Commonwealth of Australia Explanatory Memoranda

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COMPETITION AND CONSUMER AMENDMENT (PAPER BILLS AND STATEMENTS) BILL 2017

                                  2017




        THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA




                      HOUSE OF REPRESENTATIVES




Competition and Consumer Amendment (Paper Bills and Statements) Bill 2017




                     EXPLANATORY MEMORANDUM
                                   and
           STATEMENT OF COMPATIBILITY WITH HUMAN RIGHTS




                        Circulated by authority of
                            Andrew Wilkie MP


Competition and Consumer Amendment (Paper Bills and Statements) Bill 2017 OUTLINE This bill seeks to amend consumer law to ensure that when a supplier provides a customer with an itemised bill or proof of transaction, that document is given in paper form unless the customer consents to receive it electronically. It also seeks to ensure that customers are not charged a fee for receiving the bill in paper. The bill responds to community concern, especially among older Australians and those without reliable internet access, about companies providing electronic bills and statements without the consent of the customer. It also responds to concern about the increasingly prevalent practice of companies charging a fee for paper bills and statements. FINANCIAL IMPACT The bill will have no financial impact. NOTES ON CLAUSES Clause 1: Short Title 1. This clause is a formal provision and specifies the short title of the bill as the Competition and Consumer Amendment (Paper Bills and Statements) Bill 2017. Clause 2: Commencement 2. This clause provides for the commencement of the Act on the day after it receives Royal Assent. Clause 3: Schedules 3. This clause establishes that, as the intent of the bill is to be realised through amendments to another Act, the Schedules of this bill will amend that Act accordingly. Schedule 1 Competition and Consumer Act 2010 Item 1: Subsection 100(1) of Schedule 2 1. Item 1 amends the existing requirements in Schedule 2 of the Act for a customer to be given a proof of transaction when the total price of the goods or services is $75 or more. It specifies that the proof of transaction must be given in the required form. A definition of what is the required form is inserted by item 5. Item 2: After subsection 100(1) of Schedule 2


2. Item 2 specifies that a supplier must not charge the consumer for the proof of transaction provided under subsection 100(1), and allows a pecuniary penalty to be imposed if this is contravened. Item 3: Subsection 100(3) of Schedule 3 3. Item 3 amends the existing requirements in Schedule 2 of the Act for a customer to be given a proof of transaction on request when the total price of the goods or services is less than $75. It specifies that the proof of transaction must be given in the required form. A definition of what is the required form is inserted by item 5. Item 4: After subsection 100(3) of Schedule 2 4. Item 4 specifies that a supplier must not charge the consumer for the proof of transaction provided under subsection 100(3), and allows a pecuniary penalty to be imposed if this is contravened. Item 5: After subsection 100(4) of Schedule 2 5. Item 5 specifies that a proof of transaction is given in the required form when it is provided in paper, or electronically if the customer consents to receiving it electronically. It also specifies that this subsection has effect despite any provision of the Electronic Transactions Act 1999. Item 6: Subsection 101(3) of Schedule 2 6. Item 6 amends the existing requirements in Schedule 2 of the Act for a customer to be given an itemised bill. It specifies that the itemised bill must be given in the required form. A definition of what is the required form is inserted by item 7. Item 7: After subsection 101(4) of Schedule 2 7. Item 7 specifies that an itemised bill is given in the required form when it is provided in paper, or electronically if the customer consents to receiving it electronically. It also specifies that this subsection has effect despite any provision of the Electronic Transactions Act 1999. Item 8: After section 101 of Schedule 2 8. Item 8 specifies that if any other bill is given to a customer by a supplier, it must be given in paper, or electronically if the customer consents to receiving it electronically. It specifies that this subsection has effect despite any provision of the Electronic Transactions Act 1999. Item 8 also ensures that the supplier does not charge the consumer for the bill and that the bill is transparent (which the Act defines as expressed in plain language, legible and presented clearly). Item 9: Subparagraph 224(1)(a)(vi) of Schedule 2


9. Item 9 updates references in section 224 of Schedule 2 of the Act, which specifies when a court can impose pecuniary penalties for contravention of the Act. Item 10: Subsection 224(3) (cell at item 7, column 2 of the table) 10. Item 10 updates references in subsection 224(3) of Schedule 2 of the Act, which specifies the maximum pecuniary penalties that are applicable for contraventions of the Act. Item 11: Application 11. Item 11 ensures that the amendments made by this schedule only apply to goods and services supplied on or after its commencement.


STATEMENT OF COMPATIBILITY WITH HUMAN RIGHTS Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011 Competition and Consumer Amendment (Paper Bills and Statements) Bill 2017 This bill is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011. Overview of the bill This bill seeks to amend consumer law to ensure that when a suppler provides a customer with an itemised bill or proof of transaction, that document is given in paper form unless the customer consents to receive it electronically. It also seeks to ensure that customers are not charged a fee for receiving the bill in paper. Human rights implications This bill does not engage any of the applicable rights or freedoms. Conclusion This bill is compatible with human rights because it does not raise any human rights issues. Andrew Wilkie MP


 


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