Look at a picture of a crowd scene from sixty years ago and one factor stands out - all the men wore hats.
Look at a similar crowd scene today - and most of the men are bare headed - and those that have head covering are wearing a baseball cap.
Fashion comes and fashion goes but two factors are converging that are going to send a lot of people to an early grave.
The earth is getting hotter. That is no longer a theory and there is every reason to suppose that the trend will accelerate nomatter what we do in the short term to reduce carbon emissions.
Our lifestyle and fashions have changed from the dreary mid twentieth century and we tend to expose more flesh these days. The height of women's hemlines raises and lowers from year to year, but bare arms and bare legs are normal street wear - and on the beach we wear the absolute minimum.
Australia is the country most prone to Melanoma - the most deadly skin cancer of that diabolical causer of death which comes in so many forms - and yet it is also the most preventable.
We can do little to definitely ward of cancers that occur within the body, but by taking a few simple precautions Melanoma is avoidable.
The problem is - few of us bother !
The answer seems simple. If we can somehow create a sense of fashion that makes hats an accessory that becomes part of our lifestyle - and if the fashion guru's dictate long sleeves and trousers for day wear - then the cancer surgeons will have a lot less work to do.
And while we are at it. Maybe the fashion people could wave their magic wand and make sun glasses de rigeur.
Too much exposure to the sun is also a major cause of blindness.
It's a nice theory. The only problem is that nobody has yet learned just what makes the fickle fancy of fashion suddenly bloom and make following it a necessity !
Sunday, 30 September 2007
Saturday, 29 September 2007
The leader's choice.
Kevin Rudd must be commended for laying down the law and demanding the right to choose his ministry if he is elected later this year.
One of the weaknesses of the Labor party has been the protocol which leaves the selection of the front bench to horse trading between the factions. Those put forward are a result of deals and number crunching as the factions thrash out their power status to divide the spoils of victory.
The unfortunate Labor prime minister is reduced to cobbling together a working cabinet from a selection that ranges from the brilliant to the moronic.
It is a debility not imposed on conservative prime ministers, who have the right to pick and choose from the entire parliamentary party - and can therefore elevate or dismiss ministers according to their performance in the job.
The one weakness of the Westminster system is the protocol that dictates that all serving ministers have to be elected members of parliament.
Getting enough votes to win a seat in the house does not necessarily mean a member has the ability to understand and run a difficult and devious portfolio. There are times when not a single member from either side of the house has the capacity to understand an issue - that would be better served by an unelected member of the public with the correct qualifications. Unfortunately, " the system " makes such an appointment impossible.
Under a presidential system the holder of that office may bring into cabinet outsiders who have skills well above those elected to a seat in the house. During the last world war FDR saw a need to build cargo ships to secure the Atlantic lifeline from the depredations of U-Boats. At that time, building a new ship took nearly twelve months. FDR appointed Henry Kaiser - who adopted the methods of Henry Ford in the car industry - and resulted in Liberty ships rolling off the production line in as little time as a week.
Whatever the outcome of the coming election, Kevin Rudd has stamped his authority on the job of leader as far as the Labor party is concerned. There will be opposition from within the ranks of the factions - and the states will be concerned that the new regime may diminish state representation - but the essence of forming a cabinet is to get the right people into the right jobs. In that respect, change has been long overdue !
One of the weaknesses of the Labor party has been the protocol which leaves the selection of the front bench to horse trading between the factions. Those put forward are a result of deals and number crunching as the factions thrash out their power status to divide the spoils of victory.
The unfortunate Labor prime minister is reduced to cobbling together a working cabinet from a selection that ranges from the brilliant to the moronic.
It is a debility not imposed on conservative prime ministers, who have the right to pick and choose from the entire parliamentary party - and can therefore elevate or dismiss ministers according to their performance in the job.
The one weakness of the Westminster system is the protocol that dictates that all serving ministers have to be elected members of parliament.
Getting enough votes to win a seat in the house does not necessarily mean a member has the ability to understand and run a difficult and devious portfolio. There are times when not a single member from either side of the house has the capacity to understand an issue - that would be better served by an unelected member of the public with the correct qualifications. Unfortunately, " the system " makes such an appointment impossible.
Under a presidential system the holder of that office may bring into cabinet outsiders who have skills well above those elected to a seat in the house. During the last world war FDR saw a need to build cargo ships to secure the Atlantic lifeline from the depredations of U-Boats. At that time, building a new ship took nearly twelve months. FDR appointed Henry Kaiser - who adopted the methods of Henry Ford in the car industry - and resulted in Liberty ships rolling off the production line in as little time as a week.
Whatever the outcome of the coming election, Kevin Rudd has stamped his authority on the job of leader as far as the Labor party is concerned. There will be opposition from within the ranks of the factions - and the states will be concerned that the new regime may diminish state representation - but the essence of forming a cabinet is to get the right people into the right jobs. In that respect, change has been long overdue !
Friday, 28 September 2007
Political hypocrisy.
With an election just weeks away a prime example of political hypocrisy has been resolved.
The Federal government initially granted a license for the first Magnetic Resonance Imaging ( MRI ) machine to come to the Illawarra to a group of private medical practitioners.
The Wollongong hospital and Illawarra specialists argued that a public MRI machine was an essential need, but provision was denied by the Federal government as part of the ongoing battle between different political persuasions.
The state government bought and installed an MRI machine at Wollongong hospital, but were denied a Medicaire license - and this has been the situation for three long years.
As a result, the only people able to us the hospital MRI machine have been inpatients. The general public, out-patients and people referred by specialists have had to use the MRI machine owned by private doctors - and pay a fee of around $ 200 for each session.
With an election brewing the Federal government has finally dropped a crumb from it's table - and granted a Medicaire license for the hospital MRI machine. As a result, it will be available to the public on a bulk billing basis.
Commonsense should have prevailed and this license should have been granted three years ago, preventing untold misery and avoidable expense for the citizens of the Illawarra. The reason it wasn't is the ongoing battle for supremacy - and point scoring - between politicians of differing persuasions in two tiers of government.
What we have seen here is a classic example of what is wrong with politics. The original idea of a parliament goes back centuries to when each tribe gathered for a pow-wow around the campfire - and elected their wisest to be their representative at a gathering of all the tribes.
The requirement was that such a person would consider the issues evenly - and make decisions for the betterment of all of the tribes.
What a long way from that principle have we strayed !
The Federal government initially granted a license for the first Magnetic Resonance Imaging ( MRI ) machine to come to the Illawarra to a group of private medical practitioners.
The Wollongong hospital and Illawarra specialists argued that a public MRI machine was an essential need, but provision was denied by the Federal government as part of the ongoing battle between different political persuasions.
The state government bought and installed an MRI machine at Wollongong hospital, but were denied a Medicaire license - and this has been the situation for three long years.
As a result, the only people able to us the hospital MRI machine have been inpatients. The general public, out-patients and people referred by specialists have had to use the MRI machine owned by private doctors - and pay a fee of around $ 200 for each session.
With an election brewing the Federal government has finally dropped a crumb from it's table - and granted a Medicaire license for the hospital MRI machine. As a result, it will be available to the public on a bulk billing basis.
Commonsense should have prevailed and this license should have been granted three years ago, preventing untold misery and avoidable expense for the citizens of the Illawarra. The reason it wasn't is the ongoing battle for supremacy - and point scoring - between politicians of differing persuasions in two tiers of government.
What we have seen here is a classic example of what is wrong with politics. The original idea of a parliament goes back centuries to when each tribe gathered for a pow-wow around the campfire - and elected their wisest to be their representative at a gathering of all the tribes.
The requirement was that such a person would consider the issues evenly - and make decisions for the betterment of all of the tribes.
What a long way from that principle have we strayed !
Thursday, 27 September 2007
The financial black hole !
Wollongong is a city in terminal decay. The old town hall has lost it's audience license because fire safety has deteriorated to an unsafe level. Rock pools are being fenced off because there are no funds to repair them - and the city road network is a mass of pot holes approaching danger level.
A report has delivered a " responsible scenario " for rectification, but it is one which will require the citizens to bite the bullet and accept a sharp increase in fiscal responsibility.
Rates will need to increase by 2.3% each year above the inflation level, fees and charges increase by 4.1% - and services will decrease by 1.6%, but precisely which services have not been mentioned. At the same time, the city will need to undertake a borrowing that will saddle ratepayers with a debt of $ 156.3 million.
If this is implemented, work spending will increase from the present $ 27 million a year to a whopping $ 224.5 million - and recovery will become a reality.
There is just one fly in the ointment - and it's called " The Gateway Centre ".
This tourist development at Bulli Tops started as a modest initiative mix of council and private funding. Before the first sod was turned political activists crawled out of the woodwork and the plans escalated - and so did the cost. It is now slated to cost $ 7.7 million - and unofficial estimates put the cost at completion nearer $ 10 million.
The problem is that control of council spending is in the hands of elected councillors - and these people are political animals. If the " Responsible Scenario " is implemented there is every chance that a fair proportion of the money raised will not go to repairing eroded infrastructure - but will be diverted to new " pie in the sky " initiatives of a vote catching nature.
Maybe now would be a good time to stand down elected councillors for a period of time - ten years would be a good target - and put control of the city and it's finances solely in the hands of our new CEO.
We need to steer a dedicated course and direct spending to refurbishing the ageing and derelict city structure without crazy excursions into new projects with a political theme. That will not be achieved unless we remove the obstacle that has resulted in the present financial mess. It seems impossible to have elected councillors without politics intruding into council affairs - with the disastrous results that are now apparent.
Let sanity prevail - and the CEO get on with the job !
A report has delivered a " responsible scenario " for rectification, but it is one which will require the citizens to bite the bullet and accept a sharp increase in fiscal responsibility.
Rates will need to increase by 2.3% each year above the inflation level, fees and charges increase by 4.1% - and services will decrease by 1.6%, but precisely which services have not been mentioned. At the same time, the city will need to undertake a borrowing that will saddle ratepayers with a debt of $ 156.3 million.
If this is implemented, work spending will increase from the present $ 27 million a year to a whopping $ 224.5 million - and recovery will become a reality.
There is just one fly in the ointment - and it's called " The Gateway Centre ".
This tourist development at Bulli Tops started as a modest initiative mix of council and private funding. Before the first sod was turned political activists crawled out of the woodwork and the plans escalated - and so did the cost. It is now slated to cost $ 7.7 million - and unofficial estimates put the cost at completion nearer $ 10 million.
