Consultation on Consumer Data Right - exposure draft legislation to enable action initiation

In October 2022, we responded to Treasury’s consultation on the exposure draft legislation to enable action initiation in the Consumer Data Right (CDR).

According to Treasury, action initiation would build on data sharing in the CDR, increasing functionality for industry and consumers. Further, actions could include making a payment, opening and closing an account, switching providers, and updating personal details (such as address) across providers.

In our submission, we suggested sequencing the establishment of necessary supporting frameworks and legislative changes. For instance, we suggested this could involve starting with a cybersecurity assessment and then updating the Privacy Act. It would also require alignment with the payments licensing regime being implemented under the Government response to Treasury’s Review of the Australian Payments System. This would lead to the creation of CDR rules and standards – reflecting the cybersecurity assessment and updated Privacy Act – with which payment licensees would need to comply.

AusPayNet’s submission is available below.