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The ALP Might Think the G20 Has an Electoral Benefit, But Tell ’em They’re Dreaming

Prime Minister Julia Gillard formally announced today in Queensland that Brisbane had won the right to host the G20 summit in the year 2014. This was greeted with much appreciation and even gloating from Queensland politicians at different levels of government. Brisbane beat all other cities that put in a submission to be able to host this potentially very lucrative meeting of the world’s 19 biggest nations and the European Union. The event will have some definite positives for the Queensland economy when it is held in November 2014.

Brisbane won the event over the much bigger cities of Sydney and Melbourne, with politicians from both states and including Melbourne mayor Robert Doyle sticking the boot into the Gillard Government over the awarding to Brisbane of the summit.

Both states think that their cities have better facilities and they certainly do, with sizeable airports and convention centre facilities, not to mention terrific accommodation available.

That’s not to say that Brisbane doesn’t, it certainly does and the city has been working hard to develop world class facilities and attempting to grow a reputation worldwide as a true “world city”. The Brisbane Convention and Exhibition Centre facilities are not to be sneezed at and are well and truly capable of hosting such a large and important meeting of world leaders.

Politicians from both NSW and Victoria and many in the media immediately upon hearing of Brisbane being made the host of the G20 immediately put the announcement down to politics. The ALP Government are finished in Queensland in particular and will be, on recent poll results, all but wiped out if an election were held in the near future.

So, of course it follows that speculation would immediately turn to the move by federal Labor being a so-called “vote-buying” initiative before the next federal election due to be held some time around mid-to late 2013.

But is it really reasonable to assume that Brisbane playing host to world leaders for the summit in 2014 would actually win votes? The answer is almost certainly not.

The event will likely have economic benefits for the economy of the city of Brisbane, bringing in what is estimated to be $50 million for the local economy over the course of the visit by international delegations. Though at the same time, much of the city would probably be in lockdown for such high-level visits so benefits, particularly to retail might not be so high.

On the other hand, hotels will be rubbing their collective hands together with glee at today’s announcement, particularly with tourism, a usually strong performer in the state of Queensland having been hit so bad because of the floods and the Global Financial Crisis

Brisbane having world leaders, including the US President visiting will also possibly have some impact on the broader tourism market, spurring confidence that things in Queensland have returned to a more stable position, but this is less certain and probably of much less benefit than many have been quick to assume today.

The potential too for world leaders discussing possible future business investment in and trade with the Queensland and Australian economy is a very important long-term prospect.

But all this will count for very little when it comes to the ballot box. International meetings of world leaders, though great in their own special way have never actually stayed with the thoughts of voters as potential election winners, or at the very least as the ALP was probably hoping against all hope, vote buyers of some face-saving repute.

There will never be a time when the exit polls say that a summit was any kind of factor in the electoral success of a political party.

The Sunday Sandwich (That’s a Wrap)

Another week in Australian politics and more sensational events which have overshadowed inter-party politics and policy for another seven day period. But this week has been different. A leadership challenge is now afoot

The week began with Kevin Rudd in Mexico G20 Foreign Minister talks followed by the now famous trip to the United States of America.

Little was said by Kevin Rudd about the G20 talks and the same went for his trip to the United States, though meetings he was there for were of a high-level nature, including meeting with US Defense Secretary Leon Panetta.

But then came that bombshell that changed the complexion of the rest of the week. Kevin Rudd called a late night press conference at the Willard Hotel in Washington DC with reporters over there covering the trip scrambling out of bed, rushing to get to what was sure to be a press conference of major significance, given the time and location. Kevin Rudd was resigning his post as Foreign Minister as the position had become untenable in recent weeks with colleagues openly and privately telling him to throw out his leadership ambitions and Rudd saying he did not have the support of his ministerial colleagues.

From the speech onward you knew that was far from the end of this epic story of a party in trouble not least because of leadership tensions in existence within the party- which usually do no de-stabilise this much. Kevin Rudd was to return to Australia on Friday where he would make a definitive statement on his future, which everyone knew, was almost certainly going to be a tilt for the leadership.

The Prime Minister then came out and announced that on Monday at 10am AEDT there would be a leadership spill and that she would be contesting that ballot. Senior Ministers then began filing out one by one in support of the Prime Minister even before Kevin Rudd confirmed he would contest the leadership vote.

That confirmation from Kevin Rudd came from the second press conference he held on Friday, after his return from overseas, where he outlined his vision for the future and canvassed some of the things he regretted from his past time in the Prime Ministership.

Prior to the official announcement by Kevin Rudd of his part in the ballot, ministers like Kim Carr and Robert McClelland gave their support to the former leader in the event he ran.

On another front, Chris Bowen, the Immigration Minister under Prime Minister Julia and Assistant Treasurer under Prime Minister Rudd indicated that he would encourage the former Prime Minister to run, all but indicating formally that he would support Mr Rudd in the ballot.

But it was Saturday that saw the Rudd camp attract its most high-profile Cabinet supporter, in one Anthony Albanese, the Minister for Infrastructure and Transport and the Leader of the House, a day which also saw Senator Mark Bishop, a Gillard backer in the last ballot, switching sides.

The battle looks set to be a win for Julia Gillard to continue her Prime Ministership, looking like polling about 2/3 of the caucus vote on Monday. Though how this could really be seen as a win for Gillard, 30 odd is still a significant number that just contributes to the already toxic image of the Labor Party and damage done to Labor that will just be made even worse when it comes to light during the parliamentary week ahead.

In other news the Gonski Report into education funding was released this week but obviously completely overshadowed by the leadership tensions especially because the Gillard Government has not yet even committed to anything recommended in the report.

The only thing the government has said is that independent schools will not lose a dollar of funding and this would certainly add to the budget woes of the government were it to take immediate action which they need to do at least in the area of disability and indigenous loading.

The week has been dramatic, certainly the most dramatic since the leadership coup in 2010 in my relatively short time observing and commenting on politics from Canberra. Even after tomorrow the story will be far from over with Rudd seemingly likely to continue his campaign to become Prime Minister. I can smell the Labor Party rot from here.

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