The problem is that control of council spending is in the hands of elected councillors - and these people are political animals. If the " Responsible Scenario " is implemented there is every chance that a fair proportion of the money raised will not go to repairing eroded infrastructure - but will be diverted to new " pie in the sky " initiatives of a vote catching nature.
Maybe now would be a good time to stand down elected councillors for a period of time - ten years would be a good target - and put control of the city and it's finances solely in the hands of our new CEO.
We need to steer a dedicated course and direct spending to refurbishing the ageing and derelict city structure without crazy excursions into new projects with a political theme. That will not be achieved unless we remove the obstacle that has resulted in the present financial mess. It seems impossible to have elected councillors without politics intruding into council affairs - with the disastrous results that are now apparent.
Let sanity prevail - and the CEO get on with the job !
Wednesday, 26 September 2007
New housing estate enigma !
The planned new housing estate at West Dapto will be huge. It will further enhance the population of the Illawarra - and will constitute a city in it's own right eventually.
The big problem being tossed around between the state government, Wollongong council and the developers concerns the development levies that will be charged against each building block - and that creates a conflict of interests.
The council wants the levies to be capable of paying for the services the new estate will require. If they are pitched too low then the council will inevitably have to makeup the shortfall.
The government wants to create housing land that is affordable to first home buyers.
The developers need land prices that will create an affordable mix of land and building to attract buyers and sell their product.
What is needed is an objective look at the needs of a newly developed housing estate.
It will be impossible to duplicate the amenities already existing in well established suburbs in the early years. Past experience with other such developments is a good guide. The law of supply and demand applies. If the demand is there for a product - and that includes shopping facilities, bus transport and entertainment - private enterprise will respond if it can be provided at a profit.
That usually means that what is provided falls far short of of what the customers would desire.
For instance, private bus companies will run buses on routes that are profitable, but forget about services late at night or at times when just one or two patrons are passengers.
The same applies when it comes to shopping facilities. If there is demand, service will be forthcoming.
The levies that apply to West Dapto need to be angled at providing affordable homes for the average person. A fair impost on each block will be needed to make sure government services such as schools, fire services and medical facilities are promptly installed - but beyond that there is no point in creating utopia if it is out of reach of the consumer.
Hopefully, a practical compromise will err on the side of reality !
The big problem being tossed around between the state government, Wollongong council and the developers concerns the development levies that will be charged against each building block - and that creates a conflict of interests.
The council wants the levies to be capable of paying for the services the new estate will require. If they are pitched too low then the council will inevitably have to makeup the shortfall.
The government wants to create housing land that is affordable to first home buyers.
The developers need land prices that will create an affordable mix of land and building to attract buyers and sell their product.
What is needed is an objective look at the needs of a newly developed housing estate.
It will be impossible to duplicate the amenities already existing in well established suburbs in the early years. Past experience with other such developments is a good guide. The law of supply and demand applies. If the demand is there for a product - and that includes shopping facilities, bus transport and entertainment - private enterprise will respond if it can be provided at a profit.
That usually means that what is provided falls far short of of what the customers would desire.
For instance, private bus companies will run buses on routes that are profitable, but forget about services late at night or at times when just one or two patrons are passengers.
The same applies when it comes to shopping facilities. If there is demand, service will be forthcoming.
The levies that apply to West Dapto need to be angled at providing affordable homes for the average person. A fair impost on each block will be needed to make sure government services such as schools, fire services and medical facilities are promptly installed - but beyond that there is no point in creating utopia if it is out of reach of the consumer.
Hopefully, a practical compromise will err on the side of reality !
Tuesday, 25 September 2007
The Kokoda Trail.
In 1942 Imperial Japanese forces invaded Papua New Guinea and began an advance over the Owen Stanley ranges to capture the capital, Port Moresby.
This rugged mountain range was deep jungle with fast flowing streams and steep ravines - almost impassable - but with a route used by it's native people known as the Kokoda Trail.
A Japanese victory there would have put Australia in peril. Australian troops were ordered to halt the Japanese advance - and so ensured a legend. For the first time in the second world war the all-conquering Imperial army suffered a defeat. The " Diggers " fought in atrocious conditions against one of the best equipped forces in the world - and won !
Many things have changed since then. For some inscrutable reason the term " Kokoda Trail " has been abandoned in favour of the more politically correct " Kokoda Track "- although signage at the commencement of the trail still refers to it as the " trail ".
New interest in Australia's war history has seen groups rediscover and walk the trail - and one New South Wales government school had this in mind following efforts that raised the necessary funds and secured the insurance and guides to make the journey possible.
Initially it had the support of the education department, but now - just a few weeks before the start - the state government has implemented a ban. Private schools can - and do - visit the Kokoda Trail. The government has decided it " is too risky " to allow government school kids to do the same.
Just what law does the government think applies that allows it to tell a bunch of kids - who have parent permission and support - and have worked their tails off to raise the necessary funds - and have all the support structure in place to see them through an epic adventure - that the government will tell them what they can and what they can not do with their time during the school holidays ?
Sure ! Climbing jungle clad mountains has an element of danger. But so does swimming in the ocean ! So does trail bike riding ! So does skate boarding !
Hopefully these kids and their parents will give this interfering nanny state the one finger salute - and go and see where an epic event of Australian history took place !
This rugged mountain range was deep jungle with fast flowing streams and steep ravines - almost impassable - but with a route used by it's native people known as the Kokoda Trail.
A Japanese victory there would have put Australia in peril. Australian troops were ordered to halt the Japanese advance - and so ensured a legend. For the first time in the second world war the all-conquering Imperial army suffered a defeat. The " Diggers " fought in atrocious conditions against one of the best equipped forces in the world - and won !
Many things have changed since then. For some inscrutable reason the term " Kokoda Trail " has been abandoned in favour of the more politically correct " Kokoda Track "- although signage at the commencement of the trail still refers to it as the " trail ".
New interest in Australia's war history has seen groups rediscover and walk the trail - and one New South Wales government school had this in mind following efforts that raised the necessary funds and secured the insurance and guides to make the journey possible.
Initially it had the support of the education department, but now - just a few weeks before the start - the state government has implemented a ban. Private schools can - and do - visit the Kokoda Trail. The government has decided it " is too risky " to allow government school kids to do the same.
Just what law does the government think applies that allows it to tell a bunch of kids - who have parent permission and support - and have worked their tails off to raise the necessary funds - and have all the support structure in place to see them through an epic adventure - that the government will tell them what they can and what they can not do with their time during the school holidays ?
Sure ! Climbing jungle clad mountains has an element of danger. But so does swimming in the ocean ! So does trail bike riding ! So does skate boarding !
Hopefully these kids and their parents will give this interfering nanny state the one finger salute - and go and see where an epic event of Australian history took place !
Monday, 24 September 2007
Reverse mortgages.
Financial institutions report a surge in people taking advantage of a type of finance called " Reverse mortgages ". Typically, these are the elderly who have paid off their homes and are now retired - but finding that the pension leaves a lot to be desired when it comes to a comfortable lifestyle.
The offer of a reverse mortgage is seductive - but also highly dangerous. It allows the owner to borrow money against the asset of the property they own to finance a more comfortable retirement lifestyle.
There are no repayments. The borrowed money - plus interest - is eventually recovered when the owner either sells the property or dies.
The problem is that taking up a reverse mortgage is a step into the unknown. All the calculations are done on the basis of conditions existing now - and who can foretell the future ?
At the moment interest rates are relatively low, but there are storm clouds over the home finance industry both here and overseas and nobody can accurately predict what level is possible even in the short term. Remember when rates hit seventeen percent over a decade ago ?
If interest rates rise - and at the same time house prices decline - the ratio of debt to asset can change dramatically - and quickly.
What started out as a small loan can gather steam and become a monster - and the retiree can find it consuming an ever greater degree of equity - until what was a comfortable nest egg has become a liability.
In some instances there is a place for reverse mortgages, but they should not be entered into lightly - and retirees should think long and hard - and do some quality research before signing on the dotted line !
The offer of a reverse mortgage is seductive - but also highly dangerous. It allows the owner to borrow money against the asset of the property they own to finance a more comfortable retirement lifestyle.
There are no repayments. The borrowed money - plus interest - is eventually recovered when the owner either sells the property or dies.
The problem is that taking up a reverse mortgage is a step into the unknown. All the calculations are done on the basis of conditions existing now - and who can foretell the future ?
At the moment interest rates are relatively low, but there are storm clouds over the home finance industry both here and overseas and nobody can accurately predict what level is possible even in the short term. Remember when rates hit seventeen percent over a decade ago ?
If interest rates rise - and at the same time house prices decline - the ratio of debt to asset can change dramatically - and quickly.
What started out as a small loan can gather steam and become a monster - and the retiree can find it consuming an ever greater degree of equity - until what was a comfortable nest egg has become a liability.
In some instances there is a place for reverse mortgages, but they should not be entered into lightly - and retirees should think long and hard - and do some quality research before signing on the dotted line !
Sunday, 23 September 2007
The bandit banks !
There are reports that the banks are quietly edging up interest rates on credit card transactions. They are aware that some people are in trouble with home mortgages and are using credit to stay afloat - and they are getting in for their cut !
Take a trip down memory lane. Get to know what banking was like in yesteryear - ask Grandpa how he did his banking ?
How did he get his first cheque book ? Now that was quite an experience. The bank manager got him in and grilled him on his credit history, job security - and then said " He would let him know ". About a week later - if his story checked out - he got a letter in the mail telling him a cheque account had been approved.
But what about those people who did not have a cheque account ? Cheque accounts were only for the well to do. The " peasants " had savings accounts. But what happened if they wanted to buy something that required them to send the money in advance ? They drew the money out of their savings account and took it to the post office - where they bought a " money order ". Safer than sending cash through the mail - and for a small fee they could require the recipient to provide ID and sign for the cash at the other end.
Why are things so different now ?
Because back in that day there was a big, bad watchdog that kept the other banks in line. The Commonwealth bank was owned by the government - and it was supplemented by state owned banks - and that set the tone on how banking would be conducted.
Then - for some reason - the governments decided that they had no business being in banking - and the government banks were share floated - and as privately owned institutions - joined their competitors in fleecing the public and becoming obscenely rich !
Ethics went out the window along with prudent lending practice. Money was showered on the public by way of credit schemes such as " Bankcard " and banks joined the " me too " rush to impose fees on every aspect of the bank process - from a fee to having the temerity to front the counter at a branch - to an impost for daring to use another institutions ATM.
Perhaps the banks have been too clever for their own good. The computer and advancing technology have made entering a bank branch a rare experience for many - and opened the door for non-bank organizations to offer a similar service.
