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The South Australian premier, Peter Malinauskas, has announced plans to ban donations to registered political parties, members of parliament and candidates. The state will provide funding to allow parties and candidates to contest elections, run campaigns and promote political ideas, according to the proposed bill.
Loans to registered political parties, MPs, groups, or candidates from anyone other than a financial institution would also be prohibited, it says.
To ensure new entrants to the political process are not disadvantaged, newly registered political parties and unendorsed candidates will be entitled to receive donations of up to $2,700, and will also be subject to a spending cap.
A person who knowingly participates in a scheme to circumvent the proposed donation laws could face a fine of up to $50,000 or up to 10 years in prison.
The bill proposes a restructure and mandatory application of the existing public funding model, including a reduction in the amount parties, MPs and candidates can spend.
Given that under the proposed scheme participants would no longer be able to fundraise, the bill proposes to increase the amount of public funding provided, and a system of partial advance payments, so funding entitlements are available to parties and candidates prior to an election campaign.
This significant reform is complex and may well be subject to legal challenge, including via the High Court.
Starting today, members of the public and other interested parties are welcome to provide feedback on the draft bill over a four-week consultation period via the YourSAy website. Quotes
Attributable to Peter Malinauskas
Since its foundation, our state has a rich tradition of leading the world in democratic reform.
In the 1850s we pioneered universal male suffrage and the Australian ballot. Half a century later, we did the same for universal female suffrage and became the first jurisdiction in the world to grant women the right to stand for Parliament.
Now, we are on the cusp of becoming a world leader in ending the nexus between money and political power.
We want money out of politics.
We know this is not easy. These reforms may well face legal challenge.
But we are determined to deliver them, with this bill to be introduced in the Parliament in the near future.
Attributable to Dan Cregan
These reforms are ambitious and, if realised, will ensure South Australia is at the forefront of protecting and improving democratic practices.
Banning political donations will not be easy. Sectional interest groups and lobbyists will fight tooth and nail to keep the current system.
No political donor should be able to buy a favourable political outcome in our state by donating to parties or candidates.
The hard truth is that public confidence in democracy is in decline. We need to take real steps to address that decline or risk falling into the extreme political disfunction which is playing out in other jurisdictions.
The hard truth is that public confidence in democracy is in decline. We need to take real steps to address that decline or risk falling into the extreme political disfunction which is playing out in other jurisdictions.
Wow holy shit. Is this actually happening? This seems huge, I feel like I must be missing something because it’s too good to be true in my mind.
This will make a stark and increasingly indefensible contrast with other state governments and of course the federal government within Australia.
Or did I miss something. It’s late and I’m pretty tired, this sounds pretty legit though and from memory this is the first such law in Australia right?
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This is definitely a step in the right direction.
It seems likely, though, that they’ll end up with something like the ‘Super PACs’ (Political Action Committees) they use as a workaround in the US.
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I’ll believe when I see it.
It won’t halt all monied influences, lobbyists won’t be hit by this it seems, (its complicated to hit the bad lobbyists without hurting the good), corruption will crop up, but its a great reform nonetheless.
What i think it will do best is reset the tone from monied interests walking honourably through the front door, to sneaking guiltily in the metaphorical back. The reputational risk increases the costs for business people being seen to be influencing politics too much.
Bonus the lack of funding might reduce the amount of scare campaigns and political slinging matches due to the campaigns needing to attend to their own platform messages in a campaign rather than their opponents. Of course there’ll always be the outlying elections where the opposition can get away with virtually no platform.
Exciting news!
Fantastic! I’ve been arguing for something like this for years. Hopefully this catches on around the country.