Compliance and enforcement
The Water Efficiency Labelling and Standards Act 2005 (WELS Act) provides an effective framework for conserving water by reducing demand through the provision of water efficiency information to purchasers of water-using products and promoting the adoption of efficient water-saving techniques.
The Department promotes self regulation and encourages suppliers of WELS products to act in accordance with their obligations under the WELS Act. Measures include targeted communication and education activities, timely provision of information and advice, persuasion, cooperative assistance and collaboration.
The Australian Government's approach to compliance with the WELS Act is outlined in the Department of Sustainability, Environment, Water, Population and Communities' Compliance and Enforcement Policy .
Offences under the WELS Act
There are six offences under the WELS Act relating to the supply of WELS products:
- the product is not registered (section 33)
- the product is registered, but is supplied unlabelled, or without the appropriate water efficiency information in text form (section 34)
- the product does not comply with minimum water-efficiency standards (section 35)
- the product does not comply with minimum general performance standards (section 36)
- the product is supplied using the WELS standard, or information that is inconsistent with the standard (section 37) and
- the product is supplied using information that is inconsistent with the WELS standard for that product (section 38)
These offences all attract a penalty of 60 penalty units and are offences of strict liability. The offences apply to both corporations and individuals (e.g. sole traders and partnerships).
What is a penalty unit?
A penalty unit is defined at section 4AA of the Commonwealth Crimes Act 1914 and is $110. This amount is multiplied by five for a corporation.
What is strict liability?
Offences that attract strict liability remove the need for the prosecution to prove fault by the corporation or individual accused of committing an offence. The only defence available against an offence attracting strict liability is the defence of mistake of fact.
Sections 6.1 and 9.2 of the Schedule of the Criminal Code Act 1995 describe strict liability and mistake of fact respectively.
Enforcement powers under the WELS Act
The WELS Act includes a broad range of enforcement mechanisms for managing suspected or confirmed instances of non compliance. These mechanisms include:
- Enforceable undertaking
An enforceable undertaking is a written undertaking between a WELS product supplier and the WELS Regulator, documenting that the supplier will undertake certain actions by a required date to become WELS compliant. The enforceable undertaking is made under section 42 of the WELS Act and if not complied with, the WELS Regulator may apply to the Federal Court for an order to enforce the undertaking. - Injunction
An injunction may be obtained to require a WELS product supplier to engage in certain conduct (e.g. to remove products from supply). - Prosecution
A request is made to the Commonwealth Director of Public Prosecutions for the supplier of the WELS product to be prosecuted in court. - Infringement Notice
An infringement notice specifying a pecuniary penalty may be issued if a WELS inspector has reasonable grounds to believe that a person has committed an offence. Payment of the fine is provided as an alternative to prosecution. The fine amount permitted in an infringement notice is one-fifth of the maximum that a court could impose as a penalty for that offence. For an offence by a corporation, the maximum penalty that could be imposed by an infringement notice is $6600. The maximum a court could impose for the same offence is $33 000. For an offence by an individual, the maximum penalty that could be imposed by an infringement notice is $1320. The maximum a court could impose for the same offence is $6600.
Enforceable undertakings given to the WELS regulator
2011
December
Seven companies from New South Wales and Westrn Australia have agreed to improve their business practices and provide awareness training to staff after failing to comply with national water efficiency labelling and standards legislation at their business premises.
- Companies breach water efficiency and labelling laws - media release 12 December 2011
- The enforceable undertakings:
- Apollo Investments (WA) Pty Ltd (PDF - 1,870 KB) | (Word - 136 KB)
- Budget Kitchens & Plumbing Supplies Pty Ltd (PDF - 2,930 KB) | (Word - 134 KB)
- Bunnings Group Ltd (PDF - 1,740 KB) | (Word - 126 KB)
- Just Bathroomware Pty Ltd (PDF - 1,750 KB) | (Word - 132 KB)
- Kaddle Pty Ltd (PDF - 1,690 KB) | (Word - 133 KB)
- Manifis Station Pty Ltd (PDF - 3,070 KB) | (Word - 124 KB)
- Randall Nominees 2001 Pty Ltd (PDF - 424 KB) | (Word - 131 KB)
August
Three companies from the Australian Capital Territory, Queensland and Victoria have agreed to improve their business practices and provide awareness training to staff after failing to comply with national water efficiency labelling and standards legislation at their business premises.
- Companies breach water efficiency and labelling laws - media release 8 August 2011
- the enforceable undertakings:
2010
December
A Queensland company has offered a business improvement plan aimed at improving Water Efficiency Labelling and Standards (WELS) compliance and providing awareness training to staff after the WELS Regulator determined that the company had failed to comply with WELS legislation at two of their business premises.
- Company breaches water efficiency and labelling laws - media release 23 December 2010
- the enforceable undertaking:
WELS inspectors
An Australia-wide network of WELS inspectors undertakes both random and targeted inspections.
WELS inspectors have numerous powers under the WELS Act, including searching WELS premises, taking photographs and seizing evidential material.
Testing products
A program is currently being implemented to test WELS products for their claims against test reports submitted when products are registered. This testing regime is commonly referred to as 'check-testing'.
The program involves independent testing of a range of models in each product category. When fully implemented, the program will target models that are attracting complaints, as well as those with high water efficiency ratings. As rebates apply for products with high star ratings, manufacturers are keen to include such models in their product lines to ensure their claims are valid.
Report a suspected breach of the WELS Act
The Department takes compliance of the WELS Act seriously and all reported or detected contraventions of the WELS Act are subject to initial assessment to ascertain their priority for further compliance and enforcement action. Prioritisation is undertaken to ensure the department’s investigative resources are used in the most effective manner.
If you would like to discuss a WELS compliance issue with the Department or you have reason to believe that a breach of the WELS Act has occurred, please contact us. Contacting us directly will ensure that any queries you have are answered promptly. When reporting information on a possible breach of the legislation, your details remain confidential.
Contacts
| Phone: | free call on 1800 218 478 |
| Fax: | 02 6274 2322 |
| Post: | WELS Program Section |
Further information
For further information see:
- WELS Scheme inspectors: Their powers and your rights
- Questions to ask your supplier of WELS Scheme products
- Other WELS publications
