Commonwealth Electoral Amendment (Banning Dirty Donations)

Current status

This bill is currently before Parliament.

Policy area

Government & democracy

What does this bill do?

The bill would amend the Commonwealth Electoral Act 1918 to prohibit political donations from specified industries and their close associates, while also reducing caps on other donations.

Why was it introduced?

Senator Steph Hodgins-May introduced the bill as a Greens private senator's bill to go further than the electoral reforms passed in 2025. The explanatory memorandum says the bill targets industries that have used, or are publicly perceived as using, political donations to influence policy decisions. The bill also responds to concerns about large donations and loopholes by proposing lower caps, broader aggregation rules, treatment of some subscription and affiliation payments as gifts, and anti-avoidance provisions.

Broader context

The bill is part of a longer Greens campaign to reduce the role of large political donations in federal politics, especially donations from sectors that regularly seek policy decisions, project approvals or public funding. It also sits beside the 2025 electoral reforms: Labor senators argued those reforms already imposed broad disclosure, donation and spending controls, while Greens senators argued they left major industry-donation loopholes open.

Key criticism

Critics in the collected Senate debate argued that the bill was selective rather than even-handed: it would ban donations from named industries while leaving other forms of political influence and campaign funding less directly addressed. Labor senators also argued that Parliament had already passed broad electoral reforms in 2025, while Coalition and National senators said the Greens proposal would silence lawful industries they disagreed with.

Who supported it?

Senator Steph Hodgins-May introduced this bill. Supportive speeches so far have come from Greens.

Introduced in Senate 04 Feb 2026
Debate underway in Senate 14 May 2026
Not yet reached House
Not yet law

Did it become law?

Not yet

Final passage

No final vote yet

The bill has not yet completed passage through Parliament.

Days since introduction

126 days

Updated 10 June 2026.

Official record

View on APH

Parliament of Australia bill page

What does this bill do?

  1. The bill would amend the Commonwealth Electoral Act 1918 to prohibit political donations from specified industries and their close associates, while also reducing caps on other donations.

  2. The prohibited donorA person or entity covered by the bill's donation ban, including specified industry entities, their close associates and some industry representative organisations. categories would include property developers, financial institutions, tobacco and inhaled nicotine businesses, liquor and gambling businesses, mineral resources or fossil fuel extraction businesses, defence industry entities, pharmaceutical entities, and representative organisations mostly made up of those donors.

  3. A political donationA covered gift or loan made to, for the benefit of, or through another person for political parties, candidates, members of Parliament, associated entities, significant third parties or electoral expenditure. would include covered gifts or loans made to or for the benefit of political parties, state branches, members of Parliament, candidates, associated entities and significant third parties, as well as gifts routed through another person or entity for electoral expenditure.

  4. The bill would make it unlawful for prohibited donors, or people acting for them, to make or solicit political donations, and unlawful for recipients to accept those donations. The bill would attach criminal penalties, civil penalties and recovery of unlawful donations as debts to the Commonwealth.

  5. For donations not banned outright, the bill would lower and fix gift caps, including a $1,000 annual gift capThe legal limit on how much may be given as covered political gifts. This bill would lower the annual gift cap to $1,000 and set $3,000 caps for by-elections and Senate-only elections. and $3,000 caps for by-elections and Senate-only elections, and the explanatory memorandum describes the reform as a $3,000 cumulative limit per election term.

  6. The bill would treat more subscription, membership and affiliation payments as gifts when they are for federal political purposes or credited to federal accounts, and would aggregate gifts to state branches and associated entities with the relevant registered political party.

  7. The Electoral Commission would be able to issue 12-month determinations that a person is presumed not to be a prohibited donorA person or entity covered by the bill's donation ban, including specified industry entities, their close associates and some industry representative organisations., and would have to publish a register of those determinations.

  8. If enacted, the bill would commence on the later of the start of the day after Royal AssentThe formal approval a bill needs after passing Parliament before it becomes an Act. This bill had not received Royal Assent in the collected APH record. and immediately after Division 2 of Part 1 of Schedule 1 to the Electoral Legislation Amendment (Electoral Reform) Act 2025 commences. The collected APH record shows the bill was still before the Senate, so no passed text or Act text is available.

