Australia politics live: transport department chief defends senior bureaucrats’ use of Qantas chairman’s lounge; DPS confirms corruption watchdog’s raid

Transport department chief defends senior bureaucrats’ use of Qantas chairman’s lounge

Elias Visontay

The secretary of the transport department has defended his and other top bureaucrats’ membership to Qantas’ exclusive chairman’s lounges that includes access for their partners, insisting he and such colleagues don’t make regulatory decisions affecting airlines.

The admission from Jim Betts, the secretary of the Department of Infrastructure and Transport, comes amid ongoing debate about the influence of Qantas on decision-making in Canberra, and recent scrutiny about flight upgrades prime minister Anthony Albanese received when he was transport minister.

Albanese speaking at a Qantas event last year. Photograph: Dean Lewins/AP

Betts told a Senate estimates hearing on Monday morning that he had membership to Qantas chairman’s lounges across the country, as did his wife. He said all deputy secretaries of his department also had the membership, and “in a couple of cases” their partners did too.

He also said he only had access to Virgin Australia’s standard lounges, not its beyond lounges, which aim to rival Qantas’ chairman’s lounges.

Betts said he didn’t didn’t believe the memberships to the elite lounges created a perception of influence over the department, noting that regulatory decisions about airlines weren’t taken at his secretary level, and that his predecessors in the role had also had access.

Nationals senator Matt Canavan then asked Betts about an email – released under freedom of information – sent by an assistant to a newly appointed deputy secretary in the transport department, David McKay. The email, sent to a Qantas employee in 2023, is notifying Qantas that McKay should now be entitled to be upgraded to the invitation-only chairman’s lounge membership.

Betts, who was asked if such a request amounted to solicitation of a gift, said that while he hadn’t seen the email, “it’s standard practice” for deputy secretaries to have the membership.

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He also said he only had access to Virgin Australia’s standard lounges, not its beyond lounges, which aim to rival Qantas’ chairman’s lounges.

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Betts, who was asked if such a request amounted to solicitation of a gift, said that while he hadn’t seen the email, “it’s standard practice” for deputy secretaries to have the membership.

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The acting secretary of the Department of Parliamentary Services (DPS) , Jaala Hinchcliffe, has confirmed the National Anti-Corruption Commission (Nacc) executed warrants on the parliamentary department last month, as first revealed by Guardian Australia.

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In her opening statement, Hinchcliffe said the Nacc officials visited Parliament House in October but would not reveal further information regarding their purpose or staff involved.

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Hinchcliffe also confirmed in her opening statement that the secretary, Rob Stefanic, was on paid leave but did not yet have a return date.

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Guardian Australia reported the long-serving secretary went on a sudden period of leave announced in a department-wide email last month.

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Stefanic was appointed as the department’s secretary in December 2015. He was reappointed for a second term in December 2020 for another five years to 13 December 2025.

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AAP reports that Anthony Albanese has denied his staff requested flight upgrades from Qantas on his behalf.

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The prime minister has been criticised after it emerged he received 22 flight upgrades – some when he was transport minister.

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He denied allegations he contacted former Qantas chief executive Alan Joyce to make a request, and said any upgrades given were all declared.

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Asked if anyone in his office had inquired about an upgrade on his behalf, Albanese told the ABC: “Not to my knowledge.”

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Everything has been declared, and I’ve had no upgrades as prime minister.

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As the federal election looms in the first half of 2025, the controversy continues to plague the government, which has been accused by the opposition of being out of touch.

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Albanese has also come under fire after it was revealed he bought a clifftop home for $4.3m.

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Independent senator Jacqui Lambie said Australians were focused on making ends meet during a cost-of-living crisis, and denied ever asking for a flight upgrade.

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“It really blows me away, and I think most people have had a gut full of it,” she told the ABC.

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The reputation of politicians gets worse every year, and we are to blame up here.

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Nobody else is to blame but the people here in the higher office.

\n

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Shadow home affairs minister James Paterson has been grilling home affairs department secretary Stephanie Foster in the legal and constitutional affairs estimates hearing over why the department has removed the Australian, Aboriginal and Torres Strait Islander flags from the background of headshot photographs of the department’s executive on its website.

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Paterson said he had noticed that the photographs now had no flags in the background and that they appeared to have been Photoshopped out.

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Foster said it was her doing and that she “wanted to have photos that were less formal”. She said:

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I think having photographs against a background of flags gives a certain formality to the photo. As you know, as part of our cultural reform, I’ve been working hard to make sure that the senior executive are very accessible to staff. It was one small change that I thought might assist with that program.

