Gower was clearly trolling, and his misuse of the word "culture" is problematic. But there's more than a grain of truth to his comments. Which is why so many Australians have responded, rather than simply ignoring him as they would have had he not touched a nerve. The truth is that the majority of persons capable of making 'cultural' contributions - I'm talking about the major contributors, whose books are read, paintings admired, plays watched etc, by people from all cultures long after they're dead - tend to find Australia highly uncongenial, and leave. Which is why the country has made no major or even memorable contribution in the arts apart from the plastic art of the marginalized Aboriginal minority. Being an excrescence of European culture, and a peripheral and contingent one at that, I imagine it must be difficult for Australians to come to terms with the fact that Europeans are looking for something more than just 'their stuff' done badly, from such a potentially interesting continent.
Someone earlier posted a list of no-names and no-hopers (including Germain Greer :-)) and the poverty of the list kind of illustrates the problem. When you are forced to scrape the barrel in this way you really have a problem. Were my eyes deceiving me or was the lightweight TV pundit who reckons himself as a major thinker Clive James not mentioned rather optimistically by someone here also?

Poor Australia, it really is the land of the living dead, "culturally" speaking (I'm following Gower's use of the term, even though I disagree with it). I have a few Australian friends and acquaintances here in London and most never return to the land of their birth which they find shallow and culturally uninteresting. They mostly left because they weren't particularly interested in sport, barbies, the beach, and other staples of the Australian way of life - in fact they mostly considered such as the Australian way of death.
I suppose the main problem is that this outdoorsy, unreflective lifestyle is not particularly conducive to the heroic internal struggles - alone but emboldened by a sense of being in some sort of cosmic competition with other creators for a share of immortality - without which cultural progressions are all but impossible. And, being distant from the cultural hubs of former times - it could be argued that there are no culture bearing areas today, as we've all been bludgeoned into submission by an American cultural totalitarianism of awful music, movies ,fashions etc, that, for all their aesthetic shortcomings, are made all the more disgusting for being economically driven. So in one respect it could be said that even a desert like Oz is no worse off than somewhere which once had a thriving culture - Paris say, or Vienna, or even London. All these places are now just dumping grounds for American trash posing as pop-culture, and the greatest extant culture, in China, has of course long-since been completely obliterated by the communists-turned-hereditary-capitalist-extractive elite who have enslaved a fifth of humanity.
I was actually intending to make a few short witty points but it seems I've rambled way off topic. Apologies ;-) Anyway, what I really wanted to say is that the number of outraged posts by Australians on this thread and elsewhere - I read some particularly cringeworthy comments in the Guardian the other day - suggests they would be better of in future NOT attempting to measure their society against some putative "world class" cultural standard, and not reacting defensively to such banter. There's absolutely no point. What we used to think of as "culture" is not part of life anywhere these days as it is no longer being produced, merely reproduced.
What Australians should do is to concentrate on eradicating the last vestiges of the ocker element which can defnitely still be seen - for instance in the last year or two I can recall reading about instances of harrassment of and violence against students from India, a rather shameful incident involving some female French tourists on a bus, and of course about the radio "prank" - the kind of prank, soliciting private medical information about a woman experiencing her first pregnancy, which probably only Australians would 'get' - call which led to the suicide of a nurse. This would help to ensure that anyone capable of writing say a worthwhile novel or play won't automatically head for the exit as soon as he or she is able to do so, as they tend to do now. When Aussies have finally tossed out the ocker element as a stereotype to be lived up to and even to be boasted of in the public square, then the "lucky country" might become, if not exactly cultured, at least a more congenial place to live in.