Oprah helps Barbara Walters say goodbye

Oprah Winfrey and Hillary Clinton have surprised Barbara Walters as she taped her final edition of The View.

OPRAH Winfrey and former Secretary of State Hillary Clinton have surprised Barbara Walters as the legendary American newswoman taped her final edition of The View to end a five-decade career on television.

Actor Michael Douglas, a longtime friend and frequent subject for Walters' interviews, also dropped by for the tribute.

Looking smart in a cream-coloured blazer and a black skirt, the 84-year-old Walters was presiding over a studio audience of friends, colleagues and fans on hand to witness a bit of history.

Although she will retain a behind-the-scenes role as executive producer of the talk show she created 17 years ago, she is ending her daily on-air involvement, while limiting her appearances to the occasional story or interview.

Oprah has helped journalist Barbara Walters tape her final edition of the View and retire from TV.

"I can't believe this day has come, and I can't believe it's for real," Clinton told Walters, who began her career in 1962.

Typically, Walters couldn't let Clinton get away without fielding the question on so many minds: Is she running for president in 2016?

"I am running," smiled Clinton. "Around the park."

A bit later, Douglas brought the subject up again with Walters.

"If Hillary runs," he said, "I bet you'd be a great vice president."

Some of the best moments happened during commercial breaks, never to be seen by viewers. Then audience members could snap photos and interact with Walters and her co-panellists (Whoopi Goldberg, Sherri Shepherd and Jenny McCarthy).

The audience erupted at the sight of Winfrey, who told Walters, "You're the reason I wanted to be in television."

"You shattered the glass ceiling for so many women," said Winfrey, who then brought on a startling parade of them, some two dozen prominent on-air women including Diane Sawyer, Katie Couric, Robin Roberts, Gayle King, Connie Chung and Joan Lunden.

"You are my legacy," Walters, visibly moved, said to them as they crowded around her onstage.

The hour had its comic twist: In a pre-taped segment, Walters (who, after all, has interviewed everybody else) lobbed some questions at herself, in the person of former Saturday Night Live cast member Cheri Oteri doing a spot-on Walters imitation.

Walters brought the hour to a close with a heartfelt statement looking back with amazement on her career.

But a more telling moment took place during a break, as the throng of women she had paved the way for posed with her for a group portrait.

"I have to remember this on the bad days," Walters said quietly, "because this is the best."

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Police hunt two sex predators in Melbourne

A man has tried to sexually assault a woman in the inner Melbourne suburb of Brunswick. Source: AAP

THE hunt is on for two sex predators who attacked three women in the same Melbourne suburb where Jill Meagher died.

Police say an assault on Friday night in Brunswick is not linked to two similar attacks a week earlier.

A 21-year-old woman was walking through a park at 8pm on Hope St in Brunswick West on Friday when grabbed from behind.

The assault continued until she called out to a passing cyclist and the attacker stopped and ran.

Another woman has been assaulted in Brunswick, Melbourne overnight as police hunt two serial predators.

Detective Acting Senior Sergeant Michael Phyland said on Saturday police would like to speak to the cyclist and anyone else who might have seen the incident.

It came after another man grabbed two woman from behind and dragged them down side streets in Brunswick in the early hours of May 10.

Both were able to fight him off and escape.

Jill Meagher was raped and murdered after being snatched from a Brunswick street in 2012.

Sgt Phyland said men and women should be careful when walking at night in the suburb.

"Where you can, take well lit areas, be aware of your surroundings, take the safest path that you can," he told reporters.

Sgt Phyland said descriptions of the two men were different and the attacks were not linked.

The Friday night offender is described as Caucasian, with a medium to solid build, aged in his 30s, with dark hair, blood-shot eyes and a beard.

Police have released CCTV footage of the other man wanted for the May 10 attacks.

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Cabbie car-jacked in NSW Hunter region

A taxi driver has been beaten up, robbed and car-jacked in the NSW Hunter region. Source: AAP

A TAXI driver had his nose broken during a terrifying ordeal in which he was beaten up, robbed, kidnapped and car-jacked by a drunken passenger in NSW's Hunter region.

The cabbie picked up a man in Kurri Kurri on Saturday morning and was asked to drive to Newcastle.

Police say that on the way, the passenger asked to be driven to a caravan park in Maitland to collect money for the fare.

Once at the caravan park, the driver and passenger went inside a cabin where it's alleged the passenger pulled out a knife, kicked the taxi driver in the head and took his wallet.

The passenger then allegedly forced the taxi driver into the passenger seat, cut the wires to the taxi meter, radio and CCTV system; and started speeding north on the Pacific Highway.

Police used road spikes to stop the taxi after detecting it travelling at 185km/h on the Pacific Highway at Moorland.

A 28-year-old man was arrested and taken to Taree Police Station, where a breath-analysis test returned an reading of 0.106.

He is still being questioned and is expected to be charged later on Saturday.

