Digital ID legislation has recently been passed by the Australian Government. Here’s what you should know.The topic of digital ID can put a lot of people on edge, and understandably so. After all, most people don’t like the idea of giving someone else access to their personal information, especially without knowing how or where it will be stored.
It’s no wonder then that the Australian Government’s decision to pass new digital ID legislation has faced a lot of resistance. At the same time, digital identification has been introduced in several states and territories.
But what does the proposed system look like? And should we be worried?
Digital ID
In broad terms, digital ID is a way for people to prove that they are who they say they are, without providing physical copies of ID documents. Many people are familiar with the ‘100 points’ system of identification where you must provide copies of a handful of different documents to verify your identity. You might have done it when opening a bank account, applying for a rental property or getting a licence. A digital ID system does the same thing without the paperwork.
Some private companies have already implemented various forms of digital ID to do things like verify bank transactions or provide information for a rental application. While these services are voluntary, they also rely on the companies themselves handling your personal data or digital versions of your identifying documents.
The newly passed legislation basically creates a system in which the Australian Government is responsible for handling the information that you can use to verify your identity, rather than leaving it up to the private companies. Ideally, this will mean that personal data is more secure and that hackers have fewer opportunities to steal someone’s information.
The new legislation is also designed to work with existing State and Territory based digital ID systems like the Service NSW app so that anyone who wants to can keep using these systems.
What will it mean?
While we don’t yet know what this system will really look like for individuals, there are a few things that have been laid out clearly.
First, the scheme will be voluntary. This is good to see as there would be public outcry if the Government tried to force people onto the system.
Second, companies that participate in the scheme will have to provide alternative ways to access services so that no one is forced to use a digital ID.
Third, even if you opt for the scheme, you can deactivate your digital ID at any time.
There is some concern that the ‘voluntary’ scheme might someday become mandatory, but this would require both houses of parliament to vote in favour of such a decision. The last time either party held a majority in the Senate was in 2004, so any decision would require the approval of either the Opposition or the crossbench, neither of which are likely to support what would almost certainly be a very unpopular change.
It is also worth remembering that the current ‘100 points’ system means that every time someone applies for a job, signs a different rental agreement or opens a bank account, they have to hand over a new set of copies of their personal documents. This means that some people may have given their personal information to dozens of different organisations with no way of knowing how this information will be stored, managed, secured or destroyed when it is no longer required.
The scheme will begin its rollout this year, but most companies won’t be able to sign on to it for another couple of years. CPSA will keep an eye on the scheme and provide more information when it begins in earnest.
The topic of digital ID can put a lot of people on edge, and understandably so. After all, most people don’t like the idea of giving someone else access to their personal information, especially without knowing how or where it will be stored.
It’s no wonder then that the Australian Government’s decision to pass new digital ID legislation has faced a lot of resistance. At the same time, digital identification has been introduced in several states and territories.
But what does the proposed system look like? And should we be worried?
Digital ID
In broad terms, digital ID is a way for people to prove that they are who they say they are, without providing physical copies of ID documents. Many people are familiar with the ‘100 points’ system of identification where you must provide copies of a handful of different documents to verify your identity. You might have done it when opening a bank account, applying for a rental property or getting a licence. A digital ID system does the same thing without the paperwork.
Some private companies have already implemented various forms of digital ID to do things like verify bank transactions or provide information for a rental application. While these services are voluntary, they also rely on the companies themselves handling your personal data or digital versions of your identifying documents.
The newly passed legislation basically creates a system in which the Australian Government is responsible for handling the information that you can use to verify your identity, rather than leaving it up to the private companies. Ideally, this will mean that personal data is more secure and that hackers have fewer opportunities to steal someone’s information.
The new legislation is also designed to work with existing State and Territory based digital ID systems like the Service NSW app so that anyone who wants to can keep using these systems.
What will it mean?
While we don’t yet know what this system will really look like for individuals, there are a few things that have been laid out clearly.
First, the scheme will be voluntary. This is good to see as there would be public outcry if the Government tried to force people onto the system.
Second, companies that participate in the scheme will have to provide alternative ways to access services so that no one is forced to use a digital ID.
Third, even if you opt for the scheme, you can deactivate your digital ID at any time.
There is some concern that the ‘voluntary’ scheme might someday become mandatory, but this would require both houses of parliament to vote in favour of such a decision. The last time either party held a majority in the Senate was in 2004, so any decision would require the approval of either the Opposition or the crossbench, neither of which are likely to support what would almost certainly be a very unpopular change.
It is also worth remembering that the current ‘100 points’ system means that every time someone applies for a job, signs a different rental agreement or opens a bank account, they have to hand over a new set of copies of their personal documents. This means that some people may have given their personal information to dozens of different organisations with no way of knowing how this information will be stored, managed, secured or destroyed when it is no longer required.
The scheme will begin its rollout this year, but most companies won’t be able to sign on to it for another couple of years. CPSA will keep an eye on the scheme and provide more information when it begins in earnest.
