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DPUC Denies Cianbro Energy Supplier Initialization Fee Waiver Request

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December 8, 2010

The Connecticut DPUC denied Cianbro Energy, LLC's request for a waiver of the supplier setup initialization fee (11/29).

Freedom Logistics LLC, an agent for Cianbro Energy, had sought a waiver from the setup initialization fee by arguing that since Cianbro Energy, as a self-supplier, will not utilize EDI, it should not have to pay the fee, which Cianbro argued is predominantly for EDI testing.

Cianbro Energy had withheld payment of $3,450.80 to United Illuminating for supplier initialization under this interpretation, prompting UI to notify Cianbro that UI considered Cianbro to be in material breach of its supplier agreement with UI.

UI informed the Department that the supplier initialization fee includes additional charges other than EDI testing.  Furthermore, UI said that contrary to Cianbro's claims, EDI testing is still required to be performed when EDI is conducted via email by a self-supplier.

"The fee is not a la carte nor is it time based.  It is an 'average' charge assessed to all suppliers.  The only difference between the UI Service Agreement with Cianbro and other competitive suppliers is the means of electronic enrollment.  All other requirements are the same," UI said in an email to Cianbro.

"Waiving the fee for Cianbro would be discriminatory," UI said.

The DPUC denied Cianbro's motion for a waiver of the electric supplier setup initialization fee, noting that the Department previously refused to grant a similar request for a waiver by WFM Intermediary New England Energy, LLC, another self-supplying entity.


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