Year in Review - 2007-08

The security environment

Terrorism – particularly by violent jihadists – has posed the most significant security threat to Australia for at least the last seven years. It will continue to do so for the foreseeable future.

• Tactically the threat is manifest in attacks against civilians as well as governments, while strategically it aims to influence and degrade institutions and principles that are fundamental to Australia’s social, economic and security interests.
• Australia and Australians have been specific targets of actual and planned terrorist attacks.

The terrorist threat evolved further in 2007–08. It was linked in large part to the Middle East and South Asia. While core al-Qa’ida retained the capability and intent to target Western interests, its alliances and ideological reach generated new challenges.

• Jihadist groups in places such as the Gulf, the Middle East, and Africa forged alliances with al-Qa’ida.
• And the ideology of violent jihad – often disseminated via the Internet – continued to resonate with a small but potentially dangerous group, some of whom were not known to be connected to al-Qa’ida but who were nonetheless inspired to plan and conduct terrorist acts.

The counter-terrorism outlook for South-East Asia is generally improved, but remains serious. South-East Asia’s most wanted terrorist, Noordin Mohammad Top, remains at large.

• Indonesian authorities disrupted a terrorist cell in June 2008 and recovered a number of explosive devices that were reportedly to be used to attack Western targets in Indonesia.

Within Australia, a small but significant minority of the community hold or have held extremist views. An even smaller minority is prepared to act in support of it – including by advocating violence, providing logistical or propaganda support to extremists, or travelling abroad to train with terrorist groups or participate in violent jihad activities. During 2007–08 legal proceedings commenced against a number of individuals charged with related offences.

But there are other threats to Australia’s security beyond terrorism. Australia’s economic strength, technological development, and strong global partnerships make it a continuing target for espionage and foreign interference. In 2007–08 ASIO continued, therefore, to enhance its counter-espionage and counter-foreign interference efforts.

Meeting the challenges

This year marked the mid-point of a program – implemented as a result of the 2005 review by Mr Allan Taylor AM of ASIO resourcing – to build capability across ASIO’s functions. ASIO’s ability to respond to the challenging security environment relies on high quality staff, robust information systems, and an expert assessment base built on ASIO’s long experience with security intelligence issues.

ASIO continued to build the capability of its workforce through the recruitment of new staff and ongoing development of existing staff.

• By 30 June 2008 ASIO’s workforce had grown to 1,492. Although this was short of target growth for the year, it was ahead of the overall growth target. ASIO remains confident it will achieve its target of 1,860 by 2010–11.
• Innovative, targeted recruitment campaigns attracted high quality applicants who brought a diversity of relevant experience to ASIO.
• ASIO invested $6.4m in training through its Learning and Development Strategy to ensure that staff received high quality – and often specialised – training that enhanced whole-of-Organisation capability.

Development of ASIO’s technical collection and analysis capabilities also continued in 2007–08, a particular challenge in an environment of rapid technological change.

• To supplement in-house research and development, ASIO used its partnerships to share the burden of expensive technological development.
• The appointment of the first full-time Science Adviser in 2007–08 was an important milestone for ASIO in its ongoing research and development programs.
• ASIO expanded its complex and advanced analytical capabilities, allowing complex data sorting and exploitation, and providing higher quality information for ASIO’s intelligence operations and analysis.

ASIO developed further its domestic liaison partnerships during 2007–08.

• ASIO expanded its officer attachment arrangements with Australian agencies. These attachments enhance agency understanding, cooperation, and information sharing.
• In cooperation with other Australian agencies, ASIO advanced several initiatives to improve service delivery related to border security. These included the first two phases of the Next Generation Border Security initiative.
• ASIO began implementing the recommendations of the Review of Interoperability between the AFP and its National Security Partners (the Street Review).

Because most of the security threats facing Australia have significant overseas links, ASIO also bolstered its international partnerships.

• ASIO expanded its network of overseas liaison relationships to 311 agencies in 120 countries.

ASIO’s customer base has increased significantly over the past decade and now includes private sector companies and a greater range of international liaison partners. Within Australia, ASIO’s intelligence product is distributed to some 75 government customers, including Ministers and other senior decision-makers, and law enforcement, policy, and intelligence agencies at the Commonwealth and State and Territory levels. During 2007–08 ASIO continued to refine its reporting to meet its customers’ needs.

• Reflecting ongoing high demand for threat-related intelligence, the National Threat Assessment Centre published 2,075 reports. It diversified its product range to include monthly snapshots of the threat environment and trend analyses.
• ASIO produced a range of strategic assessments on both specific and thematic issues to assist policy and capability development.
• ASIO continued to enhance its engagement with, and reporting to, business and industry through its Business Liaison Unit and Critical Infrastructure Protection programs. These units continued to provide valuable assistance to businesses, particularly for their risk planning.

Along with other security and law enforcement agencies ASIO helped ensure there were no major incidents during the 2007 Asia-Pacific Economic Cooperation (APEC) meetings, 2007 Federal Election, 2008 Anzac Day Commemorations or 2008 Beijing Olympic Torch Relay.

• ASIO’s support to APEC in particular was substantial. It involved most areas of the Organisation.

ASIO’s involvement in criminal and civil litigation continued to increase. During 2007–08, ASIO was involved in a range of legal matters including terrorism prosecutions, civil litigation, and review of administrative decisions.

• ASIO created a Legal Division on 1 July 2007, and continued to expand its legal team.

ASIO cooperated closely with several reviews and inquiries in 2007–08, including the Homeland and Border Security Review (the Smith Review), the Street Review, and the Clarke Inquiry into the Case of Dr Mohamed Haneef. Implementation of Street Review recommendations is already underway and will continue into the next reporting period.

ASIO continued to operate under rigorous internal and external accountability and oversight arrangements. The principle of proportionality was strictly applied to intelligence collection – meaning that capabilities were applied in a measured and graduated manner commensurate with the level of threat.

• ASIO updated its operational policies to ensure they remained relevant and continued to provide clear guidance to officers.
• The Attorney-General gave the Director-General of Security updated written guidelines to be observed by ASIO in the performance of its functions.