Compare & Contrast: NYSEG, NFGD Customer Letters on ESCO Low-Income Moratorium

NYSEG & Rochester Gas & Electric have filed a draft letter to assistance program participant (APP) customers notifying them of the New York PSC's moratorium on ESCO service to APP customers, and attendant transition to default service, as has (separately) National Fuel Gas Distribution

Apart from describing what will happen to current APP ESCO customers, the NYSEG/RGE draft letter includes the following text concerning the PSC's conclusions regarding whether customers benefited from ESCO service, and whether customers pay more than necessary if not on default service:

Recently, a review was done to determine the level of savings achieved for Energy Assistance Program (EAP) Participants who receive their electric and/or natural gas supply from an Energy Services Company (ESCO).

The New York State Public Service Commission (PSC) ordered that "additional restructuring is necessary to further protect consumers, particularly those enrolled in utility low-income programs". The PSC determined EAP participants may not have benefitted from taking supply service from an ESCO and may be paying more for electricity and/or natural gas.

In addition, ESCOs can no longer enroll customers that participate in our Energy Assistance Program. This change will ensure that you are not paying any more than necessary for electricity and natural gas and will assist in keeping your energy costs affordable.

In contrast, the draft National Fuel Gas Distribution Letter only contains, at the bottom of the letter (similar to a footnote but in same size font as the body):

**On page 6 of its July 15, 2016 Order in Case 12-M-0476 et al. - Order Regarding the Provision of Service to Low-Income Customers by Energy Service Companies (“Order”), the New York Public Service Commission has stated that "additional restructuring is necessary to further protect consumers, particularly those enrolled in utility low-income programs."

Otherwise, the National Fuel Gas Distribution draft letter does not recite any conclusions from the PSC order regarding the benefits (or lack thereof for some customers) of ESCO service, unlike the draft NYSEG/RGE letter (or earlier Central Hudson draft letter)

See the full text of the draft letters here

NYSEG/RGE Draft Letter

NFGD Draft Letter