Government boosts Digital ID funding by $145.5m

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As it introduces enabling legislation into parliament.

The federal government is set to put an extra $145.5 million into expanding the Digital ID system and scheme over the next four years, adding to the over $600 million already spent.

Government boosts Digital ID funding by $145.5m

The biggest chunk of funding - $67 million - will go to the Australian Competition and Consumer Commission (ACCC) to fulfil its intended role as Digital ID regulator from mid 2024.

An additional $56 million will be given to the Attorney-General’s Department “for the continued operation of the Identity Matching Services”, used to verify identity against government-held credentials such as passports and driver licences.

The government also set aside $3.3 million “to enhance the credential protection register to enable the government to respond to future data breaches and support and protect victims of identity crime”, an initiative announced as part of the federal cyber security strategy unveiled last month.

That still leaves $19.5 million, which isn’t broken down, though the government notes that some “ICT updates to myGovID”, awareness activity around Digital ID, and support for the Office of the Australian Information Commissioner and Department of the Treasury” will be required.

The additional funding coincided 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.

In a statement, the government said that Digital ID would be a “secure, convenient, voluntary, and inclusive way for Australians to verify their ID online.”

“It allows people to verify their ID when interacting online without having to repeatedly provide copies of their most sensitive documents, such as passports, birth certificates and driver licences,” the government said.

The proposed legislation is to govern the expansion of Digital ID beyond limited use cases in the federal government, so that it can be used by states and territories, as well as by the private sector, with appropriate accreditation.

“The bill will replace an existing unlegislated policy framework for accreditation - the Trusted Digital Identity Framework - with a legislated accreditation scheme for public and private sector Digital ID providers,” finance minister and senator Katy Gallagher said.

“[It] will ensure only trustworthy and reliable private and public sector entities are accredited to provide Digital ID services to Australians. 

“The bill will [also] ensure there are real consequences for accredited providers if they do not meet the high standards of their accreditation.”

The proposed legislation was referred to the senate economics legislation committee for additional consideration; its report is due on February 28 next year.

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