Page 2366 - Week 08 - Thursday, 6 June 2013

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This increase will also place the ACT in the mid-range for Australian jurisdictions that use the concept of a penalty unit. This bill will align the territory with the value of a penalty unit for an individual with the Northern Territory and Victoria. The value of a penalty unit in the commonwealth has also recently been increased from $110 to $170.

The majority of criminal offences in the ACT include the option of a fine being imposed as a sentence, or as part of a sentence. The effect of the amendment will be to raise the dollar amount maximum fine that can be imposed for all offences that include a fine as a penalty unit. Increasing the maximum penalty amount for all offences in this way means that the relative weight of monetary penalties is maintained.

Using penalty units for all offences where a monetary penalty applies, and adjusting the value of penalty units, maintains relativities as between the penalties for a wide range of offences on the ACT statute book.

This proposal is consistent with other government amendments to ensure that maximum penalties remain relevant and appropriate. In sentencing an offender, the court must have regard to the offender’s ability to pay a fine. This is recognition that financial penalties may have a disproportionate effect on the section of the community that is already socioeconomically disadvantaged.

Government initiatives such as a range of flexible fine enforcement measures for court imposed fines and new “time to pay” options for people experiencing difficulty in paying their infringement notice penalties for, for example, traffic or parking offences will assist to minimise these impacts.

Prior to the current review, the value of a penalty unit has only been reviewed once since the Legislation Act commenced in 2001. As I mentioned earlier, this was in 2009. In order to facilitate more regular reviews, this bill also includes a requirement that the Attorney-General consider the appropriateness of the monetary value of a penalty unit at least every four years.

Monetary penalties become inappropriately low if they do not keep pace with inflation. Ensuring that the relative weight of the penalties is maintained is also linked to supporting the deterrence effect and value of penalty units.

A number of other Australian jurisdictions already have a statutory review mechanism for the value of a penalty unit. Tasmania, Victoria and the Northern Territory have a requirement to review the value of a penalty unit before every financial year, and the commonwealth recently introduced a requirement to review the value of a penalty unit every three years. Creating a requirement for the Attorney-General to consider the appropriateness of the value of a penalty unit will support the maintenance of the relative value of a penalty unit over time.

It should be noted that the Legislation (Penalty Units) Amendment Bill will not automatically result in an increase in infringement notice penalty amounts. Any


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