Although contractors were responsible for the contraventions, AGL was fined because it was the supplier on behalf of which negotiations were being conducted. The court found that the salesman engaged by CPM to sell gas and electricity door-to-door in Victoria "made false representations and engaged in misleading and deceptive conduct during uninvited calls on consumers", the ACCC said. One particular door knocker misrepresented his visit, such as claiming he was not selling anything, and made false or misleading statements about the prices charged by AGL and other suppliers. According to orders released by Justice John Middleton today, a Coburg resident, called Mr G in court documents, was called upon by a representative of CPM in September 2011. The representative claimed he was from an "Investigations Department" and that Mr G had been overcharged for electricity and could reclaim the money. "In order to avoid being overcharged for the supply of retail electricity and/or retail gas, it was necessary for Mr G to obtain retail electricity and/or retail gas from the distributor of those products [and] if AGL was Mr G's retail electricity supplier his retail electricity bill would be between $100 and $120 per quarter," Justice Middleton wrote.

However, this was not the case, and CPM was found in breach of four sections of the Australian Consumer Law. Another resident was told she would not have to pay her last bill if she said "yes" to all the questions asked of her in a telephone conversation. The door knocker also failed to tell residents that they could ask him to leave the premises immediately. In South Australia a resident was told her energy supplies would automatically revert back to AGL SA after two years, when this was not the case. CPM has been ordered to implement a compliance program on top of the $200,000 fine and publish corrective advertising in newspapers.

AGL Sales was fined $1.48 million for breaching two sections of the Australian Consumer Law, while AGL SA was fined $70,000. The two sections breached relate to misleading and deceptive conduct, and dealers clearly identifying themselves and advising consumers they have a right to ask the dealer to leave immediately. Both companies must print notices in local newspapers and send all customers a list of a their rights when approached by door-to-door sales people. AGL's general manager of retail energy, Stephen Mikkelsen, expressed regret the breach had occurred and called on the rest of the energy industry to stop door knocking. “This case demonstrates how difficult it is to control what salespeople do when they are at people’s premises. Even if a company puts significant training and compliance mechanisms in place, doorknocking remains a risky sales technique,'' he said. "Doorknocking also preys on susceptible segments of the community, such as the elderly and migrants. Those companies still undertaking the practise are doing harm to the energy sector’s reputation."

Meanwhile, the ACCC pointed out Neighbourhood Energy and Australian Green Credits were last year also fined significant sums for door-to-door sales tactics. "These significant penalties send a clear message to businesses that do not adhere to their obligations under the Australian Consumer Law. The ACCC will not hesitate to take action to protect consumer in their homes from unscrupulous sales tactics and enforce compliance with the laws," the ACCC chairman Rod Sims said in a statement. EnergyAustralia, formerly TruEnergy, stopped door knocking on February 25 this year. In March, the ACCC launched legal action against EnergyAustralia in the Federal Court for misleading and deceptive conduct in 2011 and 2012. A trial is due to start in the second half of this year. The conduct related to behaviour by employees of third parties. "Customers have given us clear feedback that door knocking is not their preferred way of dealing with energy retailers,'' the group executive manager of retail at EnergyAustralia, Adrian Merrick, said at the time. “Reasons for this have ranged from inconvenient timing, through to individual cases of poor customer experience.” Meanwhile, the only major energy retailer still using door-to-door sales people is Origin Energy. A spokesman said it was ''currently undertaking a review of the residential door to door sales channel, the results of which will inform the company's future involvement in the [sales] channel".