Greens leader Christine Milne blames Tony Abbott for unnecessary budget surplus urgency.

Julian Drape From: AAP April 15, 2012 6:59PM

NEW Greens leader Christine Milne says Opposition Leader Tony Abbott is to blame for creating an environment where Labor feels it is locked into delivering a surplus in the May budget even though economic circumstances have changed.


Treasurer Wayne Swan and Finance Minister Penny Wong have continued to insist that getting the books back in the black was "the right thing to do".

But the Greens believe the Gillard Government shouldn't be rushing to bring the budget back to surplus if it means tough spending cuts and delaying reforms such as the introduction of a universal dental care scheme.

"Everyone in Australia knows if the Prime Minister hadn't come out and made an emphatic statement in 2009 saying the budget would return to surplus this year on the basis of Treasury modelling about the extent of the growth that was predicted we wouldn't be in the position we are," Senator Milne told Network Ten.

"But it's actually Tony Abbott and the 'Ju-liar' community who are responsible for this because it's a political imperative."

Senator Milne said Prime Minister Gillard believed the Government couldn't change its position.

"That's the tragedy of the actual political debate around the economy at the moment," she said.

"We need to be creating the space for people to change their minds and be able to nuance a position according to what's going on in the world."

Ms Gillard on Friday said she hoped Senator Milne would work "responsibly and reasonably" with the government to achieve big changes for Australia "including bringing the budget to surplus".

The new Greens leader, who replaced Bob Brown, said the PM was trying to dissuade the minor party from arguing that the government shouldn't be returning the budget to surplus in 2012-13.

"We are always reasonable and responsible and we will be so in relation to the budget," she said.

"However, we are not going to change our view on that and no doubt there'll be a few robust discussions."

But the low unemployment rate was a sign of Australia's strong economic fundamentals, treasurer Wayne Swan said in his weekly economic note.

"With our economy returning towards trend growth it helps underscore what I've been saying about the importance of bringing the budget back to surplus," the note said.

"Returning to surplus will also ensure the Reserve Bank has the flexibility for further interest rate cuts if it thinks that's necessary."

The finance minister rejected criticism that bringing the budget back to surplus in 2012-13 could trigger a recession.

"It's the right thing to do to bring the budget back to surplus," Senator Wong told Network Ten.

She said November's mid-year economic review forecast growth of 3.5 per cent and it "assumed the fiscal policy the government's got in place".

Senator Wong also rubbished a suggestion by her opposition counterpart Andrew Robb that any surplus would be achieved by fiddling the books.

Mr Robb said one example was the energy security fund to help coal-fired generators adjust to the carbon tax - and scheduled to start on July 1.

Labor will spend $1 billion this financial year and in each of 2013-14 and 2014-15 on the fund, but only $1 million has been set aside for next financial year.

"You don't come back to surplus simply through accounting," Senator Wong said.

"You come back to surplus because you make hard decisions."

But Mr Robb isn't convinced.

He says Senator Wong was caught out and unable to explain why the funding for generators wasn't anything other than a dodgy accounting trick.

"This is just one of many money shuffles that have been uncovered totalling billions of dollars," the opposition finance spokesman said in a statement.

"What these desperate tricks confirm is that when Labor pencils in a wafer-thin budget surplus for 2012-13 in May it simply cannot be believed. It will be illusory."

http://www.heraldsun.com.au/news/more-news/greens-leader-christine-milne-blames-...

Yes it is. Liberals were far too smart, visionaries and economic masters for the likes of labor or the greens to compete.

The current situation of labor even pretending to be economic managers will put a strain on the greens redistribution of wealth and put in danger a labor debt ridden economy.

I am astounded she didn't somehow squeeze in there that it was the medias fault.

____ wrote on Apr 16^th, 2012 at 1:42pm:

carbon tax of $100 a tonne portfolio

____ wrote on Apr 16^th, 2012 at 1:38pm:


How is it Mr Abbott's fault? Also, who are these regressives? I don't know to whom you are referring here.

Completely agreed on the last sentence, though.

matty wrote on Apr 16^th, 2012 at 1:50pm:




Your agreement with the last line proves my point. Abbott is manipulating Labor from opposition.

Is so doing, Abbott must take responsibility for the consequences of his action.

And Greens are and will point out these consequences to all and sundry.

matty wrote on Apr 16^th, 2012 at 2:05pm:



Can't have it both ways Matty.

Either Labor is without backbone and Abbott is manipulating her onto the rocks

or

Abbott does not have skills to negotiate his policies and will struggle from his lame duck position if Labor can stop their senator loss at the next election so guarantee a hostile Senate for Abbott. A hostile Senate that could see Abbott fall at a DD.


One or the other.

matty wrote on Apr 16^th, 2012 at 2:47pm:




Then the Liberal Party is out of it's depth under Abbott.

Time for a leadership change since Abbott is holding the coalition back.

Basic politics is manipulating to gain advantage.


D'oh  !!!