The Australian Competition and Consumer Commission proposes to grant reauthorisation for five years to the Clean Energy Council (the Council) for its revised Solar Retailer Code of Conduct.
The Council represents Australia’s renewable energy and energy efficiency industries. The Code is a voluntary system that solar retailers can sign up to and meet best practice standards that will benefit consumers and the industry.
For example, the Code enhances consumer protection by requiring ethical sales practices, increases disclosure to consumers about the costs of entering into agreements and reduces safety risk by requiring installers to be accredited.
“Household solar panels are a significant purchase for consumers. It is important to ensure that industry participants continue to strive to improve standards of practice. Doing so will increase consumer confidence, enable consumers to make better decisions and enhance compliance as the industry grows,” ACCC Deputy Chair Delia Rickard said.
Information from businesses will assist consumers to make informed decisions, but the ACCC encourages consumers to ask questions about their rights and options before entering into these kinds of significant financial commitments.
This includes asking questions about whether there will be any ongoing financial costs or commitments, particularly when the installation of solar panels will be provided at a heavily discounted or no upfront cost. Consumers also need to consider whether the agreement locks them in for a long time and prevents them from taking advantage of changes in the marketplace.
“The solar panel market is evolving, which has led to different business models emerging. While this could lead to greater confusion for customers, signatories to the Code will be required to provide important information to consumers about the nature of the agreement they are entering into,” Ms Rickard said.
The ACCC proposes to grant reauthorisation for five years to the Clean Energy Council (the Council) for its revised Solar Retailer Code of Conduct. The ACCC is seeking submissions from interested parties in relation to its draft determination before making a final decision. Submissions are due by 17 August 2015.
Authorisation provides statutory protection from court action for conduct that might otherwise raise concerns under the competition provisions of the Competition and Consumer Act 2010. Broadly, the ACCC may grant an authorisation when it is satisfied that the public benefit from the conduct outweighs any public detriment.
Depending on how power purchase agreements are structured, where such agreements require consumers to buy services from a particular third party energy retailer, this may breach the third-line forcing provisions of the Competition and Consumer Act, unless businesses first notify the ACCC.