Costly and hard to implement
Critics warned the reform could be rushed into operation before banks, smaller lenders and other businesses were ready, creating high compliance costs and practical difficulties in meeting the rules.
This bill became law on Aug 26th, 2024.
Budget, tax & economy
Australians and businesses can use the Consumer Data RightThe Consumer Data Right is the legal framework that lets a customer share their data, and in this bill it is expanded so an authorised person can also carry out actions for them. to tell an accredited provider to carry out tasks like payments, account changes, switching providers and address updates on their behalf.
The Consumer Data RightThe Consumer Data Right is the legal framework that lets a customer share their data, and in this bill it is expanded so an authorised person can also carry out actions for them. let people access and share data, but left a gap: they could not use it to tell accredited providers to carry out actions like payments, switching providers or updating details. This bill expands the framework by creating action initiationThis is the new part of the Consumer Data Right that lets a customer direct someone to do things such as make a payment, switch providers, or update account details., letting ministers switch on specific actions and extending CDRThe Consumer Data Right is the legal framework that lets a customer share their data, and in this bill it is expanded so an authorised person can also carry out actions for them. privacy protections to that process.
Australia’s Consumer Data RightThe Consumer Data Right is the legal framework that lets a customer share their data, and in this bill it is expanded so an authorised person can also carry out actions for them. framework, created in 2019, let consumers share their data with accredited providers but stopped short of letting those providers act on the consumer’s behalf, leaving common tasks like payments, switching and account updates outside the system. The bill was introduced in November 2022 to add that action-initiation layer and extend CDRThe Consumer Data Right is the legal framework that lets a customer share their data, and in this bill it is expanded so an authorised person can also carry out actions for them. privacy safeguardsThese are the CDR privacy protections that limit how data can be used, shared, and stored, and the bill extends them to the action initiation process. to it, then after a long Senate delay it finally passed in August 2024 and became law, setting up a broader consumer-directed digital service model.
The main criticism was not of the goal itself but of rollout risks: critics warned the action-initiation scheme could add heavy compliance costs, expose privacy and scam vulnerabilities, and be implemented before businesses were ready. Those concerns came mainly from Coalition and Greens speakers and industry reporting, but no party represented in the debate opposed the bill outright.
Stephen Jones MP introduced this bill. It passed on the voices.
Did it become law?
Yes
Became law 26 Aug 2024
Final passage
Passed without a counted vote
Members called out ‘aye’ or ‘no’ — no individual votes were recorded.
Passage speed
635 days
From introduction to the latest recorded parliamentary step
Meaning
Australians and businesses can use the Consumer Data RightThe Consumer Data Right is the legal framework that lets a customer share their data, and in this bill it is expanded so an authorised person can also carry out actions for them. to tell an accredited provider to carry out tasks like payments, account changes, switching providers and address updates on their behalf.
The minister can switch these new powers on action by action and choose which existing data holders, such as banks or energy retailers, must receive and carry out CDRThe Consumer Data Right is the legal framework that lets a customer share their data, and in this bill it is expanded so an authorised person can also carry out actions for them. instructions.
Other organisations can apply to join as voluntary action service providers, with rules able to set approval tests, conditions, risk tiers, fees and what each approval level allows them to do.
Action service providers must carry out a valid CDRThe Consumer Data Right is the legal framework that lets a customer share their data, and in this bill it is expanded so an authorised person can also carry out actions for them. instruction when they normally offer that kind of service, and the law largely leaves the actual service delivery to existing sector rules.
Privacy protections are extended so the data used and shared when these instructions are prepared and sent is still covered by the Consumer Data RightThe Consumer Data Right is the legal framework that lets a customer share their data, and in this bill it is expanded so an authorised person can also carry out actions for them. privacy safeguardsThese are the CDR privacy protections that limit how data can be used, shared, and stored, and the bill extends them to the action initiation process..
