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50 <strong>SENATE</strong> Thursday, 13 October 2016<br />
aware of the reputational aspect of anything that might cause them to be considered as having done the wrong<br />
thing. I think we will find they are extremely focused on that, and we think that is appropriate.<br />
In terms of data breaching—and I assume you are talking about the mandatory notification for data breaching<br />
moved by the Labor Party—certainly the bill, as amended by the government yesterday, already imposes a legal<br />
obligation on a contracted service provider. The contracted service provider and the secretary are to notify the<br />
Information Commissioner when they become aware of a data breach, or a possible data breach, in the handling of<br />
personal information on the register. The government amendment also includes a requirement for certain actions<br />
to be taken in response to the data breach, including containing and evaluating the risks associated with the breach<br />
and prevention of future breaches. Other steps include the Department of Health working with the Information<br />
Commissioner about notifying affected individuals. Any data breaches will be handled using established protocols<br />
for personal information breaches. As you referred to before, the amendments are in line with the provisions in the<br />
My Health Records Act 2012. It ensures a very systematic and measured response. At the same time I think we<br />
need to note that any mandatory requirement may well not give us the outcome we are looking for.<br />
Senator DI NATALE: In regard to the haste with which we are proceeding with this legislation, what are the<br />
financial implications for the contract with Telstra if this legislation were not to pass during this sitting period?<br />
Senator NASH (New South Wales—Deputy Leader of The Nationals, Minister for Regional Development,<br />
Minister for Local Government and Territories and Minister for Regional Communications) (13:37): My advice<br />
is that there are delay penalties, but the bigger impact—and I think everybody would be well aware of this—is<br />
actually not getting it up and running at the date that is targeted.<br />
Senator DI NATALE (Victoria—Leader of the Australian Greens) (13:37): Could you provide me with some<br />
advice about the quantum of those delay penalties?<br />
Senator NASH (New South Wales—Deputy Leader of The Nationals, Minister for Regional Development,<br />
Minister for Local Government and Territories and Minister for Regional Communications) (13:37): I will have<br />
to take that on notice for you, Senator, but I will endeavour to come back to you very quickly with it.<br />
Senator DI NATALE (Victoria—Leader of the Australian Greens) (13:37): I have just one further question<br />
about the recommendations made by the Information Commissioner. I note that many of those have been adopted<br />
by the government and I think they are sensible changes. I am interested as to why the government initially was of<br />
a persuasion not to have an inquiry into the legislation, not to take that evidence, because without those changes<br />
the legislation that was proposed to the Senate would have been inconsistent with My Health Record and many of<br />
the changes that the Information Commissioner has suggested.<br />
Senator NASH (New South Wales—Deputy Leader of The Nationals, Minister for Regional Development,<br />
Minister for Local Government and Territories and Minister for Regional Communications) (13:38): My<br />
understanding is that it was simply a matter of time.<br />
The TEMPORARY CHAIR: The question is that amendments (1) to (3) on sheet 7945 be agreed to.<br />
The committee divided. [13:42]<br />
(The Temporary Chair—Senator Ketter)<br />
Bilyk, CL (teller)<br />
Carr, KJ<br />
Collins, JMA<br />
Di Natale, R<br />
Farrell, D<br />
Gallagher, KR<br />
Ketter, CR<br />
Ludlam, S<br />
McAllister, J<br />
Moore, CM<br />
Polley, H<br />
Rhiannon, L<br />
Siewert, R<br />
Urquhart, AE<br />
Whish-Wilson, PS<br />
Ayes ...................... 29<br />
Noes ...................... 33<br />
Majority ................. 4<br />
AYES<br />
Cameron, DN<br />
Chisholm, A<br />
Dastyari, S<br />
Dodson, P<br />
Gallacher, AM<br />
Hanson-Young, SC<br />
Lines, S<br />
Marshall, GM<br />
McKim, NJ<br />
O'Neill, DM<br />
Pratt, LC<br />
Rice, J<br />
Sterle, G<br />
Watt, M<br />
CHAMBER