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PUC Issues $72,000 Settlement With Retail Supplier For Comment, PUC Vice Chair Says Customer Notice of Settlement Should Be Required

December 18, 2015

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Copyright 2010-15 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

The Pennsylvania PUC issued for public comment a previously filed proposed settlement between Public Power LLC and the PUC's Bureau of Investigation and Enforcement under which Public Power would pay a civil penalty of $72,500 and issue certain customer refunds to resolve the charging of an incorrect rate to some 50 customers due to a billing error

The details of the proposed settlement were first reported by EnergyChoiceMatters.com in October (click here for more details)

According to the settlement, I&E Staff determined that there were a total of 119 instances, impacting 50 customers, in which Public Power did not keep the customer's rate protected as promised under a product which capped variable rate increases (15% Price Protection Plan), and which therefore resulted in customers being billed charges in excess of the guaranteed pricing.

The settlement stipulates that the errors resulted from a one-time operational error related to transition issues during Public Power's acquisition by Crius Energy

Public Power has already issued refunds in excess of $6,500 for the amount of the electric generation portion of the bill that was greater than the amount due based on marketed prices as set forth in the disclosure statement for all 119 instances of overbilling

In a statement, newly installed PUC Vice Chair Andrew Place said regarding the refunds, "It is important that Public Power's customers are made aware of this settlement. Therefore, I suggest that Public Power notify the customers affected by the refunds referenced in the Agreement."

"Furthermore, the purpose of our marketing regulations is to protect customers who could be the victims of deviations from those regulations. Prospectively, all parties should consider including a notification to customers who are affected by refunds addressed in future settlements," Place said

In October, when the settlement was first filed, Public Power had provided the following statement to EnergyChoiceMatters.com:

"When Public Power was acquired several years ago, the merger of the companies' billing systems unfortunately resulted in a small number of operational errors that impacted .02% of our customers at the time. Every day, we deliver extraordinary service and value to nearly a quarter of a million Public Power customers throughout the Northeast.

"We are confident that the controls Public Power put in place since the acquisition reinforce our reputation as one of the Northeast’s leading retail energy suppliers. Public Power looks forward to a continued close working relationship with the PA PUC and remains committed to offering Pennsylvania consumers a smart energy choice, plus powerful rewards. "

Docket M-2015-2439492

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