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Post by dieseltojo on Dec 17, 2022 9:05:55 GMT 10
ING Bank pays penalties for alleged breaches of Consumer Data Right Rules 16 December 2022
ING Bank (Australia) Limited has paid penalties totalling $53,280 for allegedly failing to comply with Consumer Data Right (CDR) Rules and making a false or misleading representation to consumers, after the ACCC issued it with four infringement notices.
The ACCC alleges that ING Bank missed three important legislated deadlines and made a misleading statement to consumers on its website about the reliability and security of its CDR service.
The CDR is an economy-wide data sharing program that enables Australians to leverage the data businesses hold about them for their own benefit. It has commenced in the banking and energy sectors.
The transfer of consumer data is at the direction of consumers.
Under the CDR Rules, ING was required to be in a position to share data for certain financial products by specific deadlines. This included data relating to residential home loans by 1 November 2021, and data relating to joint accounts by 1 October 2022.
The ACCC alleges that ING Bank did not meet all of these obligations as required. This meant ING Bank was not able to facilitate certain consumer data sharing, as it was not capable of receiving consumer data requests from accredited data recipients acting on behalf of consumers.
The ACCC alleges that by failing to meet its obligations, ING potentially denied its customers the full benefits of being able to use the CDR program.
“Under the CDR, consumers have a right to safely and securely share certain data with accredited providers, including fintech firms and other third parties, who in turn can use that data to create better customised products and services for the consumer,” ACCC Commissioner Peter Crone said.
“Unlike customers of most other banks, many ING customers were not able to fully benefit from the services of accredited businesses using their CDR data.”
“Allowing consumers to share CDR data relevant to these services, including those relating to financial management and comparison tools, is important, especially given current cost of living pressures and rising interest rates,” Mr Crone said.
“All data holders are reminded that failure to comply with the CDR Rules will result in scrutiny by the ACCC and may result in enforcement action, with potentially serious consequences including infringement notices or court proceedings.”
The ACCC also alleged that ING Bank breached the Australian Consumer Law by making a false or misleading representation on its website. Between 28 October 2021 and 2 February 2022, ING Bank represented its accredited person request service had been operational since 1 July 2021 and was therefore a reliable and secure system for customers to use to share data, when this was not the case.
“All CDR participants are warned that any claims about the CDR must be accurate and able to be substantiated, or they risk breaching the Australian Consumer Law, which can attract significant penalties if the ACCC commences court proceedings,” Mr Crone said.
ING Bank removed the allegedly false or misleading representation from its website after the ACCC raised its concerns.
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Post by dieseltojo on Dec 20, 2022 9:52:31 GMT 10
Some of the articles re ACCC may not be about Carvans etc. But we have great long standing members all over and this might be usefull info to them. It may be only of general interst to others.
No need for reply please.
Insurance premiums in northern Australia remain high ahead of insurers joining reinsurance pool 20 December 2022
Insurance affordability remains a significant issue in northern Australia and other high cyclone risk areas, according to the ACCC’s first insurance monitoring report.
The report finds that policyholders in those regions face much higher premiums on average, and that those premiums have increased much more quickly than for the rest of the country over the past decade.
The ACCC has been tasked with monitoring the effects of the government’s new cyclone and cyclone-related flood damage reinsurance pool, which is operated by the Australian Reinsurance Pool Corporation. This first report examines the current state of the market and sets a baseline of prices and costs before insurers join the pool.
The pool commenced operations in July 2022 and is intended to improve the affordability and accessibility of insurance for householders, strata properties and small businesses in cyclone-prone areas, by reducing the cost of reinsurance.
Participation in the scheme will be mandatory for insurers, although there is a transition period, with large insurers required to join by the end of 2023 and smaller insurers by the end of 2024. To date, no insurers have started using the pool.
The report notes that one insurer is set to partly join the pool in early 2023. However, many appear likely to enter the pool closer to their legislative deadlines.
“This first report forms a reference point to assess the actual impact of the pool on premiums and the savings it may generate for policyholders in northern Australia, as insurers start joining the pool,” ACCC Commissioner Peter Crone said.
The report finds that in 2021-22:
the average premium for residential combined building and contents insurance in northern Australia was about $2,370, more than $1,000 above the average across the rest of Australia the average premium for strata insurance in northern Australia was about $5,740, almost double that of the rest of Australia (about $2,940) the average premium for small business building and contents insurance in northern Australia was about $3,160, almost double that of the rest of Australia (about $1,610).
The report also notes that many insurers have identified challenges in joining the pool, such as the legislative definition of the pool’s claims coverage period and difficulties with adjusting their existing reinsurance arrangements.
“As insurers join the reinsurance pool, we will monitor market developments closely to assess the pool’s impact on reinsurance costs and other premium components, and the ultimate effect on the prices faced by policyholders,” Mr Crone said.
“In our future reports, we will also examine broader insurance market issues, such as the number of insurers present in cyclone-prone regions.”
The findings in this first monitoring report come after the ACCC’s final report from the Northern Australia Insurance Inquiry between 2017 to 2020, which contained 38 recommendations to address insurance affordability and availability issues in northern Australia.
Background
On 12 January 2022, the Assistant Treasurer issued a direction to the ACCC, to monitor prices, costs and profits relating to the supply of insurance cover to residential, strata and small business premises and contents before and after the introduction of a cyclone and related-flood damage reinsurance pool. This is the first report under this direction.
