In the evolving landscape of local government, the integration of Artificial Intelligence (AI) and technology holds significant promise. However, as revealed in the 2024 Australian Local Government CEO Index, many local government leaders view these advancements as distant prospects rather than immediate priorities.
Despite the growing conversation around AI and technology, most local government CEOs believe these innovations are still years away from making a substantial impact. According to the Index, 80% of CEOs expect the effects of AI to be felt in five or more years. Furthermore, only 2% of CEOs feel their organisations are utilising AI very effectively, and half (51%) believe their councils are not prepared for the AI revolution. The cautious approach to emerging technologies is reflected in current priorities: AI ranks seventh on the national priority list for technology, significantly behind cyber security and digital transformation.
Moreover, there is a noticeable reluctance to share technology services among councils. Only 16% of councils currently engage in sharing technology services, while a substantial majority (84%) do not. In contrast, councils are more open to sharing non-technology services.
The lack of immediate engagement with AI and technology reflects a broader issue of preparedness. The majority of councils do not feel confident in their readiness for AI, and many are still grappling with fundamental technology issues like security architecture and data planning.
Cyber security has emerged as a top concern for local governments, ranking fourth overall among all priorities. This heightened focus underscores an urgent need to protect systems and data from increasing threats.
As highlighted in the Index 2024, 23% of CEOs report that cyber threats keep them awake at night, with states like NSW, VIC, and QLD placing cyber security among their top priorities. However, councils in SA and TAS are generally less concerned about cyber security, with CEOs in these states ranking it their 10th and 12th highest national priority respectively.
Looking ahead, the trajectory of AI and technology in local government will be significantly influenced by advancements in digital infrastructure and data analytics. Local governments must navigate these changes carefully, balancing innovative technologies with a strong emphasis on foundational elements like security and network infrastructure.
While AI and emerging technologies are anticipated to make an impact in the years to come, cyber security remains an immediate and pressing concern. Strengthening security measures is essential to protect systems and data in the short term and ensure a secure foundation for future technological advancements.
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