Jenny McAllister (NSW, Australian Labor Party, Shadow Cabinet Secretary) Share this | Hansard source

I would probably just draw Senator Whish-Wilson's attention to the amendment sheet that's been circulated. It sets out a process where a person would lodge a notification with ASIC that included a description of the financial service for which the person, or the business, was proposing to use the exemption and 'a justification of why exempting each of those financial services will result, or be likely to result, in a benefit to the public that will outweigh the detriment to the public that will result, or be likely to result, from exempting the service'.

That weighing of costs and benefits is a central public policy process that ASIC will need to undertake, and it's similar to the process proposed by the government in their draft regulations. It's not perfect, of course. I think your earlier comment, Senator Whish-Wilson, made the obvious observation that it's sometimes difficult to pick in advance a person who wishes to do harm. But it at least establishes a baseline proposition and requires applicants to make the case for why regulatory relief is in the consumer's interest or the public's interest. The government, as I understand it, doesn't disagree with that principle. It is a legislative principle that we are in dispute about, and our argument is that this test ought to sit in the primary legislation.