The last-minute electoral reform deal with the Coalition risks unfairly benefiting the major parties and doesn’t go far enough to get big money out of politics, says leading anti-corruption NGO Transparency International Australia.
Clancy Moore, CEO of Transparency International Australia made the following comments:
“The legislation risks being a gift to the major parties and means ‘cash for access’ is here to stay.”
“We commend the lowering of the donation threshold and introduction of ‘real-time’ disclosures which will shine a light on who is funding our elected representatives.”
“But the failure to put these major changes to our electoral laws under the microscope of proper parliamentary scrutiny casts a dark shadow over our democracy.”
“Powerful industries like gambling, fossil fuels and the airlines will still have influence as each party or candidate can still receive $50,000 annually or $150,000 per electoral cycle from a donor and up to $200,000 a year from an industry body.”
“The $90 million national expenditure caps also allow the major parties to direct funding to marginal seats in their favour.”
Under the deal, the maximum donation an individual can give to a political party has been increased to $50,000, up from Labor’s proposed $20,000 cap. The threshold for disclosing donations has been set at $5,000—lower than the current $16,900, but higher than the $1,000 threshold originally proposed.
Peak industry bodies—such as the Minerals Council of Australia—will be able to donate $200,000, or four times the gift cap.
The national party expenditure cap will be set at $90 million and $800,000 per electorate. Third-party organisations like the ACTU, Advance, or GetUp will also be able to spend up to $11 million during election campaigns.
This last-minute deal prioritises the speedy passage of reform over genuine scrutiny it needs to ensure the new laws will be open, trustworthy and fair
TI Australia welcomes elements of the bill that improve transparency, such as lowering the disclosure threshold from $16,900 and introducing real-time disclosure requirements. But the higher-than-expected thresholds and loopholes for major parties risks undermining the Bill’s integrity.
By watering down these reforms, the government and opposition have missed an opportunity to restore public trust in our democratic process.
TI Australia urges all parties to commit to further reforms in the next parliamentary session that will safeguard the integrity of Australia’s political finance system and ensure a level playing field for all candidates.
Reports:
Transparency International Australia’s recommendations for reform are aligned with the new global Transparency International Standards for Integrity in Political Finance. These standards detail six principles: transparency, clean money, a level playing field, gender equality, state neutrality and accountability, that are needed to mitigate corruption risks and promote integrity of the financing of political parties, candidates and election campaigns.