A party vote was called for on the question,
That Part 1 be agreed to.
Ayes 113
- New Zealand National 58
- New Zealand Labour 43
- ACT New Zealand 5
- Māori Party 5
- Progressive 1
- United Future 1
Noes 9
Part 1 agreed to.
Hon SIMON POWER (Minister of Justice) Link to this
I thank the Committee of the whole House for its support on Part 1, which was staggeringly quick, but I do think it is worth making a comment in respect of Part 2. As Minister in charge of the bill I would be remiss if I did not, at the very least, make two quick points. First, Subpart 2, “Transitional and savings provisions”, outlines obligations regarding the 2008 election expenses and 2008 donations regime, both of which are to continue during the interim period, along with the donations regime for parties from the 2008 regime.
It is worth just notifying the Committee about clause 23, although I am sure many more scholarly than I have spotted the clause, which relates to transitional regulations.
Clause 23—I say to Miss Dyson. This clause is important because it is a bit odd. It allows regulation for transitional arrangements to be made in the event that a matter is, essentially, not up to scratch. This regulation-making power expires on the close of 1 March 2011 and, on close of that date, is repealed. This is designed to allow the Governor-General from time to time to make regulations prescribing transitional and savings provisions concerning the coming into force of the Act, which may be in addition to or in place of the transitional and savings provisions of this subpart. In other words, it is a kind of regulatory catch-all in case it becomes clear during the transitional period that it is needed. I do not imagine it will occur but in any event the Ministry of Justice and I believed it was probably prudent to just have that regulation-making power sitting there. I do not intend to add anything further on that point.
Hon PETE HODGSON (Labour—Dunedin North) Link to this
We are not going to take too much time over this but the regulation-making power of clause 23—
Thanks for coming, buddy! Clause 23—and I can see why the Minister has had it put in, or officials have advised him to put it in—is a kind of belt and braces thing, and that is OK. It is unusual in electoral law to have that sort of provision.
So why do I not just ask the Minister whether he would be happy, by way of an oral undertaking to the Committee, to say that if ever clause 23 were to be used between now and 1 March 2011, he would adopt the practice of circulating the regulation around the parties so that we can all have a bit of a pick at it. If he would be good enough to put that on the record, that would suffice our needs.
The other thing is that I am a bit embarrassed to say this, but I cannot quite get clause 19(1), which states: “A party secretary is not required by section 210 of the principal Act to file by 30 April 2009 an annual return of party donations for the year ending 31 December 2008.” My simplistic question is why the hell not. I perhaps should talk a little longer; it might help the process of advice to the Minister. There is a hint in clause 19(2) that that is somehow a let-out clause where the party secretary is required to fund under—
Hon SIMON POWER (Minister of Justice) Link to this
First, in respect of Mr Hodgson’s query regarding the regulatory power, I give the undertaking to the Committee of the whole House that in the event that that regulation-making power is utilised, I will adopt the methodology that he outlines. Secondly, although I think he got there in the end, I will look at clause 19(2). None of the obligations under the Electoral Finance Act in respect of those party returns would be affected by clause 19(1).
Hon PETE HODGSON (Labour—Dunedin North) Link to this
I will not spend much time over this; I promise. It does raise the question as to why clause 19(1) is needed. Is it to avoid a double return? Is that precisely the point? Some people are nodding; they seem to know that.
JOHN BOSCAWEN (ACT) Link to this
I would also like to talk about the donation regime but before I do I would just like to assure the Hon Pete Hodgson that I look forward to being involved in this debate on a multipartisan basis, but he made the comment: “Let us be clear that the Electoral Finance Act did not set out to damage free speech;”. I campaigned against the limit that restricted third parties to spending just one-fortieth of what the Labour Party was allowed to spend. The Human Rights Commission said those parties should be allowed to spend up to $25,000 to $30,000—
I raise a point of order, Mr Chairperson. I am sorry to interrupt a new member, but I think you might like to consider giving some guidance to the member about matters that are relevant to the part that we are actually debating.
The CHAIRPERSON (Eric Roy) Link to this
I am sorry, I have been reading a note that has been passed to me and I have not been as diligent as I should have been. Part 2 is on page 51 of the bill, so it will be the clause that pertains to that part that the member should address his comments to. I am sorry; I was diverted by another matter.
