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UK Carbon Border Adjustment Mechanism: how will it work?
In February, we reported on the Department of Energy Security and Net Zero’s confirmation that a UK Carbon Border Adjustment Mechanism (CBAM) would be bought into force by 2027
Canada | Publication | February 2020
Artificial intelligence (AI) systems process and analyze vast amounts of personal information. Unchecked, significant privacy risks may arise within these systems and their related development and deployment processes. While the public clamours for regulation to address these risks, organizations developing and deploying AI systems are generally resistant to AI-focused regulation, for fear of regulation curtailing the algorithmic power of these AI systems.
The Office of the Privacy Commissioner of Canada (OPC) has waded into the fray with its recently released set of 11 proposals, titled “Proposals for ensuring appropriate regulation of artificial intelligence”1 (Proposals), which consider significant changes to the federal Personal Information Protection and Electronic Documents Act, (PIPEDA).2
Aside from privacy risks in AI systems, the OPC recognizes AI systems’ potential to promote unlawful bias and discrimination when generating insights or making decisions affecting individuals. To address this, the OPC proposes formulating rules under PIPEDA targeted at AI system development and deployment, similar to those in the European General Data Protection Regulation (GDPR).3
The prescriptive nature of the Proposals, coupled with rules directed to a specific technology, are a shift in the OPC’s traditional positioning of PIPEDA as “principles based” and “technology neutral.” PIPEDA’s current principles-based approach is often lauded by privacy practitioners as permitting organizations flexibility to address privacy and security legal compliance through a combination of technological and organization measures. The risk of a rules-based approach, if adopted legislatively, is the loss of the current flexibility under PIPEDA and an accompanying risk of overly circumscribing AI system development and deployment.
It is imperative for experts and organizations developing and deploying AI systems to weigh in on the Proposals. The OPC’s public consultation on the Proposals ends on March 13, 2020.
A complete overview of the Proposals is beyond the scope of this update. However, it is interesting to note how the OPC has dealt with the AI-specific concepts such as explainability and transparency:
The OPC also included technology-neutral proposals that are in line with a global trend of enhanced enforcement, one example being:
If you have comments on the Proposals, suggestions for changes to PIPEDA, or recommendations for sections you would like to see reviewed, please contact us. We would be happy to submit written submissions to the OPC for its consideration.
We will continue to follow and report on developments on these proposed changes to PIPEDA.
Office of the Privacy Commissioner of Canada. (2020). Proposals for ensuring appropriate regulation of artificial intelligence. Retrieved from the Office of the Privacy Commissioner of Canada https://www.priv.gc.ca/en/about-the-opc/what-we-do/consultations/consultation-ai/pos_ai_202001/
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In February, we reported on the Department of Energy Security and Net Zero’s confirmation that a UK Carbon Border Adjustment Mechanism (CBAM) would be bought into force by 2027
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