"In the interests of enhancing consumer confidence in online transactions, it is imperative that the government move quickly to bring into law the co-regulatory controls that will ensure that personal information about Australians cannot be misused." said IIA Executive Director, Peter Coroneos.
The IIA has campaigned for meaningful and enforceable standards for the use of personal information by Australian businesses and is satisfied that the government had engaged in adequate consultation of the proposed legislation. The consultation occurred in the first half of this year and involved both industry groups and privacy advocates.
Mr Coroneos said, "Both industry and consumers are now entitled to see the outcome. We fear that each day that goes by without this basic protection increases the reticence consumers feel about transacting online."
"We can't wait forever - business needs certainty and customers need security," said Mr Coroneos.
The IIA points to the competitive advantage that government-backed privacy controls will have for Australian e-commerce businesses.
"Australia has the opportunity to capture a significant share of the world market if it can establish a safe environment for online users to trade, said Mr Coroneos." This is all about national reputation and building '.com.au' as a trusted global brand."
From observing the lack of progress in the US, the IIA is under the impression that industry there is shielding behind weak self regulation to avoid obligations that deliver real consumer protection. Recent cases such as the RealNetworks debacle show that the market expects more than a mere promise to behave.
"US inaction is a problem for Australians doing business with US companies - it was a also a market opportunity for our own ecommerce companies," he said.
While the IIA Draft Code of Practice embodied the National Principles for the Fair Handling of Personal Information in full, the IIA could not yet register its code with the Privacy Commissioner because the enabling legislation was not in place.
"We are ready, willing and able to play our part, but the safety net legislation is necessary to 'underwrite' our efforts," said Mr Coroneos.
The IIA Code provides that personal information:
- is not collected without informed consent of the user
- is not used for purposes other that for which it was provided, and
particularly not onsold to third parties
- is available for reasonable inspection by end users
- if incorrect, can be changed
- is discarded when no longer reasonably required for the purpose for
which it was provided.
"These are all fairly basic protections and are, by and large, widely supported by Australian businesses. International research still shows that the fear of mishandling of information is still holding back internet uptake. With industry ready and willing to play its part, it is time for the government to play its part and finish the job," concluded Mr Coroneos.
