Staff Reporter
04 December 2024, 6:14 PM
Locals on the Hibiscus Coast may soon see changes in how their energy and broadband bundles are priced, thanks to the Commerce Commission's latest move.
The Commission is challenging Contact and Nova, two leading providers of bundled services, to stop displaying GST-exclusive pricing by default.
According to Telecommunications Commissioner Tristan Gilbertson, this practice creates "the illusion of savings that don't exist."
The Commission's challenge follows a review of guidelines issued in November last year, which aimed to address concerns about the marketing of bundled services.
While the Commission is pleased that providers have cleaned up their marketing and stopped luring consumers with sharp upfront broadband discounts, they are concerned that Contact and Nova persist with GST-exclusive pricing.
Mr Gilbertson notes that this practice is "inherently confusing" and may mislead consumers, particularly with escalating electricity costs and wider cost-of-living concerns.
The Commission encourages consumers to take care when comparing bundles from Contact and Nova, given the 15% difference in pricing.
Consumers can also use the industry's independent dispute resolution scheme, TDR, if they encounter any issues.
In the background, the Energy/Broadband Bundling Guidelines were issued in November 2023 to increase transparency and reduce consumer confusion.
The guidelines require providers to disclose key information, such as prices inclusive of GST, prominently upfront to consumers.
The Commission will continue to monitor the market for compliance and encourages consumers to report any concerns.