Julia Gillard delivered her report card on the Government's 10-year "closing the gap" program to improve Indigenous health and education, saying improvements had been made in education but she is concerned that rivers of grog may return to Aboriginal communities.
STEVE CANNANE, PRESENTER: Julia Gillard and Tony Abbott have joined forces to pressure the Northern Territory's Country Liberal Government to reintroduce restrictions on alcohol sales.
While delivering the report card on the Government's 10-year Closing the Gap program to improve indigenous health and education, the Prime Minister spoke of her fear of "rivers of grog" returning to Aboriginal communities.
But the Territory Government is telling Canberra to butt out, saying it will handle the Top End's drinking problems its own way.
Political correspondent Tom Iggulden reports.
TOM IGGULDEN, REPORTER: It's a blight on Indigenous communities that successive governments have tried and failed to deal with for decades. Now the Prime Minister says just as one policy was having a real impact on problem drinking, the Northern Territory Government has axed it.
JULIA GILLARD, PRIME MINISTER: I have a real fear that the rivers of grog that wreaked such havoc amongst Indigenous communities are starting to flow once again. The Government will take action in response to any irresponsible policy changes that threaten to forfeit our hard won gains.
TONY ABBOTT, OPPOSITION LEADER: And I share the Prime Minister's concern about actions in the Northern Territory in respect of the banned drinkers register - and I note that this was an initiative of the former Howard Government, particularly sponsored by the former minister, Mr Mal Brough, and it should be preserved.
TOM IGGULDEN: Scrapping the banned drinkers list has had a noticeable impact on the ground, says the local member for one of the areas hardest hit by problem drinking.
WARREN SNOWDON, MEMBER FOR ALICE SPRINGS: We've seen an immediate spike in drunkenness around Alice Springs. We've seen immediate ... we've seen hordes of people lining up at bottle-os and in grog shops.
TOM IGGULDEN: The Prime Minister's got numbers she says shows the policy was working before it was scrapped.
JULIA GILLARD: According to the then-Northern Territory government after its first year of operation, alcohol related assaults dropped in Darwin, Palmerston, Alice Springs and Katharine. There were 10,000 fewer anti-social instances reported. People felt safer walking around their home towns.
DAVE TOLLNER, NT HEALTH MINISTER: Well, I've never heard of those Territory Government figures that she's quoting. I have absolutely no idea where she's found those numbers.
TOM IGGULDEN: The Northern Territory Government's angry about the Prime Minister's threat to take action to have the policy returned and Mr Abbott's apparent backing of her call.
DAVE TOLLNER: Both are somewhat misinformed about the effectiveness of the banned drinker register in particular. It was a failure, it never worked, it was a great waste of money.
TOM IGGULDEN: The Country Liberal Party campaigned strongly on relaxing drinking restrictions during last year's Territory elections.
DAVE TOLLNER: We had a strong mandate to get rid of the banned drinker register - and unlike the Labor Government here in Canberra we don't break election commitments.
TOM IGGULDEN: Mr Tollner's a former member of the Federal Parliament ...
ABC REPORTER: He was convicted of drink driving in 2001.
TOM IGGULDEN: ... who has his own history with the demon drink. He was once alleged to have caused an in-flight disturbance on his way to a parliamentary sitting in Canberra.
ABC REPORTER: Rob Sawford says Dave Tollner harassed Christopher Pyne throughout the trip and reached over to ruffle his hair.
TOM IGGULDEN: The Prime Minister's warning to the Northern Territory Government came as she delivered her Government's annual report card on the Close the Gap, aimed at improving the living standards of Indigenous Australians. On education, the Government's met its pledge to provide preschool education for Indigenous 4-year-olds.
JULIA GILLARD: The mistakes made in one generation are being repaired in the next. The gap is being closed.
TOM IGGULDEN: A greater proportion of Indigenous students are finishing Year 12 but reading and maths proficiency has dropped.
JULIA GILLARD: I cannot conceal that these literacy and numeracy results are a source of personal disappointment. Last year's optimism gives way this year to a starker realism.
TOM IGGULDEN: On health, infant mortality rates have dropped significantly.
JULIA GILLARD: And the tragic reality of Indigenous children dying before their 5th birthday at twice the rate of other Australians will become a sad relic of history.
TOM IGGULDEN: Employment rates are rising slowly but in line with the Government's targets. The focus on Indigenous need was a rare break from the political jousting of Parliament's opening week - given an extra spark today by a visit to the chamber from former prime minister Bob Hawke.
JOE HOCKEY, SHADOW TREASURER: And the last Labor prime minister to deliver a surplus!
TOM IGGULDEN: The Opposition's continuing to remind the Government of its now-abandoned surplus promise.
JOE HOCKEY: I refer the Treasurer to this taxpayer-funded newsletter, distributed in his electorate which states: "We have delivered a surplus on time, as promised."
WAYNE SWAN, TREASURER: This Government makes absolutely no apology for putting Australian jobs and Australian growth first. Absolutely no apology.
TOM IGGULDEN: In the Senate, the Opposition focused on yesterday's revelations that two ministers had stayed for free in a ski lodge owned by former NSW politician Eddie Obeid, who is now facing a major corruption probe.
ERIC ABETZ, OPPOSITION SENATE LEADER: How does the Minister reconcile his declaration on ministerial letterhead that he had received benefits from Mr Eddie Obeid in a personal capacity with his statement today that he has "never had so much as a cup of coffee" with Mr Obeid.
STEPHEN CONROY, COMMUNICATIONS MINISTER: I am such a close friend of Mr Eddie Obeid he couldn't even remember my name yesterday. He actually couldn't remember my name.
TOM IGGULDEN: Senator Conroy says he went to the lodge at the invitation of his cabinet colleague, Tony Burke.
TONY BURKE, ENVIRONMENT MINISTER: No one wants to be mentioned in the same breath as the deeply serious allegations that quite properly are being investigated in Sydney at the moment.
TOM IGGULDEN: The distractions for a Government trying to show it's getting on with business just keep coming.
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