Dodo, iPrimus and M2 Commander to refund 5000 misled NBN customers

Dodo, iPrimus and M2 Commander have become the latest telcos to address their NBN customers’ woes, pledging to compensate 5000 customers who couldn't achieve the internet speeds they paid for.

Remediation options to be offered by the telcos include being moved to a lower speed plan with a refund, or exiting their plans with a refund and no exit fees.

The three companies, owned by Vocus Group, join a procession of telcos who have already offered NBN-related remedies to customers, including Telstra, Optus, TPG and, most recently, iiNet and Internode.

Breaking down the affected customers, Dodo will refund 3384 customers, iPrimus will refund 1912, while M2 Commander will refund 565.

Vocus Group consumer chief executive Sandra de Castro said speed expectations were not met on 6 percent of its NBN services in operation.

"We still view this as too many and we have worked cooperatively with the ACCC to agree on an outcome," she said.

"Including the offer of compensation to these customers. We can only accurately confirm achievable speeds after the connection is completed and we commit to doing so not only to ensure that affected customers receive the necessary information to make an informed decision, but also to ensure a greater level of customer satisfaction.”

The Australian Competition & Consumer Commission today announced the undertakings to be made by Dodo, iPrimus and M2, reporting that between October 2016 and the end of June 2017, the three telcos advertised achievable NBN download speeds in a way the consumer watchdog found to be misleading.

“Dodo, iPrimus and Commander have admitted that by offering speed plans that could not be delivered, they likely breached consumer law by engaging in misleading or deceptive conduct and making false or misleading representations,” ACCC commissioner Sarah Court said.  

Affected customers are expected to be contacted either by email or letter by 27 April.

“Affected customers may prefer to exit their contract with a refund rather than accept a service that does not meet their needs. Dodo, iPrimus and Commander will also be required to tell new customers if they are not getting the maximum speeds advertised to them,” Court said.

“The ACCC has now accepted undertakings from eight internet service providers, who have all admitted they likely misled customers about internet speeds. As a result of these undertakings, more than 75,000 affected consumers are being contacted by their internet service provider and offered remedies. New customers will also now be told if they are not getting the maximum internet speeds they were promised.”