The Malinauskas Labor Government is promising a suite of law reforms to crackdown on the theft of copper and other scrap metal.
Latest data shows there were more than two thousand instances of scrap metal theft in the 2023-24 financial year, with hundreds of residential properties targeted.
These crimes are not only inconvenient for householders and builders, they come at huge expense, with businesses spending tens of thousands of dollars a week on replacement and prevention measures.
In July 2023, the theft of a $2000 piece of copper cabling launched the metropolitan train network into safety mode, causing significant morning peak-hour disruptions.
The theft of copper wiring also poses a significant safety concern, with criminals often leaving live wires exposed on construction sites.
Currently, there is no regulation of the scrap metal industry, operators don't have to be licensed or registered, and there is no requirement to verify where the scrap metal has come from.
The State Government is proposing to develop a stand-alone piece of legislation to make it harder for criminals to sell stolen scrap metal.
Among the reforms on the table:
- Requiring scrap metal dealers to be registered and undergo probity checks.
- Prohibiting cash or the use of cryptocurrency to buy and sell scrap metal.
- Requiring proof of ID and accurate records for all scrap metal transactions.
- Requiring scrap metal dealers to upload transaction details to a digital portal.
- Allowing police to inspect scrap metal dealer premises and issue closure orders for those that don't comply.
- Enforcing appropriate penalties for breaches of the Act.
The proposed law changes go out to public consultation from today for the next three weeks.
To have your say visit the YourSAy website.
As put by Stephen Mullighan
Copper and scrap metal theft has become an expensive and dangerous problem, and we are committed to making it much harder for criminals with these changes.
These proposed new laws would protect builders and homeowners, by making it more difficult for criminals to have a market to sell stolen metal, and also reducing the cost that these thefts are causing the community.
The State Government is determined to send a message that these crimes won't be tolerated in South Australia and those caught selling or buying stolen goods will face tougher penalties.
As put by Assistant Commissioner Narelle Kameniar, SA Police
Police welcome the requirement for sellers to provide identification to Scrap Metal Dealers and the prohibiting payment of cash, cryptocurrency or cheques payable to cash.
SAPOL hopes this will be a positive deterrent to thieves who will have reduced anonymity and quick payment.
The changes will also mean SAPOL can interrogate Scrap Metal Dealer transactions to identify potential offending, and prevent further crime occurring.
As put by Stephen Knight, Executive Director, Housing Industry Association SA
The theft of copper cabling from home building sites has for many years, been a significant issue for the industry. Not only is it costly to replace the cables, but often there are repairs to be done to the damage caused.
This results in extra cost and inconvenience to the builders, along with extra costs passed onto consumers - just another blow to housing affordability.
The perpetrators are not only creating extra costs and inconvenience but also a serious safety issue with potentially live wires being exposed. This is a risk for construction workers and the general public.
Dealing with this through purpose written legislation that controls the purchase of scrap copper is a great first step in closing this serious issue down.
The Housing Industry Association on behalf of all residential builders whole heartedly supports this initiative.
As put by Peter McIndoe, General Manager, Weeks SA
We've been fortunate that so far that exposed wiring has not caused serious death or injury, but safety remains a serious concern for builders affected by copper theft.
The cost of returning to site and repairing the damage is significant, with most major builders incurring costs in excess of $100,000 per annum.
These crimes can also cause delays for the home owner being able to move in.
Risk Warning: Cryptocurrency is a unregulated virtual notoriously volatile instrument with a high level of risk. Any news, opinions, research, data, or other information contained within this website is provided for news reporting purposes as general market commentary and does not constitute investment or trading advice.
