This work is copyright. Apart from any use permitted by the Copyright Act 1968, no part may be reproduced without prior written permission from the Commonwealth, available through the Australian Competition and Consumer Commission. Requests and inquiries concerning reproduction and rights should be addressed to the Director Publishing, Australian Competition and Consumer Commission, GPO Box 3131, Canberra ACT 2601 or by email to publishing.unit@accc.gov.au.
ACCCount 1
Overview 4
1.The Australian Competition and Consumer Commission (ACCC) works to enhance the welfare of Australians by promoting competition and fair trading. In doing so the ACCC protects consumers from unfair business practices and unsafe products whilst regulating national infrastructure and other markets with limited competition or natural monopoly characteristics. This was achieved by engaging in a broad range of activities across the economy in the October to December 2015 quarter. 4
2.Strong enforcement outcomes were attained in the December quarter. The ACCC accepted undertakings from Informed Sources Australia Pty Ltd and 5 petrol retailers following alleged contraventions of the Competition and Consumer Act 2010 (Cth) (CCA) in the exchange of fuel pricing information. As part of this matter an undertaking was also accepted from Eureka Australia Petroleum Pty Ltd, trading as Coles Express. 4
3.The ACCC received payment for 18 infringement notices, including penalties totalling $32,400 paid by the manufacturer and distributor of Uncle Tobys Oats – Cereal Partners Australia Pty Ltd (Cereal Partners). The ACCC issued the notices having reasonable grounds that Cereal Partners made false or misleading representations about the protein content of certain oat products in contravention of the Australian Consumer Law (ACL) provisions. 4
4.The ACCC instituted proceedings in the Federal Court against Woolworths Ltd (Woolworths) alleging that Woolworths had acted unconscionably in dealings with a large number of suppliers as part of a scheme approved by senior management called ‘Mind the Gap’. The ACCC alleges that the scheme sought to reduce an expected significant half year gross profit shortfall by placing payment pressure on certain suppliers. 4
5.The ACCC announced that it would not oppose the proposed acquisition of BG Group PLC by Royal Dutch Shell PLC as it was not satisfied that these companies were likely to be meaningful competitors in the domestic market for gas. Also announced was the decision not to oppose the transaction between Foxtel Management Pty Ltd and Ten Network Holdings Ltd. 4
6.The ACCC granted an authorisation to the Australian Retail Credit Association and current and future signatories of the Principles of Reciprocity and Data Exchange for five years. 4
7.The ACCC is continuing to monitor the recall of faulty Samsung washing machines that have caused electrical fires, and also refreshed a communications campaign on the national Infinity electrical cable recall. Hoverboards have emerged as a safety hazard and the ACCC is working with state and territory electrical regulators to identify faulty and dangerous hoverboards and recall them from sale where appropriate. 4
8.The ACCC released a market study report on the Darwin petrol market, finding that the increase in retail petrol margins in Darwin has imposed a significant cost on motorists. 4
9.The ACCC released its 2013-14 report on the private health insurance industry with a focus on the transparency and accuracy of information provided to consumers by providers. 4
10.The Royal Commission into Trade Union Governance and Corruption issued its final report which contains recommendations that various amendments be made to the secondary boycott provisions of the CCA as well as establishing a building and construction industry regulator to work alongside the ACCC in relation to enforcement action. 4
11.Maintain and promote competition 6
12.Outcomes to address harm to consumers and businesses resulting from anti-competitive conduct 6
13.Proceedings 6
14.Undertakings accepted and administrative resolutions 9
15.S87B Undertakings 9
16.Investigations 10
17.Agriculture Enforcement and Engagement Unit (AEEU) 11
18.Assess mergers to prevent structural changes that substantially lessen competition 12
19.Significant merger decisions 13
20.Merger review consultation 15
21.Make decisions on authorisation, notification and certification trademark applications in the public interest 16
22.Authorisations 16
23.Notifications 18
24.Certification trademarks 20
25.Assist the Australian Competition Tribunal 21
26.Protect consumers and support fair trading 22
27.Outcomes to address harm to consumers and small businesses resulting from non-compliance with the Australia Consumer Law 22
28.Proceedings 22
29.Infringement notices 30
30.Undertakings accepted and administrative resolutions 32
31.Enhance the effectiveness of the ACCC’s compliance and enforcement initiatives through partnerships 37
32.Consumer Consultative Committee 37
33.Australasian Consumer Fraud Taskforce 37
34.Ruby Hutchison Memorial Lecture & National Consumer Congress 37
35.Empower consumers by increasing their awareness of their rights under the ACL 37
36.Scams 37
37.Support a vibrant small business sector 38
38.Franchising Consultative Committee 39
39.Small Business & Franchising Consultative Committee 39
40.Identify and address the risk of serious injury and death from safety hazards in consumer products 40
41.Product safety recalls 40
42.Emerging hazards 41
43.Compliance campaigns 43
44.Revocation of the mandatory safety standard for motorcycle helmets 43
45.Infrastructure regulation 45
46.Telecommunications 45
47.Final decision on primary price terms for the fixed line services FAD 45
48.Superfast broadband access service (SBAS) declaration inquiry 46
49.Pilot Broadband Performance Monitoring and Reporting Program 48
50.ACCC’s preliminary view on Long Term Revenue Constraint Methodology 48
51.ACCC’s second submission to Bureau of Communications Research (BCR) consultation paper on NBN non-commercial services funding options 49
52.Fuel price monitoring 49
53.Petrol market studies 51
54.Australia Post 52
55.Bulk wheat port terminal services 52
56.Mandatory Code 52
57.Container stevedoring monitoring 53
58.Annual monitoring report 53
59.Water 54
60.ACCC draft advice on water charge rules 54
61.ACCC accredits IPART 54
62.Multi-sector engagement 55
63.Market studies and research 56
64.Advocacy and legislative and legal developments 57
65.International collaboration 61
66.Competition focus 61
67.Consumer Protection focus 62
68.Infrastructure regulation focus 62
Appendices 63
69.A Complaints and inquiries 63
71.B Enforcement outcomes & matters in court 65
73.C Use of compulsory information gathering powers 72
74.D Major speeches 73