National Country Party of Australia.  Policy Speech by Rt Hon. J. D. Anthony, M. P. Deputy Prime Minister, Minister for Trade and Resources and Leader of the National Country Party of Australia.  Keeping Australia strong.  The challenge to Australians as we go into the last twenty years of the century is to keep Australia strong. Only a strong Australia is a safe Australia. Only a strong Australia can give its people a good and satisfying life.  Australia needs to be strong…  - strong in defence, in security  - economically  - industrially  - technologically  - educationally  - morally  - strong in development, in trade  - speaking with a strong voice in world affairs. And the key to all these things is strong leadership ...  - stable leadership in times of crisis  - leadership with the courage and resolution to stick to policies that are right  - the fight against the inflation that eats into the family budget.  - the attack on unemployment.  - the creation of new, permanent jobs - over 200,000 of them last year.  - building strong growing industry- and employing more people - safeguarding our energy and fuel security.  We do live in an uncertain world, a tense world. There’s conflict in the Middle East in Asia: a threat to oil supplies. The Soviet Union seeks to expand its influence wherever it can. These things are important. They do concern us. We can't put them aside and say they don’t matter, because they do matter. In this vital question of security, and in all the other important issues, you must ask yourself which policy, which party, which Government, which man is more likely to give Australia the strong leadership it needs.  Persons and Family Security.  But ifs not just national security that's important. Personal security, family security -they’re important too. And the personal security and help that many Australians need can come only from a strong and growing economy. We’re providing a lot of help for Australian families, for pensioners, for the handicapped, for those in need. Half the budget, in fact, is spent on social security, education, health, housing and other ordinary, everyday needs of the Australian people. We can do it because this is a productive, growing, strong country. Our living standards are high. They can be improved, and more jobs created, only by a strong, productive, growing nation. We must keep Australia strong. There’s no other way.  Fuel Supply Security.  And one of the areas in which we must be strong is in security of fuel supplies. You'll hear a lot about fuel prices in the weeks to come. No one likes paying more for fuel, yet ours is amongst the cheapest in the developed world. In New Zealand, costs 64% more than it does in Australia. In Germany, it costs 79% more. In Britain 88% more. In Japan 109% more. In France 121 % more. And in Italy, at 77 cents a litre, petrol costs 133% more than it does in Australia. But the real issue isn’t price – it’s supply. The Labor Party never mentions that. The fact is, if we don't pay a realistic price now, we just don’t have enough fuel. That would make Australia a beggar for fuel- scrambling for oil and paying through the neck for it. Realistic prices are saving fuel. Fuel use is changing, exploration expanding, more being got out of the ground - all became of price. But that's not enough. It’s absolutely vital that we develop new fuels. We can get oil from coal. We can get oil out of our shale. You need a lot of it and it costs big money. You can get fuel from sugar cane, and other crops. In fact, we could make ourselves independent of foreign oil supplies. But none of this will happen without a realistic oil price. And without these alternative fuels, we’re in real trouble.  There is no Cheap Fuel.  Labor wants you to believe it would really cut petrol Prices, abandon import parity. It’s own policy says so. Labor members of he Senate National Resources Committee unanimously supported import parity pricing only a couple of weeks no. So don't be fooled by Labors propaganda. There's no cheap fuel. There’s no cheap way to get guaranteed supply. Anyone can promise you cheap fuel. But if they do that, they can't say you'll have fuel when you need it. And I for one don't want you coming to me in five years time saying, "Why didn't you do something to safeguard our fuel supplies?'  NEW HELP FOR RURAL AUSTRALIA.  One practical step we can take immediately to increase fuel supply security is to put more storage capacity on farms, in country towns and generally throughout the country. To encourage this, we will make fully tax deductible expenditure on the purchase and installation of storage facilities for fuel to be used in carrying on a business. This concession will be available to farmers, small businessmen, transport operators - in fact to anyone who needs security of fuel supply. It is important that we build up the nation’s fuel storage, and that we have storage capacity widely spread throughout the country. This measure will help achieve that objective. Additionally, it means that where people can arrange direct supply by an oil company, they will have the chance to negotiate with the company on bulk delivery prices. As a fuel and cost saving measure, we will assist conversion from diesel-powered electricity generation mains supply. We will make fully tax deductible the capital costs incurred by consumers on rural properties in connecting to mains electricity supply. Further we will seek the co-operation of the States in requesting States Grants Commissions to give special consideration to the needs of local government authorities in remote areas that have to generate electricity from diesel fuel because there is no alternative fuel supply. And in a further measure to help farmers, we will provide, in consultation with the States, additional extension grants funds to improve the availability of information on fuel-saying equipment and technology. The National Country Party has always had a special concern for country people and their problems - problems that are often unique and certainly different horn those experienced by other Australians.  Promises made- and kept!  At the last election, in 1977, we undertook to do a number of things, and we've done them. Probate and gift duty.. we abolished them. The primary Industry Bank.. it’s in business. The fuel freight subsidy ... $123 million this year. Local government ... 2% of income tax, $300 million this year. Country industry development .. $27 million so far. Better telephones and television services, the two-year wool floor price, dairy underwriting, help for isolated children, and a lot of other things ... they've all been done. So much for broken promises! Now, in line with our general approach of responding to areas of greatest need, we will introduce some further measures. Our first priority is, and must remain, control of inflation - and that will continue to require responsible restraints on spending. But there are areas in which we believe it is necessary to act, in a responsible way, and we will act.  Relief from drought. Large parts of Australia tonight are ravaged by drought. There is already in operation a long-standing system of drought relief provided by the Commonwealth and State and Territory Governments for natural disasters such as this. To help ease the effects of drought we introduced this year a full tax write-off of the cost of water supplies and the equipping of bores, wells and earth tanks. The investment allowance also to eligible items. A few days ago we called urgent meetings with State and Territory Governments to review existing drought relief, to see if it's adequate, and whether more should and can be done. No one should under-estimate the seriousness of this drought---no its effects not only on those farmers directly involved, but on country towns and, indeed, on city consumers. This is a national problem, and the nation must respond to it.  Help with farm costs. The National Country Party, and the Government, are very much aware of the impact of higher fuel prices on farmers. It would be unwise and irresponsible to try to delay the adjustments that must be made as fuel prices rise - but we want to do what we can to help farmers cope with generally rising costs. Therefore we will introduce a special depreciation allowance of 20% a year on a prime cost basis over five years, applicable to new machinery used wholly and exclusively in agricultural, pastoral and forest operations, and to new commercial fishing vessels. In country areas where mains supply is not available, we will provide assistance through the tax system to help compensate for the cost of private electricity generation, at the principal place of residence or business. Full tax deductibility will be applied to capital expenditure by primary producers on soil conservation. And as a first step towards a national soil conservation program, we will provide an initial sum of $2 million in 1981/82. We will extend to traditional users of LPG in decentralised industry the subsidy already available to household consumers. In all these measures, we are trying to help country people cope with rising costs -costs which they have to near themselves without, like so many other people, being able to pass them on to others.  Aid for Isolated children.  To-further help people in remote areas, we recently decided to increase the basic boarding allowance for isolated children from $500 to $600 from 1981. We have now decided, at the request of parents that this allowance should rise to $780. To help isolated students with their education, we will set up a pilot program to lend video units and tapes to students in areas without regular television.  Better communications.  In communications, we promised better telephone and television services, and cheaper call charges. We’ve done better than we promised. We’ve accelerated conversion to automatic service, we’ve cut call charges by up to 60%, and we’ve given every telephone subscriber access to the nearest service town at no more than the local call fee for three minutes. We're providing 56 TV transmitters in remote areas by the end of this financial year, with 20 more approved. And now we’re embarking on an exciting new program to put a communications satellite in the sky to ensure that all Australians have a good telephone service, good television, mid a good radio service of all kinds.  New funding basis for wool, PIBA.  To provide a better operational and planning basis, we will introduce three-year funding arrangements for wool promotion and for the Primary Industry Bank of Australia. We will maintain the wool reserve price scheme and guarantee that the floor price in 1981/82 season will not fall below this season's reserve price. To further assist primary producers to take advantage of income Equalisation Deposits we will provide for withdrawals from IEDs to be made up to 31 August each year for the previous financial year.  Industry stabilisation. New dairy industry stabilisation arrangements will be negotiated with the industry, with a view to introducing a long-term scheme. The new arrangements will provide dairy farmers with security against sharp falls in world prices and will enable them to plan their future operations with confidence. New underwriting arrangements will be introduced for the apple and pear industry. Proposals are being developed for new support arrangements for the dried vine fruits industry.  Meat industry. We will continue our commitment to fund the development of a beef carcass classification system. We will continue to encourage the development of sheepmeat exports, both through the important live sheep trade and the carcass trade. The Government will continue its active programs of pest and disease control. Additionally, we will initiate a co-ordinated program with the States to eradicate feral pigs. Country people of course will benefit from many of the more general policy measures already announced by the Prime Minister:  - the increased home savings grant and the higher house values under the scheme.  - a new measure which will not only help first-home buyers, but also contribute to energy-conservation - full tax write-off of the cost of insulating a first home.  - expanded training programs for young people to better equip them to find employment.  - an increase in the personal care subsidy for people in hostels for the aged.  - expanded help for families in special need.  - an expanded environmental health program for aboriginal people.  - an additional $25 million in 1981-83 for provision of new places in non-government schools.  - additional funds to bring Level 6 schools to 40% of government school costs over the life of the next Parliament.  - more funds for the education of severely handicapped children.  - an increase in nursing home benefits to maintain 70% coverage in 1981.  Small business aid.  Small business in the country has already benefited from our efforts to improve the availability of finance trough the Development Bank counseling services and so on. The easing of the private company retention allowance has also helped, and we will ease it further during the life of the next Parliament.  Secret ballot on strikes  A matter of continuing concern to Australians is the economic damage caused by irresponsible union action. At the last election we promised to introduce secret ballots for union elections and we have done that. We will now bring in a new provision under which union members themselves can ask the court to allow them to vote in secret on whether or not they believe a strike should take place.  National transport system. We undertook in 1977 to begin upgrading the national rail network, and that's happening. The new standard-gauge rail link from Adelaide to Alice Springs has been completed, and regular services will operate in December. To complete the north-south continental railway link, we will undertake construction of the Alice Springs-Darwin line. I see this as a great national project of immense importance. Just as the Indian-Pacific line has brought the two sides of our continent closer together, a north-south link will open up great new prospects and opportunities for Australians. The development potential of the Northern Territory is enormous: a quarter of the world's uranium is there, huge amounts of bauxite, manganese, copper, gold, lead and zinc. There are large reserves of oil and gas. The pastoral industries need and will benefit from better transport. The Northern Territory has some of Australia’s most exciting tourist attractions, and the tourist industry must grow. And of course a good rail link is an part of the development of a strong defence capability. As the world oil situation worsens and fuel becomes dearer, we must rely increasingly on public transport to move people around his large continent. Completion of the north-south rail link will make an important contribution to that objective. We must of course, maintain our commitment to continuous improvement of the nation’s road system, both in national and local terms. We will be providing $628 million for roads this year, and $3,650 million over five years. This five-year guaranteed contribution by the Commonwealth to the States and local government will help with the overall upgrading of the national roads system. We will be giving special consideration to the local government roads and to remote area development roads that are so vital to the people of the outback. We will be pressing ahead vigorously with the national highways program.  Export incentives. Our export incentives program has been a very important factor in achieving an outstanding export performance. We will continue the export incentives program beyond its currently-scheduled expiry date to allow time for it to be reviewed, for consultation with industry and for any necessary legislative action that might be required. We understand the need for exporters and potential exporters to know what the government’s policy will be well in advance.  Water resources. One of the things we talked about last election was a program to develop Australia's water resources. We’ve committed $76 million to it so far, and we'll meet the full cost of the Burdekin Dam in North Queensland. But frankly, I'm disappointed that we haven't been able to go a lot further in the first three years of this five-year program. Our first priority has had to be inflation control, and that's meant very tight control of spending. But this bad drought reminds us again how dry this country is, and how vital water is. The Burdekin Dam - a national project - symbolises the way we must think about water. A significant water development program is absolutely essential if we’re going to give this country some security against drought, and reach our full production potential. You'll never, of course, be able to give complete protection against drought. But a lot can be done, and must be done. It will be my objective, and my party’s objective to see that it is.  Australia - an envied land. We live in a country that's envied by people all around the world. People envy us for our way of life.  - for our prosperity.  - our economic and political stability.  - our great natural resources.  - our vast reserves of energy.  - our relatively low inflation.  - our cheap petrol - and it is cheap by world standards, very cheap, people envy us for the fuel security our policy is bringing.  We’re envied for our high standard of living, for the way we’re creating new jobs - more last year than in any of the last 10 years. And we’re certainly envied for the tremendous development prospects that lie ahead of us. Australia goes into the eighties in better shape, and with better prospects, than any country in the world  • inflation checked  • employmwt growing  • investment at record levels  • development gathering momentum  • exports soaring.  Our primary industries, despite cost and drought problems, have better markets and prices than they've had for years. Our energy and minerals are eagerly sought by the world. The world, in fact, is giving Australia a massive vote of confidence.  Questions that must be answered. Now you have to vote.  And I want you to ask yourself these questions:  Which party is most likely to provide sound and responsible economic management?  - to have the strongest commitment to controlling inflation?  - keep the tax burden lowest by keeping spending down?  - Protect your real standard of living?  - give you secure fuel supplies?  Which approach to unemployment makes more sense: creating real, permanent jobs - or artificial, temporary ones? Which party is most willing to work, with our allies, to keep Australia safe for you and your children? People on the land, in the country towns and cities - look back to the last Labor Government and ask yourselves who best understands and responds to your needs. And finally look at the party leadership, at the people who must take the tough decisions, who must face up to the hard questions and the challenges with firmness and resolution. Ask yourself those questions, and answer them honestly, and there’ll be no doubt about your response.  The decision to be made. I ask you to make sure that a Coalition Government, our Government, is re-elected, and decisively re-elected, in the House of Representatives and in the Senate - to keep Australia strong!  Authorised by B. G. Osmond, Federal Director, National  Country Party of Australia, Canberra. Printed by Pirie Printers Pty Limited, Canberra, A.C.T. Policy speech  Federal Election Campaign Launch.  Sydney Opera House Opera Theatre  16 February, 1983.  My Fellow Australians,  Today we set out together on a task much greater than winning an election.  The task is to win the future for Australia and all Australians.  The real fight - the fight for Australia - is not just between competing Parties or competing policies - important as they are. Much less is it a contest between personalities .  There are tremendous issues involved in this historic election on the fifth of March - first and foremost, the right of all Australians to a job; and whether the disastrous economic policies, the political opportunism and the divisive leadership which together have produced Australia's present catastrophic unemployment are to be changed.  For the sake of the one million and more Australians who face unemployment unless there is a change, those policies must be changed, and will be changed - by the Australian Labor Government, after 5 March.  But above all, this is a fight for the future of Australia, for the true heart and soul of Australia.  For we are asking, on the fifth of March, for a decision from the Australian people which will declare to the world that the politics of division, the politics of confrontation the deliberate setting of Australian against Australian - which have debased the national leadership and disfigured the national life for so long, have no part in the true Australian way.  And the first pledge I now make, a commitment which embraces every other undertaking, is that everything we do as a Government will have the one great goal - to reunite this great community of ours, to bring out the best we are truly capable of, together, as a nation, and bring Australia together to win our way through the crisis into which the policies of the past and the men of the past have plunged our country.  For the facts are there - stark and grim - for every Australian to see. Seven years of Fraserism have produced:  - The highest number of Australians thrown out of work in our history; and the highest unemployment rate since the Great Depression fifty years ago.  - One in ten Australians out of work - a figure no Australian would believed possible a few years ago, and which the Australian Government should ever be forgiven for creating.  - One in four young Australians looking for work being unable to find work.  Their policies have produced the highest level of sustained inflation in Australian history; the highest personal taxation levels; the highest interest rates; the highest number of business bankruptcies on record.  For the first time since World War 11, the percentage of Australians owning or buying their own home is falling - and falling drastically.  For the first time in living memory, Australian living standards - the real buying power of wages and salaries - are falling.  And for the first time in more than thirty years, the Australian economy has stopped growing. Growth has gone into reverse.  In the Fraser years of government, the average growth of income per head has been 1.6 per cent compared with, the average of 2.3 per cent in the industrialised West. There's no question of not waiting for the rest of the world - the rest of the world has left us behind!  This is the record - just the bare facts of the record - of the men who now ask you to take them on trust - to trust them on their record, trust them for their experience.  Trust!  Trust the promises of the man whose public career, in seven years of government, is one unbroken trail of broken promises?  Trust, in this grave national crisis, a government whose record of instability, Cabinet turmoil and enforced resignations in the wake of public scandal, is without parallel in the history of Australia?  Trust them for a fourth term, when the very circumstances of the calling of this panic election reek of fraud and deception?  There are simple questions to be asked and answered.  Why was this election called eight months before time?  Why were writs for this election issued and the electoral rolls closed within an hour of the Parliament being dissolved?  Why have 400,000 of our fellow Australians been deprived of the right to vote - most of them the young people who have suffered most from the policies of the Fraser Government?  Underlying everything - the statistics of economic disaster, the roll call of broken promises, the scandals, the 18 Ministers who have resigned, retired early, been suspended or dismissed - is the politics of division, the politics of confrontation, which threaten to poison the very well-springs of the national life, the true, decent, Australian way of life.  My fellow Australians.  Let me from the very beginning of this campaign and to the end of this campaign, sound a note of caution and realism.  We offer no miracles. We offer no overnight solutions for the immediate problems we face or the deep-seated problems we must face together.  I believe the Australian people have had enough of election promises made only to be broken. I offer no fistful of dollars to be snatched back after the election.  What I do offer is a program to produce growth and expansion in the economy, achievable goals for the rebuilding and reconstruction of this nation.  What we have to do is, break out of the vicious cycle of confrontation imposed by seven long years of the Fraser Government. That will involve significant new expenditure, significant new investment from both the public and private sectors. It will also involve putting in place mechanisms to ensure that the new growth does not simply disappear in a new round of inflation - that is what our prices and incomes policy is all about.  This is not a time for grandiose spending proposals of the kind Mr. Fraser has drummed up in recent weeks - $6,000 million worth in the space of just three weeks in January.  But it is a time for controlled, responsible, stimulation of the Australian economy. We will not be able to just spend our way out of the mess: we must work our way out of it, work our way out of it together.  The new path for Australia after the fifth of March 1983, will be national reconciliation, national recovery, national reconstruction.  For let there be no mistake - there can be no economic recovery, there cannot be a beginning towards recovery, until there is a national effort towards national reconciliation. And that effort must begin with the national leadership and the national Government.  The problems we face together are now deep-seated, complex and challenging. They cannot be solved by election gimmicks. And just let me give you one measure of the size of the problem. More than 130,000 jobs have to be found each year just to absorb new people coming onto the work-force - that is, just for unemployment levels to mark time.  So Australia needs long term national solutions; and above all, we need a genuine cooperative approach between governments, business and unions.    NATIONAL SUMMIT    That is why we undertake, immediately on assuming office, to convene a national economic summit conference, fully representative of Australian industry, the Australian work-force-and the Australian people through their elected governments.  Let me stress that the proposal for a national economic summit - as I have stressed all along - is not a substitute for our positive policies.  Its purpose is to create a climate for common understanding of the scale and scope of Australia’s present crisis, to explore the policy options, and to ensure that the relevant parties, governments, business and the unions - clearly appreciate the role that each of them will have to play in pulling the country out of its present economic mess.  our call for a national summit is the same call made for months past by the leading industry groups of Australia, by the A.C.T.U., the Cardinal-Archbishop of Sydney, church leaders throughout Australia and by most of the State Premiers - the first act in the process of rational reconciliation.  We of the Labor Party have already - well before the election, and well before the proposed summit - established the firmest possible basis for the necessary three-sided cooperation between governments, business and unions.  We have already established the basis for firm cooperation with leading industry groups and representatives.    PRICES AND INCOMES POLICY    As a result of the months of painstaking consultation, discussion and work, we, the representatives of the incoming Labor Government, have reached an historic accord with the trade union movement which will form the basis for a firm, genuine and workable prices and incomes policy for this nation.  The whole thrust of our policy is to attack the twin evils of unemployment and inflation together - to get growth back into the economy while ensuring that Australian living standards no longer continue to be eroded by inflation.  And the purpose of our prices and incomes policy is to ensure that the benefits of recovery, the benefits of growth, are not wasted by inflation through another bout of the wage-price spiral, or the erosion of our international competitiveness.  