The Guardian August 21, 2002


Editorial:

Beware the lies

Airlines and airports have been in the news lately and one headline in 
the Australian Financial Review (15/8/02) is worthy of comment. It said: 
"Soaring airport prices: deregulation not to blame". It's a good example of 
the widespread brainwashing and cover-up that is being heard more and more 
in the media and from many politicians as the economic crisis deepens.

The Sydney airport has only just been privatised by the Federal Government 
and landing costs are going to go up by 40-130 per cent according to Allan 
Fels, Chairman of the Australian Competition and Consumer Commission.

Formerly, when the airport was publicly owned, price caps were in place. 
These these were removed on July 1 this year. It is just plain nonsense to 
say that deregulation is not to blame. It is a direct consequence of the 
removal of the price caps (deregulation) and of privatisation.

Allan Fels went on to say that the private airport operators are "also 
increasing other charges such as taxi fees, car parking rates and check-in 
counter rentals.

Anyone parking at Sydney airport will know of the exorbitant cost of 
parking there. As most users of the car park are merely visiting the 
airport to meet or farewell departing friends they have to suffer the 
outrageous slug of $6 for half and hour or $12 for up to an hour.

Virgin Blue refused to accept the higher fees being demanded by the airport 
authority for the use of the departure gates left vacant by the bankrupted 
Ansett. Virgin Blue has used an inadequate shed as its terminal during 
negotiations with the airport authorities. In the meantime the Ansett 
terminals are unused and Virgin Blue has now announced its intention of 
spending $15 million to extend its present terminal building rather than 
pay the $18 million per annum demanded by the airport authority for use of 
a limited number of Ansett gates.

Such is the stupidity of capitalism as various companies push and shove to 
enhance their own profitability.

Meanwhile the Federal Government has refused to lift the present cap of 49 
per cent on foreign ownership of Qantas. Qantas chief executive, Geoff 
Dixon has pushed hard for the foreign ownership cap to be removed. In 
commenting on the Federal Government's decision, Dixon is quoted as saying 
that he hopes that "in time, good sense will prevail in the national 
interest".

This is yet another example of a business leader who, by playing with 
words, attempts to turn black into white. How can the sell-off of Qantas to 
foreign capital be in the "national interest"? The more foreign capital, 
the more foreign investors will repatriate Qantas earnings.

Under those circumstances Qantas will cease to be an "Australian icon" and 
become nothing more than the plaything of international capital and the 
other major airlines of the industrialised countries, many of which are 
already in serious financial difficulties.

These are the direct consequences of deregulation and privatisation and one 
after another the "captains of industry" and politicians are attempting to 
cover-up their stupidity, inefficiency, incompetence and outright betrayal 
of Australia's national interest.

* * *
The Pacific Forum and Zimbabwe
It appears that the Pacific Forum has been pressured and cajoled by Howard into supporting a resolution of condemnation of Zimbabwe. Howard attempted to justify the call for the expulsion of Zimbabwe from the Commonwealth by asserting that the events that led to the expulsion of Fiji are the same as those in Zimbabwe. This is yet another of those lies which are calculated to hoodwink the unwary. The expulsion of Fiji followed a military coup (there were two such coups) against the democratically elected government of Mahendra Choudry. There has been no such coup in Zimbabwe. The Mugabe Government was re-elected in Zimbabwe elections only last year and the Government is carrying out a land reform program that it is entirely entitled to carry out and which was the main issue in the Zimbabwean elections. Thoroughly democratic, in fact!
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