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UI Considers Cianbro Energy in Material Breach of Supplier Agreement
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November
29, 2010
United Illuminating has informed Cianbro Energy, LLC that UI considers Cianbro Energy to be in material breach of Cianbro's obligations under the supplier service agreement executed with UI, due to an unpaid invoice.
The invoice, whose amount was not listed, is for services rendered under the supplier
service agreement, specifically, supplier setup and initialization. Cianbro Energy,
which is a subsidiary of the construction company Cianbro for purposes of self-
In a letter to Cianbro Energy also filed with the DPUC, UI stated that it has received an email from Cianbro Energy indicating that the invoice will remain unpaid.
UI stated that in accordance with the terms of the supplier service agreement, it may terminate the supplier service agreement with Cianbro within 15 days of Cianbro's receipt of UI's written notice of material breach, which was sent November 23, if the breach is not cured.
Previously, as only noted in Matters, Cianbro had asked the DPUC for a waiver of
the supplier initialization fees at Connecticut Light & Power and UI (4/9/10). Cianbro
had argued that the supplier initialization fee of $3,450.80 at each utility is,
"intended to recover the full cost of performing the EDI testing and training with
the new supplier." However, as Cianbro said that it would rely on the provision allowing
self-
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