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Retail Supplier Tells Regulator It Did Not Offer To Drop All Customers To Default Service, Seeks To Maintain License To Continue Serving Customers

May 17, 2018

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

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Perigee Energy, LLC informed the Connecticut PURA that Perigee did not propose dropping all of its customers involuntarily to default service, and applied for a renewal of its license to continue serving such customers

As previously reported, PURA recently rejected a transfer for the Perigee customers from Perigee to Spark Energy (see prior story for details).

In doing so, PURA stated that, "Perigee may not transfer its customers to Spark, but may transition them to standard service as proposed in Perigee’s October 27, 2017 letter."

PURA approved, in PURA's words, Perigee's, "alternative proposal to transition its current customers to standard service."

Perigee had, in an October 2017 letter, stated that, "upon the Authority’s subsequent approval [of the assignment process] will transition its customers to either standard service or Spark Energy."

However, Perigee, in a May 15 letter, said that the reference to a transfer of customers to standard service in its October 2017 letter was not a proposed alternative to assign the entire customer book to default service, but reflected the potential that individual customers may not consent to the assignment to Spark, and that such customers may opt-out of the assignment and request that Perigee return such customers to standard service.

In its May 15 letter, Perigee said, "At the outset, Perigee did not (and does not) propose transferring its customers in bulk back to standard service involuntarily as an alternative to a transfer to Spark. Involuntarily transferring customers to standard service prior to the date a customer’s existing contract with Perigee expires is tantamount to slamming in violation of Connecticut law, as Perigee customers will not have consented to any change in supplier. In its October 27, 2017 letter, Perigee merely stated that its customers could elect to voluntarily return to standard service if a customer affirmatively elected to opt-out of an assignment to Spark. Such an outcome is a familiar and standard PURA procedure in customer assignments and Perigee was prepared to follow that standard procedure, prior to the Authority’s letter, upon the contemplated assignment to Spark."

"Given the Authority’s letter [directing a transfer of customers to standard service], Perigee has changed its plan," Perigee said in its May 15 letter

"By letter dated November 14, 2017, Perigee informed the Authority that 'Perigee will seek to exit the Connecticut market and relinquish its license upon the Authority’s approval of the assignment.' Because the Authority, however, has now rejected the assignment, Perigee no longer intends to relinquish its license and hereby recommences its earlier application for a five year review," Perigee said in its May 15 letter

Perigee submitted an updated application for license renewal

Per the EDC migration reports, Perigee was serving about 4,400 customers as of February 2018

As of February 2018, Perigee was serving 3,903 customers at CL&P (3,582 residential, 321 business), and 1,448 customers at UI (1,365 residential, 83 non-residential)

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