Act of Parliament assented to – Act No. 48 of 2026

Overview

The Competition and Consumer Amendment (Responding to Exceptional Circumstances) Act 2026 was assented to by Her Excellency the Governor-General on 26 May 2026, addressing critical gaps identified during extraordinary events that significantly impact market stability and consumer protection. This Act aims to provide additional tools and flexibility to relevant authorities, enabling them to respond more effectively to exceptional circumstances that may arise, such as natural disasters or economic disruptions, thereby ensuring the continued protection of consumers and fair market competition. Enacted by the Australian Parliament, this legislative amendment seeks to uphold the policy objective of safeguarding economic integrity and consumer rights in times of national emergency.

Scope and Application

The Competition and Consumer Amendment (Responding to Exceptional Circumstances) Act 2026, which amends the Competition and Consumer Act 2010 and the National Emergency Declaration Act 2020, applies to all persons and entities engaged in commercial activities within Australia, including those operating in industries such as retail, manufacturing, and services. The Act is designed to respond to exceptional circumstances, such as natural disasters, pandemics, or other significant disruptions, by providing the Australian Competition and Consumer Commission (ACCC) with enhanced powers to enforce consumer protection and competition laws. This ensures that businesses do not exploit vulnerable consumers during times of crisis. The Act extends its reach across all states and territories within the Commonwealth of Australia, thereby providing a national framework for addressing anti-competitive conduct and unfair trading practices during emergencies. However, specific exclusions or exemptions are not detailed within the text of the Act itself, and the application of the Act may be further defined through subordinate instruments or regulations that can be introduced under its authority.

Key Provisions

The Competition and Consumer Amendment (Responding to Exceptional Circumstances) Act 2026 amends the Competition and Consumer Act 2010 and the National Emergency Declaration Act 2020. Under section 3 of the Act, certain provisions of the Competition and Consumer Act 2010 are temporarily altered to provide flexibility in the market during periods of exceptional circumstances. For example, section 46(1) of the Act allows the Australian Competition and Consumer Commission (ACCC) to seek authorisation from the Australian Competition Tribunal to temporarily suspend certain provisions of the Act, such as those relating to price fixing and market dominance, if it is deemed necessary during an emergency. Section 5 of the Act introduces new provisions under the National Emergency Declaration Act 2020, allowing the Governor-General to declare an emergency period during which the amended competition laws can be enforced. These declarations can be made based on various criteria, including a significant disruption to the supply chain or a substantial increase in the cost of goods and services. The Act imposes several obligations on the parties it governs. Firstly, under section 6, businesses are required to comply with any temporary amendments to the competition laws that are in effect during an emergency period. This includes adhering to any price controls or market restrictions that the ACCC may impose. Additionally, section 7 mandates that the ACCC consult with relevant stakeholders, such as industry representatives and consumer groups, before seeking authorisation from the Australian Competition Tribunal to suspend any provisions of the Act. The Act also requires the ACCC to report to the Minister for Trade, Tourism and Investment on the impact of the temporary amendments and any actions taken under the Act, as outlined in section 8. Breach of the provisions of the Competition and Consumer Amendment (Responding to Exceptional Circumstances) Act 2026 can result in both civil and criminal consequences. Under section 9, any individual or entity found to have contravened the Act can be subject to civil penalties, including fines of up to $1.5 million for corporations and $300,000 for individuals. Additionally, section 10 outlines that individuals found guilty of serious breaches, such as knowingly providing false information to the ACCC, can face criminal penalties, including imprisonment for up to five years. These penalties are intended to deter non-compliance and ensure that the Act's provisions are upheld during times of exceptional circumstances.