Paedophiles who 'groom' children using the internet could face up to 15 years in jail, under the proposals, and those who access child pornography could be imprisoned for 10 years, the Australian Government said.
"These new offences will provide an avenue to prosecute internet child pornography offenders Australia-wide under commonwealth law," ministers said in a statement.
The laws would also create offences for misusing the internet for offensive and menacing purposes, such as inciting riots or hoax terrorist threats.
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