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Retail Supplier To Pay $450,000 Under Settlement

December 1, 2023

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Copyright 2010-23 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

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Town Square Energy, LLC (TSE) would pay $450,000 under a settlement with the Office of Education, Outreach, and Enforcement (EOE) of the Connecticut PURA to resolve alleged marketing violations

The settlement does not recite any specific alleged violation by Town Square Energy, and was entered into before any formal notice of alleged violation was issued.

The settlement would resolve, "all issues addressed by [Interrogatory] EOE-3 issued on March 9, 2023, all other Interrogatories served by EOE upon TSE to date, all customer complaints received by EOE relative to TSE to date, and any other known or unknown potential marketing or compliance issues through the date of this Settle1nent Agreement EOE-3 and outstanding issues regarding customer complaints[.]"

Interrogatory EOE-3 addressed certain mailings alleged to be from TSE, which, among other things, promoted the site stopyourshock.com. Approximately 1,320,000 advertisements were distributed to approximately 440,000 Connecticut residents.

The mailer, among other things, included the text "Beat the current utility rate." A sample of the mailer can be found on page 4 here

As noted, the settlement does not indicate what, if any, alleged violations arose from the mailer, nor is EOE's concern with any specific language apparent from other filings in the proceeding. Other interrogatories addressed alleged language in TSE's terms of service that included outdated utility rate information, which TSE said was used in 8 instances due to a system error

Under the settlement, the $450,000 payment by TSE would be a voluntary payment made to the electric distribution companies indicated as a donation to reduce hardship arrearages

The settlement states, "This Settlement Agreement (including the voluntary payment made hereunder) does not represent an admission or concession by TSE as to the claims, or facts or circumstances surrounding the claims and issues that are the subject of this Settlement Agreement."

Docket No. 10-03-11RE01

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