ISPs and the Greens have criticised the concept of forcing service providers to retain and submit records of users' online habits.
Earlier today, the government confirmed that it has been looking at forcing ISPs to retain the web browsing history of Australian residents to be readily available to law enforcement agencies, technology website ZDnet reported.
"The Attorney-General's Department has been looking at the European Directive on Data Retention, to consider whether such a regime is appropriate within Australia's law enforcement and security context," ZDnet was told.
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A Telstra spokesperson told ARNnet.com.au the company was aware of the Government's considerations.
“While Government policy is a matter for the Government, our customers' privacy is a priority for us, and we'll be making that clear,” the spokesperson said.
Communications spokesperson for the Australian Greens, Senator Scott Ludlam, told ARNnet.com.au he was concerned and wouild speak with Greens colleagues.
“It's going to need a huge amount of work and it's tiring that this is the best they can come up with,” he said.
“There's going to be big costs.”
The head of the Internet Industry Association confirmed the discussions, but told ZDnet he did not think the government would push ahead unilaterally, without public debate on the issue.
The government has been heavily criticised over the last year for Communications Minister Stephen Conroy's plans to enforce mandatory internet filtering in Australia.
Campaigners, as well as internet giants such as Google, have condemned the moves.