On 31 March 2022, Parliament amended the Terrorism and Cyclone Insurance Act to establish a cyclone and related-flood damage reinsurance pool. The pool is administered and operated by the Australian Reinsurance Pool Corporation (ARPC).
Reinsurance is effectively insurance for insurers. Reinsurance is a risk management tool designed to protect insurers from large financial losses when paying out claims to policyholders. In return for transferring risk to reinsurers, insurers pay reinsurance premiums.
A government reinsurance pool, such as that run by the ARPC, is an entity which is owned, run, funded and/or backed by government, and offers reinsurance to insurers for specific risk types (such as, in this case, cyclones and related damage). Insurers pay a reinsurance premium to transfer risks associated with the particular perils onto the government. Release number: 195/22
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Post by dieseltojo on Dec 21, 2022 11:11:54 GMT 10
ACCC decides not to grant authorisation for Telstra and TPG regional network deal 21 December 2022
The ACCC has decided not to authorise proposed regional mobile network arrangements between Telstra Corporation Limited (ASX:TLS and ASX:TL1) and TPG Telecom Limited (ASX:TPG).
Under the statutory test, the ACCC must not grant authorisation unless it is satisfied the proposed arrangements would not be likely to substantially lessen competition, or that the likely public benefits from the arrangements would outweigh the likely public detriments.
After an extensive public consultation and investigatory process, the ACCC is not satisfied under either of these tests and therefore cannot grant authorisation.
“We examined the proposed arrangements in considerable detail. While there are some benefits, it is our view that the proposed arrangements will likely lead to less competition in the longer term and leave Australian mobile users worse off over time, in terms of price and regional coverage,” ACCC Commissioner Liza Carver said.
“Mobile networks are of critical importance to many aspects of our lives, including our livelihood, our wellbeing and our ability to keep in touch with friends and family. Any reduction in competition will have very wide-ranging impacts on customers, including higher prices and reduced quality and coverage,” Ms Carver said.
“Mobile network operators compete on price and a user’s package inclusions, but importantly, they also compete on coverage, speed and other quality dimensions that are directly influenced by the nature and extent of their underlying network infrastructure,”
“Entering into the arrangements proposed by Telstra and TPG will represent a significant change to the structure of the market that would have long-term consequences.”
The ACCC today released its determination and an executive summary of its reasons. The full reasons will be released tomorrow following confidentiality checks with relevant parties. Negative impact on coverage, network quality and innovation likely
Under their proposed arrangements, TPG would decommission or transfer its mobile sites in regional and urban fringe areas to Telstra. TPG would then acquire mobile network services from Telstra. TPG would give Telstra access to most of its regional spectrum. By using part of the Telstra network, TPG’s coverage would increase from 96 per cent to 98.8 per cent of the population.
“The proposed arrangements would lead to some short-term benefits from an improvement in TPG’s network coverage, and some cost savings and efficiencies for TPG and Telstra. However, the enduring and more substantial impact of the proposed arrangements would be to lessen infrastructure-based competition which would make consumers, including those in regional areas, worse off over time,” Ms Carver said.
“Competition between separate mobile networks drives companies to improve coverage for mobile users and to offer new technologies to more areas. For example, when Optus improves its regional network, Telstra responds by improving its network to maintain its market position,” Ms Carver said.
“Infrastructure competition is what drives investments by mobile companies in broader, deeper and faster mobile coverage. We have looked beyond the potential short-term effects to consider the long-term impact from the reduced incentive to innovate and improve networks. We have concluded the proposed arrangements would likely significantly weaken this competitive process,”
Telstra submitted that the increased spectrum it would obtain from TPG as part of the arrangements would enable it to reduce congestion in regional areas. The ACCC carefully investigated these claims.
“It is unclear the extent to which the additional spectrum would assist Telstra with alleviating congestion in regional areas, as the ACCC found that without the proposed arrangements Telstra has alternative ways to alleviate that congestion. It is unlikely that the proposed arrangements would materially improve Telstra’s ability to serve regional Australia. Instead, it would likely reduce the incentive for mobile companies to improve their service and coverage in regional areas.” Entrenching Telstra’s dominant position in the mobile market
The ACCC also considered the competitive impact of Telstra controlling more spectrum, a critical input for mobile networks. There is limited spectrum suitable for carrying mobile signals so mobile companies pay high prices for spectrum licences.
The proposed agreements would result in Telstra gaining access to most of TPG’s spectrum in regional areas and urban fringe areas, meaning Telstra would have a high proportion of key spectrum in those areas.
“Telstra is already the strongest mobile network operator in Australia and has a very high share of regional customers. We consider that the proposed arrangements would lock up valuable spectrum with Telstra, raising barriers to entry and expansion and reducing the incentives and ability of rivals to compete,” Ms Carver said.
“Telstra and TPG are proposing the arrangements at a time when each of Telstra, TPG and Optus are competing in the roll-out of 5G infrastructure including in regional areas. After careful consideration of all the information available to us, including internal confidential information from the carriers, we consider that there is a real risk that TPG and Optus will invest less in critical infrastructure than they would if the proposed arrangements do not proceed.” Thorough review with many conflicting submissions received
The ACCC engaged in an extensive public consultation and investigatory process, considering a substantial volume of internal documents, more than 170 submissions, and 40 witness statements and expert reports. There were strongly competing views expressed by interested parties.
