informing and educating businesses, including through issuing guidance, about their responsibilities under the Competition and Consumer Act 2010 (the Act) when making a carbon price claim.
raising awareness amongst consumers about their rights under the Australian Consumer Law (ACL).
investigating and, where appropriate, taking action against businesses who engage in practices that contravene the ACL.
The ACCC’s focus is to ensure businesses do not make misleading claims about price increases as a result of the carbon price. The ACCC can act against businesses who contravene the ACL.
The ACCC’s role does not include formally monitoring, setting or restricting price increases linked to the carbon price. The ACCC cannot prevent a business from putting up its prices as a result of the carbon price.
The ACCC can investigate and take action against businesses that make false or misleading claims.
Some of the ACCC’s powers include:
requiring a business to provide documents and information that respond to a substantiation notice.
issuing infringement notices of $6600 for a corporation (or $66 000 for a listed corporation) where it considers a claim is false or misleading.
taking legal action against a business for breaches of the ACL.
seeking court-imposed penalties of up to $1.1 million for serious breaches of the ACL or injunctions to stop a business from making certain carbon price claims.
A carbon price commenced in Australia on 1 July 2012. The carbon price applies to certain greenhouse emissions, with some large businesses being required to purchase carbon credits against their emissions.
Carbon price claims could appear in TV or radio advertising, websites, on product labels or in contracts and catalogues. They could also be made by a salesperson over the phone, via email or in person on the shop floor.
For further information on carbon price claims, including problematic price claims, see:
