PURA Prosecutorial Staff Recommend Settlement with Retail Supplier Regarding Undocumented Switches

The Prosecutorial Unit of the Connecticut Public Utilities Regulatory Authority has recommended that Public Power, LLC make a charitable contribution of $6,000 as part of a settlement into an investigation of certain customer complaints and alleged unauthorized switches.

Specifically, Public Power, LLC has issued a charitable contribution of $6,000 to Operation Fuel in lieu of a Notice of Violation and Civil Penalty being issued by the Authority for six instances in which the company was unable to provide proof of customer authorization in response to slamming complaints.

The settled amount represents $1,000 per instance in which documentation of authorization could not be provided, consistent with prior PURA-adopted settlements concerning undocumented switches.

21 allegations of unauthorized customer switching were included in the investigation, and Public Power, LLC provided either documentation or an explanation that resolved 15 of the complaints, Prosecutorial Staff said.

The investigation also addressed two customer complaints that Public Power, LLC was charging a rate in excess of that permitted under the customer contract.

Certain contracts, issued under prior ownership of Public Power, LLC, established the rate as a floating rate not to exceed a price of at least 5% below CL&P standard generation service rates.

Public Power, LLC stated that as of April 2009, due to changes the company made to its terms and conditions, the 5% rate discount guarantee was no longer available to any customers and the variable rate was not capped with regard to the distribution companies' standard offer.

Upon investigation, it was determined Public Power, LLC's standard generation rate was 95% or less than CL&P's standard offer each month from March 2008 until January 1, 2011.

Some 276 customers potentially had the 5% rate discount within their original terms and conditions.

Public Power, LLC issued nearly $42,000 in refunds to the 276 potentially affected customers to resolve the matter.

With such refunds, Prosecutorial Staff found that the rate issue has been resolved satisfactorily by Public Power, LLC.