Penalties doubled for Competition and Consumer Law contraventions

On 28 March 2026, the Treasury Laws Amendment (Doubling Penalties for ACCC Enforcement) Act 2026 (Act) commenced.  The Act doubles the first limb of the three-limb maximum penalty test from $50 million to $100 million for contraventions of the Competition and Consumer Act 2010 (Cth) (CCA) and certain sections of the Australian Consumer Law (ACL).

Following the amendments, the maximum penalty for contraventions by a body corporate will be the greater of:

1. $100 million; or
2. if the Court can determine the total value of the benefits obtained that are reasonably attributable to the act - three times that total value (this limb has not been amended); or
3. if the Court cannot determine the value of those benefits or that benefit—30% of the body corporate’s adjusted turnover during the breach turnover period for the act or omission (this limb has not been amended).

These increased penalties apply to a range of key provisions in the CCA and ACL, including:

According to the Explanatory Memorandum, the amendments were a result of the Australian Government acting decisively in the national interest to protect consumers facing rising petrol prices resulting from the conflict in the Middle East.  However, the amendments to the CCA and the ACL apply across the economy and are not confined to the supply of fuel.

The Act strengthens the penalty regime under the CCA and the ACL to deter non-compliant conduct and reduce the financial benefits and incentives for businesses to engage in conduct in breach of competition and consumer law.

If you have any queries about how your business may be affected by the above provisions, please contact Emma Davies and Michael Daniel.

Image by Alfonso Scarpa via Unsplash.