One of the most divisive issues confronting Australians concerns migration. There is a wide range of views about how many people this vast continent can comfortably hold - and under what rules new arrivals should be processed.
We have come a long way. Back in 1952 the Australian population was just 8.7 million. Today we just ticked over 22.5 million - and we have an imbalance living along our eastern coastline. It is worth noting that of that 22.5 million 7.3 million live in NSW, 5.6 million in Victoria and Queensland accounts for 4.5 million.
A small number of citizens opt for the " open slather " approach. Open our doors to all comers - just as America did when it was an empty continent back in the 1700's. With the level of discontent in many parts of the world we would probably have a population of over 300 million in less than a hundred years.
The question is ? Could Australia sustain such a population ?
Certainly not with any degree of comfort. When America opened it's doors a lot of people got incredibly rich - but an even bigger segment of the population got incredibly poor. Even today, the less well off in Australia fare a lot better than their counterparts in the US. We are more generous with unemployment benefits, public holidays and family support systems.
Unfortunately, our migration policy is probably going to be put to the test if some economists are correct in their prognosis of a coming food famine. If the world population reaches ten billion by 2050 the need for food and water will send a migratory herd scrambling for a new home - and Australia is high on the list of desireable destinations.
We are seeing parts of Europe being overwhelmed by migrants fleeing fighting in north Africa and instability in the Middle East is sending a steady stream of people looking for a new home. Famine in the horn of Africa is likely to kill hundreds of thousands - and this could be only the beginning of a world trend.
Time to make some firm decisions on our migration future - and to put in place the mechanism for controlling entry into this country - before a trickle becomes an unstoppable flood !
Friday 30 September 2011
Thursday 29 September 2011
The " Missing Link ! "
The journey from Wollongong to Sydney is a mixed experience. Just getting out of this city involves either sharing Mt Ousley road with convoys of heavy trucks grinding up the steep slope in low gear, or a sixty kph climb up Bulli Pass to reach the F-6.
Things improve rapidly on the F-6. A divided road with a speed limit of 110 kph - but then that stops suddenly when you reach the southern limits of Sydney. That 110 kph actually morphs into an almost unbelievable 50 kph - and that on a divided, four lane arterial road - but it gets even worse as you proceed further into Sydney.
You can actually see the high buildings of the Sydney CBD, but you are in the " morning crawl " of commuter traffic enjoying " stop - start " progress on roads that were never intended to take such loads - and there is absolutely no arterial road to service the south of the city.
Strangely - it is there on some old maps. Way back in 1951 a land corridor was set aside for a new expressway to connect Loftus in the south with St Peters in inner Sydney. The only problem is - it was never built !
That land still sits idle, waiting for the government to allocate funds and get the bulldozers and heavy machinery moving to create a decent system to duplicate the arterial roads that have already been constructed to service the north and the west approaches to Sydney.
We seem to be the " poor relation ". Getting work started is not even on the drawing board - and some very angry people are starting to make demands for preliminary work to get underway to at least get the road planned.
Arterial roads cost money. Lots of it ! But at least there is hope if what is to be achieved is laid out in blueprints that will be constantly waved under politicians noses.
As Confucious wisely noted. The longest journey starts with the first step !
Things improve rapidly on the F-6. A divided road with a speed limit of 110 kph - but then that stops suddenly when you reach the southern limits of Sydney. That 110 kph actually morphs into an almost unbelievable 50 kph - and that on a divided, four lane arterial road - but it gets even worse as you proceed further into Sydney.
You can actually see the high buildings of the Sydney CBD, but you are in the " morning crawl " of commuter traffic enjoying " stop - start " progress on roads that were never intended to take such loads - and there is absolutely no arterial road to service the south of the city.
Strangely - it is there on some old maps. Way back in 1951 a land corridor was set aside for a new expressway to connect Loftus in the south with St Peters in inner Sydney. The only problem is - it was never built !
That land still sits idle, waiting for the government to allocate funds and get the bulldozers and heavy machinery moving to create a decent system to duplicate the arterial roads that have already been constructed to service the north and the west approaches to Sydney.
We seem to be the " poor relation ". Getting work started is not even on the drawing board - and some very angry people are starting to make demands for preliminary work to get underway to at least get the road planned.
Arterial roads cost money. Lots of it ! But at least there is hope if what is to be achieved is laid out in blueprints that will be constantly waved under politicians noses.
As Confucious wisely noted. The longest journey starts with the first step !
Wednesday 28 September 2011
A missed opportunity !
An existing tourist attraction - and a tourist site looking for an exhibit seem to be failing to connect. It would be a missed opportunity if " Janet's Royalty Rooms " were snapped up by the Gold Coast - or even relocated overseas.
Many years ago Janet Williams started a hobby of collecting royal memorabilia. Her house in the northern suburbs became a Mecca for the biggest collection of royal items in the world and she started opening her doors to the public - with great success. It now attracts coach loads of tourists daily - but Janet Williams is looking to retire - and an opportunity is knocking on the door for Wollongong.
This city has a vacant site laying dormant at the Gateway Tourist centre at Bulli Tops. When this was opened the star attraction was Jumbulla - an Aboriginal discovery centre, but this failed to attract interest and it is now closed. So far, no replacement to attract tourist interest has emerged.
It would seem perfectly logical that an existing very successful tourist drawcard - looking for relocation because the owner is retiring - would be the answer to filling that unused space.
It seems that the city is not interested - and one of the reasons is the rejection of anything " Royal " by many with Republican tendencies - but they are missing the point !
The tourist trade is big on coach tours. Operators sell pre-planned holidays that take coach loads of tourists on carefully scheduled journeys. The stops for morning tea and lunch are carefully planned at selected destinations - and apart from looking at the scenery - the highlights of these tours is visits to places of interest.
Janet's Royalty Rooms in Wollongong is such a place of interest, which is already on the tour bus schedule - and now we are about to lose it because it is shutting down and being grabbed by some place else.
Sadly, this is the only place of interest that these tours bother to include here in Wollongong. If it goes, the tour buses will simply drive on past on their way to other attractions further down the coast, including Mogo Zoo and the old whaling station at Eden.
It seems that we are letting the distaste of some with Republican tendencies for anything connected with British Royalty to get in the way of a tourist opportunity. This is a world class collection of memorabilia which gets the tourists gaping and snapping pictures - and in a perfect setting like Gateway it would create an even bigger image.
It seems that Wollongong has some dull thinkers - that can't see the wood for the trees !
Many years ago Janet Williams started a hobby of collecting royal memorabilia. Her house in the northern suburbs became a Mecca for the biggest collection of royal items in the world and she started opening her doors to the public - with great success. It now attracts coach loads of tourists daily - but Janet Williams is looking to retire - and an opportunity is knocking on the door for Wollongong.
This city has a vacant site laying dormant at the Gateway Tourist centre at Bulli Tops. When this was opened the star attraction was Jumbulla - an Aboriginal discovery centre, but this failed to attract interest and it is now closed. So far, no replacement to attract tourist interest has emerged.
It would seem perfectly logical that an existing very successful tourist drawcard - looking for relocation because the owner is retiring - would be the answer to filling that unused space.
It seems that the city is not interested - and one of the reasons is the rejection of anything " Royal " by many with Republican tendencies - but they are missing the point !
The tourist trade is big on coach tours. Operators sell pre-planned holidays that take coach loads of tourists on carefully scheduled journeys. The stops for morning tea and lunch are carefully planned at selected destinations - and apart from looking at the scenery - the highlights of these tours is visits to places of interest.
Janet's Royalty Rooms in Wollongong is such a place of interest, which is already on the tour bus schedule - and now we are about to lose it because it is shutting down and being grabbed by some place else.
Sadly, this is the only place of interest that these tours bother to include here in Wollongong. If it goes, the tour buses will simply drive on past on their way to other attractions further down the coast, including Mogo Zoo and the old whaling station at Eden.
It seems that we are letting the distaste of some with Republican tendencies for anything connected with British Royalty to get in the way of a tourist opportunity. This is a world class collection of memorabilia which gets the tourists gaping and snapping pictures - and in a perfect setting like Gateway it would create an even bigger image.
It seems that Wollongong has some dull thinkers - that can't see the wood for the trees !
Tuesday 27 September 2011
The " Soccer " fiasco !
Wollongong has two Soccer clubs - and no home ground dedicated to the sport. It was not always that way. Many years ago the state government granted land at Brandon park for that purpose and the clubs raised money and co-opted sponsors to create a ground with facilities which included spectator seating.
Then the state government had a change of thinking. Brandon park was needed to house the University of Wollongong's Innovation campus - so the clubs were kicked out and their work bulldozed. They were granted $ 2.5 million compensation to relocate to Lysaght Oval at Figtree - and from there things went rapidly downhill !
When the last dollar of that grant was spent Lysaght oval had a half built grandstand and " the field of dreams " was nothing more than an overgrown pitch with knee high grass and weeds. Just before the last election, the then state government promised another $ 2.5 million to finish the project.
The new government has it's thumb firmly on the corner of that cheque - and for good reason !
Lysaght oval is privately owned. The owners have been offered one million dollars to transfer it to public ownership - and they have refused, They demand $ 2.5 million.
The state government is to conduct an enquiry and will look at the prospects of simply abandoning Lysaght oval and establishing a completely new facility at West Dapto. Lysaght Oval has other problems that may be solved by making a fresh start - and this may be a better way of providing both the Wollongong Wolves and Wollongong Olympic Soccer clubs with a dedicated home ground.
The Brandon Park/ Lysaght Oval transfer was a botched operation from day one. It was badly thought out - and woefully handled - and the new state government is determined not to go down that road with more money to get an uncertain result.
One of the many benefits of the new area under consideration is spectator parking. That would never happen at Lysaght oval - and considering that Wollongong has both the main Rugby League facility and the performing arts centres located in a parking desert - perhaps this may be the greatest bonus of all.
This time the right planning should deliver value for money !
Then the state government had a change of thinking. Brandon park was needed to house the University of Wollongong's Innovation campus - so the clubs were kicked out and their work bulldozed. They were granted $ 2.5 million compensation to relocate to Lysaght Oval at Figtree - and from there things went rapidly downhill !
When the last dollar of that grant was spent Lysaght oval had a half built grandstand and " the field of dreams " was nothing more than an overgrown pitch with knee high grass and weeds. Just before the last election, the then state government promised another $ 2.5 million to finish the project.
The new government has it's thumb firmly on the corner of that cheque - and for good reason !
Lysaght oval is privately owned. The owners have been offered one million dollars to transfer it to public ownership - and they have refused, They demand $ 2.5 million.
The state government is to conduct an enquiry and will look at the prospects of simply abandoning Lysaght oval and establishing a completely new facility at West Dapto. Lysaght Oval has other problems that may be solved by making a fresh start - and this may be a better way of providing both the Wollongong Wolves and Wollongong Olympic Soccer clubs with a dedicated home ground.
The Brandon Park/ Lysaght Oval transfer was a botched operation from day one. It was badly thought out - and woefully handled - and the new state government is determined not to go down that road with more money to get an uncertain result.
One of the many benefits of the new area under consideration is spectator parking. That would never happen at Lysaght oval - and considering that Wollongong has both the main Rugby League facility and the performing arts centres located in a parking desert - perhaps this may be the greatest bonus of all.
This time the right planning should deliver value for money !
Monday 26 September 2011
The mysteries of global finance !
Most people have a good basic understanding of how finance works. They know that if their spending is greater than their income they start amassing debt - and eventually that debt has to be repaid. What is happening on the world stage seems to fly in the face of that logic.
Europe decided to create a block of countries which would trade with one another in preference to the other parts of the world. The citizens of those countries would not need passports and visas to travel within the group - and they decided that a common currency would remove the hassle of changing currencies at every border - and so the Euro was born.
There was a minor problem with that arrangement. Some of the countries within the group were richer than others - and some had little spending discipline - and soon began to run up huge debts. You can not have a common currency where the value of that currency changes from country to country - so the group had no option other than to bail out the weaker member with a loan to keep them solvent.
The ordinary layman here in Australia wonders just where this loan money comes from - and it is in huge proportions. We are talking about hundreds of billions of Euros.