The taxi driver was taken to Manning Base Hospital suffering swelling, abrasions and bleeding to his face, and a broken nose.

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Israel designs hi-tech fin to save turtle

A prosthetic fin has been built to save the life of an injured sea turtle in Israel. Source: AAP

A BADLY injured sea turtle's prospects are looking up - thanks to a new prosthetic fin designed by an Israeli team and modelled on the wings of a US fighter jet.

The green sea turtle, named "Hofesh," the Hebrew word for "freedom," was caught in a fishing net off Israel's Mediterranean coast in early 2009.

With his two left flippers badly wounded, rescuers had to amputate, leaving him with a pair of stumps that made it difficult to swim.

Yaniv Levy, director of Israel's Sea Turtle Rescue Centre, said on Saturday Hofesh was initially fitted with a diver's fin but it provided little relief and he bumped into things as he tried to swim.

Shlomi Gez, an industrial design student at Jerusalem's Hadassah College, read about the animal on the internet and wanted to help.

He designed a prosthetic based on a fish's dorsal fin. The contraption provided some improvement but Hofesh still had trouble breathing and rising to the surface.

Then, inspired by the design of Lockheed Martin Corp's F-22 Raptor warplane, Gez designed a new prosthetic with two fins.

The device, somewhat resembling the aircraft's wings, was strapped onto Hofesh's back on Thursday, allowing him to move easily around his tank.

"I discovered it worked better than one fin on the back," Gez explained.

"With two fins, he keeps relatively balanced, even above the water."

Levy said Hofesh will never be able to return to the wild.

But he shares a tank with a blind female turtle named Tsurit, and researchers are optimistic the pair will mate, potentially adding to the local population of the endangered green sea turtles.

He said it is difficult to say exactly how old the two turtles are but they are estimated to be between 20 and 25 and approaching the age of sexual maturity.

"We have great plans for this guy," Levy said.

"They will never go back to the wild but their offspring will be released the minute they hatch and go immediately into the sea and live normally in the wild," he added.

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Tinkler faces ICAC over pollie donations

Nathan Tinkler tells ICAC, he gives to political parties because he's a great guy. Source: AAP

NATHAN Tinkler has told NSW's donation rort inquiry he gives to political parties because he's "such a great guy", not because he thinks his largesse will buy favours.

The Independent Commission Against Corruption (ICAC) is probing more than $400,000 in payments to alleged NSW Liberal slush fund EightByFive, including $66,000 by the former mining mogul's racehorse business, Patinack Farm.

Counsel assisting the inquiry Geoffrey Watson SC alleges the money was funnelled through Patinack from another Tinkler business, development firm Buildev, and that Mr Tinkler was trying to win support for a lucrative coal loader on the Newcastle foreshore.

Mr Tinkler told the ICAC on Friday he "didn't know about Eighty By Five" until the company hit the headlines, courtesy of the inquiry that has now toppled four Liberal MPs and two NSW ministers.

Nor did he accept suggestions he arranged for two employees and their partners to donate $5000 apiece to the Nationals to sidestep laws that cap individuals' electoral donations.

But he has admitted to a $45,000 personal donation to the Nationals and handing over $50,000 to a Newcastle group manoeuvring to oust then-ALP MP Jodi McKay at the 2011 NSW election.

Mr Tinkler also signed off on $53,000 in payments to another alleged Liberal front group, the Canberra-based Free Enterprise Foundation.

"You share it around," he said.

Mr Watson didn't buy it, asking: "Why would you give that away if you weren't getting something in return for it?"

"Because I'm such a great guy," the witness quipped.

"I've never had a political favour in my life."

He also said he was "quite annoyed" when he learned the financially troubled Patinack had been spending thousands each month on an EightByFive retainer, ostensibly for marketing services and political advice.

But Mr Watson said it was a crooked deal designed to subvert NSW electoral funding laws, which ban developers making political donations, and signed off by Mr Tinkler himself.

"You knew, Mr Tinkler, didn't you, that Buildev was paying money into a campaign associated with Liberal Party politicians and funding it under a subterfuge," he said.

"No I didn't," Mr Tinkler replied.

Emails obtained by ICAC show Buildev executive Darren Williams was seeking advice in 2010 on "which entity" to give Mike Gallacher - the former NSW police minister allegedly in on the scam - and was told by his colleague David Sharpe Mr Tinkler should have the final say.

Phone records show Mr Williams rang Mr Tinkler four minutes later.

Asked on Friday what they might have discussed, Mr Tinkler joked: "Probably footy scores."

During two hotly anticipated hours in the witness box, Mr Tinkler was both feisty and playful - though at lunchtime was heard to remark: "This is some of the most boring s*** I've ever seen."

However, he was emphatic when questioned over claims he offered former Newcastle MP Ms McKay a bribe to win her support for the coal loader - and that when she turned him down, he funded a leaflet campaign to "destroy" her.

"Definitely not," he said.

"I never took this to her, I never asked for her support."

