2 January – A helicopter carrying Australian Foreign Minister Alexander Downer makes an emergency landing in the Bougainville hinterland after its windscreen is smashed in a bird strike.[3] Downer was travelling to Arawa to meet senior leaders of the Bougainville Revolutionary Army.[3]
25 January – American tourists Tom and Eileen Lonergan are unintentionally left behind on the Great Barrier Reef after a scuba diving trip.[9]
26 January – In the aftermath of Cyclone Les, the town of Katherine in the Northern Territory begins to be affected by torrential rain causing major flooding which eventually claims the lives of three people.[10][11][12][13]
28 January – Prime Minister John Howard unveils a new plan for training, education and expansion of the Work for the Dole Scheme aimed at easing youth unemployment.[14][15] Howard's plan is criticised by the president of the Australian Council of Social Service Michael Raper.[16]
29 January – A man opens fire at a real estate agency in the Perth suburb of Mundaring, killing his estranged wife and seriously injuring another staff member as well as a customer before fleeing.[17] He crashes his car and then attempts suicide by shooting himself but was taken to Swan Districts Hospital in a serious condition.[17]
30 January – Prime Minister John Howard visits the flood ravaged town of Katherine in the Northern Territory as flood waters claim their first victim.[18]
1 February – Some Sunday newspapers publish a Libra advertisement for ultra-absorbent menstrual pads accompanied by a caption which reads "Katherine could use some of these right now" while also depicting a flooded home.[13] Northern Territory Deputy Chief Minister Mike Reed criticises the ads describing them as "un-Australian" and calls on the company to apologise.[13] General manager of Sancellar Pty Ltd, the makers of Libra products, unreservedly apologises and commits $25,000 for the town's Red Cross appeal.[13]
4 February – The Federal Government gives short-term credit insurance to exporters to Indonesia to counter-act the effect of Indonesia's economic problems.[21]
21 February – Elections in the ACT re-elect the Liberal Party government of Kate Carnell.[23] It would be the last State or Territory election that the Liberal Party have managed to form government after until the Western Australiastate election in September 2008.
3 March – Federal Speaker of the House of Representatives Bob Halverson resigns.[24]
8 March – New South Wales Premier Bob Carr opens the Olympic Park Station on the new rail link between Sydney and the site for the 2000 Olympics.[25]
12 March – The Federal Opposition alleges that Mining and Resources Minister Warwick Parer increased his ownership of a mining company during the first year of the Howard Government's office.[26]
16 March – Prime Minister John Howard pledges a $50 million crime database investment if the Liberal Party is re-elected.[citation needed]
17 March – The Federal Government announces sweeping reforms to business rules to attract overseas companies to Australia.[citation needed]
2 April – Prime Minister John Howard pledges $270 million to keep the aged in their own homes and win back their support.[27]
7 April – 3 June – Patrick Corporation sacks 2,000 dock workers to try to improve efficiency on the waterfront.[28] In response, the Maritime Union of Australia stages possibly the largest industrial dispute Australia has ever seen.[29] In the end, the jobs are restored to the workers in exchange for improvements in efficiency.
After attending that morning's Anzac Day commemorations, 16-year-old Air Force Cadet Rachel Antonio goes missing from the North Queensland town of Bowen after being dropped off at the local cinema to see an evening movie.[31]
5 May – Fires caused by unsafe fuel hoses aboard the replenishment ship HMAS Westralia kill four people.[32][33]
14 May – Prime Minister John Howard cuts defence ties and suspends all but the most vital humanitarian aid to India after the country carries out two more nuclear tests.[34]
18 May – The value of the Australian dollar slumps to 62 and a quarter US cents, its lowest level in 12 years.[35] In a radio interview, Prime Minister John Howard attributes the fall in value on "poorly informed, economically illiterate money market people on the other side of the world".[36]
Prime Minister John Howard opens the new Central Synagogue in Sydney to replace the former synagogue which burnt down in 1994.[38]
Christopher Skase's passport is seized by Spanish officials and cancelled.[39] Skase applies for a renewal of his Spanish residency, which expired on 13 May and the Federal Government asks Spanish authorities to refuse the application, hoping it will force him home.[39]
26 May – The first National Sorry Day is observed, on the first anniversary of the tabling of the report Bringing them Home which was the result of an inquiry into the removal of Aboriginal and Torres Strait Islander children from their families (the Stolen Generation).[40][41][42] The day was held annually until 2004. It was renamed National Day of Healing from 2005.
27 May – The Australian Labor Party criticises the Queensland Coalition Government for its decision to put Pauline Hanson's One Nation party ahead of the Labor Party on how to vote papers for the upcoming Queensland State Election.
30 May – Prime Minister John Howard expresses Australia's concern about Pakistan's nuclear tests.[43]
26 June 1998 – While awaiting trial on child sex charges, former New South Wales state MP and former mayor of Wollongong Frank Arkell is murdered by Mark Valera.[49] In 2000, Valera is found guilty of murdering Arkell and David O'Hearn and sentenced to two term of life imprisonment.[50][51]
11 July – The Telstra sale bill is defeated in the Senate.[52] Prime Minister John Howard states the full sale of Telstra is still on the agenda for the next election.
