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PUC Sends $59,000 Settlement With Retail Supplier Back to Parties, Seeks More Info

March 7, 2014

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

The Pennsylvania PUC has sought more information regarding a settlement between Enforcement Staff and ResCom Energy LLC under which ResCom would pay $59,000 to resolve an investigation into alleged slamming, Do Not Call violations, and other marketing violations.

The settlement had been first reported by EnergyChoiceMatters.com (click here for prior story for details)

An I&E investigation had centered on allegations of slamming and related unauthorized marketing practices received in 2012 from multiple sources, including consumer complaints received by the Commission's Bureau of Consumer Services (BCS), reports from two electric distribution companies (EDCs), other EGSs, and other direct consumer contacts with Commission Staff.

"We do not feel ... that the Commission has enough information to evaluate whether the civil penalty and corrective actions are sufficient to address the alleged violations. Specifically, complaints against ResCom allege violations of the Commission's anti-slamming regulations. The remedial actions outlined the Settlement Agreement, however, all relate to marketing practices. Therefore, we seek further information on how ResCom has revised its operation procedures so as to safeguard against future slamming incidences," said PUC Chairman Robert Powelson and Commissioner Pamela Witmer in a motion adopted by the Commission.

Further, neither the Settlement Agreement nor the statements in support contain sufficiently clear information as to the total universe of potential customers that were affected by ResCom's actions in question.

"We note that I&E's Statement in Support references 14 Bureau of Consumer Services complaints containing 49 potential regulatory violations. It is not clear, however, whether those 49 potential violations were instances of alleged slamming, Do Not Call violations, both, or something else. Further, it appears from our reading of the case documents that other potential violations likely exist related to the whistleblower contact and I&E's investigation into the third-party marketing firms that occurred independently from the BCS complaints, but neither party quantified the potential number of those violations," the motion said.

"As such, we seek further information related to the number of customers that were affected by ResCom's allegedly illegal marketing practices, how many customers were allegedly slammed, how many customers ResCom attempted to allegedly slam but successfully rescinded, and how many Do Not Call violations allegedly occurred," the adopted motion said

The PUC therefore directed parties to file supplemental statements in support providing such information as well as any other information the parties deem to be relevant.

Docket M-2013-2320112

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