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With Nearly 40% Increase in Default Service Costs, CUB Warns Customers About -- Retail Suppliers

April 2, 2014

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

"Sparked by a six-fold increase in complaints about unregulated natural gas suppliers in 2014," the Illinois Citizens Utility Board (CUB), "issued a warning for Chicago-area consumers to beware of bad deals in the gas market."

The announcements comes as North Shore Gas and People Gas are seeing 30-40% hikes in their default service natural gas rates, to about $1.20 per therm, as first reported by EnergyChoiceMatters.com last month.

"Alternative supplier offers that look good now may turn out to be money-losers in the long run," CUB warned.

Currently, fixed rates for Peoples and North Shore Gas customers are in the 60¢ range (one fixed offer is even under 60¢)

"So far in 2014, CUB has received nearly 200 inquiries or complaints about alternative gas suppliers. That is about six times the number of complaints (about 30) the group saw in the same period last year," CUB said. Complaints have included:

• "A Chicago woman said her Polish-speaking mother was 'slammed' -- switched to a gas supplier without her permission -- after 'two young ladies' spoke to her mom through her screen door and asked to see her gas bill."

• "A consumer said that her 85-year-old grandmother received a $1,030 gas bill because an alternative supplier 'has taken over her account without her permission.'"

• "A consumer said he was not aware that he was with a new gas supplier, until he noticed that he was being charged $1.52 a therm. CUB has seen rates as high as $1.77 a therm."

• "A woman complained to CUB that she was not aware she was with an alternative supplier, but she discovered that she was paying about triple the Nicor Gas rate."

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