“When assessing the proposed arrangements, we are principally concerned with the impact on the competitiveness of the market overall, not the impact on any individual firm. It is the overall competitive process which protects the interests of consumers,” Ms Carver said.
“While Telstra and TPG have claimed the agreements will immediately lead to more choice for customers and better coverage for TPG customers, this misses the more significant impact on consumers which is that the reduction in competition in the longer-term will likely lead to higher prices, less innovation and quality of service, and less competitive pressure to expand and improve networks.” Undertakings did not address concerns or improve public benefits
During the ACCC’s consideration of the application, Telstra and TPG offered court-enforceable undertakings intended to address the ACCC’s preliminary concerns.
The undertakings proposed that the ACCC could reassess the competitive effects of the proposed arrangements within eight years, and that TPG would not terminate leases or licences for 300 mobile sites in the relevant regional area.
“After careful consideration, we determined that these undertakings did not change whether the ACCC was satisfied of the relevant competition or public benefit tests against which the ACCC must assess a proposed merger authorisation,” Ms Carver said.
“The proposed arrangements would have an immediate impact on infrastructure competition in Australia and that impact would endure. Even if the arrangements were terminated after eight years, it would be too late to unwind the negative competitive impact.”
Further details are available at: Telstra Corporation Limited and TPG Telecom Limited proposed spectrum sharing Background
This application was made on 23 May 2022 under section 88(1) of the Competition and Consumer Act 2010 (Cth) (the Act).
The Applicants seek merger authorisation for the contractual authorisation of Telstra (pursuant to the Spectrum Authorisation Agreement) to operate radiocommunications devices under TPG’s spectrum licences. Such a contractual authorisation is deemed by section 68A of the Radiocommunications Act 1992 (Cth) to be an acquisition for the purposes of section 50 of the Act.
The Spectrum Authorisation Agreement is interrelated with two other agreements: the MOCN Service Agreement and the Mobile Site Transition Agreement. As the agreements are interrelated and linked, they were considered together.
Under the agreements, TPG will authorise Telstra to use spectrum held by TPG, and Telstra provides TPG with active mobile network services in the Regional Coverage Zone. The Regional Coverage Zone is made up of certain regional and urban fringe areas in which approximately 17 per cent of the Australian population resides and corresponds to the 81.4 per cent to 98.8 per cent population coverage area. TPG currently provides its customers with coverage of 96 per cent of the population, meaning its coverage would increase by about 2.8 per cent to 98.8 per cent.
TPG will decommission its network in the Regional Coverage Zone, other than 169 of its existing mobile sites which will be taken up by Telstra.
The initial term is 10 years and TPG has two options to extend the agreement by five years, and an option for a transition period of three years.
Section 88(1) of the CCA confers on the ACCC a discretionary power to authorise conduct:
Subject to this Part [Part VII], the Commission may, on an application by a person, grant an authorisation to a person to engage in conduct, specified in the authorisation, to which one or more provisions of Part IV specified in the authorisation would or might apply.
That discretion is enlivened when either of the necessary conditions or ‘statutory preconditions’ in section 90(7) are met. Section 90(7) relevantly provides:
The Commission must not make a determination granting an authorisation under section 88 in relation to conduct unless:
(a) the Commission is satisfied in all the circumstances that the conduct would not have the effect, or would not be likely to have the effect, of substantially lessening competition; or
(b) the Commission is satisfied in all the circumstances that:
(i) the conduct would result, or be likely to result, in a benefit to the public; and
(ii) the benefit would outweigh the detriment to the public that would result, or be likely to result, from the conduct; or […] Release number: 196/22
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Post by dieseltojo on Jan 17, 2023 12:45:44 GMT 10
Interim guidelines for gas industry after temporary price cap comes into force 17 January 2023
The ACCC has today published interim compliance and enforcement guidelines for the gas industry on the new Gas Market Emergency Price Order and explaining how the ACCC intends to exercise its enforcement role.
In December 2022, the Australian Government’s Gas Market Emergency Price Order introduced a temporary price cap of $12 per gigajoule (GJ) that principally applies to gas sold by east coast and Northern Territory gas producers and their affiliates to wholesale customers in Australia. The price cap will apply for 12 months.
“Our guidelines are intended to support the gas industry with their obligations to comply with the new laws, so the country experiences the intended benefits from these emergency measures,” ACCC Chair Gina Cass-Gottlieb said.
“While our primary objective is to achieve compliance with these laws, we are ready to exercise our enforcement powers in response to any alleged contraventions, particularly if we become aware of conduct that may be intended to circumvent the price cap.”
The maximum penalty for a company that breaches the emergency price order is the greater of $50 million or three times the value of the benefit obtained, or, if that value cannot be determined, 30 per cent of the company’s turnover during the period it engaged in the conduct.
The price cap generally does not apply to supply contracts entered into before 23 December 2022 but may apply if a price provision in an agreement for supply in 2023 is varied. The price cap does not apply to sales of gas intended for international export.
The Gas Market Emergency Price Order allows gas producers and their affiliates to apply to the ACCC for a price cap exemption. Any parties that are granted an exemption will be listed on the ACCC’s public register.