And now this group of countries is conceding that their weakest of the weak is about to fold. They are not talking about a possible future default. They are talking about an inevitable default - and even timing that to happen within the next few months.
So - what happens next ?
In our own little domestic world, a personal bankruptcy sees the bailiffs move in. They grab the car and the big screen TV and put them up for sale to recover some money and pay out those to whom we owe the debt.
Do bailiffs move in to that defaulting little country and grab state owned office blocks, the railway system and all and any other publicly owned assets ? It seems not. All that is likely to happen is that they will no longer be allowed to use the Euro as their currency. They will need to print their own money and commerce will return to changing currencies at the border.
So why waste all those billions trying to prop them up in the first place ?
It's called " the fear factor " - or some may call it " the domino effect ". The wise knew that default was inevitable - but nobody was sure just how world markets would react - and the spectre of 1929 made national treasurers keen to prolong the status quo in the hope that some miracle would save the world from a repitition.
Wise men and women who are said to understand finance now have the job of reassuring a worried world that things are under control and we are all heading for a soft landing.
What a pity our own finances are not subject to such beneficial treatment if we slip a little and let our spending drift out of control !
Europe decided to create a block of countries which would trade with one another in preference to the other parts of the world. The citizens of those countries would not need passports and visas to travel within the group - and they decided that a common currency would remove the hassle of changing currencies at every border - and so the Euro was born.
There was a minor problem with that arrangement. Some of the countries within the group were richer than others - and some had little spending discipline - and soon began to run up huge debts. You can not have a common currency where the value of that currency changes from country to country - so the group had no option other than to bail out the weaker member with a loan to keep them solvent.
The ordinary layman here in Australia wonders just where this loan money comes from - and it is in huge proportions. We are talking about hundreds of billions of Euros.
And now this group of countries is conceding that their weakest of the weak is about to fold. They are not talking about a possible future default. They are talking about an inevitable default - and even timing that to happen within the next few months.
So - what happens next ?
In our own little domestic world, a personal bankruptcy sees the bailiffs move in. They grab the car and the big screen TV and put them up for sale to recover some money and pay out those to whom we owe the debt.
Do bailiffs move in to that defaulting little country and grab state owned office blocks, the railway system and all and any other publicly owned assets ? It seems not. All that is likely to happen is that they will no longer be allowed to use the Euro as their currency. They will need to print their own money and commerce will return to changing currencies at the border.
So why waste all those billions trying to prop them up in the first place ?
It's called " the fear factor " - or some may call it " the domino effect ". The wise knew that default was inevitable - but nobody was sure just how world markets would react - and the spectre of 1929 made national treasurers keen to prolong the status quo in the hope that some miracle would save the world from a repitition.
Wise men and women who are said to understand finance now have the job of reassuring a worried world that things are under control and we are all heading for a soft landing.
What a pity our own finances are not subject to such beneficial treatment if we slip a little and let our spending drift out of control !
Sunday 25 September 2011
The " Eye in the sky ! "
Australia is competing with South Africa to host the " Square Kilometre Array " ( SKA ) which will be the biggest radio telescope ever proposed - a network of 3,000 fifteen metre antennae dishes spaced from Western Australia to New Zealand.
This $2 billion project is the brain child of sixty seven scientific organizations from twenty countries - and it hopes to achieve two outcomes. To discover how the universe was formed ? And whether we share it with other life forms ?
The very size of this array is breath taking. It will look further than we have even been able to imagine, and it will need a super computer capable of making a million, trillion operations a second to analyse the results - and that is something which at this time doesn't exist.
To the average layman this sounds like science fiction, but then that super-collider recently built on the Switzerland/France border has just delivered a finding that sets Albert Einsteins famous formulae on it's ear. Einstein predicted that nothing can travel faster than the speed of light. This collider appears to show that even faster speeds are possible - and that introduces the possibility of one day solving the tyranny of space travel.
It is worth noting that when we today travel in jet planes and Bullet trains as our normal means of locomotion, two hundred years ago the fastest that any mortal could achieve was on the back of a galloping horse. Things like the SKA may open travel doors that go far beyond our imagination.
Australia has a lot going for it in this race with South Africa. We are an entire continent with a single government, and therefore able to control this project under a uniform set of laws. In contrast, South Africa is just one country in a continent surrounded by a host of smaller nations, some of which are not so friendly and committed to scientific cooperation.
Climate is another necessary factor - and this precludes siting the SKA in Europe or North America. The temperate climates of both Australia and South Africa make yearlong operation of the SKA feasible.
A lot of scientific people will be holding their breath - as decision time looms !
This $2 billion project is the brain child of sixty seven scientific organizations from twenty countries - and it hopes to achieve two outcomes. To discover how the universe was formed ? And whether we share it with other life forms ?
The very size of this array is breath taking. It will look further than we have even been able to imagine, and it will need a super computer capable of making a million, trillion operations a second to analyse the results - and that is something which at this time doesn't exist.
To the average layman this sounds like science fiction, but then that super-collider recently built on the Switzerland/France border has just delivered a finding that sets Albert Einsteins famous formulae on it's ear. Einstein predicted that nothing can travel faster than the speed of light. This collider appears to show that even faster speeds are possible - and that introduces the possibility of one day solving the tyranny of space travel.
It is worth noting that when we today travel in jet planes and Bullet trains as our normal means of locomotion, two hundred years ago the fastest that any mortal could achieve was on the back of a galloping horse. Things like the SKA may open travel doors that go far beyond our imagination.
Australia has a lot going for it in this race with South Africa. We are an entire continent with a single government, and therefore able to control this project under a uniform set of laws. In contrast, South Africa is just one country in a continent surrounded by a host of smaller nations, some of which are not so friendly and committed to scientific cooperation.
Climate is another necessary factor - and this precludes siting the SKA in Europe or North America. The temperate climates of both Australia and South Africa make yearlong operation of the SKA feasible.
A lot of scientific people will be holding their breath - as decision time looms !
Saturday 24 September 2011
Twenty-First Century Funerals !
Both custom and religion ruled the way we dealt with our dead since the dawn of time. Burial in the ground was the most common practice, but some eastern countries were the first to embrace cremation - and now this method is rapidly expanding because of the lack of suitable land in big cities to be set aside for cemeteries.
Funerals are also receiving attention because of the need to reduce carbon emissions and preserve rain forests. Cutting trees to create coffins is giving way to the use of " cardboard " coffins - and the energy used in each cremation is considered wasteful.
Now - a new way of dealing with the dead has arrived.
We are about to see the rapid expansion of " Aquamation " facilities across this country. The first are already operating in Queensland and there are predictions that they will soon appear in every city and country town in Australia.
This modern method does not require a coffin and the deceased is reduced to a liquid - which is rich in nutrients and would be suitable for fertilizing gardens - just as the ashes from a cremation are often scattered in a rose garden, so this method would be both practical and useful for the ecology.
The method sounds simple. The body is place in a stainless steel container and submerged in a solution of water and Potassium Hydroxide, which is then pressurised and heated to 93 degrees for four hours. The end result is " Alkaline Hydrolysis " - with only the bones remaining, and these can be reduced to powder in similar manner to the ashes from a cremation,
It would certainly take a little getting used to - but then so did cremation when it first arrived in this country. Some religions rejected cremation and insisted that burial was the only method that met their dogma in the early days, but obviously both economics and personal beliefs have brought about a change of attitude.
As the cost of funerals continues to rise and the insurance companies embark on intensive campaigns to sell funeral cost insurance, price will become a decisive factor. Cremation is a lower cost option to burial and if Aquamation delivers an even lower cost it will be embraced by many.
It seems that nothing remains the same in this ever changing world !
Funerals are also receiving attention because of the need to reduce carbon emissions and preserve rain forests. Cutting trees to create coffins is giving way to the use of " cardboard " coffins - and the energy used in each cremation is considered wasteful.
Now - a new way of dealing with the dead has arrived.
We are about to see the rapid expansion of " Aquamation " facilities across this country. The first are already operating in Queensland and there are predictions that they will soon appear in every city and country town in Australia.
This modern method does not require a coffin and the deceased is reduced to a liquid - which is rich in nutrients and would be suitable for fertilizing gardens - just as the ashes from a cremation are often scattered in a rose garden, so this method would be both practical and useful for the ecology.
The method sounds simple. The body is place in a stainless steel container and submerged in a solution of water and Potassium Hydroxide, which is then pressurised and heated to 93 degrees for four hours. The end result is " Alkaline Hydrolysis " - with only the bones remaining, and these can be reduced to powder in similar manner to the ashes from a cremation,
It would certainly take a little getting used to - but then so did cremation when it first arrived in this country. Some religions rejected cremation and insisted that burial was the only method that met their dogma in the early days, but obviously both economics and personal beliefs have brought about a change of attitude.
As the cost of funerals continues to rise and the insurance companies embark on intensive campaigns to sell funeral cost insurance, price will become a decisive factor. Cremation is a lower cost option to burial and if Aquamation delivers an even lower cost it will be embraced by many.
It seems that nothing remains the same in this ever changing world !
Friday 23 September 2011
What a tangled web we weave !
Sheeting home the blame for the roof failure on Wollongong's $ 29 million stadium is fast descending into a battle of political point scoring.
The need for sporting seating accommodation in the Illawarra was ignored by the previous Labor state government for years, and finally in it's final days it granted the money. The work was undertaken under it's auspices - but the clean-up will be the responsibility of the Liberal government that replaced it.
The almost completed new grandstand was hit by a wind storm on Tuesday - and two support struts broke. News reports state that these were held by bolts a mere 16 mm in diameter - and to the layman that seems to be a classical case of " under engineering ".
So - now the " blame game " gets under way. Cranes costing about $ 15,000 an hour are deployed to allow emergency repairs and it is yet to be decided if the roof will need to be demolished and re-built - and the big question is - who will pick up the tab for these costs ?
To comply with Australian Standards, a grandstand roof would need to be engineered to withstand winds of 150 kph. The wind storm that caused this damage was blowing at less than 100 kph. Amazingly, the Illawarra Venue Authority ( IVA ) and the Public Works Department ( PWD ) refuse to release the wind rating required in the specifications.
Inevitably, there will be an enquiry - and here the opposing sides of politics will have a golden opportunity for a slanging match. All sorts of extraneous factors will be dragged into the argument - including the fact that the roof was mainly constructed from cheap, imported Chinese steel.
But the fact remains that a roof that will cover thousands of football fans should not fail when hit with a wind way below the standard required for such structures - and the taxpayers of this state should not have to fork out money to repair that failure.
Somebody goofed - and now vested interests are in a mad dash to muddy up the waters !
The need for sporting seating accommodation in the Illawarra was ignored by the previous Labor state government for years, and finally in it's final days it granted the money. The work was undertaken under it's auspices - but the clean-up will be the responsibility of the Liberal government that replaced it.
The almost completed new grandstand was hit by a wind storm on Tuesday - and two support struts broke. News reports state that these were held by bolts a mere 16 mm in diameter - and to the layman that seems to be a classical case of " under engineering ".
So - now the " blame game " gets under way. Cranes costing about $ 15,000 an hour are deployed to allow emergency repairs and it is yet to be decided if the roof will need to be demolished and re-built - and the big question is - who will pick up the tab for these costs ?
To comply with Australian Standards, a grandstand roof would need to be engineered to withstand winds of 150 kph. The wind storm that caused this damage was blowing at less than 100 kph. Amazingly, the Illawarra Venue Authority ( IVA ) and the Public Works Department ( PWD ) refuse to release the wind rating required in the specifications.
Inevitably, there will be an enquiry - and here the opposing sides of politics will have a golden opportunity for a slanging match. All sorts of extraneous factors will be dragged into the argument - including the fact that the roof was mainly constructed from cheap, imported Chinese steel.
But the fact remains that a roof that will cover thousands of football fans should not fail when hit with a wind way below the standard required for such structures - and the taxpayers of this state should not have to fork out money to repair that failure.
Somebody goofed - and now vested interests are in a mad dash to muddy up the waters !
Thursday 22 September 2011
Self defence ! Your rights ?
A Sydney man has a long and nervous wait to see if the police will press charges because he defended himself against an armed intruder. It seems that our rights to self defence are far from clear and revolve around the concept of " reasonable force ".
