Senator CRANE (12:46 PM) —by leave—I move:

Clause 7, page 3 (after line 9), after the definition of ASIC , insert:

authorised trustee corporation means each of the bodies it corporate listed in schedule 9 to the Corporations Regulations in force from time to time.

Clause 9, page 6, (after line 2), at the end of the Clause, add:

(4) TrusteeCo must ensure that there is in force at all time between the conversion time and the finalisation time a deed under which:

(a) TrusteeCo authorises an authorised trustee corporation to exercise all rights, privileges and benefits vested in TrusteeCo by or under this Act or the Wool International Act; and

(b) TrusteeCo undertakes not to exercise those rights, privileges and benefits; and

(c) the authorised trustee corporation undertakes to perform all duties, liabilities and obligations (other than the obligation imposed by this subsection) vested in TrusteeCo by or under this Act or the Wool International Act.

(5) A deed under subsection (4) may relieve the authorised trustee corporation from liability except in the case of fraud, wilful default or neglect.

(6) All acts done by the authorised trustee corporation under the deed are taken to have been exercised or performed by TrusteeCo for the purposes of this Act (other than this section) and the Wool International Act.

These amendments emanated out of hearings of the Senate Rural and Regional Affairs and Transport Legislation Committee, which I chair and of which other senators in the chamber are members. We believe the changes to the legislation are necessary because they clearly create a situation where the management of TrusteeCo—through an independent trustee—is independent and at arm's length. Therefore, the committee made recommendations that these amendments should go through and they have been adopted by the government.

There was quite a bit of discussion about the number of equity holders who were not identified through a correct process under Corporations Regulations. It was argued by some that the figure was as high as 40 per cent, but we believe now that it was much closer to 26 per cent and is coming down. At the hearings, we were given assurances that there would be a major campaign to identify those people, and that letters have gone out to growers or equity holders who were not identified in the right form. Also, in the Western Australian The Countryman this week there was an advertisement about it, so the task is being carried out.

I believe this legislation and these amendments are incredibly important to the wool industry. Some comments were made in this chamber last night with regard to the freeze, and claims were made that prices have gone backwards or that the freeze had not helped the wool industry. I want to put a couple of facts on the table. I know I have very limited time, and it is more important to get the legislation through than it is to listen to me, but it is worth noting that since the second freeze the growers' stockpile has been reduced from 992,000 bales to 642,000 bales, which is a significant improvement on what would have been sold under the previous arrangements. The money that has come from that has gone directly into growers' pockets. As of an hour ago, the price rise since the second freeze has been from 465c to 531c, which is also very significant.

Senator Woodley —That is very good news.

Senator CRANE —Thanks, Senator Woodley. Another point I make about this legislation is that it would not have been possible to privatise the wool stockpile and give control back to the growers without the freeze. You may have been able to do it with what was proposed by the previous government under Wool International Holdings or Global Wools but in fact you would have been compulsorily acquiring growers' money—figures ranged from $26 million to $40 million. But under these arrangements whereby the government wished to truly privatise the wool industry and put the responsibility back into the hands of the equity holders, it had to occur. We now are in that position.

I believe the wool industry will continue to recover much of the ground it lost in recent years through a series of not only agro-driven decisions but also decisions driven by the previous government. One can lay blame wherever one likes, but some realities cannot be denied. I will leave my comments at that. I will address some of the other issues that were raised in an adjournment speech at a later date, because I think the record on some of the things that were said last night needs putting straight.