Australian Greens’ leader Christine Milne says the appointment of former Resources Minister Martin Ferguson as an executive of natural resources for Seven Group Holdings, and as chair to a petroleum industry advisory board “makes a mockery” of the lobbying code of conduct for former ministers.
ABC Fact Check found the claim to be in the ballpark. “The verdict: By taking up the appointment within the cooling off period it can be argued that Mr Ferguson has made a mockery of the intent and spirit of the code.”
The Lobbying Code in effect at the time said: “Persons who, after 6 December 2007, retire from office as a Minister or a Parliamentary Secretary, shall not, for a period of 18 months after they cease to hold office, engage in lobbying activities relating to any matter that they had official dealings with in their last 18 months in office”.
It defines “lobbying activities” as any oral, written, or electronic communications with a government representative in an effort to influence government decision-making.
Also see our story: How the Queensland Government fracked the state
In 2007, then prime minister Kevin Rudd replaced some of the Ministerial Code of Conduct, including the part that refers to the employment of ministers after they leave parliament.
The standards says for eighteen months after ceasing being a minister they “will not lobby, advocate or have business meetings with members of the government, parliament, public service or defence force on any matters on which they have had official dealings as Minister in their last eighteen months in office.”
It also says “ministers will not take personal advantage of information they received as a minister that isn’t available to the general public”.
Senator Faulkner said: “The combination of these Standards and the Lobbying Code means the public can be confident that Ministers will not be able to use the experience and contacts they have gained in office to enhance their value to the private sector, either as lobbyists or as senior executives in business with the Government”.
Former Federal Resources Minister Martin Ferguson
Since resigning as Minister for Resources, Martin Ferguson on 22 March 2013 and not seeking re-election at the September 2013 elections, he has taken the following paid positions:
Group executive of natural resources for Seven Group Holdings which owns WesTrac, the WA/NSW/ACT Caterpillar dealer.
Sept 2013: Mr Ferguson told the Australian Financial Review his “skills and contacts” as a former resources minister would be a major advantage for Seven Group.
“What I will be looking for is to develop the mining sector with Seven Group,” he said. A new New South Wales Operational Headquarters in Tomago, near Newcastle was opened in 2012.
Chairman of the advisory board of the gas and oil industry’s peak body, the Australian Petroleum Production & Exploration Association.
September 28 2013: APPEA’s website acknowledges its status as a lobby group, saying it “works with Australian governments to help promote the development of the nation’s oil and gas resources in a manner that maximises the return to the Australian industry and community”.
Martin Ferguson joined the Energy and Minerals Board of The University of Western Australia’s Energy and Minerals Institute.
21 October 2013: UWA said “the incoming board members were a trusted group of industry and government representatives who had worked with UWA for many years, and shared the University’s vision of WA as an international centre of excellence in resources and energy research.”
“It is a privilege to have Martin Ferguson share his many years of parliamentary expertise with our Board and I look forward to developing our relationship further as we guide the Energy and Minerals Institute to achieve our objectives of leading research, contributing to global knowledge and meeting the needs of local, national and international communities,” Professor Johnson said
Martin Ferguson joins University College London’s Australian board as chairman
March 18, 2014 “UCL is one of the world’s top five universities and its research in Australia is focused squarely in the minerals, energy and natural resources areas,’’ Ferguson said.
“I think Australia in general, and South Australia in particular, can better exploit UCL’s international connections and this is an area I’m keen to direct the board’s effort towards.”
“We have been patiently laying a foundation of research activity in the past two years, in areas including unconventional gas, adding value to Australian resources and resource monitoring (particularly offshore petroleum) but understand we need to now raise our profile and attract more PhD students to take ourselves to the next level,” said UCL’s Australian campus chief executive David Travers.
“This has been evidenced in recent months with Mr Ferguson joining BG (British Gas) as a non-executive director and drawing praise from the Prime Minister about his thinking on improving resource sector productivity,’’ Mr Travers said.
BG Group appointed Martin Ferguson as Non-Executive Director on its international board.
13 December 2013 BG Group owns QGC which operates in the Queensland gas fields. BG Group Chairman Andrew Gould said “Martin also brings with him international expertise, particularly in the resources and energy sector. With Australia poised to become one of the world’s leading suppliers of LNG, and with BG Group set to deliver the world’s first coal seam gas to LNG project in 2014, Martin’s insight and experience in the development of Australia’s natural gas industry and the growing LNG market in Asia will prove invaluable to the board.”
In October 2013, the Greens called him out with claims that Martin Ferguson has breached the Ministerial Code of Conduct … ABC Fact Check called it In The Ballpark … his appointment to the board at BG Group was made since then and was also within the 18 months stipulated by the Code.
Commonwealth parliament – Ministerial code of conduct – Post-separation employment
The Standards of Ministerial Ethics states:
2.19. Ministers are required to undertake that, for an eighteen month period after ceasing to be a Minister, they will not lobby, advocate or have business meetings with members of the government, parliament, public service or defence force on any matters on which they have had official dealings as Minister in their last eighteen months in office. Ministers are also required to undertake that, on leaving office, they will not take personal advantage of information to which they have had access as a Minister, where that information is not generally available to the public.
