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Posted: 2023-06-02 04:22:57

The federal government is working on a new law to explicitly make it illegal to charge more for products and services because a client is on the National Disability Insurance Scheme (NDIS).

That practice has been referred to as a twin pricing regime, with countless examples of the same product being advertised or sold at an inflated price once it is known a client is on the NDIS.

Australia's Competition and Consumer Act makes it illegal to engage in unconscionable conduct, but pursuing a case of this nature can be expensive and requires substantial evidence.

NDIS Minister Bill Shorten said existing rules had failed to discourage the practice.

"An aluminium shower chair is $150 if you buy it from wherever, but then I've seen the exact same chair advertised and you put the words 'NDIS shower chair' and you get to pay $600 for it," Mr Shorten said.

"That's just wrong — it's immoral, it's profiteering."

"It should be illegal to have a twin pricing regime for the same product and the same service purely based on the fact you have an NDIS package."

Mr Shorten has told the annual NDIS conference in Sydney that he met with Assistant Minister for Competition Andrew Leigh and the Australian Competition and Consumer Commission (ACCC) to discuss creating the new law.

"I've asked the ACCC, is it possible to give us a specific, for-purpose regulation which will make it illegal," he said.

"There should be no business model in Australia which makes its profits by discriminating against people with a disability, and I promise we're going to do a lot more on this sooner rather than later.

"Some providers and contractors shouldn't view the NDIS as a chance to build a verandah on their beach house."

The co-chairs of the NDIS review say the scheme does not incentivise quality services. ()

Scheme prioritises competitiveness over quality

The operation of the NDIS does not incentivise high-quality services, fails to drive efficiency and allows for a culture of fulfilling plans at the maximum cost, according to the co-chairs of a wide-ranging review of the scheme.

Bruce Bonyhady and Lisa Paul have flagged a series of potential changes to the scheme, pointing to a lack of clarity, information and fairness ahead of handing down their review into the decade-old scheme in October.

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