The difference is that because electronic impulses between terminals cost little there is an opportunity for such firms to adopt the QTSP principle - Quick turnover - small profit - which delivers handsome rewards.
Maybe the banks are wise to gouge huge profits now - maybe their days are numbered !
Take a trip down memory lane. Get to know what banking was like in yesteryear - ask Grandpa how he did his banking ?
How did he get his first cheque book ? Now that was quite an experience. The bank manager got him in and grilled him on his credit history, job security - and then said " He would let him know ". About a week later - if his story checked out - he got a letter in the mail telling him a cheque account had been approved.
But what about those people who did not have a cheque account ? Cheque accounts were only for the well to do. The " peasants " had savings accounts. But what happened if they wanted to buy something that required them to send the money in advance ? They drew the money out of their savings account and took it to the post office - where they bought a " money order ". Safer than sending cash through the mail - and for a small fee they could require the recipient to provide ID and sign for the cash at the other end.
Why are things so different now ?
Because back in that day there was a big, bad watchdog that kept the other banks in line. The Commonwealth bank was owned by the government - and it was supplemented by state owned banks - and that set the tone on how banking would be conducted.
Then - for some reason - the governments decided that they had no business being in banking - and the government banks were share floated - and as privately owned institutions - joined their competitors in fleecing the public and becoming obscenely rich !
Ethics went out the window along with prudent lending practice. Money was showered on the public by way of credit schemes such as " Bankcard " and banks joined the " me too " rush to impose fees on every aspect of the bank process - from a fee to having the temerity to front the counter at a branch - to an impost for daring to use another institutions ATM.
Perhaps the banks have been too clever for their own good. The computer and advancing technology have made entering a bank branch a rare experience for many - and opened the door for non-bank organizations to offer a similar service.
The difference is that because electronic impulses between terminals cost little there is an opportunity for such firms to adopt the QTSP principle - Quick turnover - small profit - which delivers handsome rewards.
Maybe the banks are wise to gouge huge profits now - maybe their days are numbered !
Friday, 21 September 2007
The car theft evolution !
Car theft has always been with us - ever since the car was invented. There has been an evolution in recent times, from joy riding - when the car was simply abandoned at the end of the escapade - to " steal for profit " - where the car was taken to a disused warehouse, stripped of it's identification, be-birthed with false ID - and sold to an unsuspecting buyer.
The new form of car theft involves hi-jacking - where the owner driver is confronted by an armed bandit who demands the keys and disabling remote - and drives off with his prize.
Hi-jacking usually only applies to the cream of the crop - cars with a price tag of around a hundred thousand dollars. Because of this value they are almost impossible to steal in the conventional way because the manufacturer has built-in sophisticated anti-theft devices.
The hi-jack gangs are well organised and the stolen vehicles are usually driven into a shipping container, identified by paperwork describing the contents as "used machinery " - and shipped overseas to countries who have little interest in previous ownership.
This type of theft presents danger to the victim. The perpetrators are people who will not hesitate to resort to physical violence and this type of crime is becoming a huge disincentive for the rich to buy a seriously up-market car.
It will only cease when port authorities implement cargo checks on every container leaving our shores - and thus choke off the opportunity for the bandit to profit from his enterprise.
There is no profit from trying to sell such up-market vehicles here in Australia. Cars of high value are impossible to disguise for re-entry onto the local market due to " mini-dots " sprayed on component parts - hence when the profit motive fades away - so does the incentive to hi-jack cars !
The new form of car theft involves hi-jacking - where the owner driver is confronted by an armed bandit who demands the keys and disabling remote - and drives off with his prize.
Hi-jacking usually only applies to the cream of the crop - cars with a price tag of around a hundred thousand dollars. Because of this value they are almost impossible to steal in the conventional way because the manufacturer has built-in sophisticated anti-theft devices.
The hi-jack gangs are well organised and the stolen vehicles are usually driven into a shipping container, identified by paperwork describing the contents as "used machinery " - and shipped overseas to countries who have little interest in previous ownership.
This type of theft presents danger to the victim. The perpetrators are people who will not hesitate to resort to physical violence and this type of crime is becoming a huge disincentive for the rich to buy a seriously up-market car.
It will only cease when port authorities implement cargo checks on every container leaving our shores - and thus choke off the opportunity for the bandit to profit from his enterprise.
There is no profit from trying to sell such up-market vehicles here in Australia. Cars of high value are impossible to disguise for re-entry onto the local market due to " mini-dots " sprayed on component parts - hence when the profit motive fades away - so does the incentive to hi-jack cars !
The invisible ones.
The effects of the drought are hard to find in the cities. People complain about water restrictions - and the cost of produce is a lot higher than normal - but day to day living is much the same and the drought is something that they see on television and read about in the newspapers.
In the country - it's a whole new world. For a start, wages are a lot leaner than in the city and when times are hard a cut back in hours is the first casualty.
Country folk are proud people an in most cases they suffer a drop in income - and grin and bear it - rather than opt for the dole.
There are compensations. Country people are more likely to have a nice home garden and poultry to keep food on the table and it is not unusual for there to be several jobs running at the same time.
Perhaps a shift as barman in the local club - a stint at mustering at the sale yards - and a home industry - such as cutting and delivering firewood for the aged in their town.
Sadly there is also the inevitable loss of population in country towns. The older folk stick it out and hope for better times, but the young - and specially those with children - tend to migrate to the cities where there are job shortages - and to the mining boom areas of Western Australia and Queensland.
Eventually the drought will end, but it will have cast a long shadow over the rural areas of this country. If there are less children enrolled in country schools the education department will reduce teacher numbers. A reduced population means many small businesses will be enviable - and when the good times roll again - where will the workforce come from ?
Unfortunately we are seeing a form of sea change rolling across rural Australia - and the country towns that were the backbone of this nation will never be the same again !
In the country - it's a whole new world. For a start, wages are a lot leaner than in the city and when times are hard a cut back in hours is the first casualty.
Country folk are proud people an in most cases they suffer a drop in income - and grin and bear it - rather than opt for the dole.
There are compensations. Country people are more likely to have a nice home garden and poultry to keep food on the table and it is not unusual for there to be several jobs running at the same time.
Perhaps a shift as barman in the local club - a stint at mustering at the sale yards - and a home industry - such as cutting and delivering firewood for the aged in their town.
Sadly there is also the inevitable loss of population in country towns. The older folk stick it out and hope for better times, but the young - and specially those with children - tend to migrate to the cities where there are job shortages - and to the mining boom areas of Western Australia and Queensland.
Eventually the drought will end, but it will have cast a long shadow over the rural areas of this country. If there are less children enrolled in country schools the education department will reduce teacher numbers. A reduced population means many small businesses will be enviable - and when the good times roll again - where will the workforce come from ?
Unfortunately we are seeing a form of sea change rolling across rural Australia - and the country towns that were the backbone of this nation will never be the same again !
Wednesday, 19 September 2007
The " Pokie " gamble.
Conventional wisdom has it that no club can survive without the profits from poker machines. For half a century these gambling devices have been delivering the profits necessary to run sporting teams - and at the same time bring in more patronage by providing highly subsidised food, drinks and entertainment to club members.
Two amazing entrepreneurs are standing that thinking on it's head. Russel Crowe and Peter Holmes a Court were brave souls when they bought bottom of the table South Sydney and transformed it into a club that began winning Rugby League games - and progressed up the ladder this season.
Next year the club will reopen it's home base - South Sydney Rugby League club - after a many million dollar refurbishment - and they propose to do it without the old club's 160 poker machines !
On paper that represents a risk of $ 7 million - and many would consider it impossible for such a club to survive without that income.
Just maybe these two astute men are ahead of their time and have grasped a trend that seems invisible to others.
It seems impossible to avoid poker machines these days. Once the sole preserve of clubs the are now in every pub in the state and there are many people who resent having the seductive sound of these machines enticing them to play when all they want is a cold ale.
The very idea of a club without poker machines seems way out - and will certainly not appeal to all people - but just maybe the novelty of this approach will attract a new legion of patrons who go for the food and the entertainment.
A decision on abandoning poker machines is not yet set in stone, but considering the track record of Crowe and Holmes a Court it would be a brave pundit who dismissed the idea out of hand.
South Sydney " Rabbitohs " have a loyal band of followers. Perhaps we are about to see the start of a new trend.
Two amazing entrepreneurs are standing that thinking on it's head. Russel Crowe and Peter Holmes a Court were brave souls when they bought bottom of the table South Sydney and transformed it into a club that began winning Rugby League games - and progressed up the ladder this season.
Next year the club will reopen it's home base - South Sydney Rugby League club - after a many million dollar refurbishment - and they propose to do it without the old club's 160 poker machines !
On paper that represents a risk of $ 7 million - and many would consider it impossible for such a club to survive without that income.
Just maybe these two astute men are ahead of their time and have grasped a trend that seems invisible to others.
It seems impossible to avoid poker machines these days. Once the sole preserve of clubs the are now in every pub in the state and there are many people who resent having the seductive sound of these machines enticing them to play when all they want is a cold ale.
The very idea of a club without poker machines seems way out - and will certainly not appeal to all people - but just maybe the novelty of this approach will attract a new legion of patrons who go for the food and the entertainment.
A decision on abandoning poker machines is not yet set in stone, but considering the track record of Crowe and Holmes a Court it would be a brave pundit who dismissed the idea out of hand.
South Sydney " Rabbitohs " have a loyal band of followers. Perhaps we are about to see the start of a new trend.
Cruelty !
This week Australia was shocked by an instance of unmitigated cruelty. " Rookie ", an eleven year old border collie was a star performer in the Corrective Services department's fifty strong team of sniffer dogs, trained to sniff out drugs in prisons.
Sniffer dogs and their partners form a strong bond and work as a team - but such dogs do not get annual leave and when Rookie's handler took time off this faithful servant of the government was left under the control of another person.
This was a disaster. Rookie was locked in the back of a van and left in the hot sun in the prison officers car par for five long days. It is likely that Rookie survived no more than one day, but suffered an agonising and lonely death from heat and dehydration.
The offending officer has been charged and in due course will face a court - with the prospect of a maximum fine of $ 25,000 and two years gaol.
As is the case with courts, it is unlikely that the maximum sentence will be imposed but this act of indifference, abandonment and cruelty raises an issue that has not been addressed by the government.
There are people in the community that have no affinity with animals and from time to time we hear of dogs starving to death in suburban backyards, and horses left in bare paddocks without water or a skerrick of feed.
In such cases the courts usually inflict a fine, but the offender is free to take control of another animal - and repeat the offence.
