NSW civil servants' use of shadow AI tools in Housing Development Authority operations is unlikely to have compromised the integrity of decision-making, research suggests.
sydney morning herald reported late last month that AI tools were used to “fast-track” hundreds of housing proposals in the city.
The AI tool is not authorized to be used as part of the agency's work, and an investigation has been launched to determine whether its use influenced planning decisions.
New South Wales Government releases review [pdf] The risk of AI tools causing planning approval errors was found to be “low”.
The review said the tool “appears to be isolated to administrative tasks” that collate information and create reports.
He said additional checks and balances were needed in planning decisions regarding housing projects and expressed confidence that errors caused by shadow AI tools would be detected if they occurred.
Around 72 reports created with the help of AI tools were reviewed and found to be error-free.
The review calls on authorities to review all remaining reports created using the tool, which opponents have suggested could number in the hundreds.
It also recommended that officials be instructed to “strengthen” AI usage guidelines and use authorized official tools.
This is not just for security and integrity purposes. Existing tools were rated as more effective than shadow IT tools for performing the same administrative tasks.
Minister for Planning and Public Spaces Paul Scully accepted the review recommendations.
“The independent review shows that the integrity of the Housing Development Authority and its statutory decision-making processes are intact,” he said in a statement.
“We will take all necessary steps to support the continued functioning of the Housing Development Corporation.”
