InkWELS - October 2008
Department of the Environment, Water, Heritage and the Arts, October 2008
WELS Scheme consumer research summary
Market research scope
In 2007, the Department commissioned Quantum Market Research to investigate consumer and industry awareness of the Water Efficiency Labelling and Standards (WELS) Scheme and the use of water efficiency labelling in decision-making.
Research was conducted in all states and territories in metropolitan and regional areas.
Household consumer research was conducted online with a representative sample of 1100 Australian consumers, across gender and age groupings.
Telephone surveys were conducted with 280 non-household consumers across Australia including building/facility managers, builders, architects, schools and retailers.
Key findings from Quantum Market Research, May 2008
- Awareness of water conservation issues and water efficiency labelling is on the rise.
- Energy and water efficiency are gaining greater importance as factors influencing Australians making decisions about purchasing water-using products.
- Awareness of the energy labelling scheme has paved the way for water efficiency labelling.
- Continued promotion of the scheme, including through independent bodies, is vital.
Other highlights
Household consumers
- Almost 6 in 10 consumers are aware of water efficiency labels.
- Most consumers use the internet as their key information source for water efficiency products.
- Ninety-four per cent of consumers surveyed have seen WELS labels on products in stores.
- More than 90 per cent of respondents across all states considered star rating labels to be an important aid in their purchasing decisions.
Non-household consumers
- Reliability is the most important factor when buying, specifying or designing water products. Other prominent considerations include water efficiency, energy efficiency and environmental impact.
- Eighty per cent of non-consumers are aware of water efficiency labels.
- An average of 9 in 10 non-consumers said star ratings for water efficiency not only helped with purchasing decisions but influenced the different factors that determined their specific purchasing choice.
WELS Inspectors can now fine suppliers
The WELS Regulator (Secretary of the Department of the Environment, Water, Heritage and the Arts), announced last month that WELS inspectors can now issue infringement notices for non-compliances with the WELS Scheme. The media release is reproduced below and can also be accessed on the Department’s website at www.environment.gov.au/about/media/dept-mr/pubs/dept-mr01sept08.pdf.
WELS INSPECTORS CAN NOW FINE SUPPLIERS
Stronger action to enforce compliance with the Water Efficiency Labelling and Standards (WELS) Scheme will begin across Australia today.
WELS Regulator and Secretary of the Australian Government Department of the Environment, Water, Heritage and the Arts, David Borthwick said compliance activities with the WELS Scheme until now has focussed on working cooperatively with manufacturers and retailers.
“Educating businesses and individuals about the Scheme and working cooperatively with them has been our initial focus,” Mr Borthwick said.
“Offences can include failure to label a product correctly; failure to register a product with the Government for its water efficiency; and providing incorrect information to the public about the water efficiency of a product.
“WELS inspectors have the authority to issue an infringement notice where there are reasonable grounds to believe that a person has committed an offence in the supply of WELS products. The fine for each offence by a corporation can be up to $6600, and for each offence by an individual up to $1320.
A corporation or an individual may choose not to pay the penalty and instead have a court hear the matter. A court may impose a higher penalty than that in the infringement notice – to a maximum $33 000 per offence by a corporation and to a maximum $6600 by an individual.
The Water Efficiency Labelling and Standards (WELS) Scheme is a star rating system that lets the consumer know how much water certain household products use. With labels similar to the energy rating labels, more stars mean greater water efficiency.
The WELS Scheme is paving the way for all Australians to be able to do their bit to save our valuable resources. By 2021 we could save more than $600 million through reduced water and energy bills by simply choosing more efficient products.
The products currently included under the WELS Scheme are clothes washing machines, dishwashers, tapware (over sinks, but not over baths), showers, toilets, flow controllers (optional) and urinal equipment.
It is also estimated that by using water efficient products, by 2021 domestic water use will be reduced by five per cent, or 87 200 megalitres each year, and save about 610 000 megalitres—this is more water than in Sydney Harbour.
Frequently asked questions about infringement notices
The following questions and answers provide further information about the detail of the WELS Scheme infringement notice system.
Why has it taken so long to get to this stage of actually using infringement notices?
The WELS Scheme has been mandatory since July 2006, which is just over two years. To date, compliance and enforcement activity has focussed on communication activities and educating industry about its legal obligations. Two years is not a long time in the implementation of legislation at both the Commonwealth, and state and territory government levels.
How many non-compliances (including allegations) have been brought to the WELS Regulator’s attention, and what has been done about them?
Since the WELS Scheme became mandatory from July 2006, there have been approximately 126 non-compliances. All have been assessed and appropriate action taken. Only a very small number of these non-compliances remain active (open) cases.
Why use infringement notices?
Infringement notices provide a direct and cost efficient way to resolve offences. They are a much simpler, less onerous alternative to taking a person to court to prosecute them. Prosecution action, however, remains available as an alternative enforcement option.
Who can issue an infringement notice?
Only an inspector appointed under the WELS Act 2005 may serve an infringement notice on a person if they have reasonable grounds to believe that an offence has been committed.
Will inspectors be issuing infringement notices as “on-the-spot fines”?
No. WELS inspectors are visiting retail outlets Australia-wide undertaking education visits and inspections, but they will not be issuing any fines. Infringement notices will be issued from the Department of the Environment, Water, Heritage and the Arts, after careful assessment of information about non-compliances, and according to Departmental compliance and enforcement policy.
How much can the WELS Regulator fine somebody in an infringement notice?
A corporation can be fined up to a maximum of $6600 and an individual up to $1320. Depending upon the circumstances of the matter, the WELS Regulator may choose to fine a corporation (or individual) a lesser amount. All details regarding who is issued an infringement notice, and how much they have been fined, will be confidential.
What is the effect of paying the fine specified in the infringement notice?
Once the fine is paid, proceedings against the person for that particular offence cannot be taken, nor is payment an admission of guilt. However, any future non-compliances may be addressed with a further infringement notice.
What if somebody doesn’t want to pay the fine amount?
The recipient of the infringement notice can tell the WELS Regulator, in writing that they would prefer to have the matter dealt with by a court.
