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2010-06-12

Dump the Treasurer and the RSPT and change tactics

Comments on Paul Kelly “Cornered by his own trap”, 12/06/2010, http://www.theaustralian.com.au/news/opinion/cornered-by-his-own-trap/story-e6frg6zo-1225878635983
The only feasible way solution is to acknowledge that the announced RSPT is flawed and attribute the flaws to its designer, the Henry tax review to distance the government from it or at least to create an acceptable excuse for the government, so it can have some room to manoeuvre and turn its political fortune around.

Either the PM, or the Treasurer should take full responsibility for that, although it is more likely that the Treasurer should, give that the RSPT has been the product of his department.

Then the next step is to replace the RSPT with a similar PRRT and call it MRRT that exempts all existing mining production.

Some other details such as the relationship between the existing state royalties and the federal MRRT can be worked out in negotiations over the next months.

In the media and longer run, the PM needs to change his style of leadership and replace his key advisors.

He needs to be more trustful to other cabinet colleagues. The over centralisation and control freak never work well on very broad tasks like the running a country.

He needs to have more practical advisors with workable policies and policy solutions. The idea to have people work dog years is never to be admired or adopted.

Failing to do that, he has no options by to pass the leadership to another person after the next election.

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