All involved in the far-reaching accord are in absolute agreement that our long-term goal for Australia must be the restoration of genuine full employment, and the maintenance of real living standards in Australia.  Let there be no mistake - our opponents stand for the exact opposite. The inevitable result of their policy is an increase in unemployment and a continued reduction in the living standards of every Australian. The wage freeze itself was explicitly designed to cut ordinary family income and ordinary Australian living standards by ten percent.  But the agreement which will form the basis of our prices and incomes policy equally recognises that these great goals cannot be achieved overnight, or without real equality of sacrifice.  It would be unrealistic to pretend otherwise; and it would be dishonest for me to promise otherwise.  And in these great matters, as in everything else in this campaign and beyond, I am not in the business, and the Labor Party is not in the business, of making promises that cannot be fulfilled.  To underpin an effective prices and incomes policy, we will:  - establish, after full consultation with industry, a streamlined pricing surveillance authority to assess price rises sought by the strategic price setters and public authorities within the national jurisdiction.  - strengthen the trade practices legislation to promote more effective competition.  - restore a centralised system of wage fixation.  - establish, after consultation and in cooperation with the States, direct and indirect mechanisms to ensure that the same restraint expected of wage and salary earners is exercised by other non-wage income earners.  In short, in this hour of Australia’s worst economic crisis for fifty years, we shall ask all sections of the Australian community to show the common restraint and share the common burden for the common national purpose.  The process of co-operation and consultation must be a continuing one. The momentum of the mood for national reconciliation, national recovery and national reconstruction generated by the national economic summit must be maintained. The prices and incomes policy itself will require for its success mechanisms by which consultation and co-operation can become as normal and readily accepted a part of the Australian way and the Australian system as confrontation and division have become under the impact of Fraserism.  Further, there is an urgent need to replace the existing chaos and unpredictability in economic policy-making with orderly, rational and consistent. economic planning to promote the achievement of agreed national goals.  Accordingly, a Labor Government will establish an Economic Planning Advisory Council, representing all governments, business, union, farmers and consumers.  A tripartite group of government, employer and union representatives from within the Economic Planning Advisory Council will have responsibility for advising on the prices and incomes policy. This group will monitor implementation, and help solve problems as or before they arise.   RECOVERY AND GROWTH   Important and historic as the establishment of a national prices and incomes policy is, it is itself only one element in the program for national reconciliation, recovery and reconstruction.  The overwhelming need for Australia in its present crisis is for a government with policies to make a combined attack on unemployment and inflation.  The aim of the incoming Labor Government is to restore growth to the Australian economy.  Recovery can only be achieved and sustained by a change to national economic policies which lift and sustain demand. There can be no lift in profits or a lift in growth unless there is a lift in demand.  And that cannot be done by taking money out of the weekly pay packet or the pensioner's cheque.  And it certainly can't be done by squeezing the public sector even further. The Fraser Government has relentlessly cut public investment - that is, the investment we make as a nation in our nation's future - in our children at school, in housing, health, transport and all the essential community services fundamental to the living standards of a modern society. A massive squeeze has been put on the finances and resources of the States in pursuit of the present Prime minister's ultimate obsession to get his own way - to force the States to impose a second income tax.  Under the Labor Government, increased growth will be restored by:  - building desperately needed public capital works and services.  - tax reductions for low and middle income earners.  - widening of opportunities for borrowing by business, farmers and homebuyers.  - providing support for private sector investment.  The process of recovery and reconstruction will involve an accelerated capital works program.  In close consultation with the States, and local government, we shall embark upon a range of projects carefully selected to provide the maximum quick boost to employment, the maximum benefit to the private sector and the maximum value for the long term advantage to this nation for the money spent.  It is vital that we act now to get our young people off the dole queue - to give our young men and women an alternative.  To improve community facilities and services, as well as to increase employment opportunities, Labor will start a Community Works Program.  This program will be designed to reach to the local community level. The criteria for projects under the program will be that they would provide community facilities or services otherwise unlikely to be available; that they are labour intensive; and that they would provide training opportunities better to enable participants to enter the normal workforce.  An estimated 70,000 new full-time jobs will be created for an average duration of six months. The Community Works Program will particularly benefit those most disadvantaged in the labour market who will be least affected by a general improvement in employment opportunities.  We shall also introduce a private sector assistance program which will provide a real incentive to employers to provide actual new jobs for young people, in contrast with the existing Special Youth Employment Training Program (SYTEP).  We shall establish a "Jobs on Roads" Program under which additional money would be granted to local government bodies for construction and maintenance of local roads. Proposed allocation of $70 million in 1983/84 will create a total of nearly 8,000 jobs.   TAX RELIEF AND TAX REFORM  Labor's program of tax relief and tax reform is a crucial element in our program for recovery. The present economic crisis cannot be separated from the operation of the tax system under the Fraser Government. As a foremost expert on taxation and Australian public finances, Professor Russell Mathews has pointed out, the system has become a major instrument for redistributing income from wages and salaries to other incomes, a major cause of budgetary problems, and a source of growing social, business and economic instability.  Labor's tax reform program will have these objectives:  - to increase the real value of the pay packet and stimulate demand in the economy.  - to restore equity to the tax system.  - to redress the tax burden, on the principle of ability to pay.  - to prevent the erosion of after-tax income by inflation, and so support the prices and incomes policy.  - to end the loss of untold millions of dollars through the tax evasion and avoidance industry.  We will wipe out the tax evasion and avoidance industry it this country.  Under the Fraser Government it has become Australia's main growth industry. To quote the Costigan Report:  "This industry has developed in Australia, particularly over the last five years, at a rate far in excess of any other industry and has brought with it profits comparable only to the heady days of the Victorian gold rush."  And the blame lies not so much with individuals, but with the Government that allowed it to happen - the Fraser Government.  Our Government's total income tax package is being released concurrently with this speech.  Its key elements include immediate reductions in income tax for almost six million Australian taxpayers, with the greatest tax cuts going to those on the lowest incomes who have suffered most under Mr. Fraser's policies. A taxpayer without dependents earning $225 a week, for example, will get a tax cut of $4.76 a week.  The major points of Labor's tax reform will be:  - a new six step tax scale to restore the progressive nature of the tax system.  - a lift in the tax threshold to $5,000 which will free tens of thousands of low income earners from all tax.  - a lift in the tax threshold for pensioners of $465 to $5893.  - increases in the spouse rebate and sole parent rebate, resulting in additional tax cuts of $2.00 a week to families.  - increases in zone allowances by 25 percent for taxpayers in remote areas.  We propose a major new concession to the small businesses of this nation which have been among the worst victims of the Fraser recession and which provide such a high proportion of the jobs for our people.  We shall legislate to allow up to 100 percent retention of profits by small business where these funds are to be used for genuine business operations.  And here let me make one point so that even our opponents can understand it; and let me make it beyond all their powers of misrepresentation and distortion.  There will be no new capital gains tax.  But we will not be deterred - and no Australian Government worthy of the name should ever have been deterred - from upholding and using the existing laws of the Commonwealth of Australia, interpreted in the spirit in which those laws are now being interpreted by the High Court, to tax speculative gains and prevent tax evasion and tax avoidance.  All that is needed is a government with the will and determination to apply the law.  And one last point on taxation matters, which goes to the very heart of our principles of equity and equality. The present Prime Minister secured consent to this election on the grounds that the Senate one year ago rejected legislation of crucial importance to the economic policies of his Government. Those rejected policies would have imposed a 2,5 percent tax on the necessities of life in this country. Mr. Fraser now seeks your mandate to impose sales taxes across the board. Either that - or he has procured this election by constitutional and political fraud.   PETROL PRICES  As part of Labor's anti-inflation package and in recognition of the burden of extra taxation levied by the Government on people afflicted by the wage freeze, Labor will reduce the price of petrol by cancelling the January 1 oil price increase of $3.23 per barrel. This will have the effect of reducing the price of petrol by the order of 3c a litre. It will also reduce the Consumer Price Index by half of one point.   HOUSING  We will call upon the housing and construction industry to make a major contribution to the recovery program.  Our target is to increase housing commencements by 18,000 in our first year and to bring total commencements to 160,000 within three years.  To provide a stable and adequate flow of funds for housing at affordable interest rates, the Labor Government will:  - maintain interest rate controls on bank mortgage interest rates and extend those controls to building societies.  - require the savings banks and building societies to lend a set proportion of their funds for housing.  - establish an Australian Housing Fund in the Reserve Bank made up of deposits by non-bank financial institutions and channelled through the banks and building societies.  We will assist first homebuyers to bridge the deposit gap which prohibits many moderate income earners from obtaining home ownership. A grant of $5,000 will be paid to eligible buyers in such a way that they can obtain an extra $14,000 loan.  Labor will assist people renting their homes by extending supplementary rent assistance of up to $10 a week to all social security beneficiaries, including the unemployed.  THE PRIVATE SECTOR   The role of private industry - which employs nearly eighty percent of the Australian workforce - will be of paramount importance, both for the immediate recovery, and the long term reconstruction of our economy.  The Labor approach is based on a recognition of the interdependence between the private and the public sectors. The health of one requires the health of the other. Private industry stands to benefit most from increased activity in capital works and infrastructure.  The Fraser Government has presided over the disintegration of Australia’s manufacturing industry. Over 100,000 manufacturing jobs have been lost.  We cannot satisfactorily rebuild our workforce unless at the same time we rebuild our manufacturing base.  This requires both measures to deal with the immediate crisis, and measures for long-term reconstruction.  Until this crisis is overcome there will be no reduction of existing protection levels.  We recognise the current crisis facing many industries where import competition is threatening their very survival.  We will immediately review the need for additional short term assistance in selected industries to provide a necessary breathing space until steady growth is restored.  The Industries Assistance Commission will be required to play more positive role in preparing for growth, rather than managing the decline of manufacturing.  It is unthinkable that Australia should abandon its steel producing capacity - yet every day of delay makes that outcome more likely. Australia has al the necessary raw materials, the workforce, the expertise and the basic infrastructure for an efficient and healthy steel industry.  It is incomprehensible, not only in terms of Australia's economy but in terms of Australia's defence and security, that this nation is on the verge of being the only significant industrialised nation in the world without a steel industry.  The Labor Government gives an unequivocal commitment to the maintenance of a viable and efficient steel industry in this country.  We shall maintain the current long term plans for the footwear, clothing and textile industries.  We shall retain current plans for the motor vehicle industry but we shall restrict the export credit scheme to seven and a half percent.  We will encourage those many small industries 3n the producer goods sector which have good prospects for replacing imports and expanding exports.  We will select new intermediate and high technology industries in which Australia has special skills and opportunities, and support their establishment.  The new Australian Industry Development Bank will provide new sources for finance for our industry reconstruction plans.  The Commonwealth Development Bank will be given a wider charter to finance small business investments.  The current accelerated depreciation allowance will be retained to promote private investment.  Grants for research and development will be increased and made tax free.   TOURISM  Recognising the importance of tourism to the Australian economy and the prospects of employment it can offer to the young, semiskilled and unskilled, the Labor Government will double the current expenditure on tourism, tourist promotion and low cost tourist accommodation.   COMMUNICATIONS   Communications has grown into a major area of government responsibility, but under the Fraser Government developments have been wholly uncoordinated. The Australian Labor Party has clear priorities and will develop our communications system with paramount regard to the public interest.  We will:  - immediately plan for a second ABC regional network, to be installed by the third year of government, to provide additional choice to the four million Australian living outside capital cities.  - increase ABC funding by 5 percent to enable a further development of Australian programming.  - establish an independent Foundation to assist financing of public broadcasting stations.  - proceed with the extension of multi-cultural and ethnic broadcasting throughout Australia, but insist on greater ethnic community involvement in the management of this service.  Labor rejects the recommendations of the Davidson Report on the Australian Telecommunications system. That system will remain in the hands of Telecom, and will continue to provide a service which takes into account the public interest in the determination of charges for all Australians.  There will be no fragmentation of the system by the admission of private networks, and Telecom will continue to cross-subsidise country and suburban services.  Telecom will be permitted to raise adequate capital for expansion, and will be the base provider for all new information systems.  It will continue as a major supporter of the Australian electronics industry, and of employment in that industry.  Telecom's "Buy Australian" policy will be maintained.   RURAL POLICY   No Australian resource is more important than our land. No sector of Australian industry is more important than our great primary industries, which still provide fifty percent of Australia's export income in normal circumstances .  Labor's program to provide relief for the drought-stricken areas of Australia will be outlined when I deliver our rural policy speech in Griffith on Sunday - the most comprehensive set of policies ever put together by any party for Australia's agricultural and fishing industries.  EDUCATION  Australia will be unable to meet the challenges ahead unless we develop the most important resource of all - our children.  Our young people need to be better prepared for their own future and for the future of the country.  We cannot continue to waste the talents and destroy the hopes of our young people in the dole queues. We cannot afford to lose so many able students from our high schools, colleges and universities.  The learning gap between Australia and the rest of the world is widening.  Our proposals to reverse this disturbing trend in the longer term include:  - an increase in full time enrolments in secondary schools and in the TAFE sector of a total of 30,000 in three years.  - an increase in enrolments in universities and CAE's of 25, 000 by 1990.  The importance of doing this is three fold:  - Australia-has a low retention rate of young people in the 15 to 19 year old age group in education.  - Too many young, unskilled Australians are looking for jobs and by doing so are increasing the size of the workforce when insufficient jobs are available.  - Australia must improve its educational and training standards if it is to compete in a world of rapidly changing technology.  As the Australian Education Council has pointed out: "The problem of youth unemployment in Australia is extremely serious, and undoubtedly getting worse. In December 1982 there were 175,200 unemployed people in the 15-19 year old age group (which is an unemployment rate of 26.3 per cent.). In addition (when compared with the OECD countries) Australia has one of the lowest retention rates for later year school students."  In dealing with the general question of unemployment in the longer term, we will have to face up to reducing the length of the working life of the average Australian.  A substantial impact will be made on this problem by policies designed to encourage young people to remain in education longer, and by offering them a comprehensive youth policy which offers the alternative of education, or a range of employment outside the conventional labour-force, providing opportunities for constructive community work, training and experience.  We will, in consultation with the State Governments which are already developing constructive programs in this area, seek to develop a comprehensive youth policy which till have short term benefits for the young unemployed, and long term benefits for the Australian workforce.  Labor will institute a new program for primary schools to provide special help to children suffering difficulties in their basic- learning. The full year cost of this new program will be $9 million.  We will provide, as we promised some weeks ago, $24 million over three years to equip secondary schools with computers. All government schools and needy non-government schools will benefit from a grant of up to $20,000 for this equipment.  Labor's objective is to provide equal educational opportunities for all Australian children. In addition we shall encourage reasonable diversity in education both within the government sector and by facilitating a healthy private sector.  Above all, we will restore the confidence of the Australian community by showing that our national government is concerned about the educational opportunities available to all children in all schools.  If all Australian children are to enjoy equal educational opportunities - the funding of all schools - government and non-government - must be based on fairness and need.  We believe that the Australian Schools Commission is right when it says that the so-called state aid debate is a distraction from the far more important concerns which many Australians have about schools.  In addition to a contribution of $37 million to government schools, we shall provide a further $16 million to the most needy non-government schools in the first year. Consistent with funding according to needs in a time of limited financial resources, we will reduce by 5 per cent per year the direct Commonwealth grant going to a very small number of wealthy private schools endowed with resources far above those of any other schools.  I say frankly and unequivocally that under these proposals 98 per cent of children in the Catholic education system will be better off in terms of Commonwealth assistance, and in saying that I am mindful that the Catholic, and the government systems cater for children from all ethnic and socioeconomic backgrounds.  I will ask our Education Minister to confer immediately with the Schools Commission, and with representatives of the various  sectors, with a view to establishing a common understanding of the resources claims of all types of schools.   SOCIAL SECURITY  Together with the unemployed, the main victims of Fraserism are those who depend for their income on social welfare payments - the aged, the handicapped, the invalid, the bereaved, the single parents.  It is unforgivable that after seven years of Fraserism a million and a half people on social security are admitted by the Government itself to be living in poverty.  Half of the three million Australians who depend on Government welfare assistance - our aged, our disabled, our invalids, widows and single parents - are on payments below the poverty line.  No Labor Government can tolerate that situation.  We are committed to raising over a three-year period tree basic pension rate from 22 per cent of average male earnings to which it has fallen under Fraser to 25 per cent. Once we reach that goal we will maintain that 25 per cent proportion by indexation until it is possible to take the pension higher.  Pensions will be adjusted on the basis of the immediately prior six month CPI movement to cut the present lag of four months to one month.  Pensioner fringe benefit levels will be indexed.  Zone allowances will be paid to social security beneficiaries living in remote areas where costs are high.  Unemployment benefits will be progressively increased until adult beneficiaries reach equality with single pensioners.  Young unemployed will be paid an additional $5.00 a week and given greater access to training.  All adult unemployed will be eligible for a $10.00 week rental assistance after six weeks on benefit. Junior beneficiaries will also be eligible if they are living away from home.  While Labor is committed to the maintenance of family allowances, our first priority must be to low income families.  The most immediate need here is for reform of the absurdly restrictive family income supplement proposed in the last Budget. This will be done by relaxing the income test so that the supplement is reduced by only 25 cents for each extra dollar of family income, rather than the present 50 cents. This will ensure that eligibility is extended into a much wider range of lower and middle incomes.  Our Children’s Services program will provide for the varying needs of children, and is essential to enable parents to play a fuller part in society.  Labor would allocate $20m extra for child care in its first Budget, equivalent to $30m in a full year. These funds, which will finance 400 new child care projects, will be directed into areas of pressing need.  HEALTH  One of the big factors in the decline of the living standards of Australian families over the last seven years has sprung from one of the most notorious of the Fraser broken promises – the promise to maintain the universal health care system. There have been five confused and confusing schemes put in its place. It has reduced health care standards and directly raised inflation. Further, the Fraser Government has placed intolerable burdens on the hospital systems of the States.  The Labor Government will return to the basic principle of the right of all Australians to health services according to their medical needs.  Labor's new Medicare program involves simply the replacement of the present crippling health fund contributions by an income-related levy of one per cent of taxable income. It will mean that nine out of ten Australians will pay less for the health needs of themselves and heir families.  The change in Labor's health funding arrangements is also an important element of Labor's anti-inflation package. It will have the effect of reducing the Consumer Price Index by 2 percentage points.  The last thing the Labor Government wants to do is to create more unnecessary bureaucracy, in the health field or anywhere else. One piece of wholly unnecessary red tape which we shall abolish immediately on coming to Government is the pharmaceutical declaration form which has been imposed by the Fraser Government on pharmacists, pensioners and the poor.   SPORT  It is not only through our Medicare plan that a Labor Government will contribute to the health and fitness of Australians.  We will ensure, through substantial funding increases, that sport, physical fitness and recreation facilities will be available to all Australians seeking to enjoy them whatever their wealth, ability or level of aspiration.  Particular priorities for increased funding will be the National Institute of Sport, sports education in schools, the building of family leisure centres in or near schools, and surf life-saving associations.  A long overdue system of tax-averaging will be introduced for sportsmen with short careers in high body contact sports.   ARTS  Australia's prowess in sport is matched by her excellence in the arts.  We of the Australian Labor party have a commitment to the development of the arts in Australia, both as are expression of our national identity, and as a means of increasing the access of all Australians to their own culture.  Our main priorities in Government will be to:  - restore over our term in office spending on all arts programs to the level achieved in 1975-76.  - provide low-interest development aid to independent Australian publishers.  - abolish admission fees to the new National Gallery.  - proceed with construction or the Museum of Australia.  - closely monitor, and adjust where necessary, film industry tax incentives to ensure the stability and expansion of quality Australian film production.      THE ENVIRONMENT   Environmental issues have become more prominent in this campaign than in any previous election, through the bitter and divisive controversy over the proposed Gordon-below-Franklin dam, the building of which will irreversibly damage a key part of Australia's and the world's natural and cultural heritage.  A Labor Government will use all the powers at our disposal to ensure that the dam is not proceeded with, but at the same time ensure that Tasmania is not economically disadvantaged in any way.  It's not a matter of having to choose between environment and development. With sensible policies, and a willingness to resolve problems through negotiation and consensus, Australia can have both.  Other Labor environment priorities are:  - the preservation of Moreton Island by prohibition of mineral sand exports.  - the declaration of the whole of the Great Barrier Reef area as a marine park.  - developing with the States a massive national reafforestation and tree regeneration campaign, especially in catchment areas.  Environmental issues are pre-eminently about values -competing values to some extent, but above all the values we share.  Labor believes that one of the most important tasks Australia today is to restore values to Australian politics.  We need to think through the kinds of shared values that are necessarily involved in building a firm foundation for Australia's future.  And one of the most fundamental tasks of all in this respect is to think again about some of the values built into the Constitution under which we have as a nation lived and worked for over 80 years.   CONSTITUTIONAL REFORM  A widespread consensus is emerging that while the basic structure of the Australian Constitution may still be sound, a good deal of it needs major renovation.  The 1988 Bicentennial year is an ideal target date to work towards for really major, systematic review. Labor will seek to put in place machinery - involving the establishment of the Australian Constitutional Convention on a more regular and professional basis, and the direct election by the people of a proportion of its delegates - to make that review process a reality.  Labor recognises that, because of the realities of the referendum process, there is little point in seeking constitutional change in matters which have no significant support across regional and political lines. We do not see constitutional amendments as an occasion for political stunting or grandstanding; we will be adopting, a consensus-seeking approach in all our endeavours in this area.  Our most immediate constitutional reform priority is the achievement of fixed term four-year parliaments.  This will stabilise the election cycle, make possible rational business planning and public administration, and rule out the kind of cynical opportunism that has forced Australians to the polls six times in the last twelve years.  The concept of fixed term parliaments has received widespread support on both sides of politics, and we believe it will be warmly welcomed by the great majority of Australians.   ELECTORAL REFORM   We will update the Electoral Act with proposals recommended by the Electoral Office but shelved for years by the Fraser Government.  Voting will be made simpler to reduce informal wasted votes. Voters will not find they have been taken off the rolls and disenfranchised whenever they move home or go overseas.  Labor will also establish an independent, public and permanent Electoral Commission to oversee the whole electoral process.  We will seek the support of Parliament for the public funding of election campaigns, the disclosure of donations to political parties and for the regulation of unfair political advertising.   LAW AND JUSTICE   Labor has a comprehensive program of law reform, based on the principles of equal access to the law, the protection and promotion of fundamental rights and liberties, and the speedier and more sensitive reaction of the law to social change.  Among the measures we will vigorously pursue are:  - Additional and more cost-effective legal aid funding.  - A national Bill of Rights and major improvements to the law of discrimination and criminal investigation.  - Upgrading of the role and effectiveness of the Human Rights Commission.  - Rewriting of the Freedom of Information Act to implement fully the principles of open government.  - Progressive establishment, in cooperation with States, of a national no-fault accident compensation scheme.  - Updating of the Family Law Act to ensure that it, operates in the best interests of all the parties involved, especially children.  - Creation of a National Law Reform Advisory Council (with representatives from law reform agencies and both sides of politics in every parliament) to coordinate uniform law reform developments.      WOMEN  Labor has a comprehensive women's affairs policy, developed in recognition of the fact that Australian women do not yet experience total equality with men, or enjoy full participation in all aspects of our society.  We are particularly concerned at the implications of the evidence from all relevant overseas countries that women in the workforce are most susceptible to the adverse effects of rapid technological change.  Our most immediate priority will be the enactment of Commonwealth Sex Discrimination legislation covering employment, education, the provision of goods and services, accommodation, land and clubs, and establishing a program of affirmative action in public and private employment.   ABORIGINES  Another area of unresolved conflict involves the Aboriginal people of this country - the first Australians. As a group, they continue to experience the worst conditions - the worst health, housing, employment, education, and the greatest poverty and despair. While this situation persists, we can never truly bring this country together.  Central to this question is the issue of land rights.  A Labor Government will not hesitate to use, where necessary, the constitutional powers of the Commonwealth to provide the Aboriginal people to own the land which has for years been set aside for them.  Through the Aboriginal Development Commission, we will assist communities to develop enterprises, build schools, and operate health services in a way which implements to the full the common ambition of self determination within a framework of national unity.   BUSINESS LAW  Labor in government will approach business regulation issue according to clearly stated principles. We will maintain and promote business regulation only where its social or economic objectives are clearly identified and where the benefit to the community outweighs the cost of the regulations.  Priority activity will include:  - Strengthening the Trade Practices Act in relation to mergers, price discrimination and abuses of market power designed to prevent proper competition.  - Ensuring genuine reform of company and securities law and better resources for the National Companies and Securities Commission.  - Enactment of legislation in relation to insurance agents and brokers, and insurance contracts, of the kind recommended by the Australian Law Reform Commission.  - Review of the structure and operation of the Petroleum Products Pricing Authority to ensure adequate Commonwealth supervision of petroleum pricing and that the Authority operates as an effective pricing body or the industry.      CONSUMER PROTECTION  There are presently in force in the Commonwealth and States more than 200 laws relating to consumer protection, many of them - particularly in the areas of weights, measures, packing and assembling - dealing with exactly the same subject matter.  Labor in Government will aim to replace, following consultation with the States, overlapping laws with single common codes -to the undoubted benefit not only of consumers but the business community.  We will support education programs to advise consumers, particular members of ethnic groups, of their rights as consumers, and establish joint industrial-consumer councils to advise the Government on consumer policies.   FOREIGN POLICY  Even in times of an economic crisis of such proportions as the present, the defence and security needs of Australia must remain paramount. The foundations laid after 1972 established for Australia a more independent and self-respecting international role than ever before. The essential elements of Australian defence and foreign policy have taken on a quality of bipartisanship inconceivable before then. The great questions of Australia's relationship with the United States, with the People's Republic of China, the Soviet Union, the European Economic Community, Indonesia, our special relationships with the Commonwealth of nations, Papua New Guinea, New Zealand and Japan, and our conduct on Southern African questions now possess a continuity, consistency and consensus.  We will maintain Australia's commitment to the ANZUS Treaty. Australia should never forget that the American Alliance was forged by an Australian Labor Government, the Curtin Government at a time when the conservatives of Australia had failed to meet the challenge of our greatest crisis.  We will seek even closer relations with our ASEAN neighbours and, in particular, seek to widen trade opportunities in this region - the fastest growing economic region in the world.  DEFENCE  Labor is committed to the re-establishment and maintenance of a well-equipped, highly trained and mobile Defence force to ensure the security of Australia's sovereign territory, particularly in the vulnerable North and West, its economic zones and its areas of vital interest.  We will continue programs now under way, but will review the. five year Defence plan and adjust priorities when this becomes necessary. We will not squander 1.4 billion dollars of resources on the purchase and equipment of an aircraft carrier which will make no credible improvement to our strategic position, will divert resources from much more cost-effective equipment purchases, and is not wanted by most of the Defence establishment.  Nor will we prejudice Defence effectiveness by ill-conceives short term enlistment programs which will not make a significant contribution to youth unemployment, not result, in any effective craft training in the time available, which are not wanted by Defence professions, and which will divert funds from badly needed equipment purchases.  Labor will immediately cancel projected retrenchments in Government Defence industries and carry out a full examination of current programs to ensure full employment of the present workforce, or retraining where required.   QUALITY OF GOVERNMENT   The Labor team will come to office with a deep commitment to restoring the quality of Australian Government and better prepared than we have ever been to do so.  The extraordinary series of scandals which broke last year -relating to Bottom of the Habour tax evasion, Medi Fraud and the Asia Dairy scandal, the Meat Substitution racket and all the rest - demonstrated just how deep the malaise now runs in Australia’s Public Administration and how much of it has been due to failure of Ministerial leadership and performance at the top.  Labor in office will be committed to restoring probity in Government, cutting away extravagance and self-indulgence in Public Office, and establishing clear-cut decision-making procedures.  Labor in office will work within the existing Public Service structure, developing new procedures to make it more efficient, flexible and accountable, but not by/passing or undermining it in any way.  Labor in office will stay deeply committed to the democratic conduct of the Parliamentary system, and in particular to the constructive and creative Committee processes which have operated so successfully in the Senate in recent years.  And Labor in office will, as I have already said, put to a Referendum within our first months of Government a Constitutional Amendment proposal for fixed-term Parliament which will do more than anything else to introduce stability and predicability into our political process.   CONCLUSION  My fellow Australians, I said at the outset that this election was not a contest between personalities.  And let me emphasise that I come before you as the Leader of a team -- a team of men and women with a quality, experience, dedication and vigour which makes me deeply proud to lead them.  But your choice on the fifth of March goes even deeper. It is nothing less than a judgement about the very nature of Australia - the kind of Australia you want for yourselves and the children of Australia.  And ultimately this transcends even the question of economic crisis.  For there is no way Australia can surmount this crisis if we allow our country to slide deeper and deeper into the national divisiveness which has marked most of the past decade. The need for national reconciliation, the need for Australians to be brought together and to work together, is something I have held as fundamental throughout my public career.  More than seven years ago, I said this:  "The challenges and responsibilities confronting us in the coming years are profound - let us ensure that by acting constructively together we discharge those responsibilities in a way that will secure full. employment and a better standard of living for all people."  And now, as my colleagues and I come before you, seeking the greatest honour of all in your service and in the service of Australia, I say it again, with absolute conviction.  I deeply believe that this is the way for Australia.  More than that, I deeply believe it is the true Australian way if we are true to ourselves as Australians.  Just forty years ago this year, in a time of Australia's gravest crisis when our very existence as a nation was at stake, the people of Australia gave the Australian Labor Government, under John Curtin, their overwhelming support to take Australia through to final victory. John Curtin lead Australia through the crisis to triumph, by bringing Australia together.  In very different times, in a very different kind of crisis, the task and the challenge remain the same - to bring Australians together in a united effort until victory is won.  APPENDIX 1  FIRST YEAR COST OF AUSTRALIAN LABOR PARTY'S NATIONAL RECOVERY AND RECONSTRUCTION PLAN  $ MILLION  GENERAL PUBLIC WORKS 400  TAX CUTS (REVENUE FOREGONE) 630  CUT IN OIL PRICES ( REVENUE FOREGONE) 360  SOCIAL SECURITY 420  EMPLOYMENT  COMMUNITY WORKS PROGRAM 320  PRIVATE SECTOR ASSISTANCE PROGRAM 80  HOUSING 235  EDUCATION 110  OTHER 195  -----------  TOTAL $2750  FINANCING  REVENUE SAVED OR RECOUPED FROM  ANTI-TAX AVOIDANCE AND EVASION  MEASURES 750  -----------  $2000  CLAWBACK FROM INCREASED TAX RECEIPTS  AND REDUCED UNEMPLOYMENT BENEFIT  PAYMENTS 500  --------------  INCREASE IN THE BUDGET DEFICIT $1500  APPENDIX II   INCOME TAX  The new tax scales, to be introduced in Labor's first Budget will be:   INCOME (SPA) TAX  0 - 5,000 Nil  5,000 - 11,500 Nil + 28~ in every $ over $5,000  11,500 - 19,750 $1,820 + 32c in every $ over $11,500  19,750 - 35,000 $4,460 + 46c in every $ over $19,750  35,000 - 60,000 $L1,475 + 60c in every $ over $35,000  60,000 + $26,475 + 65c in every $ over $60,000   REBATES  Spouse/Housekeeper/Daughter-housekeeper: $1134 with dependent children  $830 otherwise  Sole Parent: $884  Pensioners: $250  Zone Rebates: Zone A $270 + 50% of dependant’s rebates  Zone B $45 + 25% of dependant' s rebates  The scales will apply to weekly tax instalments from November 1 this year.  These scales have the following advantages:  - the tax free income threshold will be increased by $405 to $5,000 for taxpayers without dependants, and $1022 to $9050 for taxpayers with a dependant spouse and children.  - the increase in the tax free threshold will free tens of thousands of low income earners from any tax whatsoever.  - the tax free threshold for pensioners will rise by $465 to $5893.   CONTENTS  - 1983 POLICY SPEECH.  - BUDGET COST OF NEW INITIATIVES.  - SUPPLEMENTARY STATEMENTS.  1983 POLICY SPEECH  Australians have never had a clearer choice than at this election. It is the Liberal Party that is preserving and building a free society. It is the Liberal Party that is working to fulfil the hopes of all Australians. It is the Liberal Party alone that can keep building for the future. We govern for all Australians whether their families have lived here for, generations or only a few years. We encourage all Australians to contribute their best to the best nation on earth.  This election gives Australians a choice between the certainty of recovery under this Government, and insecurity under the riskiest and most divisive Labor Party in our history. It presents a choice between the wages pause, supported by eight governments and the nation's wage tribunals, and Labor's attempts to destroy that pause.  The nation asked for Labor's cooperation. It got a callous rebuff. This is an election about responsibility, about the security that only responsibility can bring. Australia can't afford the turmoil and insecurity of the Federal Labor Party. It needs the secure program which the Government offers which will build Australia by helping people and widening opportunities.  Since 1975 our policies have done much to rebuild Australia. Because of our policies, Australia was one of the last countries hit by the world recession. Before the world recession hit us, we revitalized confidence in the economy. We brought down inflation. 455,000 new jobs were created. Australia's output rose more than the average of advanced countries. New private investment rose almost 50% in real terms. Development was proceeding on a great scale.  When the world recession finally did hit Australia its effect was greatly worsened by two things. The drought is one of the worst in Australia's history, and it is affecting us all.  And in the last year or two Australia has suffered a totally unjustified wages explosion, brought about by ACTU policies laid down when the present leader of the Labor Party was its president. The world recession would have done Australia far less damage if the unions had not pushed their demands for higher wages and shorter hours beyond the endurance of industry.  This election will decide whether Australia goes the Labor way, with rampant union power, soaring inflation and worsening unemployment, or whether Australia puts the recession behind it and gets back on the road of more jobs and rising living standards.  We saw the recession coming and took positive action. Even though we are affected by what happens in the rest of the world, the Government will help Australia to create its own future. We're not waiting for the world.  At a time of difficulty, we have helped Australian families. The family is the rock on which our future will be built. We helped in last year's family Budget, cutting personal taxes, improving rebates on home interest payments. Over two years we have increased all family allowances by 50%. Our family Budget put $18 a week into the hands of typical Australian families. We helped low income families especially, with our innovative family income supplement, and extra help to keep children at school.  We will adjust unemployment benefits for single people over 18 in line with other pensions and benefits in May. The Government strongly believes in child care. In the Budget we lifted funding by almost 50%. We will expand that program by providing 150 new child care projects. We helped the older members of our families. The family Budget increased the income limits for pensions, and expanded rental assistance. To give further support to pensioners; we will increase access to the health benefits card, with a substantial further increase in the income limits. No Budget has ever done more to help Australia's families. We are the family party.  The family Budget helps young people. We raised student allowances and boosted our manpower and training programs to $250 million. These programs will directly assist a quarter of a million Australians, most of them young people. Money from the wage pause is now helping many more young people to find jobs and opportunities. We are determined to do everything possible to help young Australians. We know the future of the best country in the world depends on them.  We will establish a special youth project in reforestation and conservation. We will establish further youth projects for people not adequately assisted by present programs. This will include women, Aboriginal and people disadvantaged by physical or language difficulties. On top of these programs, we have decided to offer 10,000 additional places over two years in the Defense Services for young men and women partly because more people are applying for Defense positions than there are places. This project will be based on a one year voluntary enlistment in the Armed Services.  In addition to basic training, as many as possible of those who join will receive relevant trade training, which our Services have a capacity to provide. Those who join this program will be doing something for themselves and for Australia. It promises a worthwhile experience for thousands of young Australians.  Throughout 1982 we positively assisted home buyers. Through our actions an extra $1.2 billion is going into housing, and with lower interest rates these policies are having increased impact.  We have done much to assist Australia's industries. There are vastly improved depreciation schedules to encourage industry to buy modern equipment. We took action against dumping and established the "Buy Australia" campaign.  Just before Christmas, in an historic meeting, we brought Commonwealth and State governments together on the wage pause, and I want to thank Doug Anthony and John Howard for getting it in place.  It is a wage pause with a difference: it expresses the Australian ideal of mate ship. The wage pause gives people with jobs a chance to help other Australians without jobs. The savings from Commonwealth wages are helping the young unemployed get jobs, and older people who have been retrenched.  The pause lets wage and salary earners help themselves by keeping prices down and protecting their own jobs. Above all, the wage pause will lower inflation and help make our industries more competitive and profitable, and this will mean more jobs.  This Government worked hard to achieve that historic wage pause agreement. Eight governments agreed, the Arbitration Commission agreed, most Australians agreed. But the ACTU and the Federal Labor Party rejected it.  How can they talk of bringing Australians together when they are the only ones out of step. They are determined to destroy the pause, with nothing to put in its place.  They have incited strikes in the oil industry. Strikes in that industry over the last year cost $600 million in lost revenue and a further $700 million for additional imports.  The wage pause is enormously important to Australia's recovery. The Labor Party has been totally divisive, totally contemptuous of the unemployed, totally unconcerned about Australia's long term economic security.  In 1983 Australia needs responsible policies, not division. Strong, reliable economic management is the heart of effective government in today's difficult world, but the achievements of this Government go much further. Our concern for fairness led us to stamp out tax avoidance. In the interests of fairness we will continue our drive for tax reform.  Our concern to hunt down organized crime led us to establish the National Crimes Commission.  Our concern about the drought led us to establish comprehensive drought relief arrangements. We will continue the drought interest subsidy for a year beyond the lifting of the drought. We will make sure there is enough finance to help keep people on their farms, to enable crops to be planted. We will introduce a new rural research program to help farmers lower their costs, and a new  five year soil conservation and afforestation program.  Our concern for the environment led to our offer to the Tasmanian Government to equalize the cost of power and put off the Franklin Dam. That offer remains open. We now commit $50 million over five years to a great national park in South West Tasmania, so that it can be enjoyed and preserved for our children.  In taking these measures we are building for the future. We believe the Government can do things to help bring out the very best in Australians.  The Commonwealth Games were a great success, and we all felt great pride in our sportsmen and women. We will help them build on their achievements by adding to the Sports Institute's programs, and set up a center for the Institute in Perth.  We have established centers of excellence for research in universities. Australia has some of the best medical scientists in the world and we have provided them with generous research funds. Our scientists are on the verge of a breakthrough for an anti-malaria vaccine. Our objective must be to bring this to completion and to achieve the development in Australia. Over the next three years, we will increase funding for our medical scientists by a further 30% in real terms.  We also want the best artistic achievements to be shown in every State. We will set up a National Arts Touring Fund under the Australia Council.  Through these initiatives we are leading Australia. We are building for the future, we are not waiting for the world.  At a time of falling private investment, we are building for the future by establishing a program of great national projects.  Our Bicentennial Road Program will modernize and build up Australia's road network. To reduce transport costs further, we will provide standard gauge rail access to a number of ports in Victoria and Queensland.  We will explore with Victoria and South Australia the scope for an early start on an electricity grid to balance out demand and give greater security of supply in both States.  Our Bicentennial Water Resources Program will mean better use of our scarce water supplies. Every State will benefit and thousands of jobs will be generated. Projects in the Murray/Murrumbidgee Basin will improve the quality and flow of water. We are determining the site for a major new dam on the Upper Murray.  We are exploring the age old dream of turning the coastal rivers of New South Wales and Queensland inland to see if it can be turned into reality for our children.  The Darwin-Alice Springs railway will be completed by 1988. This should greatly assist the steel industry at Whyalla, and greatly assist South Australia generally as well as the Northern Territory.  There are other Bicentennial projects: programs for the arts; the new Australian telescope, to develop further the skills of our astronomers; the Bicentennial Program itself, in which all Australians will participate. The Bicentenary will make Australians proud of Australia's achievements, and our capacity to live and work together.  We are a nation built by people from every land. We will keep working to improve the quality of Australian multiculturalism and a fair go for all Australians.  We are looking ahead to 1988 and beyond.  The jobs of the future will depend upon innovation and enterprise. Businesses need encouragement to adopt innovative practices, create new products and markets. We will provide this encouragement in partnership with business.  We will set up an Advanced Technology Corporation to help small and medium firms develop innovative products and services. The Corporation will help innovators assess their proposals and organize venture capital. It will help them find product development facilities to put their ideas into practice, and it will help them with market research and information.  To attract investment to new high risk ventures, we will grant 100% tax deductibility for investments in projects approved through the Corporation, to an overall limit of $100 m in the initial operations.  Small business has a vital role in generating new employment, products and ideas. We will introduce a new preferential tax rate 5 cents below the standard rate for small companies with taxable incomes below $100000, and provide $25 m additional funding through a new division of the Development Bank specifically to assist small business.  As part of our program of encouraging Australia's industrial development, we will make advance payments of 10% on Government purchases of Australian manufactured products, and extend the Export Promotion Scheme. These initiatives will assist business, in partnership with government, to build the foundation for our future economic growth and employment.  Good industrial relations are vital to the future of our country. This Government has shown its willingness to consult and work with the unions, not for them, as Labor does.  This Government intends to govern for all Australians. It will continue to seek cooperation with all parties, including the ACTU but it will not tolerate attempts by the militant few to impose on the majority.  We have introduced effective reforms to the Conciliation and Arbitration Act within our existing industrial relations powers. But we believe these powers are too limited in certain key areas. We will therefore seek power through a referendum for the Commonwealth to legislate to give the Conciliation and Arbitration Commission power to make sure awards and agreements are not broken, and to enable the Commission, and the Government where necessary, to prevent the community being denied essential services by the abuse of union power - powers which we hope would not have to be used.  