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Draft Order Would Deny Retail Supplier's License Application, Prohibit Re-filing for 5 Years
A draft Connecticut PURA decision would deny the application of REP Energy, LLC for an electric supplier license, and prohibit REP Energy from re-applying for a license until September 17, 2018.
REP Energy, LLC originally assumed the Connecticut license of Horizon Power and Light (with which it shared several principals) in August 2011. Horizon was licensed but had not been active in Connecticut.
REP Energy did not commence operations in Connecticut, and in September 2013 filed with PURA to voluntarily relinquish its license.
However, shortly after the relinquishment, REP Energy, LLC in November 2013 filed an application to be licensed again as a Connecticut retail supplier
"The Authority is troubled by the fact that REP relinquished its license in September, 2013, due to the fact that it had no customers yet reapplied for a new license two months later," the draft order states.
"The Authority is concerned that the safety and reliability of the supply of electricity in Connecticut could be negatively impacted by such inconsistent activity. The Authority is not convinced that REP would remain viable and active in Connecticut based on REP's past behavior. The Authority has determined that such behavior negatively reflects on the managerial competency of the management of REP," the draft states.
Citing a filing by the company, the draft states that the reason REP Energy relinquished its electric supplier license on September 3, 2013, was that it could no longer defray any further expenses in a state where it was not active.
Additionally, the draft states that the Authority has reviewed REP Energy's customer service policies and, "finds the Company's policy that it will only accept changes in terms or customer cancellation in writing troubling. This procedure is not acceptable to the Authority regarding the cancellation of service and would not be beneficial to Connecticut customers."
The draft order would deny REP Energy's license application, finding that that company, "does not meets the technical, financial and managerial requirements to operate as an Electric Supplier at this time."
Further, the draft provides, "Since REP Energy volunteered to revoke its prior license, it must wait five years from the date of the revocation letter, or September 17, 2018, to reapply for a new license."
Docket 13-11-04
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August 29, 2014
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Copyright 2010-14 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com
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