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Energy Australia fined $1m over door-to-door sales practices

Staff writer |
Energy Australia has become the latest electricity retailer to be slapped with a substantial fine for its door-to-door sales practices.

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The Federal Court has ordered Energy Australia to pay $1.2 million, a decision which follows fines issued to other energy retailers in recent years for similar sales tactics.

The Australian Competition and Consumer Commission (ACCC) took Energy Australia to court last year for conduct that took place in Victoria, Queensland and New South Wales between July 2011 and August 2012.

The court found Energy Australia sales staff made false and misleading representations and engaged in misleading and deceptive conduct while calling on consumers in their homes to negotiate electricity agreements.

"This is another important outcome in the ACCC's focus on door-to-door sales tactics in the energy industry and follows other significant penalties ordered against some of the largest energy retailers in Australia," ACCC commissioner Sarah Court said.

"The message to the industry is clear. Energy companies must act now to ensure that their sales agents and representatives comply with the Australian Consumer Law and do not engage in illegal sales practices."

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