We have registers for paedophiles to see that they have no contact with children. It is about time that offenders who have exhibited gross cruelty to animals were placed on a similar register, preventing them from ever owning an animal or having an animal in their care.
Rookie's awful suffering and death deserves such legislation to be enacted !
Sniffer dogs and their partners form a strong bond and work as a team - but such dogs do not get annual leave and when Rookie's handler took time off this faithful servant of the government was left under the control of another person.
This was a disaster. Rookie was locked in the back of a van and left in the hot sun in the prison officers car par for five long days. It is likely that Rookie survived no more than one day, but suffered an agonising and lonely death from heat and dehydration.
The offending officer has been charged and in due course will face a court - with the prospect of a maximum fine of $ 25,000 and two years gaol.
As is the case with courts, it is unlikely that the maximum sentence will be imposed but this act of indifference, abandonment and cruelty raises an issue that has not been addressed by the government.
There are people in the community that have no affinity with animals and from time to time we hear of dogs starving to death in suburban backyards, and horses left in bare paddocks without water or a skerrick of feed.
In such cases the courts usually inflict a fine, but the offender is free to take control of another animal - and repeat the offence.
We have registers for paedophiles to see that they have no contact with children. It is about time that offenders who have exhibited gross cruelty to animals were placed on a similar register, preventing them from ever owning an animal or having an animal in their care.
Rookie's awful suffering and death deserves such legislation to be enacted !
Tuesday, 18 September 2007
To spend a penny !
Australia is a big country with miles and miles - sorry - kilometres and kilometres - of long and dreary roads. From the start of white settlement those travelling by horse and dray - and later those travelling by that new invention - the automobile - were plagued by one small lack of a convenience - a place to relieve themselves when they needed to " spend a penny ".
As a result, it became the custom to duck behind a convenient tree.
That is no longer an option as the population has surged and our roads become an almost uninterrupted flow of traffic.
Fortunately our needs have been met by a plethora of rest stops including picnic tables, parking areas - and most importantly - toilets.
But - there is a vast disparity in their distribution.
For some unknown reason the Hume highway and the Federal highway connecting Sydney with Canberra has an inordinate number of such facilities. This stretch of road has been named " Remembrance Drive " and each of the rest stops is dedicated to one of this country's winners of the Victoria Cross. Presumably rest stops at short intervals are a result of fitting a large number of such winners into a given stretch of road.
Unfortunately the needs of motorists and other travellers has not reached other highways. From Canberra to Cooma - a matter of 110 kilometres - there is just one rest stop with toilets, and the heavily travelled F-6 from Wollongong to Sydney has none at all.
Perhaps it would have been better to expand rest stops across all state highways as a mark of respect to VC winners, rather than concentrate them between Sydney and Canberra - but then again - maybe it is something about politics that make them a necessity with more frequency on that particular road !
As a result, it became the custom to duck behind a convenient tree.
That is no longer an option as the population has surged and our roads become an almost uninterrupted flow of traffic.
Fortunately our needs have been met by a plethora of rest stops including picnic tables, parking areas - and most importantly - toilets.
But - there is a vast disparity in their distribution.
For some unknown reason the Hume highway and the Federal highway connecting Sydney with Canberra has an inordinate number of such facilities. This stretch of road has been named " Remembrance Drive " and each of the rest stops is dedicated to one of this country's winners of the Victoria Cross. Presumably rest stops at short intervals are a result of fitting a large number of such winners into a given stretch of road.
Unfortunately the needs of motorists and other travellers has not reached other highways. From Canberra to Cooma - a matter of 110 kilometres - there is just one rest stop with toilets, and the heavily travelled F-6 from Wollongong to Sydney has none at all.
Perhaps it would have been better to expand rest stops across all state highways as a mark of respect to VC winners, rather than concentrate them between Sydney and Canberra - but then again - maybe it is something about politics that make them a necessity with more frequency on that particular road !
Sunday, 16 September 2007
How young is " too young " ?
A storm erupted when twelve year old Maddison Gabriel was chosen as the face of Queensland's Fashion week. There is no doubt that Maddison is a very pretty girl but the selection has renewed comment on the factors that impinge on models - and their influence on the aspirations of the young who use them as role models.
There has been a flood of criticism on " thin " models, some of whom appear to be suffering from Anorexia. Their use has been blamed for many young girls suffering ill health trying to reduce their dress size to what many consider an " insane level ".
Unfortunately, models bare no relation to the average woman when it comes to dress size and their use simple continues a stereotype that is unrealistic, but does a lot of harm to the impressionable.
The matter of age is something else again. Maddison was technically twelve years old when chosen, but celebrated her thirteenth birthday within days of the event.
In the eyes of the law she is a child. She is forbidden to smoke, drink alcohol or drive a motor vehicle - but because she appeals to the people who judged this event she has the opportunity to become famous, make a lot of money - and probably go on to become an international fashion model.
Should she be denied that chance - simply because she is what many consider to be " too young " ?
Some would say she could achieve that aim when she is older, but fame is a fleeting thing. When opportunity strikes it must be seized. In the glamour stakes there are no second prizes.
The British Fashion Council has recently banned models fifteen years of age or younger. There are also calls for models to be more than a given minimum body weight.
Maddison may be the last twelve year old to step into the spotlight if that tendency follows here. Whether that is a good thing or a bad thing is a matter for each individual to decide !
There has been a flood of criticism on " thin " models, some of whom appear to be suffering from Anorexia. Their use has been blamed for many young girls suffering ill health trying to reduce their dress size to what many consider an " insane level ".
Unfortunately, models bare no relation to the average woman when it comes to dress size and their use simple continues a stereotype that is unrealistic, but does a lot of harm to the impressionable.
The matter of age is something else again. Maddison was technically twelve years old when chosen, but celebrated her thirteenth birthday within days of the event.
In the eyes of the law she is a child. She is forbidden to smoke, drink alcohol or drive a motor vehicle - but because she appeals to the people who judged this event she has the opportunity to become famous, make a lot of money - and probably go on to become an international fashion model.
Should she be denied that chance - simply because she is what many consider to be " too young " ?
Some would say she could achieve that aim when she is older, but fame is a fleeting thing. When opportunity strikes it must be seized. In the glamour stakes there are no second prizes.
The British Fashion Council has recently banned models fifteen years of age or younger. There are also calls for models to be more than a given minimum body weight.
Maddison may be the last twelve year old to step into the spotlight if that tendency follows here. Whether that is a good thing or a bad thing is a matter for each individual to decide !
Doomed to fail.
The Australian system of devolving responsibility for the rule of law over the three tiers of government has much to commend it. Theoretically, the closer law application is to the end user the more likely it is to be unconditionally accepted - and obeyed.
Unfortunately, that will only work when there is cohesion between the three tiers of government - and in the Australian experience that is rare !
A prime example is underway as the New South Wales state government tries to reduce the appalling visual affront - and cost of removal - caused by so called " artists " spraying graffiti.
The one common factor is that this offensive pollution is applied by the use of pressure paint cans.
The state government is now contemplating a total ban on these cans.
Such a law is doomed to failure - because it will only apply in this state.
We have a prime example of how ineffective such a law will be when we consider a similar ban that applies to fireworks.
Fireworks are totally banned from use by the public in this state - and yet on every festive occasion - and at other times just for the hell of it - the night sky lights up with rockets and our animal friends are stampeded in panic by the noise.
Because it is banned in this state - and yet desired by many of the residents - a huge fireworks supply industry has blossomed in Canberra. Road signs point to warehouses and with an open roads policy there is no impediment to loading the car with this banned merchandise and bringing it into New South Wales.
And so it will be if this paint can ban goes ahead.
The surest way to create a smugglers empire is to ban something in one state that it freely available elsewhere.
Surely our state government must be aware of the huge supply of illicit drugs which are subject to a uniform ban nationally ? If that trade can not be stopped, what chance is there of applying a ban to something as ordinary as a tin of paint ?
Unfortunately, that will only work when there is cohesion between the three tiers of government - and in the Australian experience that is rare !
A prime example is underway as the New South Wales state government tries to reduce the appalling visual affront - and cost of removal - caused by so called " artists " spraying graffiti.
The one common factor is that this offensive pollution is applied by the use of pressure paint cans.
The state government is now contemplating a total ban on these cans.
Such a law is doomed to failure - because it will only apply in this state.
We have a prime example of how ineffective such a law will be when we consider a similar ban that applies to fireworks.
Fireworks are totally banned from use by the public in this state - and yet on every festive occasion - and at other times just for the hell of it - the night sky lights up with rockets and our animal friends are stampeded in panic by the noise.
Because it is banned in this state - and yet desired by many of the residents - a huge fireworks supply industry has blossomed in Canberra. Road signs point to warehouses and with an open roads policy there is no impediment to loading the car with this banned merchandise and bringing it into New South Wales.
And so it will be if this paint can ban goes ahead.
The surest way to create a smugglers empire is to ban something in one state that it freely available elsewhere.
Surely our state government must be aware of the huge supply of illicit drugs which are subject to a uniform ban nationally ? If that trade can not be stopped, what chance is there of applying a ban to something as ordinary as a tin of paint ?
Saturday, 15 September 2007
The training of nurses.
Twenty-five years ago the traditional training of nurses was abandoned in favour of university courses combined with hospital experience. The thinking was that medicine had become so advanced that a tertiary education was required to handle this sophistication.
The down side to that decision was that nursing lost huge numbers of enthusiastic people whose education level precluded them from university - and ever since we have had a drastic shortage of nurses.
Now there is a move to return to the future - with the establishment of twenty-five nursing schools adjacent to public or private hospitals which will cost $ 170 million over five years - and enrol people who have reached year 10 high school level.
At last the planners are starting to accept that while tertiary standards are necessary for using the highly complex equipment and medication that equip our hospitals, not every nurse needs to be a Professor of medical knowledge.
The " on the job " training of yesteryear produced magnificent nurses and for every task that requires academic know how there are thousands of routine applications such as taking blood pressure, changing dressings and giving injections.
Just as in the medical profession we have general practitioners and specialists - so nursing needs to be divided into nurses with specialised training and nurses with adequate training to meet general needs.
These new nursing schools will allow those unable to meet university entrance standards - or who can not afford the cost of university - to embrace nursing and be soundly trained in both theoretical and practical nursing - both in the classroom and on the job.
There will be outrage from some quarters, but for once common sense seems to have prevailed - and this could be the answer to our nursing shortage !
The down side to that decision was that nursing lost huge numbers of enthusiastic people whose education level precluded them from university - and ever since we have had a drastic shortage of nurses.
