avenue of last resort for those facing financial ruin because of market changes - and the banks couldn't have cared less !

They maintained impossible credit charges to compensate for taking no action to limit these cards to people with responsible credit histories. Just about anyone could get a credit card and rack up debt. Those that didn't pay were written off - and subsidised by those who did pay.

Now the day of reckoning is approaching. The government is demanding that the banks adjust their credit card rates in tandem with mortgage rate decreases - and the banks are baulking.

It all depends on the will of the government. If the Treasury applies enough pressure the banks will have to fall into line and we will see a new era of credit management.

Getting a credit card will become very similar to the procedure for getting an overdraft in years past. A good credit record will again become a badge of honour, necessary when entering into any new financial transaction.

It seems to be a test of wills - and on a world view the situation is not encouraging. So far the banks seem to be standing firm - and credit card charges remain high in all countries of the western world.

All it needs is a little bit of firm resolve !

The enemy within !

The appointment of Hilary Clinton as Secretary of State may be the worst decision Barack Obama has made so far in his career.

The job of Secretary of State is crucial in an American administration. That person is the conduit to the rest of the world and must accurately parlay the policies of the president to other world leaders.

Hilary Clinton is a politician with her own agenda. In particular, a socialist party such as the Democrats contains many strange bed fellows and points of view. The vision of the party leader is not usually the only view of choice within that party.

It can be expected that Clinton's attitude to her job will be heavily influenced by her life partner - former president Bill Clinton.

The stage seems set for these two political heavyweights to form an alliance within the new administration that may or may not run parallel to the policies of the president.

There is also every chance that Hilary Clinton has her sights set on a future run for the presidency - and if that means establishing herself as the originator of American foreign policy rather than as a mouth piece for the president - it could signal a mile of rocky road ahead.

Obama has made a decision that could deliver a dividend, provided Clinton continues to provide loyal support. She certainly has the brains and experience to be a great Secretary of State.

The only question is whether she can control her husband's meddling ways - and whether her ambitions and those of the president run in tandem !

The art of illusion !

Politics is all about creating an image that may have absolutely no relation to reality. Such is the outcome of the transfer of car imports from Glebe Island in Sydney to Port Kembla in Wollongong.

From the start the reason was shrouded in obscurity. Wollongong people were told it was to stimulate growth in their region - and create more jobs - jobs - jobs !

Sydney people were told that removal of commercial activity from Port Jackson would stimulate the tourist trade, Sydney would become a world Mecca and residents would prosper from the coming spending boom.

The last car transport has now discharged at Glebe Island - and the smoke and mirrors have faded to reveal - reality !

The real winner has been the transport industry. When the first of the 235,000 imported cars roll off the ships in Port Kembla they are put on car transports - and trucked right back to the car storage and distribution facility at White Bay - in Sydney !

The vast portion of those cars - between 70% and 80% - are destined for car showrooms in Sydney and adjacent areas. As a result, car movement amounts to about 110,000 truck movement trips annually.

The only winner has been the state government. Land formerly used for commercial shipping activities has been freed up for redevelopment - and most of that is in the high priced foreshore areas where high rise will bring a king's ransom.

Sydney will have lost the jobs of those who formerly worked serving commercial shipping. Wollongong will suffer a crippling increase in truck movements that will overload it's existing struggling road system - with no improvements either planned or projected - and all this extra transporting will surely leach into the delivery price of imported cars.

It will all be sheeted home to that magic word " progress ".

But don't tell that to the commuters on their daily grind getting to or from work on the dangerously congested F-6 and Picton roads !

Salon danger !

A long time ago a hairdresser was a licensed professional who had successfully completed a trade course. That qualification was proudly displayed on the salon wall.

For some inscrutable reason the New South Wales government decided it was just too much bother to regulate the trade - and since then anyone can set up shop and call themselves a hairdresser.

The results are now coming forth in women scarred by the incorrect use of hazardous chemicals and a litany of damages cases finding their way through the courts.

In earlier days hair colouring and fashion in general were of a milder nature. Today running a successful salon requires the operator to produce results comparable to the best Hollywood stylists - and to create new creations that bolster customer numbers.

This is where the problems arise. What may be perfectly safe to use on one person could produce horror results on another with allergies or a different skin type.

Without training the hairdresser is at the mercy of blind chance, and in many cases suitable training would alert a hairdresser to send the customer to a dermatologist before even considering applying harsh chemicals.

It seems to be a case of " buyer beware ". The courts require any business to apply diligence where damage may occur, but without formal qualification there is no clear cut area of responsibility.

It may be that in the near future people going into a salon for hair treatment may be asked to sign a waiver disavowing responsibility for any unfortunate results.

There is also a chance that the government may see the light - and reintroduce a trade regulated by professional training standards !