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Legislative Council 18134 LEGISLATIVE COUNCIL Thursday 22 September 2005 ______ The President (The Hon. Dr Meredith Burgmann) took the chair at 11.00 a.m. The Clerk of the Parliaments offered the Prayers. DISTINGUISHED VISITORS The PRESIDENT: I welcome into the President's Gallery the Speaker of the Legislative Assembly of the Northern Territory, the Hon. Jane Aagaard. PROTECTION OF THE ENVIRONMENT OPERATIONS AMENDMENT BILL STANDARD TIME AMENDMENT (DAYLIGHT SAVING) BILL LOCAL GOVERNMENT AMENDMENT (STORMWATER) BILL SECURITY INTERESTS IN GOODS BILL PROPERTY LEGISLATION AMENDMENT BILL Bills received. Leave granted for procedural matters to be dealt with on one motion without formality. Motion by the Hon. Michael Costa agreed to: That the bills be read a first time and printed, standing orders be suspended on contingent notice for remaining stages, and the second readings of the bills be set down as orders of the day for a later hour of the sitting. Bills read a first time and ordered to be printed. INDEPENDENT COMMISSION AGAINST CORRUPTION Report The President tabled, pursuant to the Independent Commission Against Corruption Act 1988, a report entitled "Report on Investigation into Various Allegations Relating to the Former South Western Sydney Area Health Service", dated September 2005. The President announced that, pursuant to the Act, it had been authorised that the report be made public. Report ordered to be printed. PROCEDURE COMMITTEE Reference Motion by the Hon. Tony Kelly agreed to: 1. That the Procedure Committee inquire into and report on sitting times and the precedence of business for the remainder of the current session. 2. That the Committee have regard to the experience with the sessional order adopted by the House on 6 May 2005 for the sittings from 24 May to 23 June 2005. 22 September 2005 LEGISLATIVE COUNCIL 18135 CIRCULAR QUAY PYLONS Production of Documents: Tabling of Documents Reported to be Not Privileged Motion by the Hon. Greg Pearce agreed to: 1. That, in view of the report of Independent Legal Arbiter the Hon. Terence Cole, QC, dated 17 August 2005, on the disputed claim of privilege on documents relating to the Circular Quay pylons, this House orders that the documents considered by the Independent Legal Arbiter not to be privileged be laid upon the table by the Clerk. 2. That, on tabling, the documents are authorised to be published. PROCEDURE COMMITTEE Membership Motion by the Hon. Tony Kelly agreed to: 1. That Ms Fazio be appointed as a member of the Procedure Committee in place of Ms Tebbutt, resigned. 2. That Revd Dr Moyes be discharged from the Procedure Committee and Revd Mr Nile be appointed as a member of the Committee. VARIATIONS OF PAYMENTS ESTIMATES AND APPROPRIATIONS 2004-05 The Hon. Michael Costa tabled, pursuant to section 26 of the Public Finance and Audit Act 1983, variations of the consolidated fund receipts and payments estimates appropriations for 2004-05. PRIVILEGES COMMITTEE Report The Hon. Patricia Forsythe, on behalf of the Chairman, tabled Report No. 30 of the Privileges Committee, entitled "Report on Person Referred to in the Legislative Council (Ms S. Wong)", dated September 2005. Ordered to be printed. PETITIONS Crown Land Leases Petition requesting the withdrawal of changes to the rental structure of Crown land leases, particularly enclosed road permits, received from the Hon. Rick Colless. Anti-Discrimination (Religious Tolerance) Legislation Petition opposing the proposed anti-discrimination (religious tolerance) legislation and the introduction of heavy penalties that will prevent religious groups from speaking frankly and openly for fear of allegations of vilification, received from Reverend the Hon. Fred Nile. Brigalow Belt South Bioregion and Nandewar Bioregion Petition opposing the removal of cypress pine and hardwood forests from State Forests management and the degradation of communities within the Brigalow Belt South and Nandewar bioregions, received from the Hon. Rick Colless. Recreational Fishing and Diving Petition opposing any restrictions on recreational fishing in the mid North Coast waters, and opposing any ban or surcharge on recreational fishing or diving, received from the Hon. Melinda Pavey. 