Exemption granted for New Energy Tech Consumer Code

The ACCC has issued a final determination granting conditional exemption for the New Energy Tech Consumer Code, which sets minimum standards for how suppliers of new energy technology products and services deal with consumers.

The Code is administered by the Clean Energy Council. It is a voluntary industry code covering products and services such as solar systems, batteries, electric vehicle chargers and virtual power plants.

ACCC authorisation (an exemption from certain competition law provisions) is required because the Code involves competing businesses agreeing to common rules and standards, which could otherwise risk breaching Australia’s competition laws.

The ACCC has no role in developing, administering or enforcing the Code.

“After conducting an assessment, we conclude the Code does provide some public benefit, but its benefits are limited by the lack of independent dispute resolution, reliance on self-reported audits, and lack of transparency around breaches,” ACCC Commissioner Philip Williams said.

“These findings are consistent with the ACCC’s recent call for broader reforms, including an overarching consumer duty supported by energy-specific protections and the extension of Energy Ombuds scheme jurisdiction to include new energy products and services.”

The ACCC has imposed conditions requiring equal consumer and industry representation on the Code's compliance panel and regular public reporting on how the Code is operating.

“Our role through this authorisation assessment was to assess whether the likely public benefits of the Code outweigh any likely public detriments,” Dr Williams said.

“New energy technology products can be complex, and consumers may find it difficult to compare offers, understand contract terms or resolve problems when they arise.”

The ACCC has granted conditional authorisation for five years. It has also authorised the current Code for a further three months to allow time to transition to the amended Code.