In this instance the householder was confronted by an intruder armed with a stun gun in his own home. A fight developed and the householder inflicted stab wounds on the intruder, who later died of his injuries.
This raises a whole lot of questions. Presumably the police will claim that a stun gun is not a " lethal weapon ". It's purpose is to incapacitate, not to kill. That dodges the question of an intruder's intent in being in the house - armed. The householder will have no idea if the intruder is high on drugs and what action may follow if he is incapacitated by the stun gun. If the intruder is not masked he may fear recognition if the victim lives - and proceed to murder his now helpless victim.
The first reaction of most people confronted by an intruder in their own home - is to resist ! A century ago there was no question about the extent of that resistance. If the intruder got killed it was more likely that society would award a medal than suggest charges. The right of self defence was paramount !
How things have changed ! We now have a code of " criminal's rights ". Making a living by burglary is considered a " profession ". It may not be lawful, but we face many perils if the offender suffers injury in the process. One burglar cut himself climbing in a bathroom window because the householder was in the habit of discarding used razor blades on the window sill. He sued the householder - and was awarded damages.
We constantly hear the police advise people at a crime scene to stay calm and take no action. If a woman is being raped or a citizen beaten to death the preferable action is to calmly observe and make notes on what is happening to assist the investigation that will follow. Getting involved in any way is not recommended.
It seems that when confronted with an armed intruder in your home, the suggested advice is to raise your hands in surrender and hope that the bandit will simply steal your valuables and do you no harm. If this person starts to inflict pain on your wife and children you are permitted to resist - but only to use sufficient force to make the intruder desist - not to cause injury.
And the crazy thing is that when a householder faces court charged with using " excessive force " - the punishment is usually greater than that handed out to the offender.
Who said " Crime doesn't pay ? "
In this instance the householder was confronted by an intruder armed with a stun gun in his own home. A fight developed and the householder inflicted stab wounds on the intruder, who later died of his injuries.
This raises a whole lot of questions. Presumably the police will claim that a stun gun is not a " lethal weapon ". It's purpose is to incapacitate, not to kill. That dodges the question of an intruder's intent in being in the house - armed. The householder will have no idea if the intruder is high on drugs and what action may follow if he is incapacitated by the stun gun. If the intruder is not masked he may fear recognition if the victim lives - and proceed to murder his now helpless victim.
The first reaction of most people confronted by an intruder in their own home - is to resist ! A century ago there was no question about the extent of that resistance. If the intruder got killed it was more likely that society would award a medal than suggest charges. The right of self defence was paramount !
How things have changed ! We now have a code of " criminal's rights ". Making a living by burglary is considered a " profession ". It may not be lawful, but we face many perils if the offender suffers injury in the process. One burglar cut himself climbing in a bathroom window because the householder was in the habit of discarding used razor blades on the window sill. He sued the householder - and was awarded damages.
We constantly hear the police advise people at a crime scene to stay calm and take no action. If a woman is being raped or a citizen beaten to death the preferable action is to calmly observe and make notes on what is happening to assist the investigation that will follow. Getting involved in any way is not recommended.
It seems that when confronted with an armed intruder in your home, the suggested advice is to raise your hands in surrender and hope that the bandit will simply steal your valuables and do you no harm. If this person starts to inflict pain on your wife and children you are permitted to resist - but only to use sufficient force to make the intruder desist - not to cause injury.
And the crazy thing is that when a householder faces court charged with using " excessive force " - the punishment is usually greater than that handed out to the offender.
Who said " Crime doesn't pay ? "
Wednesday 21 September 2011
The "Blame game ! "
Earlier this year the Liberal Opposition was castigating the Labor government for refusing to reveal it's plans for Wollongong's Bulli hospital. This week the Labor Opposition is castigating the Liberal government because no spending on Bulli hospital was included in the just released stater budget.
It seem that Bulli hospital is " the hospital you have - when you are not having a hospital ! "
It sits there in all it's glory and it has patients and staff - but whether or not it's emergency department is working seems to depend on the flip of a coin. Some days it is open. Some days it is not - and the usual reason given is " availability of a doctor ".
At the same time, Wollongong hospital lurches from crisis to crisis with it's emergency department often suffering " ambulance block ". The city's entire ambulance fleet is stuck in the carpark because the ER is overloaded - and the ambulance crews have to attend their patients until the triage crew can reduce the blockage.
Just to add farce to this situation - ambulance crews are not permitted to take patients to Bulli emergency department - when it is open !
So - we have the ridiculous situation of a hospital with doctors and nurses looking after patients, but it seems that no doctor can be spared to man it's emergency department, while patients with minor injuries that could be attended at Bulli are stuck in a queue in Wollongong - because that ER is overloaded !
It's simply " theatre " in the shadow boxing display that is called politics.
Both sides of politics wants to shut Bulli hospital to save money - and are mesmerised by the acres of prime home sites that it occupies - but neither are willing to admit it.
The present situation gives credence to that old saying. " The more things change - the more they remain the same ! "
It seem that Bulli hospital is " the hospital you have - when you are not having a hospital ! "
It sits there in all it's glory and it has patients and staff - but whether or not it's emergency department is working seems to depend on the flip of a coin. Some days it is open. Some days it is not - and the usual reason given is " availability of a doctor ".
At the same time, Wollongong hospital lurches from crisis to crisis with it's emergency department often suffering " ambulance block ". The city's entire ambulance fleet is stuck in the carpark because the ER is overloaded - and the ambulance crews have to attend their patients until the triage crew can reduce the blockage.
Just to add farce to this situation - ambulance crews are not permitted to take patients to Bulli emergency department - when it is open !
So - we have the ridiculous situation of a hospital with doctors and nurses looking after patients, but it seems that no doctor can be spared to man it's emergency department, while patients with minor injuries that could be attended at Bulli are stuck in a queue in Wollongong - because that ER is overloaded !
It's simply " theatre " in the shadow boxing display that is called politics.
Both sides of politics wants to shut Bulli hospital to save money - and are mesmerised by the acres of prime home sites that it occupies - but neither are willing to admit it.
The present situation gives credence to that old saying. " The more things change - the more they remain the same ! "
Tuesday 20 September 2011
A " Death Trap" awaits !
Summer has yet to arrive, but the Weather Bureau predicts that today the temperature will be in the high twenties, humidity will be low - and we will experience winds of between 70 and 90 kph. They warn that this will deliver a " high fire danger " !
As the fire danger season gets under way it is time to have a long, hard look at that northern suburbs coastal strip that runs from the start of Thirroul to Stanwell Tops. This delightful ribbon of former fishing villages seems ever expanding and part of it's charm is the closeness of the surrounding bush.
Sandwiched between the escarpment and the sea, there is but a single road running it's length - and in the event of a major bushfire - that would be a death trap !
We have had the experience of hours long traffic chaos when a sudden thunderstorm sent people to their cars and away from the beaches - and residents are all too familiar with the jam at the Princes Highway end in normal traffic peaks. Just imagine the situation if a fire made evacuation necessary.
We have been lucky. The last time the escarpment along this strip burned was way back in 1968. High fuel levels have been building up ever since - and in that time a lot more people have called the area home.
The only evacuation route is Lawrence Hargreave drive - and that is a narrow, twisting, single lane each way goat track that could not possibly handle the mass exodus of it's population.
What is needed is a well rehearsed evacuation plan in the event of fire - and the safest thing to do is to assemble on the beaches rather than jump in cars and try to quit the area. The installation of sirens to warn that a dangerous fire was approaching would also help, but the main safety item would be knowledge.
Just as the fire services urge us to have a plan to get out of our homes in the case of fire, a similar plan to go to safety in the case of a bushfire could save many lives in the northern suburbs.
One thing is certain. The law of probability dictates that eventually the right conditions of temperature - humidity - wind - and a dropped match will coincide.
The northern suburbs will burn again. But will we be ready ?
As the fire danger season gets under way it is time to have a long, hard look at that northern suburbs coastal strip that runs from the start of Thirroul to Stanwell Tops. This delightful ribbon of former fishing villages seems ever expanding and part of it's charm is the closeness of the surrounding bush.
Sandwiched between the escarpment and the sea, there is but a single road running it's length - and in the event of a major bushfire - that would be a death trap !
We have had the experience of hours long traffic chaos when a sudden thunderstorm sent people to their cars and away from the beaches - and residents are all too familiar with the jam at the Princes Highway end in normal traffic peaks. Just imagine the situation if a fire made evacuation necessary.
We have been lucky. The last time the escarpment along this strip burned was way back in 1968. High fuel levels have been building up ever since - and in that time a lot more people have called the area home.
The only evacuation route is Lawrence Hargreave drive - and that is a narrow, twisting, single lane each way goat track that could not possibly handle the mass exodus of it's population.
What is needed is a well rehearsed evacuation plan in the event of fire - and the safest thing to do is to assemble on the beaches rather than jump in cars and try to quit the area. The installation of sirens to warn that a dangerous fire was approaching would also help, but the main safety item would be knowledge.
Just as the fire services urge us to have a plan to get out of our homes in the case of fire, a similar plan to go to safety in the case of a bushfire could save many lives in the northern suburbs.
One thing is certain. The law of probability dictates that eventually the right conditions of temperature - humidity - wind - and a dropped match will coincide.
The northern suburbs will burn again. But will we be ready ?
Monday 19 September 2011
It's "Un-Australian !"
The High court has given a ruling that it would be illegal, because of our obligations under the Migration Act to send boat people to Malaysia. The government proposes to legislate to change the Migration Act to remove those human rights implications - and abandon the stance this country took over half a century ago.
The problem is that unless we find a way to control the numbers seeking entry to this country the present trickle arriving by people smuggler's boats will become a cascade beyond our capacity to absorb.
At the end of the second world war we opened our doors to the displaced of Europe on the basis of a " populate or perish " philosophy. Australia was just too big to defend with it's tiny population at that time - and immigration has served us well.
We now number just over twenty-two million people and to maintain our way of life we need to control the number of new arrivals to maintain balance in jobs, housing and social services. To throw our principles overboard and turn our backs on the obligations that we have given to the world body would simply be un-Australian !
We need to bite the bullet and accept that High court ruling with dignity. We are legally stuck with accepting migrants and processing them in Australia, but that does not mean that we are obliged to accept everyone who sets foot on our shores.
Yes - We need a change of legislation. We need to define just who is and who is not acceptable because they fear persecution in their former country and we need to define what constitutes an illegal trying to force entry here for economic reasons.
Along with that, we need a law change to allow such a decision to be made quickly - and without countless appeals and legal moves to delay removal from this country. The quickest way to stop the appeal of the people smugglers is to institute a regime that makes a quick decision - and if the result is negative - removes that person promptly back to from whence they have come.
We are trying to fix the problem from the wrong end. Instead of preventing arrivals, we would be better to process the applicant and reform the law to prevent hordes of people languishing for years in detention centres. It may seem cruel and heartless to process a migrant in a matter of thirty days - and deport the rejects within another thirty days, but in the real world that is what it takes to clean up this migration mess - and it is a lot less cruel than simply dumping them in Malaysia.
By all means change the law - but not in the Un-Australian way being considered. Clean up our migration rules so that a decision is just that. No fancy lawyers exploiting all manner of farcical and illogical appeals - and a one-way ticket out of this country once that decision has been made.
That is the sure - and legal - way to stop the boats !
The problem is that unless we find a way to control the numbers seeking entry to this country the present trickle arriving by people smuggler's boats will become a cascade beyond our capacity to absorb.
At the end of the second world war we opened our doors to the displaced of Europe on the basis of a " populate or perish " philosophy. Australia was just too big to defend with it's tiny population at that time - and immigration has served us well.
We now number just over twenty-two million people and to maintain our way of life we need to control the number of new arrivals to maintain balance in jobs, housing and social services. To throw our principles overboard and turn our backs on the obligations that we have given to the world body would simply be un-Australian !
We need to bite the bullet and accept that High court ruling with dignity. We are legally stuck with accepting migrants and processing them in Australia, but that does not mean that we are obliged to accept everyone who sets foot on our shores.
