Source: The Conversation (Au and NZ)
Prime Minister Anthony Albanese is taking direct oversight of the government’s handling of Australia’s AI rollout by establishing an Office of AI in his own Department of the Prime Minister and Cabinet.
Albanese will announce the new office, which starts operation immediately, in a major speech on Wednesday. Extracts were released ahead of delivery.
His message will be positive: that handled properly, AI can be made to work in Australia’s interests.
The address emphasises the whole-of-government approach to be taken to the rapidly developing technology that is presenting vast opportunities, especially for productivity, but also raising widespread concerns on many fronts. These range from potential job losses to issues around data centres.
An Essential poll in May showed the considerable suspicion around AI: 36% said it carried more risk than opportunity, with only 22% saying it carried more opportunity than risk; 41% saw the risks and opportunities as about the same.
Albanese says the Office of AI will work closely with Industry Minister Tim Ayres, and Assistant Minister for Science, Technology and the Digital Economy, Andrew Charlton, “to co-ordinate the design of our new Australian Standards and to bring together the work ministers are undertaking across government”.
Outlining individual ministers’ activity, the prime minister says:
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Energy Minister Chris Bowen is working with states and territories and energy market bodies
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Attorney-General Michelle Rowland has been facilitating consultation on copyright and protection of artists
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Treasurer Jim Chalmers will be responsible for AI in the productivity agenda
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Employment Minister Amanda Rishworth is liaising with employers, workers and unions
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Education Minister Jason Clare is meeting his counterparts on Wednesday to discuss AI’s impact in schools
“This is in addition to ongoing work in everything from the design of our digital duty of care, to the risks that chatbots pose to children to the intersection of AI and skills and manufacturing, and – importantly – AI in defence and national security,” Albanese says.
He points out the 2026 National Defence Strategy indicates AI and machine learning hold “the most significant potential for technological disruption” in coming years.
“We know that both extremists and state actors already use AI to create propaganda aimed at young people – and to spread disinformation that targets democracies,” Albanese says. Defence Minister Richard Marles and Home Affairs Minister Tony Burke are working with their agencies – and Australia’s Five Eyes Partners – on these national security matters.
Australia “will be the first country in the world to bring these issues into a single, national framework,” Albanese says.
“And getting this right will enhance our appeal to international investors, by delivering greater clarity and speed for approvals, and a streamlined process for verifying compliance.”
Albanese says that so far the government response has been “issue-by-issue, sector by sector”.
“But just as government developed co-ordinated approaches for other significant technologies: from civil aviation in the 1920s to genetics in the 1990s, we must do this with AI as well.”
Former industry minister Ed Husic, who when responsible for the area championed an interventionist rather than light touch approach, on Tuesday again emphasised the need for robust action.
“None of these firms will go one out from the other to bring in guardrails to limit the risks, because their investors will ask questions about, well, why are you doing this when others are working without guardrails?
“So it really is incumbent on governments to set consistent national rules that protect Australians who already distrust AI from the toughest, hardest risks of generative AI.”
He also urged restraint on data centre construction, saying there had been a “bit of a frenzy going on” in relation to these builds.
“Land gets snapped up that should have been set aside for houses, and we’ve already got 90,000 workers short in construction,” he told Sky .
“So, if we are having a situation where data centres are now taking up land for homes, we’ve got to pump the brakes on this.”
Next week’s ALP national conference will discuss AI, with the unions anxious for job protection.
Labor’s draft platform for the conference says
Should AI adoption lead to the displacement of jobs at a significant scale, Labor will play an active role in an economy-wide transition.
Michelle Grattan does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.
Original source: https://analysis1.mil-osi.com/2026/07/14/view-from-the-hill-albanese-takes-oversight-of-governments-response-to-ai-under-his-own-wing/