\n

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affairs department secretary Stephanie Foster at the budget estimates hearing at Parliament House on Monday”,”caption”:”Home affairs department secretary Stephanie Foster at the budget estimates hearing at Parliament House on Monday.”,”credit”:”Photograph: Mick Tsikas/AAP”}},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”

Paterson wanted to know who undertook the task of removing the flags from the photos – he was told it was the media and communications staff – and how much work it took. He said:

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In July and August, the department was dealing with some pretty big issues and continues to deal with some big issues, whether it’s the released cohort of non-citizen offenders, or whether it was Palestinian visas or folks getting through to the Australian mainland.

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Was this really a high priority for the department at a time like that?

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Foster responded:

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Senator, in terms of executive focus it took very little time. And whilst I’ll have to take on notice how big what the executive did was, I’m struggling to believe it was much work.

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AAP reports that newly installed Queensland premier David Crisafulli has been talking about a controversial pumped hydro project that has been scrapped after a major cost blowout.

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Crisafulli went to the October state election promising to cut Labor’s Pioneer Burdekin project in central Queensland, claiming it was the source of a budget black hole.

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The LNP then received a briefing within 48 hours of taking office that the project’s $12bn cost had ballooned to $36.77bn – more than triple what was originally forecast. Crisafulli told ABC Radio:

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I find it completely and utterly implausible that the former government wouldn’t have known about that.

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Before the election, then premier Steven Miles admitted the price tag would be high for the project – heralded as the centrepiece of the Labor’s renewables plan – but would be worthwhile in the long term.

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“[Pumped hydro projects] are income-generating assets that will generate a return to Queenslanders, basically forever,” he said during his second election debate with Crisafulli.

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The capital cost, you’re right, is high, but the operational cost is very, very low, and the revenue from them is very, very high.

\n

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Crisafulli visited the town of Eungella on Sunday to meet landholders whose properties were resumed or forcibly sold off for the project.

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The premier apologised to those Queenslanders who he claimed the former government failed to consult before committing to the project.

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“What they’ve been through was horrendous,” he said.

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premier David Crisafulli”,”caption”:”Queensland premier David Crisafulli.”,”credit”:”Photograph: Jono Searle/AAP”}},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”

Deputy premier Jarrod Bleijie promised on Friday to write to the almost 60 affected landowners and “work out a way forward”.

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The LNP government will look to build multiple, smaller pumped hydro plants at yet-to-be-decided locations without a forecast price tag.

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Crisafulli said:

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\n

We have to find a way to deliver smaller, more manageable pumped hydro because it’s important if you’re going to firm up renewables, you need that.

\n

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He promised to deliver the Borumba pumped hydro project, near the Sunshine Coast, at an affordable cost.

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The former government budgeted $6bn towards the project, with the total cost estimated to be $14bn.

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Once the government decides on its list of smaller pumped hydro projects, it will unveil its plan.

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Environmental advocates have called on the government to release details about its Pioneer Burdekin alternatives within 100 days.

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“It’s really important that the new state government is upfront about which pumped hydro projects they’re considering,” Queensland Conservation Council director Dave Copeman said.

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\n

Queenslanders want to know they’re serious about getting on with the energy transition, but also, critically, we need to be able to assess the potential environmental impacts of their plans.

\n

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The LNP government will hold its first cabinet meeting on Monday after ministers were sworn in on Friday.

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Shadow finance minister Jane Hume told Sky News this morning that “persistent, sticky” inflation was to blame for higher student debts. She said the government’s plan was “an economically irresponsible and inequitable decision”:

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\n

It favours those university students that have higher incomes in the longer term … about 30% higher than those that haven’t gone to university. But it’s those that haven’t gone to university or those that have already paid off their debts that will pay the price through higher taxes.

\n

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Westpac has recorded a $7bn full-year profit, representing a modest decline on last year’s strong result, as the number of homeowners falling behind on repayments jumped higher.

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The major bank blamed “elevated interest rates and cost-of-living pressures” for a 24 basis point increase in 90-day mortgage delinquencies for the 12 months to the end of September, which refers to loans with repayments that have fallen behind by more than three months.

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Westpac’s hardship provisions also rose sharply as the lender allowed under-pressure customers to restructure their loans.

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walk past a Westpac Bank building in central Sydney”,”credit”:”Photograph: Jaimi Joy/Reuters”}},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”

Westpac chief executive Peter King said that while the majority of clients were showing resilience, “we recognise some customers are facing difficult choices”.

