AFGHAN President Hamid Karzai has vowed to wring concessions from the United States in negotiations to sign a security pact, saying Washington wanted to retain nine military bases in the country.
"We are in very serious negotiations with America," he said on Thursday.
"America has got its demands, Afghanistan too has its own demands, and its own interests... They want nine bases across Afghanistan."
LABOR and the coalition are at loggerheads over their workplace policies, after the opposition unveiled its proposals to bolster business.
Opposition Leader Tony Abbott said changes to the Fair Work Act were needed to help create one million jobs over the next five years, lift real wages and make businesses more competitive.
But Employment Minister Bill Shorten said the creation of 961,000 jobs since Labor came to power in 2007 showed its policies were right.
He pointed to new data showing the jobless rate fell to 5.5 per cent in April as 50,100 new jobs were created.
"The economy and jobs are working with the current laws," he told reporters in Brisbane.
While Mr Abbott said an incoming coalition government wouldn't return to the controversial Work Choices laws of the Howard government, it would make "sensible fair-minded changes".
"We want to protect workers' pay and conditions. We also want to maximise their opportunities to get good jobs," he told reporters in Sydney on Thursday.
The coalition intends to keep the Fair Work Act in place and won't touch unfair dismissal laws and penalty rates.
It also plans to set up two anti-corruption watchdogs and promote the use of the existing individual flexibility arrangements (IFAs).
Workers opting for IFAs would be locked into them for 90 days instead of 28 days, and businesses would be able to use them even if enterprise bargaining agreements existed.
Union right-of-entry laws would be tightened and the Fair Work Act changed to enshrine "talking first and striking later" when it came to industrial action.
The Productivity Commission would be asked to review workplace laws, but any further changes would be taken to the 2016 election, Mr Abbott said.
ACTU president Ged Kearney said this would mean a return to Work Choices and contracts similar to the controversial Australian Workplace Agreements under former prime minister John Howard.
"We know when people were on AWAs they lost wages, they lost conditions, they lost any bargaining power, and ultimately they lost respect at work," she said.
Mr Shorten said Mr Abbott's policy was short on detail and the focus on individual contracts was disturbing.
"Tony Abbott's extreme workplace relations policies should send a shiver up the spine of every Australian worker," Mr Shorten said.
Australian Chamber of Commerce and Industry chief Peter Anderson said the policy would be fairer for employers, but was "too cautious".
"It won't give the labour market or small business the immediate boost of confidence that it sorely needs," he told reporters in Canberra.
Meanwhile, one of the nation's biggest providers of jobs and services - local government - could be recognised in the Constitution if a referendum on election day, September 14, is successful.
Prime Minister Julia Gillard expects the referendum - which has been tried twice before and failed - will succeed with bipartisan support.
Independent MP Tony Windsor, who with fellow crossbencher Rob Oakeshott asked for the referendum when they sealed a deal for Labor to form a minority government, said it would shore up financial security for local councils.
But the Queensland and NSW premiers don't support it, fearing it will fundamentally change the relationship between state governments and councils.
Legislation for the referendum will be presented to federal parliament next week.
NSW's Police Commissioner says there should be stricter rules for people who try to import firearms. Source: AAP
NSW'S top cop has urged tougher restrictions on importing firearms into Australia amid a police crackdown on gang-related gun crime.
Police Commissioner Andrew Scipione said on Thursday he wanted stricter rules for guns brought into the country.
"I'd just like to see the importation of firearms to be restricted and stopped," Commissioner Scipione told reporters.
He said that would be "a very big ask" but he was dealing with the effects of firearm importation "downstream".
"More needs to be done ... to actually stop them from coming into the country so we're not dealing with them at crime scenes."
His call came as police revealed they had arrested 220 people in three months as part of a crackdown on outlaw gangs and gun crime.
NSW Premier Barry O'Farrell and Mr Scipione said the arrests were part of Operation Apollo launched in February to target gang-related gun crime.