The CDR framework was created to provide individuals and businesses with a right to access and share their data in sectors that have been designated by the Minister. This Bill expands on this by introducing ‘action initiation’ reforms, which would enable CDR consumers to direct accredited persons to instruct on actions on their behalf using the CDR framework. These actions could include making a payment, opening and closing an account, switching providers, and updating personal details (such as an address) across providers.Treasury Laws Amendment (Consumer Data Right) explanatory memorandum
The Minister can declare (by legislative instrument) types of actions that can be initiated under the CDR, and the data holders that are to be action service providers.Treasury Laws Amendment (Consumer Data Right) explanatory memorandum
(1) Without limiting paragraph 56BB(da), the consumer data rules may include the following rules:Treasury Laws Amendment (Consumer Data Right) as-passed bill text
A service provider given an instruction under the rules to perform an action must do so if the provider ordinarily performs actions of that type in the course of its business. Otherwise, this Part contains little regulation of the action layer (that is, regulating how service providers perform actions they are instructed to do). For example, the provider can perform the action, and charge any fees, in the way it ordinarily does.Treasury Laws Amendment (Consumer Data Right) as-passed bill text
The privacy safeguards are extended for action initiation so that they apply to CDR data that flows in the instruction layer from an accredited action initiator to an action service provider.Treasury Laws Amendment (Consumer Data Right) explanatory memorandum
Context
Australia’s Consumer Data RightThe Consumer Data Right is the legal framework that lets a customer share their data, and in this bill it is expanded so an authorised person can also carry out actions for them. framework, created in 2019, let consumers share their data with accredited providers but stopped short of letting those providers act on the consumer’s behalf, leaving common tasks like payments, switching and account updates outside the system. The bill was introduced in November 2022 to add that action-initiation layer and extend CDRThe Consumer Data Right is the legal framework that lets a customer share their data, and in this bill it is expanded so an authorised person can also carry out actions for them. privacy safeguardsThese are the CDR privacy protections that limit how data can be used, shared, and stored, and the bill extends them to the action initiation process. to it, then after a long Senate delay it finally passed in August 2024 and became law, setting up a broader consumer-directed digital service model.
Treasury Laws Amendment (Consumer Data RightThe Consumer Data Right is the legal framework that lets a customer share their data, and in this bill it is expanded so an authorised person can also carry out actions for them.) Act 2019 creates the data-sharing framework
The existing law gave consumers a way to access and share their data with trusted parties, but it did not let those parties carry out actions for them.
Hansard ↗Government introduces action-initiation expansion
The bill was introduced to let the Consumer Data RightThe Consumer Data Right is the legal framework that lets a customer share their data, and in this bill it is expanded so an authorised person can also carry out actions for them. support authorised actions in the digital economy rather than only data sharing.
Hansard ↗House passes the bill
The House completed its consideration of the bill, sending the proposed expansion of the CDRThe Consumer Data Right is the legal framework that lets a customer share their data, and in this bill it is expanded so an authorised person can also carry out actions for them. framework to the Senate.
Parliamentary timeline ↗Senate debate resumes after the bill sits for more than a year
Senators noted that the bill had been before the Senate without debate for well over a year, reflecting a prolonged pause before the reform could proceed.
Hansard ↗Parliament passes the bill
The Senate passed the bill and Parliament completed passage, clearing the way for the new action-initiation powers after the House had passed it in February 2023.
Parliamentary timeline ↗Royal AssentThis is the final step that turns a bill passed by Parliament into an Act of law. makes the reform law
Royal AssentThis is the final step that turns a bill passed by Parliament into an Act of law. turned the bill into an Act, formally extending the Consumer Data RightThe Consumer Data Right is the legal framework that lets a customer share their data, and in this bill it is expanded so an authorised person can also carry out actions for them. beyond data sharing into consumer-authorised action initiationThis is the new part of the Consumer Data Right that lets a customer direct someone to do things such as make a payment, switch providers, or update account details..
Parliamentary timeline ↗Legislative route
The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.