Yes - We need a change of legislation. We need to define just who is and who is not acceptable because they fear persecution in their former country and we need to define what constitutes an illegal trying to force entry here for economic reasons.
Along with that, we need a law change to allow such a decision to be made quickly - and without countless appeals and legal moves to delay removal from this country. The quickest way to stop the appeal of the people smugglers is to institute a regime that makes a quick decision - and if the result is negative - removes that person promptly back to from whence they have come.
We are trying to fix the problem from the wrong end. Instead of preventing arrivals, we would be better to process the applicant and reform the law to prevent hordes of people languishing for years in detention centres. It may seem cruel and heartless to process a migrant in a matter of thirty days - and deport the rejects within another thirty days, but in the real world that is what it takes to clean up this migration mess - and it is a lot less cruel than simply dumping them in Malaysia.
By all means change the law - but not in the Un-Australian way being considered. Clean up our migration rules so that a decision is just that. No fancy lawyers exploiting all manner of farcical and illogical appeals - and a one-way ticket out of this country once that decision has been made.
That is the sure - and legal - way to stop the boats !
Sunday 18 September 2011
Free Range !
Sixty years ago having a chicken dinner was something usually restricted to a birthday surprise because chicken meat was hugely more expensive than steak, chops and sausages. Now the situation is reversed.
A gigantic industry has developed to deliver chicken meat to not only the fast food industry, but to put chicken on the table as a cheaper alternative to beef and pork. Then there is the by-product of chickens - eggs !
The industry has been getting bad publicity in recent times as investigative journalists have uncovered cruel farming methods to fill chickens with anti-biotics to grow them to maturity faster - and to cram them together in " battery conditions " to increase profits.
Buyers began to rebel - and the industry promised change. A new term began to appear. Eggs came from " Free Range " chickens - and we were led to believe that this meant chickens freed from containment in small cages and allowed to roam free. Unfortunately, what passed for " Free Range " was not subjected to legislation and remains the interpretation of the individual farmer.
Along with this labelling came a sharp increase in price. Eggs that came from " caged battery hens " were a lot cheaper than eggs that supposedly came from " Free Range " hens, but the circumstances that applied to
chicken flocks varied widely. The term " Free Range " began to get distinction additives - such as " Barn ".
Mostly, this was purely the image that formed in the buyers mind. They imagined " Free Range " hens happily scratching about in the open, under a blue sky and with food and water always available. The term " Barn " described birds with individual freedom, but housed in a roofed barn to protect them from the weather. Many people paid the extra quite happily on the understanding that the birds were enjoying a more humane lifestyle.
The public seemed to concentrate on the chickens that produced the eggs they had for breakfast - and ignored the frozen chook bought from the supermarket and roasted for the family dinner. These were usually grown under factory conditions, crammed into a space that contained twenty birds to the square metre - and force fed to achieve maturity in the quickest possible time.
Now the pressure is on to create a legislative framework that will precisely measure what the terms used in chicken - and egg production - really mean.
It seems to be heading into a fight between a Green element which claims that chickens are living creatures that should have their " quality of life " protected by the law, and the chicken industry that claims any interference with the present methods will see prices go through the roof - and chicken meat disappear from the family dinner table.
The pivotal point of this battle will probably be making a first appearance where eggs are concerned. At present the public is not getting what it pays for. Eggs that are supposedly " Barn " or " Free Range " are under no obligation to attain any such measure. The most likely outcome will be a strict definition - subject to inspections to guarantee adherence.
But - there will probably be unintended consequences. The present production methods deliver the end product at the lowest possible price. Expect to see the day when the price of chicken products has risen to parity with beef and pork.
Such is the price of progress !
A gigantic industry has developed to deliver chicken meat to not only the fast food industry, but to put chicken on the table as a cheaper alternative to beef and pork. Then there is the by-product of chickens - eggs !
The industry has been getting bad publicity in recent times as investigative journalists have uncovered cruel farming methods to fill chickens with anti-biotics to grow them to maturity faster - and to cram them together in " battery conditions " to increase profits.
Buyers began to rebel - and the industry promised change. A new term began to appear. Eggs came from " Free Range " chickens - and we were led to believe that this meant chickens freed from containment in small cages and allowed to roam free. Unfortunately, what passed for " Free Range " was not subjected to legislation and remains the interpretation of the individual farmer.
Along with this labelling came a sharp increase in price. Eggs that came from " caged battery hens " were a lot cheaper than eggs that supposedly came from " Free Range " hens, but the circumstances that applied to
chicken flocks varied widely. The term " Free Range " began to get distinction additives - such as " Barn ".
Mostly, this was purely the image that formed in the buyers mind. They imagined " Free Range " hens happily scratching about in the open, under a blue sky and with food and water always available. The term " Barn " described birds with individual freedom, but housed in a roofed barn to protect them from the weather. Many people paid the extra quite happily on the understanding that the birds were enjoying a more humane lifestyle.
The public seemed to concentrate on the chickens that produced the eggs they had for breakfast - and ignored the frozen chook bought from the supermarket and roasted for the family dinner. These were usually grown under factory conditions, crammed into a space that contained twenty birds to the square metre - and force fed to achieve maturity in the quickest possible time.
Now the pressure is on to create a legislative framework that will precisely measure what the terms used in chicken - and egg production - really mean.
It seems to be heading into a fight between a Green element which claims that chickens are living creatures that should have their " quality of life " protected by the law, and the chicken industry that claims any interference with the present methods will see prices go through the roof - and chicken meat disappear from the family dinner table.
The pivotal point of this battle will probably be making a first appearance where eggs are concerned. At present the public is not getting what it pays for. Eggs that are supposedly " Barn " or " Free Range " are under no obligation to attain any such measure. The most likely outcome will be a strict definition - subject to inspections to guarantee adherence.
But - there will probably be unintended consequences. The present production methods deliver the end product at the lowest possible price. Expect to see the day when the price of chicken products has risen to parity with beef and pork.
Such is the price of progress !
Saturday 17 September 2011
Once bitten - twice shy !
The new Wollongong council has just held it's first meeting - and already a contentious idea has surfaced that will cause many ratepayers to choke on their breakfast cereal !
It is being suggested that this city needs a " Mini Gateway centre " on Bald Hill, the Mecca for para-gliding enthusiasts and the northern entrance from the National park.
Nothing fancy ! Just somewhere to get a cup of coffee and a snack bite - and where tourist information will be dispensed. The only problem is that is precisely how the monstrous - money wasting " Gateway Centre " at Bulli Tops began life - and once suggested all sorts of interest groups added their demands - and like Topsy - it grew.
We ended up with a badly planned monstrosity that can not be accessed by those coming from the south without driving miles past and doing a " U " turn - and having visited the centre - can not proceed north again without a long drive back to the city centre.
Gateway included Jumbulla - an " Aboriginal Discovery centre " - that was an abject failure and now lays vacant. It only attracted about four paying customers a day. This " Gateway centre " was never a paying proposition - and now the cost of keeping it floodlit at night to deter vandals is an ongoing cost to the city.
It is said that those who are not prepared to learn from history are destined to repeat it ! About the last thing we need is another Council planned and operated money losing white elephant - on Bald Hill.
Let us hope that Greg Petty, that true " independent " who seems to have the pivotal position between party politics on council can use his wisdom to head this idea off at the pass !
The logical way to deal with this subject is to suggest that council would consider an approach from private enterprise to create a small facility on council land at Bald Hill. The cost of construction would be entirely met by the proposer - and the site would attract just a nominal rent from council in exchange for tourist information being distributed.
What that would attract would be a purely commercial enterprise. Most probably a coffee kiosk with snack food facilities that would deliver a profit for the operator - and provide a welcome service for the crowds this iconic scenic point delivers.
Councils are not good at planning and building commercial operations. Leave that to the people who have the know-how to read public interest and demand - and provide accordingly.
It is being suggested that this city needs a " Mini Gateway centre " on Bald Hill, the Mecca for para-gliding enthusiasts and the northern entrance from the National park.
Nothing fancy ! Just somewhere to get a cup of coffee and a snack bite - and where tourist information will be dispensed. The only problem is that is precisely how the monstrous - money wasting " Gateway Centre " at Bulli Tops began life - and once suggested all sorts of interest groups added their demands - and like Topsy - it grew.
We ended up with a badly planned monstrosity that can not be accessed by those coming from the south without driving miles past and doing a " U " turn - and having visited the centre - can not proceed north again without a long drive back to the city centre.
Gateway included Jumbulla - an " Aboriginal Discovery centre " - that was an abject failure and now lays vacant. It only attracted about four paying customers a day. This " Gateway centre " was never a paying proposition - and now the cost of keeping it floodlit at night to deter vandals is an ongoing cost to the city.
It is said that those who are not prepared to learn from history are destined to repeat it ! About the last thing we need is another Council planned and operated money losing white elephant - on Bald Hill.
Let us hope that Greg Petty, that true " independent " who seems to have the pivotal position between party politics on council can use his wisdom to head this idea off at the pass !
The logical way to deal with this subject is to suggest that council would consider an approach from private enterprise to create a small facility on council land at Bald Hill. The cost of construction would be entirely met by the proposer - and the site would attract just a nominal rent from council in exchange for tourist information being distributed.
What that would attract would be a purely commercial enterprise. Most probably a coffee kiosk with snack food facilities that would deliver a profit for the operator - and provide a welcome service for the crowds this iconic scenic point delivers.
Councils are not good at planning and building commercial operations. Leave that to the people who have the know-how to read public interest and demand - and provide accordingly.
Friday 16 September 2011
A man of honour !
Independent councillor Greg Petty shocked Wollongong council when he declined to vote on the selection of a deputy mayor. With the vote tied he had the casting decision - and his action resulted in the matter being decided by a draw from a hat.
Wollongong voters decided who got the Mayor's job by way of a direct vote at the recent election, but five councillors nominated for the deputy post and this was to be decided by an open show of hands. The person with the lowest vote was eliminated - and the process restarted until only two contestants remained.
Surprise ! Surprise ! This was a council election to restore democracy after the previous council was sacked for corruption - and those running for office were quick to suggest that the city move away from party politics - and that independents would be the choice of the voters.
An independent Mayor got the top job, and for the first time a bunch of clearly designated Liberals swept into office, with the balance made up of Labor, Greens and Independents.
Despite the pledge to keep party politics out of local government, the choice of a deputy mayor was tied between a Liberal and a Labor contestant - and the voting was clearly along party lines. Liberal John Dorahy was supported by the four elected Liberals, one other independent and the Mayor. Labor's David Brown was supported by the four elected Labor councillors - and the two Greens.
That left the choice in the hands of independent Greg Petty - and he declined to throw his weight behind either of the two political parties - and so the names went into a hat - and Labor's David Brown got the job.
As to be expected, Greg Petty has got a lashing from many on both sides of politics for that decision, but he has clearly nailed his colours to the masthead - and he is going to be true to his independent status - and not be beholden to either political party.
It looks like Wollongong council will have a savvy independent sitting right in the middle of the party divide. When a decision becomes split along party lines Greg Petty will have the casting vote and his decision on the deputy mayor issue indicates that he will make his own decision after considering all the facts.
Perhaps Wollongong has got the form of local government that it hoped and prayed for !
Wollongong voters decided who got the Mayor's job by way of a direct vote at the recent election, but five councillors nominated for the deputy post and this was to be decided by an open show of hands. The person with the lowest vote was eliminated - and the process restarted until only two contestants remained.
Surprise ! Surprise ! This was a council election to restore democracy after the previous council was sacked for corruption - and those running for office were quick to suggest that the city move away from party politics - and that independents would be the choice of the voters.
An independent Mayor got the top job, and for the first time a bunch of clearly designated Liberals swept into office, with the balance made up of Labor, Greens and Independents.
Despite the pledge to keep party politics out of local government, the choice of a deputy mayor was tied between a Liberal and a Labor contestant - and the voting was clearly along party lines. Liberal John Dorahy was supported by the four elected Liberals, one other independent and the Mayor. Labor's David Brown was supported by the four elected Labor councillors - and the two Greens.
That left the choice in the hands of independent Greg Petty - and he declined to throw his weight behind either of the two political parties - and so the names went into a hat - and Labor's David Brown got the job.