Mr O'Farrell said in a statement that 420 charges had also been laid and 70 firearms taken off the streets.
More than 8800 firearms had been seized since July last year, the government said in a statement.
"These figures are proof the NSW Police Force is getting results, locking up gang members and taking guns off our streets," the premier said.
He said that since March 2011 the NSW government had delivered an extra 370 police officers to the force and he was proud of the "great strides" being made in tackling gun crime in western Sydney.
Mr Scipione said he wouldn't be happy until he got every single gun that he could off the streets and out of circulation.
The leaders of the United States (R) and South Korea (L) have vowed no concessions to North Korea. Source: AAP
THE leaders of the United States and South Korea have vowed no concessions to North Korea after months of high tension, saying the burden is on the communist state to end the crisis.
In a choreographed show of unity, US President Barack Obama and South Korean President Park Geun-hye have pledged to bolster defence cooperation and demanded that North Korea change course on its nuclear program before any new talks.
"The days when North Korea could create a crisis and elicit concessions - those days are over," Obama told a White House media conference with Park, who took office in February as northeast Asia's first woman leader.
Obama said that he and Park agreed in talks that "we are not going to reward provocative behaviour" but kept the door open to eventual talks if North Korea's young leader Kim Jong-un decides to embrace "a peaceful path."
"If Pyongyang thought its recent threats would drive a wedge between South Korea and the United States or somehow garner the North international respect, today is further evidence that North Korea has failed again," Obama said.
Tensions have appeared to subside since earlier this year when North Korea carried out its third atomic test and vowed to prepare for nuclear war against the United States, in remarks shrill even by Pyongyang's standards.
A US defence official said that North Korea has shifted two medium-range Musudan missiles away from a launch site, signalling that - at least for the time being - the regime has no imminent plans to test-fire them.
China, the primary supporter of North Korea, took one of its most concrete measures to date with the state-owned Bank of China closing the account of a North Korean bank accused by Washington of supporting the nuclear program.
Park, while not commenting directly on the bank action, credited China and Russia with enforcing sanctions on North Korea imposed by the UN security council.
"Such constructive efforts on the part of China and Russia are vital to sending a unified message to North Korea that their nuclear weapons will not stand," she said.
Park insisted that North Korea would feel consequences for a showdown that suspended work at Kaesong - a joint industrial park once an emblem of inter-Korean cooperation - and repeated her warning that the military would swiftly respond to any North Korean attack.
If North Korea harms citizens of the South, "we will make them pay," she said. "If North Korea engages in provocation, I will fully trust the judgment of our military."
While North Korea dominated the summit, South Korea has avidly sought a bigger global role both in politics and culture - as witnessed by the phenomenal success of superstar Psy.
Obama made a ready reference to Psy, joking that his daughters had taught him the now world-famous "Gangnam Style" moves.
Park on Wednesday will address a joint meeting of US Congress.
DRIVERS will end up paying more for their greenslips and car accident victims will be forced onto welfare under the NSW government's overhaul of the system, critics say.
Laws to make the Compulsory Third Party (CTP) insurance scheme "fairer and more affordable" will be introduced to parliament this week.
Finance Minister Greg Pearce says a 'no fault' scheme will give accident victims faster access to benefits, while motorists will pay up to 15 per cent less for their greenslips.
But Opposition Leader John Robertson says motorists in NSW are still going to pay some of the highest premiums in the country.
He's also warned of further hikes, with no-fault schemes in other states having resulted in major deficits.
"I am very worried we are going to see massive blow-outs in premium costs," Mr Robertson said, adding the government couldn't force private insurers to reduce their prices.
He's also concerned that NSW is the only place in the world to implement a no fault scheme privately underwritten by the insurance companies.
Only last year, he said Mr Pearce had increased greenslip premiums by 15 per cent.
"Now he comes out and says we're reducing premiums by 15 per cent ... and bringing them back to where they should have been in the first place.