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Donation law concerns cost me job: Davis

CHRIS Davis says he was sacked as Queensland's assistant health minister partly because he raised concerns about changes to political donation laws.

Premier Campbell Newman sacked Dr Davis this week, saying his decision to speak out against some aspects of the government's agenda had breached the Westminster principle of cabinet solidarity.

Dr Davis had publicly raised concerns about reforms to the Crime and Misconduct Commission and new work contracts for doctors.

On Friday, he told the ABC he believed there was another factor in his dismissal.

He said he had raised with the premier his concerns about the government's move to ease restrictions on political donations, and he believed that played a part in the decision to dismiss him.

He cited revelations at the NSW corruption inquiry as proof powerful interest are involved in politics and it would be naive to think similar forces weren't at play in Queensland.

"You only need to look across the border to NSW to actually see under current arrangements how there are a number of very powerful interests in any political system," he said.

"We have at the moment on the table a great relaxation of caps and donations and so on, just at the same time the new premier of NSW, Mike Baird is actually saying that he needs to nail shut the back door to government because it is actually causing so much damage.

"You don't make an investment in business unless you make a return on it. You'd be naive to think that the political gene pool changed when you crossed the border from NSW to Queensland."

Dr Davis said he was not offered the chance to offer his resignation when he met with the premier this week, and instead was sacked.

He said he believed there'd been a number of complaints made against him, and the premier felt compelled to send a message.

"I think it was a signal on a number of fronts. I think it was not just a technicality of the cabinet solidarity message, I think I had trod on some very powerful toes," Dr Davis said.

"It doesn't sting me so much but if you look at social media there has been a lot of concern about what sort of message it sends in terms of our style of government in Queensland, our tolerance, I guess, of democracy."

Dr Davis did not say if he would contest the next election as a member of the Liberal National Party, saying his pre-selection was a matter for the party.

A spokesman for the premier told the ABC Dr Davis never raised any concerns about electoral donation laws with either himself or Attorney-General Jarrod Bleijie and any claim that he did was completely wrong.

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Truck driver's arrest sparks SA drug bust

THE arrest of a truck driver in NSW has led to a drug bust in South Australia.

Police on Wednesday stopped a truck on the Sturt Highway, near Gol Gol, and found six bags of cannabis weighing about 160 grams, leading them to charge the 42-year-old driver.

Information about the arrest was shared with South Australia Police (SAPOL).

Members of SAPOL's Heavy Vehicle Enforcement Section on Friday searched the truck driver's home in Albert Park, SA, and allegedly located about two kilograms of dried cannabis, an amount of cash and a number of firearms.

The man was rearrested and charged with trafficking cannabis and firearms offences.

NSW Police Traffic and Highway Patrol Operations Commander, Superintendent Stuart Smith, said officers will continue to target the heavy vehicle industry to curb drivers and operators who break the law.

" ... whether that's through unsafe driving practices or criminal activities such as transporting drugs across borders," Supt Smith said in a statement.

The man was granted conditional bail to appear in Wentworth Local Court on July 8.

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Trial for academic over indecency claims

Criminologist Paul Wilson is ordered to stand trial for allegations he indecently treated two girls. Source: AAP

QUEENSLAND criminologist Paul Wilson has been ordered to stand trial over allegations he indecently treated two girls in the 1970s.

The former head of criminology at the Gold Coast's Bond University was on Friday committed to stand trial on six charges of indecent treatment of girls under 17.

After three days of witness testimony Brisbane Magistrate John Costello ruled there was enough evidence to commit the 73-year-old to trial.

Wilson pleaded not guilty to the charges.

The trial is expected to take place in the District Court in Brisbane at a date to be set.

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Abbott hits back over state budget riot

Prime Minister Tony Abbott is confident he can get controversial budget measures through parliament. Source: AAP

PRIME Minister Tony Abbott has told the states they must accept there are "swings and roundabouts" when it comes to federal money.

Angry state and territory leaders have organised a meeting for this Sunday in Sydney to discuss the federal budget's $80 billion cut to school and hospitals funding.

The meeting comes as Labor and the Greens are poised to block many of the federal budget measures, with the government left to horse-trade with new Senate cross benchers after July 1 to pass a new Medicare co-payment and pension and welfare changes.

The next state leader to face an election, Victorian Premier Denis Napthine, said he had a long and strong conversation with Mr Abbott on Thursday about the budget.

"We have from between 2014 and 2017 to absolutely shake the federal government from their top to their bottom so they understand their responsibility to meet their share of public hospital payments," the Liberal premier said.

Mr Abbott told parliament he had made it clear to all the states and territories that in 2017/18 there would be a "lower rate of increase" in funding.

"Not a cut," he said.

Arguing that road funding was boosted in the budget, Mr Abbott said: "As far as the states are concerned there are swings and roundabouts."

Treasurer Joe Hockey backed up the prime minister, saying the states would still receive $400 billion in the six years from 2017 for schools and hospitals once agreements signed with the previous Labor government expire.

