Minimising non-compliance and risk

Last year, NSW Fair Trading issued a warning to consumers about the potential risk of using non-compliant electrical products, especially USB-style chargers. To minimise danger the body announced it would no longer tolerate the sale of unapproved products in Australia and threatened that corporations that do not adhere to Australian Electrical Safety Standards would face penalties of up to $875,000.

Despite these changes and considerable company fining, consumers are still not aware of the risks and the potential for faulty products entering the market remains high. The transient nature of political parties has also hindered regulators from implementing stricter standards. Because of this, the onus is also on electrical contractors to ensure they purchase quality electrical products. On top of this, the rise of direct online purchasing means the need to educate consumers on product reliability and safety has now become more important than ever.

Although Australia is highly regulated in numerous sectors, there is very little review process for electrical goods, especially in comparison to similar markets like the US and UK.

The electrical sector in the US, for example, has a strict verification and screening process for products before they go to market, demanding products reach high standards of safety and functionality before being approved for the market. Online selling is also observed closely so counterfeit products are recognised and removed quickly. This intense screening not only ensures the integrity of local and international electrical companies but also safeguards the wellbeing and belongings of consumers.

In some instances the Australian market will prohibit products found to be sub-quality in the US market. But in the majority of situations, Australia is considerably more reactive in the identification and prohibition of such faulty goods. Overseas manufacturers have taken advantage of these factors to exploit limitations in regulatory systems and flood the market with sub-par products. As a result of this, it has become critical for the electrical industry to self-regulate at a contractor level, especially considering consumers are increasingly accessing products directly through wholesalers and online retail.

The rise of e-commerce has caused a major shift in the Australian electrical products market. With the flurry of products available, it isn’t uncommon for consumers to do their own research on the electrical solutions available. But these products aren’t necessarily the best and they may not comply with Australian Electrical Safety Standards.

What customers don’t always understand about electrical purchases is that they present a much higher risk than other products they may purchase. For example, if they purchase a faulty or lower quality item of clothing, it will fade after a couple of washes or break apart after a few wears. With electrical goods, the potential problems are much more serious. We’ve even encountered non-compliant household products that have reached temperatures of up to 100°. They can also cause electrical shocks, create electromagnetic interference, damage devices or even start fires.

It’s important that electrical contractors explain to customers the risks that they face when purchasing cheaper electrical goods that may not meet Australian Electrical Safety Standards. This is especially significant considering many customers today are savvy when it comes to purchasing goods through a website, directly for themselves. Whether manufactured locally or overseas, not all products sold in Australia meet these safety standards, and the onus is on the end user and their electrical contractor when it comes to potential risks.

When customers buy products from electrical contractors they do so in good faith and expect them to work effectively for a long time. While contractors may pride themselves on their ability, the recommendation of a product that isn’t completely functional will reflect negatively on their expertise and the advice they give. Electrical contractors should be aware that everything they do can affect their business in the short and long term. Buying quality products from reputable wholesalers with strong reputations can minimise these risks. When working with cheaper products from lesser-known brands, asking for compliance documentation and test reports is a simple way to cover liabilities and avoid trouble down the track.

Despite the efforts of regulators, non-compliant goods are still reality in Australia. It is the responsibility of contractors to be aware of the pitfalls that exist in the sector and to educate consumers who may be searching for the best price rather than the best fit. Contradicting those who employ contractors can be a delicate situation, but the alternative - authorising the use of poor functioning or dangerous goods - is a much greater risk. The reputation of the individual, the company and the industry as a whole is affected by these decisions. Awareness of these issues is high in the industry, but more education for both contractors, as well as consumers, is needed to reduce the possibility of dangerous situations.

Electrical contractors can be assured of high-quality products by working with brands with strong reputations. This not only protects their business, but also the safety of their customers. A detailed adherence to Australian Electrical Safety Standards also ensures an efficient and worry-free experience. Clipsal’s products, such as its USB charger mechs, are manufactured to a high standard to suit the needs of Australian homes and businesses and have been developed using Schneider Electric’s global expertise.

Image supplied by Schneider Electric.