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Texas Retail Provider to Pay $25,000 to Resolve Allegations of Unauthorized Switches

February 11, 2013

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Copyright 2010-13 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

First Choice Power Special Purpose, L.P. has entered into a settlement agreement with Staff of the Public Utility Commission of Texas to resolve an investigation into alleged violations of PURA § 17.004 and 39.101, and P.U.C. SUBST. R. 25.474, concerning selection of a retail electric provider.

First Choice Power would pay $25,000 to resolve the allegations. The settlement provides that neither the payment of the penalty amount by First Choice Power nor anything in the settlement agreement shall be construed as an admission of liability by First Choice Power.

The settlement states that: "The evidence indicates the violations occurred prior to the closing date of the acquisition of First Choice by Direct Energy on November 1, 2011. Since the acquisition, First Choice has taken reasonable steps to ensure the data provided by the applicant was correct and sought to conform to the Customer Protection Rules in good faith."

Specifically, Staff alleged that First Choice Power violated P.U.C. SUBST. R. 25.474(g) by switching a customer's retail electric provider without proper authorization in nine complaints.

Docket: 41208

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