"It is not cost-shifting because we don't run the schools or hospitals," he said.

Opposition Leader Bill Shorten accused the prime minister of "deceit", having promised before the election no cuts to health or schools, no new or raised taxes and no changes to pensions.

He said modelling from NATSEM (National Centre for Social and Economic Modelling) showed that some families would lose $6000 a year by 2016 because of budget measures.

Labor would fight for those families.

"If you want an election try us ... bring it on," he said in his budget reply.

Mr Abbott and Mr Hockey admitted getting the budget through the Senate could take some horse-trading, but said Labor should pass the legislation and take responsibility for leaving the books in a mess.

"I've got some advice for Tony Abbott ... why don't you horse-trade away your paid parental leave scheme and leave the pensioners alone," Mr Shorten said.

Labor has yet to decide whether to support a temporary income tax rise for people earning more than $180,000 a year, but it will oppose the Medicare co-payment, pension changes and the fuel tax lift.

Mr Hockey said the $7 Medicare co-payment was only about the cost of two "middies" of beer and much less than the $22 cost of a packet of cigarettes.

The Greens will support the fuel tax rise.

The treasurer rejected a challenge from shadow treasurer Chris Bowen to debate the budget at the National Press Club next week.

Delivering his budget-in-reply speech to parliament on Thursday, Mr Shorten said Labor would oppose deregulated university fees, the Medicare co-payment, the fuel tax rise and hits to pensions and the dole.

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Labor pounce on second staffer conflict

Federal Minister Nigel Scullion is under fire over a staff member cited for conflict of interest. Source: AAP

LABOR has vowed to continue probing a second Abbott government minister over conflict of interest allegations.

William "Smiley" Johnstone resigned as an adviser for Indigenous Affairs Minister Nigel Scullion after it was revealed he was also chief executive and majority shareholder of the Indigenous Development Corporation.

Senator Scullion has defended Mr Johnstone's employment, saying his sole role of devising the school attendance strategy meant his private activities did not create a conflict of interest.

But Opposition Senate Leader Penny Wong says Mr Johnstone's employment showed an "arrogant disregard" for the standards for ministerial staff.

Senator Scullion told the Senate on Thursday there had been "a couple of items that required follow up" in Mr Johnstone's private interests disclosure, filed at the time of his employment.

Five months later, that process was still under way when a media inquiry forced Senator Scullion's office to address the potential conflicts and ask Mr Johnstone to "amend some of his personal affairs".

Mr Johnstone never intended to stay on fulltime and chose to resign, Senator Scullion said.

Senator Wong promised to explore that in more detail.

"The Australian people are entitled to know why not one but two ministers in this chamber happen to have staff who have interest in the portfolio that they administer."

In February, Assistant Health Minister Fiona Nash's staffer Alastair Furnival resigned over conflict of interest allegations.

Mr Furnival had a shareholding in his wife's public relations company, which has links to the junk food industry.

Unlike the case of Mr Furnival, who was accused of ordering the removal of a Health Department healthy food-rating website, there are no allegations Mr Johnstone made calls that affected his private interests.

The Abbott government's revised guidelines for ministerial staffers require divestment from private companies with a direct interest in their minister's portfolio.

The standards also forbid directorship of any company without written agreement of their respective minister and of the Special Minister of State.

Senator Wong asked Special Minister of State Michael Ronaldson if he had provided a written agreement regarding Mr Johnstone's employment on Thursday, which he took on notice.

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Uncensored Rudd reveals batts flaws

Kevin Rudd move to expose cabinet discussions about insulation scheme had a short-lived opposition. Source: AAP

OPPOSITION to Kevin Rudd's plan to reveal the innermost secrets of the federal government lasted for a little less than 16 hours.

The former prime minister's 31-page statement to the royal commission into the 2009 home insulation program was initially heavily blacked out or "redacted" at the insistence of government lawyers intent on protecting cabinet confidentiality.

Mr Rudd's lawyer had insisted his client could not tell the truth about the disastrous program that claimed the lives of four young workers if he was not permitted to tell his story in full.

Resistance was strong on Wednesday afternoon but evaporated on Thursday morning, when government lawyer Tom Howe QC said the Commonwealth supported "public ventilation" of everything Mr Rudd wanted to say.

What emerged from the document was Mr Rudd's portrait of the prime minister and his ministers as entirely reliant on the information and advice placed before them by the public service - the people he described at the commission as the "wicketkeepers" of his home insulation scheme.

Starting with the reason for implementing the insulation scheme, Mr Rudd reveals that an all-weekend sitting of senior cabinet ministers - Julia Gillard, Wayne Swan, Lindsay Tanner and himself - in October 2008 was warned that Australia faced recession and a nine per cent unemployment rate if nothing was done to combat the unfolding global financial crisis.

One response was the $2.8 billion home insulation scheme, devised as a make-work scheme to boost the economy.

