Capability 6.2.1
Legal & Regulatory Frameworks
Definition
The existence and clarity of national laws and regulations that establish the legal obligations of AI developers, deployers and users. Includes (but not limited to) provisions for privacy, cybersecurity, safety, discrimination, accountability, liability, and mitigating systemic and catastrophic risks.
Examples
- Horizontal AI laws (e.g. EU AI Act)
- sector-specific laws
- 'soft law' (codes, model standards).
Indicators
- Number and type of AI laws/regulations enacted (e.g. coverage of AI across critical sectors)
- Clarity of decision on legislative approach
- Adaptability: presence of review/update mechanisms
National AI Plan
PLAN COMMITMENT
Moderate commitment
Provides policy coherence by noting that 'Agencies and regulators will retain responsibility for identifying, assessing, and addressing potential AI-related harms within their respective policy and regulatory domains' (Action 7). Commits to continuing to assess the suitability of existing laws in the context of AI, while taking targeted action against specific harms (privacy, consumer harms, online safety, copyright, healthcare, medical device software) (Action 7) and that 'if more regulation is needed to address bad actors or broader harms, the government will not hesitate to intervene', but includes no timelines and few specific details on targeted actions or specific gaps, hence marked as moderate. Moderate commitment by government in the plan aligns roughly with the recommendation to close this critical gap, however this is marked for attention given longstanding delays in highly relevant regulatory reforms that pre-date the plan (e.g. privacy). Greater and ongoing attenttion is warranted given this capabilty provides the enabling environment for all capabilities.
Stocktake
Government statement that existing laws apply to AI in 'Safe and responsible AI in Australia: Discussion Paper'. Department of Industry, Science and Resources. June 2023. https://consult.industry.gov.au/supporting-responsible-ai
State of AI Governance in Australia. 2023. Human Technology Institute. https://www.uts.edu.au/research/centres/human-technology-institute/projects/ai-corporate-governance-program/state-ai-governance-australia-report
Introducing mandatory guardrails for AI in high-risk settings: proposals paper. Department of Industry, Science and Resources. Accessed October 2025. https://consult.industry.gov.au/ai-mandatory-guardrails
AI legislation Stress Test, 2025. Good Ancestors. Accessed October 2025. https://www.goodancestors.org.au/our-work/ai-safety/ai-stress-test
AI and Democratic Values Index 2025. Centre for AI and Digital Policy. 2025. Accessed October 2025. https://www.caidp.org/reports/caidp-index-2025/
AI Tracker Australia. Herbert Smith Freehills Kramer. Accessed October 2025. https://www.hsfkramer.com/insights/reports/ai-tracker/australia
Digital Lives of Austalians 2025. auDA. 2025. https://files.auda.org.au/documents/Digital-Lives-of-Australians-2025-report.pdf
A critical assessment of AI governance and policy gaps in Australia. Imran, Assaad and Choden. ACIS 2024 Proceedings. 2024. Accessed October 2025. https://aisel.aisnet.org/cgi/viewcontent.cgi?article=1154&context=acis2024
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