Defence thwarted in control bid over technology and research

A Defence Department attempt to gain sweeping controls over private research has been stymied by a new review.

Dr Vivienne Thom.

A Defence Department attempt to gain sweeping controls over university and private research to prevent countries including China and Russia stealing Australian technology has been stymied by a new review.

The review, led by Vivienne Thom, recommended against granting the department the increased powers, despite finding companies had no incentive to comply with the current regime, and that there were circumstances where the current regime did not adequately protect Australia’s ­national interests.

Instead, the review recommended the government establish a new working group with universities, industry and research agencies to come up with new laws to strengthen the current act.

“The review does not support the broad approach implied by the recommendations in the Defence submission,” Dr Thom’s report stated. “The review supports the proposition that direct and ongoing consultation is required between Defence and stakeholders to develop a policy that takes a proportionate approach to address the current gaps in legislation.”

Labor science and research spokesman Senator Kim Carr said the review was a rejection of a “hysterical campaign to the shutdown research in Australian universities”.

“Australian researchers would be relieved to see that Dr Thom has led a fair and balanced review of the Defence Trade Controls Act,” he said.

Defence had been pushing for greater scrutiny of foreign passport holders, wider search and entry powers to universities and expanding the amount of tech­nology subject to strict Defence Department controls.

The universities were so ­worried about the Defence proposals that they told the review they would have to set up a “register” of all researchers with foreign ­passports.

The review said several emerging “dual-use” technologies were not adequately controlled under current regulations, including mat­erials that can be used to make acoustic transducers for underwater detection, technology relating to hypersonic research and 3D printing of energetic materials.

“The review was provided with case studies where the current ­regime could not adequately protect Australia’s national interests or where Australia’s access to international technology could be threatened,” the report said.

The review found there was a lack of knowledge about the term “dual use” among universities and industry which refers to technology which also has a military use.

Industry stakeholders also told the review it appeared there were no real consequences for non-compliance.

“Stakeholders suggested that, in Australia, there is no visible ­action taken to address non-compliance and therefore … no imperative to understand the DTC act,” Dr Thom’s report stated.

The review said Defence should employ more staff to conduct inspections to ensure universities and companies were complying with regulations, but inspections should be conducted with the consent of those who were being inspected or with a warrant.

Dr Thom said Australian Chief Scientist Alan Finkel had questioned why Defence should be handed the increased powers when he spoke to the reviewers. “He questioned whether the risk of leakage and the difficulty of monitoring compliance justified stricter controls and more onerous regulation,” the report stated.

Defence has said it was increasingly concerned that knowledge of technology under development in Australia or in use by the ADF could make its way abroad.