Much of what was initially redacted from Mr Rudd's statement is simply anything mentioning cabinet processes, however mundane, but some reveal that even after people started dying, no alarm was raised about the program.

Mr Rudd described a briefing system used by the Department of Prime Minister and Cabinet to warn cabinet about "any programs going off the rails".

The reports were colour-coded: green for "on track", amber for "maintaining close watch" and red for "in difficulty".

From its July 2009 inception to until February 2010 when its immediate closure was urged, the program was never rated anything other than green for "on track".

Among other details is Mr Rudd's recollection of a January 28, 2009, cabinet meeting that considered the rollout of the Home Insulation Program.

Issues discussed concerned timelines and costs, Mr Rudd says, but workplace safety standards never came up.

The statement also shows a public service task force was set up four days after the February 4, 2010, death of Mitchell Sweeney, who was the last worker to die during the life of the scheme.

On February 17, the taskforce advised Mr Rudd's cabinet committee of senior ministers of "significant program design risks, notably safety risks ... and the need to exit the overall program".

The same day the committee accepted the taskforce's recommendation to terminate the program.

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Boat turn-back lawful: border commander

THE army general leading Australia's border security crackdown is confident authorities did not commit a people-smuggling offence when turning an asylum seeker boat back to Indonesia this month.

Indonesian navy officers have claimed Australian authorities added three people to an asylum seeker boat before sending it back to their country.

The Australian Federal Police are considering a request to investigate the matter, which legal experts say might constitute a people-smuggling offence under Australian law.

But Lieutenant-General Angus Campbell maintains the boat turn-backs being carried out are consistent with international obligations and domestic law.

"I am confident ... we have taken lawful procedures to conduct operations," the Operation Sovereign Borders commander told an Australian Strategic Policy Institute dinner in Canberra on Thursday.

The federal government has declined to comment on the incident, citing "operational issues".

No people-smuggling ventures to Australia have been successful since late December, but Lt Gen Campbell warned that although the way to Australia was closed, it was not a case of mission accomplished.

"To modify a well-known and very apt phrase, the price of border security is eternal vigilance," he said.

Threats to Australia's border security remain as asylum seekers bide their time in Indonesia, holding out for changes to policy or operations, he said.

He expressed doubt about whether authorities could have reduced arrivals without the turn-back policy.

"There are too many prospective travellers susceptible to believing that Nauru is a town in Australia," Lt Gen Campbell said.

He said desperate smugglers were offering discounted rates and free travel for children.

Lt Gen Campbell said his team was proud to be preventing asylum seekers drowning during dangerous voyages.

Tuesday's budget allocated $480.5 million to establish a new super front-line agency, Border Force Australia, from July 2015, which will absorb Operation Sovereign Borders.

The new agency will replace customs and take on some functions of the immigration department. A commissioner will be appointed to lead the force.

"I look with interest to whoever might be appointed while I'm pursuing other pathways in my life," he said.

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Aust tennis great Court helps Ugandans

AUSTRALIAN tennis great Margaret Court has landed in Uganda on a week-long visit to promote the sport in the east African nation.

Court, 71, her husband Barry and tennis coach Matthew Carle were welcomed by hundreds of players when they touched down at Entebbe International Airport on Tuesday night, local time.

"I want to help Uganda nurture its own world champions," the 62-time grand slam title winner said.

Court likened her early life to that of young Ugandans.

"Coming from an underprivileged background, I became a world champion as early as a teenager of 17," she said.

"New champions can be made from places like this."

Tennis coach Robert Muganga said Ugandan players were delighted to host such an important sports personality.

"We are going to learn a lot from her," he said.

Court will help more than 100 children with their tennis skills at coaching clinics during her stay.

Court, who is a Christian minister, will also hold motivational talks at Lugogo tennis court and at Miracle Centre Cathedral in Kampala, where she is expected to preach on Sunday.

Court won 24 singles, 19 doubles and 19 mixed doubles grand slam events during her career in the 1960s and '70s.

In 1970, she became the first woman during the Open era and the second woman in history to win the singles grand slam in all four majors in the same calendar year.

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Yahoo snaps up messaging app Blink

YAHOO is buying the mobile messaging app Blink.

Terms of the deal, which was announced on Wednesday on Blink's website, are not being disclosed.

Messages sent through the Blink app self-destruct after a certain amount of time.

The app allows users to send texts, sketches, record audio, make videos and take photos.

Blink will shut down both the iOS and Android versions of the app in the coming weeks before the switchover.

Yahoo, based in Sunnyvale, California, has bought numerous startups since the arrival of CEO Marissa Mayer two years ago as it tries to reverse declining revenue.

The deal follows Facebook's $US19 billion ($A20.56 billion) deal earlier this year for the messaging app WhatsApp.

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Italy diplomat denies abuse in Philippines

AN Italian diplomat facing human trafficking and child abuse allegations in the Philippines has denied any wrongdoing.

