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Banking services essential to rural and regional small businesses - Ombudsman

BANKING services are essential to small businesses in rural and regional areas and more should be done to support those impacted by branch closures, the Australian Small Business and Family Enterprise Ombudsman Bruce Billson said..

In a submission to the Regional Banking Taskforce, the Ombudsman said bank branch closures are disruptive to small and family businesses and that can have a ripple effect on the wider community.

“Small businesses rely on banking services to operate in the modern economy and it is essential those in rural and regional areas have access to the full range of banking facilities,” Mr Billson said.

“Branch closures increase small business administrative costs, the level of risk for business owners, and have a community wide economic impact caused by business patronage moving away, along with reduced community amenity, particularly if it is the last remaining bank in town.   

“For some small businesses, the loss of a local bank branch, may even cause them to look for services outside the regulated financial system. That is a bad outcome and there is more that can be done to support small businesses when a bank branch closes.

“My office would welcome the opportunity to work with the Australian Banking Association (ABA) to amend the code of practice to ensure customers affected by a branch closure can move to any other bank with no cost penalties.

“We have also asked the taskforce to consider expanding programs such as the Regional Tech Hub to help rural and regional small businesses to secure safe banking services," Mr Billson said.

“Particularly in areas where there is no local bank branch, NBN connectivity is critical. My office has long argued that access to banking and vital communications services are essential and a greater focus is needed to set and adhere to deliverable service standards. Where these standards are not met, impacting a small or family business, some consequences and remediation steps should apply.

“Australian small and family businesses have faced many difficult challenges over the past two years – the pandemic has exacerbated the impact of bushfires, floods and drought. These businesses need support as they work to get back on their feet, including access to essential banking services.”

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Green Finance Framework's $300 million investment an Australian first

A NEW agreement will see $300 million in private funds invested in energy assets under a sector-leading Green Finance Framework.

Funding from the deal – the first to be made under the Framework – is intended to be used for electricity infrastructure assets, helping to ready them for increasing levels of renewable generation feeding into the grid.

General manager for corporate finance, Luis Castillo-Melendez said his team had worked with global investment bank Mizuho Securities to make the private placement of the eight-year medium-term note (MTN).

“We established our Green Finance Framework with the purpose of giving confidence to investors that they could back projects aimed at making a difference in lowering carbon emissions, so we’re very pleased to see the first investment made,” Mr Castillo said.

“It will also help us to respond to our customers’ preferences for renewable energy, and with upgrades to the network, how they use energy.”

Mizuho head of debt capital markets for Australia, Simon Ward said, “We are honoured to have executed this exemplary transaction – the first Green Bond by an Australian utility in global markets."

The Green Finance Framework applies to companies within the State Grid Singapore Power Australia Assets (SGSP Australia Assets) Group which include Jemena and engineering, project management, operations and maintenance company, Zinfra.

It aligns with Jemena announcing, earlier this year, its ambition to achieve net-zero emissions by 2050 and will see the business use funds raised from green instruments such as bonds, loans, and promissory notes to finance and/or refinance projects that aim to deliver a positive impact on the environment.

The Framework, believed to be the first of its kind to be delivered by a traditional energy company operating in Australia, was developed in collaboration with global investment banks HSBC and ING. Net proceeds of green instruments issued can be used to fund or refinance projects in four major categories: renewable energy, energy efficiency, clean transportation, and climate change adaptation.

 

About Jemena

Jemena is an $11.5 billion company that owns and manages some of Australia's most significant gas and electricity assets. These include:

  • the Jemena Gas Network servicing 1.4 million customers around NSW;
  • the Eastern Gas Pipeline which delivers gas from Victoria's Gippsland basin to the ACT, Sydney and regional NSW;
  • the Queensland Gas Pipeline which supplies Gladstone and Rockhampton;
  • the Darling Downs Pipeline System which transports gas to the Wallumbilla gas trading hub, the 630MW Darling Downs Power Station, and to the feeder pipeline to the APLNG LNG liquefaction plant at Gladstone;
  • Jemena's Victorian electricity network which delivers electricity to over 360,000 homes and businesses in northern and western Melbourne
  • the Northern Gas Pipeline from Tennant Creek in Northern Territory to Mount Isa in Queensland.

