---
url: 'https://www.corbado.com/blog/AESCSF-compliance-passkeys'
title: 'AESCSF Compliance with Passkey Authentication'
description: 'Learn how Australian companies in the energy sector can stay compliant with the AESCS framework and how passkeys help to comply with IAM requirements.'
lang: 'en'
author: 'Alex'
date: '2025-03-14T19:36:09.417Z'
lastModified: '2026-03-27T07:01:13.650Z'
keywords: 'AESCSF passkeys, aescsf, energy passkeys, Australia energy, energy compliance, compliance in energy sector'
category: 'Authentication'
---

# AESCSF Compliance with Passkey Authentication

## Key Facts

- Passkeys directly satisfy AESCSF's **Identity and Access Management** domain by
  replacing password-based authentication with cryptographic, phishing-resistant
  multifactor authentication that requires no OTPs.
- AESCSF was developed by AEMO with the ACSC and CISC in 2018, covering 11 domains across
  electricity, gas and liquid fuel sectors in Australia.
- Organizations are rated using a **Criticality Assessment Tool** (Security Profile 1-3)
  and Maturity Indicator Levels (MIL-1, MIL-2 or MIL-3) assessed across all 11 domains.
- AESCSF is incorporated within the **Security of Critical Infrastructure Act 2018**,
  giving it national legal weight for Australian energy providers and critical service
  operators.
- Passkeys also strengthen the **Risk Management** and Cybersecurity Program Management
  domains by eliminating credential compromise risks and signaling a mature passwordless
  security initiative.

## 1. Introduction

[Energy](https://www.corbado.com/passkeys-for-energy) powers every aspect of our modern world. That is why this
sector is part of the so called
[critical infrastructure](https://www.corbado.com/glossary/critical-infrastructure). If it goes down everything
comes to a stop: online shopping and medical procedures to transportation networks.
Unfortunately, cyber-attacks aimed at [energy](https://www.corbado.com/passkeys-for-energy) providers are
escalating, driven by opportunistic hackers who find weak points in these essential
systems.

Thousands of devices connect to power grid control systems every day through the Internet
of Things ([IoT](https://www.corbado.com/blog/how-to-use-passkeys-apple-watch)), and the lines between
traditional IT and OT continue to blur. As a result, attackers have more ways to
infiltrate and disrupt the flow of electricity than ever before. To combat these problems
the Australian [government](https://www.corbado.com/passkeys-for-public-sector) takes on measures with the
[Australian Energy Sector Cyber Security Framework (AESCSF)](https://aemo.com.au/initiatives/major-programs/cyber-security/aescsf-framework-and-resources)

In this blog post, we’ll explore:

- What is the AESCSF and who is impacted by it?

- Which domains does it cover and what regulations are there?

- How do passkeys help stay compliant with the IAM domain of AESCSF?

## 2. What is the AESCSF?

The Australian [Energy](https://www.corbado.com/passkeys-for-energy) Sector Cyber Security Framework (AESCSF) is
a cybersecurity framework designed for the Australian energy sector, providing guidelines
and best practices to assess, evaluate and improve cybersecurity capabilities. It helps
organizations in the energy sector assess, prioritize and improve their cybersecurity
capabilities and maturity and is tailored to the unique needs of Australia’s energy
covering a broad range of entities

### 2.1 Who developed AESCSF?

The Australian Energy Sector Cyber Security Framework (AESCSF) was developed by
[the Australian Energy Market Operator (AEMO)](https://aemo.com.au/) in collaboration with
the [Australian Cyber Security Centre (ACSC)](https://www.cyber.gov.au/) and the
[Cyber and Infrastructure Security Centre (CISC)](https://www.cisc.gov.au/), in 2018.

### 2.2 Who is impacted by AESCSF?

Since its creation, AESCSF’s scope has expanded beyond Australia’s energy sector to other
[critical infrastructure](https://www.corbado.com/glossary/critical-infrastructure) areas, such as liquid fuel,
electricity generation, transmission, distribution, gas production, energy
[retail](https://www.corbado.com/passkeys-for-e-commerce), market operations, and other critical service
providers. The framework’s is incorporated within the Security of
[Critical Infrastructure](https://www.corbado.com/glossary/critical-infrastructure) Act 2018 (SoCI Act), which
highlights the national importance of safeguarding secure and reliable energy supplies to
protect economic stability and national security.