Daniele Bosio, who has been suspended as Italy's ambassador to Turkmenistan, submitted an affidavit on Wednesday denying the criminal complaints and spoke briefly to reporters for the first time since his arrest on April 5 while vacationing in the Philippines.

Bosio has been detained in a municipal jail in Laguna province south of Manila since being arrested in the company of three boys aged 9-12 at a local resort.

Tears came to Bosio's eyes when more than a dozen children from a Christian school in Manila arrived to show support for him.

He has been giving financial support to the school for several years.

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NSW police officer charged with assault

A NSW police officer has been charged with assaulting a colleague during a domestic dispute.

The female senior constable, attached to a command in the Western Region, was summonsed to court after allegedly assaulting another officer during a domestic dispute.

Police say the charges relate to an incident that occurred on May 3, while the officer was off-duty.

She will appear at Wentworth Local Court on July 7.

The officer has been suspended from duty with pay.

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Budget attacks Queensland, says govt

Queensland's premier says he'll attack the federal budget if it's a raw deal for his state. Source: AAP

QUEENSLAND will benefit from billions of dollars worth of infrastructure funding in the federal budget, but the state government says changes to health and education are an attack on the state's finances.

More than $9 billion will be spent on projects including the Bruce Highway, the Melbourne to Brisbane inland railway, venues for the Gold Coast Commonwealth Games in 2018 and the Toowoomba Second Range Crossing.

"These projects are essential projects for Queensland and will help us to grow our four pillar economy," said Treasurer Tim Nicholls.

Mr Nicholls said the $7 GP co-payment and reducing funding to the Better Schools Plan were deeply disappointing changes.

"The revisions are nothing more than an unjustified attack on the state's delivery of health and education services," he said.

"We will use the time between now and the implementation of these measures to take the fight to Canberra.

"These changes will significantly increase the pressure on the state's budget, as we believe the shifting of expenditure to the state's budget is unsustainable.

"Of particular concern is the freezing of indexation payments to local governments. The state is not in a position to assist, given our own budget repair task, so this reduction in funding is going to increase the strain on local governments."

Shadow treasurer Curtis Pitt says the budget shows Prime Minister Tony Abbott is like Queensland Premier Campbell Newman when it comes to telling the truth and keeping promises.

"Tony Abbott and Campbell Newman are two peas in a pod. They say anything to get elected, and then they break promise after promise to the people who put their trust in them," Mr Pitt said in a statement.

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Non-mining industries told to fire up

THE mining industry has underpinned Australia's budget for a decade but Treasurer Joe Hockey says its peak has passed and it's now time for other industries to step up.

Treasury forecasts the Australian economy will grow below trend in 2014/15 chiefly because of a fall in investment in resources projects.

New engineering construction in Australia was expected to fall 13 per cent in 2014/15 and 20.5 per cent the next year.

Coal and iron ore prices are also tipped to continue falling due to growing world supply and moderating Chinese growth.

Iron ore is Australia's number one export and crucial to budget revenues, but its price has plunged 20 per cent in the last four weeks.

The economy is now going through an extraordinary period of transition, in a reversal of the shift during the boom of labour and capital into resources.

"Mining and resources represent about 10 per cent of our economy but two per cent of our employment," Treasurer Joe Hockey told parliament.

"So now we need to fire up the rest of the economy."

Despite the negative outlook for resources, miners will get $100 million in tax offsets to keep exploring for new minerals.

University of Melbourne business and economics professor Neville Norman said he was more optimistic than the government about the resources industry, saying they may be underestimating its strength.

"It will make a big difference to corporate revenue and mining revenue if prices do go up," he told AAP.

"There is nothing more speculative in the budget than speculating on that."

The mining tax, which the government wants to repeal, was expected to raise $100 million in 2013/14, down from $200 million last year, and well down on original forecasts for $10.5 billion in those two years, the government said.

How Australia emerged from the transition would depend chiefly on how quickly non-resources business investment started picking up from its subdued state, Treasury said.

Australia's suite of new liquefied natural gas projects offer hope for new revenue, but there exists uncertainty about gas prices, and investment is falling now mega-projects were mostly built, it said.

The gas industry today is part way through an investment of around $200 billion on seven LNG projects, and will roughly double in export value by 2015-16, overtaking coal, the government said.

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Car industry cuts face Senate block

THE Abbott government's cuts to car industry assistance could be blocked in the Senate.

Industry Minister Ian Macfarlane announced on Tuesday the shutdown of a number of automotive sector programs, with funding redirected to new innovation and training plans.

Unions estimated the cuts to the auto industry totalled $838 million.

Under the government's new schemes, $480 million will be spent on an entrepreneurs' infrastructure program bringing research and business together to develop and commercialise home-grown ideas.

There is also a $476 million industry skills fund and $50 million for a manufacturing transition grants program.

A $155 million growth fund will help industry transition from car manufacturing to new products.