Now there is a move to return to the future - with the establishment of twenty-five nursing schools adjacent to public or private hospitals which will cost $ 170 million over five years - and enrol people who have reached year 10 high school level.
At last the planners are starting to accept that while tertiary standards are necessary for using the highly complex equipment and medication that equip our hospitals, not every nurse needs to be a Professor of medical knowledge.
The " on the job " training of yesteryear produced magnificent nurses and for every task that requires academic know how there are thousands of routine applications such as taking blood pressure, changing dressings and giving injections.
Just as in the medical profession we have general practitioners and specialists - so nursing needs to be divided into nurses with specialised training and nurses with adequate training to meet general needs.
These new nursing schools will allow those unable to meet university entrance standards - or who can not afford the cost of university - to embrace nursing and be soundly trained in both theoretical and practical nursing - both in the classroom and on the job.
There will be outrage from some quarters, but for once common sense seems to have prevailed - and this could be the answer to our nursing shortage !
Friday, 14 September 2007
The disaster of youth unemployment.
Recent figures show a blip in the Illawarra unemployment rate from 4.7% to 6.1% in just one month. This compares with the New South Wales rate which has been unchanged at 4.4%.
This short increase is understandable. Two factors had a big impact because both occurred within the time frame. Telstra closed a national call centre in Wollongong and Bluescope Steel discontinued it's tin mill. Those unemployed as a consequence are mostly mature workers and it is likely that the increase will even out in the short term.
What is nothing short of a calamity is the youth unemployment rate which remains at 44.5%.
We are nearing the close of another year and that will bring a further influx of young people leaving school - and on present indications many of them will join the dole cheque, adding to an army of young people who are well on the way from going from being unemployed - to being unemployable.
Most young people leave school with enthusiasm, looking forward to getting a job and earning their own money. It doesn't take long for despair to turn to depression as countless job interviews prove fruitless - and for a sunny outlook to turn bleak and head in a direction where work is no longer an option.
Unfortunately our education system leaves a lot to be desired. Many school leavers are virtually illiterate - lacking numeracy and writing skills that are a must in this day and age.
The manual jobs of yesteryear are long gone. No longer does the council, the Water board, the Roads authority and a plethora of other departments maintain work gangs of young labourers.
Work is no longer done with a pick and shovel. These days a small work gang arrives with an excavator on the back of their truck - and that gang is a group of multi-skilled professionals.
Sadly, there is plenty of work offering and most of it pays good salaries - but it is not based in Wollongong. The Armed Services are crying out for recruits - and there are job shortages in the mining boom areas of Western Australia and Queensland.
It seems that the answer to the disastrous youth unemployment rates in the Illawarra is two-fold. We need an upgraded education system that prepared school leavers with the skills that the market requires - and we need to convince our young people that they need to go to where the work is offering.
This short increase is understandable. Two factors had a big impact because both occurred within the time frame. Telstra closed a national call centre in Wollongong and Bluescope Steel discontinued it's tin mill. Those unemployed as a consequence are mostly mature workers and it is likely that the increase will even out in the short term.
What is nothing short of a calamity is the youth unemployment rate which remains at 44.5%.
We are nearing the close of another year and that will bring a further influx of young people leaving school - and on present indications many of them will join the dole cheque, adding to an army of young people who are well on the way from going from being unemployed - to being unemployable.
Most young people leave school with enthusiasm, looking forward to getting a job and earning their own money. It doesn't take long for despair to turn to depression as countless job interviews prove fruitless - and for a sunny outlook to turn bleak and head in a direction where work is no longer an option.
Unfortunately our education system leaves a lot to be desired. Many school leavers are virtually illiterate - lacking numeracy and writing skills that are a must in this day and age.
The manual jobs of yesteryear are long gone. No longer does the council, the Water board, the Roads authority and a plethora of other departments maintain work gangs of young labourers.
Work is no longer done with a pick and shovel. These days a small work gang arrives with an excavator on the back of their truck - and that gang is a group of multi-skilled professionals.
Sadly, there is plenty of work offering and most of it pays good salaries - but it is not based in Wollongong. The Armed Services are crying out for recruits - and there are job shortages in the mining boom areas of Western Australia and Queensland.
It seems that the answer to the disastrous youth unemployment rates in the Illawarra is two-fold. We need an upgraded education system that prepared school leavers with the skills that the market requires - and we need to convince our young people that they need to go to where the work is offering.
Thursday, 13 September 2007
Drugs in sport.
Efforts to ban the use of drugs in sport must be considered a dismal failure. Despite rigorous drug testing there is not a sport in the world that can claim to be drug free - nor is there any chance of that happening anytime soon !
One of the problems is the relationship between sport and money.
Become a champion and all sorts of rewards are showered upon you. In addition to fame, sponsors proffer cash and sponsorships. Society lionises a winner and the media can not get enough of that persons social life to splash across magazine pages.
Fame begets additional ego - and results in lurid stories of drinking sessions, sex and anti-social behaviour that is condoned because the person is " a celebrity ".
The organisers of sport also have an axe to grind. Their " champions " bring people to the sport - and huge crowds generate admission money and wealth for the clubs involved - hence it is not in their interests to enquire too closely into drug habits.
So - what is the answer ?
Perhaps the only answer is to break down the barriers and create an open slather competition environment where " anything goes ". Drop any pretence at drug testing and accept the fact that in a regime where there are no barriers all those competitors will be equal.
No longer will a person enhanced by drugs be in competition with a person who is playing the game fair and square - and is drug free.
At least everyone has the chance to compete on equal terms.
The war on drugs was lost a long time ago. Now would be a good time to declare a truce - and have all the parties sit down at the table and sign an armistice !
One of the problems is the relationship between sport and money.
Become a champion and all sorts of rewards are showered upon you. In addition to fame, sponsors proffer cash and sponsorships. Society lionises a winner and the media can not get enough of that persons social life to splash across magazine pages.
Fame begets additional ego - and results in lurid stories of drinking sessions, sex and anti-social behaviour that is condoned because the person is " a celebrity ".
The organisers of sport also have an axe to grind. Their " champions " bring people to the sport - and huge crowds generate admission money and wealth for the clubs involved - hence it is not in their interests to enquire too closely into drug habits.
So - what is the answer ?
Perhaps the only answer is to break down the barriers and create an open slather competition environment where " anything goes ". Drop any pretence at drug testing and accept the fact that in a regime where there are no barriers all those competitors will be equal.
No longer will a person enhanced by drugs be in competition with a person who is playing the game fair and square - and is drug free.
At least everyone has the chance to compete on equal terms.
The war on drugs was lost a long time ago. Now would be a good time to declare a truce - and have all the parties sit down at the table and sign an armistice !
Wednesday, 12 September 2007
Extortion by telephone.
The arrogance of Telstra and the phone companies is overwhelming. Not only have they relentlessly hiked the line rental - which they have now renamed " monthly subscription " - to an incredible $ 30.86 a month but they are demanding that this be paid in advance. In the past, this has always been billed in arrears.
In effect, they are now demanding that every person subscribing to a home line phone advance them a loan of $ 92.58 - which will attract no interest - and that this loan will remain in their coffers until such time as the phone service is cancelled.
Phone bills are on a three monthly basis - hence when the next bill arrives it will contain a demand for three $ 30.86 " monthly subscriptions " in advance, plus the three in arrears - making a total of a one off $ 185.16 for that bill.
Some families will not have that amount of money available for such an unexpected bill, and in due course their distress will cause a blip in appeals to such charities as the Salvo's and St Vinnies.
It seems to be a case of the phone people leading the charge in implementing a new way of extorting money. In the case of most business transactions the bill is presented when the service has been provided. Now there is a move to demand the money up front.
The one saving grace is that the people providing home line phone facilities are cutting their own throats. This latest impost will surely hasten the escape as people abandon fixed line services and embrace the freedom of cell phones.
As the fixed line people make their service more expensive the independent cell phone companies are reducing costs and with that - reducing prices.
And then there is the biggest threat to both providers - the Internet.
It seems that some management can not see the wood for the trees !
In effect, they are now demanding that every person subscribing to a home line phone advance them a loan of $ 92.58 - which will attract no interest - and that this loan will remain in their coffers until such time as the phone service is cancelled.
Phone bills are on a three monthly basis - hence when the next bill arrives it will contain a demand for three $ 30.86 " monthly subscriptions " in advance, plus the three in arrears - making a total of a one off $ 185.16 for that bill.
Some families will not have that amount of money available for such an unexpected bill, and in due course their distress will cause a blip in appeals to such charities as the Salvo's and St Vinnies.
It seems to be a case of the phone people leading the charge in implementing a new way of extorting money. In the case of most business transactions the bill is presented when the service has been provided. Now there is a move to demand the money up front.
The one saving grace is that the people providing home line phone facilities are cutting their own throats. This latest impost will surely hasten the escape as people abandon fixed line services and embrace the freedom of cell phones.
As the fixed line people make their service more expensive the independent cell phone companies are reducing costs and with that - reducing prices.
And then there is the biggest threat to both providers - the Internet.
It seems that some management can not see the wood for the trees !
Tuesday, 11 September 2007
Power without glory !
Ominous noises coming from the New South Wales state government as they plan to sell off this state's power generating structure.
Generating electricity has long been a basic cornerstone of state responsibility - and in the past it has been a nice revenue earner adding to the state coffers.
Times change - and global warming has shone the spotlight on coal burning power stations and the increasing need for more power generation in the months ahead. A new station is under construction in Wollongong and this is gas fired to reduce emissions - but it was initially designed as a backup unit to cut in at times of peak overload. Being gas powered it is more costly to run than a coal fired unit.
This state is tending to follow what is happening in other states, where governments are selling off power generation to private enterprise. They are constructing a buffer against the day when that private consortium needs to construct new power stations - and the environmental lobby yells blue murder and demands that the plans be dropped in favour of solar, wind and wave units. Unfortunately, the public mood tends to agree with these Greenies and ignores the fact that neither can absolutely guarantee peak load capacity which can only be provided at this time by coal fired units. Obviously, that support will erode the day the lights go out !
Another spectre terrifying the state government is the question of nuclear power. The state would prefer that question to be decided between a commercial power generating entity and the Federal government - with the state as an innocent bystander.
The biggest immediate outcome for the average taxpayer will be the price of power if the generating stations pass into private commercial hands. Wherever this has happened - power charges have risen sharply - and that is the big difference between commercial or government control.
