URCO Launches Second Public Consultation on Proposed Truth In Advertising Rules

The Utility Regulation and Competition Office (“URCO or the “Office”) on July 21st announced the launch of its second public consultation on the Draft Determination for the proposed Truth in Advertising Rules, aimed at promoting transparent and accurate marketing communications across the Electricity, Fuels, ICT, and Water sectors in the Cayman Islands.

The proposed Rules represent a significant milestone in consumer protection, seeking to ensure that all advertising by Authorisation Holders is truthful, substantiated, and not misleading or deceptive. These Rules are intended to replace the former Information and Communication Technology Authority’s Truth in Advertising Guidelines, creating a unified, enforceable framework applicable to all sectors under URCO’s jurisdiction.

Key Enhancements in the Proposed Rules:

• Clear requirements for substantiation, pricing statements, endorsements, testimonials, and after-sales service.

• Inclusion of digital and internet-based marketing communications, such as social media and SMS advertising.

• Mandatory disclosures for comparative claims and promotions using terms like “unlimited” or “free.”

• Specific remedies and enforcement measures for breaches, including administrative fines, public reprimands, and cease and desist orders.

• Accessibility requirements to ensure marketing materials are usable by persons with disabilities.

Following an earlier consultation initiated in 2019, URCO reviewed stakeholder feedback from major sectoral providers including Logic, Flow, Digicel, and Water Authority Cayman, as well as a private citizen. While supportive overall, respondents highlighted areas such as fairness, enforceability, and definitions requiring clarification. These were addressed in the revised Proposed Rules.

URCO’s CEO Mr. Sonji Myles commented:

“Protecting consumers is central to our mission. The revised Truth in Advertising Rules will be a critical regulatory tool to ensure fair and transparent commercial practices across all regulated utility sectors.

We invite all stakeholders to participate in this consultation and help shape a regulatory framework that reflects the public interest.”

The consultation is now open to all stakeholders and members of the public. Comments must be submitted by 5:00 PM on 21 August 2025.