Introduced and read a first time
A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.
Second reading moved
Referred to Committee (09/02/2023): Senate Economics Legislation Committee; Committee report (03/05/2023)
Referred to committee
APH bill page notesThe bill reached this recorded parliamentary step.
The bill reached this recorded parliamentary step.
Referred to Federation Chamber
The bill reached this recorded parliamentary step.
Second reading debate
The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.
Second reading agreed to
The bill reached this recorded parliamentary step.
Reported from Federation Chamber
The chamber agreed to the bill at third reading, which completed passage through that chamber.
Third reading agreed to
The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.
Introduced and read a first time
A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.
Second reading moved
The bill reached this recorded parliamentary step.
The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.
Second reading agreed to
The chamber agreed to the bill at third reading, which completed passage through that chamber.
Third reading agreed to
Both houses passed the bill in the same form, completing parliamentary passage.
Finally passed both Houses
The Governor-General gave Royal AssentThis is the final step that turns a bill passed by Parliament into an Act of law., turning the bill into an Act.
Key criticism
The main criticism was not of the goal itself but of rollout risks: critics warned the action-initiation scheme could add heavy compliance costs, expose privacy and scam vulnerabilities, and be implemented before businesses were ready. Those concerns came mainly from Coalition and Greens speakers and industry reporting, but no party represented in the debate opposed the bill outright.
Criticism was mostly about safeguards, cost and timing rather than rejecting consumer data rights.
Costly and hard to implement
Critics warned the reform could be rushed into operation before banks, smaller lenders and other businesses were ready, creating high compliance costs and practical difficulties in meeting the rules.
Privacy, scams and security safeguards may be too weak
Some supporters said consumers should not be asked to trust a larger action-initiation system unless privacy, cybersecurity, scam prevention and protections against misuse were strengthened first.
The broader Consumer Data Right scheme may be too complex for low take-up
Public reporting and industry analysis argued the wider Consumer Data RightThe Consumer Data Right is the legal framework that lets a customer share their data, and in this bill it is expanded so an authorised person can also carry out actions for them. had already become complicated and expensive while attracting low usage, raising doubts about adding new action powers without simplification.
Further sources
Votes
The bill passed both chambers on the voices, so there is no list of individual Aye and No votes for final passage.
House agreed to the bill's third reading on the voices, so there is no list of individual Aye and No votes for final passage in that chamber.
Passed on the voices
In a voice vote, members call out Aye or No and the presiding officer judges which side has it. Individual names are only recorded if a formal division is called.
Senate agreed to the bill's third reading on the voices, so there is no list of individual Aye and No votes for final passage in that chamber.
Passed on the voices
In a voice vote, members call out Aye or No and the presiding officer judges which side has it. Individual names are only recorded if a formal division is called.
Amendments grouped by chamber. These cards include amendment outcomes recorded without a counted division.
Senate
The Senate JournalThis is the official record of Senate proceedings, including whether an amendment or motion was agreed to. records the amendment outcome as carried on voices, with no counted division recorded.
Carried on voices
The chamber decided this amendment without a counted division, so there is no list of individual Aye and No votes.
Parliamentary debate
Start here — lead voices
Stephen Jones supports the bill and says it will expand the consumer data rightThe Consumer Data Right is the legal framework that lets a customer share their data, and in this bill it is expanded so an authorised person can also carry out actions for them. to let people securely direct actions like switching providers, updating details, and making payments, which he argues will improve competition and consumer control while preserving privacy and security.
Read in Hansard ↗Aaron Violi supports the bill because he says it will help consumers act on their data, improve productivity and make it easier to switch providers or update details.
Read in Hansard ↗Steggall supports the bill, saying it gives consumers more control over their data and can help them get a better deal.
