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Tag: ACCC

  • ACCC finds Brownes Dairy in breach of Dairy Code

    ACCC finds Brownes Dairy in breach of Dairy Code

    Brownes Dairy has been penalised $22,200 by the ACCC over two breaches of the Dairy Code of Conduct last year. Last year, the WA dairy producer published two standard form milk supply agreements on its website which failed to specify key terms such as a definite end date of the supply period, and allowing the company to unilaterally vary the terms of the agreement.

    “It is critical that processors take active steps to ensure compliance with the Dairy Code so that farmers have the certainty and transparency in relation to milk supply agreements that the Code is intended to provide,” said ACCC deputy chair Mick Keogh.

    “One of the requirements of the Dairy Code is that processors ensure their milk supply agreements are compliant before publishing them on their websites, and in this instance, Brownes Dairy published two supply agreements that were allegedly non-compliant with the code.”

    Under the code, most dairy processors are required to publish on their websites, every June 1 a standard-form milk-supply agreement to cover all the circumstances in which they intend to purchase milk in the coming financial year. This allows farmers to compare processors’ minimum prices and contract terms.

    According to a statement from the ACCC, Brownes Dairy addressed its breaches in the 2021-22 agreements published last month and has undertaken to write to farmers that it had contracts with, advising that it will only exercise its rights under existing agreements to the extent they are consistent with the terms of these new agreements.

    “Ensuring compliance with the Dairy Code remains an ACCC priority. We are continuing to assess agreements published on June 1 this year, and any identified breaches may result in the ACCC taking enforcement action where appropriate,” said Keogh.

  • ACCC likely to continue regulating ADSL access

    ACCC likely to continue regulating ADSL access

    Australian competition regulator the ACCC has made a draft decision to continue regulating access to Telstra’s wholesale ADSL network for a further five years.

    Former government monopoly Telstra is required to provide access to its ADSL network to competitors due to its dominant position in both the wholesale and retail ADSL markets. When a commercial agreement cannot be reached, Telstra must provide access at regulated prices.

    The ACCC had been investigating whether regulated access was still necessary given the progress of the rollout of the national broadband network (NBN).

    “Telstra retains its dominant position in both the wholesale and retail markets for the supply of ADSL fixed-line broadband services on a national level,” ACCC commissioner Cristina Cifuentes said.

    “Continuing regulation will ensure network providers continue to have access to Telstra’s copper network at reasonable prices. This will encourage them to continue competing in the retail market to develop and offer different ADSL broadband products to meet the needs of customers as they prepare to shift to the NBN.”

    A final decision on the matter is expected in early 2017, before the current access declaration expires.

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  • Australia’s ACCC tackles broadband advertising

    Australia’s ACCC tackles broadband advertising

    Australian competition regulator ACCC has hinted it could introduce rules requiring ISPs to provide accurate information to customers about broadband speeds.

    The regulator has published a discussion paper seeking views on how consumer information about the speed and performance of broadband plans can be improved.

    ACCC chairman Rod Sims said the agency is concerned about the lack of clear information about performance of broadband services provided in advertising and related material.

    “At the moment, it is difficult for consumers to access accurate information as broadband advertising is not focusing upon speed and performance,” he said.

    “Consumers are being presented with little information or vague claims like ‘boost’ and ‘fast’, or just pictures in advertising of athletes or animals. Consumers need accurate information about broadband speed and performance so that they can understand if what they are being offered will actually meet their needs.”

    He noted that complaints about slow data speeds were the top internet-related complaint issue among reports to Australia’s Telecommunications Industry Ombudsman (TIO) in the first quarter of 2016, accounting for 2,159 reported issues.

    Given changes in the market and consumer expectations related to broadband performance, “the ACCC believes that it is timely to consider what further steps need to be taken in Australia,” Sims said.

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