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New York ESCO Responds To Notice of Apparent Failure From DPS Staff

November 21, 2018

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

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Verde Energy USA New York, LLC has submitted to New York Department of Public Service Staff responses to a Notice of Apparent Failure ("NOAF") dated October 24, 2018.

Verde Energy said in its response that, "As stated in the NOAF document, when the Spark family of brands recently consolidated Oasis Power, LLC ('Oasis') customers onto the Verde Energy brand an error in account setup resulted in a system error which inadvertently charged our customers a monthly service fee on a daily basis. The error in the account set up is due to the fact that the Consolidated Edison ('ConEd') system will only accept an accrued daily service fee but the products we were setting up included a monthly service fee ('MSF'). When the account data was entered as an MSF setup on our side, that data was translated into a DSF by ConEd. Clearly this was not intended and all efforts have been made to proactively work in concert with the utility to remedy this mistake. Verde would like to make the Commission aware that prior to receiving the NOAF, Verde had already begun the process of correcting the issue along with adjusting the affected customer accounts."

Verde Energy said in its response that, "Verde Energy has been making payments directly to ConED [sic] for all affected customers. ConEd is then applying those payments to the affected customers' accounts."

Verde Energy said in its response that, "The MSF is typically $4.95 per month. This fee is to be charged on a monthly basis and not on a daily basis. A customer that is billed the MSF, has agreed to such fee when they initially enrolled and/or renewed their service."

Verde Energy also said in its response that, "Any low income/utility assistance program participant in the excel spreadsheet provided that was serviced by Verde Energy beyond the end of their fixed contract will be pro-actively placed into the position they would have been in had they been timely returned to utility standard service."

Verde Energy also said in its response that, "Any customer in the excel spreadsheet provided by the Department that we lack original enrollment documentation for will be placed into the position they would have been in had they never switched from utility standard service."

Separately, Spark Energy Gas, LLC also submitted correspondence to the DPS, dated October 15, 2018. Such correspondence did not state that it was in response to a Notice of Apparent Failure

However, Spark Energy Gas, LLC's October 15, 2018 correspondence did state that, "Any low income/utility assistance program participant in the excel spreadsheet provided by the Department that was serviced by Spark Energy beyond the end of their fixed contract will be pro-actively placed into the position they would have been in had they been timely returned to utility standard service."

Spark Energy Gas, LLC's October 15, 2018 correspondence also stated that, "Any low income/utility assistance program participant in the excel spreadsheet provided by the Department that we lack original enrollment documentation for will be placed into the position they would have been in had they never switched from utility standard service."

Spark Energy does not comment on open regulatory or legal matters.

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