Electricity retailer Dodo Power & Gas (Dodo) paid $82,500 in penalties after the ACCC issued six infringement notices to the company for alleged contraventions of the Electricity Retail Code of Conduct (the Code).
Dodo has also provided an enforceable undertaking to the ACCC in which it has admitted it contravened the Code.
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“This is the first enforcement action taken by the ACCC in respect of a failure to ensure standing offers comply with the price cap. The price cap is the maximum allowable price for standing offers, and serves an important function to protect standing offer customers. It also acts as a common reference price to compare offers against,” ACCC commissioner Liza Carver said.
“The Electricity Retail Code mandates that retailers issue comprehensive pricing details to consumers, enabling them to compare electricity plans.
“Not only does this information allow consumers to make well-informed choices that best suit their individual needs, but it is also crucial when deciding whether to switch provider for a more affordable plan.
“This is particularly important given the current economic climate in which households continue to face cost of living pressures,” Carver said.
Dodo admitted that between 1 July 2022 and 31 May 2023, the standing offer prices for two of Dodo’s offers exceeded the relevant price cap in force for the 2022 to 2023 financial year, in contravention of the Code.
Dodo also admitted that it sent price change communications to customers on 6 June 2023 and 20 June 2023, which failed to include information required under the Code, and that it did not make a record of how it calculated some matters related to the offered prices as required by the Code.
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As part of its undertaking, Dodo has committed to cease the conduct and to establish and implement a compliance program to minimise its risk of future breaches of the Code.
“The ACCC will continue to monitor electricity retailers to ensure customers have access to accurate information, and that retailers are meeting their legal obligations, including in respect of the price cap,” Carver said.