**Table 3. Recommended AESCSF participants**

| **Electricity**                                                                                                         | **Gas**                                                                                                  | **Liquid Fuels**                                                                                               |
| ----------------------------------------------------------------------------------------------------------------------- | -------------------------------------------------------------------------------------------------------- | -------------------------------------------------------------------------------------------------------------- |
| Generation <br/> Transmission <br/> Independent Interconnectors <br/> Distribution <br/> Retail <br/> Market operations | Production <br/> Transmission <br/> Bulk Storage <br/> Distribution <br/> Retail <br/> Market operations | Extraction and production <br/> Transport and import <br/> Storage <br/> Refinement <br/> Wholesale and retail |

## 3. Which contents and domains does AESCSF cover?

The framework contains two distinct sections for the assessment of every company:

- **Determination of company criticality in the energy sector:** This assessment is
  performed with a sector Criticality Assessment Tool (CAT) each criticality rating is
  aligned to a respective Security Profile (SP) rating, from 1 (lowest) to 3 (highest)

- **Determination of company maturity**: This assessment is done across 11 domains and
  rated with the Maturity Indicator Level or MIL (MIL-1, MIL-2 or MIL3)

The domains incude the following content:

### 3.1 Risk management(RM)

Establish, operate, and maintain an enterprise cybersecurity risk management program.

### 3.2 Cybersecurity program management (CPM)

Establish and maintain an enterprise cybersecurity program that provides governance,
strategic planning, and sponsorship for the organisation’s cybersecurity activities

### 3.3 Asset, change, and configuration management (ACM)

Manage the organisation’s OT and IT assets, including both hardware and software,
commensurate with the risk to critical infrastructure and organisational objectives.

### 3.4 Identify and access management (IAM)

Create and manage identities for entities that may be granted logical or physical access
to the organisation’s assets. Control access to the organisation’s assets

### 3.5 Information Sharing and Communication (ISC)

Establish and maintain relationships with internal and external entities to collect and
provide cybersecurity information, including threats and
[vulnerabilities](https://www.corbado.com/glossary/vulnerability)

### 3.6 Threat and Vulnerability Management (TVM)

Establish and maintain plans, procedures, and technologies to detect, identify, analyse,
manage and respond to cybersecurity threats

### 3.7 Situational Awareness (SA)

Establish and maintain activities and technologies to collect, analyse, alarm, present,
and use operational and cybersecurity information

### 3.8 Event and Incident Response, Continuity of Operations (IR)

Establish and maintain plans, procedures, and technologies to detect, analyse, and respond
to cybersecurity events and to sustain operations throughout a cybersecurity event

### 3.9 Supply Chain and External Dependencies Management (EDM)

Establish and maintain controls to manage the cybersecurity risks associated with services
and assets that are dependent on external entities

### 3.10 Workforce Management (WM)

Establish and maintain plans, procedures, technologies, and controls a culture of
cybersecurity and to ensure that ongoing suitability and competence of personnel

### 3.11 Australian Privacy Management (APM)

Establish and maintain plans, procedures, and technologies to reduce privacy related risks
and manage personally identifiable information through its lifecycle

Apart from the domains there are also three versions of the AESCSF which participants can
select based on their criticality to the energy sub-sectors in which they operate:

### 3.12 Versions of the AESCSF

1. **AESCSF version 2, full assessment (v2):** suited to medium and high criticality
   organisations and lower criticality organisations who are experienced with the AESCSF

2. **AESCSF version 1, full assessment (v1):** minimum standard for medium and high
   criticality organisations. May also suit lower criticality organisations that are still
   maturing or that don’t have the resources to complete the v2 assessment

3. **AESCSF version 2, full assessment (v2 lite):** minimum standard for medium and high
   criticality organisations. May also suit lower criticality organisations that are still
   maturing or that don’t have the resources to complete the v2 assessment

![AESCF implementation steps](https://www.corbado.com/website-assets/AESCF_0869dcdd3c.png)

## 4. How can Passkeys help with AESCSF compliance?

From the domains used in the AESCSF, passkeys most directly and obviously improve your
**Identity and Access Management (IAM)** domain. In practice, however, rolling out a
[phishing](https://www.corbado.com/glossary/phishing)‐resistant login solution (like passkeys) also creates
positive ripple effects in several other domains:

