Crackdown on retailers advertising broadband plans

MINISTER for Regional Communications Fiona Nash has applauded the Australian Competition and Consumer Commission’s (ACCC) crackdown on speeds advertised by retailers selling broadband plans on the NBN network.

As the NBN is a wholesaler, not a retailer, retailers advertise their own plans and choose which speeds to advertise, as well as how much bandwidth they provide.

The ACCC this week issued instructions to retailers requiring them to advertise the typical speed a customer can expect at peak times between 7pm-11pm, rather than the maximum speed a customer could receive during off peak times.

“I’m delighted the ACCC has acted on retailers advertising speeds which are faster than those a customer is likely to receive during peak internet use times,” Ms Nash said.

“The product has to match the label – some people disappointed with their broadband bought those plans believing they’d receive faster internet than they often do and wrongly blamed NBN.

ACCC chair Rod Sims said retailers “should be very clear with customers about the typical speeds they can expect during busy evening periods.”