A prudent commercial company would set aside profits for the day when more capacity is needed and new stations need to be built. The government is in the happy position of being able to fund such needs from other sources - stamp duty, traffic fines, petrol taxes, general revenue - or even float a loan in the taxpayers name.
Prudent planning has never been a term attributed to government thinking.
So - we can expect higher power charges if the sell off goes ahead - but there is also one other question. The value of the state power generators runs into the billions of dollars. If the sell off proceeds - just what does the state government plan to do with that money ?
Generating electricity has long been a basic cornerstone of state responsibility - and in the past it has been a nice revenue earner adding to the state coffers.
Times change - and global warming has shone the spotlight on coal burning power stations and the increasing need for more power generation in the months ahead. A new station is under construction in Wollongong and this is gas fired to reduce emissions - but it was initially designed as a backup unit to cut in at times of peak overload. Being gas powered it is more costly to run than a coal fired unit.
This state is tending to follow what is happening in other states, where governments are selling off power generation to private enterprise. They are constructing a buffer against the day when that private consortium needs to construct new power stations - and the environmental lobby yells blue murder and demands that the plans be dropped in favour of solar, wind and wave units. Unfortunately, the public mood tends to agree with these Greenies and ignores the fact that neither can absolutely guarantee peak load capacity which can only be provided at this time by coal fired units. Obviously, that support will erode the day the lights go out !
Another spectre terrifying the state government is the question of nuclear power. The state would prefer that question to be decided between a commercial power generating entity and the Federal government - with the state as an innocent bystander.
The biggest immediate outcome for the average taxpayer will be the price of power if the generating stations pass into private commercial hands. Wherever this has happened - power charges have risen sharply - and that is the big difference between commercial or government control.
A prudent commercial company would set aside profits for the day when more capacity is needed and new stations need to be built. The government is in the happy position of being able to fund such needs from other sources - stamp duty, traffic fines, petrol taxes, general revenue - or even float a loan in the taxpayers name.
Prudent planning has never been a term attributed to government thinking.
So - we can expect higher power charges if the sell off goes ahead - but there is also one other question. The value of the state power generators runs into the billions of dollars. If the sell off proceeds - just what does the state government plan to do with that money ?
Monday, 10 September 2007
APEC is over !
The APEC meeting is over. Twenty-one world leaders have returned to their countries, the five kilometre " ring of steel " is being dismantled - and Sydney will return to normal over the next few days.
The event can be termed successful. A heavy police presence kept unruly demonstrators at bay - and the tactic of arresting leaders before they could foment trouble worked well. Unfortunately, civil liberties for ordinary citizens was a victim of this success.
Many people gain the impression that APEC is a meeting where the presidents and prime ministers of leading countries sit down together and hash out plans for a better world.
Nothing is further from the truth.
APEC is a world public relations event. World leaders gather in the glare of international publicity to preen and convey the image that they are statesmen and stateswomen serving the interests of their countries - and the world !
In reality, whatever is agreed at APEC has been worked out well before the first plane touches down. A veritable army of diplomats and advisers scuttles back and forth between capitals, beavering away swopping proposals and looking over their shoulders for the nod or the frown from their leaders.
When something becomes a " done deal " it is put on ice - ready for the major players to pick up a pen at APEC and sign it into law.
At this session we saw a deal to sell gas from Australian wells to China, a plan to sell Australian uranium to Russia, tinkering at the fringes of the failed Doha round of WTA discussions - and an enormous list of other minor agreements that will not get a mention in the media.
A crumb was tossed to the environmental lobby with a vague plan to work towards a decrease in the reasons for global warming - but without any tangible targets - and with no penalties for failure.
So - was it worthwhile ?
The answer is probably " yes " - but there are questions on the wisdom of holding such an event in a major world city.
Sydney does not need international publicity to boost tourism. This city hosted the Olympics in 2000 - and there are few people on the planet who would not instantly recognise both the harbour bridge and the Opera house.
APEC disrupted the lives of many, caused inconvenience to most people - and cost a obscene amount of money.
It would have been better if the event had been held somewhere like Hayman or Dunk
islands. Not only would security have been relatively simple but the supporting media scrum would have featured the beauty of the Great Barrier reef and it's surrounding islands - and induced a new wave of world tourists.
Maybe venue is something world leaders need to ponder before the next APEC meeting !
The event can be termed successful. A heavy police presence kept unruly demonstrators at bay - and the tactic of arresting leaders before they could foment trouble worked well. Unfortunately, civil liberties for ordinary citizens was a victim of this success.
Many people gain the impression that APEC is a meeting where the presidents and prime ministers of leading countries sit down together and hash out plans for a better world.
Nothing is further from the truth.
APEC is a world public relations event. World leaders gather in the glare of international publicity to preen and convey the image that they are statesmen and stateswomen serving the interests of their countries - and the world !
In reality, whatever is agreed at APEC has been worked out well before the first plane touches down. A veritable army of diplomats and advisers scuttles back and forth between capitals, beavering away swopping proposals and looking over their shoulders for the nod or the frown from their leaders.
When something becomes a " done deal " it is put on ice - ready for the major players to pick up a pen at APEC and sign it into law.
At this session we saw a deal to sell gas from Australian wells to China, a plan to sell Australian uranium to Russia, tinkering at the fringes of the failed Doha round of WTA discussions - and an enormous list of other minor agreements that will not get a mention in the media.
A crumb was tossed to the environmental lobby with a vague plan to work towards a decrease in the reasons for global warming - but without any tangible targets - and with no penalties for failure.
So - was it worthwhile ?
The answer is probably " yes " - but there are questions on the wisdom of holding such an event in a major world city.
Sydney does not need international publicity to boost tourism. This city hosted the Olympics in 2000 - and there are few people on the planet who would not instantly recognise both the harbour bridge and the Opera house.
APEC disrupted the lives of many, caused inconvenience to most people - and cost a obscene amount of money.
It would have been better if the event had been held somewhere like Hayman or Dunk
islands. Not only would security have been relatively simple but the supporting media scrum would have featured the beauty of the Great Barrier reef and it's surrounding islands - and induced a new wave of world tourists.
Maybe venue is something world leaders need to ponder before the next APEC meeting !
Sunday, 9 September 2007
Global warming.
The APEC summit has announced a curt recognition of the problem of global warming. It has agreed to move towards " aspirational goals " to reduce greenhouse gases. There are to be no binding targets - and no penalties if these goals are not met - but world leaders piously hope that " cutting energy intensity may be reduced by at least twenty five percent by 2030 ".
So - what does that all mean ?
It simply means - no change !
Once again global warming has been put in the " too hard " basket. Some countries will dabble on the edges of the problem - and others will simply choose to completely ignore it. The big polluters would need to wreck their economies to make significant inroads - and they are not prepared to do that.
The emerging super-producers will continue to increase pollution as they harness their huge populations to expanding production - and unfortunately because of their third world status they will have no alternative than to embrace the worst polluting technologies as they expand.
Science has given us a prediction of what the world will look like half a century from now by way of Al Gore's movie. It seems that world leaders have destined us to accept that scenario because they consider the task to achieve a different outcome far beyond them.
So - get used to the way things are heading - and look on the bright side. At least we will face lower heating bills in a warmer world !
So - what does that all mean ?
It simply means - no change !
Once again global warming has been put in the " too hard " basket. Some countries will dabble on the edges of the problem - and others will simply choose to completely ignore it. The big polluters would need to wreck their economies to make significant inroads - and they are not prepared to do that.
The emerging super-producers will continue to increase pollution as they harness their huge populations to expanding production - and unfortunately because of their third world status they will have no alternative than to embrace the worst polluting technologies as they expand.
Science has given us a prediction of what the world will look like half a century from now by way of Al Gore's movie. It seems that world leaders have destined us to accept that scenario because they consider the task to achieve a different outcome far beyond them.
So - get used to the way things are heading - and look on the bright side. At least we will face lower heating bills in a warmer world !
Saturday, 8 September 2007
Housing - the last frontier !
In the last half century the world has changed. Movies have gone from black and white to colour. The automobile has evolved from a boxy clunker to a sleek piece of almost aeronautical precision. The computer runs everything from communications to commerce - and yet we are still building houses the same way as at the time of the Roman empire - one brick on top of another !
Little has changed in fifty years. The average house has got a lot bigger, but the materials involved have changed little. We still favour brick and tiles - and there is no fast way to construct or lessen the labour content.
The average person needs three homes during their lifetime. Initially a small home will suit a young couple's needs, but when family comes along more room is needed - and finally when they become old, empty nesters - a size reduction is called for.
The homes we build have no capacity to alter to meet those needs.
It would be reasonable to think that by now the modular home would have emerged - and that used homes would be as common as used cars. The most valuable thing we are likely to own is the block of land on which the home sits. Would it not be reasonable to expect to trade in the home on that land as our needs change - with the old home having a portability that would allow it to be attractive to a buyer as holiday accommodation or low cost housing ?
We have upgraded home design to include items such as solar water heating and insulation to lower heating costs, but the basic home has not changed over the past half century - which in this day and age makes it unique.
The most probable cause is simply public perception. We accept change in every other facit of our lives, but we have a deep down resistance to anything other than the time honoured brick and tile home our parent's and grandparent's built.
If the family home is to move with the times in this twenty-first century it will take a huge change in public opinion - plus the ingenuity of architects to sell a concept that will meet the needs during the average persons lifetime.
Little has changed in fifty years. The average house has got a lot bigger, but the materials involved have changed little. We still favour brick and tiles - and there is no fast way to construct or lessen the labour content.
The average person needs three homes during their lifetime. Initially a small home will suit a young couple's needs, but when family comes along more room is needed - and finally when they become old, empty nesters - a size reduction is called for.
The homes we build have no capacity to alter to meet those needs.
It would be reasonable to think that by now the modular home would have emerged - and that used homes would be as common as used cars. The most valuable thing we are likely to own is the block of land on which the home sits. Would it not be reasonable to expect to trade in the home on that land as our needs change - with the old home having a portability that would allow it to be attractive to a buyer as holiday accommodation or low cost housing ?
We have upgraded home design to include items such as solar water heating and insulation to lower heating costs, but the basic home has not changed over the past half century - which in this day and age makes it unique.
The most probable cause is simply public perception. We accept change in every other facit of our lives, but we have a deep down resistance to anything other than the time honoured brick and tile home our parent's and grandparent's built.
If the family home is to move with the times in this twenty-first century it will take a huge change in public opinion - plus the ingenuity of architects to sell a concept that will meet the needs during the average persons lifetime.
Friday, 7 September 2007
The looming money crunch.
