TLDR: The New South Wales (NSW) government has officially established a new Office for AI, a dedicated agency within Digital NSW, to coordinate the responsible rollout and oversight of artificial intelligence technologies across its public sector. The office will implement an AI Assessment Framework and develop operational policies, aiming to leverage AI for improved government services while ensuring safety and accountability. This initiative follows recommendations from a prior state-led inquiry into AI and will also see AI deployed to accelerate major planning projects like housing developments.
Sydney, NSW – The New South Wales (NSW) government has formally launched a new Office for AI, marking a significant step towards a coordinated and responsible integration of artificial intelligence across its public sector. The dedicated agency, housed within Digital NSW, will be tasked with overseeing the rollout of AI initiatives, implementing a comprehensive AI Assessment Framework, and establishing an NSW AI operational policy.
Laura Christie, Chief Information and Digital Officer of the Department of Customer Service, will oversee the new office. She stated, “This new function within Digital NSW positions the NSW public sector to drive use of AI and harness its benefits across departments and agencies and for the people of NSW.” The office will comprise a multi-disciplinary team with expertise in business strategy, architecture and development, and change management. A head of AI will be appointed to lead this team, which will also collaborate closely with the existing AI Review Committee, responsible for scrutinizing high-risk AI projects.
Minister for Customer Service and Digital Government, Jihad Dib, emphasized the strategic importance of the new office. “The new Office for AI will not only lead NSW’s use of AI but will set the roadmap on how to safely and responsibly incorporate and manage emerging technologies for more effective delivery of government services in the future,” Minister Dib said. He added, “Artificial intelligence is increasingly part of our everyday lives, and as a government, we need to make sure it is used responsibly and provides clear benefits for the community.”
The establishment of this office comes more than a year after a comprehensive state-led review recommended a broader AI governance framework, including the appointment of multiple chief AI officers and the creation of a central register for automated decision-making systems. The government is committed to ensuring greater transparency and accountability in its use of AI.
Beyond governance, the NSW government is actively exploring and adopting AI to enhance public services. Current state-led AI initiatives include an AI system for analyzing school zone activity in the Hunter region, the NSW Rural Fire Service’s bushfire prediction system ‘Athena’, and ‘NSWEduChat’, a generative AI tool designed to assist teachers.
In a notable application, the government has also announced the adoption of AI to expedite large-scale projects, such as data centers and housing developments. The Department of Planning, Housing and Infrastructure issued tender documents on September 1, seeking a ‘ready-to-use’ AI solution to assist with reviewing planning documents and ensuring compliance with local planning regulations. Minister for Planning and Public Spaces, Paul Scully, commented, “This will add an important tool to the suite of tools available to planners as they assess larger and more complex proposals.” He further highlighted that this initiative is about “using technology to do more of the heavy lifting in the planning system while leaving the final decision to a human decision maker.”
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Currently, the average assessment for a major project takes approximately eight and a half months, with about three months spent in government review. By integrating AI into these processes, the government anticipates a significant reduction in these timeframes, accelerating housing delivery while maintaining rigorous human oversight and planning standards. NSW is positioning itself as a leader in digital integration within planning, being the only state in Australia applying AI at this scale to the assessment of large and complex developments.
