Long-term policy approach to climate and privacy reforms

Since the federal election, we’ve been considering the implications of a second-term Albanese government and the new parliament’s make-up.

The ALP government is in a commanding position in the House of Representatives with its largest majority since 1943. And with the crossbench sidelined in the Senate, the government only needs the support of the Greens to secure the passage of legislation.

A range of governance-related policy issues will be carried over from the previous parliament, including major privacy reforms, AI guardrails and audit firm regulation. Net zero climate transition remains a key focus, with legislated emissions targets fast approaching and a 2035 target expected by the end of the year. Reforming Australia’s broken environmental laws will be a top priority for that portfolio in an attempt to break the deadlock of the last parliament.

As the independent and trusted voice of governance, the AICD will continue to advocate on these important policy areas on behalf of our members and the director community. As part of our ongoing engagement with government, we will continue to prosecute our productivity and growth agenda, calling for a long-term policy approach and a rebalancing of regulatory settings to promote productivity, innovation and international competitiveness. This is a key priority, supported by a large number of directors.

Encouragingly, the Treasurer has said productivity will be his main focus, although at this stage, systemic tax reform is not part of that equation and remains off the table.

The ALP’s strong majority opens the door for the government to take a long-term policy view that sets our nation up for success. We believe it must walk through that door and take this chance to reinvigorate the national conversation around productivity and international competitiveness. You can read about our policy priorities on our website and in Louise Petschler’s column. 

AI is key

AI dominated discussions at our inaugural AICD Tech Governance Forum in Brisbane, with the important message that it is and will be a key driver for achieving productivity growth — personally, for the enterprises we serve and for the nation. But this is not straightforward. Presentations at the forum reinforced the point that few shifts have been as rapid and consequential as those we’re seeing in cyber and AI.

These are no longer fringe topics or siloed risks. AI has entered workplaces and boardrooms, and will become pervasive, while cyber threats have long moved from being an IT team problem to a whole-of-organisation issue.

For those of us in any doubt, forum speakers were emphatic that the age of AI is upon us — and any organisation not utilising AI is putting itself at greater risk from falling behind than from the risk associated with the technology itself.

That said, much of the discussion did focus on data security, responsible and ethical use of AI, and the need for corporate governance models to embrace and keep pace with this technology as it evolves at lightning speed.

A common refrain I hear is that while AI won’t replace the workforce, those who use AI will replace those who don’t. It’s no longer about information, but about the judgements you make regarding that information.

The strength of AI is in the quality time and space it frees up to perform the analysis and apply those judgements. I’d like to thank the AICD National Events team who put the inaugural Tech Governance Forum together, the sponsors who supported it and the impressive program of speakers and panellists, who generously contributed their time, knowledge and expertise.

Thank you to the more than 1200 of you who joined the discussion, in person in Brisbane and virtually from all over the country, to make this such a successful event.

Climate Governance Forum 2025

For our next important offering, I warmly encourage members to attend this year’s Climate Governance Forum on 8 August in Melbourne. The forum will bring together leading experts, directors and policymakers to explore the latest in climate governance. Now in its fourth year, the forum has grown to become one of the AICD’s key annual events. Whether you’re just beginning your climate governance journey or looking to deepen your expertise, the Climate Governance Forum offers practical insights to help you lead with confidence and foresight. I look forward to seeing you there next month.

This article first appeared under the headline 'Post-election focus' in the July 2025 issue of Company Director magazine.