A central Queensland company has been fined a total of $135,000 following the death of a teenager working under the Federal Government's failed insulation scheme.

Rueben Barnes, 16, was working for Arrow Property Maintenance Pty Ltd to install fibreglass batts in the ceiling of a home at Stanwell, west of Rockhampton, on November 18 last year.

The first-year apprentice carpenter was working with two other men when he was electrocuted while using a steel pole to move the insulation into place.

The directors of the company, Richard and Christopher Jackson, were charged with breaching the Electrical Safety Act and the Workplace Health and Safety Act.

They pleaded guilty to both charges in the Rockhampton Magistrates Court on Tuesday.

Representatives from Fair and Safe Work Queensland told the court a pre-existing defect in the wiring of the house was the main cause of the accident.

Barrister Peter Matthew said a screw had been drilled through the ceiling, piercing a 240-volt electrical cable and electrifying a metal batten in the ceiling cavity.

Investigations showed the young worker was electrocuted when he stood up and part of his head behind his right ear came into contact with the batten while he was holding the aluminium pole.

Mr Matthew said the company failed to provide basic safety measures that could have prevented the incident.

He said Mr Barnes was inexperienced and had been given no formal training.

He said the company had breached the Electrical Safety Authority Act by allowing the use of a conductive tool on the work site.

For this offence they were fined $110,000.

The court also heard the company had not carried out a recommended safety inspection of the work site before starting the installation.

Mr Matthew told the court it was common practice for insulation to be installed in homes while the power supply is connected.

He told Magistrate John McGrath there were no Australian laws that required the power supply to be shut off while the work was carried out.

The company was also penalised under the Workplace Health and Safety Act for not using fall protection where a ladder was used at a height of more than three metres.

Mr McGrath fined the company $25,000 for the breach.

Employers 'deeply affected'

Defence lawyer Cam Schroder said the owners of Arrow Property Maintenance were unaware the steel pole was being used to install insulation.

He said it took investigators three days to find the pre-existing defect in the home and there was no way a 20-minute safety inspection by a senior employee could have identified the hazard.

Mr Schroder said Mr Barnes was a friend to Richard and Christopher Jackson and his death had affected them deeply.

Both men have since been declared bankrupt.

Mr Schroder said Richard Jackson's marriage had broken down as a result and Christopher Jackson was now living in a pub.

Outside court, Mr Schroder spoke on behalf of Arrow Property Maintenance, and said the Federal Government must shoulder some of the blame.

"Where was the protocol, risk assessment and work method statements that the Government had set out? There was none," he said.

He says former federal environment minister Peter Garrett should also be held accountable.

"Peter Garrett should say sorry and the Federal Government should consider making an ex-gratia payment; even if they don't admit liability they can make a payment of compensation to the families who have lost a loved one," he said.

Earlier during sentencing, Justice McGrath said it should serve as a warning to all employers who neglect their duties to provide safe workplaces for their employees.

But he acknowledged the sentence would do little to alleviate the grief and loss felt by the teenager's family.

"It is clearly evident that no sentence this court imposes will be of any comfort to them," he said.

"He was a much-loved and very loving son and brother."

About 20 family and friends of Mr Barnes were in the gallery when the matter was heard on Tuesday but did not appear at the sentencing this afternoon.

Safety switches

Master Electricians Australia (MEA) says if safety switches were fitted to the home, it would have saved the teenager's life.

MEA chief executive Malcolm Richards says two other deaths under the Federal Government's axed insulation scheme could also have been prevented by the devices.

Current Australian laws make it compulsory for general power and lighting circuits on new homes to be fitted with safety switches, but Mr Richards says the laws should be extended to include all household circuits and existing homes.

He says MEA encourages its members to switch off power to the property before carrying out insulation or electrical work, even though it is not required by law.

"The nature of legislation in Australia allows for employers to actually determine the best and safest way to ensure the safety of their workers, Mr Richards said.

"Mandating prescriptive rules which indicate a particular procedure may or may not achieve the best outcome.

"There are other precautions they can take to make the place safe while they do work in the ceiling such as safety switches," he said.

Best defence

Mr Richards says one in five homes have existing faults similar to that which caused the death of Mr Barnes.

"For home owners the best defence they can have to protect against these problems is to upgrade to safety switches on all of their circuits."

Queensland Premier Anna Bligh says the State Government will learn valuable lessons from the tragedy.

She says the Government will consider recommendations for changes to electrical safety laws.

"The Attorney-General, who has responsibility in this area, has been meeting with MEA on this very issue about what is achievable and how we can make it safer," she said.

"We'll work with them - we want to make sure we get the balance right between the cost to householders and safety requirements."