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Ambit Energy To "Withdraw" From Several Markets

Files Sample In Compliance With Provision Regarding Notice Of Customer Return To Default Service

March 5, 2018

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Copyright 2010-17 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

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Ambit Energy has made filings with several state regulators to withdraw as a natural gas supplier in several territories.

The bulk of Ambit's filings were redacted, so the extent of Ambit's withdrawal is not precisely known.

However, among several other filings, Ambit filed with the New York PSC a letter stating that the letter was regarding, "Withdrawal as a retail natural gas supplier in the New York market of Rochester Gas & Electric."

Ambit also submitted an update to its retail access application form (RAAF) and an update to its natural gas markets in New York, with the substantive content redacted.

Another filing by Ambit with the New York PSC was redacted, but apparently contained a bulleted list with six items. That same filing stated that it included (under seal), "a sample notice Ambit intends to send to its customers." Another letter specifically provided (again under seal) a sample notice to be sent to customers in the RGE market, which Ambit said is pursuant to UBP § 5.H.4.

UBP § 5.H.4 sets forth the steps for an ESCO's return of a customer to full utility service (default service). Furthermore, UBP § 5.H.4.c provides that, "[t]he ESCO shall provide a sample form of the notice it plans to send to its customers when it transfers 5,000 or more customers to the Department for review no later than five calendar days before mailing the notice to customers." However, the filing of any sample notice with the PSC should not be seen as dispositive concerning the number of customers involved as a proactive ESCO would likely inform the PSC of any drops to default service and provide a sample notice regardless of the number of customers.

Until recently, Ambit had been listing residential offers on the New York Power to Choose site for nine natural gas markets: Central Hudson, Consolidated Edison, KeySpan New York, KeySpan Long Island, National Fuel Gas Distribution, Niagara Mohawk, NYSEG, Orange & Rockland, and Rochester Gas & Electric.

As of March 5, Ambit was only listing residential offers on the New York Power to Choose site for three natural gas markets: Niagara Mohawk, KeySpan New York, and KeySpan Long Island. The lack of offers for the six other gas LDCs (or indeed, the continued listing at the three current LDCs) should not be seen as a dispositive indicator of Ambit's activity in such markets, due to the fluid nature of the rate board

In Pennsylvania, Ambit recently made filings with the PUC for which it apparently sought confidential protection for the entirety of the filings. As such, the content of such filings is not known. However, in response, the Pennsylvania PUC Secretary issued a letter to Ambit stating that, "Ambit's filings are rejected pursuant to 52 Pa.Code §1.38 for non-compliance with 52 Pa.Code 62.114 (b) which states: 'A licensee may not abandon its license without providing 90 days prior written notice to the Commission, the licensee’s customers, the affected distribution utilities and suppliers of last resort. The licensee shall provide written individual notice to its customers at approximately 90 days and 60 days preceding the effective date of the abandonment.'"

In Pennsylvania, Ambit recently ceased listing residential offers on PA Gas Switch for the following service areas: Columbia Gas of Pennsylvania, Peoples Natural Gas, PECO, UGI, UGI Central Penn, and UGI Penn Natural Gas. Again, the lack of offers for any of these LDCs should not be seen as a dispositive indicator of Ambit's activity in such markets, due to the fluid nature of the rate board. As of March 5, Ambit was listing on PA Gas Switch an offer for residential service at National Fuel Gas Distribution

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