Lobbying system is corruption risk: ICAC

10 Nov 2010, 7:01 pm   -   Source: AAP
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The Independent Commission Against Corruption says the current lobbying regulatory system in NSW is a "major corruption risk".

The NSW corruption watchdog has called for sweeping reforms to state lobbying rules, saying the current lack of transparency is a major risk.

The Independent Commission Against Corruption (ICAC) has recommended a new lobbyists' register be established, and that the government ensure meetings and communication with lobbyists be recorded and made publicly available.

The NSW government should develop a new code of conduct for lobbyists, and lobbyists' success fees should be outlawed, ICAC also recommended in a report released on Wednesday.

Former ministers, parliamentary secretaries, ministerial staff and senior government officers should for a time be prevented from working as lobbyists, the watchdog said.

The ICAC report included 17 recommendations stemming from a two-week inquiry into lobbying held in August.

"The commission found that a lack of transparency in the current lobbying regulatory system in NSW is a major corruption risk and contributes significantly to public distrust," ICAC said in a statement.

"The public is entitled to know that lobbying is occurring, to ascertain who is involved and, in the absence of any overriding public interest against disclosure, to know what occurred during the lobbying activity."

The NSW Greens immediately backed the ICAC recommendations and called on Labor and the coalition to do the same.

"Requiring a record of all meetings between lobbyists and ministers, their staff and bureaucrats to be made public is an important step towards restoring public confidence in the processes of government," Greens MP John Kaye said.

"It will shine a light on lobbying and help drive out NSW's behind-closed-doors decision-making culture."

A spokeswoman for NSW Premier Kristina Keneally said the government would seek advice from the Department of Premier and Cabinet about the ICAC recommendations.

But she pointed out that any change would build on lobbying rules already introduced by the government.

"We have already introduced the lobbyist register, a publicly available register of all lobbyists who interact with the government, and their clients," she said.

"And we have introduced a lobbyist code of conduct whereby ministers, their staff and public servants can only interact with registered lobbyists, who in turn can only act on behalf of their registered clients.

"Rules introduced last year mean Department of Planning staff operate under strong guidelines when interacting with both lobbyists and developers."

Opposition leader Barry O'Farrell said it was already coalition policy to ban lobbyists' success fees.

"I welcome the endorsement of the ICAC of our policy to ban these success fees and call on the Keneally Labor Government to do the same," Mr O'Farrell said in a statement.

"The NSW Liberals and Nationals have also called for strengthening of the lobbyists register and we will consider the recommendations of the ICAC."

However, the NSW Business Chamber said the ICAC recommendations were a "major assault on the ability of community organisations to interact with government".

"Every day NSW Business Chamber argues the case for lower taxes, better infrastructure and a more prosperous state," Chamber CEO Stephen Cartwright said.

"The idea that we will have to register all of our 300 staff as lobbyists and then record almost every formal and informal interaction with government is simply red tape."

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