Junior utility group Australian Power & Gas (APG) has become the third utility to be hit with fines in excess of $1 million for aggressive door-to-door selling.
Major utility AGL Energy will foot the bill however, having acquired the company and its 354,000 customers several months ago for $100 million.
The Federal Court ordered the $1.1 million fine on Thursday, declaring that APG had broken Australian consumer law.
The action is one of five being taken by the Australian Competition and Consumer Commission (ACCC) after what it says are large volumes of complaints about unfair tactics and harassment that targets vulnerable customers.
One APG salesperson had engaged in unconscionable conduct selling to a person from a non-English speaking background, the court found.
Others falsely claimed APG was affiliated with the consumer's existing energy retailer or the government, and customers were told they would receive a discount off their energy bill if they signed up.
"Door-to-door sellers who use unfair sales tactics and mislead consumers into entering into agreements will face serious consequences," ACCC chairman Rod Sims said.
AGL was itself fined $1.6 million this year and Neighbourhood Energy $1 million for door-to-door selling infringements, while two separate cases against Origin Energy and marketing company SalesForce and EnergyAustralia are continuing.
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