Rudd gets a familiar grilling

by frog

Prime Minister Kevin Rudd got a very familiar grilling this week from ABCś Kerry O’Brien. It sounded so much like Jeanetteś grilling of Michael Cullen in the House, it was uncanny.

Kevin Rudd, if we can start with oil. You and Brendan Nelson are both arguing over very small savings at the bowser, although his small savings are bigger than your small savings, that’s if you have savings in the end.

But isn’t it time to look Australians in the eye and tell them the news is only going to get worse on oil?

It may get better in the short term, there may be moments where the price drops a little, but in the medium to long term, it’s going to get worse and that there’s nothing significant that you can do about it. Now isn’t that the case?

It is almost as if Jeanette was in the room. Ruddś answer was also very familiar:

It is a very murky future that we face. What we do know for a fact is that right now we have the greatest global oil shock in 30 years. We know for a fact that prices are up 400 per cent since the Iraq war, 100 per cent in the last 12 months alone. It’s led to protests and riots in the UK, Spain, France, as well as Indonesia and our own region and South Korea.

So this is a massive shock to the global economy. It’s happening across all economies at present. What we need to do is frame an intelligent, long term response to this, and Australia as of when we took over Government did not have a long term energy strategy, a fuel strategy.

We’re working on that, six months into office, and we hope to have something to produce later in the year on that score. Dealing with the long term channel, as well as being mindful of the impact on people’s hip pocket now.

The Rudd interview continued on, but it was little more than the usual bluster of politicians afraid to speak the truth. Only the first 7 or 8 minutes of this interview are worth the listen.

Unsatisfied with the Prime Minister, Kerry O’Brien followed up with an interview with Richard Heinberg. Readers here will be familiar with him as he visited here last year and I have posted some of his interviews on frogblog. His interview is best summed up with this quote:

I think what the oil consuming nations really need to understand is that this is not a temporary blip in the oil market.

What we’re seeing is a fundamental and permanent change in the global energy economy. We will be dealing with the fallout of this for many, many years to come as prices continue to escalate. Whole industries are going to have to restructure and downsize as a result of this. We’re going to have to rebuild our transport infrastructure in much of the industrialised world, because we built it on the basis of cheap oil, and cheap oil is going to be a thing of the past.

So, someone is willing to speak about the risks we face in a meaningful way. At least Rudd acknowledged that this is the worst shock the global economy has had in thirty years. When will the politicians begin to admit that it´s not a shock but a fundamental and permanent change? The Greens will wait with baited breath for that day…

Hat Tip: The Oil Drum

frog says

Published in Environment & Resource Management by frog on Fri, June 20th, 2008   

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