198AA Reason for Subdivision 2
This Subdivision is enacted because the Parliament considers that:
(a) people smuggling, and its undesirable consequences including the resulting loss of life at sea, are major regional problems that need to be addressed; and
(b) offshore entry persons, including offshore entry persons in respect of whom Australia has or may have protection obligations under the Refugees Convention as amended by the Refugees Protocol, should be able to be taken to any country designated to be an offshore processing country; and
(c) it is a matter for the Minister to decide which countries should be designated as offshore processing countries; and
(d) the designation of a country to be an offshore processing country need not be determined by reference to the international obligations or domestic law of that country.
see full text of proposed amendments here