LINDA SILMALIS, Sunday Telegraph
THE NSW Opposition will move to restrict political donations and cap advertising spending after being outspent three-to-one by Labor in the last State election.
In his first week in State Parliament as leader, Liberal boss Barry O'Farrell will call for the establishment of a parliamentary inquiry into the existing system of election funding and donations.
The proposal is expected to be supported by the NSW Greens, who have also been pushing for a parliamentary inquiry.
The move follows one of the most aggressive ALP election advertising campaigns to date to reinstate Premier Morris Iemma and Labor in NSW.
No NSW laws govern the amount that candidates or parties can spend on political advertisements.
Sources within the media-monitoring industry estimate the ALP to have spent around $5.7 million buying advertising space compared with $1.7 million by the Coalition.
Labor's advertising campaign extended to the Internet with a union-funded Village People cartoon lampooning former Liberal leader Peter Debnam circulated via e-mail.
Despite the Coalition's loss in March, the margin with Labor has been substantially reduced, with Mr O'Farrell requiring a swing of around six per cent to win government in 2011 -- down from around 10 percent in the lead-up to the March election.
Mr O'Farrell said a review of the system was overdue to restore confidence in the community at the political process. "Despite the existence of the Independent Commission Against Corruption, there is growing community concern about the links between political donations and decisions by the State Labor Government," Mr O'Farrell said.
"Democracy does have a cost, but decisions under our system of government shouldn't come with a price tag."
Under the Coalition plan, the inquiry would examine where some or all categories of political donations should be banned. It would also examine limits on electorate and statewide political expenditure.
In New Zealand, candidates are restricted to spending no more than $20,000 while political parties are restricted to $1 million.
The total cost of the ALP campaign is estimated to have been around $15 million with the funds accrued through donations and lavish $10,000-a-table fundraisers.
Figures from the Australian Electoral Commission (AEC) show developers to have been among the most generous donors.
Records from the AEC show the industry donated more than $1 million to both the Liberals and Labor in 2005-06.
Labor's biggest donors last year were the Health Services Union, North Steyne Investments, Mirvac, Westfield and Macquarie Bank.
Macquarie Bank also donated to the NSW Liberal Party as did Deloitte Touche Tohmatsu, Clubs NSW and Meriton. |
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Search for donations disclosed to either the Australian Electoral Commission (AEC) or the NSW Election Funding Authority (NSWEFA).
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