As a further measure, our legislation for secret ballots will be extended and made more effective. In the protection of essential services and vital national industries we will legislate to enable secret ballots to be ordered in respect of proposed strike action, and we will require secret ballots for the election of all senior union office bearers, to be conducted at public expense by the Electoral Commissioner.  These powers are not to confront, but to protect all Australians and the democratic rights of all union members. They are needed to increase the confidence and security that will underlie economic recovery.  In looking to the future, nothing is more important than education. All Australian children must be equipped with relevant training and the skills they will need in a complex world.  We reject as totally divisive and wrong Labor's policy to deny the basic right of every Australian child to some Government support for his or her education. We want to tackle the real causes of dissatisfaction with the education system, and get more children to stay at school longer.  Education needs to give all our children better opportunities to do the things they do well. The Schools Commission has pointed in the past to an over-reliance on academic curriculums. That suits academically-inclined students, but there are many other students who also deserve a fair go.  We will provide $25 m on a dollar for dollar basis with the States, for counseling for younger students and parents, and for reform of curriculums. This will help meet the needs of all children.  We will also ask the Tertiary Education Commission to report on whether there are adequate places and opportunities available in tertiary education. We will invite the States to join us in promoting the use of computers in all Australian schools, with a Commonwealth contribution of $20 m a year for five years from 1984. We will provide a further $35 m over the next three years to help increase new places in non government schools.  In foreign policy, Australia's stature as a middle power has increased the range of our international activities and the weight of our responsibilities.  Our aid program which is concentrated in South East Asia and the South Pacific, contributes to stability in our region. ANZUS and the wider western alliance are central to our foreign policy, and Australia has a significant part to play.  We have a proud record of contributing to peace-keeping in world trouble spots most recently in Sinai, and we give active support to responsible disarmament measures. We have worked through the Commonwealth, especially in the  Commonwealth Meetings and helping bring peace to Zimbabwe.  Australia's voice is heard with respect in the Commonwealth and around the world. Some units of our armed forces are stationed at Butterworth in Malaysia. The Mirages now based there are being phased out, and subject to discussions with the Government of Malaysia, we will replace them with a squadron of our new FA/18 fighter planes.  This illustrates our practical support for the Five Power Defense Arrangements and symbolizes our cooperation with countries in our region. Under this Government, Australia has become a vital link in the interlocking security arrangements safeguarding the free world.  One great danger of world recession is that countries will raise trade barriers against each other. In these circumstances, an experienced government with a personal knowledge of other countries can do much to protect Australia's interests. For example, in 1974 Australia was totally excluded from the Japanese meat market. Negotiations on new trade agreements between Japan and the United States are currently proceeding. We will make sure that Australia's interests are protected.  Through all the years the Labor Party has taken a negative approach to the Commonwealth, our alliances, our role in speaking against aggression, and our efforts to liberalize world trade. In that approach there is no security for Australia.  In this election the choice is clear.  Is Australia to work in a common cause for recovery, or will it support those who want to break the wages pause? Australia wants a government which will work with union leaders, not a Labor Government which will work for the unions and increased union power.  This Government will strengthen our alliances - a Labor Government would undermine our defense arrangements. Australia wants a government which will maintain the security and stability of our institutions at a time when we most need them, not a Labor Government which through its recently amended Platform is now committed to challenging those institutions and turning Australia into a republic.  Australia must have a government of prudent managers with stability, and a vision of the future, not the spend, spend, spend philosophy of Labor. No-one wants a return to the chaos and insecurity of the Whitlam years. The first act was enough without waiting for the second.  We must make recovery certain for Australia. This nation is too great to be shackled by Labor's divisiveness and irrelevance. We are building for the future, we are creating Australia. We do not underestimate the difficulties but we know our policies will make this a better land. And we can take pride that it is the Government team that has put these policies together, in areas of major innovation-John Carrick in the water resources program; Ralph Hunt, developing the great program for roads; Andrew Peacock, proposing major innovations in industry; Ian Macphee, conciliator, negotiator but a person who can act from firmness and real conviction, proposing major innovations in industrial relations.  We are building Australia with our policies. We are building Australia with our vision. We are building Australia with the determination of Australians. We are not waiting for the World.  BUDGET COST OF NEW INITIATIVES AND PROPOSALS ANNOUNCED IN POLICY SPEECH AND DOCUMENTS  1983 policy speech  SUPPLEMENTARY STATEMENTS  ECONOMIC POLICIES FOR RECOVERY  AUSTRALIA'S ECONOMIC POSITION  The Government's economic policies are based on:  - an effective anti-inflationary strategy which recognizes the importance of monetary, fiscal and other policy elements.  - encouragement of the growth of industries and the development of resources.  - directing of priorities towards an economic environment which fosters sound economic growth and increased employment.  These policies have had much to do with the economy's ability to sustain a remarkably strong rate of growth during the early stages of the present severe worldwide recession. Strong business investment, a high level of consumer confidence and a rate of inflation that was lower than most of our major trading partners underpinned a growth rate of 4.1 per cent in GNP in 1981, compared with an average growth of only 0.7 per cent in the OECD countries. The protracted nature of the overseas recession made it inevitable that Australia would ultimately feel its impact. Over 1982 activity continued to be weak in all of the major industrial countries, and there was an average drop of  1 / 2  per cent in gross national product of countries in the OECD area. In the seven major OECD economies, industrial production dropped by 4 1 / 2  per cent in real terms in 1982 and unemployment rose everywhere. In North America, there were twelve million unemployed at the end of 1982, in the European countries of the OECD, 16 million.  The ultimate effects on the Australian economy of this strong world downturn were magnified by two domestic factors:  - probably the worst drought in a century.  - the lagged effect of two years of sharply increasing wage costs.  About 80 per cent of the farms in the eastern mainland States are drought affected and real gross farm product could decline in 1982-83 by about 20 per cent. Because of subdued farm prices and rising wage costs, the decline in farm incomes in real terms could be as much as 50 per cent. This sharp fall in income is already affecting rural service industries, rural supply manufacturers and rural employment. However, the effects of a decline in export income from meat and wheat have yet to be felt.  The sharpness of recent labor cost rises can be seen in the fact that over the two years to the September quarter of 1982, average weekly earnings for male employees increased by 29.7 per cent, whereas in the same period the Consumer Price Index increased by 22.4 and manufacturing output prices by only 18.1 per cent.  It is no accident that the unemployment rate has risen sharply with this increase in real labor costs and with the resulting decrease in business profits.  Nor is it an accident that Australia's inflation performance has moved from being better than the OECD average two years ago to now being much worse.  Two years ago, the average rate of inflation in the OECD area was about 13.6 per cent. It is now down to around 7 per cent while Australia's is about 11 per cent.  It is vital to Australia's economic recovery and to its ability to take full advantage of a resumption of world economic growth that our industries become competitive with those overseas.  The link between rising wages, falling company profitability and rising unemployment, is clear and unmistakable.  THE GOVERNMENT'S WAGE PAUSE INITIATIVE  The Government's wage pause initiative recognized the severe squeeze on profits which had occurred over the previous two years and was designed to protect the job security of Australians. The public sector savings from the pause were directed towards employment-related activities. The Government believes that the great majority of the 90 per cent or more of the labor force who have jobs are prepared to sacrifice the prospect of a wage increase to try to help those who do not have jobs or whose job security might be threatened.  There has obviously been recognition by the average Australian worker of the need for wage moderation and widespread community support for the Government's program to slow wage costs, restore business profitability and expend Government savings from the wage pause to help both the young and adult unemployed.  The program has been endorsed by State Governments of all political persuasions, by the Arbitration Commission and by a very widespread section of the community.  REFORM OF THE FINANCIAL SYSTEM  The Government commissioned an Inquiry into the Australian Financial System early in 1979 with a view to improving the efficiency and flexibility of the Australian financial system. In its final Report the Campbell Committee recommended that such objectives would best be achieved by a less regulated, more competitive financial system, with greater freedom of entry, subject to the maintenance of prudential standards necessary for the continuation of investor confidence in the stability of the system as a whole, and banks in particular. Before and after the release of the Campbell Committee Report, the Government has taken a number of important steps with the intention of increasing the flexibility of bank operations and thus their relative competitiveness. Other measures taken include:  - introduction of a tender system of marketing Treasury Notes and Bonds which has provided more flexibility in the marketing arrangements for Commonwealth securities.  - removal of the limits on the amount that could be invested overseas in equity and real estate and other measures to ease exchange controls on overseas transactions.  - action to reduce government involvement in the financial system, including the endorsement of the proposed private industry-based deposit insurance scheme for permanent building societies, and the decision to sell the assets and business of the Housing Loans Insurance Corporation to the private sector.  In January 1983 the Government announced that it would allow the initial entry of around ten banks into the Australian banking system. The Government believes this decision will have major implications for the efficiency and competitiveness of the financial system yielding benefits for all bank customers.  INCENTIVES AND ASSISTANCE  In the last Budget, and immediately before, the Government sought to provide as much assistance, relief and incentive as it responsibly could to those who have been caused real hardship by economic circumstances.  - Personal taxation cuts, which came into effect last November, have provided some immediate assistance to every PAYEE taxpayer.  - People who are buying their own homes have been receiving taxation rebates on their mortgage interest payments.  - Family allowances have been increased by 50 per cent for first and second children.  - Together these Budget measures have put up to $20 per week into the pockets of qualifying wage earners.  - Home-buyers have been additionally assisted by an improved home savings grant scheme, an undertaking by nationally operating banks to provide an additional $400 million for new housing loans and an agreement by savings banks to develop low start mortgages. These measures are also giving a boost to the housing industry.  - The manufacturing, mining and rural industries have been helped by other measures: more generous depreciation provisions, a continuation of the industrial research and development scheme, and a significant strengthening of the export marketing scheme.  - Small businesses have been especially assisted by another increase in the retention allowance for private companies. Since this Government took office the retention allowance has been increased from 50 per cent to 80 per cent.  - Total outlays for industry assistance and development this year are budgeted to exceed one billion dollars. The severe drought has major implications for all of us. The Government has provided generous assistance to those worst affected by the drought.  TAXATION  The Government's taxation objectives are two-fold:  - keeping taxes as low as responsible economic management and community needs will allow.  - distributing the burden of taxation as fairly as possible, with particular concern for low income families.  This Government has shown by its record a very great concern for the fairness of the taxation system and the effects of the taxation system on personal incentives. Although the overall taxation burden in Australia is relatively low compared with the average among the industrial countries, our system relies more than others on direct personal taxation as a source of revenue. The Government has taken appropriate opportunities where circumstances have allowed to gradually move away from over reliance on personal tax and to alter the taxation mix in a way which is fair to all taxpayers.  No government has worked harder than this one at stamping out tax avoidance and tax evasion, in order to make the tax system as fair as possible.  - This Government drafted and introduced new general anti-avoidance legislation which has rapidly ended the promotion of artificial tax avoidance schemes.  - Taxation penalties have been stiffened criminal penalties.  - Legislation has been brought in to recover tax evaded from earlier bottom of the harbor strips of untaxed company profits.  - Legislation has been amended in order to crack down on international profit shifting arrangements.  - Taxation penalties have been stiffened for offences such as abuse of deferral and dispute provisions.  - The cash economy is now being attacked by introducing a system of tax withholding at source of income for payments for labor and services in certain industries where evasion poses particular problems.  ECONOMIC PROSPECTS  The average Australian recognizes that world economic health is a pre-requisite to economic growth and prosperity in Australia. Given responsible economic policies, Australia can expect to again see its economy grow and the living standards of its citizens rise. No-one should succumb to the temptation of believing that there is some easy road to economic buoyancy, some magical way of creating money that doesn't come out of taxpayers pockets to spend our way to recovery. Sustainable recovery will need a continuation of the sort of responsible management this Government has on record. In recent months there have been some encouraging signs on a number of fronts:  - Interest rates have been coming down rapidly; rates on Government securities have come down by 4 or 5 per cent in the last half year, home mortgage rates and smaller overdraft rates are down by 1 per cent and prime bank lending rates have fallen by over 3 per cent.  - The Balance of Payments is improving; in December Australia's trade deficit was smaller than for nineteen months and there was an overall balance of payments surplus for the fourth consecutive month. Overseas investors have been continuing to show their confidence in Australia through strong capital inflow.  - Lending for housing has been increasing rapidly; in November the number of housing loans approved by savings banks was 32 per cent higher than a year ago.  - Capital expenditure by governments has been stepped up.  EMPLOYMENT POLICY  The Government is committed to:  - assisting people in gaining employment through realistic manpower, training and retraining programs.  - ensuring that growth is not impeded by the lack of skills or training.  - promoting the growth of job opportunities for the unemployed.  Important initiatives have been introduced. These have been directed towards developing work skills so that people are better equipped to participate in the labor market. Others have been directed towards providing employment opportunities of a substantive and worthwhile nature, rather than "make work" schemes of little lasting value.  - Manpower and Training Programs have been upgraded with expenditure rising by over 20 per cent to $250 million in 1982/83 enabling over 250,000 Australians to be assisted. Initiatives in 1982/83 include:  - the increase in subsidies under work experience programs for young people  (SYETP).  - the extension of SYETP to include young people employed by State Governments.  - the extension of work experience programs to adults who have been unemployed for some time.  - the increase in CRAFT rebates for apprentices to take account of inflation and to offer an extra incentive to employers to take on more apprentices.  - the expansion in trade based pre-employment courses for apprentices.  - the increased expenditure on Youth Affairs Programs including the Community Youth Support Scheme (CYSS).  - The savings of $300 million in the Commonwealth Budget resulting from the Wages Pause are now being distributed to the States for employment-related programs. Under the $300 million Wage Pause Program:  - $100 million is being spent on welfare housing.  - $100 million will be spent on projects to assist unemployed youth.  - $100 million will be spent on projects for the older unemployed and others disadvantages in employment including Aboriginal, migrants and the disabled.  Thirty thousand persons will be directly assisted through the employment projects of the Wage Pause Program in 1983 and many more will be assisted indirectly through expenditure in supporting industries.  - The Commonwealth Employment Service is being upgraded:  - the national Job Bank computer system is being introduced progressively to enable a more efficient employment service.  - the CES office modernization program is being continued.  - 484 additional staff are being, hired to improve and extend employment services, particularly for mature age job-seekers and the long-term unemployed Aboriginal, migrants and youth.  - $2 million is to be spent on studies on the problems of the long-term unemployed, to be coordinated by the Bureau of Labor Market Research. We will continue to act with foresight and compassion.  We will introduce an additional $50 million employment program to help young people.  Accordingly, we intend to involve young people in a $20 million program in Reforestation and Conservation projects around Australia. With the conservation projects we envisage that they might range from soil conservation to the restoration of historic buildings and documents which are part of our national heritage.  We also intend to help young people who are currently not catered for adequately by present programs, either Commonwealth or State, in a $30 million program. In particular, we will be looking to initiate projects which will help those who are presently disadvantaged in the labor market including young women, Aboriginal and people disabled, physically, intellectually or linguistically.  In developing these projects, we intend to consult State governments, Local government and voluntary agencies.  In recognizing the particular difficulties of Aboriginal in the labor market, we intend, under this new program, to provide the National Aboriginal Employment Development Committee with funds to assist in its efforts to establish a better data base and to increase the effectiveness of their efforts to promote Aboriginal employment.  INDUSTRIAL RELATIONS  No government has done more to reform the Conciliation and Arbitration Act. Measures have been introduced to make union leaders more accountable to their members, to protect the rights of individuals to join or not join a union, and to overcome some of the difficulties arising from the involvement’s of State and Federal jurisdictions in the same dispute. Most recently, the law was changed to place officials of trade unions and employer organizations on the same basis as company directors regarding the discharge of their duties. These amendments followed the findings of the Royal Commissioner into the Builders Laborer’s Federation and the Federated Ship Painters and Dockers Union.  CONSULTATIVE PROCESSES.  The Government has created tripartite bodies involving trade unions, employers and Government on subjects of vital importance to industry and industrial relations.  The National Labor Consultative Council which is chaired by the Minister for Employment and Industrial relations deals with a wide range of matters including subjects such as occupational health and safety, equality of opportunity in  employment, action in respect of discrimination, and assistance for people disadvantaged in the employment market.  The National Training Council is another important body of this nature giving advice to the Minister on the entire range of training requirements.  Through the forum of the NLCC, the ACTU has accepted its responsibility for the prevention and settlement of demarcation disputes. The Government is in the process of refining the procedures for the resolution of such disputes where the ACTU is unsuccessful in doing so. These discussions will be completed as a matter of very high priority.  The Government has been vigilant in intervening in major industrial hearings to ensure that the public interest is strongly put and taken into account by industrial tribunals.  The Government has consistently consulted the ACTU and the major employer organizations prior to the preparation of each Budget and last July began what it intends to be a pattern of tripartite consultation with the ACTU and the Confederation of Australian Industry. Those discussions were conducted in a most positive and non-partisan atmosphere and had a substantial impact on Government thinking during the preparation of the Budget.  The Government will continue to seek consensus on matters of economic and social importance.  On 7 December 1982 the Government chaired a conference of State and Northern Territory Governments on the principle of a wage and salary pause. As a result, unique consensus was reached between the eight Governments of Australia, regardless of party politics. This was translated into action by a combination of legislation and submissions to Federal and State Tribunals.  Guidelines adopted both by the Federal Government in its legislation, and Arbitrate Tribunals ensured that all employees would be treated equally, and allowed to complete the current community wage round before being subject to the pause.  ENHANCEMENT OF LEGISLATIVE POWERS.  The Government intends to continue to try to find consensus with the ACTU as it has done with the State governments and with the employers.  However, no government can tolerate strikes or other industrial action in the provision of essential goods or services to the general public. Tyranny of the militant few at the cost of the majority can not be tolerated.  Interstate disputes in nationally significant industries can lead to the standing down of thousands of wage earners at the behest of greedy key workers. In those circumstances the viability of industry and commerce and the provision of a range of health and welfare services can be seriously threatened. Strategic industrial action in the oil, power, transport and pharmaceutical manufacturing industries provide ready examples of such situations.  State governments possess the power to enact essential services legislation. So do national governments throughout the world. But the industrial relations power vested in the Commonwealth by the Constitution is too limited to allow the Federal Government to validly enact such legislation. The Government will therefore seek, by way of referendum, an enlargement of its industrial relations power to enable it to legislate in order to protect the public from the abuse of union action in the provision of essential services. We would also seek to provide, under emergency services legislation, a capacity to arrange expeditiously secret ballots in respect of strikes which give rise to national crises.  Such powers would only be used as a last resort and it is to be hoped that the mere existence of the power would deter unions from abusing the privilege which society has conferred upon them. In seeking additional powers, the Government particularly wishes to confer upon the Conciliation and Arbitration Commission the capacity to enable it to secure compliance with awards which it makes or agreements which it ratifies.  Currently those awards and agreements have the status of law but compliance under their own terms can only be gained by legal proceedings before the Federal Court.  The Government has consistently sought to reform the law and administration of the Conciliation and Arbitration system to protect the rights of individuals and to make accountable to those individuals, persons who are elected to hold office in trade unions and employer organizations. Systems for the election of union officials by secret ballot have been established and after several years experience of the workings of those systems we believe it to be in the best interests of the Australian community that the rules of all trade unions and employer organizations should require officials to be elected by a secret ballot of all members of each organization under the supervision and control of the Industrial Registrar and the Electoral Commissioner. We believe it to be in the public interest to adopt this measure and for the Government to pay for the conduct of secret ballots.  HARNESSING OUR RESOURCES  RESOURCES AND ENERGY  Australia has firmly established itself under this Government as one of the world's greatest exporters of mineral and energy resources.  This has brought immense benefits to Australians, and the Government is convinced that continued development of the national resources base is essential to national economic growth and continued improvement in the standard of living of Australians.  The Government is committed to encouraging private enterprise to take the primary role in development of resources and to working in co-operation, not confrontation, with the States.  It has put in place policies which have a proven and internationally enviable record for:  - securing the major part of domestic energy needs.  - stimulating exploration and development in existing resource industries.  - opening up new exporting resource industries such as diamonds and liquid natural gas.  - encouraging greater domestic processing of our raw materials.  - bringing overseas investment, under proven and accepted guidelines, to "unlock" our resources while at the same time maximizing the opportunities for investment by Australians.  - ensuring that Australians receive the maximum benefits from the development of their resources.  - responding promptly to world economic pressures to maintain resources activity.  