President of the Law Society of NSW, John Dobson, says the no-fault system is a gimmick and a "front" for cutting off benefits.
"(It) will generate more claims, cost more to administer and pay out less to injured motorists," he said.
Mr Dobson warned injured motorists could be relying on welfare after a few years, with the vast majority of accident victims getting reduced benefits - "drip-fed by insurance companies with no access to significant lump sum payments".
"These benefits will be cut off after a few years, regardless of whether the person is able to return to work.
"If the government wants to deliver political sugar to marginal seats in the form of lower green slip prices, it should not be innocent victims of motor accidents who pay the price."
Greens NSW MP David Shoebridge says the changes sounded appealing but contained some nasty surprises.
"What this means in practice is no consideration of how the injury impacts on your life, drastically reduced benefits for many of the people injured on our roads and no help from your lawyer when negotiating against a well-heeled insurance company," he said.
Under the new scheme only a fraction of those injured on the roads will be fully compensated for their loss, he added.
"Everyone else who falls below the threshold of greater than 10 per cent whole person impairment will get greatly reduced statutory benefits."
PEOPLE with disabilities are unnecessarily dying in state funded accommodation services or licensed boarding houses, a report has found.
The NSW Ombudsman says 220 disabled people died while in care in 2010 and 2011.
Some of them were preventable even though the risks "could reasonably have been foreseen", the report by NSW Ombudsman Bruce Barbour tabled in parliament on Wednesday found.
Those risks included choking, traffic awareness, smoking and obesity, Mr Barbour said.
"Health and disability services do not always recognise the serious health and safety risks faced by people with disabilities in care," he said in a statement.
Other risks included staff not recognising when people had become critically ill and required urgent medical assistance.
Mr Barbour urged carers to address lifestyle-related health risks such as obesity and poor diet and help minimise resistance to health procedures and medical treatment.
"Our reviews point to the need for a strong, continuing commitment to improve the health outcomes of people with disabilities in care, and to reduce preventable deaths," Mr Barbour said.
Out of the 220 people who died, 97 lived in accommodation operated by Ageing, Disability and Home Care (ADHC) while 98 lived in non-government accommodation funded by ADHC.
Twenty-five of them lived in licensed boarding houses.
The average age at death of the people in state funded disability accommodation services was 30 years younger than the general population, Mr Barbour said.
In licensed boarding houses it was 16 years younger than the general population.
Disability Minister Andrew Constance said any preventable death was a tragedy.
He said ADHC had made significant progress since 2011 but conceded work still needed to be done to ensure that vulnerable people lead long and healthy lives.
"I take this report very seriously, and I have asked ADHC to respond to the recommendations in the report within the timeframes recommended by the ombudsman.
"The report reminds us there will always be more to do in ensuring the health, safety and wellbeing of people with disability in care," he added.
A FORMER teacher jailed over his part in a sexual assault scandal dating back 50 years at two private boarding schools for boys in central western NSW has been charged with more offences.
Detectives arrested the 51-year-old at his Dubbo home on Monday and charged him with four offences relating to the sexual assault of children.
He was granted conditional bail to appear at Bathurst Local Court on June 17.
Strike Force Belle continues to investigate a series of alleged sexual assaults at St Stanislaus' College and All Saints College, both in Bathurst, between 1960 and 1993.
At least 10 men have been charged since 2008.
The man arrested on Monday was sentenced in 2011 to a minimum of 12 months after a jury found him guilty of six child sex offences.
MANY Australians don't expect to see an indigenous prime minister in their lifetime but an educational foundation hopes to change that.
About 90 per cent of the students granted scholarships by the Australian Indigenous Education Foundation finish year 12, and the AIEF on Tuesday announced its intention to put another 7,000 students through the program.
To do that, it will be raising $100 million to send those students to boarding schools around Australia.
Year 12 completion is one of the biggest obstacles to educational equality between indigenous and non-indigenous students in Australia, said AIEF CEO Andrew Penfold.