As the ACCC hears from gas producers and users about their commercial negotiations with the price cap in operation, or observes matters of relevance to the operation of the new laws, it may update the guidelines if there are aspects that warrant refinement or clarification.
The interim compliance and enforcement guidelines are available at gas price cap.
Background
In December 2022, the Competition and Consumer Act (CCA) was amended to introduce a new part that relates to the gas market. Under it, the Minister can make orders, known as emergency gas market price orders, regulating the terms (including prices) on which gas is supplied or acquired.
On 23 December 2022, the Competition and Consumer (Gas Market Emergency Price) Order 2022 came into effect. The Order sets a price cap of $12 per gigajoule for a period of 12 months, governing the price of gas sold by gas producers to commercial and industrial users in Australia, such as manufacturers, gas-fired power plants, and energy companies.
The CCA was also amended to prohibit specified conduct engaged in for the purpose of avoiding the application of an order and to allow for a mandatory code of conduct to be introduced.
The ACCC is responsible for enforcing these new laws.
The ACCC’s ongoing monitoring role will highlight the cap’s impact on prices being paid by end users and inform a review to be conducted after the price cap has been in effect for six months. Release number: 03/23
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Post by dieseltojo on Jan 27, 2023 7:40:45 GMT 10
ACCC social media sweep targets influencers 27 January 2023
The ACCC has this week started a sweep to identify misleading testimonials and endorsements by social media influencers. It will also look at more than 100 influencers mentioned in over 150 tip-offs from consumers who responded to the ACCC’s Facebook post asking for information.
Most of the tip-offs from members of the public were about influencers in beauty and lifestyle, as well as parenting and fashion, failing to disclose their affiliation with the product or company they are promoting.
“The number of tip-offs reflects the community concern about the ever-increasing number of manipulative marketing techniques on social media, designed to exploit or pressure consumers into purchasing goods or services,” ACCC Chair Gina Cass-Gottlieb said.
“We want to thank the community for letting us know which influencers they believe might not be doing the right thing,” Ms Cass-Gottlieb said.
“Already, we are hearing some law firms and industry bodies have informed their clients about the ACCC’s sweep, and reminded them of their advertising disclosure requirements,” Ms Cass-Gottlieb said.
The sweep is being run over the coming weeks as part of the ACCC’s compliance and enforcement priorities for 2022/23, with the broad aim of identifying deceptive marketing practices across the digital economy.
As part of the sweep, the ACCC team is reviewing a range of social media platforms including Instagram, TikTok, Snapchat, YouTube and Facebook, and livestreaming service, Twitch. The sweep is targeting sectors where influencer marketing is particularly widespread including fashion, beauty and cosmetics, food and beverage, travel, health fitness and wellbeing, parenting, gaming and technology.
In conducting the sweep, the ACCC is also considering the role of other parties such as advertisers, marketers, brands and social media platforms in facilitating misconduct.
“With more Australians choosing to shop online, consumers often rely on reviews and testimonials when making purchases, but misleading endorsements can be very harmful,” Ms Cass-Gottlieb said.
“It is important social media influencers are clear if there are any commercial motivations behind their posts. This includes those posts that are incentivised and presented as impartial but are not. The ACCC will not hesitate to take action where we see consumers are at risk of being misled or deceived by a testimonial, and there is potential for significant harm.
This action may include following up misconduct with compliance, education and potential enforcement activities as appropriate.”
Many consumers are aware that influencers receive a financial benefit for promoting products and services. However, the ACCC remains concerned that influencers, advertisers and brands try to hide this fact from consumers, which prevents them from making informed choices. This can particularly apply to micro influencers with smaller followings, as they can build and maintain a more seemingly authentic relationship with followers to add legitimacy to hidden advertising posts. The ACCC is therefore monitoring a mix of small and larger influencers in the sweep.
This sweep follows a similar initiative carried out in 2022, which focused on identifying misleading online reviews and testimonials posted on business’ websites, their social media pages and third-party review platforms. A report outlining the findings from 2022 will be published in the coming months.
“Online markets need to function well to support the modern economy. Part of that is ensuring consumers have the confidence they need to make more informed purchasing decisions,” Ms Cass-Gottlieb said.
The ACCC will publish the findings of this sweep once the results have been analysed.
Background
Each year, the ACCC announces a list of Compliance and Enforcement priorities. These priorities outline the areas of focus for the ACCC’s compliance and enforcement activities for the following year. As part of the 2022/23 Compliance and Enforcement Priorities, the ACCC is prioritising both consumer and fair-trading issues in relation to issues relating to manipulative or deceptive advertising and marketing practices in the digital economy.
The ACCC is also conducting the Digital Platform Services Inquiry that is focused on the provision of social media services, including sponsored posts and influencer advertising on social media platforms. We will provide the sixth interim report on social media services to the Treasurer by 31 March 2023.
There are also industry led practices and guidelines which provide a standard for Australian influencer businesses and advertisers. For example, the Australian Association of National Advertisers provides guidance on what can be considered clearly distinguishable advertising. The Australian Influencer Marketing Code of Practice also outlines best practice for companies engaging in influencer marketing, including in disclosing advertisements.