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The bank also warned of a “less favourable outlook for commercial property”.

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Analysts have noted that any future shock to the banking system would likely stem from their exposure to commercial properties, where there are some concerns over falling office tower valuations and constrained retail spending.

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Westpac declared a final dividend of 76 cents, up from 72c a year ago.

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Its $7bn annual net profit was down 3% from last year’s $7.2bn result.

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Well hello, Australia, and welcome to the third-last sitting week of the parliamentary year. I just learned that the word for that is “antepenultimate”.

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Prime minister Anthony Albanese joined South Australian premier Peter Malinauskas yesterday to kick off what some are referring to as the election campaign. When we’re all distracted by the shenanigans in the United States!

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The centrepiece was an announcement on student debt relief to the tune of $16bn and fee-free Tafe places and the obligatory three-word slogan (in this case, “Building Australia’s Future”).

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The Coalition has been out already this morning saying they probably can’t afford to match that pitch to younger Australians. Nationals leader David Littleproud told ABC television this morning that they would “struggle” to find the dosh. He said:

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\n

We’re going through a process now, but I just can’t see how we can pick winners to that scale of money and support a mechanism like this. In the totality of this cost-of-living crisis, there are more pressing things about getting your energy bill down, and we can do that quickly with more gas and a long-term policy around energy.

\n

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We’ll hear more about that today, but there’s little chance it’ll knock conversations about Qantas flight upgrades and the Chairman’s Lounge off the agenda.

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Key events

On the government’s moves on education debt, Butler says it’s an attempt to ease pressure on students. He says:

They’re saddled with these record levels of debt at a time of real financial pressure on them, whether it’s rental costs or having to save up for a house deposit.

It’s a personal and a national investment, he says. “We make no apology for doing everything we can to relieve that financial pressure:

I just don’t understand why there’s been such a violent objection to it from the opposition.

Asked about election timing, he suggests the gathered journalists could “all read tea leaves about election timing”.

“I’m sure that will happen for the coming joyous weeks and months as we lead into the next election,” he says.

Butler says there has been an increase in bulk billing in every jurisdiction but that it has been “particularly pronounced” in rural and regional Australia. “Of course there is more to do,” he says.

But just in 12 months … we have delivered 5.4m additional free visits to the GP. That’s making a real difference. That’s … in addition to 850,000 patients that have gone through our urgent care clinics.

He points to past increases to Medicare rebates but says they’ll do more.

Bulk billing has “stopped sliding”, health minister Mark Butler says. He’s on the ABC now talking about this story:

Sarah Basford Canales

DPS probes $300,000 payout to ex-official after conflict of interest declared

The Department of Parliamentary Services (DPS) is conducting an independent “fact-finding” mission into the department’s role in a $300,000 payout to a former deputy secretary after a conflict of interest was revealed.

At the last Senate estimates in May, the DPS boss, Rob Stefanic, who is on indefinite paid leave, denied having a romantic relationship with his then subordinate, Cate Saunders, telling Senate estimates he formally declared a conflict of interest only due to “gossip” and “rumour”.

Rob Stefanic at Senate estimates in May. Photograph: Lukas Coch/AAP

Months after the conflict of interest was declared, Saunders was placed on secondment at Services Australia in April 2023 until she accepted a $315,126 incentive payment for her retirement from the public service on 1 October 2023.

The exit package was approved by the Department of Parliamentary Services. Stefanic told the hearing he was not personally involved in its sign-off.

In her opening statement on Monday, the acting secretary, Jaala Hinchcliffe, revealed she had engaged Dr Fiona Roughly SC to investigate whether the department followed “correct processes” in the decision.

Hinchcliffe said she was “unable to provide further comment on this matter but will update the committee at the appropriate time”.

Karen Middleton

Sparks fly between senator and official over home affairs’ survey ranking

Greens senator David Shoebridge has had a testy exchange with home affairs department secretary Stephanie Foster in the legal and constitutional affairs estimates committee hearing over the public service staff survey that ranked home affairs among the lowest in all cohorts across the Australian public service.

Shoebridge demanded to know if one of the departmental officials had a copy of the 2024 staff census and could table it but Foster blocked her from answering, drawing an angry response from Shoebridge, who noted that home affairs was in the bottom 10% of every rating measure.

Foster defended her achievements. She said:

We’ve made some progress in some of the key metrics that matter most, about staff engagement, about SES [senior executive service] communication.

