The Prime Minister says Australia is trying to achieve a balance between its relationship with Indonesia and its obligations under international law.
John Howard says a decision on whether a refugee case could be overturned depends on the circumstances, a statement which apparently contradicts the Foreign Minister, Alexander Downer.
Mr Downer yesterday said he had the power to overturn immigration decisions on foreign policy grounds, but it's unusable because of Australia's international obligations under the U-N convention on refugees.
But Mr Howard has denied there is any conflict within his government on the issue.
"Why don't you wait and see what the government's approach is?
"I know it's more exciting to have a Downer view and a Howard view and a somebody else view, but let's just wait."