Parliament

Statutes Amendment (Tobacco and E-Cigarette Products—Closure Orders and Offences) Bill 2025

03 April, 2025

The Hon. J.S. LEE (15:52): 

I rise to speak in support of the Statutes Amendment (Tobacco and E-Cigarette Products—Closure Orders and Offences) Bill 2025. The bill before us today follows on from legislation that passed the parliament last year and came into effect on 13 December 2024, introducing new enforcement powers and penalties to tackle the sale of illicit tobacco and vapes.

The government reported that these new measures have already been used by both Consumer and Business Services and South Australia Police to seize illicit products across the state. It was reported that, as of 13 February this year, approximately $12.5 million worth of illicit products have been seized by SA enforcement teams. This includes more than 10 million cigarettes, more than four tonnes of tobacco, more than 400 kilograms of shisha and more than 55,000 vapes.

These seizures occurred between July 2024 and February 2025—less than an eight-month period. My understanding is that, since the law started on 13 December 2024, the Minister for Consumer and Business Affairs has issued six interim closure orders and applied for one long-term closure order, which is currently progressing through the courts.

The government reported that this new bill comes at the request of the SA Police commissioner and from close consultation with Preventive Health SA, Consumer and Business Services, the Small Business Commissioner and the Crown Solicitor's Office. I have been advised that SAPOL has identified a number of deficiencies in the current legislation and has requested additional powers to enable them to more effectively crack down on the illicit tobacco trade in South Australia.

This bill creates greater penalties for the possession or supply of illicit tobacco and e-cigarette products, with the introduction of a new penalty tier for commercial and large commercial quantities. Fines will now increase to up to $6.6 million for large-scale violations. A new offence will also be created for the property owner or landlord who knowingly permits their premises to be used for illegal activities. It will also enable owners to make an application to the court to amend or revoke a long-term closure order to allow the premises to be leased to a new tenant.

Furthermore, a new provision will allow a landlord to terminate a retail shop lease if a long-term closure order is made. The bill will also provide additional powers to police to undertake expanded searches of suspected premises to search for other illicit items, such as weapons, explosives and drugs, and will allow for greater information sharing between enforcement agencies.

With intelligence from law enforcement agencies showing that up to 75 per cent of the illicit tobacco and e-cigarette trade in Australia is being controlled by organised crime, it is vital that our police and enforcement agencies have the powers they need to stamp out this trade. I indicate my support for this bill. I understand the Hon. Frank Pangallo and the Hon. Connie Bonaros have filed a number of amendments to the bill, and I will consider those amendments during the course of the committee stage.