We clearly have significant work still to do, and that’s not surprising to me, in the context of a very large agency operating in a very complex environment.

Shoebridge also highlighted the findings on staff being less willing to report incidences of inappropriate behaviour.

Greens senator David Shoebridge at the budget estimates hearing on Monday. Photograph: Mick Tsikas/AAP

Foster insisted that the survey showed an increase in reporting of bullying and harassment and noted that, anecdotally, people were happy emailing her to raise concerns.

After a short break in proceedings, Shoebridge produced the survey and tabled it himself.

“Under your leadership, secretary, people feel much less confident to speak up and raise concerns about inappropriate behaviour than they did before you became secretary – and the previous secretary was not a shrinking violet,” Shoebridge said, referring to former secretary Mike Pezzullo. “How do you explain that?”

Foster insisted confidence was increasing.

Shadow home affairs minister James Paterson chimed in, ahead of changing the subject.

“Perhaps the new informal headshots will fix this problem and staff will be willing to come forward,” Paterson said, moving on.

“When shown details and given a choice between nuclear and other forms of energy, nuclear fares very, very badly, climate change and energy minister Chris Bowen told Adam Morton:

And if too much Bowen is barely enough, here’s another great piece from Morton that ran on the weekend:

Transport department chief defends senior bureaucrats’ use of Qantas chairman’s lounge

Elias Visontay

Albanese speaking at a Qantas event last year. Photograph: Dean Lewins/AP

He also said he only had access to Virgin Australia’s standard lounges, not its beyond lounges, which aim to rival Qantas’ chairman’s lounges.

Betts, who was asked if such a request amounted to solicitation of a gift, said that while he hadn’t seen the email, “it’s standard practice” for deputy secretaries to have the membership.

Parliamentary department confirms corruption watchdog raid

Sarah Basford Canales

In her opening statement, Hinchcliffe said the Nacc officials visited Parliament House in October but would not reveal further information regarding their purpose or staff involved.

Hinchcliffe also confirmed in her opening statement that the secretary, Rob Stefanic, was on paid leave but did not yet have a return date.

Guardian Australia reported the long-serving secretary went on a sudden period of leave announced in a department-wide email last month.

Stefanic was appointed as the department’s secretary in December 2015. He was reappointed for a second term in December 2020 for another five years to 13 December 2025.

PM denies his staff requested flight upgrades for him

AAP reports that Anthony Albanese has denied his staff requested flight upgrades from Qantas on his behalf.

The prime minister has been criticised after it emerged he received 22 flight upgrades – some when he was transport minister.

He denied allegations he contacted former Qantas chief executive Alan Joyce to make a request, and said any upgrades given were all declared.

Asked if anyone in his office had inquired about an upgrade on his behalf, Albanese told the ABC: “Not to my knowledge.”

Everything has been declared, and I’ve had no upgrades as prime minister.

As the federal election looms in the first half of 2025, the controversy continues to plague the government, which has been accused by the opposition of being out of touch.

Albanese has also come under fire after it was revealed he bought a clifftop home for $4.3m.

Independent senator Jacqui Lambie said Australians were focused on making ends meet during a cost-of-living crisis, and denied ever asking for a flight upgrade.

“It really blows me away, and I think most people have had a gut full of it,” she told the ABC.

The reputation of politicians gets worse every year, and we are to blame up here.

Nobody else is to blame but the people here in the higher office.

Paterson grills home affairs department for removing Australian and Aboriginal flags from executive headshots

Karen Middleton

Paterson said he had noticed that the photographs now had no flags in the background and that they appeared to have been Photoshopped out.

Foster said it was her doing and that she “wanted to have photos that were less formal”. She said:

I think having photographs against a background of flags gives a certain formality to the photo. As you know, as part of our cultural reform, I’ve been working hard to make sure that the senior executive are very accessible to staff. It was one small change that I thought might assist with that program.

Home affairs department secretary Stephanie Foster at the budget estimates hearing at Parliament House on Monday. Photograph: Mick Tsikas/AAP

Paterson wanted to know who undertook the task of removing the flags from the photos – he was told it was the media and communications staff – and how much work it took. He said:

In July and August, the department was dealing with some pretty big issues and continues to deal with some big issues, whether it’s the released cohort of non-citizen offenders, or whether it was Palestinian visas or folks getting through to the Australian mainland.

Was this really a high priority for the department at a time like that?

Foster responded:

Senator, in terms of executive focus it took very little time. And whilst I’ll have to take on notice how big what the executive did was, I’m struggling to believe it was much work.