As to be expected, Greg Petty has got a lashing from many on both sides of politics for that decision, but he has clearly nailed his colours to the masthead - and he is going to be true to his independent status - and not be beholden to either political party.
It looks like Wollongong council will have a savvy independent sitting right in the middle of the party divide. When a decision becomes split along party lines Greg Petty will have the casting vote and his decision on the deputy mayor issue indicates that he will make his own decision after considering all the facts.
Perhaps Wollongong has got the form of local government that it hoped and prayed for !
Thursday 15 September 2011
Financial planners !
Financial planning is a huge industry in this country. It is only lightly regulated, and yet those giving financial advice are gambling with the retirement funds of millions of people. The outcome can be critical. Good advice may see the retiree's live their final years in comfort and a degree of luxury - or they may be consigned to a miserable existence juggling pennies to survive on the old age pension !
The Trio Capital collapse does nothing to enhance confidence in the financial planning industry. Trio Capital was lauded by the agencies tasked with grading investment schemes and once again the commission to those recommending it to clients raised it's ugly head. Trio was a straight out fraud - and millions simply disappeared into overseas hedge funds - conveniently situated in overseas tax havens.
Then came the outcome when the Federal government decided to intervene. It promised a $ 55 million fund to provide compensation, but only to the people who invested on the advice of financial planners. Those who ran their own superannuation funds - described as SMSF - Self Managed Superannuation Funds - got nothing !
It seems that this was purely designed to restore confidence in the financial planning industry - and to deliver a rebuke to those who had the temerity to manage their own funds. It failed completely to sheet home the blame to the various government agencies who are supposed to oversee the honesty of investment schemes like Trio - and the credit agencies who bestowed that triple AAA rating.
And now - the final blow.
Months and months later the flow of compensation from this fund is still not happening - and it probably will not even start until the end of this year.
It seems that the people tasked with distribution are still trying to put together a computer generated model that will take into consideration the myriad factors of each individuals investment programme over the many years prior to Trio. It is said that this is extremely complex - but so far nobody seems to be able to give an explanation as to what it will achieve - and why it is necessary !
It seems that those victims retiring now will have no option that to apply for the old age pension and start their final years in penury - in the hope that someday those highly paid to manage this compensation fund will manage to sort it all out - and they will get some money to live a better life.
Not exactly an outcome that will encourage investors to run off to see a financial planner !
The Trio Capital collapse does nothing to enhance confidence in the financial planning industry. Trio Capital was lauded by the agencies tasked with grading investment schemes and once again the commission to those recommending it to clients raised it's ugly head. Trio was a straight out fraud - and millions simply disappeared into overseas hedge funds - conveniently situated in overseas tax havens.
Then came the outcome when the Federal government decided to intervene. It promised a $ 55 million fund to provide compensation, but only to the people who invested on the advice of financial planners. Those who ran their own superannuation funds - described as SMSF - Self Managed Superannuation Funds - got nothing !
It seems that this was purely designed to restore confidence in the financial planning industry - and to deliver a rebuke to those who had the temerity to manage their own funds. It failed completely to sheet home the blame to the various government agencies who are supposed to oversee the honesty of investment schemes like Trio - and the credit agencies who bestowed that triple AAA rating.
And now - the final blow.
Months and months later the flow of compensation from this fund is still not happening - and it probably will not even start until the end of this year.
It seems that the people tasked with distribution are still trying to put together a computer generated model that will take into consideration the myriad factors of each individuals investment programme over the many years prior to Trio. It is said that this is extremely complex - but so far nobody seems to be able to give an explanation as to what it will achieve - and why it is necessary !
It seems that those victims retiring now will have no option that to apply for the old age pension and start their final years in penury - in the hope that someday those highly paid to manage this compensation fund will manage to sort it all out - and they will get some money to live a better life.
Not exactly an outcome that will encourage investors to run off to see a financial planner !
Wednesday 14 September 2011
The rewards of " Globalization" !
We hear many people disparaging " Globalization ". It is blamed for jobs going overseas to countries with low wages and a flood of imports that are killing our own export industries. There is also a reverse trend where things that have been out of financial reach for many Australians have become hugely cheaper.
One example of that is spectacles. Having an eye test is fully covered by Medicare, but most people suffer " sticker shock " when they price a pair of new glasses. They are offered a choice of frames that range from just over $100 to designer items with a price to match - and prescription lenses usually take the final figure above $ 300.
A leading optical company is now offering an incredible deal. Good quality frames and lenses ground to prescription specifications - for a total price of just $ 39.
This brings good quality, fashionable spectacles to the reach of ordinary people who would struggle to pay what the optical shops are usually asking - and that is only possible because globalization and mass production is lowering prices to an attainable level.
So - what comes next ?
High on the list will probably be dentures. Right now if you price dentures from the usual suppliers you will be quoted well in excess of $ 2,000 per pair. If the same rationale that applies to spectacles is transferred to dentures the price will probably fall to about $ 100.
After all, it is not rocket science. All it takes is a plaster impression of the gums and the rest is a mere matter of assembly.
Of course this will tend to thin out the opticians and dentists already supplying at inflated prices, but it really comes down to a matter of choice. Those who are prepared to pay for up-market and designer merchandise are free to exercise that choice - but it will no longer be forced on the masses.
And specs and dentures will be within everyone's price range !
One example of that is spectacles. Having an eye test is fully covered by Medicare, but most people suffer " sticker shock " when they price a pair of new glasses. They are offered a choice of frames that range from just over $100 to designer items with a price to match - and prescription lenses usually take the final figure above $ 300.
A leading optical company is now offering an incredible deal. Good quality frames and lenses ground to prescription specifications - for a total price of just $ 39.
This brings good quality, fashionable spectacles to the reach of ordinary people who would struggle to pay what the optical shops are usually asking - and that is only possible because globalization and mass production is lowering prices to an attainable level.
So - what comes next ?
High on the list will probably be dentures. Right now if you price dentures from the usual suppliers you will be quoted well in excess of $ 2,000 per pair. If the same rationale that applies to spectacles is transferred to dentures the price will probably fall to about $ 100.
After all, it is not rocket science. All it takes is a plaster impression of the gums and the rest is a mere matter of assembly.
Of course this will tend to thin out the opticians and dentists already supplying at inflated prices, but it really comes down to a matter of choice. Those who are prepared to pay for up-market and designer merchandise are free to exercise that choice - but it will no longer be forced on the masses.
And specs and dentures will be within everyone's price range !
Tuesday 13 September 2011
The turning point !
The tenth anniversary of 9/11 has passed without incident. The carnage promised by the terrorists didn't eventuate and perhaps one event that occurred on that day was the turning point where ordinary people became the front line in stopping terrorism in it's tracks !
Over decades the hijacking of passenger planes had become a common event. Airlines and National governments implored passengers not to resist. In the vast majority of cases the passengers emerged unhurt at some distant location and the matter was resolved either by someone getting released from a prison or an amount of money changing hands.
Flight 93 on that day was different. The hijackers failed to confiscate mobile phones and their captives used them to learn of the suicide attacks on the twin towers and the Pentagon. Ordinary, resigned people turned into freedom fighters - and as a result the careful plan to crash the plane into either the Capitol building or the White House failed. The fact that all aboard died when flight 93 crashed in the open countryside was the turning point where ordinary men and women went to war to defeat terrorism.
The terrorists have since had victories. The transport bombings in Madrid and London - and the nightclub bombings in Bali, but a huge number of attempts have failed, and many of these failures have been because ordinary people are alert - and ready to risk their own lives to intervene.
The other factor of change is in the attitude of Muslim people. When 9/11 occurred the west was angry because the Muslim majority remained silent. Their leaders failed to condemn the attacks and many thought Islam was complicit with terrorism.
In all probability most Muslims were confused. They were assailed by bin Laden's propaganda from firebrand clerics - and it took them time to sort their own thoughts and come to a conclusion.
Terrorism now has two problems. Ordinary Muslim people have made up their minds and terrorists have to fear their vigilance joining that of ordinary western citizens in reporting suspicious events.
No doubt the terrorists will continue to kill and main in the cities of the world, but such achievements will become harder to secretly plan and carry out, and a major event such as 9/11 is now way beyond their reach.
And all that started when the passengers on Flight 93 decided to get out of their seats - and at the cost of their own lives - fight to thwart a terrorist plan !
Over decades the hijacking of passenger planes had become a common event. Airlines and National governments implored passengers not to resist. In the vast majority of cases the passengers emerged unhurt at some distant location and the matter was resolved either by someone getting released from a prison or an amount of money changing hands.
Flight 93 on that day was different. The hijackers failed to confiscate mobile phones and their captives used them to learn of the suicide attacks on the twin towers and the Pentagon. Ordinary, resigned people turned into freedom fighters - and as a result the careful plan to crash the plane into either the Capitol building or the White House failed. The fact that all aboard died when flight 93 crashed in the open countryside was the turning point where ordinary men and women went to war to defeat terrorism.
The terrorists have since had victories. The transport bombings in Madrid and London - and the nightclub bombings in Bali, but a huge number of attempts have failed, and many of these failures have been because ordinary people are alert - and ready to risk their own lives to intervene.
The other factor of change is in the attitude of Muslim people. When 9/11 occurred the west was angry because the Muslim majority remained silent. Their leaders failed to condemn the attacks and many thought Islam was complicit with terrorism.
In all probability most Muslims were confused. They were assailed by bin Laden's propaganda from firebrand clerics - and it took them time to sort their own thoughts and come to a conclusion.
Terrorism now has two problems. Ordinary Muslim people have made up their minds and terrorists have to fear their vigilance joining that of ordinary western citizens in reporting suspicious events.
No doubt the terrorists will continue to kill and main in the cities of the world, but such achievements will become harder to secretly plan and carry out, and a major event such as 9/11 is now way beyond their reach.
And all that started when the passengers on Flight 93 decided to get out of their seats - and at the cost of their own lives - fight to thwart a terrorist plan !
Monday 12 September 2011
How safe is your money ?
When the great financial crisis roared through the financial world in 2008 a lot of people wondered how safe their nest eggs were in banks, credit unions and building societies. Some harked back to Grandpa's stories about the great depression of 1929 - and how many state banks simply closed their doors. At the time, politicians claimed that this was " temporary " - and that they would reopen shortly when things settled down. But - they never did !
There was the prospect of a run on the banks, with people withdrawing their cash and hiding it under the mattress - and that would exacerbate the financial hole the country was in - so the Treasurer hastily gave a guarantee that money held in banks and similar financial institutions would be guaranteed by the Federal government - to a limit of a million dollars per depositor.
Now the Council of Financial Regulators has recommended that deposits be insured by a new scheme - and that the cap be reduced from one million to $ 250,000 per depositor, per institution. Presumably, that means a person with a quarter million dollars in each of three banks would have the lot refunded if those institutions failed ?
The Federal Treasurer has stated that he is confident that 99% of depositors will be covered by this legislation - but a few cynical people might wonder - ,and require explanation - of just who that missing one percent is ?
Just exactly what is - and what is not covered in this legislation needs to be spelt out in clear language. For instance, when a family trust has money deposited, does this guarantee apply to every member of that trust, irrespective of their ages ? How does it apply to a solicitor's trust fund ? Many such trust funds have balances far in excess of $ 250,000 and it is important to know if the limit applies to that single solicitor - or to each of his or her clients whose money is being held in trust.
As with all insurance schemes, it is important to closely examine the fine print and dot the " i's " and cross the " t's " - so that there is no misunderstanding further down the track if a financial calamity occurs and the legal agreement comes into play.
And many people would like to see just what definition of a " financial institution " applies in this instance !
There was the prospect of a run on the banks, with people withdrawing their cash and hiding it under the mattress - and that would exacerbate the financial hole the country was in - so the Treasurer hastily gave a guarantee that money held in banks and similar financial institutions would be guaranteed by the Federal government - to a limit of a million dollars per depositor.
Now the Council of Financial Regulators has recommended that deposits be insured by a new scheme - and that the cap be reduced from one million to $ 250,000 per depositor, per institution. Presumably, that means a person with a quarter million dollars in each of three banks would have the lot refunded if those institutions failed ?