It is said that a fool and his money are soon parted. This is particularly so if that fool is in the money lending business !
We have seen a huge panic on the United States stock exchange because of problems in the sub-prime home finance sector. Put simply, restraint has flown out of the window and housing loans have been offered on a no deposit basis to people the traditional lenders would not touch with a barge pole.
As a result there has been a deluge of defaults - and a market correction has put a clamp on the criteria for approving loans.
The effect here in Australia has been minimal - but we are now facing a similar debacle due to the practice of some retailers to seek sales by using extended credit as a tool.
The media is full of offers of " buy now - pay later " deals - in many cases offering goods on the basis of no deposit - no interest - and no repayments for up to four years.
Somewhere down the track that repayment period is going to fall due - and that's when the chickens will come home to roost.
Some people will use the " pay later " scheme wisely, but many others will take the view that " maybe they will win Lotto before they need to pony up the money " - and still others will delight in having a huge plasma TV to enjoy for a few years - before the inevitable day when the bailiff comes to repossess it.
These offers seem to apply mostly to big ticket items - expensive bedding deals and electrical goods - none of which have any great residual value once they are second hand.
Now if you are in the business of investing money - it might be a good idea to think long and hard about which finance houses are behind these " too good to be true " offers.
That might just be where the wise people choose not to invest their savings !
We have seen a huge panic on the United States stock exchange because of problems in the sub-prime home finance sector. Put simply, restraint has flown out of the window and housing loans have been offered on a no deposit basis to people the traditional lenders would not touch with a barge pole.
As a result there has been a deluge of defaults - and a market correction has put a clamp on the criteria for approving loans.
The effect here in Australia has been minimal - but we are now facing a similar debacle due to the practice of some retailers to seek sales by using extended credit as a tool.
The media is full of offers of " buy now - pay later " deals - in many cases offering goods on the basis of no deposit - no interest - and no repayments for up to four years.
Somewhere down the track that repayment period is going to fall due - and that's when the chickens will come home to roost.
Some people will use the " pay later " scheme wisely, but many others will take the view that " maybe they will win Lotto before they need to pony up the money " - and still others will delight in having a huge plasma TV to enjoy for a few years - before the inevitable day when the bailiff comes to repossess it.
These offers seem to apply mostly to big ticket items - expensive bedding deals and electrical goods - none of which have any great residual value once they are second hand.
Now if you are in the business of investing money - it might be a good idea to think long and hard about which finance houses are behind these " too good to be true " offers.
That might just be where the wise people choose not to invest their savings !
Thursday, 6 September 2007
Nicotine - the new illegal substance !
The National Heart Foundation, The Cancer Council and other health bodies have called on the Australian and New Zealand governments to embark on a plan to make Nicotine an illegal substance within a ten year time frame.
It is an ambitious project to make the two nations smoke free by extending the rolling restrictions that have banned smokers from trains, buses and ferries - from beaches and public buildings - from cafes and dining rooms - and in the latest increment - from pubs and clubs.
They want a ban on all forms of display for tobacco products - and the removal of brand names and logos from cigarette packets. In this way visual appeal would be destroyed - and they want cigarettes to be an under the counter item which would have to be specifically asked for - reminiscent on the laws that pertained to condoms - when they were known as " French letters " - way back in the 1950's.
Any government thinking along these lines would be wise to draw back and consider all the issues involved. For a start, there is little precedent for banning a product that has been perfectly legal for centuries. The fact that it would be for the public good is a slippery slope which conjours up visions of " 1984 " and the reign of " Big Brother ".
Then there is the practical side of such a ban. We already have gaols full of people who flout the law to make a living importing and pushing narcotic drugs - and despite draconian penalties and a huge outlay nothing seems to put even a small dent in that drug flow.
We even have an existing smuggling chain of tobacco products coming into the country - because of the severity of custom duties and excise that delivers a bounty of seven billion dollars to the Federal government dodging these taxes is a very lucrative way of making a fortune.
Then comes the final crunch. Are we to become our brother's keeper ? To smoke or not to smoke is a personal decision we make as individuals - with the knowledge of what that decision will do to our health and longevity.
Will the day come that a government inspector will call weekly to confirm that we have eaten our legally required portion of Brocolli - now that health standards are to be enforced for our own good ?
A total ban on smoking could be the tip of the iceberg !
It is an ambitious project to make the two nations smoke free by extending the rolling restrictions that have banned smokers from trains, buses and ferries - from beaches and public buildings - from cafes and dining rooms - and in the latest increment - from pubs and clubs.
They want a ban on all forms of display for tobacco products - and the removal of brand names and logos from cigarette packets. In this way visual appeal would be destroyed - and they want cigarettes to be an under the counter item which would have to be specifically asked for - reminiscent on the laws that pertained to condoms - when they were known as " French letters " - way back in the 1950's.
Any government thinking along these lines would be wise to draw back and consider all the issues involved. For a start, there is little precedent for banning a product that has been perfectly legal for centuries. The fact that it would be for the public good is a slippery slope which conjours up visions of " 1984 " and the reign of " Big Brother ".
Then there is the practical side of such a ban. We already have gaols full of people who flout the law to make a living importing and pushing narcotic drugs - and despite draconian penalties and a huge outlay nothing seems to put even a small dent in that drug flow.
We even have an existing smuggling chain of tobacco products coming into the country - because of the severity of custom duties and excise that delivers a bounty of seven billion dollars to the Federal government dodging these taxes is a very lucrative way of making a fortune.
Then comes the final crunch. Are we to become our brother's keeper ? To smoke or not to smoke is a personal decision we make as individuals - with the knowledge of what that decision will do to our health and longevity.
Will the day come that a government inspector will call weekly to confirm that we have eaten our legally required portion of Brocolli - now that health standards are to be enforced for our own good ?
A total ban on smoking could be the tip of the iceberg !
Wednesday, 5 September 2007
Truck noise tirade.
Decades ago the proposal to make Port Kembla an export coal port brought a tirade of opposition from residents who feared noise and congestion from truck movements bringing coal to the coal loader.
In a pacification move, the state government implemented a movement ban. Coal trucks were banished from the regions roads from 6 PM to 7 AM, mainly to mollify the residents of the affluent suburbs surrounding Mount Ousley road and Springhill road.
As a result, the coal loader has never gained full efficiency - and now there are moves to rescind that ban and allow twenty-four hour road and rail movement.
There will be vigorous protests against this move, but many things have changed since the ban was introduced twenty-five years ago.
For a start, noise barriers have been installed on Mount Ousley road and while coal trucks are banned there is almost continuous movement of freight during the prohibited hours by semitrailers carrying other goods.
It must be remembered that Mount Ousley road is the extension of the F-6 motorway - the main connection between Sydney and Wollongong. It is reasonable to expect that if people choose to live in a suburb bordering an expressway then they must expect to put up with a noise factor.
The same applies to those who live next to a rail line - and it is a well known fact that after a while that background noise becomes normal to the resident. They simply fail to hear it because it is always present. In compensation, they tend to turn up the television and speak a trifle louder.
The suggested dumping of night truck movement restrictions will accelerate pressure to complete the Maldon-Dombarton rail link. Without it truck movements on Mount Ousley road must increase sharply once the import car facility is under way and the general container terminal moves to Port Kembla. There seems little gain in maintaining a restriction on coal when all other goods are free to move during this time frame.
Completing this rail link will be the answer to many of Wollongong's transport problems, including getting coal freight off the existing rail line and leading to much needed improvements in commuter traffic.
In a pacification move, the state government implemented a movement ban. Coal trucks were banished from the regions roads from 6 PM to 7 AM, mainly to mollify the residents of the affluent suburbs surrounding Mount Ousley road and Springhill road.
As a result, the coal loader has never gained full efficiency - and now there are moves to rescind that ban and allow twenty-four hour road and rail movement.
There will be vigorous protests against this move, but many things have changed since the ban was introduced twenty-five years ago.
For a start, noise barriers have been installed on Mount Ousley road and while coal trucks are banned there is almost continuous movement of freight during the prohibited hours by semitrailers carrying other goods.
It must be remembered that Mount Ousley road is the extension of the F-6 motorway - the main connection between Sydney and Wollongong. It is reasonable to expect that if people choose to live in a suburb bordering an expressway then they must expect to put up with a noise factor.
The same applies to those who live next to a rail line - and it is a well known fact that after a while that background noise becomes normal to the resident. They simply fail to hear it because it is always present. In compensation, they tend to turn up the television and speak a trifle louder.
The suggested dumping of night truck movement restrictions will accelerate pressure to complete the Maldon-Dombarton rail link. Without it truck movements on Mount Ousley road must increase sharply once the import car facility is under way and the general container terminal moves to Port Kembla. There seems little gain in maintaining a restriction on coal when all other goods are free to move during this time frame.
Completing this rail link will be the answer to many of Wollongong's transport problems, including getting coal freight off the existing rail line and leading to much needed improvements in commuter traffic.
Tuesday, 4 September 2007
Religion - and the real world !
Consternation from some people at a suggestion by the board of Australian Rules football that they are considering playing a match next year on Good Friday.
This seems to be the latest skirmish in the long running battle between religion and the rest of the community.
Half a century ago religion held sway and Sunday was without any vestige of commerce , sport or entertainment. As a result, two schools of thought diverged in opposite directions. To some, it was a rest day given to only one thing - attendance at church. To others - it was a day of absolute and crushing boredom.
Change came slowly. At first the only shops open on a Sunday were corner stores and milk bars, but then came the supermarkets - and with shift work a need for longer shopping hours that was reluctantly granted. Then the cinemas began to open for matinee sessions on a Sunday - and soon this extended to the evening - and amateur sport saw an opportunity to gain an audience and extend it's reach.
Obstacles fell in quick succession from that point and soon major sport was playing on Sunday - and the pubs were open. Sunday was just another day of the week.
But - that was Sunday. What about the two great religious days of the year - Christmas day and Good Friday ?
We are still at the stage when commerce ceases on those days. The shops do not open. Commercial activity ceases - it is just as it was half a century ago.
Do we really want Christmas day and Good Friday to go the way of Sunday ?
That is a question hard to answer. A vast number of people are not religious and another huge swathe of the population is not Christian - and yet these are Christian holy days.
The proposal to play a football match on Good Friday is the first bite of a termite white anting that religious holiday. If it happens - a deluge will follow - and the last holy days will follow the demise of Sunday.
Perhaps this is inevitable - but most will feel a tinge of nostalgia for the past !
This seems to be the latest skirmish in the long running battle between religion and the rest of the community.
