The Business Council of Australia (BCA) welcomes the opportunity to comment on the proposed amendments to the Ministerial Directions Powers under the Security of Critical Infrastructure Act 2018 (SOCI Act).
The BCA recognises the intent of the changes to the Ministerial Directions Powers, which would enable more focused Government intervention in the governance, technology and supply chains of critical infrastructure entities. The proposed changes also seek to enable faster Government action in a more dynamic threat environment, including responding to the risks posed by AI-enabled cyber threats.
However, the BCA has concerns that the proposed changes significantly expand existing Government powers requiring regulated entities to take certain actions on an ongoing basis, or in relation to their major SOCI suppliers. The BCA is concerned the regulatory burden from the changes is potentially disproportionate to the risks they are seeking to address.
Consistent with the current powers under Part 3 of the SOCI Act, the proposed measures should continue to operate as exceptional, last-resort tools. Their use should be tightly constrained, applied only in extreme circumstances of material risk, and be subject to robust safeguards and oversight.