Wishful thinking
"the company is not entirely opposed to paying publishers but opposes the arbitration model. "
Google definitely does not oppose an arbitration model. But it opposes a model in which it's not them who's the arbiter that can force his arbitrary pricing, conditions and and decisions on others.
Also the paragraph at the end about ACCC makes it obvious that there's not substantial change planned to the model of the law, despite of what Google's saying. Which is a good thing.
Google and all other companies which make their living off taking other people's stuff and not paying anything in return needs to be stopped, and this is the first step. And the arbiters of prices should definitely not be these companies, but those who actually own the stuff that's used by them.
If Google or Facebook think they're providing actual value "in return" to content creators with their "services", then they are free to put a price on that, too, and let creators decide whether they really think it's worth that and are ready to pay that. But one has nothing to do with the other, and Google and Facebook shouldn't be allowed dictate terms on both.