Mercury Energy is accused of "appalling" behaviour after gagging the couple hit with a $55,000 electricity bill.
Gary and Judy Inglis, who own Smitty's Sports Bar and Grill in Whitianga, received the demand after the power giant misread their meter.
When they refused to pay, Mercury's parent company, State-owned enterprise Mighty River Power, began proceedings.
When the story was reported last week, Mercury insisted the couple had to pay.
This week, the couple said Mercury dropped the charges - but had threatened to reinstate them if they spoke publicly.
Mercury spokeswoman Marie Hosking refused to comment.
Labour's energy spokesman Charles Chauvel said Mercury's conduct was "appalling".
"If the arrangement's been made to disregard the bill, these people should be left alone. Labour doesn't want to see State-owned enterprises harrassing people or trying to stop them from commenting."
Mighty River Power chief executive Doug Heffernan said he would be happy to speak to Chauvel about his concerns.
Couple's silence demanded over $55,000 power bill
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