Several More New York ESCOs Seek Waiver of Prohibition On Service To Low-Income Customers

Several more ESCOs have filed requests for waivers with the New York PSC in order to continue to serve assistance program participant (APP) customers.

In a December order (whose deadline has since been extended), the PSC prohibited ESCOs from serving low-income customers, but permitted ESCOs to seek a waiver to continue such service for a product where the ESCO guarantees savings versus default service, ensuring, "that the customer will be paying no more than what they would have been [sic] paid to the utility."

Agway Energy Services, LLC sought a waiver for its product bundling commodity supply and HVAC servicing

Agway said that it, "provides a unique service within the confines of the ESCO market in the State of New York. The Agway model provides EnergyGuard, which covers the full cost of most major parts - and the labor to install them - of the home heating system for residential natural gas customers, and up to $1,000 each calendar year in covered parts and labor for home central air conditioning repair and home electric line repair for residential electric customers, all with 24/7/365 emergency service. EnergyGuard is included as a value added service to all residential customers, including those who qualify as low-income under the New York State standards."

Agway said that, "The Commission indicates that a waiver requires 'willingness to develop a program that ensures delivery of the claimed savings.' Agway has just such a program. The EnergyGuard program, coupled with the commodity, has created a savings and value to customers. This offering provides both energy services and a program for ensuring the continued safe operation of energy equipment in the home, at a single price. This offering operates in a competitive market, with customers retaining the right and ability to terminate their agreement at any time for any reason or no reason at all, at no cost. Combining these services provides a savings and a value over individualized purchase, and delivers a value to customers made clear by the single most important metric -- continued involvement in the program when there is no barrier to exit."

Other ESCOs newly filing with he PSC to request a waiver, with details filed under confidential seal, include:

• Just Energy New York Corporation

• Starion Energy NY, Inc.

• New Wave Energy Corp.

• Utility Expense Reduction, LLC

• Drift Marketplace, Inc.

• South Bay Energy Corp.

• M&R Energy Resources Corp.

Note that, as previously reported, several ESCOs had previously filed to request a waiver; the list above only represents those ESCOs newly seeking a waiver which ECM had not reported on yet