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Utility Files Tariff To Implement New Customer Referral Program, Offer Bill Ready Solution Meant To Facilitate Suppliers' Prepay Service

December 27, 2016

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Copyright 2010-16 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

Columbia Gas of Ohio has filed tariff revisions to implement a type of customer referral program and a bill ready solution meant to allow retail suppliers to offer customers the opportunity to prepay the commodity portion of the bill.

The tariff revisions result from a 2012 stipulation which had been first reported by EnergyChoiceMatters.com

Under the customer referral program, known as the Immediate CHOICE Enrollment Program, CHOICE-eligible customers, with the exception of those currently enrolled in the CHOICE Program, will be provided an opportunity to take CHOICE service immediately upon service connection (no need to take default service) via a randomly selected or customer-selected supplier. It is understood that the customer referral program will only be offered to new service requests under the Immediate CHOICE Enrollment Program

Under the Immediate CHOICE Enrollment Program, participating customers may choose either a specific or randomly assigned supplier that will provide service for two billing cycles that starts with the provision of gas service at the new address. Customers must affirmatively contract with the supplier at the end of the two billing cycles to continue with the supplier (as further discussed below).

Customers that elect to participate in this program may request a specific supplier or have a randomly selected supplier assigned. The supplier will be made aware of the customer’s election and scheduled projected date of service at that time. Customers that elect a specific supplier may not change to a random supplier. Customers that elect a random supplier may elect to change to a specific supplier.

The customer’s election of a supplier does not result in a contract between the customer and the supplier. Customers that elect traditional CHOICE service from their specific or randomly assigned supplier during the two billing cycles will not be charged a switching fee. Customers that elect traditional CHOICE service from an alternative CHOICE supplier during the two billing cycles will be charged a switching fee. The customer may terminate their decision to participate in the customer referral program as long as enrollment is pending.

The rate billed to customers participating during the two billing cycle introductory period of the Immediate CHOICE Enrollment Program will be equivalent to the effective Standard Choice Offer (SCO) billing rate.

Upon connection of the customer at the new address Columbia will reevaluate the customer to determine CHOICE eligibility. Customers determined eligible through this process will be enrolled in this introductory program with final confirmation of the customer’s enrollment being sent to the supplier at that time.

During the two billing cycles under the customer referral program, the supplier will have an opportunity to execute a traditional contract with the customer for service through the CHOICE Program.

Customers participating in the Immediate CHOICE Enrollment Program that do not execute a traditional CHOICE Program contract upon expiration of the two billing cycles and customers that elect not to participate in the Immediate CHOICE Enrollment Program will be assigned to Default Sales Service (DSS) service for one billing cycle and then assigned to an SCO provider.

Suppliers must affirmatively elect to participate in the Immediate CHOICE Enrollment customer referral program

Columbia also filed to implement a prepay billing service for suppliers under bill ready billing

Service is limited to customers that participate in Columbia’s Bill Ready program that are billed through Columbia’s Distributive Information Billing System.

Under the prepay billing program, Columbia transmits to the supplier customer-specific metered consumption data. The supplier transmits to Columbia within three business days the commodity charge to be billed and prepaid balance. The display of any prepaid balance on the bill will be limited to the current supplier.

Columbia's tariff noted that the utility is not a party to the supplier’s prepayment program or customer agreement, nor has any responsibility to oversee, monitor, account for or be aware of the specific contract terms. The supplier is responsible for all commodity related activities, including but not limited to, collection of the prepayment; accounting for all billings, payments and balance of the prepayment account; provision of commodity charge and prepayment balance to Columbia each month, refunding of any unused prepayment where applicable; and payment of applicable sales taxes. Columbia’s provision of the prepay service is limited to the provision of the customer-specific metered consumption data each month and display of commodity charge, billing rate and prepayment balance on bill; and billing of and accounting for distribution related charges.

Prepaid funds can only be credited to the supplier’s commodity charges. Prepaid amounts cannot be used to pay distribution charges or any unpaid balance due. Columbia will send a separate notification to the customer upon the initial use of the prepayment service designed to explain the customer will be subject to disconnection for failure to pay timely the distribution charges portion of the bill and any unpaid commodity charges.

Current retail natural gas suppliers participating in the prepay program may initiate a gas cost adjustment for any previously billed period within twelve months during which they were the supplier with the exception of a bill for the pending period. Previous suppliers have two billing cycles from the time they become inactive to initiate a gas cost adjustment for the previous twelve months.

Columbia sought approval of the tariff changes by April 1, 2017

Case No. 16-2430-GA-ATA

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