Proposed reforms to strengthen democracy could have major unintended consequences for charities and community groups

The recommendations from an inquiry into the 2022 federal election could strengthen Australia’s democracy, the Human Rights Law Centre said today, but they could also have the unintended consequence of silencing civil society voices in election debates.

The Joint Standing Committee on Electoral Matters’ interim report recommends long overdue reforms to make political donations transparent, to cap election spending and to ban large donations to politicians altogether. Important detail is yet to be finalised, but done well, these reforms could help protect Australian parliament from the undue influence of wealthy individuals and harmful industries like fossil fuels and gambling.

A key concern emerging from the report, though, is that it also recommends donation caps be imposed on charities and community groups that qualify as “third parties” under the Commonwealth Electoral Act. Extending donation caps to charities and community groups will suppress advocacy on important issues like the climate and public housing, but do nothing to stop distorting public campaigns from industry peaks like the Minerals Council of Australia.

Alice Drury, Senior Lawyer at the Human Rights Law Centre, said:
“Without limits on political donations and election spending, politicians will respond to those with the biggest bank balance, instead of those with the best ideas. Australians are fed up with the status quo. We need a level playing field. Elections should be a time when people with important things to say on matters of public interest can be heard, not just those with enough cash to buy a national platform.”

“Limits on political donations and election spending are the reforms we need to get the influence of big money out of Australian politics. But it’s equally important that we protect the rights of ordinary people to have their voices heard on issues they care deeply about, be it through charities or local community groups. It is vital that the Albanese Government sit down with civil society groups before this proposal becomes law to work through the unintended consequences for advocacy.”

“As they currently stand, the recommendations of this report are discriminatory and anti-charity: they would prevent charities and not-for-profits from raising large donations to use on advocacy on health and the environment in the lead up to elections, but wouldn’t do anything to stop industry peaks relying on corporate membership fees for pro-tobacco and pro-mining election advertising.”

Media contact:
Thomas Feng
Human Rights Law Centre
Media and Communications Manager
0431 285 275
thomas.feng@hrlc.org.au