ID cards to foil fraud, terrorism
By Louise Dodson, Chief Political Correspondent
April 26, 2006
A SINGLE "smart card" for every Australian adult, providing access to Medicare, welfare and tax benefits - while doubling as a national identity card - will be considered by federal cabinet today.
The card would include a computer chip and photograph, and is designed to reduce welfare and identity fraud, and protect against terrorists.
It would replace up to 19 other cards used by beneficiaries of government payments, including those for pensions, unemployment benefits, child care, Austudy, family tax benefits and concessions for medicines.
Since the London bombings last year the Government had also been considering introducing a separate identity card to fight terrorism and boost national security. But the cost of two cards is regarded as far too high, so cabinet will now look at combining aspects of both.
The plan for the separate security ID card - which is being pushed by the intelligence agencies - is expected to be dropped.
Nevertheless, the Government expects opposition to the smart card from people worried about civil liberties.
When the Hawke Labor government tried to introduce a national ID card in the mid-1980s, known as the Australia Card, it was fiercely opposed by the Liberal Party, including the Prime Minister, John Howard.
But last year Mr Howard said ID cards were back on the agenda because the world was now a very different place.
Concern about individual rights had to be balanced against protecting people from terrorism, he said.
"You have to put that against the right all of us have to expect of our Government that it takes all reasonable measures to protect us against the behaviour of terrorists," Mr Howard said.
"I think when people talk about civil liberties they sometimes forget that action taken to protect the citizen against physical attack is a blow in favour and not a blow against civil liberties."
More recently the Treasurer, Peter Costello, publicly praised the smart card idea, saying people were now more tolerant of intrusions into their privacy because of security threats.
The country's attitude to the cards has also changed. An ACNielsen poll for the Herald last August found that two-thirds of Australians were willing to sacrifice privacy and civil liberties for protection against terrorists. Sixty-one per cent were also in favour of a national identity card.
Cabinet remains concerned about the cost, which would be more $1 billion, but it would also save money by cracking down on people cheating on welfare and other government benefits.
After the Australia Card failed, Labor introduced a tax file system, which has been expanded by the Howard Government. It allows computer cross-checking to discover tax and welfare fraud.
The Government has been watching with interest the experience of the British Government, which this month announced an ID card that will allow holders access to some government services.
A big issue has been the cost of that card, about $13 billion. Britain will start to issue cards from 2008-09, but the task could take 10 years to complete. The Identity and Passport Service says it expects the card to be accepted by the public as part of life within 10 years.
About 100 nations have identity cards of some kind. Smart cards are used in many European countries and Singapore to crack down on identity fraud.
- The new card would be used for social security, Medicare and other government benefits.
- Funding to start in this year's budget.
- Could cost $1 billion.