VIZARD: The Minister responsible is Penny Wong, shes on the line now. Penny, thanks for your time again.
WONG: No worries, good to be with you.
VIZARD: Penny, you put out a release saying the Governments not making any withdrawals of any sort from the Future Fund, of the sort that were talked about in The Australian today. Can you just run us through what is the case with this story?
WONG: Quite simply, what has been reported as a withdrawal of funds from the Future Fund is simply not correct and nor are Senator Cormanns accusations. What is occurring is that the Future Fund is making a change to the types of assets it holds, and that the fact of that change is reflected in the Budget papers. They are selling what are called non financial assets, so they are things like land, plant and equipment, and so forth. When that sale occurs, that is reflected in the budget figures.
But I want to emphasise this: any funds from any sale remain with the Future Fund. Any funds from any sale remain with the Future Fund.
VIZARD: Penny, the reason that this gets some momentum at all is because of its report on the front of The Australian and some remarks that were made by a spokeswoman - a spokeswoman for you but that echoes something that was made to a parliamentary committee. Can I just replay something Barnaby Joyce said just a couple of moments ago to me?
[Start recording]
BARNABYJOYCE: A question was asked of a gentleman by the name of Mr Tune in the Senate Finance and Public Administration legislative committee estimates. They asked him where are these non financial assets that youre going to sell, that are going to be part of bringing the budget back into surplus. His answer came back, the disposal of Defence properties theres one. The disposal of housing and land owned by Defence Housing Australia, and the expected sale of assets from the Future Fund. So, when these stories come out, theyre not just made up, Penny Wong, they actually, basically, come from information from your own department.
[End recording]
VIZARD: Is that wrong?
WONG: It is in this sense: the monies stay with the Future Fund. So what we are seeing is the Future Fund choosing to change the assets it has. Under the legislation, no withdrawals from the Fund can be made until 2020, unless there are sufficient funds to cover the liabilities earlier. We are not changing the legislation
VIZARD: But thats not what Mr Tune said.
WONG: Hang on. We are not changing the legislation. All we are doing, in the Budget papers, is reflecting a decision that the Future Fund has made. And I again will say this: the Future Fund will continue to hold any cash from any sale it makes. If it then chooses to invest that cash into other assets, it will continue to hold that. So with respect Steve
VIZARD: So Mr Tune got it wrong?
WONG: No, he hasnt got it wrong. Barnaby Joyce has got it wrong, as has Senator Cormann. So, with respect, I dont think playing Barnaby Joyce on the radio to make an assertion about finances of the nation is a very strong case.
VIZARD: Do you say Mr Tune didnt make that written response to the parliamentary committee?
WONG: What I am saying is that the Budget papers under Peter Costello, and under this Government, do reflect the inclusion of non financial assets in the Budget papers, and we have done the same thing. But the suggestion that we are somehow withdrawing money out of the Future Fund for the purposes of spending it is simply incorrect.
VIZARD: Whatll happen to Mr Tune?
WONG: (laughs) Mr Tune is a very good public servant, I work with him very closely and have on a number of things, including the Federal Budget.
VIZARD: Can I ask you, Penny thanks for clarifying that theres no sense of mischief here. I think its a clear division between what youre now saying and what was understood to have been said by a public servant.
WONG: No, Steve, I dont accept that.
VIZARD: OK.
WONG: I dont accept that. I think theres a difference between what some people are trying to spin up, and trying to spin the Australian people, and what I am saying, which is being very clear about what is reported in the Budget papers. And can I just say this
VIZARD: Yep.
WONG: We have an Opposition that has no runs on the board when it comes to fiscal policy, and to managing the budget. Theyve got a shadow finance minister in Andrew Robb who says theres a $70 billion black hole. Mr Abbott says there isnt a $70 billion black hole, contradicting his own economic team. And this is the Opposition that had an $11 billion black hole in their election costings which theyve only added to. So, lets have a little bit of reality about the credentials of some of the people making these criticisms.
VIZARD: Penny, youve just come out of, I imagine, caucus, its just been meeting about the asylum seeker policy.
WONG: Yes.
VIZARD: I know this is a divided issue, a contentious issue where are you up to? Youve got those advocating onshore processing, those advocating offshore processing. Where is it sitting at the moment?
WONG: This is a difficult issue, obviously the High Court decision did alter the way in which most people understood the law. Weve had a long discussion today, which youre aware of actually, that was why I wasnt able to come on your program earlier, when you first asked. But, I understand that the Prime Minister and the Minister for Immigration will be making a public statement shortly, so I probably should leave it to them, Steve.
VIZARD: Alright, we look forward to hearing that. Penny Wong, thanks for your time, and good to talk to you again.
WONG: Good to be with you. Thank you.
ENDS