Although the resources industry has naturally been badly affected by the world recession, considerable optimism remains both in Australia and overseas about our future development prospects.  The important task now is to ensure that responsible economic and budgetary policies are continued so that our resource industries remain competitive and have the capacity to respond rapidly to any upturn in economic activity overseas.  ENERGY.  Australians must not be led to believe that the current surplus in international oil markets has removed the longer term need for a soundly-based energy policy. Australia is rich in energy resources. Proper management of those resources can ensure that we overcome the problems posed by our limited known reserve of oil and fulfil our obligations to those countries which are less well-endowed in energy resources than Australia.  This Government has pursued four fundamental goals:  - to conserve petroleum fuels to the maximum.  - to convert from oil to other energy sources (e.g. gas, electricity, coal).  - to explore vigorously for oil and gas.  - to develop the production of synthetic fuels (e.g. oil from coal and shale, ethanol from biomes, methanol and fuels from renewable sources).  OIL.  Central to the Government's energy policy is the pricing of domestic crude oil through the import parity pricing arrangements at prices comparable to what Australians would have to pay for imported supplies. That policy has encouraged increased oil exploration and development. Since it was implemented, more oil has been found than has been used, with the result that Australia's proven oil and condensate reserves are now about 500 million barrels greater than they were at June 1977. Realistic pricing of crude oil and petroleum products has also resulted in increased conservation and substitutions to other forms of energy.  This combination of discovery and conservation and the substitution of natural gas and coal-based electricity for oil in many applications has improved the outlook for self-sufficiency in liquid products. Whereas in 1979 it was estimated that, without new discoveries, Australia's degree of self-sufficiency would fall to 65% in 1985 and to 42% in 1990, it was now estimated that already discovered oil and condensate reserves will enable Australia to achieve a self-sufficiency level of about 75% in 1985 and about 47% in 1992.  There are good prospects that additional discoveries from the exploration program now under way will extend the period of relatively high self-sufficiency into the 1990s.  Under import parity pricing, Australian oil prices rise or fall in parallel with the Saudi Arabian market-price. Adjustments have customarily been made on 1 January and 1 July each year. However, to reinforce the wage pause, if the cost of imported oil falls, the Government has indicated that it will take immediate, steps to ensure that such cost reductions are passed on to the consumer.  GAS.  The Government will continue to support the development of LPG as a premium fuel particularly for automotive use. The LPG subsidy of $80 a ton has been extended to 27 March 1984 and will be sympathetically reviewed before then; this subsidy is of particular benefit to country users who do not have access to natural gas.  ELECTRICITY.  We will continue to co-operate with the States in infrastructure financing for the increased development of electricity generation capacity to meet heavier demands. Growth in power generation in this decade will be greater than in any two previous decades.  In view of the financing tasks ahead, the Government has taken steps to allow State Electricity Authorities to be freed of normal Loan Council borrowing controls.  In reporting on its studies into the possibility of a South-East Australian electricity grid, the Zeilder Committee noted that an inter-connection between South Australia and Victoria was a high priority for further study.  Discussions on this proposal have commenced and the Commonwealth will be supporting a feasibility study into this interconnection so that early progress can be made.  ENERGY RESEARCH AND DEVELOPMENT.  The Government will continue to expand energy research and development through existing agencies, particularly in the field of renewable energy sources.  URANIUM.  The Government recognizes that many countries will be compelled to develop nuclear power generation in order to meet their energy needs. Australia will supply uranium for peaceful purposes under the strictest safeguards, including the monitoring of materials and the disposal of radioactive wastes.  SYNROC.  SYNROC is a very promising material designed by Professor E. Ringwood, of the Australian National University, for the isolation of nuclear wastes from the environment.  Experimental work suggests SYNROC could be superior to the technique of disposal in borosilicate glass currently in use in Europe.  The Government has committed $1.036 million to research on SYNROC, principally at ANU and the Australian Atomic Energy Commission.  In addition $1.009 million has been made available in 1982/83 to enable the Australian Atomic Energy Commission to build a non-radioactive pilot plant to assess the commercial feasibility of the process.  URANIUM ENRICHMENT.  Consistent with its policy of encouraging upgrading of raw materials to the maximum extent possible prior to export, the Government has facilitated a study by the Uranium Enrichment Group of Australia (UEGA)- a group of major Australian companies - to assess the feasibility of establishing a commercial uranium enrichment industry in Australia.  The Government has recently accepted recommendations by UEGA relating to the choice of technology and the suitability of possible sites near Brisbane and Adelaide for an enrichment plant. UEGA has selected URENCO-CENTEC technology as the most suitable for a detailed engineering feasibility study, but before proceeding with that study is undertaking a survey of the market for enrichment in conjunction with URENCOCENTEC.  As enrichment is a sensitive nuclear technology involving international obligations, the Government will pay close attention to nuclear non-proliferation and safeguards aspects.  MANUFACTURING INDUSTRY  The Australian economy is heavily dependent on its manufacturing sector for recovery from the recession and subsequent growth. However, manufacturing industry is undergoing major changes throughout the world. If Australia is not part of this change then this country will become an industrial backwater. Policies which resist change will shackle Australia with an inefficient no-growth manufacturing sector. This can only do irreparable harm to investment and employment in both manufacturing and Australia.  sympathetically reviewed before then; this subsidy is of particular benefit to country users who do not have access to natural gas.  Electricity  We will continue to cooperate with the States in infrastructure financing for the increased development of electricity generation capacity to meet heavier demands. Growth in power generation in this decade will be greater than in any two previous decades.  In view of the financing tasks ahead, the Government hag taken steps to allow State Electricity Authorities to be freed of normal Loan Council borrowing controls.  In reporting on its studies into the possibility of a SouthEast Australian electricity grid, the Zeilder Committee noted that an interconnection between South Australia and Victoria was a high priority for further study.  Discussions on this proposal have commenced and the Commonwealth will be supporting a feasibility study into this interconnection so that early progress can be made  Energy Research and Development  The Government will continue to expand energy research and development through existing agencies, particularly in the field of renewable energy sources.  Uranium  The Government recognises that many countries will be compelled to develop nuclear power generation in order to meet their energy needs. Australia will supply uranium for peaceful purposes under the strictest safeguards, including the monitoring of materials and the disposal of radioactive wastes.  Synroc  SYNROC is a very promising material designed by Professor E. Ringwood, of the Australian National University, for the isolation of nuclear wastes from the environment.  Experimental work suggests SYNROC could be superior to the technique of  34  disposal in borosilicate glass currently in use in Europe.  The Government has committed $1.036 million to research on SYNROC, principally at ANU and the Australian Atomic Energy Commission.  In addition. $1.009 million has been made available in 1982/83 to enable the Australian Atomic Energy Commission to build a non radioactive pilot plant to assess the commercial feasibility of the process.  Uranium Enrichment  Consistent with its policy of encouraging upgrading of raw materials to the maximum extent possible prior to export, the Government has facilitated a study by the Uranium Enrichment Group of Australia (UEGA) a group of major Australian companies to assess the feasibility of establishing a commercial uranium enrichment industry in Australia.  The Government has recently accepted recommendations by UEGA relating to the choice of technology and the suitability of possible sites near Brisbane and Adelaide for an enrichment plant. UEGA has selected URENCOCENTEC technology as the most suitable for a detailed engineering feasibility study, but before proceeding with that study is undertaking a survey of the market for enrichment in conjunction with URENCOCENTEC.  As enrichment is a sensitive nuclear technology involving international obligations, the Government will pay close attention to nuclear nonproliferation and safeguards aspects.  MANUFACTURING INDUSTRY  The Australian economy is heavily dependent on its manufacturing sector for recovery from the recession and subsequent growth. However, manufacturing industry is undergoing major changes throughout the world. If Australia is not part of this change then this country will become an industrial backwater. Policies which resist change will shackle Australia with an inefficient nogrowth manufacturing sector This can only do irreparable harm to investment and employment in both manufacturing and Australia.  The Government's policies have focused on providing a BALANCED and PREDICTABLE framework for manufacturing industry, with specific policies directed at:  • Providing traditional industries such as automotive, textiles, clothing and footwear industries with firm programs for planning their future investment and employment. These programs recognize the importance of these industries in Australia.  • Encouraging expansion in new or existing industries which have high growth potential.  THE APPROACH REQUIRED  The Government’s aim in its general industry policy has been:  - To provide through general economic policy, and particularly the wages pause, the means to restore competitiveness of Australian industry. It is excessive wage increases which are the main cause of the downturn in manufacturing. The Governments initiatives are the only way to ensure that manufacturing industry will emerge from the current recession soundly placed to take advantage of future opportunities.  • To provide general incentives which put Australian companies en equal footing with those overseas.  • To provide specific programs for significant industries so that they can plan their future investment with some certainty.  • To protect Australian industry from unfair trading practices by overseas competitors.  • To minimize the effect of high protection for some industries on the competitiveness and employment opportunities of other industries.  Over the last year the Government has acted to upgrade its industry assistance policies:  • ON 19 JULY 1982 the Government announced a package of measures including:  - Vastly improved depreciation provisions for plant and equipment to allow the full cost to be written off over a significantly shorter period. Continuation of the 18 per cent investment allowance 2 1 / 2 % percent depreciation on new non residential income producing buildings.  - Continuation of the Australian Industrial Research and Development Incentives Schemes (AIRDIS). The Schaeme had been significantly upgraded and extended in July 1981 Upgrading of the export Market Development Grants Scheme.  • IN THE 1982/83 BUDGET a further range of measures was introduced including:  - Taxation of company groups to allow losses by one company in a group to be offset against profits of others in the group.  - Dividend rebate at the standard tax rate for Australian residents on up to $ 1000 of dividend income.  - A further increase in the undistributed profit retention allowance from 70 to 80 per cent.  - Employee share issue schemes which meet prescribed guidelines were to be made  exempt from income tax.  • ON 7 DECEMBER 1982 the Government announced measures which will provide general preference of 20 per cent margin for Australian goods in Government purchases; Upgrade the operation of the Anti-Dumping Act, via:  An 80 per cent increase in the number of Customs staff handling dumping  complaints.  A target of 120 days for completing processing of forms dumping complaints; ensuring dumping decisions would no longer be subject to challenge through the ADJR or be subject to the GATT Code.  Re-examination of Developing Country preferences.  Streamlining of temporary assistance mechanism via appointment of extra staff  suspending the requirement that temporary assistance cannot be granted or continued without prior inquiry and report by the IAC.  Boosting the cash flow of industry by reducing the carry over on export and Industrial Research and Development incentive payments and speeding up the payment of all Commonwealth accounts.  Requesting the Commonwealth Development Bank to increase lending for working capital for small businesses. Increasing borrowing program of the Australian Industry Development Corporation by $25 million.  The Government has moved to give temporary assistance to major areas of the steel industry to weather the current recession, and until a longer term program can be formulated. This assistance covers guaranteed market shares or bounties to a wide range of steels.  The Government has also provided bounties to increase the sales of Australian made room air conditioners.  NEW INITIATIVES.  In our next term in Government we intend to build on these general industry assistance measures. The Government will introduce positive and practical proposals to accelerate the development of new high technology industries; application of appropriate advanced technology in existing industries.  Australian entrepreneurs and research institutions are very good at producing innovative proposals. The problem has been translating these ideas onto the factory floor. Existing institutions and approaches have not provided a national link between the innovators and the sources of venture capital. The Government's role must be to create the framework for a national link and act as catalyst for action by the private sector.  1. THE ADVANCED TECHNOLOGY CORPORATION.  The Government will assist in the establishment of a new organization called the Advanced Technology Corporation (ADTEC), geared to developing proposals for innovative product and process development in Australia. The objectives will be to encourage the commercial development of new and more advanced products, especially those generated by small and medium size operations.  ADTEC will operate under a Board consisting of representatives of the private sector and Government. The Corporation will have three key responsibilities:  - Assessment of proposals and act as the link with venture capital and management expertise.  - A Product Development section to assist innovators and investors to locate product development facilities, and to monitor the availability and appropriateness of such facilities in Australia.  - A Market Intelligence unit to assist innovators to gain access to market research and market information services.  To ensure that the Corporation operates on commercial lines, the Board will call for tenders to manage its operations under contract for a specified period.  The Financial Co-ordination unit of the Corporation will, through the Board, license individual companies to develop particular ventures. The license will entitle the shareholders in these companies to receive a substantial tax deduction for the amount of the capital contributed. Full guidelines for  the tax deduction are being finalized. The aggregate value of licenses which the  Corporation may grant will initially be set at $100 million.  ADTEC will assist innovators to sub-contract out product development work.  Initially ADTEC will utilize existing facilities in areas such as the Institutes of Technology, CSIRO, AMDEL, and the Universities. However, if these facilities  prove inadequate the Government will take steps to expand product development  capacity.  ADTEC will also have "shop front" operations in most State capitals to maximize the access of entrepreneurs to the Corporation. The market intelligence branch will act as the initial point of contact by entrepreneurs or companies with proposals and collate and disseminate information on the availability of product development facilities, finance sources and market advice.  2. SPECIFIC ACTION ON MICROELECTRONICS  Information technology applications are the highest growth area of manufacturing worldwide. The Government will finance a study which identifies the areas where Australia has the greatest opportunities. This study wit be timed to be available at the same time as the Government will be considering the IAC’s final report on ADP equipment.  3. PILOT PROGRAM ON MICROELECTRONICS APPLICATIONS  The Application of microprocessors to production methods is currently revolutionizing manufacturing industry overseas. The Committee of Inquiry into Technological Change in Australia noted that microelectronics is the new technology likely to have he most immediate widespread effect. The Government will initiate a three year pilot microelectronics applications awareness program within industry support agencies and tertiary education establishments. These centers will demonstrate and advise on the application of microelectronics to new and improved products and processes as well as management information systems.  4. PRIORITIES OF FOREIGN INVESTMENT REVIEW BOARD  To ensure that Australia maximizes opportunity as to acquire the latest technology, the Foreign Investment Review Board will be directed to place more emphasis on technology acquisition. The local equity guidelines will be relaxed when applicants can show that they will be widening the technological base of Australia through introducing new technology and creating export markets in these fields (e.g. export franchises).  5. PREFERENCE TO AUSTRALIAN INDUSTRY  The Government already has a very effective “Buy Australian” Policy in high technology areas through it’s offset policy and the preference given to Australian products in general.  The Government now proposes to introduce further measures in this area by:  • Making a 10 per cent advance on all purchases by Government Departments of Australian  manufactured products in order to provide an immediate boost to cash flow in businesses.  • Requesting the States to join with the Commonwealth to in the adoption of a uniform Preference Policy for all Federal and State Government purchases.  • Requiring that purchases for National Security projects will be sourced in Australia where possible.  • Advising industry impending requirements of Government purchases (over $500 000) at  the pre-specification stage.  6. EXPORT PROMOTION  At a time when the outlook for the world trading situation is as bleak as it has been at any time in the last fifty years Australian leadership in trade remains vital.  Access to our major markets will require skilled and firm negotiation by experienced negotiators if we are to secure the expansion in trade that is so vital for this country.  The initiatives the Government has taken in relation to world trade, and particularly the commitment to arrest the spread of protectionist forces have been commended by leaders of major trading countries. This Government on the basis of its past record and proven determination, has the ability to command the necessary respect so that these policies can be pursued.  TO ENCOURAGE EXPORTERS AND PARTICULARLY MANUFACTURING EXPORTERS TO SEARCH OUT NEW MARKETS PARTICULARLY IN THE MIDDLE EAST AND NEW ZEALAND, THE GOVERNMENT WILL PROVIDE ASSISTANCE RISING TO $50 MILLION A YEAR OVER THE NEXT THREE YEARS TO GIVE THE NECESSARY SUPPORT TO AUSTRALIAN MANUFACTURERS AND EXPORTERS.  This extra support will encompass revised export incentives, a vigorous program of fairs, exhibitions and trade publicity, and a further strengthening of the Trade Commissioner Service. Details will be announced after full consultations have been held with the appropriate manufacturing, primary and exporting associations.  CONTRACTING GOVERNMENT WORK TO PRIVATE SECTOR.  A traditional problem in Australia has been that Government institutions have dominated industry research. The Government is determined that the private sector develops greater research capacity. To achieve this the Government will be contracting out to industry a greater amount of the Government's research and development work.  SMALL BUSINESS  Small businesses are the backbone of the private enterprise system in Australia and are the dominant source of new employment opportunities. They also play a fundamental role in the development of smaller communities.  The Government recognizes that restoring the fundamental health of the economy is the single most important contribution to assisting small business. The Government's wages pause initiative, backed by responsible fiscal and monetary policies, will play a vital role in restoring the profitability of small businesses over the next three years.  Small businesses will also benefit from general industry assistance measures which the Government has taken in the last year.  UNDERSTANDING SMALL BUSINESS.  The diversity of small business needs special understanding.  To overcome this the Government established a Small Business Advisory Council in 1978 which acts as a valuable link between Government and small business.  The Council is to prepare a comprehensive report on small business in Australia which will draw together all available data on small business.  In addition, the Bureau of Industry Economics has devoted a, substantial effort to upgrading research and information about small business in Australia.  With the help of these two bodies and others including the Council of Small  Business Organizations of Australia, the Government has identified a number of issues of particular concern to small business and has taken positive steps to address them.  TAXATION.  Small firms rely to a significant extent on internally generated funds for growth and development.  Since assuming office the Government has:  - increased from 50% to 80% the proportion of after tax trading profit which a private company may retain free of undistributed profits (Division 7) tax.  - introduced a rebate on eligible dividend income up to $1000.  - abolished estate and gift duty.  The Government also introduced new superannuating provisions to encourage self-employed businessmen to make greater provision for their retirement.  The Government has now decided to introduce from 1983/84 a preferential income tax rate of 41% for small businesses with taxable incomes up to $100000 with special shading-in arrangements on incomes of up to $150000.  FINANCE.  Access to long term and equity finance has been a significant problem for many small businesses, especially those which are innovative and rapidly growing.  Through the Reserve Bank the Government has made known to the banking sector its desire that adequate finance be available for small business enterprises in Australia. The Government has supported recent decisions by Westpac and Citicorp to set up special facilities for small business.  In 1978 the Government extended the charter of the Commonwealth Development Bank and the Bank's non-rural lending is now directed almost entirely to small business undertakings. In the four years to June 1982 the Bank lent over $100 million to small businesses. In December the Government took steps to improve access to finance for small business through the Bank.  The Government wishes to further extend the capacity of the Commonwealth Development Bank to assist small businesses. It will therefore provide $25 million by way of a loan for a special division within the Commonwealth Development Bank to cater specifically for the financial needs of small business.  MANAGEMENT ASSISTANCE AND AWARENESS.  To help upgrade the level of management expertise the Government has increased its support for training and management education services available to small business. The Government will expand its efforts in this field as the opportunity arises.  We will also continue our support for the national Small Business Awards Program which we introduced in 1979. The program, which is run in association with the Confederation of Australian Industry and the Australian Chamber of Commerce, is designed to enhance public awareness of the importance of small business to the Australian community.  PROTECTION OF THE SMALL BUSINESSMAN.  Unfair competition from big businesses can be a problem for the small businessman.  The Government has legislated to protect the interests of franchisees in retail petroleum marketing and is considering whether general legislation should be introduced for the protection of franchisees.  TOURISM  Tourism is one of Australia's growth industries and will remain so throughout the 1980s.  Industry studies have forecast that tourist expenditure could increase by $1 billion by 1983, and lead to the creation of 30 000 new jobs.  GOVERNMENT ASSISTANCE TO TOURIST INDUSTRY.  The Government will join with the industry in a national effort to develop a growth strategy for the tourist industry in the 1980s. To this end, the Government will match industry's contributions, up to a maximum of $100 000, towards preparation of a national tourist strategy.  The Government will increase the funds allocated to the Australian Tourist Commission to allow it to continue its task of promoting Australia as an attractive destination for overseas travelers. The travel and tourist industry will also benefit from the Government's industry incentives package announced on 19 July 1982, including changes to the Export Market Development Grants Scheme which:  - Increased maximum grant which can be claimed by tourist operators to $200000.  - Waived the minimum expenditure rule for recognized tourism promotions.  - Allowed regional tourist associations to benefit from the Scheme Widened the definition of eligible expenditure to cover the costs of preparing tenders and quotations for approved promotional activities and certain expenses of independent overseas agents and others sampling Australian facilities.  The Government's decision to extend the depreciation allowance of 2 1 / 2  per cent to all new non-residential income producing buildings and structures commenced after 19 July 1982 will benefit the travel and tourist industry.  INFRASTRUCTURE DEVELOPMENT.  The Government has approved funds, as outlined elsewhere, for new airports. It has also approved the introduction of new lower international airfares and has designated Townsville and Adelaide as gateway airports. Domestic services discount fares have been made more competitive. In recognition of the vital importance of air transport to Tasmania the Government has provided $4.4 million in 1982/83 to subsidize passengers on the Melbourne to Hobart and Launceston air routes. $2.5 million has been allocated in 1982/83 to subsidize the Empress of Australia sea passenger service between Tasmania and the mainland.  Domestic travel will be made easier and safer as a result of the Bi-Centennial Roads Program.  SUPPORT FOR MAJOR ATTRACTIONS.  The Government has assisted the development of major attractions of national and international significance including:  - declaration of the Great Barrier Reef Marine Park and provision of $2.9 million to the Park Authority in 1982/83.  - declaration of National Parks at Kakadu and Uluru (Ayers Rock), and provision of $5.7 million in 1982/83 to the Australian National Parks and Wildlife Service which is responsible for facilities in these two parks.  - provision of $1.3 million in 1982/83 for Tasmania as part of a 7 year program for restoration and development of Port Arthur.  PRIMARY INDUSTRY  This Government recognizes the vital importance of our primary industry to the national economy. Agricultural products account for nearly half of our total export earnings. The Government continues to be committed to ensuring a strong and efficient rural sector. We have vigorously sought to improve and open new international markets for our products. We will continue to do so most forcefully at every opportunity. The Government commissioned a major report by the Balderstone Committee on Agriculture in Australia and it will draw on the recommendations in that report to formulate future policies for rural industries.  MEASURES TO DEAL WITH THE EFFECTS OF THE DROUGHT.  This Government has always stood ready to help rural industries, where and when such assistance is necessary. No better example of this can be found than in the current drought assistance measures. The Commonwealth has allocated $356 million this financial year to two specific Commonwealth measures - the Fodder and Interest Payments Subsidies.  These are in addition to drought aid available under the Natural Disaster Relief Arrangements. Overall, the drought aid measures are the most comprehensive ever introduced in Australia. They recognize the farmer's immediate needs, and his longer term requirements.  The continuing drought poses one of the most serious threats that our primary industries have ever seen. Clearly, farmers' problems will not end simply when the drought breaks.  We will therefore extend the Commonwealth Interest Payments Subsidy for one year beyond the lifting of drought declarations. This will cost an estimated $7 million in 1983/84, and will greatly assist farmers with their debt repayments in the post drought period.  We have already asked the Industries Assistance Commission to report by the end of April on how the Rural Adjustment Scheme might best be used to help farmers restructure their properties and debts in light of the drought. We will act urgently on that report to ensure adequate funding is available in the Rural Adjustment Scheme for this purpose, and ensure there are financial arrangements for assisting with planting crops including carry-on loans.  Under the Natural Disaster Relief Arrangements, we will provide an additional $12 million in 1983/84 to ensure that adequate funding is available to primary producers for restocking purposes.  We will lift Commonwealth contributions to Rural Research in 1983/84 from $22.5 million to $30 million. Research will be undertaken to help farmers reduce costs in times of drought, in areas such as drought tolerant pastures, efficient water use in irrigation and effective fertilizer practice.  Soil conservation is another area of particular concern in the drought context, and was also the subject of recommendations by the Balderstone Committee. The Government has always maintained a commitment to soil conservation through specific tax concessions to farmers and grants to the States.  We will now implement a National Soil Conservation Program, to which the Commonwealth will provide $5 million in 1983/84, rising to $15 million annually by 1987/88.  In addition to these measures, inland Australia stands to benefit greatly from the Government's recently announced National Water Resources Program, under which $640 million will be spent over the next five years.  OTHER INITIATIVES.  The Government has also taken many important initiatives in other areas of concern to the industry. We have:  - Revolved the Wool Market Support Fund.  - Placed Commonwealth funding of Wool Promotion on a three-yearly basis.  - Extended the Super phosphate and Nitrogenous Fertilizer Subsidies to 30 June 1985 and extended the bounty on phosphate to imports.  - Written off the Cattle Industry's $23.5 million debt to the Brucellosis and Tuberculosis Eradication Campaign.  - Established a Market Development Fund to further promote sheep meat sales to the Middle East.  - Upgraded industry stabilization and marketing arrangements.  - Maintained support for the live sheep export trade with greatly improved animal welfare requirements.  - Strengthened the trading powers of the Australian Meat and Livestock Corporation and the Australian Wheat Board.  The Commonwealth remains committed to the establishment of a single National  Meat Inspection Service, and will continue to work towards this end with the States.  The Commonwealth is also committed to a review of meat marketing arrangements  and will progress this on the basis of proposals by the Cattle Council of Australia, and in the light of consultations with all sectors of the industry.  We will continue to develop the Australian Fishing Zone to the benefit of the  Australian fishing industry.  The Government believes that Brucellosis and Tuberculosis must be eradicated if our livestock industries are not to be adversely affected on world markets. We will provide $56.4 million arms over the next three years to accelerate the program, and bring it to a successful conclusion.  Consistent with our policy of funding Wool Promotion on a three-yearly basis, we will lift the funding from $20 million a year to $28 million a year for the next triennium.  The Government has in place many programs to specifically help individual farmers. We introduced Income Equalization Deposits, maintained and improved many investment and depreciation allowances, and established the Primary Industry Bank of Australia. These initiatives will be maintained.  ENVIRONMENT AND CONSERVATION  The Government believes that conservation and development are interdependent. These twin objectives must be reconciled in a way which permits appropriate development to proceed while ensuring that the Australian environment is not degraded, and the living resources on which most development ultimately depends, are not placed at risk.  In co-operation with the State and Territory governments the Commonwealth Government has developed a wide range of programs of environmental protection and nature conservation.  The Government has recently passed the Wildlife Protection (Regulation of Exports and Imports) Act which will ensure that Australia's unique wildlife, both plants and animals, are protected from illegal exports, and from the risk of importing exotic species which might harm Australian native species.  We have continued to support the Australian National Parks and Wildlife Service, the Great Barrier Reef Marine Park Authority, the Australian Biological Resources Study conducted by the Bureau of Flora and Fauna, and the Australian Heritage Commission in their work of identifying, protecting and preserving Australia's natural wonders. Three volumes of the new 50 volume "Flora of Australia" have been published by the Bureau of Flora and Fauna. This is the first comprehensive study of Australia's plants to be published in over 100 years.  With assistance from the private sector, the Australian Heritage Commission has published "The Heritage of Australia", a comprehensive illustrated listing of the places included on the Commission's Registrar of the National Estate.  The Government has maintained a strong stance, both nationally and internationally, in favor of the protection of whales and other marine mammals and will continue to work for the cessation world-wide of commercial whaling.  The Government is developing, in cooperation with the States, industry and the conservation movement, a National Conservation Strategy for Australia, which will be considered by the Government later this year. We expect that this Strategy will do much to eliminate needless conflict between conservation and development.  We have initiated a National Tree Program, by which a start is being made on the task of re-establishing trees throughout those parts of Australia from which they have disappeared, through excessive clearing and other causes. Five hundred thousand dollars has been provided by the Commonwealth in 1982-83 as the first step in an on-going, co-operative, national program aimed at the Greening of Australia by 1988.  The Government has continued to apply the Environment Protection (Impact of Proposals) Act to appropriate Commonwealth projects and to major private sector projects for which Commonwealth approvals are necessary.  The Government has applied strict environmental controls over uranium mining in the Northern Territory, and has strongly supported the work of the Supervising Scientist for the Alligator Rivers Region. A new laboratory and accommodation for the office of the Supervising Scientist are being constructed at Jabiru, in the Northern Territory, at a cost of $10 million.  The Tasmanian Government's decision to dam the Franklin River to generate electricity has provoked widespread public debate throughout Australia: The Commonwealth Government fully understands the differing viewpoints on this issue. It has offered the Tasmanian Government $500 million towards the cost of building a power station using an alternative power source. The Tasmanian Government has so far rejected this offer.  Important issues concerning the rights and obligations of State Governments are involved in this matter and the Commonwealth Government's powers to intervene directly are limited. The final decision to push ahead with the construction of the dam must be a matter for the Tasmanian Government.  TRANSPORT  Transport is vital to virtually every aspect of Australia's industrial, commercial and social activities. The Government’s transport policies are directed at providing the necessary infrastructure and encouraging the safe and efficient provision of transport services.  ROADS.  In August 1982 the Government launched the Australian Bicentennial Road Development Program. In the period to 1988, $2.5 billion will be provided to the States, Northern Territory and Local Government for road construction under the program. It will create about 20000 new jobs.  To ensure that the Bicentennial Roads Program achieves its objectives, the Government will renew the ongoing funding of the Roads Grants Act when it expires in 1985. This will guarantee that we will be able to achieve our ambitious road development program. By 1988 Australia's national highway system will be dust-free and virtually flood-free.  The Government will continue to use the tender-and-contract system for road construction to ensure the best value for road dollars is obtained.  Major urban public transport projects such as the Kingston-Beenleigh and PetrieCaboolture railway electrification’s are also being assisted under the Bicentennial Roads Program. The Government is prepared to assist the States and Local Government with other worthwhile urban transport improvements, where they directly contribute to reduced road usage.  The Government will maintain the Commonwealth's extensive involvement in the promotion of greater road safety through appropriate research and publicity programs.  The Government stands ready to cooperate in the further development of the road transport industry on a sound economic basis.  RAILWAYS.  The Government has completed another major link in Australia's standard-gauge network by joining Adelaide to the main Sydney-Perth railway.  The Government will build the Darwin-Alice Springs railway by 1988 at a cost of $544 million.  This is the largest railway construction project currently being undertaken in the world. It will link Darwin to the national railway network, boost the development of the Northern Territory, and make a significant contribution to Australia's defense capability. Its construction will stimulate private industry, particularly the construction and steel industries.  The Government will provide $105 million over three years to undertake economically justified projects on rail links to major export ports.  SHIPPING.  The Government has introduced measures to revitalize Australia's shipping industry in line with the recommendations of the Crawford Committee of Inquiry. Revised taxation arrangements for Australian ship owners whose ships meet appropriate manning levels place Australian shipping on the same fiscal basis as international shipping. This initiative will provide an opportunity to Australia's shipping industry to compete on equitable terms with the ships of other nations.  The Government has expressly rejected cargo reservation in overseas trades as a means of forcing entry of Australian ships into the overseas trades.  We will continue the process of deregulation of import controls on ships in the interests of increased competition and improving the efficiency of coastal shipping.  Given the important role the Australian Shippers' Council plays in the negotiation of Australia's overseas freight rates, government assistance to the Council will be increased.  PORTS.  The Government will proceed to connect the standard-gauge railway to the ports of Melbourne, Geelong and Fisherman's Island (Qld), in consultation with the States.  The Government will also proceed to connect the standard gauge railway from Tocumwal on the NSW/Vic border to Mangalore which will ensure that there will be a standard gauge connection between the Riverina and NSW generally to the Port of Geelong.  The Government will maintain the Tasmanian Freight Equalization Scheme under the existing Nimmo concept. The Government will also introduce a system which allows industry to request reviews of the levels of assistance. Such reviews will be requested through the Minister for Transport and Construction and undertaken by the Bureau of Transport Economics.  The Government will maintain the sea passenger and freight services link with Tasmania. We will work with the Tasmanian Government to determine the most appropriate and efficient means of providing the service.  We will strengthen civil co-ordination arrangements to ensure effective surveillance of Australia's coast, particularly our northern coastline, the Great Barrier Reef and Bass Strait.  Responsibility for our coastal surveillance system will clearly rest with the Department of Transport and Construction.  We will, in co-operation with the States, provide assistance to voluntary Coastguard services, who play a vital role in our National Search and Rescue efforts.  NAVIGATION AIDS.  The Government has decided to provide adequate navigation aids in the Hydrographers Passage in the waters of the Great Barrier Reef to shorten the shipping route for the export of coal, minerals and other goods from Queensland to northbound ports. This decision will help to make our export industries from Central Queensland more competitive.  AVIATION  The Government has embarked on the most ambitious national airports and airways program in Australia's history. The program is estimated to cost $890 million providing vastly upgraded airport facilities and a significant stimulus to employment, prospects and business confidence throughout Australia.  Features of the airport development program include:  - redevelopment of Brisbane Airport (total project cost $322 million).  - construction of a new international terminal complex, parallel taxiway and operations building at Perth Airport (total cost $49.1 million).  - construction of an international terminal complex at Adelaide Airport ($11.2 million).  - provision of a new domestic terminal at Townsville and completion of works for international services ($10.93 million).  - construction of new and upgraded aviation facilities at Darwin Airport ($90 million).  - planning, design and construction of a new passenger terminal complex at Canberra Airport together with upgraded runway and taxiway systems ($50 million).  - works related to the introduction of wide body aircraft at Adelaide, Melbourne, Perth, Coolangatta, Hobart.  - completion of the upgrading of Norfolk Island Airport ($6.6 million).  - upgrading of runways at Archerfield Airport (1.2 million).  - construction of an international terminal at Hobart Airport ($1.02 million).  - upgrading of the runway at Wagga Wagga Airport to enable medium jet introduction ($1.8 million).  - major reconstruction of the runway at Launceston Airport ($1.05 million).  The aviation program also includes approximately $90 million for development works at locally owned airports and airports to be transferred to local ownership under the Aerodrome Local Ownership Plan. The Government is strongly committed to a policy which enables local communities to operate their own airports. The airport development program is supported by a program costing some $100 million for purchase of navigational, communications, air traffic control and other technical equipment.  DEREGULATION INITIATIVES FOR AUSTRALIA'S DOMESTIC AVIATION INDUSTRY.  As promised at the last election, the Government introduced a domestic aviation legislation package directed at increasing competition between Australia's two major domestic airlines, and allowing a greater degree of competition from regional operators. This legislation has now been passed by the Parliament and the benefits of increased competition between the Airlines are being passed on to the travelling public. The Commonwealth Government no longer exercises controls over cargo rates and the Independent Air Fares Committee has been set up to exercise, fare approving authority previously exercised by the Minister. The Government has also announced that an inquiry into the desirability of ultimate deregulation of domestic airlines is to be conducted.  COST RECOVERY.  The Government reaffirms its previous decision to reject the cost recovery recommendations of the General Aviation Report. The level of Air Navigation Charges for the General Aviation sector will be considered in the Budget context each year. The Government has commenced consultations with the aviation industry through the Aviation Industry Advisory Council on various aspects of cost recovery and is committed to a full review of the equity of present cost recovery practices.  COMMUNICATIONS  THE GOVERNMENT POLICY IS TO:  - IMPROVE THE ACCESS OF ALL AUSTRALIANS TO COMMUNICATIONS SERVICES.  - ENSURE ALL AUSTRALIANS GET THE BEST POSSIBLE COMMUNICATIONS SERVICES AT THE LOWEST COST.  • PROMOTE DIVERSITY AND IMPROVEMENT IN THE BROADCASTING SERVICES AVAILABLE.  • EXTEND AND IMPROVE MULTICULTURAL AND ETHNIC BROADCASTING SERVICES.  Major initiatives in the area of communications under this Government have included:  • extension of Channel 0/28.  • improving the reception of Channel 0/28.  • Aussat Pty Ltd had been established to own and manage Australia's communications satellite - contracts have been placed for the building of eight major city earth stations. The Satellite will bring radio television and telephone services to areas which do not now have services; improving satellite technology is enlarging the range of possible services.  • The remote area television program has enabled people in isolated outback areas to receive ABC television - 32 RATV translators have been established in the last two years.  • The set-help television on reception scheme has been introduced to enable small communities which would not otherwise receive a television service or those with pour reception to fund the extension of an existing service to the area at reasonable cost and with minimal delay.  • The Government has provided funds to the ABC to produce captioned programs to enable the hearing impaired to read dialogue from April 1983 in Melbourne and Sydney; an Australian Caption Center has been established ($758 000 grant). The provision of captioned programs on commercial networks has been encouraged.  • TELETEXT the Government approved UK Teletext for use in Australia, enabling the development of television information services.  • Government decisions on the Dix Review of the ABC will clarify the ABC’s role in the broadcasting system and rejuvenate it as the Australian Broadcasting Corporation.  • Radio Australia’s transmitting capacity has been boosted.  • FM Radio has been introduced with 9 ABC-FM and 22 public FM stations now operational. Grants have been made to public/community broadcasters to expand their services.  • Supplementary licenses are being made available to regional broadcasters and telecasters to improve the range of services available to their communities.  • Telecom's backlog of connections and new services has been sharply reduced there are 2000 new connections per day.  • As a result of the Governments wages freeze, Australia Post’s postage rate will not be increased in the next six months.  • The Government has also given preliminary consideration to the main thrust of the Davidson Inquiry into telecommunications and the Bradley Inquiry into Australia Post and has announced that it is committed to maintaining the essential common carrier roles of Telecom and Australia Post.  • It has also decided it will not be implementing recommendations of the Davidson Report which would change the traditional methods of paying for telecommunications services in Australia.  • IN PARTICULAR, IT HAS DECIDED NOT TO ADOPT TIMED LOCAL CALLS. THE AGED, DISABLED AND OTHERS WHO DEPEND ON A TELEPHONE AS THEIR LIFE LINE WILL BE ABLE TO CONTINUE TO USE THE TELEPHONE FOR LOCAL CALLS FOR THE COST OF A STANDARD CALL AS THEY CAN NOW.  It has also decided against implementing measures which would increase telephone rental and connection fees for people in country areas.  The Government will continue to examine the remaining recommendations of the Davidson and Bradley Inquiries.  Other recommendations of the Davidson Report and Bradley Report are still under examination. The Government had indicated that it will pay particular attention to the scope for encouraging private enterprise so that Australian will be able to take advantage of the major technological developments that are taking place in this area.  The Government has decided to introduce two new initiatives in its next term of office.  First, in order to encourage the widespread use and availability of decoders for TV closed captioning for the deaf the Government has decided to introduce a  sales tax exemption for decoders.  Second, the Government has decided to introduce a program to extend access to ABC radio to people living in certain areas which are not now able to receive an ABC service.  SCIENCE AND TECHNOLOGY  Advances in science and technology provide a major means for social development, economic growth and progress towards a better quality of life.  The Government has provided encouragement and support for developments in science and technology and the practical application of those developments. In addition to the sums spent on specific industry related research projects, the 1982/83 Budget provided for outlays of $426 million on general and scientific research carried out via such bodies as the CSIRO, Atomic Energy Commission, the Antarctic Division, and through research grants to Australian Universities and other scientific and cultural organizations.  In addition to the ongoing activities, the Government will undertake specific new initiatives in the area of biotechnology and Antarctic research.  A National Biotechnology Scheme is to be established. The scheme will fund projects to a total cost of $2.5 million this calendar year with further amounts in later years. Additional funds ($2.5 million in 1983/84) will be allocated through the Australian. Industrial Research and Development Incentives Scheme (AIRDS) for biotechnology projects.  A new Antarctic transport system is to be developed. This system will include RAAF Air Transport link from Australia to the Antarctic and an Australian-owned research vessel.  The LANDSAT Earth resources satellite receiving station is to be upgraded. This will allow data to be received from the new generations of Earth resources satellites.  WATER  The Government has decided to undertake a Bicentennial Water Resources Program, at a total cost of $640 million over  five years. This major program involves the extension of the National Water Resources Program for a further four years after its completion in 1983/84 and a new supplementary program involving $350 million in new major projects of national significance and studies of the feasibility of diverting major coastal rivers inland, in north Queensland and in the Clarence River area. This program will extend drought-proofing measures and further secure urban, industrial and agricultural water supplies. At the same time, long-term supply possibilities will be thoroughly investigated.  POLICIES FOR PEOPLE  THE FAMILY.  The family is the most fundamental and important social and cohesive force in society. The Government's concern to secure the position of families has been reflected in the range of changes to education, housing, taxation and social security and welfare programs introduced in the 1982/83 Budget. The Government has also responded to the special needs of sole parents and disabled people of all ages. Our policies emphasize compassion and fairness with an overriding concern for the dignity of the individual. The incentives for self-help and individual responsibility provided by the programs we will continue to implement over the Government's next term will provide the basis for a strong cohesive society in Australia.  EDUCATION  In 1982/83 the Government allocated almost $3800 million or 8 per cent of the Budget to education.  There has been substantial progress in education under this Government.  IN THE SCHOOLS AREA:  - Each year since 1981 more has been funded in real terms for total recurrent support of government schools than by any other Commonwealth Government. Government schools will receive recurrent funds of $304 million in 1983, a 2 per cent increase in real terms over 1982.  - Continuing recurrent support for non-government schools.  - In schools generally: smaller classes, broader curriculum; more teachers and support staff; improvements in their salaries and conditions; and a better quality and range of school buildings.  - Substantial Commonwealth capital support for schools in both sectors: in 1983 government schools will receive $143.5 million; non-government schools will receive $51.4 million.  - Expansion of educational programs for those who do not speak English.  - A major expansion of services for handicapped children.  - Assistance for education in isolated and country areas.  - Increased educational and financial accountability including income-testing of non-government schools.  IN TERTIARY EDUCATION THE GOVERNMENT HAS:  - Provided a high priority to Technical and Further Education (TAFE), leading to increased enrolments and improved flexibility. In 1983 the Commonwealth will provide:  $101 million towards TAFE recurrent costs, an increase of almost 30% in real  terms since 1976; and $117 million in 1983 for capital developments,  including $13.9 million under the National "Priority Projects scheme.  - Created an integrated Commonwealth Tertiary Education Commission to ensure a proper overview of competing post school education priorities.  - Required a restructuring in Colleges of Advanced Education as a response to reduced needs for teacher training. Amalgamations of Colleges of Advanced Education have led to improved course opportunities and choice for students.  - Encouraged the pursuit of excellence with the identification and funding of special research centers.  - Established a new National School of Management Education.  THE SCHOOL TO WORK TRANSITION PROGRAM has opened up new opportunities and given new hope to large numbers of young people. We have provided $87 million for this Program since 1980 and will spend a further $49 million in 1983. Among its achievements have been:  - Changes to Schools curriculum structures.  - Special remedial programs.  - The development of expanded vocational course opportunities through TAFE.  THE GOVERNMENT'S STUDENT ASSISTANCE PROGRAMS continue to increase access to education for many thousands of Australians. Initiatives have included:  - A more generous and more available Secondary Allowance Scheme to help families keep children in years 11 and 12.  - Progressive increases in the Tertiary Education Assistance Scheme and relaxation of the eligibility tests.  - More generous Post Graduate Awards A new Student Loans Scheme.  