The Australian government has announced an investment of $145.5 million over the next four years to expand the Digital ID system and enhance its security. This funding allocation builds upon the over $600 million already invested in the initiative.
The largest portion of the funding, $67 million, will be directed towards the Australian Competition and Consumer Commission (ACCC) to fulfill its role as the Digital ID regulator, effective from mid-2024. Additionally, $56 million will be allocated to the Attorney-General’s Department to maintain the Identity Matching Services, which verify identities against government-held credentials like passports and driver’s licenses.
In a move to strengthen data protection and safeguard against identity crimes, the government has earmarked $3.3 million to enhance the credential protection register. This initiative aligns with the federal cybersecurity strategy unveiled last month.
The remaining $19.5 million will be utilized for various purposes, including ICT updates to myGovID, public awareness campaigns regarding Digital ID, and support for the Office of the Australian Information Commissioner and the Department of the Treasury.
Expanding Beyond Limited Use Cases
The additional funding coincides with the introduction of digital identity legislation in the Senate. The government had been consulting on an exposure draft of the legislation since mid-September.
This proposed legislation aims to expand the use of Digital ID beyond its current limited scope within the federal government. The objective is to enable its adoption by states and territories, as well as by the private sector, subject to appropriate accreditation.
The legislation will replace the existing Trusted Digital Identity Framework with a legislated accreditation scheme for both public and private sector Digital ID providers. This framework will ensure that only trustworthy and reliable entities are authorized to provide Digital ID services to Australians.
Furthermore, the legislation will establish strict consequences for accredited providers that fail to uphold the high standards of their accreditation.
The proposed legislation has been referred to the Senate economics legislation committee for further consideration, with a report due on February 28, 2024.


