More than 11,000 iiNet and Internode customers will be eligible for compensation after being sold NBN plans with unachievable maximum speeds.
The Australian Competition and Commission (ACCC) announced today that the TPG subsidiaries would compensate fibre to the node (FTTN) and fibre to the basement (FTTB) customers that had paid for speeds their lines were not capable of achieving.
Customers will be able to move to lower speed tiers plans and receive a refund or exit their plan and receive a refund.
In December, the ACCC announced that around 8000 TPG customers would be eligible for compensation.
Telstra in November revealed that it would compensate some 42,000 FTTN and FTTB customers. Optus last year pledged to compensate around 8700 NBN customers.
“iiNet and Internode have admitted that between 2015 and mid-2017, they both likely engaged in misleading or deceptive conduct or made false or misleading representations by promoting and offering NBN plans with maximum speeds that could not be delivered,” ACCC Commissioner Sarah Court said in a statement.
Almost two-thirds of iiNet customers with top-tier FTTN plans could not achieve the advertised 100/40Mbps speeds.
More than a third of Internode customers who paid for 100/40Mbps FTTN plans could not achieve the advertised speeds. The ACCC said that more than a quarter of those customers could not even achieve 50/20Mbps.