"If indigenous students can complete high school and go on to university and employment, anything is possible," he said.
It's a big ask to move students far from their hometowns to boarding schools on the opposite side of the country, admitted AIEF director and indigenous leader Warren Mundine.
"But if we're going to put them in an environment where success is seen as normal, if you're going to claw your way to the top, to the prime ministership or up the corporate ladder, then you need to step outside your boundaries and have a go," he told AAP.
With help from organisations like the AIEF A future indigenous prime minister isn't far off, Mr Mundine says.
"When I was a kid I never thought I'd see an indigenous doctor, I never thought I'd see Aboriginal lawyers. Never thought I'd see an indigenous judge, but I did," he said.
"I predict that will change in my lifetime."
TREASURER Wayne Swan will enjoy the benefit of an interest rate cut as the federal government prepares to make the difficult choices in next week's budget.
But welfare groups have attacked the government for ditching its planned increase to family benefits, while the opposition challenged the treasurer to deliver an honest budget next week after five years of confusion.
The central bank unexpectedly cut the cash rate by 25 basis points to 2.75 per cent at its monthly board meeting on Tuesday, a record low in the cash rate setting era.
"These rates are possible because the government has (had) in place a responsible fiscal policy over the past five and half to six years," Mr Swan told reporters in Canberra.
However, this good news for borrowers came as the government scrapped a planned increase in the Family Tax Benefit Part A.
"This is a difficult decision but a responsible decision given what's happened to revenue," Finance Minister Penny Wong told Sky News.
The rise worth a total of $1.8 billion would have delivered as much as $300 a year for families with one child and $600 for those with two or more children.
Australian Council of Social Services (ACOSS) CEO Cassandra Goldie slammed the decision, saying the government should instead focus on other measures such as the Baby Bonus.
"We understand the current pressures on the budget but quite frankly there are other more important areas where savings can be found rather than going back on a promise that would greatly assist around a million of our nation's lowest earning families," she said.
Australian Greens Leader Christine Milne agreed.
"Why is it that you would protect the mining bosses, the big miners of Australia and not support the most vulnerable and needy in our community?" she said.
The increased benefit was meant to be paid out from revenue from the government's mining tax, but the impost is expected to raise less than half what was forecast in its first year, and is likely to miss annual targets over the forward estimates.
Opposition Leader Tony Abbott said this "rock solid" commitment made in last year's budget had been used as stick to "beat the opposition mercilessly" over family welfare.
"So it didn't survive from one budget to the next, even though it was supposed to be the absolute product of the mining boom, which no longer exists in the same form, thanks in part to the policies of this government," he told reporters in Melbourne.
The family payment boost was promoted by Labor as "spreading the benefits of the mining boom".
Senator Wong also confirmed the revenue drop for this financial year "looks to be in the order of $17 billion", from the forecast in last year's budget.
Shadow treasurer Joe Hockey told a conference in Sydney whatever Mr Swan said on budget night would be "meaningless", given previous forecasts had been wrong and promises made in past budgets had not been met.
"I know I am setting him a ridiculous benchmark but I think we expect honesty," Mr Hockey said.
"Forecasts of revenue and spending must be soundly based and ... there must be no more money shuffling, no more raiding of dividends."
The federal opposition is facing questions over its policy on parental leave and workplace reform. Source: AAP
FEDERAL Opposition Leader Tony Abbott won't consider dropping his paid parental leave plan, despite critics in Liberal ranks saying it doesn't give business a fair go.
If the coalition wins government in September, Mr Abbott plans to tax big firms to give mothers six months' parental leave paid at their full salary in his first term.
But two Liberal MPs, Alex Hawke and Dennis Jensen, broke ranks on Monday, saying the proposed 1.5 per cent levy on more than 3000 companies earning net profits of more than $5 million should be dropped.