Read in Hansard ↗Fletcher says the coalition supports the bill because it expands the consumer data rightThe Consumer Data Right is the legal framework that lets a customer share their data, and in this bill it is expanded so an authorised person can also carry out actions for them. so consumers can securely direct actions like payments and account changes, but he argues it should be referred to committee so the reforms are properly tested before rollout.
Read in Hansard ↗All speeches by bloc
2 speakers · 3 contributions · 2 support
Hansard records 2 separate contributions by Stephen Jones on this bill. They are grouped here so the speaker is listed once.
Minister's second reading speech
Stephen Jones supports the bill and says it will expand the consumer data rightThe Consumer Data Right is the legal framework that lets a customer share their data, and in this bill it is expanded so an authorised person can also carry out actions for them. to let people securely direct actions like switching providers, updating details, and making payments, which he argues will improve competition and consumer control while preserving privacy and security.
“This bill will amend the Competition and Consumer Act 2010 to expand the consumer data right to enable action initiation, a functionality which will empower consumers to authorise, manage and facilitate actions securely in a digital environment. The consumer data right or CDR is a pioneering economic reform that gives consumers the ability to safely share the data Australian businesses hold about them for their own benefit.”Read this contribution in Hansard ↗
Second reading speech
Stephen Jones supports the bill and says it will expand the Consumer Data RightThe Consumer Data Right is the legal framework that lets a customer share their data, and in this bill it is expanded so an authorised person can also carry out actions for them. to improve productivity, give consumers and small businesses more control over data, and reduce the cost and complexity of everyday tasks. He also says the changes are backed by strong privacy and security protections.
“There are some things we do agree on though: the Consumer Data Right has the capacity to significantly enhance productivity, particularly in the services sector. Once this bill is passed into law, it will set the basis for expanding, to combine the power of data sharing with the ability for consumers to safely and securely instruct third parties to initiate actions on their behalf. In future, this could include things such as opening and closing accounts, making payments and applying for services. The reform will give individuals and businesses more control over their data and empower them to make informed choices as well as many other things. This will reduce the time pressures, cost and complexity experienced by individuals and small businesses when carrying out everyday tasks.”Read this contribution in Hansard ↗
“This Bill will amend the Competition and Consumer Act 2010 to expand the Consumer Data Right to enable action initiation, a functionality which will empower consumers to authorise, manage and facilitate actions securely in the digital economy.”Read the full speech in Hansard ↗
5 speakers · 5 support
“It's one of the many reasons why I'm supporting this legislation.”Read the full speech in Hansard ↗
“The bill before the House today, the Treasury Laws Amendment (Consumer Data Right) Bill 2022, amends the Competition and Consumer Act to enable consumers to 'authorise, manage and facilitate actions securely in a digital environment' under the data rights framework. The coalition supports this bill and, as we have made clear, we will seek to refer it to the Senate Economics Legislation Committee to report back by the end of the financial year.”Read the full speech in Hansard ↗
“Whilst the coalition will be supporting this bill, we do have some concerns about the pace of reform, the imposts on business and the consultation with business. We are concerned that the government isn't listening to Australian businesses about the challenges that may stem from this reform, and we're concerned that the government may risk this substantive and important reform by failing to make sure that it's paced the right way, that it avoids unreasonable imposts on business that put at risk the reform being done well and that risk the social licence of the reform, because that's hugely important in the consumer data right. We strongly encourage the government to work with small business and consumers. Bring them along in the process. Don't leave them behind, because this has a lot of good things it can deliver for Australia—important reforms for Australia. What we don't need is a botched implementation.”Read the full speech in Hansard ↗
“The coalition is pleased to be supporting this bill today. But it would be remiss of me not to draw the Senate's attention to an important issue, and that is delay and obfuscation. This bill spent just three months in the House of Representatives—just three months; November, December, January, February. Over the Christmas period, it passed efficiently, prudently, through the House of Representatives. So industry stakeholders are right to ask: why is it that it has taken 17 months for this bill to come to a vote in the Senate today? Seventeen months!”Read the full speech in Hansard ↗
