On 27 March 2024, the Senate passed the Digital ID Bill. The Bill introduces a voluntary Accreditation Scheme with cybersecurity and data privacy requirements for accredited Digital ID providers. In particular, the Bill proposes to expand the existing Digital ID system, which is currently limited to accessing government services, to the private sector and establishes the Australian Competition and Consumer Commission (ACCC) as an independent regulator of the Digital ID system. The Bill would establish an interoperability obligation within the Australian Government Digital ID System, requiring participating entities to ensure their services can integrate with others. This includes obligations for relying parties to offer individuals a choice of accredited identity service providers and for accredited entities to provide their services to other system participants. The Digital ID Rules will define interoperability conditions, outline exemptions in specific cases, and set criteria for service restrictions where necessary.
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