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Canberra residents have a consensus that artificial intelligence requires urgent measures, but there is debate on the approach, timing, and associated expenses. | Australian political considerations

The Labor government is nearing the point where it must move beyond deliberation and make critical decisions regarding artificial intelligence (AI) regulation in Australia. Overseeing an ongoing process to explore how the country can manage AI, the government is facing pressure to determine both how and to what extent AI should be regulated as its impact continues to expand.

Like many tech-related regulatory questions, including the controversial under-16s social media ban, the delayed response to Peta Murphy’s gambling advertising report, and discussions around news bargaining incentives, decisions on AI regulation are likely to provoke strong reactions from stakeholders.


The government is situated at a crossroads, balancing the interests of business groups advocating for productivity gains, unions expressing concerns over job security, tech companies seeking exceptions, and the wider public navigating the benefits and risks of AI. A range of technologies from all-informed search engines to eerie chatbots are pressing into the everyday, contributing to the complexity of the issue.

In the wake of Jim Chalmers’ economic reform summit, details remain unclear about the Albanese government’s stance on whether new, overarching legislation is necessary to address AI.

Minister for Industry, Tim Ayres, is in charge of developing a national AI capabilities plan by the end of the year. Supplementary to this, a ‘gap analysis’ has been announced as an outcome of the reform roundtable to assess existing processes concerning AI in health, privacy, copyright, and online safety. Other priorities include AI integration into the public service, data centre investment, AI-skill training, and international cooperation with respect to setting global rules.

AI issues resonate across almost all portfolios, and the government asserts it wants to ensure it makes thoughtful decisions. However, there are divergent opinions among Labor MPs regarding the specifics of action, with some advocating for an AI Act, while others consider relying on current rules.

The sentiment among many is a call for concrete actions to seize the AI opportunity and prevent Australia from being left behind. Some cite the government’s handling of social media’s negative impacts as a model for proactive regulation of generational technologies.

Emerging from the roundtable, the discussions about AI were tinged with vagueness, highlighting both its potential and pitfalls. Chalmers was noncommittal about the meeting’s agreement on AI as a national priority.

Every sector will have to address AI. It’s a challenging task influencing everything from white-collar jobs to the trades, and all the way to the public sector. Industries will undergo transformation, and the shift is permanent. Success hinges on maximizing advantages while minimizing risks. There’s no second chance to control the unleashed genie.

Designating a new parliamentary committee to constantly scrutinize AI and its evolution could be beneficial. However, defining a broader government strategy remains an urgent task. Minister Ayres is reportedly committed to capturing AI’s economic opportunities and ensuring its benefits are shared while maintaining safety.

The ‘gap analysis’ may take time and its outcomes concerning a potential new law trail off into uncertainty.

Stakeholders are pressing for change. Questions linger concerning copyright for learning models, potential exemptions for tech giants versus compensation sought by arts and media groups, and union labor guarantees.

The government is weighing the balance between mass adoption as a productivity measure and economic opportunity against protecting laborers and their outputs.

The position Labor will ultimately take on AI will mark the government’s direction for years. The challenge of harnessing efficiency benefits, safeguarding labor, and controlling a technology with potential for harm is delicate. But it may take years to discern if the chosen path of continual review or inaction resembles deliberate contemplation or an encounter with an impending tidal wave.

Source: https://www.theguardian.com/australia-news/2025/sep/01/everyone-in-canberra-agrees-action-is-needed-on-ai-but-what-to-do-and-how-and-at-what-cost

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