Privacy (Private Sector) Amendment Regulations 2009 (No. 1)

Administered by Department of the Prime Minister and Cabinet

Legislation au F2009L02692 Regulations Not in force Legislative Instrument

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EXPLANATORY STATEMENT

 

Select Legislative Instrument 2009 No. 173

 

Issued by the Authority of the Cabinet Secretary

 

Privacy Act 1988

 

Privacy (Private Sector) Amendment Regulations 2009 (No. 1)

The Privacy Act 1988 (the Act) establishes, among other things, the National Privacy Principles (NPPs) which regulate the collection, use, disclosure and storage of personal information by private sector organisations.

The purpose of the Regulations is to allow greater access to Centrelink records, in order to determine whether a person is entitled to receive a service or assistance.

NPP 7.2 provides that a private sector organisation must not use or disclose an identifier assigned to an individual by a Commonwealth agency, or by an agent or contracted service provider to that agency, except in specified circumstances.  These include where the use or disclosure is by a prescribed organisation of a prescribed identifier in prescribed circumstances (paragraph (c) of NPP 7.2).

Subsection 100(1) of the Act provides that the Governor-General may make regulations, not inconsistent with the Act, prescribing matters required or permitted by the Act to be prescribed, or necessary or convenient to be prescribed for carrying out or giving effect to the Act.

In determining the need for a Regulation under section 100 of the Act, Centrelink has consulted with the Privacy Commissioner and the Department of the Prime Minister and Cabinet.  The Privacy Commissioner noted the request for regulations and did not raise any concerns.  The Department supports the amending Regulations.

The Centrelink Customer Reference Number is an identifier for the purposes of NPP 7.  The Privacy (Private Sector) Regulations 2001 prescribe as an exception to the prohibition in NPP 7.2, organisations permitted to use the Centrelink Customer Reference Number for the purpose of accessing the Centrelink Confirmation eServices.

Centrelink’s Confirmation eServices comprises three distinct services:  Customer Confirmation; Income Confirmation; and Superannuation Confirmation.  These amendment Regulations insert 27 additional organisations into the lists of prescribed organisations allowed to use and disclose the Centrelink Customer Reference Number for the purpose of making a Customer Confirmation or Income Confirmation enquiry.

The release of Centrelink customers’ information through the Centrelink Confirmation eServices will only occur with the customer’s consent.  In addition, the use and disclosure of the Customer Reference Number by these private sector organisations is in each case for the benefit of the individual concerned.  It removes the need for customers to go into a Centrelink office to obtain written proof of their eligibility and verification will occur on-line in real time, providing up to date eligibility information.

Details of the Regulations are set out in the Attachment.  The Regulations also make a minor amendment to the name of one currently prescribed organisation.

The Regulations commenced on the day after they were registered.


ATTACHMENT

PRIVACY (PRIVATE SECTOR) AMENDMENT REGULATIONS 2009
(NO. 1)

Regulation 1 describes how the Regulations are to be cited.

Regulation 2 provides that the Regulations commence on the day after they are registered.

Regulation 3 provides that the Privacy (Private Sector) Regulations 2001 (the Principal Regulations) are amended in accordance with Schedule 1 to the Regulations.

Schedule 1, Item 1 substitutes the list in Part 1 of Schedule 3 to the Principal Regulations.

The substituted Part 1 of Schedule 3 renumbers the listed organisations and includes four additional organisations as prescribed organisations that may use or disclose the Centrelink Customer Reference Number for the purpose of making a Customer Confirmation enquiry at items 15, 18, 49 and 51 of Schedule 3, Part 1. 

Schedule 1, Item 2 substitutes the lists of organisations in Schedule 4 to the Principal Regulations.

The substituted Schedule 4 renumbers the listed organisations and includes 23 additional organisations as prescribed organisations that may use or disclose the Centrelink Customer Reference Number for the purpose of making an Income Confirmation enquiry at items 1, 12, 17, 18, 24, 25, 27, 40, 41, 58, 61, 77, 107, 108, 109, 139, 144, 147, 151, 157, 181, 183 and 185 of Schedule 4. 

The substitute Schedule 4 also makes an amendment to reflect that South West Inner Sydney Housing Cooperative Limited’ has changed its name to Bridge Housing Limited’.