Other regulators such as the Australian Securities and Investments Commission, the Therapeutic Goods Administration and the Australian Health Practitioner Regulation Authority are also responsible for regulating influencer conduct in their areas of jurisdiction. The ACCC engages with these regulators to determine which is best placed to take action in relation to any misleading or deceptive conduct. Release number: 5/23
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Post by dieseltojo on Feb 24, 2023 9:23:40 GMT 10
Product Safety Pledge removes thousands of dangerous items from online marketplaces 24 February 2023
More than 15,000 potentially unsafe products were delisted by online marketplaces signed up to the ACCC’s Australian Product Safety Pledge last financial year, with 98 per cent of regulator-initiated take down requests actioned within 2 days.
Pledge signatories also used artificial intelligence, image recognition and automated scanning to prevent hundreds of thousands of unsafe products from being listed for sale in the first place.
“We are pleased to see that pledge signatories continue to use innovative techniques to detect and remove unsafe products from their platforms and prevent them being listed at all,” ACCC Deputy Chair Catriona Lowe said.
“We are encouraged to see signatories taking active steps to create a safer shopping experience for Australian consumers.”
“We urge other online marketplaces to put product safety first by signing up to the pledge,” Ms Lowe said.
The pledge is a voluntary initiative that commits signatories, currently AliExpress, Amazon Australia, Catch.com.au, eBay Australia and MyDeal.com.au, to actively improve product safety online well beyond the current legal requirements and report annually to the ACCC on their performance.
The second annual report, released today, details how signatories performed against 12 product safety commitments and shows that innovative use of technology, combined with education and communication measures promoted seller compliance.
“Educating sellers about unsafe or recalled products and using automated systems to detect and block unsafe products before an item is listed helps keep unsafe products from ending up online,” Ms Lowe said.
“While platforms quickly removed unsafe products after we contacted them, we would like to see fewer unsafe and non-compliant products being listed in the first place.”
“If you’re selling goods online, it’s your responsibility to check the products are safe and comply with Australian product safety laws,” Ms Lowe said.
“Consumers need to be aware that banned, recalled, non-compliant and unsafe products continue to be available for sale online.”
A 2021 international online sweep(link is external) by the Organisation for Economic Co-operation and Development (OECD) inspected 1196 banned and recalled products and found that 1044 products remained available to purchase online.
“Consider product safety when shopping online and try to read seller and product reviews about the product you’re purchasing.” Ms Lowe said.
Consumers are also encouraged to visit the Product Safety Australia website for tips about shopping safely online and information on mandatory safety requirements and recalled products. Background
The Australian Product Safety Pledge is modelled on a similar successful initiative in the European Union, the EU pledge.
The Australian pledge was launched in November 2020, following years of engagement with the four original signatories (AliExpress, Amazon Australia, Catch.com.au and eBay Australia) on improving product safety. MyDeal.com.au signed up to the pledge in April 2021.
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Post by dieseltojo on Feb 27, 2023 14:28:46 GMT 10
Aussie Skips and CEO plead guilty to alleged waste services price fixing cartel 27 February 2023
Sydney waste companies, Aussie Skips Recycling and Aussie Skips Bin Services (together Aussie Skips), along with its chief executive Emmanuel Roussakis have today each pleaded guilty in the Federal Court to a criminal cartel offence following charges laid by the Commonwealth Director of Public Prosecutions (CDPP) last December.
The charges relate to allegations that in mid-2019, Aussie Skips and Bingo Industries agreed to increase and fix prices for the supply of skip bins and processing services for building and demolition waste in Sydney. The case was investigated by the ACCC and then referred to the CDPP, which laid criminal charges.
Bingo and its former Managing Director and CEO, Mr Daniel Tartak have previously entered guilty pleas in relation to the same cartel.
“Cartels are illegal because they can cause serious economic damage to the economy. This is also the reason why the ACCC takes investigations into cartel conduct seriously and will continue to refer matters to the CDPP when appropriate,” ACCC Deputy Chair Mick Keogh said.
The matter will now proceed to a sentencing hearing for Aussie Skips and Mr Roussakis in the Federal Court on 22 to 23 May 2023.
As these are criminal matters currently before the Court, the ACCC will not provide further comment at this time. Background
Aussie Skips Bin Services and Aussie Skips Recycling are Sydney-based waste management businesses that supply skip bins and waste processing services for building and demolition waste respectively.
Bingo is a waste management company providing landfill, waste processing and skip bins services throughout New South Wales, Victoria and Queensland.
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Post by dieseltojo on Mar 3, 2023 12:44:27 GMT 10
ACCC ‘greenwashing’ internet sweep unearths widespread concerning claims 2 March 2023
The ACCC will be investigating a number of businesses for potential ‘greenwashing’, following an internet sweep which found more than half of the businesses reviewed made concerning claims about their environmental or sustainability practices.
Of the 247 businesses reviewed during the sweep, 57 per cent were identified as having made concerning claims about their environmental credentials. The cosmetic, clothing and footwear and food and drink sectors were found to have the highest proportion of concerning claims among the industries targeted in the operation. Other sectors examined also had a significant proportion of concerning claims.
"Our sweep indicates a significant proportion of businesses are making vague or unclear environmental claims. This warrants further scrutiny," ACCC Deputy Chair Catriona Lowe said.
