A regulatory and legislative framework for the creation of an industry governance body to establish e-commerce standards has been outlined today at the ASFA National Conference in Adelaide.
Jeremy Cooper told delegates of a number of recommendations he would include in his report to the swimEC Council shortly, aimed to achieve the adoption of mandatory, common data standards for superannuation transactions.
While Mr Cooper stressed that this work was separate to his previous role as Chair of the Super System Review and its SuperStream proposals, he admitted there were clear linkages.
Today he said his final report to the swimEC Council, a body established in 2002 to create industry standards, would recommend a co-regulatory model – a joint effort of industry, government and the regulators, where:
- The industry, through the establishment of a “Super Council”, would develop the standards.
- The government would establish a legislative framework under which the industry-developed standards would be mandatory for all participants in the superannuation industry, including employers, funds, administrators and intermediaries.
- The regulators, the ATO, APRA, ASIC etc, would have the enforcement role of ensuring that the standards were used as required.
“This report is not about industry self regulation,” ASFA chief executive Pauline Vamos said. “That has been tried and it has failed.”
The swimEC Council has circulated a draft of Cooper’s report to a number of participants across all sectors. Cooper said he had received strong support from all sectors in framing the draft.
“However, there are some practical issues that still need to be agreed upon before the swimEC Council can issue Jeremy’s report,” Ms Vamos said. “The challenge for the industry is to bring together all participants in the system, including the ATO, employers, SMSF, administrators, payroll houses and the industry.
“The key is to leverage all existing structures and processes. There are many stakeholders so the process to get to ‘what will work best’ will take time.
“We have a payments system already and hundreds of intermediaries – we will need to consider this.
“We congratulate the swimEC in moving this enormously important conversation to the next level. The industry recognises that it must deliver here. It is part of the quid pro quo to achieving better retirement outcomes and broad support for increasing the SG – this is what Minister Shorten was getting at yesterday at the opening of the ASFA 2010 conference.”
For further information, please contact:
Pauline Vamos, ASFA Chief Executive, 0433 169 342
Michelle Dunner, ASFA GM Marketing and Communications, 0412 704 016
Sarah O’Grady, ASFA Communications Co-ordinator, 0410 439 966
About ASFA
The Association of Superannuation Funds of Australia (ASFA) is the peak industry body for the entire superannuation sector. It is the only industry body that represents all types of superannuation funds, service providers and fund members.