"The feedback from business groups, from women in the community and from colleagues is that now would be a very good time to revisit this policy with a view to scrapping it before the next election, so we can go to the election without this albatross around the neck of the party," Mr Hawke told ABC radio.
Dr Jensen said the policy should be dumped before the election.
"In my view, yes," the West Australian MP told ABC radio.
"The economic situation at the moment doesn't warrant policies that are going to have potentially negative impacts."
Dr Jensen said it would be a "burden" on business, and some firms could reconsider putting on more workers.
Mr Abbott said Mr Hawke, a NSW MP, was entitled to write his article but the policy would remain.
"It's a very important sign that we get it when it comes to the modern family," he told BayFM radio in Geelong.
Families Minister Jenny Macklin believes the opposition could be laying the groundwork to dump the plan after last week agreeing to back Labor's Medicare levy increase to support disability care.
"Tony Abbott's colleagues are openly admitting that his plan is unfair," she said.
"They know it rewards high-flying bank executives and lawyers."
Ms Macklin also warned Mr Abbott's commitment to dump Labor's annual schoolkids bonus if he became prime minister in September would hurt lower-paid mothers.
Opposition frontbencher Malcolm Turnbull admitted there were differing views within the coalition about the parental leave plan, but the policy would stand.
"Tony is very committed to it," he told ABC Radio.
Senior Liberal MP Jamie Briggs, who holds the family support portfolio, told AAP: "Alex is a good guy, but he is wrong on this."
But former Liberal MP and now independent Peter Slipper, who witnessed the initial heated party room debate on the plan in March 2010, told AAP: "I think Alex is spot on."
Under the coalition plan, a new mum earning $150,000 a year would get six months' replacement salary of $75,000, while low-paid mothers would get 26 weeks' of their more humble earnings.
Labor's scheme, which began in 2011, pays a baby's primary carer the minimum wage, currently $606.50 a week, for 18 weeks.
Australian Chamber of Commerce and Industry chief economist Greg Evans said the chamber had issues with its funding.
"We would prefer to not see a tax impost on business," Mr Evans said.
But feminist Eva Cox supports Mr Abbott's plan.
"It's better than the government's one," she told Sky News.
A GROUP representing developers has distanced itself from suggestions the NSW government could allow them to make political donations again.
Property developers, along with tobacco, gambling and alcohol company directors, were banned from making donations to political parties under laws brought in by Labor before the last NSW election.
A draft report from the government-dominated electoral matters committee reportedly recommends reversing the ban.
The Urban Taskforce, which represents property developers and financiers, says it objects to being put in the same camp as tobacco, gambling and alcohol companies.
"For many years the Urban Taskforce has been against the potential for developers to donate to political parties as this can lead to the appearance of undue influence," Chris Johnson, chief executive of Urban Taskforce, said in a statement on Monday.
Opposition Leader John Robertson described the move as a sneaky attempt to reintroduce donations from developers.
"We need to make sure that the system for donations in this state gives people confidence in the political process," Mr Robertson told reporters on Monday.
"Developers are in a very unique position because a lot of times individuals who are developers benefit from decisions."
Premier Barry O'Farrell said he would wait to see the committee's final report but accused the Labor leader of hypocrisy.
"John Robertson comes to this with dirty hands," he told the ABC.
"(His party) voted against our decision to restrict donations to individuals."
Mr O'Farrell's donation laws in 2011 limited political donations to individuals, in a move widely seen as targeting union donations to the ALP.
Earlier on Monday, Greens MP John Kaye said any reversal on the company director and property developer ban would return NSW to the "bad old days" of policies determined by cash gifts.
The draft report is expected to be released later this week.
FOR online shoppers in the US the days of tax-free internet shopping may soon be at an end.
The US Senate is scheduled to vote on Monday on a bill that would empower states to collect sales taxes for purchases made over the internet. The measure is expected to pass because it has already survived three procedural votes. But it faces opposition in the House, where some Republicans regard it as a tax increase. A broad coalition of retailers is lobbying in favour of it.
