Peter Stefanovic, Host: The Productivity Commission Chair, Danielle Wood, has some colourful language to describe our economic slump, hairballs are choking productivity, and she'll outline her reasons for this at the Press Club today which is a curtain raiser for a big week ahead in Canberra. It's Jim Chalmers’ Economic Roundtable, and joining us live is the Assistant Foreign Minister, Matt Thistlethwaite. He's on his own today, Matt. And we're stepping into other portfolios. We'll get to Russia at the end. But first of all, these points by Danielle Wood. Do you agree with her, do you agree with our economy choking on hairballs?
Matt Thistlethwaite, Assistant Minister for Foreign Affairs and Trade: Well, obviously the Productivity Roundtable that will occur tomorrow, Pete, is about business, unions, government and civil society coming together to try and look to see if there are hairballs in the system and where possible, can we remove them and ensure that we have a smoother functioning system of doing business and growing our economy. And that's what the Roundtable is all about. It's about having an open mind and trying to bring together the leaders of all of those organisations to come up with a plan for boosting productivity which has really been the great big handbrake on economic growth over the last decade.
Stefanovic: Well, I mean, big spending has contributed to that, has it not?
Assistant Minister: Well, I think that the Australian public demand a level of service, particularly in our healthcare, in our aged care sectors, in our education sector, and they want government to deliver that. And we took a set of commitments to the last election that we intend to deliver on, but at the same time, the same time, we've been able to run a couple of Budget surpluses, we've kept government expenditure at reasonable levels, but at the same time, we've done that without increasing taxes.
Stefanovic: But you know you've got to wind back spending now, though, don't you?
Assistant Minister: Well, we make sure that the Budget is sustainable into the future and that's what we've been able to do quite effectively. We've been able to reduce taxes over the course of our term in government. We've got a further income tax cut to come and we've rationalised taxes in other areas. But at the same time, we've been able to ensure that Australians get their health care, the aged care, the education services that they deserve.
Stefanovic: A couple of points that Danielle Wood has made today, few excerpts that we're pulling out here. She says a carbon price and a cash flow levy are the most efficient ways to future proof our economy. I know we're probably in other portfolios here, as opposed to yours, but is the government at least open to looking at those suggestions by Danielle Wood?
Assistant Minister: Well, we had an economy wide carbon price when we were last in government and we lost government, and that was one of the key issues. So, we've got no plans to bring that back. We've got mechanisms in place to reduce emissions, we've got that new architecture of net zero by 2050 and a number of policies that fit under that to help us get there, like the safeguard mechanism, like the capacity investment scheme, indeed, new vehicle emission standards are all about us as an economy meeting that commitment to reducing our emissions to net zero by 2050. So, we've got the policies in place to do that without having to look at an economy wide carbon price.
Stefanovic: Ok, hey, this just happened nine minutes ago, Matt, and we're changing topics now. We're going to Ukraine and Russia. So, a post by Anthony Albanese, just now, overnight I joined a meeting of the Coalition of the Willing and convened by Keir Starmer and Emmanuel Macron alongside Volodymyr Zelenskyy and other democratic leaders. I'm just reading it for you now, folks. Australia remains committed to supporting Ukraine and it was an opportunity to discuss next steps in achieving a justice and enduring peace. So, this is all ahead of this meeting tomorrow, can you just elaborate on that call and what contributions Australia made?
Assistant Minister: Well, I think we need to remember that Russia invaded Ukraine. We have one sovereign nation invading the territory of another. Now, we see that as illegal under international law, not to mention the immorality associated with it. So, on the back of that, we've been a very strong supporter of Ukraine and their ability to defend their borders and their people, and we've never wavered in that commitment. And I think what the Prime Minister is alluding to there is that Australia has backed Ukraine from the beginning and will continue to back Ukraine. Obviously we want to see peace, but it can't come at the expense of the Ukrainian people and their territorial integrity.
Stefanovic: So, what are we, I mean, just like the war in the Middle East now looking at Russia, I mean, we're a bit player if anything. What are we offering?
Assistant Minister: Well, I think that you're right in that Australia on its own can have very little effect in moving the dial on international issues such as this. But when we work with like-minded nations, particularly those that are in the business of upholding democracy and the rule of law, then we're much more effective. And that's what we've done with our approach to Palestinian recognition and peace in the Middle East. And that's the same approach that we'll take with Ukraine. We've worked with the UK on providing support for Ukrainian troops. We've worked with other nations in providing humanitarian support and we'll continue to do that as an approach to peace.
Stefanovic: So, what was brought up? I mean, are we talking about extra sanctions if things don't go well tomorrow? Are we sending more military to help Ukraine? What came out of these extra talks?
Assistant Minister: Well, I'm not going to preempt what the Prime Minister may or may not announce over the coming days, but Australia has been one of the largest contributors, both in terms of military hardware and humanitarian support to the effort in Ukraine and that support is steadfast and that commitment will continue.
Stefanovic: Ok. And extra sanctions, are you looking at those?
Assistant Minister: I'm not going to determine now what may come in the future from the Prime Minister. I can't announce that to you now, Pete, but Australia has been one of the strongest supporters of Ukraine.
Stefanovic: Ok. All right, Appreciate that, Matt. That's Matt Thistlethwaite there, the Assistant Foreign Minister joining us live there to talk about a few things, including that breaking news from the Prime Minister that he was on that call, the Coalition of the Willing this morning.