"Consumers are now, more than ever, making purchasing decisions on environmental grounds. Unfortunately, it appears that rather than making legitimate changes to their practices and procedures, some businesses are relying on false or misleading claims. This conduct harms not only consumers, but also those businesses taking genuine steps to implement more sustainable practices."
"Businesses using broad claims like ‘environmentally friendly’, ‘green’, or ‘sustainable’ are obliged to back up these claims through reliable scientific reports, transparent supply chain information, reputable third-party certification or other forms of evidence."
"Where we have concerns, we will be asking businesses to substantiate their claims," Ms Lowe said.
"Already, we have several active investigations underway across the packaging, consumer goods, food manufacturing and medical devices sectors for alleged misleading environmental claims and these may grow, as we continue to conduct more targeted assessments into businesses and claims identified through the sweep. We will take enforcement action where it is appropriate to do so as it is critical that consumer trust in green claims is not undermined."
The ACCC will also conduct a range of education activities with businesses, including updating economy-wide guidance material, in addition to targeted guidance for specific sectors.
"The sweep has helped inform our forthcoming guidance about what steps businesses need to take to improve the integrity of their environmental claims," Ms Lowe said.
"We want to see businesses taking steps to ensure that environmental claims are accurate as well as meaningful for consumers. Our sweep has shown that claims are most useful where they are relevant, clear, reliable and transparent."
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Post by dieseltojo on Mar 24, 2023 10:44:15 GMT 10
International factors kept diesel prices significantly higher than petrol prices 24 March 2023
Petrol prices increased slightly and diesel prices remained significantly higher than petrol prices in the December quarter 2022, according to the ACCC’s latest quarterly petrol monitoring report.
Quarterly average retail petrol prices in the five largest cities (Sydney, Melbourne, Brisbane, Adelaide and Perth) were 182.7 cents per litre (cpl), an increase of 5.0 cpl from the September quarter 2022. Average retail diesel prices were 222.9 cpl in the quarter, more than 40.0 cpl higher than average petrol prices.
“Our report shows a range of international factors contributed to higher retail diesel prices in Australia,” ACCC Chair Gina Cass-Gottlieb said.
“The small increase in average retail petrol prices in the major cities reflects the increase in taxes following the restoration of the full rate of excise from 29 September 2022, offset by a decline in international petrol prices.”
Diesel prices exceeded petrol prices due to higher international prices
The report shows that retail diesel prices continued to exceed petrol prices in the quarter due to the higher international refined diesel prices since the Russian invasion of Ukraine.
Reduced supplies of diesel from Russia, and from France due to refinery strikes, combined with increased demand for heating in the northern hemisphere winter kept diesel prices high.
Retail fuel prices in Australia are largely determined by international refined fuel prices, which are influenced by international crude oil prices, and the AUD–USD exchange rate. The following chart shows average international refined diesel prices (Gasoil 10 ppm prices) and international refined petrol prices (Mogas 95), in Australian cents per litre.
Monthly average Gasoil 10 ppm and Mogas 95 prices in nominal terms: January 2020
Monthly average Gasoil 10 ppm and Mogas 95 prices in nominal terms: January 2020 Source: ACCC calculations based on data from Argus Media and the Reserve Bank of Australia (RBA).
Notes: The shaded area in the chart represents the December quarter 2022. The green dotted line indicates when the Russian invasion of Ukraine began (20 February 2022).
“Russia’s invasion of Ukraine led to international diesel prices moving higher than petrol in early 2022. While international refined fuel prices reduced in the December quarter, the difference between the diesel and petrol benchmarks continued,” Ms Cass-Gottlieb said.
The increase in average petrol prices largely reflected the restoration of full excise
Petrol and diesel excise was halved in March 2022. When the excise cut ceased from 29 September, the rate of excise increased from 23.0 cpl to 46.0 cpl.
Changes in the three broad components of average retail petrol prices in the major cities largely reflect the increase in taxes (that is, both excise and GST) following the excise restoration.
Quarterly average changes in the components of retail petrol prices in the five largest cities: December quarter 2022
Quarterly average changes in the components of retail petrol prices in the five largest cities: December quarter 2022
Crude oil prices continued to decrease in the December quarter amid concerns about a potential global recession, rising interest rates and lower demand.
“Despite lower international prices, the influence of the fully restored fuel excise and a lower AUD-USD exchange rate meant overall that average retail petrol prices across the largest cities were slightly higher than in the previous quarter,” Ms Cass-Gottlieb said.
The following chart shows movements in seven-day rolling average retail petrol prices in the five largest capital cities from 1 January 2020 to 31 December 2022. The chart also indicates when fuel excise was cut from 30 March 2022, and when it was restored from 29 September 2022.
Seven-day rolling average retail petrol prices in the five largest cities in nominal terms: 1 January 2020 to 31 December 2022 – cpl
Seven-day rolling average retail petrol prices in the five largest cities in nominal terms: 1 January 2020 to 31 December 2022 – cpl
Source: ACCC calculations based on data from FUELtrac. Notes: The shaded area in the chart represents the December quarter 2022. The 2 dotted lines indicate the cut in fuel excise from 30 March 2022 and the restoration of full excise from 29 September 2022.
Among the five largest capitals, average retail petrol prices were highest this quarter in Melbourne (185.2 cpl) and lowest in Adelaide (178.9 cpl). In the smaller capital cities, average retail petrol prices decreased in Canberra and Darwin by 7.4 cpl and 7.6 cpl, respectively, and increased in Hobart by 2.8 cpl.
