Legislative Council - Fifty-Second Parliament, First Session (52-1)
2010-10-26 Daily Xml

Contents

BUILDING AND CONSTRUCTION INDUSTRY SECURITY OF PAYMENT ACT

The Hon. T.A. FRANKS (15:07): I seek leave to make a brief explanation before asking the Minister for Industrial Affairs a question on the Building and Construction Industry Security of Payment Act 2009.

Leave granted.

The Hon. T.A. FRANKS: I have been contacted by a gentleman who works in the construction industry as a consultant, and he informed me that he first contacted the Premier's office on 21 April and the Attorney-General's and the Premier's offices again on 23 July—in fact this year he has contacted government officials at least six times—asking for some clarity on the Building and Construction Industry Security of Payment Act 2009. As members will be aware, that act was passed in this parliament on 3 December 2009. Ten months later, I understand it has yet to be proclaimed.

This legislation is quite important to many contractors and suppliers associated with the construction industry, as it is the only cost-effective and efficient means that they have of ensuring that they get paid. Otherwise, they can run into financial, physical and mental ruin, and we are all aware of the issues with the construction industry that lead to those sorts of issues, which is why this act exists. My questions are:

1. When will the act be proclaimed?

2. Which government department and minister will be responsible for the administration of the act and the regulations?

3. Will there be regulations?

4. When will the industry be able to access information and details, including a point of contact within the government to obtain further information as it becomes available?

5. Will the government consult further with the industry with regards to this?

6. When will the people in the industry who are asking these questions actually get answers from the Premier's and the Attorney-General's offices and the government?

The Hon. G.E. GAGO (Minister for State/Local Government Relations, Minister for the Status of Women, Minister for Consumer Affairs, Minister for Government Enterprises, Minister for the City of Adelaide) (15:09): Given that the matter that the honourable member raises is part of my responsibility, I will seek to provide information. The Office of Consumer and Business Affairs is currently working with other government agencies to progress the security of payments legislation, and I am advised that some of the issues being considered include things like the relevant structures and processes and the function of similar schemes in other states.

This is a large undertaking, especially given that most of OCBA's work to date has been focused on transactions and disputes between businesses and consumers and not business to business as this legislation requires. At this point in time, that particular legislation has not been given to any particular minister to take responsibility for it in the future. At the moment the work has rested with me, but in terms of who will take charge of it in future, that is still under consideration.

As I have said, quite a good deal of work has been progressed to date and I am very happy to keep the honourable member informed of its progress. No date has been established at this point in time in terms of the release of the legislation.