Question 1 of 30
Consider a scenario where a municipal transit authority is implementing a new contactless payment system that utilizes facial recognition for fare validation. This system will collect and store facial biometric data from all passengers. What is the most critical initial step in conducting a Privacy Impact Assessment (PIA) for this system, as guided by ISO/IEC 29134:2017 principles, to ensure robust privacy protection?
Systematically identifying and documenting all potential privacy risks and their potential impact on individuals throughout the data lifecycle.
Developing a comprehensive communication plan to inform the public about the new system and its data handling practices.
Negotiating data-sharing agreements with third-party analytics providers to enhance service efficiency.
Establishing a robust data encryption protocol for the stored facial biometric data, assuming all other aspects are compliant.

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