Understanding Australia’s national ID system

In an increasingly interconnected world, the need for secure and reliable identity verification is more crucial than ever. Australia’s proposed National Digital ID scheme aims to revolutionise how citizens interact with both government and private sectors by providing a seamless, secure digital identity solution.

This initiative promises not only to enhance convenience but also to strengthen security against identity theft and fraud.

In this blog, we will explore the concept of Digital ID, its transformative benefits for Australians, and how GBG, as a leading identity verification provider, is instrumental in bringing this vision to life.

What is a Digital ID?

A Digital ID is an online representation of an individual’s identity, enabling them to verify who they are without needing to repeatedly present physical documents such as their driver’s license, passport, or birth certificate.

The government’s proposed Digital Identity system promises a “safe, secure, and convenient way to prove who you are online every time you access government services.” This system aims to streamline the user experience, avoiding the need for individuals to repeatedly identify themselves across various government services.

Currently, Australians can create a digital identity using the myGovID app to access over 80 government services, linking essential data across platforms such as Medicare, Centrelink, and the Australian Tax Office.

The new legislation proposes an expansion of powers to allow approved Australian businesses to participate in the identity verification process, potentially leading to wider acceptance of Digital ID beyond government services.

Users will link their myGov account on the myGovID smartphone app and provide an existing identity document (such as driver’s license) to an accredited identity provider. This framework will establish a Trusted Digital Identity Framework, where businesses can apply to become accredited identity verifiers under the oversight of a governing agency.

The current landscape

The transition to a Digital ID system represents a significant leap forward in how Australians verify their identities online. By outsourcing the identity verification process to trusted businesses, the government aims to create a more comprehensive system that enhances accessibility and security for users.

Benefits of a Digital ID

1. Enhanced privacy and control: Digital ID allows individuals to manage their personal information, sharing only what is necessary for a transaction. This minimises the risk of identity theft and fraud by limiting the circulation of sensitive documents. According to the Digital ID website, the system is designed to protect privacy by only sharing the minimum amount of personal data needed during transactions.

2. Streamlined verification: Users can avoid the cumbersome process of repeatedly presenting various physical ID documents. This not only speeds up transactions but also simplifies the verification process. Carrying a digital ID will reduce the need to carry multiple physical cards, increasing the speed and efficiency of identity verification transactions.

3. Cost-effective solutions: By reducing the number of physical documents required, the Digital ID system lowers costs for individuals, businesses, and government agencies alike. It offers a more cost-effective program for all parties involved.

4. Increased security: With fewer copies of your personal information circulating, the risks associated with data breaches are significantly diminished. The growing volume of online transactions makes it imperative for Australians to verify their identities in a “safe and trusted environment.”

Types of Digital IDs

Digital IDs come in various forms, each designed to enhance the way we verify our identities online. Here are the primary types:

• Verifiable credentials: Traditionally, we have relied on physical credentials like passports and driver licenses to prove our identity. However, advancements in technology now enable us to use digital credentials to verify our identities securely online. These verifiable digital credentials are cryptographically secure, privacy-respecting, and machine-verifiable, such as:
• Driver license
• Medicare card
• Birth certificate
• Reusable IDs: Reusable identities allow individuals to access multiple online services using a single set of verified credentials. This approach eliminates the hassle of managing separate logins for every platform, significantly increasing convenience. Examples include:
• Digital ID
• myGov IDs

These IDs facilitate a smoother user experience while ensuring that your identity is consistently verified across various services.

Verifying bank customer data

In addition to government services, Digital IDs also play a vital role in financial services through mechanisms like Open Banking and ConnectID. These systems allow users to securely verify their bank details, further enhancing the convenience and security of online transactions.

By utilising these various types of Digital IDs, Australians can enjoy a more efficient and secure way of verifying their identities across both government and private sectors. The integration of GBG’s greenID into this framework will enhance the verification process, ensuring that every identity check is both secure and compliant with the highest standards.

GBG: A key player

GBG is a vital component of the Digital ID landscape, serving as a trusted identity verification provider that aligns seamlessly with the proposed National Digital ID scheme. As an identity service provider, GBG plays a crucial role in verifying identity information for individuals while collaborating with various key players in the ecosystem.

• Comprehensive identity management: GBG is committed to providing a secure and efficient means of identity verification. We work closely with attribute verification services to confirm an individual’s identity and ensure that the data presented is accurate and trustworthy. This collaboration enhances the reliability of the verification process, allowing users to confidently access services.
• Authentication through credential service providers: In addition to managing identity information, GBG partners with credential service providers to authenticate users, ensuring they are authorised to use their digital identities. This layered approach accelerates the verification process and strengthens the overall security framework.
• Enhancing trust and compliance: As more businesses and government entities engage with the Digital ID ecosystem, establishing trust is essential. GBG fosters this trust by ensuring that identity verification adheres to stringent privacy and security standards. By serving as a trusted intermediary, we enhance consumer confidence in digital transactions, making it easier for Australians to embrace online services.
• Supporting national security measures: In an era of increasing concerns about data breaches and identity fraud, GBG is pivotal in reinforcing the security infrastructure of Australia’s Digital ID initiative. Our biometric capabilities, combined with our role as a connector among various stakeholders, ensure that security protocols are consistently implemented across the system, further safeguarding individuals’ identities
• Connecting diverse Digital IDs: Having an identity verification provider like GBG as the ‘connector’ in the proposed Australian Digital ID scheme enhances security and efficiency by offering a centralised platform for verification. This not only simplifies the user experience by allowing individuals to choose their preferred method of digital ID, but also ensures that all verification processes are standardised and secure. With GBG, organisations can seamlessly authenticate identities while maintaining compliance with regulations, reducing the risk of fraud. This integration fosters trust among users, encouraging broader adoption of digital identities across various sectors.

As Australia embarks on the journey toward a comprehensive Digital ID system, the potential benefits for individuals and businesses alike are immense. The collaboration between GBG and various stakeholders within the Digital ID ecosystem is essential to ensuring robust identity verification processes that prioritise privacy, security, and user experience.

With GBG’s innovative identity verification technology at the forefront, Australians can feel confident in looking forward to a future where digital interactions are not only streamlined but also safeguarded against the growing threats of data breaches and identity fraud. Together, we are building a digital landscape where trust and security pave the way for a more connected and efficient society.

Embracing this initiative will be a significant step forward for all Australians, fostering a new era of digital identity that is as secure as it is convenient.