Australian Digital ID Bill ‘Might Not Be as Voluntary as They Say’: Senator

Opening a bank account without a digital ID may require visiting a physical branch, which is falling in numbers, the Senator pointed out.

An image of the phone app and front page to Australia's MyGov ID (digital ID) portal and website, taken in Perth, Western Australia on Jan. 22, 2024. Wade Zhong/The Epoch Times

Liberal Senator Alex Antic has raised concerns that Australia’s digital ID bill “might not be as voluntary as they say.”

The Digital ID Bill passed the Senate on March 27, with 33 parliamentarians voting for it and 26 against.

This bill now needs to go through the House of Representatives, which is controlled by the governing Labor party which introduced the legislation.

Senator Antic pointed to specific areas of concern relating to the voluntary nature of the bill, including opening a bank account.

“We all know that online banking is going to become even more prominent in the years ahead, and the number of physical branches and ATMs will probably decrease, potentially making it very difficult to access services,” he said in a video online.

“There’s broad scope for this bill for minimising people’s ability to engage in online transactions, including when it comes to banking.”

The Senator pointed to section 74 of the legislation, which states that “Creating and using a digital ID is voluntary.”

However, under section 74 (2), a bank would not be breaking the law by requiring a digital identity online because customers can go to a bank branch.

“To open a bank account, ABC Bank requires new customers to verify their identity,” the bill states as an example (pdf).

“ABC Bank allows customers to do this in person at each branch of ABC Bank or alternatively by using the bank’s online application service, which requires the use of a digital ID. Jacob wants to open a bank account with ABC Bank but he does not wish to use his digital ID to do so.

“Because Jacob can verify his identity by going to his nearest branch instead, ABC Bank does not contravene subsection (1).”

Digital ID Regulator Holds Power to Grant Exemptions

Mr. Antic also raised concerns that the digital ID regulator may “grant an exemption” to the voluntary nature of the legislation “if the digital ID regulator is satisfied that it is appropriate to do so.”

“That’s hardly comforting. It’s simply up to the regulator, to determine whether making a digital ID mandatory is appropriate or not.”

Mr. Antic said in his view the bill brought Australia one step closer to a dystopian digital future, including a social credit system in the “not too distant future.”

“A CCP- (Chinese Communist Party) style social credit system can’t really work without a system of digital ID being introduced first,” he said.

He continued, saying that Australia continues to “tiptoe into a future in which the government exercises more control over what you can and cannot do based on your compliance with their agenda.”

“In my view, subscribing to a government-based digital ID service which stores your personal information and data should not be a prerequisite for critical services like online banking or shopping,” he said.

Australians are already able to sign up for a digital ID online to access Centrelink, tax, and Medicare services, but this bill expands it to the private sector and state governments.

Exemptions Possible for Small or Online Businesses

Analysis of the government’s explanatory memorandum (pdf) reveals that matters that could satisfy the regulator that it is appropriate to grant an exemption include “the relying party is a small business” as defined in the Privacy Act.

Another example is when the “relying party provides services, or access to services, solely online.”

Further, the document explains an exemption could be granted if the relying party is providing services in “exceptional circumstances,” such as a flood or fire emergency.

However, the legislation states the digital ID regulator can not grant an exemption to a Commonwealth entity or company.

‘Safe and Voluntary’: Minister Gallagher

The legislation was brought to the Senate in late November, before being referred to a committee and then reintroduced to Parliament just before the Easter break.

It followed a string of high-profile data breaches, including the Medicare and Optus hacks, which affected 10 million and 2.1 million Australians, respectively.

Minister Gallagher moved amendments in the Senate on March 27, including confirming the “voluntary use of digital ID.”

Following passage of the legislation, Minister for Finance Katy Gallagher said the bill “ensures that digital IDs are voluntary for individuals accessing government services.”

Ms. Gallagher said the Albanese is delivering a scheme that is “safe, voluntary, and will protect Australians in an increasingly online world.”

“‘Digital ID makes it safer and easier for Australians to prove who they are online,” she said in a statement on March 27.

“Australians will be sharing less personal information, which is held by fewer organisations, that are subject to stronger regulation—reducing the chance of identity theft online.”

The government said the Digital ID system has been subject to a large amount of consultation spanning many years.

This includes consideration by the Senate Economics Legislation Committee inquiry, which recommended the Bill be passed.

The Minister’s statement pointed out that 10.5 million Australians have already created an account with the federal government’s digital ID system MyGov, providing access to 130 government services.

“The Bill strengthens privacy and security safeguards and provides stronger regulation and governance of Digital ID services,” the statement said.

“The Digital ID Bill 2023 is putting in place the legislative framework for the phased expansion of the Australian Government’s Digital ID system to include state and territory government services and the private sector.”

The government is planning to introduce the Bill to the House of Representatives in the next sitting period.