"Our new industry approach builds on our strengths by improving productivity, rewarding entrepreneurship and giving companies the structural support to back themselves," Mr Macfarlane said.

But independent senator Nick Xenophon said the budget tossed a "wrecking ball" through the automotive sector.

"The federal government is destroying any chance of new jobs and new industries and new markets being found," he said, adding he would oppose the bill when it came to parliament.

Democratic Labor Party senator John Madigan said the budget had pulled the rug from under many automotive businesses and threatened 33,000 jobs.

Labor spokesman Senator Kim Carr declined to comment, but has previously expressed concern about industry assistance cuts.

The budget cut $215 million that was to go to Holden to make its next-generation vehicles.

A company spokesman said Holden won't need the money as it will stop making cars in Australia in 2017.

The Australian Manufacturing Workers Union said the government had failed auto workers in Victoria and South Australia.

"Tony Abbott's 'liberated' automotive workers won't be feeling very bright after today's budget," AMWU president Andrew Dettmer said.

He said the budget's total funding cut for the car industry came in at $838 million and car makers were now likely to close their factories earlier than expected.

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Shocking day for NT: Opposition

IT has been a shocking day for Territorians hit with a one-two punch of the Northern Territory and federal budgets, the Labor opposition says.

NT Treasurer Dave Tollner will comment on the national figures on Wednesday, his spokesman said, but others have been quick to respond.

"Territorians will be disproportionately affected twice a year by the fuel excise increase, with motorists already paying too much for fuel, about $2 a litre in regional areas and $1.72 in Darwin," Opposition Leader Delia Lawrie said.

Seniors have had benefits cut from both budgets. A mean test has been put in place to access NT benefits, and the eligibility age for the Commonwealth age pension will be increased to 70 by 2035.

The age pension's means test thresholds will be frozen for three years, and there will be a tougher income test for self-funded retirees to receive the Commonwealth Seniors Health Card.

Ms Lawrie said there was more cause for concern.

"Extremely concerning is the $500 million cut to indigenous services and the $80 billion axe taken to schools and hospitals across the nation," Ms Lawrie said.

The federal government says $593.7 million will be invested in NT roads.

Projects include more funding for NT roads, with the strengthening and widening of road pavements, flood immunity improvements and fatigue management measures, which will have a federal contribution of $77 million.

There are also upgrades to six regional roads, which will improve flood immunity, safety and reliability for communities at a federal cost of $90 million, although the opposition says this is merely a repackaging of a deal fully costed and funded by the former Labor NT and federal governments.

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Pistorius has 'anxiety disorder': Doc

THE chief prosecutor in the murder trial of Oscar Pistorius says that the double-amputee athlete should be placed under psychiatric observation after an expert called by the defence said Pistorius has an anxiety disorder.

Judge Thokozile Masipa has not yet ruled on Monday's request.

Prosecutor Gerrie Nel said he had no other option but to ask for a study of Pistorius' mental health following testimony by a psychiatrist, who said the Olympic runner's anxiety could have shaped the way he responded to perceived threats.

Pistorius has said he killed girlfriend Reeva Steenkamp by mistake last year, fearing that there was an intruder in his home when he fired through a closed toilet door in the early hours of February 14, 2013.

The prosecution says he killed her intentionally after an argument.

Psychiatrist Dr. Merryll Vorster said events during Pistorius' life, including the amputation of his lower legs as a baby and his late mother's habit of sleeping with a gun under her pillow, contributed to his "increasing stress."

"Overall, Mr. Pistorius appears to be a mistrustful and guarded person," Vorster testified.

She said the Olympic athlete displayed "escalating levels of anxiety" through his life when she interviewed him this month.

Vorster said she also spoke to members of Pistorius' family, some of his friends and his agent.

Pistorius' defence said at the outset of its case that it would show his feelings of "vulnerability" and his disability contributed to him shooting Steenkamp.

Pistorius is charged with premeditated murder and faces 25 years to life in prison if convicted.

Vorster's testimony also dealt with what she said was Pistorius' fear of crime and how, because he was a double amputee, he reacted to perceived threats in a different way to other people.

She noted Pistorius' mother, who died when he was a teenager, slept with a gun in her bed and also had a fear of being attacked in her home.

Cross-examining Vorster at the start of the eighth week of the trial, prosecutor Nel asked if she was saying Pistorius had a mental illness and should undergo a 30-day period of observation, and if he was changing his defence to one of "diminished responsibility."

Nel also asked the psychiatrist if someone who was suffering from an anxiety order of the kind that she had diagnosed in Pistorius, and also had access to guns, would be a danger to society. Vorster said the person would, indeed, be a danger.

Talking specifically about the shooting of Steenkamp, Vorster said Pistorius was more likely to try and "fight" what he thought was an intruder than run away, because his disability meant it was harder for him to flee.

Pistorius was on his stumps when he fired four times through the toilet stall door with his licensed 9 mm pistol, killing Steenkamp.

