Telstra Called To Account Over Online Billing

The Sunday Age

Sunday March 2, 2008

Tom Reilly

TELSTRA customers are being told to go online if they want to check their bills as the phone giant phases out itemised invoices.

Customers will soon receive only a two-page summary bill each month.

Telstra wants to introduce paperless billing to five million households by June. The company says online billing is part of a drive to cut paper usage.

But consumer groups and organisations representing pensioners fear the change will make it more difficult for customers to identify billing errors.

Baldeep Gill, a spokesman for the consumer advocacy website NotGoodEnough, said the change could lead to increased overcharging.

"A large number of people who contact our site have complaints about Telstra and the amount of mistakes they are making already," he said. "By telling people to go online to check their bills it's obviously going to make it harder for people to spot these.

"A detailed paper statement in the mail allows a quick scan to identify errors. Of course, we could check each statement online, but would people go to this effort?

"There is also a sense in which Telstra is just pushing the cost of printing onto its customers. Many people will want to print off the bill, which means they will have to pay the cost of the paper themselves. That also undermines the (environmental) argument."

Telstra's billing and credit executive director, Mark Leo, said research groups among the firm's customers showed people were not opposed to online billing and that the new system would lower paper consumption and costs.

"From the research we've done it's a win, win, win situation," Mr Leo said. "The new bill will average two pages as opposed to the current seven.

"From our studies and from speaking to customers, we feel that most people are happy with the changes.

"The new bill will see 285 million sheets of paper saved annually and that ties in with our commitment to the environment. This in turn will lead to savings of some $23 million over three years.

"We will also offer our customers the option of getting their full bill, and they can do this by calling our services department."

Some customers have rejected the new billing process.

Mardi Hatherell, a retired industrial adviser from Brunswick, who has a landline, mobile phone and an internet service from Telstra, said everybody knew Telstra made mistakes. "These will be brushed under the carpet with this new system as I think most customers won't be bothered to go online and check," she said.

"It also strikes me that this is part of a bigger plan to encourage people to take up Telstra's internet services.

"And while you can ring up and ask for a bill if you want one, anybody who has had any dealings with Telstra will know what a tricky process that will probably be."

Michael O'Neill, the chief executive of National Seniors, an organisation that protects the rights of those over 50, said the plan would particularly disadvantage the elderly because most did not have home access to the internet.

"These are people who have grown up with a clear paper bill explaining their charges - why should they be expected to change now?" he said.

"We would urge Telstra to rethink their policy immediately."

The number's up for paper records

? Telstra says its new summary will be on two sheets, compared with the current bill average of 7.2 pages.

? The company estimates the process will save 285 million sheets annually.

? If those saved pages were laid end to end, they would circle the planet twice.

? Paper use per employee at the company has fallen from nine reams in 2005 to 7.2 reams in 2006/07, a reduction of 20%.

© 2008 The Sunday Age

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