Jemena also part-owns the ActewAGL electricity and gas distribution networks in the ACT and United Energy, which supplies electricity to more than 600,000 customers across south-eastern Melbourne and the Mornington Peninsula. www.jemena.com.au

More information about Jemena’s Sustainability Program is available in its 2020 Sustainability Report: Adapting to Change, available on the Jemena website: https://jemena.com.au/about/investors/annual-reports.

The Framework is available at: https://jemena.com.au/about/investors/investor-information

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PJCIS to review listing Hizballah and the Base as terrorist organisations under Criminal Code

THE Parliamentary Joint Committee on Intelligence and Security (PJCIS) has commenced a review of the listing of Hizballah and The Base as terrorist organisations under the Criminal Code Act 1995 (the Criminal Code).

Hizballah is a Lebanese organisation with political, social and military components. The Australian Government had listed Hizballah’s External Security Organisation (ESO), an entity within Hizballah responsible for various terrorist activities, as a terrorist organisation since 2003 but has recently decided to list the whole organisation of Hizballah as a terrorist organisation, following a unanimous bipartisan recommendation of the PJCIS in June.

Founded in the United States, The Base is a nationalist and racist violent extremist movement founded in 2018. Its members believe in an accelerationist ideology of preparing for a ‘race war’ and inevitable social collapse which can be expedited through terrorist attacks. This group has been proscribed as a terrorist organisation by the governments of the United Kingdom and Canada.

Under section 102.1A of the Criminal Code, the committee may review listings of terrorist organisations and report its findings to each house of the Parliament within the 15 sitting day disallowance period. 

Members of the public are welcome to make submissions to this review. Submissions should be provided no later than 5pm Tuesday, February 1, 2022.

Further information on the inquiry can be obtained from the Committee’s website.

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Union says Carmichael mine operators refuse to bargain over 'poor food arrangements, safety problems and exhaustion'

SAFETY CONCERNS, poor access to food and limited accommodation for fly-in-fly-out (FIFO) miners are the sad reality behind the Carmichael mine’s rush to produce the first coal for export according to the Mining and Energy Union.

Workers on the ground have reported the first exported coal had come at the expense of food for famished shift workers, proper sleeping facilities for those flying off rotation and serious safety issues involving equipment damage and injured workers.

Members at Carmichael are concerned the operator is trying to avoid bargaining even though 70 percent of the workforce have voted to demand discussions and tabled it with the Fair Work Commission (FWC).

“It’s been a long time since someone told me access to food on a project was a problem, but that’s what I’m hearing from the Carmichael mine,” Mining and Energy Union Queensland District vice-president Shane Brunker said.

“When the mine operator and its principal contractor, MacKeller, is underreporting injuries and equipment damage alarm bells start ringing for me.

“The first thing for a mine operator to get right is the health and safety of their workforce, not headline grabbing production targets,” he said.

“The workers are 100 percent behind the Carmichael project but we are not seeing the same commitment to our members which frankly we would have expected.

“Issues include no consultation with workers on changes to rosters or health and safety matters, refused information on how their salaries are developed and no consultation on the working of Christmas or Boxing days as required in the Black Coal Industry Award.

“If you match the individual contracts against the Black Coal Award you will see serious deficiencies and members want that fixed up as a priority.

“What we’re seeing is all Bollywood-style show business and no fair dinkum commitment to the workers," Mr Brunker said.

“Our union has always said we support the Carmichael project but our priority would be to organise the workforce and make sure they are getting fair deal that meets the standards in the Queensland coal industry.

“Now the mine is up and running, Bravus and its principal contractor need to meet with their workforce and nut out an ongoing arrangement which will ensure they export form Queensland for many years to come,” Mr Brunker said.

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Parliament to review regional news services

AUSTRALIA's regional news services will be the focus of a new Parliamentary inquiry. The House of Representatives Standing Committee on Communications and the Arts will hear evidence on newspaper services in rural, regional and remote areas.

Committee Chair, Anne Webster MP, said, "Local news is a vital component to an interconnected community, and a thriving democracy, particularly in smaller markets, having a choice in where to access your news coverage is not always possible."

A recent survey found that Australians living in regional communities were far more likely to go to their local news or newspaper website for information than other accessible online sources like search engines, social media sites or local council websites.