Show source excerpts
  1. The Bill proposes amendments to the Commonwealth Electoral Act 1918 (the Act) that will prohibit political donations from certain industries, and impose a reduced cap on all other donations.
    Commonwealth Electoral Amendment (Banning Dirty Donations) explanatory memorandum
  2. prohibited donor means: (a) a property developer; or (b) a financial institution; or (c) a tobacco industry business entity; or (d) a liquor or gambling industry business entity; or (e) a mineral resources or fossil fuel extraction industry business entity; or (f) a defence industry entity; or (g) a pharmaceutical entity; or (h) an industry representative organisation
    Commonwealth Electoral Amendment (Banning Dirty Donations) introduced bill text
  3. For the purposes of this Division, a political donation is: (a) a gift made to or for the benefit of a political party or a State branch of a political party; or (b) a gift made to or for the benefit of a member of the Commonwealth Parliament; or (c) a gift made to or for the benefit of a candidate
    Commonwealth Electoral Amendment (Banning Dirty Donations) introduced bill text
  4. A person who makes an unlawful political donation, whether as prohibited donor or on behalf of a prohibited donor, commits an offence punished by up to 2 years imprisonment and/or a fine of up to 400 penalty units.
    Commonwealth Electoral Amendment (Banning Dirty Donations) explanatory memorandum
  5. The Bill also recognises the potentially corrupting influence of large donations, irrespective of their source, and imposes a cumulative limit on donations from any source (individual, organisation or business) of $3,000 per election term.
    Commonwealth Electoral Amendment (Banning Dirty Donations) explanatory memorandum
  6. The amendments extend the definition of "gift" to include subscription and membership fees, when made for a federal purpose or credited to a federal account to be used for federal purposes, to close the loophole that has allowed these significant sources of campaign income to remain undisclosed and unaccounted for.
    Commonwealth Electoral Amendment (Banning Dirty Donations) explanatory memorandum
  7. The Electoral Commission must maintain, and publish on the Commission’s website, a register of determinations made under subsection (1).
    Commonwealth Electoral Amendment (Banning Dirty Donations) introduced bill text
  8. The later of: (a) immediately after the commencement of Division 2 of Part 1 of Schedule 1 to the Electoral Legislation Amendment (Electoral Reform) Act 2025; and (b) the start of the day after this Act receives the Royal Assent.
    Commonwealth Electoral Amendment (Banning Dirty Donations) introduced bill text

Broader context for this bill

The bill is part of a longer Greens campaign to reduce the role of large political donations in federal politics, especially donations from sectors that regularly seek policy decisions, project approvals or public funding. It also sits beside the 2025 electoral reforms: Labor senators argued those reforms already imposed broad disclosure, donation and spending controls, while Greens senators argued they left major industry-donation loopholes open.

  1. 2015

    High Court authority cited for donation limits

    The statement of compatibility cites McCloy v NSW as supporting donation caps and restrictions aimed at preventing corruption and undue influence in the political system.

    Explanatory memorandum ↗
  2. 2018

    Senate donation-influence inquiry forms part of the bill's case

    The explanatory memorandum says the bill implements recommendations of the Senate Select Committee into the Political Influence of Donations by banning donations from specified industries and capping donations from other sources.

    Explanatory memorandum ↗
  3. 2025

    Federal electoral reforms passed before this bill

    In debate, Labor pointed to the 2025 reform package as already addressing disclosure, donation caps and campaign spending. Greens senators argued those reforms did not ban donations from harmful industries and left avoidable pathways for large influence.

    Senate Hansard ↗
  4. 04 Feb 2026

    Hodgins-May introduced the bill in the Senate

    The APH timeline records the bill as introduced and read a first time, with the second reading moved on the same day.

