ACCC delves into high prices of NBN services
Customers who switch across to the National Broadband Network are getting dudded on deals that leaves them financially worse off, the competition watchdog says.
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Customers who switch across to the National Broadband Network are getting dudded on deals that leaves them financially worse off, the competition watchdog says.
The Australian Competition and Consumer Commission has delivered a new report today into
price changes within the telco industry in 2018-19.
In the report it said it was considering taking further action to ensure customers are not getting hit hard financially when they do switch across to the NBN.
The ACCC’s chair Rod Sims said, “the ACCC is continuing to consider whether further action is needed to make sure consumers aren’t worse off when they switch to the NBN”.
As of June 2019 5.5 million NBN services were in operation nationally and the rollout is due to be completed in June this year.
Another 10.5 million premises are ready to move across to the NBN.
Mr Sims has previously voiced his concerns over the affordability of the NBN plans offered to new customers and said they “are at least $10 per month higher than what consumers paid for equivalent ADSL plans”.
He also they had “successfully advocated for lower entry-level prices for NBN services and improving NBN service standards through 2019-20.
An NBN spokesman said they played an important role in connecting households and was “committed to providing affordable access to fast broadband for all Australians”.
Telco comparison website WhistleOut’s spokesman Kenny McGilvary said getting the right NBN plan “can save people hundreds of dollars every year”.
“Look at how much data you’re chewing through,” he sai.
“Plans with a data cap will typically save at least $10 compared to an unlimited data plan.
“People won’t find many unlimited NBN50 plans for under $65 per month or many unlimited NBN100 plans for under $80 per month.”
The report also showed prices across telco and fixed broadband services fell in the 2018-19 period.
Fixed broadband prices had an annual price decrease of 1.5 per cent, mobile phone services fell 6.6 per cent and mobile broadband dropped 16.4 per cent.
However Australians are munching through data at a soaring rate – annual growth in data downloads rose by 47 per cent during this period.
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NBN problem that won’t go away
And consumers are also getting jibbed by poorer-value prices on fixed broadband services that do not always give faster speeds and high download allowances, with fewer options available.
As for disgruntled customers. the number of complaints against fixed and mobile providers fell in 2018-19.
Complaints against Optus tumbled by 28 per cent, Telstra 18 per cent, TPG Group 19 per cent and Vodafone 4 per cent compared to the previous period.
Originally published as ACCC delves into high prices of NBN services