Dr Webster said, "At a time when many regional and remote newspaper services are shutting down or moving online, it is vital that we understand the needs of regional communities, and how heavily they rely on their local newspapers to stay connected."

As part of the inquiry the committee will examine the impact of decisions by large publishers to suspend publication of print editions; entry into these or other markets by new operators, particularly small businesses; impact of the News Media Bargaining Code for regional and remote newspapers; and the economic recovery in regional and remote markets from the impacts of COVID, and whether this has led to advertising revenue improving.

The terms of reference are available from the inquiry webpage. Submissions can also be made through the webpage, or by email to This email address is being protected from spambots. You need JavaScript enabled to view it. until January 28, 2022.

Information is on the committee’s webpage.

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Mature age workers may help ease staff shortages this festive season

THE Australian Small Business and Family Enterprise Ombudsman Bruce Billson is encouraging small and family businesses to welcome applications from all ages when hiring staff this busy festive season.

With many small and family businesses struggling amid nation-wide staff shortages, Mr Billson says mature age employees could help ease the workload.

“Small and family businesses are eager to make the most of the festive season and Summer months of trade, but finding staff is now their biggest issue,” Mr Billson said.

“Vacancies are at an all-time-high in the hospitality industry with more than 100,000 positions open across the country, particularly in tourism hotspots.

“That’s why I am encouraging small and family businesses to be age-inclusive when they advertise for people and really consider the many benefits that a mature worker can bring to the business," he said.

“Age diversity is good for business. Older workers can elevate an entire workplace, with their knowledge, experience and transferrable skills forged over many years.

“I am delighted to see this happening already in places like Cobargo Hotel on NSW’s south coast, which is hiring mature-aged workers and seeing the benefits first-hand.

“Small businesses looking for staff should ensure their advertising is welcoming of all ages and that they are looking for a positive attitude and willingness to learn the skills that can be taught on the job," Mr Billson said.

“Offer flexible working arrangements if possible to give workers at various life stages a chance to manage their work-life balance.

“This labour force shortage is a one-in-100-year problem for a range of industries and we know Australian small and family businesses are ready to lead the nation’s economic recovery.

“Above all we want small and family businesses to survive and thrive into the new year and that may mean casting the net a little bit wider to ensure you have a great team going forward.”

www.asbfeo.gov.au

 

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Reforming the rules for referendums

THE PROCESS for conducting referendums in Australia should be brought into the modern age, according to a report of the House Standing Committee on Social Policy and Legal Affairs released today.

In its report on constitutional reform and referendums, the Committee recommended amendments to modernise the legislation setting out the arrangements for referendums. The Committee also recommended the establishment of a new joint parliamentary committee to examine constitutional issues on an ongoing basis, and measures to strengthen awareness and understanding of the Constitution among school students and the wider community.

Acting chair of the committee, Sharon Claydon MP, said changes to the referendum process were long overdue.

"It has been over 20 years since the last referendum in Australia, and even longer since a comprehensive update to the referendum rules," Ms Claydon said.

"This inquiry has highlighted the need to modernise the referendum process to ensure that Australians can go to the ballot box fully informed about any referendum question. It is critical that these changes are considered now, and not during the middle of a referendum campaign," she said.

"The committee was also concerned about the low levels of understanding of the Constitution, and the lack of any established process of constitutional review. Through its recommendations, the committee is seeking to kickstart the conversation about the Constitution, both in schools and communities and in the Parliament, to help ensure Australia has a more informed and engaged citizenry."

The report is available on the inquiry website.

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Review of Telecommunications OLA assistance and access regime

THE Parliamentary Joint Committee on Intelligence and Security (PJCIS) today presented its review of amendments made by the Telecommunications and Other Legislation Amendment (Assistance and Access) Act 2018 (TOLA Act).

The TOLA Act amended a range of Commonwealth legislation to introduce measures to better deal with the challenges posed by ubiquitous encryption.

The committee considered the ongoing appropriateness, effectiveness and necessity of the powers conferred by the TOLA Act 2018 and made 29 recommendations to the government to amend the legislation.

The committee has recommended the powers be retained with additional safeguards and oversight mechanisms to provide the public with confidence the legislation continues to be used proportionally and for its intended purpose.

