Standards Comparison

    PIPL

    Mandatory
    2021

    China's comprehensive regulation for personal information protection

    VS

    Australian Privacy Act

    Mandatory
    1988

    Australian regulation for personal information protection

    Quick Verdict

    PIPL mandates strict consent and localization for China data flows, while Australian Privacy Act requires reasonable security steps and NDB notifications. Companies adopt PIPL for China market access, Privacy Act for Australian compliance and trust.

    Data Privacy

    PIPL

    Personal Information Protection Law (PIPL)

    Cost
    €€€€
    Complexity
    Medium
    Implementation Time
    6-12 months

    Key Features

    • Extraterritorial scope targeting China individuals
    • Explicit separate consent for sensitive PI
    • Cross-border transfers via SCCs or reviews
    • Fines up to 5% annual revenue
    • Strict data minimization and localization rules
    Data Privacy

    Australian Privacy Act

    Privacy Act 1988 (Cth)

    Cost
    €€€
    Complexity
    Medium
    Implementation Time
    6-12 months

    Key Features

    • 13 Australian Privacy Principles (APPs)
    • Notifiable Data Breaches (NDB) scheme
    • Cross-border disclosure accountability (APP 8)
    • Security and retention requirements (APP 11)
    • OAIC enforcement with high penalties

    Detailed Analysis

    A comprehensive look at the specific requirements, scope, and impact of each standard.

    PIPL Details

    What It Is

    Personal Information Protection Law (PIPL) is China's comprehensive national regulation enacted in 2021, effective November 1. It governs collection, processing, storage, transfer, and deletion of personal information of individuals in China. Modeled partly on GDPR, it uses a risk-based approach emphasizing consent, minimization, and security, with extraterritorial reach.

    Key Components

    • Core principles: lawfulness, necessity, minimization, transparency, accountability.
    • Rules for processing, cross-border transfers, individual rights.
    • Sensitive PI categories like biometrics, health data.
    • Mechanisms: SCCs, security reviews, certification; no broad legitimate interests basis.
    • Compliance via governance, PIPIAs, audits.

    Why Organizations Use It

    • Mandatory for entities handling China data to avoid fines up to 5% revenue.
    • Enables market access, builds trust, reduces breach risks.
    • Strategic for multinationals in e-commerce, fintech, healthcare.

    Implementation Overview

    Phased: gap analysis, data mapping, policies, controls, transfers. Applies globally to China-exposed orgs; requires China representatives for foreigners. No formal certification but CAC audits/enforcement.

    Australian Privacy Act Details

    What It Is

    The Privacy Act 1988 (Cth) is Australia's foundational federal privacy regulation. It provides a principles-based framework regulating the handling of personal information by government agencies and private sector organizations exceeding AUD $3 million turnover, covering collection, use, disclosure, security, and individual rights across the data lifecycle.

    Key Components

    • **13 Australian Privacy Principles (APPs)Core rules on transparency (APP 1), collection (APP 3), cross-border disclosure (APP 8), security (APP 11), and access/correction (APPs 12-13).
    • **Notifiable Data Breaches (NDB) schemeMandatory reporting of eligible breaches likely causing serious harm.
    • **OAIC enforcementInvestigations, audits, civil penalties up to AUD $50M.

    Why Organizations Use It

    • Meets legal obligations for in-scope entities, including extraterritorial reach.
    • Mitigates breach risks, enhances data governance, and facilitates transborder flows.
    • Builds stakeholder trust, reduces reputational damage, and supports competitive advantage.

    Implementation Overview

    • **Phased risk-based approachGap analysis, policy development, controls (security, vendor management), training, and NDB readiness.
    • Applies to medium-large organizations, health providers, across Australia; no certification but OAIC assessments required.

    Key Differences

    Scope

    PIPL
    Personal info processing, cross-border transfers, SPI
    Australian Privacy Act
    Personal info handling, APPs, NDB scheme

    Industry

    PIPL
    All sectors handling Chinese data, extraterritorial
    Australian Privacy Act
    AU agencies, private orgs >$3M turnover, health

    Nature

    PIPL
    Mandatory national law, CAC enforcement
    Australian Privacy Act
    Mandatory principles-based, OAIC enforcement

    Testing

    PIPL
    PIPIAs, security reviews, audits
    Australian Privacy Act
    PIAs, reasonable steps audits, NDB assessments

    Penalties

    PIPL
    RMB 50M or 5% revenue
    Australian Privacy Act
    AUD 50M or 30% turnover

    Frequently Asked Questions

    Common questions about PIPL and Australian Privacy Act

    PIPL FAQ

    Australian Privacy Act FAQ

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