Combatting Illicit Tobacco Bill 2026; Second Reading

Cook strongly supported the bill, describing it as a vital measure to combat an organised crime crisis that threatened public safety and small businesses. Cook highlighted the scale of the illicit market, estimated at up to $7 billion, and argued that the bill rebalanced the risk-to-reward calculation for criminals by increasing penalties and targeting profits. Cook emphasised the government's investment in enforcement resources and coordination with state governments, particularly Western Australia, to disrupt supply chains and protect communities.

French argued that the bill was necessary to address the normalisation of illegal tobacco and vape sales in communities, which undermined public health progress and fair competition for legitimate businesses. French detailed the bill's three main components: increased criminal penalties, improved investigative tools for law enforcement, and strengthened proceeds-of-crime regimes to follow the money. French rejected the argument that excise cuts were the solution, stating that weakening the system would surrender the field to illicit operators and harm public health.

Wood drew on his experience in law enforcement to argue that while the bill's stronger penalties were positive, they were insufficient without greater powers for state police and the Australian Border Force. Wood criticised the lack of a penalty notice regime for state police and the inability of border officials to use surveillance and interception powers independently. Wood blamed state governments, particularly in Victoria, for failing to act earlier and called for immediate improvements to enforcement capabilities and coordination.