“Expanding the consumer data right needs to be done correctly and it needs to achieve a reduction in red tape and to support deregulation, which was the intent of the bill when the coalition commenced this process. But we will be supporting this bill today.”Read the full speech in Hansard ↗
3 speakers · 3 support
“We will be supporting this bill today because it creates a framework to support consumers to access a range of outcomes, including to switch more easily between utility, insurance, telco and banking providers. There are some problems with it that I outlined in general terms earlier, but this bill does constitute a small but important step to make it easier for Australians to get a better deal for essential services and to improve competition in a range of sectors. But we do urge Labor to prioritise fixing the issues in the Consumer Data Right framework, with particular regard to consumer safety and security and to ensure that small banks and mutuals are not unduly impacted.”Read the full speech in Hansard ↗
“So I'm glad that the bill is on today, and we will be supporting it because it creates a framework for consumers to access a range of outcomes, including to switch more easily between utility, insurance, telco and banking providers.”Read the full speech in Hansard ↗
“That's why this bill has been sitting on the Notice Paperas has been pointed out by a number of speakers—for nearly 17 months. And that's why it's taken seven years to get legislation that can actually allow bank account portability and make it easier for Australian consumers of financial services to move. Of course, the banks see customer information as their intellectual property. They have the arrogance to assume that they own this information about Australian citizens and customers—but of course they don't. Essentially what this data right framework will allow is the transfer of information between financial institutions. I would like to put on record, as I know my colleagues have done today, that we need greater safeguards to protect consumer privacy in the consumer data right framework, to prevent scams and financial abuse, and that concerns have been raised around the sharing of information.”Read the full speech in Hansard ↗
1 speaker · 1 support
“It's about time the Treasury Laws Amendment (Consumer Data Right) Bill 2022 came up for a vote. I wonder why it is that bills which take away rights, like the Digital ID Bill, are guillotined, debate denied, committee processes rigged to produce the desired outcome and then rushed through the Senate in the blink of an eye, yet bills that give people rights are held back for years. One Nation supports this bill, which should have been passed at the same time as the Digital ID Bill—a piece of legislation that relied on the protections provided in the consumer data right bill.”Read the full speech in Hansard ↗
1 speaker · 1 support
“I welcome the measures proposed in this bill, as would all consumers, because it gives control back to consumers and enables them to reap the benefits of their own data.”Read the full speech in Hansard ↗
Record
House · Introduced and read a first time
Introduced
The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.
House · Second reading moved
Second reading opened
A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.
House · Second reading debate
Second reading debate
The bill reached this recorded parliamentary step.
House · Referred to Federation Chamber
Referred to Federation Chamber
The bill reached this recorded parliamentary step.
House · Second reading debate
Second reading debate
The bill reached this recorded parliamentary step.
House · Second reading agreed to
Second reading agreed
The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.
House · Reported from Federation Chamber
Reported from Federation Chamber
The bill reached this recorded parliamentary step.
House · Third reading agreed to
Third reading agreed
The chamber agreed to the bill at third reading, which completed passage through that chamber.
Senate · Introduced and read a first time
Introduced
The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.
Senate · Second reading moved
Second reading opened
A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.
Senate · Second reading debate
Second reading debate
The bill reached this recorded parliamentary step.
Senate · Second reading agreed to
Second reading agreed
The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.
Senate · Third reading agreed to
Third reading agreed
The chamber agreed to the bill at third reading, which completed passage through that chamber.
Parliament · Finally passed both Houses
Passed both houses
Both houses passed the bill in the same form, completing parliamentary passage.
Assent · Assent
Assent
The Governor-General gave Royal AssentThis is the final step that turns a bill passed by Parliament into an Act of law., turning the bill into an Act.
Senate Economics Legislation Committee; Committee report (03/05/2023)
Referred to committee
Referred to Committee (9 Feb 2023): Senate Economics Legislation Committee; Committee report (3 May 2023)
APH bill page notes