The Federal Treasurer has stated that he is confident that 99% of depositors will be covered by this legislation - but a few cynical people might wonder - ,and require explanation - of just who that missing one percent is ?
Just exactly what is - and what is not covered in this legislation needs to be spelt out in clear language. For instance, when a family trust has money deposited, does this guarantee apply to every member of that trust, irrespective of their ages ? How does it apply to a solicitor's trust fund ? Many such trust funds have balances far in excess of $ 250,000 and it is important to know if the limit applies to that single solicitor - or to each of his or her clients whose money is being held in trust.
As with all insurance schemes, it is important to closely examine the fine print and dot the " i's " and cross the " t's " - so that there is no misunderstanding further down the track if a financial calamity occurs and the legal agreement comes into play.
And many people would like to see just what definition of a " financial institution " applies in this instance !
Sunday 11 September 2011
Sydney Water - Smoke and mirrors !
The average householder understands just two things about Sydney Water. Over a year ago Warragamba dam was drought affected and the water supply was in danger - and since then the price of water has gone through the roof.
It's all a matter of a bunch of government accountants juggling the books to try and achieve a mix of outcomes - and hiding that behind " smoke and mirrors ".
When Warragamba dam was at thirty percent capacity the previous government did two things. It built a pumping pipeline from Tallowa dam on the upper Shoalhaven river, two hundred miles from Sydney to draw trillions of gallons of water to supplement Warragamba - and it built the desalination plant at Kurnell at a cost of a billion dollars.
The accounting rules were fairly simple. The desalination plant would produce fifteen percent of of Sydney's drinking water whenever the level at Warragamba was below eighty percent capacity - and this would add about $ 96 a year to residents water bills.
But - then Mother Nature got in the act - and in the past year we have had abnormal rainfall. Strangely, Warragamba seems to be perpetually hovering at just 78.9% capacity - and it never seems to reach that 80% - at which the desalination plant would shut down and be put into reserve to await the next drought.
The balancing act is performed by that pipeline from the Tallowa dam on the Shoalhaven river. Warragamba would be full to overflowing now if that had been kept pumping, but the government is keen to sell the desalination plant to private enterprise - and to make it economically attractive it must be kept working - and that will only happen if the Warragamba level is prevented from rising above eighty percent.
So - we have water from Tallowa running to waste while we use expensive desalinated water to maintain the economic mirage for those interested in buying the desalination plant - and getting the government off a financial hook.
It's a pity about that extra $96 a year each household is forking out for water, but then again perhaps the long term benefit makes it worthwhile. The law of probability says that sooner or later we will experience another drought - and each year the greater Sydney area grows by many hundreds of thousands of people - who all use water.
At least it explains why Warragamba dam remains stubbornly stuck just below eighty percent capacity - even when the heavens are opening and we are up to our waists in flood water.
It's all a matter of a bunch of government accountants juggling the books to try and achieve a mix of outcomes - and hiding that behind " smoke and mirrors ".
When Warragamba dam was at thirty percent capacity the previous government did two things. It built a pumping pipeline from Tallowa dam on the upper Shoalhaven river, two hundred miles from Sydney to draw trillions of gallons of water to supplement Warragamba - and it built the desalination plant at Kurnell at a cost of a billion dollars.
The accounting rules were fairly simple. The desalination plant would produce fifteen percent of of Sydney's drinking water whenever the level at Warragamba was below eighty percent capacity - and this would add about $ 96 a year to residents water bills.
But - then Mother Nature got in the act - and in the past year we have had abnormal rainfall. Strangely, Warragamba seems to be perpetually hovering at just 78.9% capacity - and it never seems to reach that 80% - at which the desalination plant would shut down and be put into reserve to await the next drought.
The balancing act is performed by that pipeline from the Tallowa dam on the Shoalhaven river. Warragamba would be full to overflowing now if that had been kept pumping, but the government is keen to sell the desalination plant to private enterprise - and to make it economically attractive it must be kept working - and that will only happen if the Warragamba level is prevented from rising above eighty percent.
So - we have water from Tallowa running to waste while we use expensive desalinated water to maintain the economic mirage for those interested in buying the desalination plant - and getting the government off a financial hook.
It's a pity about that extra $96 a year each household is forking out for water, but then again perhaps the long term benefit makes it worthwhile. The law of probability says that sooner or later we will experience another drought - and each year the greater Sydney area grows by many hundreds of thousands of people - who all use water.
At least it explains why Warragamba dam remains stubbornly stuck just below eighty percent capacity - even when the heavens are opening and we are up to our waists in flood water.
Saturday 10 September 2011
A new steel mill ?
Many people in Wollongong will be scratching their heads in disbelief. BlueScope Steel is halving production, withdrawing from exports - and sacking 800 workers - and now Boulder Steel in Queensland is proposing to construct a new mill, employ 1800 staff - and produce 5 million tonnes of steel a year.
The economics of both operations depend on how each company is structured !
When BHP started steel production in Wollongong it owned the coal mines and it owned the iron ore facilities, hence the price it paid for coal and iron ore was simply an internal book entry. There is every liklihood that the people behind Boulder Steel intend to mine their own coal - and have at least a financial interest in iron ore production.
When BHP joined the joint venture that became BHP-Billiton the steel plants were spun off and became separate entities - and as such they now bought their coal and iron ore from their former parent - at world prices.
It is a fact of life that when BlueScope steel announced a billion dollar loss, at the same time BHP-Billiton was announcing profits of billions of dollars. The same price rises for coal and iron ore that are crippling BlueScope are expanding the BHP-Billiton bottom line.
There are advantages in building a new plant. For a start, it will be less costly to include electricity cogeneration into the design, and as well as steel this plant will have a profit factor from feeding electricity into the Queensland power grid.
Another important factor is retention of steel making skills within the Australian workforce. It would be quite logical for those retrenched in Wollongong to be eagerly accepted by Boulder in Queensland because they bring with them valuable skills and knowledge.
The ultimate fate of BlueScope will depend on many factors. It certainly will not welcome a new competitor for the Australian domestic market, but the Australian dollar's rise may be short lived - and if China's expansion stumbles the price of iron ore and coal will drop sharply - and BlueScope's mill is well run and competitive by world standards.
Even thinking of starting a new steel mill may surprise some people, but it is likely that the Boulder people have done their homework - and it does erase the lie that steel manufacturing in Australia is a dead issue !
The economics of both operations depend on how each company is structured !
When BHP started steel production in Wollongong it owned the coal mines and it owned the iron ore facilities, hence the price it paid for coal and iron ore was simply an internal book entry. There is every liklihood that the people behind Boulder Steel intend to mine their own coal - and have at least a financial interest in iron ore production.
When BHP joined the joint venture that became BHP-Billiton the steel plants were spun off and became separate entities - and as such they now bought their coal and iron ore from their former parent - at world prices.
It is a fact of life that when BlueScope steel announced a billion dollar loss, at the same time BHP-Billiton was announcing profits of billions of dollars. The same price rises for coal and iron ore that are crippling BlueScope are expanding the BHP-Billiton bottom line.
There are advantages in building a new plant. For a start, it will be less costly to include electricity cogeneration into the design, and as well as steel this plant will have a profit factor from feeding electricity into the Queensland power grid.
Another important factor is retention of steel making skills within the Australian workforce. It would be quite logical for those retrenched in Wollongong to be eagerly accepted by Boulder in Queensland because they bring with them valuable skills and knowledge.
The ultimate fate of BlueScope will depend on many factors. It certainly will not welcome a new competitor for the Australian domestic market, but the Australian dollar's rise may be short lived - and if China's expansion stumbles the price of iron ore and coal will drop sharply - and BlueScope's mill is well run and competitive by world standards.
Even thinking of starting a new steel mill may surprise some people, but it is likely that the Boulder people have done their homework - and it does erase the lie that steel manufacturing in Australia is a dead issue !
Friday 9 September 2011
Government Revenue 1 : Justice 0.
In December 2009 the Gwynville speed camera was happily snapping speeding motorists when a woman driving her son's car passed by. This set in motion a denial of justice that has now been corrected by Judge Paul Conlon, who has labelled the RTA's action " appalling " !
The offence carried a penalty of a $ 197 fine and loss of demerit points. There is no contest that the owner was not the driver of the car at the time of the fine. His mother freely admits that she was at the wheel - but this failed to sway the RTA from ruthlessly ordering the state debt recovery office from prosecuting to recover the money - from her son !
It all came down to the fine print ! Under the law, the owner of a vehicle detected of speeding has twenty-one days to nominate the actual driver. Failing to so nominate results in the owner being saddled with the fine - and the demerit points.
In this case, the car owner was in the process of multiple address changes between December 2009 and March 2010 - when notice of the fine finally caught up with him. He and his mother advised the RTA of the true nature of events - but to no avail. The RTA advised the debt recovery office to go for the money - and the hell with justice !
It seems to be just another case of a government short circuiting the normal process of law when it comes to filling their own coffers. Anyone else trying to recover a debt has a need to get a process server to serve a court attendance notice on the accused. This law was changed to allow the mere posting of a speed fine notice to the last known address to serve the same purpose.
Sadly, the only way to get justice seems to be to take the trouble - and expense - to go to court and fight an unjust imposition. Perhaps if judges started to award heavy legal costs against the debt recovery office the RTA would have a sudden change of mind - and view each case as other than just revenue raising !
The offence carried a penalty of a $ 197 fine and loss of demerit points. There is no contest that the owner was not the driver of the car at the time of the fine. His mother freely admits that she was at the wheel - but this failed to sway the RTA from ruthlessly ordering the state debt recovery office from prosecuting to recover the money - from her son !
It all came down to the fine print ! Under the law, the owner of a vehicle detected of speeding has twenty-one days to nominate the actual driver. Failing to so nominate results in the owner being saddled with the fine - and the demerit points.
In this case, the car owner was in the process of multiple address changes between December 2009 and March 2010 - when notice of the fine finally caught up with him. He and his mother advised the RTA of the true nature of events - but to no avail. The RTA advised the debt recovery office to go for the money - and the hell with justice !
It seems to be just another case of a government short circuiting the normal process of law when it comes to filling their own coffers. Anyone else trying to recover a debt has a need to get a process server to serve a court attendance notice on the accused. This law was changed to allow the mere posting of a speed fine notice to the last known address to serve the same purpose.
Sadly, the only way to get justice seems to be to take the trouble - and expense - to go to court and fight an unjust imposition. Perhaps if judges started to award heavy legal costs against the debt recovery office the RTA would have a sudden change of mind - and view each case as other than just revenue raising !
Thursday 8 September 2011
A savage financial outcome !
This week a 52 year old man and his 12 year old daughter sparked a siege that closed down the financial district at Parramatta for eleven hours. It seems that there was a demand for $ 4500 to be paid from the Aboriginal Land Council, and the man claimed that he had a bomb in his backpack.
The status of the daughter was not clear, but police assumed that it was a possible hostage situation, and the threat of a bomb made it necessary to clear nearby buildings and call in support services - such as the bomb squad, ambulances, and the fire brigade.
At least the drama provided entertainment for television audiences. News crews relayed pictures of the man wearing a judge's wig and at one stage a window was smashed and notes dropped to the street below. Police negotiators failed to persuade the man to surrender, and the siege ended when police with chainsaws broke through office walls and subdued the offender. The claim of a bomb proved false.
The initial aftermath is a disturbed man behind bars and a rescued girl who claims that her father threatened her no harm, but there is a huge unseen bill that has been visited on the firms and ordinary folk who live and work in Parramatta.
For an entire working day business activity ceased because of that siege. It would be difficult to put a figure on the financial loss to business, but of far greater impact will be the loss to " the little people " - those casuals who man coffee shop counters or work in other businesses and are paid an hourly rate rather than a salary.
Then there is the " flow on " costs. Items like couriers with parcels to deliver in Parramatta - who were turned back and delayed by the traffic chaos. People with scheduled house settlements who needed to attend their legal representatives - and all those drivers who pass through Parramatta on their way to somewhere else who got caught up in the traffic jams.
Some will blame the police for over reacting - but when there is even the chance that a bomb claim may be real they have no other option than to act on the side of caution. There is no hope of recovering these costs from the culprit. It seems to be simply a case of " being in the wrong place at the wrong time " for most of those affected.
