The Australian Digital Transformation Agency (DTA) has called for the nation's government to adopt more cloud computing solutions.

As reported by iTNews and ARN, the DTA's new policy intends to "encourage accelerated cloud adoption" by government departments.

It does not explicitly rule against the use of on-premises hardware, however.

Instead, the policy writes: "Prioritizing cloud computing means that agencies should consider cloud for new digital initiatives, prioritise moving off legacy systems and transition to cloud where it makes sense to do so, and consider hybrid or multi-cloud models when pure cloud solutions are not justified."

It adds that doing so will help the government to adopt AI and other "innovative technology."

The DTA aims to help the government to modernize its critical systems, and improve the way Australians "access and experience public services."

Within the cloud umbrella, the DTA includes public cloud, private, and hybrid cloud models. In addition, agencies must design their cloud solution for interoperability and portability to avoid lock-in and should use FinOps to manage costs.

“With clear requirements in place, agencies can make more consistent and confident cloud decisions,” said DTA deputy CEO Lucy Poole. “This will lift the security, performance, and long-term sustainability of the systems that underpin essential services accessed daily by Australians.”

The policy does not apply to the ‘national intelligence community,’ however.

It is set to take effect from 1 July, 2026.

Cloud adoption by the Australian government is nothing new, though, like many nations, it is an ongoing process.

In September, the Department of Foreign Affairs and Trade began a cloud migration.

Other cloud deals signed include those by the Department of Defence, which signed a five-year AU$495 million (US$324.71m) deal with Microsoft to use its cloud computing services. The major contract was signed despite the Department having previously signed a deal with AWS in July 2024 for a data center and cloud system that will be developed as a partnership between AWS and the Australian government, with the latter investing AU$2 billion (US$1.3bn) in the new system over the next ten years.