### 4.1 Improvement of Identity and Access Management

- Passkeys strengthen access control by moving away from shared-secret (password)
  authentication to a cryptographic approach

- Authentication via passkeys relies on multifactor authentication that is seamless for
  the user (no waiting for OTPs to arrive or [authenticator](https://www.corbado.com/glossary/authenticator) apps
  to load) and provides [phishing](https://www.corbado.com/glossary/phishing)

- Passkeys are unique to each service so bad habits users tend to have with passwords
  (reuse, sharing, using easy passwords) is avoided completely

The AESCSF’s Identify & Access Management domain explicitly calls for “secure
authentication” and ensuring “access to the organization’s assets is commensurate with
risk.” By removing a major threat vector (password compromise) and enforcing strong
cryptographic authentication, passkeys directly meet this requirement.

### 4.2 Improvement of Risk Management

By replacing passwords with cryptographic passkeys, you greatly reduce the risk of
credential compromise. This aligns precisely with AESCSF’s focus on ensuring only the
right people (or machines) have access to sensitive OT/IT assets.

### 4.3 Improving Cybersecurity Program Management

Adopting passkeys is often part of an overarching modernization effort or “passwordless”
initiative, which signals a more mature cybersecurity program.

## 5. Conclusion

Similar to other attempts of the Australian [government](https://www.corbado.com/passkeys-for-public-sector)
(Australias [Scam Safe Accord](https://www.corbado.com/blog/australia-scam-safe-accord), Essential Eight
Framework, [Cyber Security Bill](https://www.corbado.com/blog/cyber-security-bill-australia)) to secure
infrastructure from cyber attacks, the AESCS framework is another step in the right
direction. In this blog post, we analyzed the AESCS framework that is currently present in
the energy sector. The main questions we answered:

- **What is the AESCSF and who is impacted by it?** The Australian Energy Sector Cyber
  Security Framework (AESCSF) is a cybersecurity framework designed for the Australian
  energy sector, impacting organizations within the energy, gas, and liquid fuel sectors
  by providing guidelines to assess, evaluate, and improve their cybersecurity
  capabilities and maturity.

- **Which domains does it cover and what regulations are there?** The AESCSF covers 11
  domains, including Identity and Access Management while aligning with various
  regulations and standards such as the Australian Privacy Principles, Notifiable Data
  Breaches scheme, and international frameworks like [NIST](https://www.corbado.com/blog/nist-passkeys) CSF and
  ISO/IEC 27001.

- **How do passkeys help stay compliant with the IAM domain of AESCSF** Passkeys help
  organizations stay compliant by providing a secure,
  [phishing](https://www.corbado.com/glossary/phishing)-resistant authentication method that aligns with best
  practices for multi-factor authentication, thereby enhancing the security and integrity
  of access controls within the energy sector.

## Frequently Asked Questions

### What does AESCSF's IAM domain specifically require for authentication?

AESCSF's IAM domain explicitly requires 'secure authentication' and access controls
'commensurate with risk.' Passkeys satisfy this by using cryptographic credentials instead
of shared-secret passwords, eliminating credential reuse and phishing attack vectors
without adding friction from OTPs or authenticator apps.

### Which organizations are required to participate in AESCSF assessments?

AESCSF applies to organizations across electricity (generation, transmission, distribution
and retail), gas (production, transmission, bulk storage and retail) and liquid fuels
(extraction, transport, refinement and wholesale). Its incorporation into the Security of
Critical Infrastructure Act 2018 gives it national legal significance for Australian
energy entities.

### What are the three AESCSF assessment versions and how does an organization choose between them?

AESCSF offers v2 full assessment for medium and high criticality or experienced
organizations, v1 full assessment as the minimum standard for medium and high criticality
organizations and v2 lite for lower criticality organizations still maturing. Selection is
based on the Sector Criticality Assessment Tool rating, which ranges from 1 (lowest) to 3
(highest).

### How do passkeys improve AESCSF compliance beyond just the IAM domain?

Passkeys create compliance benefits across multiple AESCSF domains. Replacing passwords
with cryptographic authentication reduces credential compromise risk under the Risk
Management domain, and adopting a passwordless initiative signals program maturity under
the Cybersecurity Program Management domain.
