US Defence & Immigration Policies; US/China Trade; OZ Energy Policy
Trump’s sudden announcement that the US intends to “immediately withdraw” troops from Syria (and much reduced troops for Afghanistan) has caused much confusion as to US defence policy and, following the resignation of Mattis as Defence Secretary, Trump has found it difficult to get a replacement. While consistent with his election manifesto, Trump appears to have recognised that he was being too hasty and it appears he has accepted the view of National Security adviser, John Bolton, that the withdrawal be extended over a longer period and that it should first involve the elimination of IS (which Trump initially claimed had been achieved). Even so, policy uncertainty remains.
Government Policies/Advocacies
Today’s media contains reports which are of serious concern in regard to the capacity of governments and political leaders to operate or propound policies which are in the interests of communities considered as an entity rather than of particular groups. These are briefly described below and, except for two, the attachments.
Interpreting the Summit
As might be expected with a meeting which lacked definitive agreements, the media (and other commentarists) containmuch speculation today about what has happened and what might now happen. The general reaction seems to be that, while NK has agreed in principle to denuke, that is no different to what his father and grandfather did and it is unlikely that much will be achieved on that side. On the Trump side there are expressions of concern that too much has been conceded unnecessarily.
More on Assessing Summit, ANU Further Exposed
In yesterday’s Commentary I suggested that the immediate media responses to the Summit missed two important points – Kim is no long in a closed shell and Trump has not been given adequate praise for bringing him out. The media has improved today but remains too equivocal about the prospects because very little agreed substance has emerged so far. We are left, therefore, with judgements about whether Kim and Trump will do what they say they will –and to what extent. The most readable assessment has been made by Cameron Stewart, who is posted in the US by The Australian and is well-equipped to assess Trump and other US leaders: nobody is equipped to assess Kim, of course. I am using Stewart’s article to draw attention to the main points of concern below (see Stewart on Summit).
Energy Policy& China & Israel
Last night my wife and I attended an AIIA function to hear Rowan Callick speak about China under Xi. His analysis was truly alarming (see Callick on China). It seems that China is now run by the Communist Party even more than it was under Mao. I asked C what influence the military has on policy. He said that the previous military heads had been sacked and were replaced by those who were educated in the Communist line and this applies more or less across the board, including in the media. Just about every important organisation has been “communised”. At universities there are watchers who report on any dissidents and, at a recent discussion attended by students, seven cameras had been installed.
Coalition Facing Almost Certain Electoral Defeat
Although the Newspoll published on 5 March showed no change between the Coalition and Labor on a TPP basis (47/53), Turnbull’s Dissatisfaction rate fell from 54 to 57 and is now worse than Shorten’s (56). As to who is a Better Prime Minister, Turnbull’s rate fell from 40 t0 37 while Shorten’s rose from 33 to 35.
Trump at Davos & Australian Comments on US Defense Strategy Statement
What with the likely winners of both the women’s and men’s Australian tennis being Swiss and the address by Trump at Davos, the Swiss are in the News. Once again Trump found a phrase which helped rebut the criticism of his “America First” statement by adding “but not America alone” and, with China in mind, emphasising the need for “fair” trade as well as “free” . Separately, it is reported that Trump approved increased duties affecting about $US10bn of imports but it is not clear whether this was “justified” on a fair trade assertion. An article in The Economist, republished in yesterday’s The Australian, says that the actions were “broadly in line with the steer from the US International Trade Commission” and were weaker than sought.
Iran & US Sanctions Policy, Climate in 2017
It appears that the protests in Iran have virtually ceased following deaths and many arrests by the Revolutionary Guard. However, according to a Reuters report Supreme Leader Khamenei still felt it necessary to make a public statement that “citizens had a right to air legitimate concerns, a rare concession by a leader who usually voices clear support for security crackdowns.These concerns must be addressed. We must listen, we must hear. We must provide answers within our means", Mr Khamenei was quoted as saying, hinting that not only the government of Rouhani, but his own clerical leadership must also respond”. "I'm not saying that they must follow up. I am also responsible. All ofus must follow up" (see attached Khamenie Statement 10 Jan).
Response to Abbott & US Repeal of Obama’s Clean Power Plan
As expected, the London address by Abbott has led to many critiques, including some that attempt to present his analysis as ridiculous partly be being selective in quotes. I respond to some of these critiques below. Suffice to say here is that the response so far by Turnbull and Frydenberg is basically limited to saying “well he didn’t say that when he was PM” (see Frydeneberg’s Critique of Abbott). Turnbull has refused to comment on Abbott’s address but has rejected any withdrawal from the Paris agreement (see Turnbull to Stick to Paris) But the responses by some backbenchers indicate that Abbott has stirred the possum –and on more than one tree. He has also reinforced (without actually saying it) the problems with Turnbull. In The Australian, Simon Benson points out that the government led by Turnbull has created a policy vacuum and “when the government does finally dump the CET, Abbott will doubtless be there congratulating them for finally listening to him” (see Benson on Turnbull).
Energy Policy is Getting Nowhere at All
Today’s Australian runs a front page story saying that “Australian households are paying 60 per cent more for their power than those in the US and double their Canadian counterparts”. But while Minister Frydenberg acknowledges that our power cost is “still too high”, he claims that most of the price hike occurred under Labor and that the Turnbull government is “taking unprecedented action to reduce pressure on …household bills “(see “Electricity Bills”). Short of subsidising electricity it is difficult however to envisage significant falls. Frydenberg has dug himself so deeply in the Turnbull camp that is difficult to see how he can get out. Readers of my Commentaries will be aware of the widespread scepticism about the various policy changes first being considered by Turnbull and then dropped or put on one side. As to falls in electricity bills, Frydenberg’s attempt to shift the blame on to Labor seemingly overlooks the recent large increases imposed by my retail supplier AGL and doubtless other similarly large retailers too.