The Australian Communications Consumer Action Network (ACCAN) has expressed significant concerns regarding the effectiveness of the current Telecommunications Consumer Protections (TCP) Code following the release of the latest draft on May 20. The Australian Competition and Consumer Commission (ACCC) has also addressed these concerns in their recent response to the draft. ACCAN has welcomed and supported the ACCC's comments, which highlight "fundamental shortcomings" in the draft that fail to offer adequate consumer protections.
ACCAN has actively participated in the review process of the TCP Code, and its views align with the ACCC's conclusions regarding the draft. ACCAN noted that telecommunications, being an essential service, should have robust protections explicitly incorporated in the Code. They agree with the ACCC's recommendation that "the ACMA should reject the draft Code and proceed to other regulatory options."
The ACCAN has repeatedly argued that the voluntary nature of the TCP Code, coupled with its sluggish enforcement, makes it ineffective in catering to the evolving needs of Australian consumers. The organisation stressed that its members and stakeholders lack confidence in the Code's ability to safeguard vulnerable consumers adequately. This includes individuals experiencing domestic and family violence, issues related to sales incentives and mis-selling, credit assessments, and payment options.
Dr Gareth Downing, Acting CEO of ACCAN, remarked that the ACCC’s comments underline that the current regulatory framework does not adequately protect communications consumers. "While the draft Code improves upon the first proposal, the test is not whether this draft improves on the existing TCP Code. The ultimate test for the ACMA is whether this Code will provide appropriate community safeguards for consumers," Dr Downing stated.
He added that "vulnerable consumers, including those experiencing domestic and family violence, currently have no effective protections under the current, or indeed proposed draft Code. In the event the draft Code were to advance, the current proposal won’t see protections for these consumers until some time in 2025. In the context of a national crisis of family violence, this is inadequate, inappropriate, and contrary to community expectations."
Dr Downing further pointed out that the ACCC, acknowledging the longstanding concerns of consumer advocates, deemed the TCP Code insufficient for protecting consumers of essential services. "We encourage the ACMA to recognise this feedback, and move to direct regulation as a means of securing better outcomes for consumers,” he said.
Looking ahead, ACCAN has expressed its eagerness to collaborate with government bodies, regulators, and industry stakeholders to significantly enhance consumer protections through the ongoing review process. "ACCAN looks forward to working with government, regulators and industry to substantially improve protections afforded to consumers through this process,” Dr Downing concluded.