Overview

The Privacy (Private Sector) Amendment Regulations 2009 (No. 1) were enacted to amend the Privacy (Private Sector) Regulations 2001 under the authority of the Privacy Act 1988. These regulations were introduced to address the need for greater access to Centrelink records to determine if individuals are entitled to receive services or assistance. By amending the regulations, the objective was to streamline the process of verifying eligibility for services by allowing additional private sector organisations to access Centrelink records through the Centrelink Confirmation eServices with the customer’s consent. This amendment was made to facilitate real-time eligibility verification online, thereby reducing the necessity for customers to visit Centrelink offices. The regulations were developed in consultation with the Privacy Commissioner and the Department of the Prime Minister and Cabinet, with no concerns raised by the Privacy Commissioner and support from the Department. The regulations commenced on the day after they were registered.

Scope and Application

The Privacy (Private Sector) Amendment Regulations 2009 (No. 1) extends the application of the Privacy Act 1988 by amending the Privacy (Private Sector) Regulations 2001 to allow a broader range of private sector organisations to use the Centrelink Customer Reference Number for making Customer Confirmation and Income Confirmation enquiries through Centrelink’s Confirmation eServices. This amendment applies to private sector entities that are now prescribed organisations capable of using and disclosing the Centrelink Customer Reference Number, subject to the individual’s consent, for the specific purpose of accessing Centrelink records to verify eligibility. The Regulations aim to facilitate the verification process by enabling authorised organisations to access updated eligibility information online in real-time, thereby reducing the necessity for customers to visit a Centrelink office. The Regulations apply nationally and align with the National Privacy Principles, ensuring that the use of personal information remains within the bounds set by the Act, while enhancing the efficiency of eligibility verification services.

Key Provisions

The Privacy (Private Sector) Amendment Regulations 2009 (No. 1) amend the Privacy (Private Sector) Regulations 2001 to allow additional private sector organisations access to Centrelink records via the Centrelink Confirmation eServices. This access is limited to using the Centrelink Customer Reference Number for the purpose of making Customer Confirmation or Income Confirmation enquiries, as outlined in Regulation 3 of the Amendment Regulations. Specifically, Schedule 1, Item 1 of the Amendment Regulations introduces four additional organisations permitted to use the Centrelink Customer Reference Number for Customer Confirmation enquiries, while Schedule 1, Item 2 introduces 23 additional organisations for Income Confirmation enquiries. These changes are detailed in Schedule 3 and Schedule 4 of the amended Regulations, respectively. These Regulations impose specific obligations on the parties they govern. The private sector organisations listed in Schedule 3 and Schedule 4 must ensure that their use of the Centrelink Customer Reference Number complies strictly with the terms of the National Privacy Principles (NPPs), particularly NPP 7.2, which governs the use and disclosure of identifiers. These organisations must also ensure that any use or disclosure of the Centrelink Customer Reference Number is done with the customer’s consent and solely for the benefit of the individual concerned. The Regulations also mandate that all access to Centrelink records through the Centrelink Confirmation eServices is conducted electronically, eliminating the need for physical documentation and in-person verification processes. Non-compliance with these Regulations can lead to various civil and criminal consequences. Under the Privacy Act 1988, unauthorised use or disclosure of personal information may be subject to penalties. Specifically, individuals who contravene the NPPs can face penalties under section 13G of the Act, which may include fines of up to $210,000 for corporations and $42,000 for individuals. Additionally, the Privacy Commissioner can initiate legal proceedings against entities or individuals who breach the NPPs, leading to court-ordered penalties and corrective measures. Furthermore, serious breaches may result in criminal charges, with potential imprisonment terms as outlined in the Act. The Amendment Regulations also correct a minor administrative detail by updating the name of one prescribed organisation from "South West Inner Sydney Housing Cooperative Limited" to "Bridge Housing Limited," as per Schedule 1, Item 2. This change ensures that all references within the Regulations are accurate and up-to-date, thereby maintaining the clarity and effectiveness of the regulatory framework. The Regulations came into effect on the day following their registration, ensuring that the amended provisions are immediately applicable to the listed organisations.

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