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Wednesday, 2 November 2011
Page: 12640

Mr McCLELLAND (Barton—Attorney-General) (16:52): I would like to thank all members who spoke in this debate for their worthwhile contributions. As mentioned throughout the debate, the Personal Property Securities Amendment (Registration Commencement) Bill 2011 amends the definitions of the migration time and the registration commencement time in the Personal Property Securities Act 2009 so that the times can be determined rather than just be the default times in the PPS Act.

In my second reading contribution I set out the reasons for these amendments. Under the current legislation, if an earlier time is not determined by default the migration time will be 1 January 2012 and the registration commencement time will be 1 February 2012. But the amendments that we are dealing with will enable times to be determined for both migration time and registration commencement time which could be earlier or later than the default times in the PPS Act. The ability to determine the commencement of the PPS register will assist governments to ensure that stakeholders have confidence that the online PPS register will operate effectively.

I indicate our appreciation for the work that is being undertaken by stakeholders to ensure that this transition to the new system is effective. The government is doing what it can do in terms of roadshows and distributing information to inform small business. But, equally, a number of the larger financial institutions are undertaking considerable effort to educate their customers.

Personal property securities, as has been mentioned by a number of speakers, is currently governed by complex regulatory arrangements. But the PPS Act will replace these with a single, national, functional approach. The PPS reform will simplify over 70 Commonwealth, state and territory laws and replace the many existing registers of interest that complement these laws with the one PPS register. PPS reform is essential for making secured financing more accessible and efficient by lowering risks for lenders, increasing competition between finance providers and providing greater certainty for both lenders and borrowers.

In conclusion, PPS reform is a key aspect of the government's continued commitment to cooperation with the states and territories on the government's deregulation agenda and the National Partnership Agreement to Deliver a Seamless Economy. I would like to acknowledge the assistance of the states and territories in achieving this reform. All of the states have now passed their referral legislation. The states and territories have also made consequential amendments to their own legislation dealing with personal property securities interest. The passage of this bill and the commencement of the PPS regime in early 2012 is a significant achievement and will deliver major benefits for many sectors of the Australian economy. I commend the bill to the House.

Question agreed to.

Bill read a second time.

Ordered that this bill be reported to the House without amendment.