A near perfect storm has descended on Australian relations with its nominal strategic partner and largest neighbour, Indonesia, to the point where the Indonesian foreign minister, standing beside John Kerry in Jakarta, said it was “very simple.” “Australia must decide if Indonesia is a friend or an enemy.”
Courtesy of Edward Snowden, the Australian government is discovering that an asymmetry in electronic surveillance capacity does not trump the fundamental asymmetry of power between Australia and Indonesia, which geography, population size and importance in world affairs tilts in Indonesia's favour. NSA documents that the premier Australian intelligence agency monitored and intercepted phone calls by the Indonesian president, his wife, and inner circle of advisors has generated a rapid collapse in relations between the two governments, possibly with long-term effects. The Indonesian government has called for a new intelligence accord, which will prove difficult for the Abbott government, not least because of the role of the NSA in Australian signals intelligence. A review of supervision and oversight of Australian intelligence agencies is urgently required.”