The comment was made in response to a question whether little girls should be dressed in clothes that make them look older than they are. Her reply was to the effect that there has always been a culture of sexualising girls by encouraging them to flirt with their father - by giving him a goodnight kiss. A father of 3 girls in the audience said the suggestion was disgusting, but Greer was unrepentant.
I wish someone had challenged her about little boys kissing their mothers as you suggested, but unfortunately it did not happen. I think the audience was too astounded to react in time.
For general reaction see the posts on netmums - http://www.netmums.com/coffeehouse/g...ing-daddy.html
Now that feminism has made it unacceptable for males to interact with children they meet in public, they are turning on fathers to make it unacceptable to have any kind of relationship with their own children.