Unfortunately events such as this tend to create " copycat " thoughts in some minds. Those with a grievance are attracted to the publicity that surrounds a siege.
Let us hope that it does not become too common an event of " street theatre " !
The status of the daughter was not clear, but police assumed that it was a possible hostage situation, and the threat of a bomb made it necessary to clear nearby buildings and call in support services - such as the bomb squad, ambulances, and the fire brigade.
At least the drama provided entertainment for television audiences. News crews relayed pictures of the man wearing a judge's wig and at one stage a window was smashed and notes dropped to the street below. Police negotiators failed to persuade the man to surrender, and the siege ended when police with chainsaws broke through office walls and subdued the offender. The claim of a bomb proved false.
The initial aftermath is a disturbed man behind bars and a rescued girl who claims that her father threatened her no harm, but there is a huge unseen bill that has been visited on the firms and ordinary folk who live and work in Parramatta.
For an entire working day business activity ceased because of that siege. It would be difficult to put a figure on the financial loss to business, but of far greater impact will be the loss to " the little people " - those casuals who man coffee shop counters or work in other businesses and are paid an hourly rate rather than a salary.
Then there is the " flow on " costs. Items like couriers with parcels to deliver in Parramatta - who were turned back and delayed by the traffic chaos. People with scheduled house settlements who needed to attend their legal representatives - and all those drivers who pass through Parramatta on their way to somewhere else who got caught up in the traffic jams.
Some will blame the police for over reacting - but when there is even the chance that a bomb claim may be real they have no other option than to act on the side of caution. There is no hope of recovering these costs from the culprit. It seems to be simply a case of " being in the wrong place at the wrong time " for most of those affected.
Unfortunately events such as this tend to create " copycat " thoughts in some minds. Those with a grievance are attracted to the publicity that surrounds a siege.
Let us hope that it does not become too common an event of " street theatre " !
Wednesday 7 September 2011
The " Buy new " initiative !
Yesterdays New South Wales state budget contained a carefully crafted initiative that could spark a resurgence of the home building industry. From January 1 2012 the relief from paying stamp duty on homes purchased by first home buyers will apply only to new constructions, including those bought " off the plan ". First home buyers purchasing existing homes will no longer be exempt from stamp duty.
At present, construction of new homes is at a historically low level. If this initiative can jump start new building activity it will have a dramatic effect on all sections of the economy. It is amazing just how many industries are involved in manufacturing the products necessary to construct a new home. That starts with cement and steel reinforcing for the pad. Then comes bricks, tiles, metal or timber frames, roof trusses, electrical cable, pipework - and then Gyprock, paint and finishing items.
Each new home also involves the installation of a hot water service, stove, kitchen and bathroom cupboards and fittings - and when it is finished comes carpet and furniture. All these items cross a spectrum of industries and lead to a buoyant Australian manufacturing sector.
Then - there are the jobs involved. Constructing a new home is labour intensive. We still built homes the same way as in the time of the Roman empire - putting one brick on top of another. If building new homes can be given acceleration the entire economy will show a dramatic improvement.
The new rules will apply to new homes costing up to $ 500,000, with partial relief for those reaching $ 600,000. First home buyers will still be eligible for that $ 7000 grant, hence relief from stamp duty will still mean closing the gap between deposit and mortgage.
Of course there will be other consequences from this initiative. Buying an existing home will become less popular for first home buyers and this may bring a drop in asking prices. At the same time, new home sites are usually way out on the outskirts of cities, far from job opportunities, hence there will be a corresponding need for better public transport - and that is a costly item.
Another unintended consequence could be a dramatic shift in tearing down existing old homes to build new ones. A new home does not refer only to a free standing dwelling on a quarter acre block of land. It applies equally to a high rise apartment - and these will also attract stamp duty relief for new buildings. The economics of tearing down an old home and replacing it with a new one will usually take the final price beyond the reach of first home buyers - hence this new plan will surely create a boom in new high rise apartments - and that has long been the aim of government to consolidate existing suburbs with existing public transport in place.
The change is a bold initiative. and there is every chance that it will deliver spectacular benefits to the economy. At least it is a move away from the tired thinking that has applied to home building over the past few decades. We live in difficult times, and it is encouraging to see that a fresh approach is sweeping away the cobwebs in the delivery of this new budget !
At present, construction of new homes is at a historically low level. If this initiative can jump start new building activity it will have a dramatic effect on all sections of the economy. It is amazing just how many industries are involved in manufacturing the products necessary to construct a new home. That starts with cement and steel reinforcing for the pad. Then comes bricks, tiles, metal or timber frames, roof trusses, electrical cable, pipework - and then Gyprock, paint and finishing items.
Each new home also involves the installation of a hot water service, stove, kitchen and bathroom cupboards and fittings - and when it is finished comes carpet and furniture. All these items cross a spectrum of industries and lead to a buoyant Australian manufacturing sector.
Then - there are the jobs involved. Constructing a new home is labour intensive. We still built homes the same way as in the time of the Roman empire - putting one brick on top of another. If building new homes can be given acceleration the entire economy will show a dramatic improvement.
The new rules will apply to new homes costing up to $ 500,000, with partial relief for those reaching $ 600,000. First home buyers will still be eligible for that $ 7000 grant, hence relief from stamp duty will still mean closing the gap between deposit and mortgage.
Of course there will be other consequences from this initiative. Buying an existing home will become less popular for first home buyers and this may bring a drop in asking prices. At the same time, new home sites are usually way out on the outskirts of cities, far from job opportunities, hence there will be a corresponding need for better public transport - and that is a costly item.
Another unintended consequence could be a dramatic shift in tearing down existing old homes to build new ones. A new home does not refer only to a free standing dwelling on a quarter acre block of land. It applies equally to a high rise apartment - and these will also attract stamp duty relief for new buildings. The economics of tearing down an old home and replacing it with a new one will usually take the final price beyond the reach of first home buyers - hence this new plan will surely create a boom in new high rise apartments - and that has long been the aim of government to consolidate existing suburbs with existing public transport in place.
The change is a bold initiative. and there is every chance that it will deliver spectacular benefits to the economy. At least it is a move away from the tired thinking that has applied to home building over the past few decades. We live in difficult times, and it is encouraging to see that a fresh approach is sweeping away the cobwebs in the delivery of this new budget !
Tuesday 6 September 2011
" Fly-in, Fly-out " jobs !
We are about to lose a thousand steel manufacturing jobs in the Illawarra, and the mining areas of Western Australia and Queensland are crying out for skilled people to fill existing job vacancies. There is criticism that these jobs will be filled in a " Fly-in, Fly-out " arrangement.
A little careful thought reveals why this is the only way that can reasonably happen.
To an employer the ideal applicant for a mining job would be a person aged between twenty-five and forty-five, with skills applicable to the mining industry. Such a person is probably male, married and with school age children. This family will either have a home secured with a mortgage, or will be living in a Housing Commission dwelling.
Think of the immense problems associated with moving that family to a mining town in another state. Because of the sudden expansion of mining there the supply of housing is inadequate - and is priced far higher than the Illawarra. He would therefore sell here at a loss in comparison with relocating costs - and if a tenant of the Housing Commission - would drop to the bottom of the list if the job failed.
In all probability, his wife has a job here, and that would be hard to replicate in a booming mining town. It is possible that it would require a change of skills from clerical or sales - to driving heavy machinery, and that would not be a happy experience for everybody.
Then there are the children. We have a totally different curriculum in each state's education system, and together with the loss of friends - relocating would be highly disruptive in that critical period of a young persons life.
The " Fly-in, Fly-out " option also has it's downside. It creates a family void when one member is absent for the usual two week shift, and then returns. There is always the risk of boredom resulting in an increase in alcohol consumption or gambling, and added stress can be detrimental to any relationship already under pressure.
" Fly-in, Fly-out " is probably the best option in the short term. It allows all the parties to consider the implications without time limits on making decisions. It also gives breathing space to consider the long term future. Will this mining boom continue indefinitely ? Will the jobs be forever restricted to a " Fly-in, Fly-out " workforce - or will pleasant mining towns eventually become reality ?
These are big decisions for those families needing to find a new job. The wise course is to select the least disruptive option - until the future becomes clearer !
A little careful thought reveals why this is the only way that can reasonably happen.
To an employer the ideal applicant for a mining job would be a person aged between twenty-five and forty-five, with skills applicable to the mining industry. Such a person is probably male, married and with school age children. This family will either have a home secured with a mortgage, or will be living in a Housing Commission dwelling.
Think of the immense problems associated with moving that family to a mining town in another state. Because of the sudden expansion of mining there the supply of housing is inadequate - and is priced far higher than the Illawarra. He would therefore sell here at a loss in comparison with relocating costs - and if a tenant of the Housing Commission - would drop to the bottom of the list if the job failed.
In all probability, his wife has a job here, and that would be hard to replicate in a booming mining town. It is possible that it would require a change of skills from clerical or sales - to driving heavy machinery, and that would not be a happy experience for everybody.
Then there are the children. We have a totally different curriculum in each state's education system, and together with the loss of friends - relocating would be highly disruptive in that critical period of a young persons life.
The " Fly-in, Fly-out " option also has it's downside. It creates a family void when one member is absent for the usual two week shift, and then returns. There is always the risk of boredom resulting in an increase in alcohol consumption or gambling, and added stress can be detrimental to any relationship already under pressure.
" Fly-in, Fly-out " is probably the best option in the short term. It allows all the parties to consider the implications without time limits on making decisions. It also gives breathing space to consider the long term future. Will this mining boom continue indefinitely ? Will the jobs be forever restricted to a " Fly-in, Fly-out " workforce - or will pleasant mining towns eventually become reality ?
These are big decisions for those families needing to find a new job. The wise course is to select the least disruptive option - until the future becomes clearer !
Monday 5 September 2011
A change of direction !
The preliminary results of Saturday's Wollongong and Shellharbour council elections reflect the damage that has been done to the Labor brand in Federal, State - and now local government jurisdictions. In previous decades the Illawarra was known Australia wide as rock solid Labor heartland. It elected the odd independent, but was a closed shop as far as Liberal representation was concerned.
The final outcome will not be clear until absentee and postal votes are counted, but there is no doubt that for the first time endorsed Liberals will sit on both councils. There will be a Labor presence, but it will no longer control either council by way of overwhelming number superiority. There will also be a mix of independents - some of which have disguised party affiliations - and most wards will have a Green representative.
As expected, leading independent Gordon Bradbery looks set to take the Lord Mayoral chair. He polled 33.6% of the votes, compared to Liberal John Dorahay's 22.5% - with Labor's Christ Connor bringing up the rear at 18.9%.
This election will surely cause both the main political parties to stop and think - long and hard - about their attitude to the Illawarra. In the past, it suffered a two way blow because of it's rigid voting pattern. Labor ignored it because is was rock solid, welded on Labor heartland which could be counted on to deliver despite lack of spending in this area.
When the Liberals were in power it was considered unwinnable - and therefore not worth wasting money to try and achieve a voting swing.
Both sides of politics will now need to evaluate their policies and treat the Illawarra seriously. The Liberals have won seats at a critical time in Australian politics. Labor is in decline, but we live in uncertain times despite our economy looking world standard in comparison with the US and Europe.
The problem is that mining and it's export base are propping up that economy at the same time our other exports are slipping away, and the mining boom will not last forever.
We need wise heads at all levels of government to make sure that Australia remains " the lucky country ".
The first step should be for those newly elected to the Illawarra councils to forget politics - and work together to advance this region.
Clearly - that is what the voters intended !
The final outcome will not be clear until absentee and postal votes are counted, but there is no doubt that for the first time endorsed Liberals will sit on both councils. There will be a Labor presence, but it will no longer control either council by way of overwhelming number superiority. There will also be a mix of independents - some of which have disguised party affiliations - and most wards will have a Green representative.
As expected, leading independent Gordon Bradbery looks set to take the Lord Mayoral chair. He polled 33.6% of the votes, compared to Liberal John Dorahay's 22.5% - with Labor's Christ Connor bringing up the rear at 18.9%.