    Parliament of Australia ↗
  5. 14 May 2026

    Second-reading debate tested the proposal

    Greens senators argued the bill was needed to curb corporate influence, while Labor and Coalition/National senators criticised the Greens' approach or said broader, more even-handed reform was preferable.

    Senate Hansard ↗

How did it move through Parliament?

House Senate
Introduced 04 Feb 2026

Senator Steph Hodgins-May introduced the private senator's bill in the Senate.

Introduced and read a first time

Second reading opened 04 Feb 2026

Hodgins-May moved the second reading and tabled the explanatory memorandum, opening debate on the bill's purpose and principles.

Second reading moved

Second reading debate 14 May 2026

The Senate continued second-reading debate, with Greens senators arguing for the bill and Labor, Liberal and National senators criticising the proposal or arguing for different reform settings.

The main case against this bill

Critics in the collected Senate debate argued that the bill was selective rather than even-handed: it would ban donations from named industries while leaving other forms of political influence and campaign funding less directly addressed. Labor senators also argued that Parliament had already passed broad electoral reforms in 2025, while Coalition and National senators said the Greens proposal would silence lawful industries they disagreed with.

The criticism summary is based on the supplied local speeches and source bundle. It does not rely on external searches or material outside the repository.

Selective treatment of industries

Susan McDonald argued that the bill would financially throttle political participation by industries the Greens oppose, rather than applying the same transparency rules to all participants.

Raised by Senator Susan McDonald, National Party Source ↗

Other influence channels not addressed

Matthew Canavan and Susan McDonald argued that the proposal did not deal equivalently with money flowing through renewable-energy, environmental, activist or foreign-backed campaign organisations.

Raised by Coalition and National senators in debate Source ↗

Existing 2025 reforms cited as the better approach

Murray Watt argued that Labor had already passed major electoral reforms with lower disclosure thresholds, donation caps, campaign-spending limits and rules that apply regardless of donor identity.

Raised by Senator Murray Watt, Australian Labor Party Source ↗

Recorded votes

No recorded votes have been found yet for this bill.

Who spoke, and what they said

Start here — lead voices

Sponsor speech Supports

Steph Hodgins-May

Australian Greens • Senator 04 Feb 2026

Steph Hodgins-May supports the bill and presents it as a reintroduced Greens proposal to get big money out of politics.

Read in Hansard ↗
Lead opposing voice Opposes

Matthew Canavan

Liberal National Party • Senator 14 May 2026

Matthew Canavan opposes the bill, arguing that the Greens are selective about political money and that the proposal targets resources and other legal industries while ignoring influence from renewable-energy and environmental campaigns.

Read in Hansard ↗
Lead voice Supports

Peter Whish-Wilson

Australian Greens • Senator 14 May 2026

Peter Whish-Wilson supports the bill and argues that falling major-party support is connected to public distrust about corporate influence.

Read in Hansard ↗
Lead voice Opposes

Susan McDonald

National Party • Senator 14 May 2026

Susan McDonald opposes the bill, arguing that it would financially throttle participation by industries the Greens dislike while not requiring equivalent disclosure from activist groups, foundations and campaign organisations.

Read in Hansard ↗

All speeches by bloc

Labor

1 speaker · 1 oppose

  1. Murray Watt Murray Watt criticises the bill from the government side, arguing that Labor had already passed the biggest electoral reform package in decades and that the Greens voted against it.
    “In February last year our government passed once-in-a-generation reforms to our electoral system to get big money out of politics.”

    Australian Labor Party • Senator • 14 May 2026

    Read the full speech in Hansard ↗

Coalition

2 speakers · 2 oppose

Greens

3 speakers · 4 contributions · 3 support

  1. Nick McKim Nick McKim supports the bill, arguing that political donations let large corporations and wealthy interests shape budget and policy outcomes.
    “The Greens bill would finally, and it is desperately overdue, clean up our political system. It would stop dirty donations from harmful industries that are not acting in the public interest like gambling, weapons corporations, fossil fuel corporations and big pharma.”

    Australian Greens • Senator • 14 May 2026

    Read the full speech in Hansard ↗

Full record

Full chat