Chair of the committee, Senator James Paterson, said, “Agencies have made the case that these powers remain necessary to combat serious national security threats, and some of the worst fears held by industry at the time of passage have not been realised.

“However, these are intrusive powers that must be robustly overseen to ensure they are used appropriately, and there are improvements that can be made to the oversight framework which the committee has recommended,” Senator Paterson said.

Further information on the inquiry as well as a copy of the report can be obtained from the inquiry website.

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Northern Australia committee writes to WA Minister about Aboriginal Cultural Heritage Bill

THE Joint Standing Committee on Northern Australia wrote to the WA Aboriginal Affairs Minister, Stephen Dawson MLC, on December 10, 2021 expressing the committee’s concerns about the WA Aboriginal Cultural Heritage Bill then being considered by the WA Parliament.

The letter was copied to the Commonwealth Minister for Indigenous Australians, Ken Wyatt AM MP.

The letter, co-signed by the chair of the committee, Warren Entsch MP, and Senator Pat Dodson, a member of the committee, outlined the committee’s disappointment with key provisions of the Bill and its failure to take account of recommendations of the committee’s final report into the destruction of the Aboriginal cultural heritage at Juukan Gorge.

Committee Chair Warren Entsch said the Bill "falls far short of the reforms advocated in the Committee’s final report on Juukan Gorge, in particular the call for consistency with the principles of free, prior and informed consent by Indigenous people”.

He said the Bill “conflicts with these principles by giving the Minister the ultimate power to decide whether mining or other activities can go ahead if traditional owners do not agree to an Aboriginal Cultural Heritage (ACH) Management Plan put forward by a proponent company”.

Mr Entsch has also criticised the consultation process undertaken by the McGowan Government on the Bill, which he said “was not centred on culturally based protocols, was not undertaken in language and was not linked to elements of Aboriginal culture”.

The letters are available on the Committee’s website:

Additional Documents – Parliament of Australia (aph.gov.au)

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Prudential regulation of investment in Australia's export industries: report tabled

THE Joint Standing Committee on Trade and Investment Growth has released its report on the Prudential Regulation of Investment in Australia’s Export Industries, which examined how Australia’s prudential regulation framework interacts with operations of the country’s biggest export industries.

The Committee Chair, George Christensen MP, said while a healthy financial system is underpinned by strong regulatory settings, it is important for law-abiding export sectors to have adequate access to funding and insurance, as they make significant contributions to Australia’s economy.

"The Report makes 13 recommendations, all addressing the challenges heard during the inquiry. In particular, we emphasise that Australia’s regulators should work with affected sectors in issuing clear advice about risks. Some of the recommendations also deal with the influence of small shareholder groups in financial institutions," Mr Christensen said.

Other recommendations made by the committee outline a role for the Australian Government in mitigating these challenges, including:

  • Recognising that finance, banking and insurance services are essential services for businesses;
  • Taking steps to ensure that banks must, at a minimum, provide transactional banking services to all law-abiding businesses;
  • Directing banks to prepare a regulatory impact statement (or similar) that outlines the real impacts of a policy setting; and
  • Working with the resources sector to create a self-funding insurance model that meets the needs of resource companies, contractors, suppliers and associated export infrastructure.

The full report can be found on the Committee’s webpage.

 

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Treaties Committee supports first AUKUS agreement

THE Joint Standing Committee on Treaties has recommended the Federal Government move to ratify the agreement with the United States and United Kingdom for the Exchange of Naval Nuclear Propulsion Information (ENNPI).

Committee Chair Dave Sharma MP said, "This agreement will help determine the optimal pathway for acquiring nuclear-powered submarines for the Royal Australian Navy, one of the most important strategic military capabilities for Australia in the decades ahead.

“The agreement will allow for the exchange of sensitive and classified naval nuclear propulsion information with a third country for the first time, and provide a mechanism for Australian personnel to access training and education from UK and US counterparts, essential for learning how to safely build, operate and support nuclear-powered submarines.

“With our security environment growing more challenging in the decades ahead, a regionally superior submarine capability is critical to safeguard Australia’s security," Mr Sharma said. “This agreement will help facilitate this capability.

"The proposed agreement will not affect Australia’s strong commitment to nuclear non-proliferation," Mr Sharma said.

The Report can be found on the Committee website, along with further information on the inquiry.

 

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