Average petrol prices across the 190 regional locations the ACCC monitors were 187.0 cpl, an increase of 0.1 cpl from the September quarter 2022. Average regional prices were 4.3 cpl higher than average prices in the five largest cities, compared with 9.2 cpl higher in the September quarter.
Greater fuel price transparency welcomed in two jurisdictions
In November 2022, the NSW fuel price transparency scheme (FuelCheck) was expanded to include retail sites in the ACT as part of a six-month pilot. The Northern Territory Government also announced it would start publishing historical fuel price data to help motorists find outlets which have the lowest prices over time.
“The ACCC has long supported fuel price transparency schemes, so it is pleasing to see more motorists having access to real-time and comprehensive price information to help them save money on fuel,” Ms Cass-Gottlieb said.
Victoria is now the only jurisdiction in Australia without a real-time and comprehensive fuel price transparency scheme.
Note to editors
‘Petrol’ means regular unleaded petrol (RULP) unless otherwise specified.
Singapore Mogas 95 Unleaded (Mogas 95) is the relevant international benchmark for the wholesale price of petrol in Australia. Singapore Gasoil with 10 parts per million sulphur content (Gasoil 10 ppm) is the international benchmark for the wholesale price of diesel.
The ACCC uses a seven-day rolling average basis to analyse movements in daily retail petrol prices. A seven-day rolling average price is the average of the current day’s price and prices on the six previous days.
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Post by dieseltojo on Aug 30, 2023 17:49:46 GMT 10
I don't know what happened to my link to Accc but I am on it to renew our info line direct to their site....Yonder Gremlins me thinks...
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Post by dieseltojo on Sept 8, 2023 16:58:47 GMT 10
ttps://www.accc.gov.au/media-release/accc-court-action-against-eharmony-for-alleged-misleading-online-dating-membership-statements?utm_source=ACCC+media+alerts&ut
Date 7 September 2023 The ACCC has today commenced proceedings in the Federal Court against dating site eHarmony Inc, alleging it breached the Australian Consumer Law by making misleading statements about the pricing, renewal and duration of its memberships. The ACCC’s case relates to alleged misleading representations by eHarmony, including in relation to statements that it offered ‘free dating’, the automatic renewal of memberships, the failure to display accurate prices, and statements about ‘one month’ memberships and early cancellation options. The allegations relate to conduct dating back to at least November 2019, and the ACCC alleges that most of it is ongoing. “Dating apps provide important services that are used by many Australians to meet new people and make connections, and they have become an intrinsic part of many people’s social lives. These are personal services, and consumers may bring a different state of mind to these interactions than a commercial one. In addition, some consumers who use these apps may be more at risk from misleading or manipulative selling practices than they would be in other, less personal transactions,” ACCC Chair Gina Cass-Gottlieb said. “The ACCC has received hundreds of complaints from consumers about eHarmony and its memberships.” “We allege that eHarmony deprived consumers of the chance to make an informed choice about whether to join this dating service and how much to spend in doing so,” Ms Cass-Gottlieb said.
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Post by dieseltojo on Sept 21, 2023 17:10:33 GMT 10
www.accc.gov.au/media-release/gas-supply-outlook-for-first-quarter-2024-shows-likely-surplus?utm_source=ACCC+media+alerts&utm_campaign=398cfa5a8a-EMAIL_CAMPAIGN_2023_09_19_10_31&utm_medium=email&utm_term=0_0b94b1dddb-398cfa5a8a-%5BLIST_EMAIL_ID%5DDate 20 September 2023 Australia’s east coast gas market should have a 1.4 petajoule (PJ) surplus in the first quarter of 2024, even if the LNG producers export all their uncontracted gas, the ACCC’s September 2023 interim gas inquiry report shows. The report forecasts the supply and demand balance for the east coast market for wholesale gas between January and March next year, which is a period of high LNG export demand and reduced residential gas heating demand due to warmer weather. On a regional basis, Australia’s southern states are forecast to have about a three PJ surplus to meet local demand, but Queensland will need about one PJ of additional gas to meet its local demand if the LNG producers export all their uncontracted gas. “We expect gas swap arrangements will play an important role in balancing gas supply needs across 2024,” ACCC Commissioner Anna Brakey said. “The LNG producers have entered into gas swap arrangements with other gas businesses to access additional gas for export during the summer months. Under these arrangements, they will then return the gas to market in higher demand periods, such as the winter months.” Recent investments in key pipeline infrastructure have also made it easier to transport gas between northern and southern states, and additional upgrades currently underway are expected to be completed by winter next year. Chart 1: Quarterly supply demand outlook for quarter 1 2024 (PJ)
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Post by dieseltojo on Sept 22, 2023 15:09:52 GMT 10