Our past achievements represent a base from which we will continue to build. The Government is committed to the goal of ensuring that all young people are able to receive an education which is seen to be exciting, productive and relevant. However, we are conscious that a number of young people leave school without the knowledge, attitudes, values or confidence to cope with adult life in a complex economic and social environment. We know also of widespread community concern about the quality and direction of secondary education in Australia.  Immediately therefore we will:  - Invite the States and non-government schools to join with us in fostering greater retention in secondary schools and increased participation in tertiary education.  - Provide $25 million to be matched by the States on a dollar-for-dollar basis for a program of identification and counseling of those at risk in our schools. The program will seek to provide advice and information so that students, their parents and their teachers can make sensible and informed choices. It will also address the questions of what is taught and how it is presented.  - We will invite the Commonwealth Schools Commission to identify further means of increasing retention in secondary education and to make appropriate adaptations in their ongoing programs.  - The Commonwealth Tertiary Education Commission will be invited to advise its Report for the 1985-1987 triennium, on the adequacy of available places in tertiary education, if our objective of increased participation in tertiary education is to be achieved.  As a matter of principle and equity, we reaffirm our commitment to basic support  for all children wherever they go to school. We will also provide extra support to schools based on demonstrated need. All Australian school children will continue to attract Commonwealth educational support.  - Our contribution to the general cost of running government schools will increase by a further 2 per cent in real terms in 1984.  - New procedures agreed with the States will make clear the major and continuing contribution of the Commonwealth to government school building programs across Australia.  - Continue to provide a basic grant on behalf of every child in a non-government school equal to 20 per cent of the cost of educating a child in a government school.  - Non-government schools with demonstrated financial needs will continue to receive extra funding support up to a further 20 per cent of the cost of educating a child in a government school.  - Extend for a further three years the non government school capital new places program at a cost of $35 million.  - Develop the newly introduced student loans scheme as an additional support to the longer established schemes of student assistance.  The Government believes that all young people should have access to higher educational opportunities. To this end, the Government is unequivocally committed not to introduce fees for students who are undertaking their first tertiary qualification or "end on" courses of instruction which entail the acquisition of two identifiable qualifications as part of a recognized integrated course of instruction.  As Australia approaches the Bicentenary of European settlement the Government will look to addressing a new generation of problems:  - First, recognizing the rate and impact of technological change, the Commonwealth will seek agreement with the States to share the cost of a five year Bicentennial program to promote the use of computers in all Australian schools with an annual Commonwealth contribution of $20 million.  - Second, responding to aboriginal representations we will provide 100 new awards annually for five years commencing in 1984 to allow mature age aboriginal to train as teachers. The awards will provide a special allowance, to encourage mature aboriginal to undertake and complete full-time teacher education studies.  These initiatives added to educational achievements of the past seven years will ensure that there is available to Australia's children and young adults the range of courses, educational institutions- and qualified teachers, necessary to provide our next generation with the skills and knowledge for the 21st century.  HOUSING  The housing industry is now emerging from a difficult period during which interest rates around the world rose to record levels.  The Government recognizes that home ownership is a unique aspect of Australian family life. Around 70 per cent of Australians own their own home compared with 50 per cent in the UK and 62 per cent in Canada.  With this in mind, the Government has reacted quickly and effectively to ease the impact of high interest rates on home owners and stimulate activity in the industry.  A comprehensive housing package was presented in March 1982 and this was enhanced in the 1982/83 Budget. Further measures have followed since the Budget.  These initiatives have fallen in four main areas:  1. HOME LOAN INTEREST REBATE.  All people paying off their own home can now claim a tax rebate of 30c in the dollar on interest over 10% on the first $60000 of a loan for buildings or extensions of principal residence. First home buyers can claim rebates up to a maximum of $700 in interest where this confers a larger rebate.  2. HOME DEPOSITS ASSISTANCE.  The Government decided to replace the Home Savings Grant Scheme with a Home Deposit Assistance Scheme in March 1982.  Home Deposit Assistance Grants are payable, subject to a family income test, to assist with the purchase or construction of a first home. A maximum basic grant of $2500 is payable in respect of savings held for two years ending on the contract date. In addition to the basic grant, the Scheme provides for a family bonus of $500 for families with one dependent child and $1000 for families with two or more dependent children.  The new scheme provides significant improvements over the old home savings grants scheme including:  - an increase in the basic maximum grant from $200 to $2500.  - relaxation of savings conditions.  - abolition of the house value limit.  - abolition of the nine month waiting period.  3. AGREEMENTS WITH THE MAJOR BANKS.  Australia's major banks made commitments to the Government in March  1982 that they would increase their home lending by $400 million in the year ending March 1983. That commitment has since been extended to March 1984 and the banks have indicated to the Government that they would attempt to increase home lending further if conditions in the financial markets permitted. The major banks have also given commitments to improve the flexibility in repayment periods for certain new home loans and develop special arrangements designed to assist first home buyers including facilities such as low start mortgages.  4. WELFARE HOUSING.  The Government allocated $333 million for welfare housing programs in the States in the 1982/83 Budget. State Governments were also permitted to nominate additional funds for welfare housing from their normal Loan Council programs. In December 1982, the Government was able to allocate a further $100 million for welfare housing programs from budget savings made possible by its wages pause initiative. As a result, over $1000 million will now be available for welfare housing in the current year. Other important initiatives in the housing area have included:  - a doubling in the amount spent on Family Crisis Accommodation.  - a commitment to a Mortgage and Rental Relief scheme under which the Commonwealth would provide up to $60 million in matching grants with the States.  - a 100 per cent increase in the supplementary rental allowance payable to pensioners since 1980.  HEALTH  Government policies aim to:  - ensure all Australians have access to good quality health care.  - maintain the right of choice while ensuring those individuals who can afford it contribute to their own health care.  - ensure health insurance is available to all at a reasonable cost.  - provide special assistance for those in need including pensioners, the chronically ill and the disadvantaged.  - encourage the States to accept full responsibility for their own health care systems.  - promote care within the community rather than in hospitals.  - promote preventive health measures.  The changes to health financing and the health insurance introduced by the Government have contributed to a more efficient and responsive health care system. Individuals have been encouraged to take responsibility for their own health care needs directly or through health insurance. Providers of health services have been given more incentives for excellence and efficiency. To encourage a broadly based system of health insurance, the Government introduced a tax rebate at standard rate for the cost of basic hospital and medical insurance with registered health funds. In 1982/83 tax rebates provided are estimated to exceed $500 million.  The Government's new arrangements have concentrated assistance on those moss in need:  - 20% of Australians have free health care.  - eligible pensioners and the socially disadvantaged have free access to public hospitals.  - the Government also pays medical benefits for eligible pensioners and their dependants; migrants and refugees within their first six months in Australia; unemployed and special beneficiaries who meet the Pensioner Health Benefit Income test; and other people who meet a specified income test.  - Commonwealth has also taken over full responsibility for payment of nursing home benefits for all qualified people at a cost of over $534 million in 1982/83.  In the 1982/83 Budget the Government:  - increased the limits on non-pension income from November 1982 for Pensioner Health Benefits Cardholders to $54 a week single and $90 a week married.  - introduced new patient contribution arrangements under the Pharmaceutical Benefits Scheme to assist an additional 1.3.million Australians with a new reduced rate.  HOSPITALS AND RELATED FACILITIES.  The Government accepted the Jamison Commission's recommendations aimed at reducing duplication and waste within the public hospital system. The inefficient system of the divided responsibility for financing and managing hospitals and related services was brought to an end. State Governments now have full responsibility to determine their own priorities and to adapt their services to the needs of people in their States.  The Government recognizes the important part the private hospitals have in health care. It is totally committed to ensuring the viability and preservation of private hospitals, both charitable and private enterprise. To this end the subsidy for surgical patients in private hospitals was increased to $28 per day in 1981.  MEDICAL RESEARCH.  Medical research has been substantially strengthened, with $33.2 million in grants in 1983, compared with $5.7 million in 1975.  The Government proposes to increase its contribution to medical research through the National Health and Medical Research Council by increments of $3 million per annum over the next three years, thus increasing the total outlay in 1983 dollars by $9 million to $42.2 million in 1986.  POSITIVE HEALTH MEASURES.  The importance of preventive health measures, health education and promotion has been recognized through:  - the national dietary survey.  - support for programs to assist industry in combating problems of alcoholism.  - action on cigarette labeling.  - national health promotion programs.  The Government proposes to increase health education, to encourage Australians to adopt healthier lifestyles involving better nutrition, more exercise and sound preventive health measures. We want to maintain and improve our standards of health care, but we also want to save more of our people from the effects of unnecessary illness.  QUARANTINE.  Australia's quarantine system is among the best in the world. It has been strengthened during our period of Government through a number of measures, including:  - the construction of the National High Security Human Quarantine Unit at Fairfield Hospital.  - the extension and upgrading of animal quarantine facilities in a four year program with new quarantine stations costing $13 million.  - a public awareness program costing $2.3 million over three years.  - upgrading of civil coastal surveillance.  ASSISTANCE IN REMOTE AREAS.  The Isolated Patients Travel and Accommodation Assistance Scheme was introduced in 1978 to assist people in remote areas to obtain specialist advice.  SOCIAL SECURITY AND WELFARE  The Government has continued to initiate improvements in the area of social security and welfare and to direct increased resources to assist the aged and disabled and economically and socially disadvantaged groups.  Total social security and welfare expenditure has risen from $5 billion in 1975/76 to an estimated $14 billion in the 1982/83 Budget.  Major reforms have included:  HELP FOR FAMILIES  - family allowances have been increased by 50% since 1980.  - a family income supplement is to be introduced in May to help low income working families with children.  - extended support for the Family Support Service Scheme.  - a crisis accommodation program for families in distress.  CHILD CARE.  - increased funding for child care under the Children's Services Program by almost 47 per cent in 1982.  - increased funding for child care services to Women's Refuges by 85 per cent.  PENSIONS AND BENEFITS.  - the means test on pensions has been replaced by an income test.  - most pensions and benefits are now indexed twice yearly.  - income limits have been increased for entitlement to a full rate of pension and fringe benefits.  - the unemployment and sickness benefit income test has been substantially liberalized.  - an increase of 100 per cent since 1980 in the rate of supplementary assistance which is paid to some pensioners and beneficiaries to assist them with their renting of accommodation.  - the mothers/guardians allowance has been increased.  - support has been extended to lone fathers.  HELP FOR THE AGED.  As well as the improvements to the age pension system already mentioned:  - in November 1982 a special tax rebate of $250 for pensioners was introduced, the basic tax threshold was increased and tax rates were reduced. This relieved many pensioners from the burden of paying extra tax and substantially reduced tax liability for others.  - increased funding under the Aged and Disabled Persons Accommodation Program by more than 46% to $83 million in 1982/83. Funding in 1983/84 will be $87 million. As a result of this increase more than 300 new projects have been approved so far this year for funding in 1982/83 or 1983/84, providing over 4000 new places in accommodation and 13 day care centers. This is in addition to more than 90 000 places in accommodation provided since 1954 when the current program was introduced.  - there has been an increase of 100% since 1980 in personal care subsidy for the frail aged (now $30 per week).  HELP FOR DISABLED PEOPLE.  In addition to adjustments to the pension and benefit system already mentioned:  - the introduction in April 1983 of a mobility allowance for disabled people unable to use public transport who work or undertake training.  - a pilot Attendant Care Scheme in NSW to test that method of providing additional assistance with independent living to disabled Australians.  - new arrangements from 1 January 1983 which assist those invalid pensioners who wish to re-enter the workforce.  - extension of eligibility criteria for people receiving treatment under the Commonwealth Rehabilitation Service to provide for social as well as vocational rehabilitation.  - introduction of a new Rehabilitation Training Allowance in March 1983.  - increased incentive allowances and fringe benefits limits for single invalid pensioners undertaking training in activity therapy and adult training centers.  - increased expenditure under the Handicapped Persons Assistance Act. More than $74 million will be spent in 1982/83 and a further $89 million in 1983/84.  - Handicapped Child's Allowance was increased in 1982 to $85 per month.  In addition to the measures set out in the main policy speech, the Government will introduce the following specific initiatives in its next term of office.  1. FOR THE AGED.  (A) OFFICE OF THE AGED.  A measure of the human quality of any society is the compassion and concern it shows for its aged. After a thorough review of all our programs for aged care we propose to establish an Office of Care for the Aged, which would concentrate our attention on this vital area of concern to all our citizens.  Through it we would place more emphasis on helping the aged to remain independent, for as long as possible, at the same time providing the most appropriate form of care when it becomes essential. We would also encourage voluntary support from families, friends and the community in manner which will enhance the self respect and dignity of our elderly citizens.  The location of the Office of Care for the Aged will be determined after consultation with relevant organizations.  (B) INCREASING THE INCOME LIMITS FOR ALL PENSIONER FRINGE BENEFITS.  - a single pensioner will be able to earn an additional $16 a week taking the total amount to $70 a week before he/she loses entitlement to Pensioner Health Benefit card and associated fringe benefits.  - likewise, a married pensioner couple will be able to earn an additional $25 combined income per week, increasing the total amount to $115 a week before it affects their entitlement to a Pensioner Health Benefit card and associated fringe benefits.  (C) OTHER SERVICES.  - The Government will take action to provide better information for pensioners on the effect of their private financial position on pension and fringe benefit entitlement. Because of our concern in this area we are currently working in close association with the Australian Council on the Aging (ACOTA) to produce a special information booklet for pensioners on the provision of better financial advice for pensioners.  The maximum capital subsidy per bed will be increased under the aged, disabled and handicapped accommodation programs.  2. FOR UNEMPLOYED PEOPLE.  To provide incentives for unemployed people to improve their own position and obtain work experience by undertaking casual work, from May 1983 the Government will double the free area for the unemployment and sickness benefit income test (from $10 to $20 a week) and increase the upper limit for the 50 per cent taper from $60 to $70.  We will at the same time also increase the rate of unemployment benefit for people aged 18 and over without dependants to $68.65 per week, half the married rate.  3. FOR DISABLED PEOPLE.  Disabled people want to have their own voice in the community - to speak on their own behalf. We will support the development of this capacity by ensuring funding over three years to help establish Disabled Persons International as a voice for the disabled.  The Government will examine the Florence Agreement in conjunction with ACROD and Disabled Persons International, to see whether a phased introduction in Australia is appropriate as it relates to disabled people.  4. FOR YOUTH.  The Government has a continuing commitment to work with the States to ease the problems of homeless youth, and we are determined to maintain our commitment in this area.  5. FOR CHILDREN.  The Government will also introduce forward commitments to child care capital grants and provide a commitment of $7.5 million in 1983/84 for the funding of new projects under the Children's Services Program.  The Government will continue its child care policies, which complement the activities of State and local governments and voluntary organizations. Our interest in this area is reflected by the 47% increase in funding provided in the 1982/83 Budget.  The Government has now decided to provide an additional $7.5 million for the expansion of the children services program. This will enable the establishment of at least 150 new child care projects next financial year.  6. HOUSING.  We have taken effective action to increase the assistance available to home buyers and people renting accommodation by:  - a new tax rebate for mortgage interest payments, and a tax rebate scheme for first home buyers.  - a new Home Deposit Assistance Scheme and an increased allocation of money for grants under the old Home Savings Grant and the new scheme ($147 million in 1982/83).  - a Mortgage and Rent Relief Scheme providing $20 million in 1982/83 for relief for families facing difficulties with mortgage and rent payments.  - We have increased the allocation of funds to the States under the CSHA to $333 million. The States can also obtain additional money for welfare housing on favorable terms through Loan Council borrowings. In addition, the Government has earmarked $100 million saved by the wages pause for welfare housing. This means that over $1000 million is being spent on welfare housing in the current year- the highest figure since 1975/76.  VETERANS' AFFAIRS  The Government has demonstrated its concern for the needs of ex-servicemen and  women over its term of office:  - major pensions have been indexed, extra help has been provided for the more seriously disabled.  - access to fringe benefits has been increased by liberalizing eligibility for the Pensioner Health Benefit Card.  - service pensions have been made available for Allied Veterans of all wars.  In our next term we will:  - maintain separate administrative arrangements for Veterans' Affairs.  - retain the Government's firm commitment to maintain the Repatriation hospital system.  - examine anomalies in the "theatre of war" definition to eliminate restrictions on service pension eligibility for those who served in Australia in some areas not presently included in the definition.  - complete a review of Repatriation law without delay, to simplify the provisions and include them in one Act applying consistently to all veterans while preserving existing rights.  - maintain the Vietnam Veterans Counseling Service and examine its extension to non metropolitan areas.  - conduct a pilot study on extended care home support systems for veterans.  - initiate discussions with the RSL for the extension of a domestic support scheme for aged veterans through its auspices with a view to the motivation of young employed people to take up this work.  - continue to review Repatriation benefits and entitlements including Defense Service Homes loans.  - maintain the tax-exempt status of disability compensation and war widows' pensions.  ABORIGINAL AFFAIRS  The Government's policies for Aboriginal Australians aim to:  - encourage Aboriginal self-management and support Aboriginal initiative and enterprise.  - provide Aboriginal with equal access to all services provided by all levels of Government.  - provide additional assistance to reduce the special disadvantages from which Aboriginal in many cases still suffer.  PAST ACHIEVEMENTS.  In support of those objectives the Government established the Aboriginal Development Commission which provides funding for Aboriginal housing and supports Aboriginal enterprises and the purchase and development of land.  The National Aboriginal Conference has been established, a fully elected body of  Aboriginal from throughout Australia whose National Executive acts as an advisor to the Government on all aspects of Aboriginal Affairs.  The Government has supported specialist Aboriginal medical and legal services which provide essential services to Aboriginal, especially those remote from or unable to use existing general community services.  It has, also provided substantial funds to Aboriginal Hostels Ltd., a company which provides a range of accommodation for Aboriginal requiring temporary accommodation.  The Government has also given special attention to increasing Aboriginal employment opportunities and has sought to improve Aboriginal education and training.  In its next term of office the Government will seek to build on those policies, continuing to support programs which will reduce Aboriginal disadvantage in areas such as health, housing, education, employment and legal aid.  NEW POLICIES.  1. FRINGE DWELLERS/EXCISIONS.  The Government recognizes the special needs of Aboriginal fringe dwellers or town campers identified by the House of Representatives Standing Committee on Aboriginal Affairs in its report "Strategies to Help Overcome the Problems of Aboriginal Town Camps". It therefore has decided to extend the responsibilities of Aboriginal Hostels Limited to allow it to plan for the shelter and housing of town campers.  The Government will also develop a program to assist those Aboriginal currently living on pastoral properties in the Northern Territory who will be eligible for excisions under proposals agreed to by the Commonwealth and Territory Governments.  2. ABORIGINAL SPORTS ASSISTANCE.  In recognition of the need to provide opportunities for Aboriginal fulfillment and achievement in other fields the government is expanding the level of support for Aboriginal sports assistance throughout Australia.  A series of initiatives developed from advice from the National Aboriginal Conference will be implemented to encourage Aboriginal sportsmen and women to achieve excellence, to increase community participation in sports, and to develop and upgrade sporting facilities which can be used by Aboriginal communities.  3. ABORIGINAL CULTURAL HERITAGE.  Aboriginal people attach great importance to their art and cultural traditions. The Government is increasing its efforts in assisting Aboriginal to preserve their cultural heritage in consultation with the National Aboriginal Conference and other relevant organizations in this field. The Government will seek to develop initiatives in several areas, including:  - the identification, preservation and display of Aboriginal art, artifacts and significant natural sites.  - the dissemination of information on Aboriginal culture and tradition.  - the performance of Aboriginal traditional art.  - increased employment opportunities in areas where Aboriginal can be responsible for preserving and explaining their own culture and heritage.  4. ASSISTANCE TO LOCAL GOVERNMENT.  In recognition of the increasing importance of the local government role in meeting the needs of their Aboriginal citizens the Government will therefore provide direct grants to local government to assist in projects and programs on a cooperative basis.  5. TASK FORCES FOR TRAINING ABORIGINAL.  There are today over 900 independent Aboriginal organizations providing community and other assistance to Aboriginal throughout Australia.  In order to assist the work of these independent bodies, the Government has decided to fund the creation of a number of Task Forces which will combine the skills of relevant institutions to provide training for financial, administrative, health and field officers from medical and legal organizations working in a diverse range of Aboriginal communities.  Wherever possible, the Task Forces will use the skills of Aboriginal people with the necessary qualifications and experience.  YOUNG PEOPLE  The Government has upgraded the Office of Youth Affairs, to ensure that the process of government is more accessible and responsive to the aspirations of young Australians. We are anxious that the views of young people are fully taken account of in the development of Government policies and programs.  The Government is committed to seeing that International Youth Year 1985 is not  simply a symbolic commemoration of Australian youth and that the year is used to examine questions underlying the role and potential of young people and the issues which concern them.  A Commonwealth grant of $100 000 is enabling the Youth Affairs Council of Australia to consult the entire range of Government and voluntary youth organizations on youth-related issues. It is expected that this process will be completed by April and recommendations put to a meeting of Federal and State Youth Affairs Ministers in time for pre-budget discussions.  The Government has demonstrated its concern for the adverse effects that a difficult labor market has on youth. Our programs relating to school-to-work transition, work experience and apprenticeship have all been upgraded.  Funding for Youth Affairs Programs (including CYSS) have been increased by 25 per cent in 1982/83. $100 million has been earmarked in the Wage Pause program for employment projects to assist youth.  We are committed to helping homeless youth. $7.6 million of the $10 million 3 year program to help homeless youth has already been committed to 65 projects. In addition in 1982/83 we allocated $300 000 for a pilot project to assist non-government organizations in providing for young homeless people receiving unemployment benefits.  