The regulatory framework would be supported by administrative guidelines, which are being developed in consultation with the telecommunications industry, the statement said.
"These guidelines will help carriers and carriage service providers understand which parts of their networks are particularly vulnerable to unauthorised access and interference. They would also provide guidance on the controls and measures that can be implemented to manage these vulnerabilities," the statement said.
According to the government, the reforms will ensure that businesses, individuals and the public sector can continue to rely on telecommunication networks to store and transmit data securely.
However, implementation will be based on a regime of industry consultation, advice and guidelines.
"The new regulatory powers of direction will only be used as a last resort, to protect the national interest," the government's statement said.
The Attorney-General's Department is conducting a public consultation on the bill.
The draft documents can be found on the Attorney-General's website.
Public submissions close on July 31.
Sign up for CIO Asia eNewsletters.