Bathroom fittings manufacturer Methven Ltd has been fined $50,000 for misleading consumers over its shower heads.
The company pleaded guilty to nine breaches of the Fair Trading Act in the Waitakere District Court.
Its advertising had claimed significant savings for both hot water energy and total water use from using a showerhead water flow restrictor.
However, a Commerce Commission investigation found that about 60% of New Zealand showers already achieved those lower flow rates - so they would not have saved anything.
Commerce Commission enforcement manager Greg Allan says for consumers to make informed decisions, businesses must ensure any claims they make are accurate.