2.20. Ministers shall ensure that their personal conduct is consistent with the dignity, reputation and integrity of the Parliament.
The standards include a specific reference to restrictions on the post-separation employment of ministers who intend to engage in lobbying activities:
8.6. In addition, as outlined earlier, Ministers will undertake that for an eighteen month period after ceasing to be a Minister, they will not lobby, advocate or have business meetings with members of the government, parliament, public service or defence force on any matters on which they have had official dealings as Minister in their last eighteen months of office.
These restrictions are repeated in the Lobbying Code of Conduct (see here for more information on this code).
Martin Ferguson biography
Mr Ferguson was Australia’s Federal Minister for Resources and Energy for nearly six years until his retirement from politics in early 2013. During that time, he was also the Federal Minister for Tourism.
He was elected to the Australian House of Representatives in 1996 as the Australian Labor Party’s Member for Batman, a Melbourne-based electorate. He was responsible for several portfolios while in opposition until 2007, including transport, employment, training, multi-cultural affairs, regional development, infrastructure, roads and primary industries.
He was President of the Australian Council of Trade Unions for six years until entering parliament and is a life member of Australia’s Liquor, Hospitality and Miscellaneous Workers’ Union.
Mr Ferguson chairs a Tasmanian Government advisory panel into the state’s timber industry; is chair of an advisory board to the Australian oil and gas industry association, APPEA; and is an executive with the Seven Group Holdings with responsibility for natural resources.
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Christine Milne’s media release
Ferguson’s resources posting mocks lobbying code of conduct
Australian Greens media release:
1 OCT 2013 – Australian Greens Leader Senator Christine Milne says Martin Ferguson’s appointment as group executive of natural resources for Seven Group Holdings and as chair to a petroleum industry advisory board makes a mockery of the code of conduct which prevents former Ministers engaging in lobbying activities relating to any matter that they had official dealings in.
“The whole point of the code of conduct is to separate former Ministers from the industries they have been in direct contact with,” Senator Milne said.
‘It’s hard to see how a former Resources Minister going to work in the resources wing of Seven doesn’t make a complete mockery of the code.
“Mr Ferguson is an advocate of the fossil fuel industry. He’s on the exact same page as Ian Macfarlane when it comes to removing any kind of barrier to coal seam gas and resource extraction.
“Just today Mr Ferguson is reported to have urged NSW and Victoria to follow the lead of SA, WA, Queensland and the NT in encouraging gas development. He is also reported to have said the Santos project at Pilliga and the AGL project must be allowed to proceed.
“Mr Ferguson says he is conscious of the code, but in the same breath says he wants to build community support for gas and encourage development.
“The Australian Greens will be watching very closely to make sure former Minister Ferguson does not breach his responsibilities under the code.”
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Martin Ferguson joins UWA Energy and Minerals Board
21 October 2013
Former federal minister for resources and energy Martin Ferguson has joined The University of Western Australia’s Energy and Minerals Institute.
Mr Ferguson has been appointed to the Institute’s Board of Trustees along with Andrew Harding, Chief Executive of Rio Tinto’s Iron Ore product group; Terry Freckelton, General Manager of Development (Australia/New Zealand) for Shell Australia; and BHP Billiton’s Head of Group Project Management, Phil Montgomery.
UWA Vice-Chancellor Professor Paul Johnson said the incoming board members were a trusted group of industry and government representatives who had worked with UWA for many years, and shared the University’s vision of WA as an international centre of excellence in resources and energy research.
“It is a privilege to have Martin Ferguson share his many years of parliamentary expertise with our Board and I look forward to developing our relationship further as we guide the Energy and Minerals Institute to achieve our objectives of leading research, contributing to global knowledge and meeting the needs of local, national and international communities,” Professor Johnson said.
EMI Board of Trustees Chairman Greig Gailey said the board’s expertise would help EMI achieve successful world-leading outcomes.
“We are operating in a dynamic, challenging and changing global environment, so leadership from top global industry, government and research representatives is vital for EMI to achieve its vision of advancing knowledge and creating solutions for the world from its energy and mineral resources,” Mr Gailey said.
“EMI initiatives include the International Mining for Development Centre, which is helping to improve the quality of life in developing nations through a more sustainable use of mineral and energy resources and In The Zone , a global conference series that stimulates internationally significant policy debate led by Western Australian leaders.”
Incoming members will join existing members Alex Wonhas, who leads CSIRO’s Energy Transformed National Research Flagship; Dr Richard Smith who served as a diplomat in Indo-Pacific capitals including Beijing and Jakarta; UWA’s Vice-Chancellor Professor Johnson; UWA Deputy Vice-Chancellor (Research) Robyn Owens; and Tim Shanahan, Director of the Energy and Minerals Institute.
Mr Gailey and Professor Johnson acknowledged outgoing Board members Ann Pickard, Greg Lilleyman and Glenn Kellow, thanking them for their contributions.
Photo: (l-r) Attending the recent EMI Board Meeting were Mr Martin Ferguson AM, CSIRO’s Dr Alex Wonhas, EMI Board Chairman Greig Gailey, Dr Richard Smith, UWA Vice-Chancellor Professor Paul Johnson, BHP Billiton’s Phil Montgomery, Shell’s Terry Freckelton, and EMI Director Tim Shanahan.