WOMEN  The Government's policy is to ensure that Australian women have equal opportunity, equality of status in society, and freedom from discrimination in every way.  It has established the National Women's Advisory Council, which provides wide-ranging advice to the Government on matters affecting women. The Council consists of twelve members appointed from all parts of Australia and is widely representative of Australian women.  In addition, the Office of the Status of Women co-ordinates Government policies relating to women.  The Government has announced its intention to introduce legislation during the next Parliamentary Session to prohibit discrimination on grounds of sex in Commonwealth employment while in the Australian Capital Territory the prohibitions will extend to education, housing and access to goods and services.  It has established as a target in job creation programs funded by the Commonwealth that 50 per cent of the jobs created should go to women and girls.  THE ARTS  The Government's objective is to promote excellence in the creative and performing arts.  It has continued to support the Australia Council, the International Cultural Corporation and Artbank, and through their wide ranging activities an increasing number of Australians has been able to participate in and enjoy the Arts.  The Government has increased its funding of NIDA - the National Institute of Dramatic Art, and is building a new home for NIDA on the campus of the University of New South Wales.  It has completed the Australian National Gallery which was opened by HM the Queen in October 1982, and is providing $27 million over the next five years for the acquisition of great works of art by the time of the Bicentenary in 1988.  The Tax Incentives Scheme, whereby the value of gifts of works of art and other cultural property given to public institutions is deductible from income tax has been made permanent.  The Australian film industry receives strong support from the Government. It has continued to fund the Australian Film Commission and Film Australia, and has introduced a tax incentives scheme which has been instrumental in ensuring that private investment in Australian films is maintained at a high level. The Government recently agreed to modify the scheme to make it even more attractive to Australian investors; by providing that a film for which a tax deduction was claimed might be made during a two year period, rather than in 12 months as has previously been the case.  The Government is also proceeding with the construction of a new building for the Australian Film and Television School near Macquarie University in Sydney.  The Government will establish a national touring and access fund by advancing $1 million to the Australia Council for the purposes of showing the best artistic achievements to Australians in all States. The main flagship companies and works of art will be shown in all States and assistance will be provided to State-based theatre, music and other groups to tour in country areas. City based groups will receive assistance to perform in outer suburbs.  HERITAGE.  The Government's aim is to ensure that Australia's cultural and natural heritage is identified and safeguarded. It recognizes that this is a responsibility which it shares with the States; its policy is to work closely with the States and to provide national leadership where appropriate.  It has continued to support the Australian Heritage Commissioner, the National Estate Grants program and the National Trust. $12.75 million has been provided for these during the last three years.  It has actively supported the World Heritage Convention; five properties nominated by the Government are now on the World Heritage List - The Great Barrier Reef, Kakadu National Park, the Willandra Lakes, Lord Howe Island, and South-West Tasmania.  The Government will provide $50 million over five years to assist the Tasmanian Government to develop South-West Tasmania as a Wilderness Park of world class.  Substantial areas of the Great Barrier Reef have been declared as part of the Great Barrier Reef Marine Park which is now the largest Marine Park in the world.  The Government has decided to accelerate the work of the Great Barrier Reef Marine Park Authority, in order that the rest of the Great Barrier Reef might be added to the Marine Park within three years. The Government is also concerned that Australia's cultural heritage is preserved and made available to the Australian people. It has established the Museum of Australia: building extensions and is significantly upgrading of the collections and displays at the Australian War Memorial; and commenced construction of a new National Archives headquarters building in Canberra. Major extensions to the National Library of Australia are also under way. The Government has also announced its support for a program of national and international activities to celebrate Australia's Bicentenary in 1988, and will provide an estimated $166 million for this purpose over the next five years. It has established the National Australia Day Committee, which has over the last few years significantly increased the interest of Australians in Australia Day, through a wide-ranging program of events conducted throughout the nation in co-operation with the State Australia Day Committees.  SPORT  Australians justifiably take pride in their sporting achievements, and the Government recognizes that it has a responsibility to assist Australian athletes to attain the highest standard of performance. The Government has sought to do this via:  - Introduction of a Sports Development Program which has assisted the national organization of 76 sports in the areas of administration, coaching and international competition.  - Development of the National Athlete Award Scheme under which world ranked athletes and teams receive assistance for training and competition.  - Establishment of the National Committee on Sport and Recreation for the Disabled and provision of funds to encourage disabled people to participate in sport and recreation.  - Financial support for the Commonwealth Games Association and the Australian Olympic Federation to help our teams prepare for and participate in these international events.  - Commitment of $25 million over three years on a dollar-for-dollar basis with the States to assist with the development of sporting facilities of international standard.  - Provision of funds to establish a national secretariat to co-ordinate the implementation of the first Australia Games in Sydney in 1984.  - Establishment of the Australian Institute of Sport in Canberra where 188 gifted Australian athletes are receiving high level coaching in one of the eight resident sports.  Consistent with its policy of encouraging private sector involvement in community activities, the Government has decided to replace the successful National Athlete Award Scheme with a Sports Aid Foundation which will be established outside of Government and run by a group of able people from the business community. The Foundation will receive Government support of $0.5 million in each of its first two years of operation and contributions to the Foundation by companies and private individuals will be tax deductible.  LAW REFORM  The Government is committed to continuing its already impressive list of achievements in law reform designed to help families and individuals.  INTEGRATED COURTS.  The Government believes that all Superior Courts in Australia should have jurisdiction under both Federal and States laws with a right of appeal to a new National Court of Appeal. The High Court will remain as the final court of appeal in all cases as well as constitutional cases.  The Government will support this proposal at the next Constitutional Convention and will negotiate with the States to obtain the necessary agreement to give effect to it.  SIMPLER AND LESS LEGISLATION.  The Government is disturbed at the volume and complexity of legislation which often places new and unnecessary burdens upon the people. The Attorney-General has already taken steps to obtain support for a new approach to drafting legislation and its application by the courts.  The Government will accelerate this process as far as it can and will limit the volume of its own legislation.  1. FAMILY LAW.  The Attorney-General will reintroduce a Bill to amend the Family Law Act.  One amendment will propose that a spouse who can afford to do so will be required to make more realistic payments to the other spouse entitled to support and particularly for the children.  The Government will also establish a Matrimonial Property Inquiry immediately following the election. The Inquiry will be asked to set out the ground rules for the allocation of property between husbands and wives in the event of a marriage breaking down. The Inquiry has the support of a Joint Committee of the Parliament and the Family Law Council.  2. CONSUMER EDUCATION.  The Commonwealth Government will continue to support consumer education activities in the community.  It will continue in its role as a catalyst and coordinator for consumer education activities with the States and Territories.  The Commonwealth Government has given support in principle to the establishment of a Consumer Education Foundation which would serve as a resource, research and referral center, promote greater co-operative efforts between business, government and consumer groups and advance consumer education in schools and community groups.  3. SEX DISCRIMINATION.  Legislation to prohibit discrimination on the ground of sex and marital status in any field of Commonwealth employment will be introduced. This discrimination will also be prohibited in the Australian Capital Territory in the areas of private employment, bank loans, housing loans, accommodation, insurance, partnerships and professional organizations.  The Government is proceeding with the process of ratifying the Covenant on the elimination of all forms of discrimination against women.  4. CRIMINAL INVESTIGATION BILL.  The Government will proceed in the new Parliament with the Criminal Investigation Bill. The legislation demonstrates the Government's desire to preserve and maintain civil liberties consistently with the requirements of law enforcement and stability in the community.  The Criminal Investigation Bill sets out the rights and duties of a police officer and the citizen with whom he deals in the course of investigating a Commonwealth criminal offence.  There have been many consultations and modifications to the Bill since the original Law Reform Commission Report and early in the new Parliament a new Bill taking into account the comments received will be introduced.  IMMIGRATION AND ETHNIC AFFAIRS  The Government will continue to recognize the importance of reuniting separated families, and to do its part as a responsible member of the international community to assist in the settling of refugees.  The size and composition of the immigration program will be kept under review to ensure that it continues to reflect Australia's capacity to settle migrants successfully (taking into consideration the prevailing economic circumstances).  Government programs have been directed towards giving migrants genuine equality of opportunity as full and equal members of the Australian community. To achieve this the Government has established, in partnership with ethnic groups, a range of migrant services and facilities unrivalled by any other country.  LEARNING ENGLISH.  The Government recognizes that inability to speak English is the most serious impediment to successful settlement. Over $100 million is now spent on special education programs each year. These include:  - The Adult Migrant Education Program which has been expanded fourfold over the past five years.  - A new program of advanced English courses at TAFE colleges to commence this year.  - The Child Migrant Education Program.  The Telephone Interpreter Service will be further enhanced to provide a service for all residents of Australia, wherever they may live, for the cost of a local call.  Increased emphasis will also be placed upon the recruitment of bilingual staff in the Public Service, especially into positions involving extensive public contact.  WELFARE AND SETTLEMENT SERVICES.  The Government will continue to expand its grants to ethnic community groups and voluntary agencies to fund the provision of welfare and other services such as:  - Grants-in Aid to community organizations to employ social welfare workers.  - The Migrant Project Subsidy Scheme to help ethnic groups develop facilities and services.  ETHNIC MEDIA.  Australian society has been enriched by the diversity of cultures presented through the multicultural television network, Channel 0/28.  - The Government is committed to expand this service throughout Australia during the next three years.  - It will take steps to enhance ethnic radio services after considering submissions from the public later this year.  AUSTRALIAN CITIZENSHIP.  The Government believes that Australian citizenship is the cornerstone of Australia's national identity.  - The Australian Citizenship Act will be amended to eliminate discriminatory elements and to enhance the status of citizenship.  - New procedures are being instituted to ensure applications are processed quickly.  RECIPROCAL AGREEMENTS ON SOCIAL SECURITY.  The Government has indicated its willingness to enter into negotiations with migrant source countries that have a common interest in establishing reciprocal social security agreements. Such negotiations would aim to establish where it was possible to conclude agreements of mutual benefit to Australia and these other countries. Reciprocal social security agreements are the usual method countries use to protect the pension rights of people moving from one country to another.  GRANT-IN-AID.  The Government has decided to provide a $50 000 grant-in-aid to the Federation of Ethnic Community Councils.  A STRONG AND SECURE AUSTRALIA  FOREIGN AFFAIRS  In recent years Australia's stature as a Middle Power has increased significantly the range of our international activities and the weight of our responsibilities.  The Government's policies have added strength to Australia's bonds with the Western Alliance - countries with which we share deeply rooted concepts of freedom and personal liberty.  Australia's alignment with the West, however, has not affected the strengthening of links with the developing countries of our own and other regions. Indeed, it has been a positive help in enabling us to act as a bridge between the developed and developing countries.  The Government recognizes that Australia's political and strategic environment is shaped by its location in the Asia/Pacific region. This region has developed great economic significance, including as it does the economic vitality of Japan, South Korea and ASEAN, the vast populations of China and India, and the huge areas of the Indian and Pacific Oceans with their island communities.  Vital trading links with major trading partners such as Japan are being sustained and further developed. It is also necessary to strengthen understanding with the developing countries in our region and increase their capacity for economic growth and stability; at the same time Australia must be part of a basic security system which will safeguard its interest in the face of Soviet pressures.  The Government has adopted a forward looking foreign policy, and today Australia's voice is listened to with respect in the Western Alliance, the Commonwealth, the Third World, in China and Japan, and in regional forums such as ASEAN and the South Pacific Forum and the United Nations.  Government Policy aims to:  - Ensure the security, independence and continued prosperity of Australia.  - Seek resolution of the problems preventing the achievement of lasting world peace.  - Support our allies, and at the same time, play a role in seeking moderation and conciliation in world affairs.  - Advance the social and political values upon which Australian society is founded, in particular individual freedom, opportunity and prosperity.  - Promote international initiatives designed to boost economic growth and improve economic relationships between the developed and developing world.  THE WESTERN ALLIANCE.  The ANZUS Treaty and Australia's ties with the wider Western Alliance remain central to our foreign policy and a vital link in the interlocking security arrangements safeguarding the free world.  The burden of maintaining peace and protecting democracy, however, is now beyond the capacity of any single country to shoulder alone. Accordingly, our policies provide for:  - The Five Power Defense arrangements with Malaysia, Singapore, New Zealand and the United Kingdom.  - Joint facilities in Australia.  - Joint exercises with Allies.  - Access to our ports by allied ships.  - The B-52 Agreement.  - Defense cooperation programs with ASEAN countries and the South Pacific.  All these activities are now important parts of the complex net of arrangements which make up the strategic strength of the free world.  The ANZUS Treaty is the anchor to the southern end of the West's line of defense in Asia and the Pacific.  Together with the other members of the Western Alliance the Australian Government has strongly opposed the Soviet Union's:  - Invasion and occupation of Afghanistan.  - Military support for Vietnam.  - Growing forces particularly naval, in the Asia Pacific Region.  - Initial probes in the South Pacific.  PEACEKEEPING AND DISARMAMENT.  Australia has a long and proud record of contributing to peacekeeping in world trouble spots such as Korea, Kashmir, Cyprus and the Middle East.  Australia also contributed to the Commonwealth cease-fire monitoring force in the Rhodesian (Zimbabwe) election and, if requested to do so, will contribute to a United Nations force arising out of an agreement on the Namibian problem.  The failure of United Nations machinery - due particularly to obstruction by the Soviet Union - has forced free world countries, including Australia, to go outside the United Nations for alternative peacekeeping arrangements. With the Sinai Multinational Peacekeeping Force the choice was stark - alternative peacekeeping operations or the risk of no peace at all.  Withdrawal of Australia's contingent would sabotage the single most important step in the process of achieving peace in the Middle East and be against the expressed wishes of the people of both Israel and Egypt.  Australia has given consistent support to responsible disarmament measures. Australia is an active member of the International Committee on Disarmament (CD), and was an active participant in the 1982 United Nations Special Session on Disarmament.  Australia believes that to be effective, any disarmament agreement must contain proper verification and compliance measures.  To validate the Australian Government's uranium export policy stringent and comprehensive nuclear safeguards agreements for the export of Australian uranium have now been negotiated with the United States, United Kingdom, France, Canada, Sweden, Finland, Euratom, Japan, South Korea and the Philippines.  AUSTRALIAN AID.  Concentrated in South East Asia and the South Pacific Australia's aid program contributes directly to the peace, stability and prosperity of our region.  Australia will provide some $A727.2 million in development assistance in 1982/83.  The Government accepts that Australia has a special responsibility to respond to the needs of the people and governments of the South Pacific. A new aid program to the South Pacific of $A300 million over 5 years (excluding aid to Papua New Guinea) has been introduced.  A significant feature of Australia's aid to ASEAN countries is the expansion of regional technical and economic cooperation programs.  Many Australian companies, and private consultants from a wide range of professions work with the aid program. Other initiatives taken to provide greater opportunities for Australian business participation in the aid program include:  - introduction of Australian content preference in aid purchases.  - extension of Development Import Finance Facility to all aid recipients except PNG.  - co-financing with the World Bank, using Australian goods and services.  Last year 90 per cent of Australian Bilateral Aid was spent on Australian goods and services.  $A24 million has been provided in humanitarian assistance to Cambodia and tax deductibility extended to donations to non-government overseas aid organizations.  An agricultural research center (ACIAR) has also been established in Australia to meet the needs of the developing countries.  REGIONAL INTERESTS.  Australia's close links with the Western Alliance have not adversely affected the strengthening of our ties with the developing countries of our region and the third world generally.  Australia's independent but close links with the United States and other developed countries have been viewed positively by the third world, enabling us to play a useful bridging role between the third world and the developed countries.  South East Asia and the South Pacific continue to be regions of central importance to Australia:  - Vital trade and communication lines traverse the region.  - Both are areas of strategic importance to us.  - Their security situation directly affects us.  - Australia's economic interests(particularly in ASEAN) are substantial and growing.  Australia is an important member of the South Pacific Forum and annually attends the post-ASEAN foreign Ministers' meeting.  The Commonwealth, embracing about a quarter of the world's population, remains an important and constructive force for affecting relations between developed and developing countries.  - Australia, working through the Commonwealth made a major contribution to the constitutional settlement in Zimbabwe.  - Australia hosted CHOGM in 1981 in Melbourne.  - An Australian proposal led to the holding of Commonwealth Heads of Government Regional Meetings (Sydney 1978, New Delhi 1980, Fiji 1982).  A comprehensive balanced view of the role Australia can play in the world is essential. The Government has had to work hard to earn Australia's high international reputation as a responsible and respected voice. But this reputation can so easily be undermined.  Australia's ability to defend its interests and influence events in our favor depends critically on our demonstrated capacity to honor our word and basic commitments.  DEFENSE  The Government is committed to ensure the security of Australia through a well-equipped and adequately trained Australian Defense. Force (ADF) maintaining close cooperation within our region and with our more distant allies to foster peace and stability. The 1982/83 Budget provides $4622 million for defense - about 2.9% of GDP. Up from 2.6% in 1975/76 with a target of 3% by 1984/85. Outlays on capital equipment in 1982/83 are estimated at about $690 million, an  increase of 40% on 1981/82. Obligations in later years are estimated at $4011 million.  In the current 5 year Defense Plan the permanent force will reach 76600. In June 1982 it numbered 73185, up from 71531 in June 1980. Reserve Force strength stood at 34000 in June 1982.  In 1982 new patrol boat bases were opened at Cairns and Darwin. A site for an additional base is under examination near Port Hedland. A new naval base is being completed at Cockburn Sound while in NSW the modernization of Garden Island is well under way.  A major new Army complex is now operating at Bonegilla, Victoria and new task force bases are under development at Enoggera, Townsville and Holsworthy.  In Northern Australia a highly specialized unit called NORFORCE has been established to increase surveillance in remote areas.  Learmonth Airbase has been upgraded and construction has begun on a new airbase at Derby in WA. Work has been completed to enable the redeployment of a Mirage Squadron to Darwin in mid 1983. Planning has also commenced to upgrade Tindal, NT as a major base for the new tactical fighter force.  $106 million is to be spent on new facilities at Williamtown, NSW as the major F/A 18 base.  Major equipment items introduced into service since 1976 include:  - Two Oberon class conventional submarines.  - 103 Leopard tanks.  - 2300 light trucks.  - 10 P3C Orion long-range maritime patrol aircraft.  - 12 C130H Hercules transport aircraft.  - Rapier low level air defense system.  - Amphibious Heavy Lift ship (HMAS Tobruk).  - Two guided-missile frigates (PFGs).  - Oceanographic ship.  - A reconnaissance capability for F111C aircraft and for F111A aircraft to cover attrition losses.  - Advanced technology weaponry including Mk48 submarine launched torpedoes and Harpoon anti-ship missiles.  - Six Fremantle class patrol boats.  RAN - A RECORD PEACETIME PROGRAM IS UNDERWAY.  - Contracts have been signed with Carrington Shipyard near Newcastle for the construction of two prototype inshore mine hunter catamarans.  - Williamstown Naval Dockyard in Victoria is to submit a proposal for the construction of new frigates.  - Guided Missile Frigates (FFGs)- HMAS Sydney was commissioned in January and HMAS Darwin will be delivered in March 1984, to join the HMAS Adelaide (1980) and HMAS Canberra (1981).  - Eight Fremantle Class patrol boats are under construction in Cairns shipyards.  - Modernization is underway on Destroyer Escorts HMAS Stuart and HMAS Derwent.  - A Fleet Underway Replenishment Ship, HMAS Success, is being built at Vickers Cockatoo Dockyard.  - Evaluation is underway on proposals for local construction of replacements for the River Class destroyer escorts.  - Additional Phalanx weapons systems have been ordered to provide fully automatic close-in defense against sea-skimming missiles of the Exocet type.  INCREASED MOBILITY AND FIREPOWER FOR THE ARMY.  - Manufacturing capability is being developed to produce heavy caliber ammunition and 105 mm light guns.  - 155 mm howitzers, gun tractors and ammunition vehicles are being procured in 1983/84.  - Project Raven - field communications equipment for the Army is being developed in Australia.  - First deliveries are being made of 1295 four ton and 940 eight ton trucks.  NEW CAPABILITIES AND TECHNOLOGIES FOR THE RAAF.  - The first of the new F/A-18 Hornet fighters to be in service in 1985.  - A further 10 P3C long-range maritime patrol aircraft are on order.  - F111C Radar Homing and Warning System is being upgraded.  - A contract has been let with the Australian Aircraft Consortium to design and develop a replacement pilot training aircraft.  - A contract has been awarded for a replacement helicopter trainer and light utility aircraft.  - The first Harpoon missiles have been delivered as part of the program for precision guided munitions for the Strike Force.  - Arrangements progressing for a follow-up production contract for the Barra Sonobuoy.  - Precision Approach Radar’s being installed in six major RAAF bases.  ANZUS remains vital to Australia's security and a key element in our cooperative effort. It is continually being reviewed and strengthened. Recent developments include the deployment of US B52s through Darwin, the offer of base porting facilities in WA, frequent visits by ships of the US Navy, and joint exercises.  Co-operation has been improved with the nations of South East Asia and the South West Pacific. Levels of training, consultations and project assistance are being increased with our regional neighbors under the Defense Cooperation Program totaling $43 million 1982/83.  INDUSTRY DEVELOPMENT  The Department of Defense Support was established last year to maximize private sector involvement in meeting the design, development and production needs of the Australian Defense Force.  The Government has decided to expand its effort in this field:  - Private sector production and research for defense purposes will be further encouraged.  - We will examine the use of spare capacity in Defense establishments to carry out contract work where possible for the private sector.  - To build up shelf stock for export and domestic consumption, the Government will spend $8 million in addition to the present Defense vote on the manufacture of a range of items of greatest expected demand.  - Access will be provided to EFIC to cover sales of defense equipment abroad so as to enhance the prospects for defense sales in our region.