Half a century ago religion held sway and Sunday was without any vestige of commerce , sport or entertainment. As a result, two schools of thought diverged in opposite directions. To some, it was a rest day given to only one thing - attendance at church. To others - it was a day of absolute and crushing boredom.
Change came slowly. At first the only shops open on a Sunday were corner stores and milk bars, but then came the supermarkets - and with shift work a need for longer shopping hours that was reluctantly granted. Then the cinemas began to open for matinee sessions on a Sunday - and soon this extended to the evening - and amateur sport saw an opportunity to gain an audience and extend it's reach.
Obstacles fell in quick succession from that point and soon major sport was playing on Sunday - and the pubs were open. Sunday was just another day of the week.
But - that was Sunday. What about the two great religious days of the year - Christmas day and Good Friday ?
We are still at the stage when commerce ceases on those days. The shops do not open. Commercial activity ceases - it is just as it was half a century ago.
Do we really want Christmas day and Good Friday to go the way of Sunday ?
That is a question hard to answer. A vast number of people are not religious and another huge swathe of the population is not Christian - and yet these are Christian holy days.
The proposal to play a football match on Good Friday is the first bite of a termite white anting that religious holiday. If it happens - a deluge will follow - and the last holy days will follow the demise of Sunday.
Perhaps this is inevitable - but most will feel a tinge of nostalgia for the past !
Monday, 3 September 2007
First home buyers.
The increase in home prices is rapidly locking first home buyers and those on low incomes out of the market. This problem has got the attention of governments, finance houses - and it seems a lot of entrepreneurial people.
One promising scheme under way in a southern state involves making the biggest cost of establishing a home - obtaining the block of land on which it sits - a freebie during the early years of a loan.
A block of land is made available to the applicant with the proviso that a home must be built on it during a stipulated period of time. There are no payments associated with this land and therefore the mortgage is small as it only concerns the cost of the dwelling.
So - what benefit accrues to the owner of that land ?
Two factors come into force. Should the new owner of the house decide to sell, the land content - at whatever it's value at the time of sale - is subtracted from the sale price. The owner gets the profit on the house, but not the land because someone else actually owned that.
The second factor is a time clause. The land is free of charge for a certain period of time - probably somewhere between five and ten years - during which time the affluence of the home owner should have improved - and the mortgage suitably decreased - to the stage when buying the land by increasing the mortgage is viable.
It would be hard to see this working in high value suburbs of a city like Sydney, but it would certainly work in the outlying suburbs and in country towns.
It is something that the finance industry would be wise to consider - and it could be the answer to our rapidly declining rural towns !
One promising scheme under way in a southern state involves making the biggest cost of establishing a home - obtaining the block of land on which it sits - a freebie during the early years of a loan.
A block of land is made available to the applicant with the proviso that a home must be built on it during a stipulated period of time. There are no payments associated with this land and therefore the mortgage is small as it only concerns the cost of the dwelling.
So - what benefit accrues to the owner of that land ?
Two factors come into force. Should the new owner of the house decide to sell, the land content - at whatever it's value at the time of sale - is subtracted from the sale price. The owner gets the profit on the house, but not the land because someone else actually owned that.
The second factor is a time clause. The land is free of charge for a certain period of time - probably somewhere between five and ten years - during which time the affluence of the home owner should have improved - and the mortgage suitably decreased - to the stage when buying the land by increasing the mortgage is viable.
It would be hard to see this working in high value suburbs of a city like Sydney, but it would certainly work in the outlying suburbs and in country towns.
It is something that the finance industry would be wise to consider - and it could be the answer to our rapidly declining rural towns !
Sunday, 2 September 2007
The charity dollar.
Your sit down to your evening meal - and the phone rings !
It's those pesky Indians - flogging mobile phones or time share holidays !
You give a terse " no " - and hangup !
You barely mop up the gravy - and the phone rings again !
This time it's a long spiel on a subject for which you feel sympathy - so your reach for your wallet, extract a credit card - and go back to the cold remains of your dinner feeling good - having made a twenty dollar donation.
Unfortunately that twenty dollars has just shrunk to a mere twelve dollars. The person you have been talking to on the phone is a professional funds raiser working for the charity - and that fund raising organization has been contracted to claim forty percent commission for it's success.
Welcome to the real world ! The days of charities attracting an army of volunteers to go door knocking or sit at the phone and ask for donations is fast dwindling.
In this commercial world raising money is big business and like all successful business it requires specialists to achieve success.
The state government is aware that unregulated fund raising could lead to rorts and for that reason it created the New South Wales Charitable Fundraising Act - which limits such commissions to forty percent of money pledged.
Unfortunately there are still gray areas once that money finally reaches the charity involved. It is said that " the devil is in the detail " and the " detail " is often in what is termed " expenses ".
There are some very well run charities who proudly advertise that their overheads and running expenses are a mere few cents in the dollar - but there are also others who seem to absorb the majority of the money they attract in expensive motor vehicles and salaries for corporate officers.
The next time someone asks you for money it might be a good idea to ask two questions early in the conversation.
Such as : " Are you a paid donation canvasser ? "
And : " What percentage in the dollar is spent on overheads ? "
You will probably get some interesting and enlightening answers !
It's those pesky Indians - flogging mobile phones or time share holidays !
You give a terse " no " - and hangup !
You barely mop up the gravy - and the phone rings again !
This time it's a long spiel on a subject for which you feel sympathy - so your reach for your wallet, extract a credit card - and go back to the cold remains of your dinner feeling good - having made a twenty dollar donation.
Unfortunately that twenty dollars has just shrunk to a mere twelve dollars. The person you have been talking to on the phone is a professional funds raiser working for the charity - and that fund raising organization has been contracted to claim forty percent commission for it's success.
Welcome to the real world ! The days of charities attracting an army of volunteers to go door knocking or sit at the phone and ask for donations is fast dwindling.
In this commercial world raising money is big business and like all successful business it requires specialists to achieve success.
The state government is aware that unregulated fund raising could lead to rorts and for that reason it created the New South Wales Charitable Fundraising Act - which limits such commissions to forty percent of money pledged.
Unfortunately there are still gray areas once that money finally reaches the charity involved. It is said that " the devil is in the detail " and the " detail " is often in what is termed " expenses ".
There are some very well run charities who proudly advertise that their overheads and running expenses are a mere few cents in the dollar - but there are also others who seem to absorb the majority of the money they attract in expensive motor vehicles and salaries for corporate officers.
The next time someone asks you for money it might be a good idea to ask two questions early in the conversation.
Such as : " Are you a paid donation canvasser ? "
And : " What percentage in the dollar is spent on overheads ? "
You will probably get some interesting and enlightening answers !
Saturday, 1 September 2007
Maldon-Dombarton railway enigma !
Decades ago work started on the Maldon-Dombarton railway intended to link Port Kembla with western Sydney. At that time, the main reason for the project was the movement of coal from the western coalfields to the newly constructed coal loader at Port Kembla.
The line with it's expensive viaducts crossing rivers was half completed when a change of state government introduced new priorities - and the project was abandoned.
From time to time pressure has mounted to resurrect the rail line but economic feasibility studies have shown that it is not viable based on the transport of coal.
But - times are changing. Port Kembla has been designated as the major port for car imports and much of the Sydney container terminal traffic will be redirected there in the near future.
Completion of the Maldon-Dombarton link would not only take many coal trucks off Wollongong roads, but would also eliminate a catastrophic increase in truck movement if car imports were cleared by road. It is undeniable that the existing Sydney/Wollongong rail line is at capacity and could not cope with such an expansion.
A decision has yet to be made as to whether Maldon-Dombarton will ever see trains running it's length, but at least a new feasibility study has been funded.
Unfortunately a new factor has arisen that brings two important matters into opposition - the need for transport infrastructure to service Port Kembla - and the need for the expansion of the regions coal mining industry.
Efficiency in coal mining relies on the use of long-wall equipment. Long-wall mining is faster than conventional methods, but it results in huge caverns when the coal has been removed.
These underground caverns greatly increase the area subject to mine subsidence - and therefore introduce restrictions of what can be built on the surface above.
In western areas of the Sydney basin housing is severely restricted in subsidence areas. Brick and tile structures are barred and only light timber/metal housing on a wide slab is possible.
Unfortunately, the mining industry plans to extend long-wall under the area over which the Maldon-Dombarton link will travel - and if that happens it will become technically impossible for the rail project to proceed.
The new line will carry extreme weight - and it will be impossible to safely run a rail line across viaducts and even flat terrain subject to unpredictable subsidence movement.
Commonsense dictates which of these two requirements should prevail. Coal is a villain in global warming and it's use will decline in the decades ahead, while imports and exports of manufactured goods and agricultural products will continue to expand.
Under this scenario - completion of the rail line should take precedence !
The line with it's expensive viaducts crossing rivers was half completed when a change of state government introduced new priorities - and the project was abandoned.
From time to time pressure has mounted to resurrect the rail line but economic feasibility studies have shown that it is not viable based on the transport of coal.
But - times are changing. Port Kembla has been designated as the major port for car imports and much of the Sydney container terminal traffic will be redirected there in the near future.
Completion of the Maldon-Dombarton link would not only take many coal trucks off Wollongong roads, but would also eliminate a catastrophic increase in truck movement if car imports were cleared by road. It is undeniable that the existing Sydney/Wollongong rail line is at capacity and could not cope with such an expansion.
A decision has yet to be made as to whether Maldon-Dombarton will ever see trains running it's length, but at least a new feasibility study has been funded.
Unfortunately a new factor has arisen that brings two important matters into opposition - the need for transport infrastructure to service Port Kembla - and the need for the expansion of the regions coal mining industry.
Efficiency in coal mining relies on the use of long-wall equipment. Long-wall mining is faster than conventional methods, but it results in huge caverns when the coal has been removed.
These underground caverns greatly increase the area subject to mine subsidence - and therefore introduce restrictions of what can be built on the surface above.
In western areas of the Sydney basin housing is severely restricted in subsidence areas. Brick and tile structures are barred and only light timber/metal housing on a wide slab is possible.
Unfortunately, the mining industry plans to extend long-wall under the area over which the Maldon-Dombarton link will travel - and if that happens it will become technically impossible for the rail project to proceed.
The new line will carry extreme weight - and it will be impossible to safely run a rail line across viaducts and even flat terrain subject to unpredictable subsidence movement.
Commonsense dictates which of these two requirements should prevail. Coal is a villain in global warming and it's use will decline in the decades ahead, while imports and exports of manufactured goods and agricultural products will continue to expand.
Under this scenario - completion of the rail line should take precedence !
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