Lotu-Iiga Sam: Fair Trading (Soliciting on Behalf of Charities) Amendment Bill — In Committee 
Text is incorporated into the Bound Volume 
Lotu-Iiga Sam: Fair Trading (Soliciting on Behalf of Charities) Amendment Bill — In Committee 
[Sitting date: 09 May 2012. Volume:679;Page:2139. Text is incorporated into the Bound Volume.] 
Peseta SAM LOTU-IIGA (National—Maungakiekie) 
: 
 Thank you Mr Woodhouse for clarifying the area of regulations. I just want to bring back up a point in the debate around why this Fair Trading (Soliciting on Behalf of Charities) Amendment Bill was brought to bear in the first place. What it has done despite the protestations of members opposite is raise the level of awareness and the level of conversation around this very important issue. We have heard tonight from members around this Chamber that there are over 25000 charities in this country to which members of the public donate in excess of $1 billion. Those members—at least the members whom I speak to on the streets of Maungakiekie—who want to have trust and confidence in the charities that they donate to say that they want some level of accountability and some level of transparency in what they are donating and where that money is going.  
In the Commerce Committee we heard some submissions from various charities—and I see the Hon Lianne Dalziel is here—and to be fair we grappled with the way that this bill would address the issues that were raised both in the public oral submissions and in the written submissions. We grappled primarily with the way that we wanted to see some primary legislation that would directly address the issues that have been canvassed here tonight. We tried and we tried and we did not quite get there. That was disappointing but I think it is mischievous for members opposite to claim now that this bill is hollow because it is not hollow; it actually has regulation-making powers. I have already canvassed in this House my reluctance to use regulation-making powers. As lawmakers we should at least have a go at defining and describing the types of laws that people in New Zealand should adhere to and obey. But we could not get there. The regulation-making powers are in place and I have already stated my reluctance for that to go ahead. Mr Woodhouse has pointed out various models of approach to making those regulation powers work. I certainly have confidence that the Minister of Consumer Affairs the Hon Simon Bridges—and he is here tonight—will carefully consider this that he will consult widely and that he will take upon his conscience the representations of those who are directly affected by this bill.  
I think one of the more compelling submissions that we heard was from Greenpeace and various others who stated that it was not a one-off donation that they were receiving but actually a trail of donations and that in order to attain those long-term donors they needed to invest in marketing in public relations and in those people who would— 
Hon Lianne Dalziel 
: Maybe a dotcom website. 
Peseta SAM LOTU-IIGA 
: —a dotcom website—take on these donations and would encourage and attract long-term donors. That point was very well made and I think in good conscience we resisted some of the desire to go ahead and regulate in this way.  
I think also the points raised by Mr Twyford are quite valid. He referred to direct mail. Mr Twyford did not actually state the online contributions that people make. The internet is taking over in terms of attracting donations to various charitable organisations. He also mentioned charitable events which again are a different way of soliciting funds from potential donors and future donors. I take the point but I think that Mr Twyford who was not part of our select committee process should actually look at the bill as amended. The bill actually incorporates some of those things. The regulation powers stated within the bill are wide enough to take on some of those different forms of donating moneys.  
We cannot forget the mischief that this bill addresses. The honourable Minister Amy Adams referred to third-party organisations that use up 80 percent—although I have heard of other organisations that have chewed up 90 percent—of actual donations. I do not believe that the New Zealand public has trust and confidence—and I did not hear one member of the committee refer to them as having trust and confidence—in that type of operation.  
This bill is to be commended. I encourage all parties in this Chamber to vote for this bill. Despite their protestations about it being hollow I think it does address the issues. I have confidence that the Minister will put together regulation-making powers. There is a review of the Fair Trading Act which will also go a long way towards addressing some of the issues in this area. I certainly speak in favour of this bill.