Ministerial Statement

False Requirements to Replace Gas Appliances

The Hon. A. KOUTSANTONIS (West Torrens—Minister for Infrastructure and Transport, Minister for Energy and Mining) (14:00): I seek leave to make a ministerial statement.

Leave granted.

The Hon. A. KOUTSANTONIS: I have been made aware of accusations made on FIVEaa that customers are being told by contractors that if they change their gas water heater to an electric water heater there is a legal requirement in South Australia for customers to change over all their gas appliances to electric appliances. No such requirement exists.

The government is concerned to hear multiple reports of various operators, including a major industry player, telling customers it was a government requirement to remove all gas appliances from their property and change to electrical alternatives, at considerable cost. Any South Australian who receives this advice should report it to the Office of the Technical Regulator, either by calling them on 1300 760 311 or by sending them an email at otr.plumbregulator@sa.gov.au.

In response, the South Australian government will take action and penalties apply. A $315 fine, plus the victims of crime levy, applies for performing noncompliant work. The Office of the Technical Regulator will also refer allegations of misleading conduct to the Commissioner of Consumer and Business Services, as there are a range of civil and criminal penalties that apply for breaches of Australian Consumer Law. For offences relating to unfair practices, such as false and misleading representations, bait advertising and wrongful accepting payment:

a body corporate can be fined up to $50 million, and

an offence committed by a person other than a body corporate can face fines of up to $2.5 million.

In addition to the Australian Consumer Law, the Office of Consumer Business Services can take disciplinary action in regard to the contractor's licence that could result in suspension or cancellation.

To be clear, there is no such requirement in South Australia to replace appliances when changing your water heater. I am warning operators that we will fine and even ban companies that engage in this type of conduct.