SA Premier Peter Malinauskas says the new laws to ban all political donations would be “world-leading”. Photo: Screenshot.
South Australian Premier Peter Malinauskas says his government plans to introduce “world-leading” laws that would see bans on all political parties receiving donations for state elections.
The radical move would see tough penalties placed on donors, members of parliament, candidates or registered parties that seek to flout the law by making or receiving donations or gifts, while loans would also be prohibited.
People who knowingly participate 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 proposal would have some flexibility by allowing new candidates or political parties to receive donations of up to $2700, but subject to a spending cap.
The bill proposes a restructure and mandatory application of the existing public funding model, including a reduction in the amount parties, members of parliament and candidates can spend.
Because participants would no longer be able to fundraise through donations, it proposes to increase the amount of public funding provided so money is available to parties and candidates before an election campaign.
Mr Malinauskas said that, since its foundation, South Australia had a rich tradition of leading the world in democratic reform.
“In the 1850s, we pioneered universal male suffrage and the Australian ballot,” he said. “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 challenges.
“But we are determined to deliver them, with this bill to be introduced in the Parliament in the near future.”
Special Minister of State and Minister for Police, Emergency Services and Correctional Services Dan Cregan said the reforms were ambitious and, if realised, would ensure South Australia was 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,” he said.
“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 dysfunction which is playing out in other jurisdictions.”
The draft bill can be viewed here, and the government is calling for feedback from the community through the yourSAy.sa.gov.au website, either via written submissions or an online general feedback field.
