Committee recommends political donation and ad reform, saves territory representation for another day

The Joint Standing Committee on Electoral Matters late on Monday tabled its interim report into the 2022 federal election, but in a disappointing move for ACT senator David Pocock, it has not yet considered the issue of territory representation.

The interim report has focused on electoral integrity issues such as donation reform and truth in advertising laws. More hearings are expected soon before the committee hands down its final report later this year.

Committee chair Kate Thwaites said the community had to feel "confident that our political system and our politicians are accessible to all and not just to those capable of making very large donations".

"Across the western world, we see the potential for a drift from democracy when people feel like their political system isn't working for them and believe that their system has been captured by vested interests. It's a trend that we must work hard to avoid in Australia," she said.

After receiving nearly 1,500 submissions and holding nine public hearings, the joint standing committee made 15 recommendations, including that the government lowers the donation disclosure threshold to $1,000 from the current $15,200.

It also recommends "real time" disclosure requirements for donations and asks that the government considers amending the definition of "gift" in the Electoral Act to ensure it meets community expectations of transparency in political donations.

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As well, the committee recommends the government introduce donation and expenditure (spending) caps for federal elections. It recommends these also apply to third parties and associated entities.

Ms Thwaites said the clear goals for reform are to "increase transparency in election donations and curb the potentially corrupting influence of big money, to build the public's trust in electoral and political processes, and to encourage participation in our elections".

All election participants, under the recommendations, would be required to establish a "Commonwealth Campaign Account" for the purpose of federal elections, to better allow for disclosure and monitoring, while it is recommended the government introduces a new system of administrative funding as well as a new system of increased public funding for parties and candidates.

The committee has recommended the Australian Electoral Commission be given additional resources to deal with reform covering political donations and truth in political advertising.

The committee recommends that the government looks to South Australia as it develops legislation or seeks to amend the Commonwealth Electoral Act to enact truth in political advertising.

It also recommends the establishment of a division within the AEC to cover this important area.

Senator Pocock welcomed the report but he added he was "disappointed that the report did not consider the issue of Territory representation" which he and others raised in submissions.

"Most people don't realise that the ACT and NT have fewer senators on shorter terms than the state. Where the states each have 12 senators on six-year terms, the territories only have two senators on three-year terms," he said.

"Arguing for more politicians is always a hard sell but this is a question of fairness and strengthening our democracy."

Earlier this month, Special Minister of State Don Farrell confirmed the government is still actively considering a significant increase in the size of Federal Parliament to address four decades worth of population changes, including additional ACT and Northern Territory senators.

The joint standing committee also wants to support the AEC to increase the electoral enrolment and participation, particularly of Aboriginal and Torres Strait Islander people, including in remote communities.

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