BUSINESS AND POLITICS – AUSTRALIA

PM demands power chiefs act on prices

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Original article by Phillip Coorey
The Australian Financial Review – Page: 1 & 6 : 4-Aug-17

Prime Minister Malcolm Turnbull has requested that the heads of Australia’s main electricity retailers attend a meeting with him in the week beginning 7 August. Turnbull will tell them that the Federal Government wants retailers to provide customers with greater detail about how their power costs are incurred, so as to help them to reduce their expenses by either changing plans or retailer. A recent report from St Vincent de Paul concluded that the average Victorian power customer could save $A830 a year on electricity costs by changing from the most expensive plan to the least expensive one.

CORPORATES
AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIAN ENERGY COUNCIL, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION, AUSTRALIAN ENERGY MARKET COMMISSION, AUSTRALIAN ENERGY REGULATOR, AUSTRALIA. DEPT OF THE TREASURY, AUSTRALIA. DEPT OF THE ENVIRONMENT AND ENERGY, AUSTRALIAN LABOR PARTY, AGL ENERGY LIMITED – ASX AGL, ENERGYAUSTRALIA PTY LTD, ORIGIN ENERGY LIMITED – ASX ORG, SNOWY HYDRO LIMITED, MOMENTUM ENERGY PTY LTD, ALINTA ENERGY (AUSTRALIA) PTY LTD, SIMPLY ENERGY, ST VINCENT DE PAUL SOCIETY

Cut power prices or ‘firms will go bust’

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Original article by Matt Chambers, Paul Garvey
The Australian – Page: 1 & 4 : 3-Aug-17

Glencore executive Peter Freyberg has called for a national energy policy that exempts heavy industry from carbon emission targets. He has warned that government intervention is needed to ensure that the rising cost of electricity does not make such industries economically unviable in Australia. Amongst other things, Freyberg says federal and state renewable energy targets should be scrapped, while he has questioned whether a clean energy target – as recommended by the Finkel review – would be sufficient to combat climate change without other measures.

CORPORATES
GLENCORE PLC, AUSTRALIA. DEPT OF THE ENVIRONMENT AND ENERGY, COUNCIL OF AUSTRALIAN GOVERNMENTS, AUSTRALIA. OFFICE OF THE CHIEF SCIENTIST, MANUFACTURING AUSTRALIA LIMITED, BLUESCOPE STEEL LIMITED – ASX BSL, BRICKWORKS LIMITED – ASX BKW, CSR LIMITED – ASX CSR, RHEEM AUSTRALIA LIMITED, DULUXGROUP LIMITED – ASX DLX, INCITEC PIVOT LIMITED – ASX IPL, RIO TINTO LIMITED – ASX RIO

Banks growl at BEAR necessities

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Original article by James Eyers
The Australian Financial Review – Page: 13 & 26 : 2-Aug-17

Australian banks have expressed concern about the Federal Government’s proposed Banking Executive Accountability Regime. Criticisms include the lack of sufficient industry consultation and the fact that while non-bank financial services providers such as insurers will be excluded from the regime, it will apply to such businesses that are owned by banks. The Australian Bankers’ Association has also questioned the length of consultation period, although it is generally supportive of the push to increase the accountability of bank executives.

CORPORATES
AUSTRALIAN BANKERS’ ASSOCIATION, AUSTRALIAN PRUDENTIAL REGULATION AUTHORITY, AUSTRALIA. DEPT OF THE TREASURY, CUSTOMER OWNED BANKING ASSOCIATION

Shorten ‘lie’ on growth exposed

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Original article by Phillip Coorey
The Australian Financial Review – Page: 1 & 4 : 1-Aug-17

Business Council of Australia CEO Jennifer Westacott has criticised Opposition Leader Bill Shorten for claiming that reducing the company tax rate will adversely affect economic growth. She notes that Shorten has previously argued that a lower company tax rate would boost productivity and investment, resulting in higher economic growth and wages. Prime Minister Malcolm Turnbull has criticised Shorten’s proposal to tax the distributions of discretionary trusts, which are used by some small and family businesses.

CORPORATES
BUSINESS COUNCIL OF AUSTRALIA, AUSTRALIAN LABOR PARTY, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, MINERALS COUNCIL OF AUSTRALIA, AUSTRALIA. PRODUCTIVITY COMMISSION

Calls to rein in ABC and SBS

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Original article by Darren Davidson
The Australian – Page: 24 & 26 : 31-Jul-17

Media industry executives have expressed concern that the ABC and SBS are increasingly competing directly with commercial rivals for content and viewers, and urged the Federal Government to step in to ensure that the public broadcasters adhere to their charters. Criticisms of the ABC and SBS include the fact that they are not subject to the same media regulations as their commercial rivals and that SBS is using taxpayers’ funds to outbid commercial networks for US content.

