1st Energy has admitted sales reps made representations that were likely false or misleading

An electricity retailer will have to make amends to Tasmanian consumers who were misled by telemarketers. FULL REPORT >>

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THE Australian Competition and Consumer Commission says an electricity retailer likely misled Tasmanians during an unsolicited telemarketing campaign in 2019.

The ACCC has accepted a court-enforceable undertaking from 1st Energy Pty Ltd in relation to representations made to consumers.

Between February 18 and August 23 2019, third party sales representatives for 1st Energy cold-called Tasmanian residential energy customers who had accounts with the state’s incumbent electricity provider Aurora Energy and offered them a five per cent discount for paying on time.

1st Energy has admitted the sales representatives made several representations that were likely to be false or misleading in breach of the Australian Consumer Law.

The sales representatives told certain customers that they represented independent energy comparators or experts or led them to believe they were calling on behalf of Aurora.

The 1st Energy sales representatives also represented to some consumers they would get a discount on their existing Aurora energy plan, when the offer actually applied to a 1st Energy plan.

1st Energy also admitted some consumers were told they would have an option to switch energy suppliers or enter into a contract after the call, when the sales representatives intended to initiate the switch immediately after the call.

“Consumers who receive unsolicited marketing calls have a right to expect that the caller will not mislead them about who they are and what they are offering. Nor should consumers be signed up to any contracts without their explicit consent,” said ACCC Commissioner Sarah Court said.

1st Energy has pledged to contact affected customers by February 1 and help them exit their contracts without charge.