Thank you, Mr Chairperson. I will come straight to the point then.
Part 2 deals with donation returns. I say, let us have some honesty about this. As part of my campaign I travelled to Hamilton to talk to Doug Woolerton about this bill. I thought it was a private meeting, but, subsequently, Doug Woolerton discussed it quite openly with members in this Chamber, and it is recorded in Hansard. So I feel no compunction whatsoever to say that one of the first things that Doug Woolerton said to me was that “the Electoral Finance Act doesn’t concern us. It doesn’t concern New Zealand First. We can get our money. It’s not a problem.” That is the reality of it. We talk about transparency but there is absolutely nothing in the Electoral Finance Act that requires a person to make a declaration of a donation that cannot be circumvented. If someone wants to give a large donation to any political party, it can be structured in such a way that it is not disclosed. People can stand in the Chamber and talk about transparency but the reality is that if people want to circumvent these provisions, they can and very easily.
One of the issues that possibly led to New Zealand First’s downfall was the so-called disclosure of donations by Simunovich Fisheries in the late 1990s and early 2000s. That featured in the Dominion Post during the course of the election campaign. I famously gave a speech at the Rotary Club of Newmarket where I said there was nothing that the Dominion Post was disclosing that was illegal in 2000; and Mr Peter’s partner, Jan Trotman, was at that meeting. I said not only was there nothing that was disclosed by the Dominion Post that was illegal in 2000, but nothing in the Electoral Finance Bill, as it was at that time, would require those donations to be disclosed now. The Simunovich family gave a number of donations of $10,000 to New Zealand First, and provided those donations continue to be given by various subsidiaries using their own money, they can continue to do it. All I say is let us be honest with the people of New Zealand. Let us be honest; the transparency that this bill supposedly has is a mirage. Thank you.
A party vote was called for on the question,
That Part 2 be agreed to.
Ayes 113
- New Zealand National 58
- New Zealand Labour 43
- ACT New Zealand 5
- Māori Party 5
- Progressive 1
- United Future 1
Noes 9
Part 2 agreed to.
Hon SIMON POWER (Minister of Justice) Link to this
I seek leave of the Committee of the whole House to clarify matters in respect of clause 19 in Part 2. I realise that this is out of order, but I seek leave.
The CHAIRPERSON (Eric Roy) Link to this
Is there anyone opposed to the Minister giving the explanation? There being no one opposed, leave is granted.
I have just received further advice on the issue raised by Mr Hodgson in respect of clause 19. I want to be absolutely clear so that Committee of the whole House members do not think I have put the wrong thought in their minds. I am advised that clause 19 will prevent political parties from having to file annual donations and returns in 2008-09 under both the Electoral Act and the Electoral Finance Act.
Hon DAVID PARKER (Labour) Link to this
I raise a point of order, Mr Chairperson. Just for clarification, the Minister said that it will avoid people having to file declarations—
The CHAIRPERSON (Eric Roy) Link to this
That is not a point of order. I have given leave for the member to make an explanation. The debate has concluded; we have moved on. [ Interruption] I am on my feet. The member should seek leave.
I seek leave to make a query arising out of the Minister’s statement, because to my hearing the answer was ambiguous.
The CHAIRPERSON (Eric Roy) Link to this
Leave is sought to ask the Minister a question. Is anyone opposed to that course of action being taken? There appears to be no one. The member has the right to ask the question.
The Minister said that the effect of clause 19 was that the need to file both a declaration under one piece of legislation and the other was avoided. It left me with the impression that no declaration was required. I understood that the proposition, as Mr Hodgson had put it, was that one declaration would be required. Thank you.
The CHAIRPERSON (Eric Roy) Link to this
I am not sure whether we need a response to that. Will the nod suffice?
Dr RUSSEL NORMAN (Co-Leader—Green) Link to this
I raise a point of order, Mr Chairperson. I would definitely like a response on the record to that.
The CHAIRPERSON (Eric Roy) Link to this
You cannot seek leave for another member. If the Minister does not seek leave, we are moving on. [ Interruption] Leave is sought for the Minister to respond. Is there anyone opposed to that course of action being taken? There is not.
Hon SIMON POWER (Minister of Justice) Link to this
There is one return under the Electoral Finance Act.