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Regulator Directs Retail Supplier To Provide Refunds To Certain Customers, Drop All Customers In State To Default Service

November 24, 2021

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Copyright 2010-21 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

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The Connecticut Public Utilities Regulatory Authority (Authority or PURA) issued a final order in which PURA, "finds that Liberty Power Holdings, LLC (Liberty or Company) failed to comply with Conn. Gen. Stat. §§ 16-245(c), 16-245s, 16-245o, and the marketing standards developed by the Authority in the May 6, 2020 Decision (Decision) in Docket No. 14-07-20RE01, PURA Development and Implementation of Marketing Standards and Sales Practices by Electric Suppliers - Revised Standards (Marketing Standards)."

The final order generally adopts the alleged findings of a previously reported Notice of Violation. See details of the NOV and alleged violations in our prior story here

PURA suspended Liberty’s electric supplier license for five years and ordered the Company to immediately return all its Connecticut customers to standard service. PURA directed that the drops to default service shall occur at the next meter reading date, denying a separate request from Liberty, in connection with a motion to relinquish its Connecticut supplier license, that PURA direct the EDCs to accommodate a faster drop of the customers to default service

The Authority also ordered Liberty to refund all customers enrolled using third-party verification (TPV) completed by a specific TPV vendor since August 6, 2020 the difference between what the customer paid Liberty and what the customer would have paid on the standard service rate for the time the customer was served by Liberty.

As previously reported, Liberty had already stated that it would be dropping its Connecticut customers to default service, and had sought to relinquish its Connecticut license. However, PURA denied the relinquishment request, alleging Liberty has outstanding amounts owed related to RPS compliance and taxes, with PURA further stating that statute does not contemplate a supplier being able to unilaterally relinquish a license

Notwithstanding the foregoing, the Authority contemporaneously issued a separate proposed decision revoking Liberty’s license in light of, among other things, what the proposed decision states is, "the Company’s failure to maintain financial and managerial capability."

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