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Legal update from Practical Law Commercial: Commonwealth government releases exposure draft of the Trusted Digital Identity Bill 2021 (Cth)

Content updates

The proposed Trusted Digital Identity Bill 2021 (Cth) aims to expand the Commonwealth government’s existing digital identity system to state and territory governments and the private sector to achieve a whole-of-economy digital identification system for Australia. It also seeks to bolster privacy and consumer protections for digital identity information through an enhanced regulatory regime and to establish permanent governance arrangements for a national digital identity system.

The Commonwealth government has recently commenced the final phase of its public consultation process for a new digital identity system for Australia with the release of the exposure draft of the Trusted Digital Identity Bill 2021 (Cth). In addition to the proposed legislation, the government is also seeking submissions on:


  • Exposure draft, Trusted Digital Identity Framework accreditation rules.
  • Exposure draft, Trusted Digital Identity rules.
  • Consultation, Regulation impact statement.

This legal update provides an overview of the proposed digital identification regulatory scheme including the Trusted Digital Identity accreditation framework for digital identity service providers and the requirements for accredited entities to participate in the Trusted Digital Identity System. In addition, it considers specific aspects of the regulatory scheme including privacy protections, consumer consent and participation, access and storing of digital identity information outside of Australia and compliance and enforcement provisions under the proposed regulatory scheme. The Digital Transformation Agency is accepting submissions until 27 October 2021.

By Practical Law Commercial Team

Practical Law Australia’s expert legal writers have practical expertise gained from some of the country's leading law firms and corporate legal departments, including Ashurst, Baker & McKenzie, Gilbert + Tobin, Herbert Smith Freehills, the Australian Broadcasting Corporation (ABC) and more. They understand the pressure to deliver timely and cost effective legal advice, which is why Practical Law’s fully maintained practice notes, precedents, drafting notes and checklists offer clear and concise know-how with a practical perspective.

For more information on Practical Law Australia’s legal writing team, visit

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