This article is more than 1 year old

This article is more than 1 year old

A former senior adviser to Tony Abbott is working as an in-house lobbyist for the tobacco giant Philip Morris, but flaws with the lobbying rules mean he is invisible to the oversight regime covering federal parliament.

Murray Cranston was a long-time adviser to Abbott, including during the Liberal MP’s time as health minister and opposition leader, and in the lead-up to his successful 2013 election campaign.

Since leaving Abbott’s office, Cranston has joined Philip Morris International as a manager of “federal government affairs” in the company’s external affairs team. The external affairs team engages with government officials and others on behalf of the multinational.

Facebook Twitter Pinterest The former Liberal prime minister Tony Abbott. Photograph: Mick Tsikas/AAP

Philip Morris is currently lobbying on Australia’s restrictions on vaping, an area it sees as crucial to its future revenue growth.

But Cranston – through no fault of his own – is hidden to the lobbying regime overseeing federal parliament. He is not listed on the federal register of lobbyists, the public’s only window into the world of lobbying.

That’s because Australia’s lobbying rules do not cover individuals who work directly for a company like Philip Morris as in-house lobbyists. They only cover third-party or consultant lobbyists, who work for a professional lobbying firm and are engaged by another company to act on its behalf.

Cranston does, however, appear on a publicly accessible register of government affairs directors kept by the Victorian state government. The Victorian register is an attempt by the state government to provide transparency on the actions of in-house lobbyists.

Philip Morris declined to make a statement about Cranston. There is no suggestion that Cranston has acted improperly or unethically, or sought to hide himself deliberately in any way. He has simply followed the rules that are currently in place to govern lobbying at the federal level.

Philip Morris said earlier this week it was not required to place itself on the federal register.

Quick guide Political lobbying in Australia: the basics Show Hide What do lobbyists do? Lobbyists attempt to influence government policy or decisions on behalf of either a client or their own organisation. Ethical lobbying is a valuable and important element of a healthy democracy. It helps those who have a stake in government policy to convey their views and expertise. There are two broad types of lobbyists: third-party lobbyists, who are engaged as consultants; in-house lobbyists, who work directly for corporations or interest groups. Who hires lobbyists? For many Australians, lobbying conjures images of powerful corporations working to sway politicians behind the scenes. There is a truth in that. The big banks, mining and energy giants, pharmaceutical companies, casinos, Amazon, Google and Facebook all engage lobbyists. But lobbyists also work on behalf of not-for-profits and community groups, including for veterans, social workers, aged-care staff, school principals and environmental organisations. What is the lobbyist register? The lobbyist register is the public's only window into the world of lobbying. It's a publicly available online list of lobbying firms, individual lobbyists and their clients. The register was a huge step forward when it was introduced in 2008, but remains frustratingly opaque. It doesn't tell us who is lobbying whom, about what, or when. Compare that with the ACT, where lobbyists are required to file quarterly reports on their activities, or NSW, where ministers are required to publish their diaries. The federal register is also completely blind to the activities of in-house lobbyists. What is the lobbyist code of conduct? The code tells lobbyists how they must behave when approaching the government and is designed to maintain ethical standards. But the code is not legislated and has no real teeth. It goes largely unenforced and the punishments are weak. The worst sanction available to authorities is removing a lobbyist from the register. The US and Canada have fines or jail terms for law breaches. Who keeps an eye on lobbyists? Federally it's the prime minister's department that loosely oversees lobbying. It takes on a largely administrative role, rather than an investigative or regulatory one. Its core job is to maintain the register and communicate the code's requirements to lobbyists. It lacks independence, relies on reports of bad lobbying and rarely, if ever, takes enforcement action.

“Philip Morris Australia engages directly with a wide range of stakeholders, including government officials across various political parties, to discuss a number of issues, including why the millions of Australians who smoke deserve access to better alternatives than cigarettes,” the company said.

“Philip Morris also works with a number of advisers, none of whom are engaged to lobby government on its behalf. There is therefore no requirement to register on the federal register of lobbyists.”

The failure of the federal system to cover in-house lobbyists has been widely criticised. Even the body representing lobbyists, the Australian Professional Government Relations Association, wants change.

The association president, Les Timar, wants all professional advisers or consultants who represent private interests to the government to be registered.

“This should not be limited to those firms or individuals who describe themselves as ‘government relations practitioners’ or ‘lobbyists’, but include lawyers, accountants and others who represent the interests of their clients to government,” Timar said last month.

• This reporting is supported by the Susan McKinnon Foundation through the Guardian Civic Journalism Trust