The Meeting Place

Telco agrees to NBN refunds

Dodo has agreed to refund up to $360,000 to around 16,000 customers for claims that its entry-level NBN broadband plans were ‘perfect for streaming’.

The refunds are part of a court-enforceable undertaking made to the ACCC after Dodo admitted its conduct was likely to be false or misleading and in contravention of the Australian Consumer Law. 

From November 2015 to March 2018, Dodo advertised its NBN broadband plans as ‘perfect for streaming’, including for plans with maximum speeds of 12 megabits (Mbps). Some of these plans only had 10 gigabytes (GB) of included data.

“We were concerned that Dodo customers on these plans could not reliably stream high quality video, particularly when others in the household were using the internet at the same time. At 12Mbps, Dodo’s customers could not stream ultra HD video at all,” ACCC Chair Rod Sims said.

The ACCC also considered that Dodo customers would use up their data allowance after a modest amount of streaming when their included monthly data is limited to 10GB.

“According to Netflix, high definition streaming uses up to 3GB of data per hour. With these plans a customer would have to pay extra if they streamed just two or three movies.

“We don’t believe NBN plans with just 10GB of included data are ‘perfect for streaming’.” Mr Sims said.

“Consumers rely on how internet providers describe their services when choosing the best broadband plan for their needs, so these descriptions must be accurate.

“It is simply unacceptable for an internet service provider to tell consumers that their services are ‘perfect’ for a particular use, and to then charge them extra when they use the service as advertised,” Mr Sims said.

“The ACCC will continue to address consumer issues in the provision of broadband services, including misleading use and performance claims made by providers.”

As part of the undertaking provided to the ACCC, Dodo has agreed to provide refunds to around 16,000 current and former Dodo customers on affected plans who incurred excess data charges during the period when the ‘perfect for streaming’ advertisements were published.

Those customers who were subject to excess data charges and are still with Dodo will also be offered the option to exit their contract at no cost.

Are you a Dodo customer? Do you think you will be entitled to a refund?

5 comments

Dodo should sue the Government for providing them with such a faulty product to sell.

You obviously don't understand how the NBN works jackie and, as usual, you have taken an opportunity to kick the government. NBN Co is a wholesale company which sells its product to a retail company who onsells to the public. The retail company buys what it thinks it needs, not what the NBN Co tells it to purchase so, in this case, Dodo has bought insufficient bandwidth to supply its customers. Dodo is the only party that is at fault.

Old Man, I think all the Telcos should be suing the Government for supplying them with a faulty product that they have had to pass on to their consumers. 

The NBN has caused so many Australians problems and it's so much slower than what customers pay for overseas. This is not the fault of the Telcos but their supplier, the Government.

The Government lied to everyone that it would be faster and better than ADSL. Turnbull was in charge and claimed to be such an expert. He should be made accountable for his actions just like Dodo is.

If Governments were sued for faulty work and lies, it would stop the corruption and shoddy work.

Dodo admitted its conduct was likely to be false or misleading and in contravention of the Australian Consumer Law. Likely criminal conduct-Financial gain by deception-!!! Why aren't the directors facing criminal prosecution???

Arvo, this Government will never admit to its lies and deception about the NBN. All the Telcos should sue the Government. The Government is giving $billions of taxpayer money to corporations due to water corruption and no one complains about corporate welfare.

My NBN is good although  I amwith Telstra and being charged way too much. NBN is a rip off with whatver  compnay you go with. Customets are entitled to  a refund if they are being misled by companies

KB, I agree that customers should be entitled to refunds when they have been misled. The same should apply to the people and the Government too.

My NBN is good although  I amwith Telstra and being charged way too much. NBN is a rip off with whatver  compnay you go with. Customets are entitled to  a refund if they are being misled by companies

I am with Telstra and we live in a rural area.  Got conned into switching to the NBN a couple of years ago and honestly I think we've had more time without interent that with it when you add up all the outages we have, often on a daily basis.  It's a bloody disgrace!! Everyone has been mislead and everyone is entitled to a partial refund on the money they've paid to have this less than reliable connection 

5 comments