House debates

Thursday, 14 May 2026

Bills

Telecommunications Amendment (Enhancing Consumer Safeguards) Bill 2025; Second Reading

11:29 am

Photo of Gabriel NgGabriel Ng (Menzies, Australian Labor Party) Share this | Hansard source

I rise today to speak on the Telecommunications Amendment (Enhancing Consumer Safeguards) Bill 2025. Telecommunications are essential to the infrastructure of modern Australia. They allow people to stay connected with family and friends. I needed it to keep in touch with my daughter when she was walking to school this morning. We use it to run businesses, access information and seek help in emergencies. For those of us in this place, they are critical to staying connected with our communities, accessing timely information, responding to issues and making sure we know what's going on. I can see members opposite on their phones right now; that's how essential they are to us.

Like many Australians, I feel the absence of my phone immediately if I leave it behind. We're all very dependent on our phones. That dependence brings with it a clear expectation: Australians expect telecommunications to be accessible, reliable, high quality and affordable. This legislation responds to that expectation. The Albanese Labor government is placing the rights and needs of consumers at the centre of the telecommunications framework. We support a strong and competitive telecommunications industry, but it must operate within a regulatory system that protects Australians and reflects the essential nature of these services.

The urgency of reform is clear. The Optus triple zero outage was a profound failure of corporate responsibility. Australians were unable to contact emergency services—police, ambulance and fire—at moments when they needed them most. The consequences were serious and, in some cases, tragic. In response, the government acted to strengthen accountability and transparency across the sector. We made clear that stronger oversight is required when failure places Australians at risk. We enshrined the Triple Zero Custodian framework in law and empowered the Australian Communications and Media Authority to act swiftly. These reforms improve coordination across the triple zero system and ensure that government can intervene decisively during outages.

Those opposite had years to act, and they failed to deliver the safeguards Australians needed. When the risks were evident, they did not respond. When the system required strengthening, they allowed it to remain exposed. This government has taken action. We have reviewed the consumer protection framework and moved to strengthen it where it has fallen short. This bill builds on that work. It strengthens protections for consumers experiencing financial hardship, and it supports recent action directing the Australian Communications and Media Authority to develop stronger rules for people affected by domestic, sexual and family violence. This builds on our work across government to address this social scourge that affects far too many people across our communities.

Our position is clear: the telecommunications sector must serve Australians. Strong safeguards must be in place, and there must be meaningful consequences when providers fail to meet their obligations. This bill improves compliance and enforcement by strengthening the tools available to the regulator. It ensures that protections remain effective in a modern and evolving market. Schedule 1 of the bill establishes a carriage service provider registration scheme. At present, there is no comprehensive list of providers operating in the market. This lack of visibility has made it difficult for the regulator to engage with providers, to educate them about their obligations and to respond effectively to emerging risks.

Without a clear register, of course enforcement is more difficult. Patterns of consumer harm are harder to identify and providers can operate without sufficient scrutiny. The new registration scheme addresses this gap. Like Santa, we're making a list and we're checking it twice. It creates greater visibility across the sector and allows the regulator to identify providers that pose unacceptable risks. It also supports better education, more efficient complaint handling and stronger overall accountability. This reform contributes to a fairer market. Providers who meet their obligations should not be undercut by those who avoid them. A transparent register supports responsible operators and strengthens confidence in the system.

Schedule 2 of the bill makes industry codes directly enforceable. Under the current framework, the regulator cannot take immediate action for breaches of these codes. It must first issue a direction to comply, or a warning, and act further only if that direction is ignored. This two-step process has limited the regulator's ability to respond quickly to harm. It has created delays and reduced the effectiveness of enforcement. The reforms removed this barrier. The regulator will be able to act directly when breaches occur, improving responsiveness and strengthening deterrence. Providers will be held to account in a more timely and effective manner.

Schedule 3 of the bill strengthens the penalty framework. The maximum general civil penalty will increase from $250,000 to 30,300 penalty units. That's currently the equivalent of $9.9 million—a significant increase. Existing penalties have not reflected the scale of harm or the size of major providers. In some cases, they've been treated as the cost of doing business. The updated framework allows penalties to be linked to the benefit gained from misconduct or the turnover of the provider. This ensures that penalties are proportionate and effective. It recognises that the sector includes both small operators and large corporations. A single fixed penalty does not achieve fairness or deterrence across such a diverse market. These changes bring telecommunications into line with other regulated sectors, including energy and banking, as well as the Australian Consumer Law. They also give the Federal Court the flexibility to impose penalties that reflect both the nature of the breach and the scale of the entity involved.

Schedule 4 strengthens the infringement notice regime by expanding the powers of the Minister for Communications. This allows infringement penalties to be adjusted to remain effective over time and ensures they continue to act as a meaningful deterrent. Taken together, these reforms equip the regulator to act as a strong and effective watchdog. They also create clear incentives for better conduct across the industry. The message is straightforward: poor behaviour will attract consequences and consumer harm will not be tolerated.

This bill sits within a broader program of reform. Since coming to office, the government has delivered a range of measures to strengthen consumer protections. These include a new industry standard requiring providers to support consumers experiencing financial hardship and a standard mandating assistance for those affected by domestic, sexual and family violence, which came into effect from 1 July 2025.

We have also amended the Competition and Consumer Act 2010 to introduce consistent obligations across telecommunications, banking and digital platforms to prevent, detect and disrupt scams. Building on this, the government is progressing broader reforms to ban unfair trading practices across the economy, including hidden transaction fees and subscription traps that distort consumer choice and erode trust. Too often, Australians see only one price and then pay another to find themselves locked into subscriptions that are difficult to exit. These reforms will require clear disclosure of fees, stronger transparency at the point of purchase and straightforward cancellation processes.

This work is part of a wider effort to strengthen competition and accountability, including increasing penalties for misconduct, improving enforcement powers and ensuring regulators have the tools needed to act decisively. Taken together, these measures reflect a coordinated approach. Australians should expect fair, transparent markets and consistent protections across the sector, and there must be real consequences when these standards are not met.

At the same time, we are investing in telecommunications connectivity. The government has committed $55 million for round 8 of the Mobile Black Spot Program; $50 million for the Regional Roads Australia Mobile Pilot Program, including targeted funding for Victoria, Western Australia and New South Wales; and $115 million under round 3 of the Regional Connectivity Program, supporting more than 70 projects. These investments are essential. They improve coverage and connectivity, particularly in outer suburban, regional and growing communities.

Reliable telecommunications are critical for access to employment, education, health care and other essential services. This bill complements those investments. As networks expand and improve, it is equally important that consumers are treated fairly and that providers meet clear standards of conduct. Australians should have confidence that the services they rely on are delivered responsibly. They should also have confidence that, when providers fail, there are real and enforceable consequences. This legislation reflects a clear commitment to putting consumers first. It strengthens safeguards, improves accountability and ensures telecommunications services meet the expectations of the people who depend on them every day. For these reasons, I commend the bill to the House.

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