Origin Energy referred six customers experiencing family violence to a debt collection agency.
The provider has paid $295,872 in penalties for eight breaches of Victoria's energy laws after self-reporting the violations.
The law requires energy retailers to consider the impact of debt recovery on affected customers before seeking to recoup overdue payments.
The company failed to provide a safeguard that was required to be offered for vulnerable customers under the Energy Retail Code of Practice, the Essential Services Commission said.
Businesses are strongly urged to have robust processes to meet their obligations to protect customers, Commissioner Sitesh Bhojani said.
"Customers who are affected by family violence have an entitlement to safe, supportive and flexible assistance from a retailer when managing their personal and financial security," Mr Bhojani said.
Impacted customers have had all their outstanding debts waived and the company has apologised, an Origin spokesperson said.
"They were the result of human error, and we have updated processes for our staff to eliminate the risk of the same error occurring again," the spokesperson said.
In December 2023 the commission commenced civil court proceedings against Origin for allegedly failing to meet their obligations in life support and payment assistance.
The commission also took the energy provider to court in February 2024 over alleged failures related to billing and disconnections.
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