To be clear, this seems to be about Australia (?)
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Correct.
Given how crucial to exposing government misconduct FOI requests are in the UK, I imagine this is a path you very much don't want to go down.
I first thought this was talking about the UK government, as I wouldn't put it past them to try and push something like this through. I'm both sad and relieved it's our Australian cousins going through it instead.
Trying to make it more difficult for taxpayers to access taxpayer-funded information.