Real Property (Electronic Conveyancing) Amendment Bill

Second Reading

Adjourned debate on second reading.

(Continued from 24 May 2016.)

The Hon. J.A. DARLEY (15:50): I rise to speak on the Real Property (Electronic Conveyancing) Amendment Bill 2016. This bill is the second instalment in terms of changes required for our participation in the national electronic conveyancing scheme. According to the government, the bill's purpose is to align the requirements for paper conveyancing with the new provisions for electronic transactions to facilitate a smooth transition between the lodgement mediums and to avoid the complexity and costs of dealing with two separate systems.

The bill removes the requirement for the Registrar-General to issue, and for registered proprietors to produce, duplicate certificates of title and tenants' copies of crown leases. References to duplicate certificates of title and tenants' copies of crown leases will also be removed from all state legislation. Instead, parties to a conveyancing transaction will undergo additional requirements aimed at verifying their identity and their right to deal with the land in question.

During the debate on the Real Property (Priority Notices and Other Measures) Amendment Bill 2015, I indicated that I would not be supporting these measures. As we know, currently the original titles remain with the Lands Titles Office and duplicate titles remain with the bank or financial institution that holds the mortgage over a property or the owner themselves where the property is freeholded. Under the proposed changes, if an owner of a property wishes to have details of the title in their possession or access details for any reason, they will be required to pay a search fee to the Lands Titles Office. I would appreciate any information the minister can provide in relation to this cost.

I had initial reservations about the proposal to remove duplicate certificates of title and had drafted amendments to this provision. However, having consulted with the government I have been given assurances that there are appropriate safeguards that address my concerns. Whilst I am still somewhat sceptical, I will not be proceeding with my amendments.

The Hon. T.T. NGO (15:52): I rise to support the Real Property (Electronic Conveyancing) Amendment Bill 2016. I am sure members are aware that electronic conveyancing is an important reform that will dramatically improve the complex processes involved when South Australians buy or sell a home. The current paper system of processing land transactions is antiquated and inefficient. In South Australia, the benefit to our businesses and industries involved in moving to national electronic conveyancing is estimated to be $10 million per year.

The bill implements the final reforms necessary to begin electronic conveyancing in South Australia, following the passing of the Electronic Conveyancing National Law (South Australia) Act 2013 and the Real Property (Priority Notices and Other Measures) Amendment Bill 2015, which I spoke on last year. Industry and government are eagerly awaiting the introduction of the reforms.

This bill introduces safeguards that require verification of identity to ensure that the integrity of the electronic conveyancing system is maintained; a system of client authorisations so that practitioners can execute instruments on behalf of their clients; modernisation of the certificate of title system as we move to electronic conveyancing, and a host of other smaller changes that strengthen the conveyancing system.

I am sure everyone in the chamber is aware of the time-consuming and sometimes costly processes that are involved in land transactions. Electronic conveyancing will significantly improve the system, saving South Australians both time and money. I support this bill and look forward to the savings and reduction in red tape that will result from its passing. I commend the bill to the chamber.

The Hon. P. MALINAUSKAS (Minister for Police, Minister for Correctional Services, Minister for Emergency Services, Minister for Road Safety) (15:55): I thank all members for their contribution during the second reading stage and I look forward to this bill progressing into committee.

Bill read a second time.

Committee Stage

In committee.

Clause 1.

The Hon. A.L. McLACHLAN: I have a short couple of matters to raise, and I do not seek a response from the government, so it is clearly a statement. The opposition will not seek any amendments, but it does draw the attention of the chamber to the fact that there has been a number of utterances and indications that the Lands Titles Office might be privatised, which is consistent with the government's approach in many of our longstanding government services. The opposition has grave reservations in relation to this approach, which has been indicated by the shadow attorney, the member for Bragg in the other place, and I wish to echo her concerns that this bill, whilst the opposition supports it, does have concerns that it may lead the way to privatisation or selling of what has been a longstanding and excellent government service to the people of South Australia.

Clause passed.

Remaining clauses (2 to 90), schedules and title passed.

Bill reported without amendment.

Third Reading

The Hon. P. MALINAUSKAS (Minister for Police, Minister for Correctional Services, Minister for Emergency Services, Minister for Road Safety) (15:58): I move:

That this bill be now read a third time.

Bill read a third time and passed.