The Federal Government has introduced new legislative reforms aimed at strengthening consumer protections against telco providers that mistreat customers. The Telecommunications Amendment (Enhancing Consumer Safeguards) Bill 2025, presented to Parliament, proposes significant increases in penalties for telcos breaching industry rules.

Under the new reforms, penalties for telecommunications companies found in violation of regulations will increase by up to 40 times, reaching $10 million or more in certain cases. Fines may also be calculated based on the value of the benefit obtained from the breach or the turnover of the offending telco.

Minister for Communications, Anika Wells, stated, “Our Government is cracking down on telcos who cause harm to customers with penalties increasing by 40 times what they are currently.”

She added, “We are committed to keeping Australians connected and by strengthening consumer protections it will mean a fairer and better system for everyone.”

The Australian Communications and Media Authority (ACMA) will be empowered to take immediate action against breaches of industry codes. Additionally, a Carriage Service Provider registration scheme will be established to enhance the visibility of providers and prevent unscrupulous operators from entering the market.

The reforms also expand and clarify the Government’s ability to increase infringement notice penalty amounts that ACMA can issue for breaches, including consumer protection rules.

Wells remarked, “These reforms build on our Government’s significant work to ensure telcos better protect and support their customers, particularly those experiencing financial hardship or domestic, family and sexual violence.

“This is first and foremost about looking after consumers, as well as driving fairness and building trust in the vital telecommunications industry.” She further noted, “We’ve consulted and worked with all stakeholders in developing these reforms and most importantly we’ve listened to customers about what they need to stay connected, and these changes will make a real difference.” 

The reforms aim to provide greater certainty to both consumers and the industry, while incentivising good industry practice.