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People's Counsel Recommends PSC Investigate Alleged "Pricing Disparity" Among Utility and Affiliated Competitive Retail Supplier, and Lack of Offerings from Non-Affiliates
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The Office of the People's
Counsel for the District of Columbia said in comments to the District of Columbia PSC, concerning the purchases of receivables programs in D.C., that OPC recommends that the PSC initiate an investigation into what OPC alleged is a "disparity" between lower prices offered by competitive retail supplier WGL Energy, and the rates offered by "its [WGL Energy's] parent company [sic]", as well as the offerings, or non-offerings, of non-affiliated retail natural gas suppliers
As more fully discussed below, though poorly phrased by OPC, given the context noted below, EnergyChoiceMatters believes OPC is referring to the prices of WGL Energy and the prices of utility Washington Gas Light Company. However, EnergyChoiceMatters understands that while WGL Energy is affiliated with Washington Gas Light Company, Washington Gas Light Company is not the "parent company" of WGL Energy (a trade name for WGL Energy Services, Inc.) as suggested in OPC's comments noted below.
WGL Energy provided the following statement concerning the matter:
"WGL Energy is currently reviewing the comments submitted by the District of Columbia Office of the People's Counsel to the D.C. Public Service Commission and intends to file a formal reply addressing the issues raised. WGL Energy reaffirms that it operates as an independent competitive energy supplier, distinct from its parent company and regulated utility affiliate. WGL Energy takes pride in its integrity, transparency, and longstanding commitment to fair competition in the energy marketplace."
--- Statement from WGL Energy
EnergyChoiceMatters understands that WGL Energy is, either directly or indirectly, a subsidiary of WGL Holdings, Inc.; EnergyChoiceMatters understands that utility Washington Gas Light Company is a separate subsidiary of WGL Holdings, Inc.
WGL Energy and Washington Gas Light Company are both the subsidiaries of a common ultimate parent and are affiliates, but the utility Washington Gas Light Company is not the parent of the retail supplier WGL Energy
WGL Holdings, Inc., itself, does not offer retail service in D.C., and thus OPC's reference noted below to prices charged by the "parent company" of WGL Energy is not understood to mean WGL Holdings, Inc.
OPC alleged in comments to the PSC that, "TPS [third-party supply] companies operating in the natural gas sector have the option to offer fixed-price contracts to mitigate volatility, yet this practice is not widely adopted. Notably, the only active TPS in the natural gas market is WGL’s affiliate, which consistently offers lower prices than its parent company [sic]."
OPC said in its comments to the PSC that, "OPC recommends that the Commission initiate an investigation into this pricing disparity, including whether the affiliate benefits from insider knowledge or preferential access to customer data and resource acquisition strategies."
Docket WGPOR-2025-01
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September 16, 2025
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Copyright 2025 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com
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