ACMA gets direct code enforcement and a $10 million penalty ceiling for telcos
Reforms outlined on 15 October 2026 let ACMA act on breaches of registered telco codes without a prior compliance order, with the maximum penalty rising from $250,000 to $10 million, according to ACCAN. A registration scheme could also bar providers with serious compliance failures from the market.
Australia has outlined reforms, dated 15 October 2026, that make registered telecommunications industry codes directly enforceable. The Australian Communications and Media Authority can now act on a breach without first directing the provider to comply. ACCAN, the consumer advocacy group, said the top penalty for breaching industry codes and standards climbs from $250,000 to $10 million.
The package also sets up a registration scheme that would let ACMA shut providers with serious compliance failures out of the market. The regulator calls this a last resort, and details of how it will work are due before the scheme begins.
The changes arrive after ACMA's enforcement action against Telstra, announced on 3 September. According to the regulator, frontline staff did not follow identity-verification procedures in 15 unauthorised SIM swaps between January and October 2025. Customers reported fraud losses of at least $39,500 in total, and Telstra paid a penalty of $277,200. Telstra also gave court-enforceable commitments to strengthen fraud prevention and train staff who deal with customers. Investigators found 13 cases where customers who had raised concerns, or who Telstra knew were at risk, did not get extra protections. That case fell under existing mobile-fraud rules and is separate from the code enforcement changes.
On 29 September ACMA opened consultation on a standard to replace the consumer code it rejected in March. ACCAN and the Fair Call Coalition welcomed that rejection, arguing the industry-led approach had not tackled harmful sales practices and weak credit assessments. The draft standard would require responsible selling and set rules on sales incentives and performance payments. It also seeks simple, timely cancellations and informed consent before services are transferred. Disconnecting customers who struggle to pay would be a last resort, after reasonable steps to help with payment difficulties or financial-hardship assistance. The measures are proposals, and submissions close on 10 November 2026.
ACMA data published on 7 October counted 748,501 complaints to telecom providers in 2025-26, a fall of 10.8 per cent on the prior year. Average resolution time improved from 5.9 days to 5.4 days. The proportion of complaints escalated to the Telecommunications Industry Ombudsman rose from 6.6 per cent to 6.9 per cent. With fewer complaints overall, that does not establish more escalations in total, but it indicates a slightly bigger share needed outside help. The figures predate the October reforms, so they are a baseline rather than proof the new powers work.