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Gary Barlow urged to return OBE

Take That star Gary Barlow is facing calls to hand back his OBE over tax avoidance allegations. Source: AAP

TAKE That star Gary Barlow is facing calls to hand back his OBE over claims he invested in a tax avoidance scheme.

Prime Minister David Cameron hit out at "aggressive" tax avoiders while senior MPs from across the political spectrum waded in to voice their displeasure.

The singer and two other members of Take That refused to comment on reports over the weekend that they face having to pay tens of millions of pounds in tax after a court ruled a partnership in which they invested was a tax avoidance scheme.

Barlow along with Howard Donald, Mark Owen and their manager Jonathan Wild invested STG66 million ($A120.47 million) into two partnerships styled as music-industry investment schemes, according to reports.

Judge Colin Bishopp ruled that 51 partnerships set up by Icebreaker Management were to secure tax relief for members and HM Revenue and Customs is now expected to demand repayment.

It was alleged in 2012 that Barlow, Donald, Owen and Wild invested at least STG26 million in a scheme run by Icebreaker Management.

At the time Take That's lawyers insisted the bandmates believed the investments were legitimate enterprises and that all four named paid "significant tax".

Cameron told The Times: "I am opposed to all aggressive tax avoidance."

Barlow, who has previously been seen on the campaign trail with Cameron, masterminded the Queen's Diamond Jubilee concert and was given an honour for services to the entertainment industry and to charity in 2012.

Labour's Margaret Hodge, chair of the public accounts committee, who has brought a spotlight to bear on tax avoidance, said Barlow "might want to show a bit of contrition by giving back his OBE".

Liberal Democrat chief secretary to the Treasury Danny Alexander said: "People who don't pay the taxes that they should undermine the economy, damage our public services and place an extra, unfair burden on hard-working families and companies who play by the rules."

Conservative Charlie Elphicke told the newspaper: "People who have seriously abused the tax system should be stripped of their honours."

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Shorten open to talks on MP standards

The Labor caucus has discussed the need for anti-corruption checks at a federal level. Source: AAP

OPPOSITION Leader Bill Shorten is willing to talk to the Abbott government about ways to prevent corruption.

Mr Shorten was asked during Monday's federal Labor caucus meeting in Canberra whether he supported a national version of NSW's Independent Commission Against Corruption.

The Labor leader told colleagues he was willing to talk to the government about reforms to improve the performance and standards of MPs.

But he did not elaborate on what form of new checks he supported.

The Australian Greens on Thursday will push for a vote on a bill to put in place a national anti-corruption body.

The National Integrity Commission would have three officers: a national integrity commissioner, a law enforcement integrity commissioner and an independent parliamentary advisor.

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Eurovision rates well but The Voice wins

IT was the battle of the voicepipes but local talent won over overseas glitz when The Voice beat Eurovision in the TV ratings on Sunday night.

The Nine Network reality talent show retained its perfect number one record with an audience of 1.894 million. Eurovision's mammoth four hour grand final telecast was 16th, but returned healthy figures for SBS.

The Eurovision finale ran from 7.30pm to 11.15pm and, while it lost out to The Voice, it beat several big shows on the commercial networks.

Eurovision, which was won by the bearded drag queen Conchita Wurst, garnered an average audience of 476,000 on OzTAM's overnight Sunday ratings.

It finished one spot ahead of Network Ten's crime series Elementary (470,000) and two spots clear of the Seven Network's Mr Selfridge (441,000).

Eurovision also proved a winner for SBS on Saturday night when a repeat of the semi final finished fifth with more than half a million viewers.

Nine also snared second and third spot with 60 Minutes (1.552 million) and Nine News (1.218 million), respectively.

Seven's reality series House Rules and Ten's MasterChef are holding up well in the face of going head-to-head with The Voice.

House Rules was fifth with 1.058 million viewers and MasterChef held down 10th spot with 770,000

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Thirteen migrants found dead in Sahara

THIRTEEN African migrants have been found dead in the Algerian desert and 33 others from a group being smuggled across the Sahara are missing.

Algerian media reports are quoting security sources in neighbouring Niger as saying the bodies of the victims were found close to Niger's border on Friday.

Security forces from both Algeria and Nigeria were on Sunday searching for the remainder of the group, which was said to comprise mostly women and children.

Their chances of survival in the desert were seen as slim.

El Watan newspaper reported that the migrants were from Niger, and that they were trying to join relatives who had settled in the Algerian region of Tamanrasset.

There was no official confirmation of their nationality.

Niger is both a source of illegal migrants and a destination for refugees fleeing unrest in other sub-Saharan countries such as Mali and Nigeria.

Algeria used to be a country of transit for migrants trying to reach Europe but as Europe tightens its borders more are choosing to remain in the North African country.

The Sahara Desert has claimed scores of lives in recent months.

In October, the bodies of 92 mostly women and children, who died of thirst after their vehicle broke down, were found in the desert in northern Niger.

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