Under current law, states can only require retailers to collect sales taxes if the store has a physical presence in the state.
That means big retailers with stores all over the country like Walmart, Best Buy and Target collect sales taxes when they sell goods over the internet. But online retailers like eBay and Amazon don't have to collect sales taxes, except in states where they have offices or distribution centres.
As a result, many online sales are tax-free, giving internet retailers an advantage over brick-and-mortar stores.
The bill would empower states to require businesses to collect taxes for products they sell on the internet, in catalogues and through radio and TV ads. Under the legislation, the sales taxes would be sent to the states where a shopper lives.
The measure pits brick-and-mortar stores against online services.
As internet sales have grown, "It's putting pressure on the brick-and-mortar competitors and it's putting pressure on state and local sales tax revenues," said David French, senior vice-president of government relations for the National Retail Federation. "It's time for Congress to create a level playing field so that all retailers are treated fairly."
On the other side, eBay says the bill doesn't do enough to protect small businesses. Businesses with less than $US1 million in online sales would be exempt. EBay wants to exempt businesses with up to $US10 million in sales or fewer than 50 employees.
"Complying and living under the tax laws of 50 states is a major undertaking because the process of complying with tax law goes far beyond just filling out the right forms," said Brian Bieron, eBay's senior director of global public policy.
Supporters say the bill makes it relatively easy for internet retailers to comply. States must provide free computer software to help retailers calculate sales taxes, based on where shoppers live. States must also establish a single entity to receive internet sales tax revenue, so retailers don't have to send them to individual counties or cities.
Opponents say online businesses would still have to use resources to account for the taxes they collect and to periodically send the money to each state.
AN amateur league soccer referee who was in a coma after being punched by a teenage player during a game in the US has died.
Ricardo Portillo, 46, died in hospital following the assault during a soccer game in the US state of Utah last weekend, police spokesman Justin Hoyal said.
Police have accused a 17-year-old player of punching Portillo after the referee called a foul on him and issued him a yellow card.
"The suspect was close to Portillo and punched him once in the face as a result of the call," Hoyal said in a press release.
The teen has been booked into juvenile detention on suspicion of aggravated assault.
Hoyal said authorities will consider additional charges since Portillo has died.
The victim's family, who spoke publicly of Portillo's plight last week, has asked for privacy as they deal with his loss, Hoyal said.
Last week, Johana Portillo, 26, spoke about her father's condition. She said she wasn't at the April 27 game, but said she's been told by witnesses and detectives the player hit her father in the side of the head after he issued the yellow card.
"When he was writing down his notes, he just came out of nowhere and punched him," she said.
His friends who were there told Johana her father seemed fine at first, but then asked to be held because he felt dizzy.
They sat him down and he started vomiting blood, prompting his friend to call an ambulance.
Broadband minister Stephen Conroy will flick the switch to connect Blacktown in Sydney to the NBN. Source: AAP
THE first day the national broadband network was turned on in Sydney, the connection dropped out.
At Blacktown's Max Webber Library on Sunday, Communications Minister Stephen Conroy turned the NBN on for Sydney's first 1,300 premises in the area.
But while Melbourne-based children's author Andy Griffiths was reading from one of his books via videolink, the connection failed.
"There was obviously a technical glitch there," Senator Conroy said.
"Technical glitches happen. You'll have to ask Optus, but they were able to restore it."
An NBN Co spokesman said the fault was due to a glitch in the audio-visual software rather than the NBN itself, and the connection was restored in seconds.
Optus, which provides the library's internet, said the loss of connection was not an Optus issue.
Despite the inauspicious start, Senator Conroy said the government's NBN was superior to the coalition's proposal.
"Tony Abbott wants to take Labor's NBN and turn it into the equivalent of building the Sydney Harbour Bridge with just one lane," he said.
Though he admitted rollout targets had been missed, he said construction would begin or be completed for 1.3 million additional premises by June 2016, taking the total to 4.8 million across the country.