15 July – Prime Minister John Howard stands firm against a Coalition backbench revolt on the full sale of Telstra.[53] Howard informs Parliament that the Government is committed to the Telstra sale.[53]
21 July – Federal Treasurer Peter Costello admits he has been approached to challenge John Howard for the leadership of the Liberal Party.[54] Talk of the challenge overshadows a Cabinet meeting in regional Victoria.[55]
21 July – 5 September – A rapidly evolving water crisis occurs in Sydney, due to the suspected contamination of the microscopic pathogens cryptosporidium and giardia in the water supply, prompting authorities to instruct residents to boil all their tap water before using it.[56][57][58][59][60][61][62]
22 July – The Federal Government bows to the mounting pressure from backbenchers and rural voters by placing a 49% cap on the sale of Telstra.[63]
26 July – Premier Bob Carr promises to help the victims of flooding in Narrabri, Wee Waa and Gunnedah with the damage bill expected to top $100 million.[64]
13 August – The Coalition Tax Reform Package is launched and includes a 10 percent GST with the proceeds to be distributed to the states.[65] Income tax will be lowered and the wholesale sales tax abolished, along with certain taxes on financial transactions.[65]
17 September – Prime Minister John Howard is involved in a heated off-air exchange with ABC staff in Perth following a radio interview on 720 6WF in which he is asked by Mornings presenter Verity James about whether a GST would affect the price of heroin.[70][71][72] An angry Howard states: "The suggestion that in some way the GST is linked to heroin is just about the most bizarre thing I've heard and I want an apology from the ABC without qualification, and I expect to get it."[72] Both James and the state manager of the ABC in Western Australia Steve Altham unreservedly apologise to Howard in a letter, where they admitted a mistake had been made after briefing material had been misread.[72] ABC managing director Brian Johns later states the incident was regrettable.[72]
23 September – Federal Opposition Leader Kim Beazley launches Labor's election policy at the Brisbane Convention Centre, promising funding to a new jobs plan.[73] Prime Minister John Howard dismisses Mr. Beazley's job target as unrealistic.[74]
25 September – A fire at Esso's Longford plant killed 2, injured 8 & left most of Victoria without gas for two weeks.[75][76] Hundreds of businesses were affected.[77]
12 November – State Premiers and Territory Chief Ministers meet in Canberra with Prime Minister John Howard to discuss the sharing of funds from a goods and services tax.[81]
15 November – Prime Minister John Howard arrives in Kuala Lumpur, Malaysia for the APEC Conference.[82]
20 November – The High Court of Australia decides to allow uranium mining to proceed at Jabiluka in the Northern Territory.
29 November – Prime Minister John Howard joins in celebrations to mark the 50th anniversary of the first Holden motor car.[83]
December – A man posts 28 mail bombs at a Canberrapost office after losing a legal battle with the Australian Taxation Office which had been going since 1994.[84] One of the bombs explodes, injuring two workers.[84]
1 December – The Federal Government rejects an attempt by UNESCO to suspend construction of the Jabiluka uranium mine pending a further environmental impact report.[85]
The Wiggles re-release three videos after the video release of The Wiggles Movie, including Yummy Yummy, Wiggle Time, and Wiggledance!.[91] However, Yummy Yummy and Wiggle Time contains new footage, as they have been re-recorded, Wiggledance! cuts out the song "Vini Vini".
16 May – South Melbourne become Australian Champions for the third time in their history, beating newly formed Carlton SC in the National Soccer League Grand Final at Olympic Park, 2-1.[106] The game is marred by brawling soccer fans who invade the playing arena, throw flares and rip up seating prompting Victoria Police to consider increasing police presence and introducing CCTV to monitor crowd behaviour for future games at the venue.[107]
27 September – Minor premiers the Brisbane Broncos defeat the Canterbury Bulldogs 38–12 to win the 91st NSWRL/ARL/NRL premiership.[116] Gordon Tallis is awarded the Clive Churchill Medal.[117] It is the first premiership held under the NRL name & the last grand final to be played at the Sydney Football Stadium (now Aussie Stadium). It is also the second consecutive premiership for the Broncos following their success in the 1997 Super League. The Western Suburbs Magpies finish in last position on points difference and points against, claiming the wooden spoon.[110]
16 October – Mark Taylor equals Don Bradman's record of 334 in a test match against Pakistan.[119] However, unlike Bradman, Taylor is not out & declares the innings closed when he reaches that score.[120]
13 March – First day of the Australian Track & Field Championships for the 1997–1998 season, which are held at the Olympic Park in Melbourne, Victoria.[citation needed] The 10,000 metres was conducted at the Zatopek Classic, Melbourne on 18 December 1998 and the men's decathlon event was staged at the Hobart Grand Prix on 21 – 22 February.[citation needed]
1 June – Susie Maroney becomes the first person to swim from Mexico to Cuba, setting a new world distance ocean swimming record.[135]
12 July – Greg Lyons wins the men's national marathon title, clocking 2:17:00 in Brisbane, while Lisa Dick claims her second women's title in 2:36:54.[136]
26 December – The 1998 Sydney to Hobart Yacht Race begins with warnings of a severe storm expecting to produce 40-knot winds, rain and mountainous swells during the first night.[137][138][139] An hour after the starter's gun, the Bureau of Meteorology issues a priority storm warning for coastal waters south of Merimbula, which is expected to produce gales of up to 55 knots the following day.[139] Despite the warnings, the race continues which results in six fatalities, the destruction of five yachts and the rescue of 55 sailors.[139]
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