New standards to improve telco communication during outages

Minister for Communications Michelle Rowland has directed the Australian Communications and Media Authority (ACMA) to make enforceable industry standards to improve how telecommunications companies communicate with customers, particularly during major outages.

The work stems from the Post-Incident Review of the Optus outage of 8 November 2023, led by Richard Bean, whose recommendations set out a framework to help reduce the impact of future outages on the Australian community — including improving communication and complaints processes.

The newly announced Telecommunications (Customer Communications for Outages Industry Standards) Direction 2024 requires the ACMA to make new rules to ensure telcos keep customers informed and updated regarding major outages, whether through website updates, email updates, social media updates, or radio and television news bulletins. This is designed to address one of the key shortcomings of Optus during the November 2023 outage, and establish clear regulatory expectations to drive better industry communications.

The ACMA will also make rules to improve customer communications during significant local outages that are smaller in scale than major outages. Moreover, it will review the existing Complaints Handling Industry Standard to ensure complaints processes are effective for consumers in the context of network outages.

“The Optus outage on 8 November 2023 shone a light on systems and processes in the telecommunications ecosystem that are in critical need of reform,” Rowland said. “The directions I have issued … will help improve how telcos communicate and engage with their customers in outage situations.

“Telecommunications services are essential for participation in modern life, and ensuring that systems and processes are working to support people during stressful outages is fundamental.”

Rowland encourages all stakeholders to work constructively with the ACMA on the development of the industry standards, stating, “I am conscious that we cannot achieve these important outcomes without all stakeholders working together, including government, regulators, consumer groups, industry and the Telecommunications Industry Ombudsman. I thank all stakeholders for their continued engagement and efforts in prioritising this work.”

The Telecommunications Industry Ombudsman (TIO) has welcomed the new rules for telcos, having called for minimum communication standards during outages in the wake of the Optus event last year.

“Telecommunication services are essential services — and when there is an outage, it’s imperative that customers receive timely and relevant information about their circumstances,” Ombudsman Cynthia Gebert said. The announcement of further rules to enhance the quality of communication should thus help to ensure that consumer protections meet community expectations for the delivery of an essential service.

The TIO also supports the government’s direction to the ACMA to undertake a review of the Complaints Handling Standard, which guides how telcos respond to complaints from customers.

“Many of the telco customers who contact my office report unsatisfactory interactions with their telcos, both during outages and when they have other issues,” Gebert said. “I’m pleased that a new standard will be introduced to lift the bar on the quality of communications with consumers during major events. This will support consumer trust and confidence in the telco sector.”

Gebert agreed with Rowland’s comments that the Optus outage exposed significant areas within the broader telco sector in need of reform, stating, “Minister Rowland is right to suggest that we can improve the telco sector for consumers if we all pull in the same direction. Today’s announcement is a win for customers and for the broader sector.”

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