But opposition communications spokesman Malcolm Turnbull said the NBN would be lucky to meet 15 per cent of its June 30 target.
"It's proceeding at a snail's pace," he told reporters in Sydney on Sunday.
"So far this year it's been passing 5,000 premises a month. On that basis it would take centuries to complete the job."
If elected, the coalition says it would offer all households and businesses minimum download speeds of 25 megabits a second (Mbps) by the end of its first term in 2016.
But Labor's current NBN offers download speeds of up to 100 Mbps and aims to give Australians access to speeds of up to one gigabit per second.
Mr Turnbull said speed wasn't the point.
"(25Mbps) is a quarter of the top speed the government is offering but ... it's not the actual speed that matters, it's what you can do with it," he said.
"The government is fixated on very high speeds, but they can't deliver."
NBN Co forecast that high-speed fibre-optic cable would pass 341,000 premises by June 30, but in March it downgraded that figure to between 190,000 and 220,000.
Mr Turnbull said it was critical to get all Australians' connectivity speeds up to a high level to enable them to do everything they wanted online today, and then upgrade the network over time according to demand.
The coalition's NBN plan is projected to cost $29.5 billion and be completed by 2019, while Labor's plan is expected to cost $44.1 billion and be finished two years later.
Minister Tanya Plibersek will announce a review into chemotherapy pricing and funding for drugs. Source: AAP
CANCER patients will be unaffected by pricing changes to chemotherapy drugs, federal Health Minister Tanya Plibersek says.
The government has announced a review of the way chemotherapy medications are funded and a $30 million one-off boost for cancer drugs in the May budget.
The review follows discussions with the Pharmacy Guild of Australia about appropriate subsidies for dispensing chemotherapy, after the key drug Docetaxel came off patent last year, allowing generic substitutes to enter the market.
Some chemotherapy providers had been using the inflated price the government had been paying, to cover the cost of delivering the treatment to patients.
But after a government decision to drop the price late last year, some providers said they wouldn't be able to afford to keep treating cancer patients without additional funding.
Ms Plibersek told reporters on Sunday at St Vincent's Hospital in Sydney the cost to patients would remain unchanged.
She said concession patients would only ever pay $5.60 for a dose of chemotherapy medication, while general patients would continue to pay $36.10.
"The cost to patients has never varied and won't vary. This is about how much the government pays pharmacies for the medications they're delivering," she said.
Kathy Smith, of patient advocacy group Cancer Voices, said the previous pricing system was opaque and confusing.
"Consumers didn't know what was being paid, didn't know where the funding was going to come from for new medications, and at times didn't understand why these new medications couldn't be subsidised to help them when they had cancer and knew the drugs were available," she said.
"Hopefully at the end of this we'll have a publicly transparent and accountable system that can reassure cancer consumers that everything that can be done is being done."
into correct pricing is underway, the government has committed to an interim measure from July to December to increase the amount paid to pharmacists from $76.37 to just over $136 to prepare chemotherapy medications.
Some treatments might run to the tens of thousands of dollars, Ms Plibersek said.
"When you're subsidising new medications to that extent, it's important that we pay the right amount for old generic medications."
But opposition health spokesman Peter Dutton said the December end date for the funding boost left patients in limbo.
"Vulnerable patients requiring these services do not need the stress of being caught in the middle of a stoush over funding that continues to drag on," he said in a statement.
CanSpeak chair Ian Roos welcomed the review and praised those pharmacists who protected patients from having their treatment disrupted by absorbing the funding shortfall of up to $1 million a week.
The Cancer Council's CEO Ian Olver said rural chemotherapy providers had been concerned they would have to close if government subsidies for the drugs continued to drop.
"We've got to make sure no patient is disadvantaged. This extra $60 will actually solve that problem while a proper pricing review is carried out," he said.
"It will be business as usual for cancer patients and we think that's a fantastic outcome."