CORPORATES
AUSTRALIAN BROADCASTING CORPORATION, SPECIAL BROADCASTING SERVICE (SBS), NEWS CORP AUSTRALIA PTY LTD, NEWS CORPORATION – ASX NWS, FAIRFAX MEDIA LIMITED – ASX FXJ, SEVEN WEST MEDIA LIMITED – ASX SWM, NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC, TEN NETWORK HOLDINGS LIMITED – ASX TEN, AUSTRALIAN ASSOCIATED PRESS PTY LTD, STAN ENTERTAINMENT PTY LTD, FOXTEL MANAGEMENT PTY LTD, TELSTRA CORPORATION LIMITED – ASX TLS, AUSTRALIA. DEPT OF COMMUNICATIONS AND THE ARTS, MELBOURNE PRESS CLUB

Canavan crisis is bad for Adani

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Original article by Matthew Stevens
The Australian Financial Review – Page: 26 : 27-Jul-17

Matt Canavan’s decision to step aside as Resources Minister over dual citizenship concerns could have implications for Adani’s proposed Carmichael coal mine. Canavan is a keen advocate of both coal and the Carmichael project, and he is highly likely to have approved a federal loan to Adani via the Northern Australia Infrastructure Facility. A final investment decision on the first stage of the Carmichael project is conditional on NAIF funding for the rail line component of the project. The question of whether the Australian Domestic Gas Security Mechanism will be triggered in 2018 is also uncertain after Canavan stood aside.

CORPORATES
AUSTRALIA. DEPT OF INDUSTRY, INNOVATION AND SCIENCE, ADANI ENTERPRISES LIMITED, ADANI MINING PTY LTD, NORTHERN AUSTRALIA INFRASTRUCTURE FACILITY, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, SANTOS LIMITED – ASX STO, GLADSTONE LNG PTY LTD, ORIGIN ENERGY LIMITED – ASX ORG, AUSTRALIAN PETROLEUM PRODUCTION AND EXPLORATION ASSOCIATION LIMITED, RIO TINTO LIMITED – ASX RIO, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION

O’Dwyer lashes out at ‘tricky’ insurers

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Original article by Andrew White
The Australian – Page: 21 : 27-Jul-17

Financial Services Minister Kelly O’Dwyer has criticised the way life insurance providers have handled requests by superannuation fund members to opt out of life and disability coverage via their super fund. O’Dwyer says life insurers have been "tricky" regarding the issue of opting out. She also argues that life insurers must demonstrate that the products they offer have value to super fund members, and notes that such coverage may not necessarily be relevant to people under the age of 25.

CORPORATES
AUSTRALIA. DEPT OF FINANCE, AUSTRALIAN PRUDENTIAL REGULATION AUTHORITY, FINANCIAL SERVICES COUNCIL, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, AMP LIMITED – ASX AMP, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, MACQUARIE GROUP LIMITED – ASX MQG, SUNCORP GROUP LIMITED – ASX SUN, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ

Plea to revive growth economy

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Original article by Laura Tingle
The Australian Financial Review – Page: 1 & 10 : 27-Jul-17

Members of the Business Council of Australia’s board have called for the corporate tax rate to be reduced in order to lift the nation’s economic growth rate to at least three per cent. They argue that the economy needs to expand at such a rate to increase wages and create jobs. BCA president Grant King adds that regulatory and industrial relations reform is necessary to encourage jobs growth, particularly given the impact of digital disruption on the labour market.

CORPORATES
BUSINESS COUNCIL OF AUSTRALIA, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, WESFARMERS LIMITED – ASX WES, ENERGYAUSTRALIA PTY LTD, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIAN LABOR PARTY

‘Dangerous’ bank levy may have domino effect: Bligh

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Original article by David Crowe, Andrew White
The Australian – Page: 17 & 21 : 27-Jul-17

Australian Bankers’ Association CEO Anna Bligh has expressed concern that more state governments could implement their own version of the federal levy on banks. The levy is intended to boost government revenue by $A6.2bn, but Bligh has told the National Press Club that this impost could double if all states introduced their own levy. Bligh also supports Peter Costello’s call for banking industry executives to justify their high salaries, while she has questioned whether a royal commission into banks – as advocated by Labor – is appropriate and necessary.

CORPORATES
AUSTRALIAN BANKERS’ ASSOCIATION, AUSTRALIAN LABOR PARTY, AUSTRALIA. FUTURE FUND MANAGEMENT AGENCY, NATIONAL PRESS CLUB (AUSTRALIA), SOUTH AUSTRALIA. DEPT OF THE PREMIER AND CABINET, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, AUSTRALIA. DEPT OF FINANCE

Canavan turns up heat on LNG exporters

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Original article by Angela Macdonald-Smith
The Australian Financial Review – Page: 15 & 20 : 25-Jul-17

The Federal Government will decide by November 2017 whether to impose LNG export controls in 2018 via its Australian Domestic Gas Security Mechanism. Resources Minister Matt Canavan has sought advice from regulatory agencies regarding the outlook for gas supply and demand. He has expressed disappointment with gas producers’ proposals to date for resolving the gas crisis on the east coast. Santos CEO Kevin Gallagher has urged greater co-operation between the gas industry and governments to encourage investment in new projects.

CORPORATES
AUSTRALIA. DEPT OF INDUSTRY, INNOVATION AND SCIENCE, SANTOS LIMITED – ASX STO, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION, AUSTRALIAN ENERGY REGULATOR, THE AUSTRALIAN INDUSTRY GROUP, EXXONMOBIL CORPORATION, BHP BILLITON LIMITED – ASX BHP, ENERGYQUEST PTY LTD