This election will surely cause both the main political parties to stop and think - long and hard - about their attitude to the Illawarra. In the past, it suffered a two way blow because of it's rigid voting pattern. Labor ignored it because is was rock solid, welded on Labor heartland which could be counted on to deliver despite lack of spending in this area.
When the Liberals were in power it was considered unwinnable - and therefore not worth wasting money to try and achieve a voting swing.
Both sides of politics will now need to evaluate their policies and treat the Illawarra seriously. The Liberals have won seats at a critical time in Australian politics. Labor is in decline, but we live in uncertain times despite our economy looking world standard in comparison with the US and Europe.
The problem is that mining and it's export base are propping up that economy at the same time our other exports are slipping away, and the mining boom will not last forever.
We need wise heads at all levels of government to make sure that Australia remains " the lucky country ".
The first step should be for those newly elected to the Illawarra councils to forget politics - and work together to advance this region.
Clearly - that is what the voters intended !
Sunday 4 September 2011
A " second "language !
For decades educators have been harping on the need for children to learn a second language to equip them for life's journey in the commercial world. Learning Japanese was all the rage when Japan's industrial juggernaut was spewing out cars and electronics as a world leader - and now the urge to learn Mandarin reflects changing values.
What seems to have been un-noticed is the fact that our young people have developed a second language that is fast replacing English as their primary means of communication.
The development of the mobile phone saw " texting " virtually replace the spoken word, and brought with it the need for abbreviation to increase message speed. This - coupled with the internet - saw the development of " international symbolism" in use world wide.
A mighty chasm has developed. Few parents accessing their child's phone would have a clue at what this cypher means and in the mysterious labrynth of child's minds innocently sounding jumbling of letters can sound warnings and broach subjects better left alone,
A child having a texting conversation may tap in POS - which will tell the other party that his or her parent " is looking over my shoulder ". Other abbreviations simply reduce key strokes to deliver a longer message. SPST equates to " Same place- same time " - and other codes such as 420 refer to an illicit substance - such as Marijuana - which might otherwise draw a watcher's concern.
One of the problems is the difficulty of separating " texting language " from the everyday use of English, and as a result our national language is changing. As the vast numbers of present children finish school and enter the workforce it is inevitable that the written word changes with them. After all, new words are constantly entering the lexicon. The development of the computer brought with it a host of newly named component parts, and before that the nuclear age spawned a new vocabulary. One of the strengths of the English language is it's ability to accept change.
When we look back at the time of the first fleet and study letters written at that time we find the wording very different from that which we use today. Change had been constant - and for those purists who reject change there is a certain inevitability that can not be resisted.
It is this ability to change that has made the English language the choice of a globalized world !
What seems to have been un-noticed is the fact that our young people have developed a second language that is fast replacing English as their primary means of communication.
The development of the mobile phone saw " texting " virtually replace the spoken word, and brought with it the need for abbreviation to increase message speed. This - coupled with the internet - saw the development of " international symbolism" in use world wide.
A mighty chasm has developed. Few parents accessing their child's phone would have a clue at what this cypher means and in the mysterious labrynth of child's minds innocently sounding jumbling of letters can sound warnings and broach subjects better left alone,
A child having a texting conversation may tap in POS - which will tell the other party that his or her parent " is looking over my shoulder ". Other abbreviations simply reduce key strokes to deliver a longer message. SPST equates to " Same place- same time " - and other codes such as 420 refer to an illicit substance - such as Marijuana - which might otherwise draw a watcher's concern.
One of the problems is the difficulty of separating " texting language " from the everyday use of English, and as a result our national language is changing. As the vast numbers of present children finish school and enter the workforce it is inevitable that the written word changes with them. After all, new words are constantly entering the lexicon. The development of the computer brought with it a host of newly named component parts, and before that the nuclear age spawned a new vocabulary. One of the strengths of the English language is it's ability to accept change.
When we look back at the time of the first fleet and study letters written at that time we find the wording very different from that which we use today. Change had been constant - and for those purists who reject change there is a certain inevitability that can not be resisted.
It is this ability to change that has made the English language the choice of a globalized world !
Saturday 3 September 2011
A " scorched earth " policy !
Colonel Muammar Gaddafi - the former leader of Libya - is urging his few remaining followers and members of his tribe to " fight to the death " to resist the dawn of freedom in that country. Resistance has been a lost cause for some time as the rebel army of untrained citizens has done battle with his trained troops - and won.
Now - a familiar refrain from a defeated tyrant. " Let Libya burn ".
It seems to be part of the psyche of dictators that rather than relinquish control of what they regard as " their empire ", they would rather see it go up in a pyrrhic wall of flame - and doom it's citizens to death, disease and destruction.
We saw a similar tragedy near the end of the second world war. To any thinking person in Germany in the early days of 1944 there could have been no doubt that the war was lost - and the obvious course to save the citizens would be to sue for peace.
That didn't happen. Adolph Hitler was of a similar mind to Gaddafi - and he led his country to more months of war, with ruined cities and dead citizens.
There is another like comparison. Both Hitler and Gaddafi were not exactly keen to pick up a rifle and do battle alongside their countrymen on the front line.
Hitler remained in his bunker until the invading Russians were at his door - and Gaddafi is hiding out somewhere in Libya - but has sent his wife and family to safety in another country.
It must occur to many Libyan citizens to look at Germany in the twenty-first century and remember the mess there when peace finally arrived. How much more death and destruction must Libya face before the inevitable happens - and the country starts the march along a long road to rehabilitation ?
Such is the legacy of tyrants !
Now - a familiar refrain from a defeated tyrant. " Let Libya burn ".
It seems to be part of the psyche of dictators that rather than relinquish control of what they regard as " their empire ", they would rather see it go up in a pyrrhic wall of flame - and doom it's citizens to death, disease and destruction.
We saw a similar tragedy near the end of the second world war. To any thinking person in Germany in the early days of 1944 there could have been no doubt that the war was lost - and the obvious course to save the citizens would be to sue for peace.
That didn't happen. Adolph Hitler was of a similar mind to Gaddafi - and he led his country to more months of war, with ruined cities and dead citizens.
There is another like comparison. Both Hitler and Gaddafi were not exactly keen to pick up a rifle and do battle alongside their countrymen on the front line.
Hitler remained in his bunker until the invading Russians were at his door - and Gaddafi is hiding out somewhere in Libya - but has sent his wife and family to safety in another country.
It must occur to many Libyan citizens to look at Germany in the twenty-first century and remember the mess there when peace finally arrived. How much more death and destruction must Libya face before the inevitable happens - and the country starts the march along a long road to rehabilitation ?
Such is the legacy of tyrants !
Friday 2 September 2011
Not a vote of confidence !
The Australian Labor party ( ALP ) must wonder what else can go wrong. On Saturday two Illawarra councils face the voters - and yesterday an endorsed ALP candidate for Shellharbour made a public statement saying " People would be crazy to vote Labor ". He went on to say :" They don't really want to change because it's all about power and control ".
Tim Banfield is in number four place on the five member ALP ticket. Many will say that this is " sour grapes " because he hoped to be placed higher on the ticket - but whatever the reason it is hardly a vote of confidence that will impress voters.
We certainly live in uncertain times. Yesterday a rumour was running rife in this area that Prime Minister Julia Gillard was " so shattered " by the High court's ruling on the Malaysia solution that she was thinking of stepping down as prime minister and sitting on the back bench.
According to the scuttlebutt, this created absolute panic amongst the ALP front bench people - because nobody wanted to take over her job. The ALP " brand " is viewed as so tarnished that whoever sits in the prime minister's chair is doomed to lead the party to defeat - and oblivion of the unfortunate leader at that time.
The rumour is probably wishful thinking by some, but then again nobody without a crystal ball is likely to be able to accurately predict the future in these uncertain times - and it was even suggested that with all the ALP front runners ducking for cover, there would be a move to resurrect that old war horse - and failed opposition leader - Simon Crean for the job !
It's hard to say where these rumours originate, but when endorsed candidates start making statements advising voters to not vote for the party - just about anything seems possible !
Tim Banfield is in number four place on the five member ALP ticket. Many will say that this is " sour grapes " because he hoped to be placed higher on the ticket - but whatever the reason it is hardly a vote of confidence that will impress voters.
We certainly live in uncertain times. Yesterday a rumour was running rife in this area that Prime Minister Julia Gillard was " so shattered " by the High court's ruling on the Malaysia solution that she was thinking of stepping down as prime minister and sitting on the back bench.
According to the scuttlebutt, this created absolute panic amongst the ALP front bench people - because nobody wanted to take over her job. The ALP " brand " is viewed as so tarnished that whoever sits in the prime minister's chair is doomed to lead the party to defeat - and oblivion of the unfortunate leader at that time.
The rumour is probably wishful thinking by some, but then again nobody without a crystal ball is likely to be able to accurately predict the future in these uncertain times - and it was even suggested that with all the ALP front runners ducking for cover, there would be a move to resurrect that old war horse - and failed opposition leader - Simon Crean for the job !
It's hard to say where these rumours originate, but when endorsed candidates start making statements advising voters to not vote for the party - just about anything seems possible !
Thursday 1 September 2011
The big question ?
Older Australians will remember the period immediately after the end of the second world war - and the fiasco that was this country's telephone system. Providing voice communication was a government monopoly vested in the hands of the Postmaster Generals Department ( PMG ) - and in older suburbs you will still see some cableway covers inscribed with the " PMG " logo.
Returning servicemen and the influx of migrants was way beyond the ability of a government department to cope - and getting a new phone connection was often measured in " years " ! In some areas we even revisited the old " party line " system - and nothing changed until telephones moved from government control - into the hands and initiatives of the private sector.
Now would be a good time to consider the future of the National Broadband Network ( NBN) ?
Connection to homes and businesses is about to pickup - but do we want this to be another government monopoly ? It is being created with billions of public money, but it is a fact of life that governments are not good at running commercial operations - particularly when that operation has monopoly status.
Access costs could be the stumbling block. When it is complete it is likely that existing communication companies will vie for a license to sell cable time to consumers and hopefully a lot of such companies will provide price competition to keep prices low - again provided that if the government continues to own NBN it does not use the monopoly to gouge unrealistic returns.
There are suggestions that NBN could be sold off by way of a share float, but this simply reintroduces that monopoly situation. The smart people who grab a shareholding in such a NBN venture could be looking for an unrealistic return - and this would be at the expense of industrial clients - and the mums and dads who now consider a home computer as one of life's essentials.
NBN is going to provide a national service. Perhaps the best solution would be to leave it in public ownership - but controlled by a board of nominees from each of the states and territories.
Such a board would present a mix of political thinking, and as no individual political party usually has control in all states and territories it would be subject to a high degree of independent thinking. Broadband is new technology - and we need to harness it's operations to people " who think outside the nine dots " !
Returning servicemen and the influx of migrants was way beyond the ability of a government department to cope - and getting a new phone connection was often measured in " years " ! In some areas we even revisited the old " party line " system - and nothing changed until telephones moved from government control - into the hands and initiatives of the private sector.
Now would be a good time to consider the future of the National Broadband Network ( NBN) ?
Connection to homes and businesses is about to pickup - but do we want this to be another government monopoly ? It is being created with billions of public money, but it is a fact of life that governments are not good at running commercial operations - particularly when that operation has monopoly status.
Access costs could be the stumbling block. When it is complete it is likely that existing communication companies will vie for a license to sell cable time to consumers and hopefully a lot of such companies will provide price competition to keep prices low - again provided that if the government continues to own NBN it does not use the monopoly to gouge unrealistic returns.
There are suggestions that NBN could be sold off by way of a share float, but this simply reintroduces that monopoly situation. The smart people who grab a shareholding in such a NBN venture could be looking for an unrealistic return - and this would be at the expense of industrial clients - and the mums and dads who now consider a home computer as one of life's essentials.
NBN is going to provide a national service. Perhaps the best solution would be to leave it in public ownership - but controlled by a board of nominees from each of the states and territories.
Such a board would present a mix of political thinking, and as no individual political party usually has control in all states and territories it would be subject to a high degree of independent thinking. Broadband is new technology - and we need to harness it's operations to people " who think outside the nine dots " !
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