18136 LEGISLATIVE COUNCIL 22 September 2005 Oath of Allegiance Petition praying that the oath of allegiance to Her Majesty the Queen be retained in the pledge of loyalty by members of the Parliament of New South Wales and by Ministers of the Crown, received from Reverend the Hon. Fred Nile. Same-sex Marriage Legislation Petition opposing same-sex marriage legislation, received from Reverend the Hon. Fred Nile. THE HONOURABLE JANE AAGAARD, SPEAKER OF THE LEGISLATIVE ASSEMBLY OF THE NORTHERN TERRITORY Motion by leave, by the Hon. Tony Kelly agreed to: That the Hon. Jane Aagaard, Speaker of the Legislative Assembly of the Northern Territory, be invited to take a chair on the dais on the right of the President. CRIMES AMENDMENT (PROTECTION OF INNOCENT ACCUSED) BILL Second Reading Debate called on, and adjourned on motion by the Hon. Don Harwin. FAIR TRADING AMENDMENT (RESPONSIBLE CREDIT) BILL Second Reading Debate resumed from 14 September 2005. [Pursuant to a resolution this day the Honourable Jane Aagaard, the Speaker of the Legislative Assembly of the Northern Territory, was conducted to her chair on the dais to the right of the President.] Reverend the Hon. FRED NILE [11.17 a.m.]: The Christian Democratic Party supports the Fair Trading Amendment (Responsible Credit) Bill, which was introduced by Ms Sylvia Hale. This is a down-to- earth, practical bill that will amend the Fair Trading Act to impose obligations on credit providers, additional to those obligations under the Consumer Credit (New South Wales) Code, with respect to credit card contracts and increases in credit card limits. The bill will ensure that the credit provider must not enter into any credit contract or increase the credit limit or amount of credit under an existing credit contract if the credit provider knows or ought, after reasonable inquiry, to have known that the debtor does not have the capacity to pay the amounts required under the contract or would incur substantial hardship in paying such amounts. There are other aspects of the legislation that the Christian Democratic Party also supports. I am sure all honourable members are continuously offered credit cards by banks and credit card providers. I suppose they secure our names and addresses through mail order companies that buy mail lists. The lenders do not make an inquiry as to whether we already have a credit card or any number of them; they simply offer us another credit card. We then constantly get offers to increase our credit levels, which is a temptation for everyone. The credit provider does not check the ability of people to service their credit card loan. As a minimum, most people are struggling to pay just the interest but many cannot even do that. In a large number of cases it is probably impossible for them to pay off the principal of their credit card loan. It has been estimated that in some cases people could take 100 years to pay the total amount owing on their credit cards. If we were to pass this bill it would send a message to credit card providers and the banks that the House believes they have gone too far in their efforts to recruit new customers without assessing their ability to pay. The credit companies and banks apply no hardship or income tests. They do not consider whether people have existing loans. Visa International reports that about only 35 per cent of all credit card holders pay interest on their debt. Those able to pay off their credit cards within the interest-free period are not obliged to pay any interest at all. For the fortunate 65 per cent who accrue no interest, the service offered by credit card companies is effectively free. But for the other 35 per cent the service is very expensive indeed. The interest burden on the 22 September 2005 LEGISLATIVE COUNCIL 18137 $21 billion of debt on which interest is being paid is being borne by the bottom 35 per cent of all cardholders— the customers who can least afford to bear that burden. So the poorer one is, the more one pays. I urge honourable members to support the bill. Mr IAN COHEN [11.21 a.m.]: I support my colleague Ms Sylvia Hale, who led for the Greens in the debate on the Fair Trading Amendment (Responsible Credit) Bill. It was interesting to read in this morning's Australian a story about Aboriginal people on Cape York who have been approached by lending establishments, including the Commonwealth Bank, and cajoled into purchasing four-wheel drive vehicles worth more than $35,000 when they live on benefits of $200 a week. That is an extreme case, but the bill attempts to introduce a degree of control into the area of consumer debt. Growth in consumer debt and easily available credit are phenomena that not only have become acceptable but are being touted as desirable. However, this has considerable social costs. Banks advertise with slogans such as "Good things come to those who don't wait". The attitude being sold is buy now and think about paying later. We have gone from being a society that accepted consumer debt as a last resort to one that is happy for it to be a first choice. Clive Hamilton and Richard Denniss of the Australia Institute examined this pattern in their book Affluenza, a condition they defined as: The bloated, sluggish and unfulfilled feeling that results from efforts to keep up with the Joneses; an epidemic of stress, overwork, waste and indebtedness caused by dogged pursuit of the Australian dream; an unsustainable addiction to economic growth. They said: Debt is an essential element of the cycle of affluenza.
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