www.accc.gov.au/media-release/energyaustralia-in-court-over-alleged-misleading-electricity-price-information?utm_source=ACCC+media+alerts&utm_campaign=b57a1f2489-EMAIL_CAMPAIGN_2023_09_21_11_35&utm_medium=email&utm_term=0_0b94b1dddb-b57a1f2489-%5BLIST_EMAIL_ID%5DDate 22 September 2023 The ACCC has today instituted proceedings in the Federal Court against EnergyAustralia for allegedly breaching the Electricity Retail Code and the Australian Consumer Law when notifying its customers of impending price changes. The Electricity Retail Code requires electricity retailers to communicate price information in a simple and standardised way, so consumers and small businesses can more easily compare plans across different energy companies. “With electricity prices increasing, and many Australians looking for a better deal, it’s crucial that the information people receive from their energy company is correct and can be relied upon,” ACCC Chair Gina Cass-Gottlieb said. “We have commenced this court action because we allege that EnergyAustralia’s conduct made it harder for people to accurately compare their electricity plan with offers from other retailers.” The ACCC alleges that between June and September 2022, EnergyAustralia breached the Code by failing to state the ‘lowest possible price’ when sending price change notices to customers. The lowest possible price is a mandatory estimate of the amount a representative customer would be charged in a year, based on model usage and assuming the conditions attached to any discounts will be met. The ACCC also alleges that EnergyAustralia made false or misleading representations in the estimates of annual costs that it provided to customers in price change notices, in breach of the Australian Consumer Law. Between July and September 2022, EnergyAustralia published 27 electricity price offers advertised on its website. The ACCC alleges that EnergyAustralia breached the Code by failing to state the lowest possible price, as well as failing to state the percentage difference to the reference price, which is a benchmark price set by the government. Retailers are required to state the percentage difference between their offer and the reference price in consumer communications, in order to provide a consistent benchmark that enables consumers to compare price offers. “Correspondence from energy companies often contains complex information that is hard for consumers to decipher, which is precisely the problem that the Electricity Retail Code was introduced to deal with,” Ms Cass-Gottlieb said. “Households cannot do genuine like-for-like comparisons between different electricity plans unless every energy company complies with the Code requirements on price offers. Non-compliance, particularly by a large company, can distort the process of shopping around for the best deal.” The ACCC identified EnergyAustralia’s conduct through an audit of electricity retailers’ compliance with the Code. The ACCC regularly checks whether retailers are complying with the Code and is currently undertaking further audits of electricity retailers’ correspondence with customers and the offers advertised on their websites, as part of its 2023-2024 compliance program. “It has now been more than four years since the Code was introduced, so there is really no excuse for retailers who do not have adequate programs in place to ensure they comply with their obligations under the Code,” Ms Cass-Gottlieb said. The ACCC is seeking penalties and declarations, costs, and other orders. Background
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Post by ancientmariner on Sept 22, 2023 19:04:26 GMT 10
Thanks Paul for keeping us informed over the years, well done.
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Post by dieseltojo on Oct 5, 2023 11:46:23 GMT 10
www.accc.gov.au/media-release/consumers-urged-to-use-and-store-lithium-ion-batteries-safely-to-prevent-deadly-fires?utm_source=ACCC+media+alerts&utm_campaign=1958b1f987-EMAIL_CAMPAIGN_2023_10_04_10_02&utm_medium=email&utm_term=0_0b94b1dddb-1958b1f987-%5BLIST_EMAIL_ID%5DDate 5 October 2023 The ACCC is warning consumers about rare but serious fire hazards from lithium-ion batteries and is asking consumers to choose, check, use and dispose of the batteries safely, in its latest report published today. Rechargeable lithium-ion batteries are contained in common household items, including most mobile phones, laptops, tablets, e-scooters, e-bikes and power tools. Whilst incidents are rare, they appear to be increasing and are serious when they occur. The batteries can overheat or explode if they are used, charged or disposed of incorrectly or if they are damaged, and fires caused by the batteries can be dangerous and difficult to extinguish. “We are concerned by increasing reports of lithium-ion battery fires resulting in property damage and serious injuries, including burns, chemical exposure and smoke inhalation,” ACCC Deputy Chair Catriona Lowe said. One Australian has reportedly died in a lithium-ion battery fire and the ACCC has received 231 product safety reports relating to lithium-ion batteries in the past five years. There have also been 23 recalls affecting an estimated 89,000 products on the market. Lithium-ion batteries are integral to achieving Australia’s transition to net zero emissions and a circular economy. The ACCC is seeking to demonstrate the importance of safe battery supply and design to support consumer confidence in the safety of lithium-ion products. “Managing lithium-ion battery safety is complex, and government, industry and consumers must tackle the challenge together. Our report makes recommendations to better protect consumers, and includes practical advice to reduce the risks associated with these batteries,” Ms Lowe said. “Consumers should avoid mixing and matching chargers, unplug products when fully charged and charge batteries in a cool, dry place and away from combustible materials like beds, lounges or carpet.” “Check your lithium-ion batteries for overheating signs of swelling, leaking or venting gas and immediately stop using your product if these signs are present,” Ms Lowe said. By 2026, it is estimated that a household will have on average 33 devices powered by lithium-ion batteries. As an increasing number of these products and batteries are disposed of, it’s critical there is adequate infrastructure for safe disposal. Lithium-ion batteries are more likely to catch fire when exposed to heat and moisture, or crushed – common conditions in garbage trucks and household waste facilities. “Consumers should keep lithium-ion batteries out of household rubbish and check recyclemate.com.au and bcycle.com.au for information about safe disposal,” Ms Lowe said. “We recommend that government and industry continue to develop solutions to ensure lithium-ion batteries are safely designed and can be sustainably disposed.”
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