PSC Draws On Retail Supplier's Security, Finds Retail Supplier In Default Of Obligation

The Maryland PSC issued a Notice of Default concerning Smart One Energy, LLC under which the PSC initiated the process to draw upon the supplier's security

As first reported by EnergyChoiceMatters.com, the PSC previously ordered that all of SOE's customers be transferred to default service. The PSC also suspended SOE's license and imposed a fine of $561,000

In the Notice, the PSC stated, "On August 2, 2019, Maryland Public Service Commission issued Order No. 89219 in the matter of the Complaint of the Staff of the Public Service Commission against Smart One Energy, LLC ('SOE'). The Order suspended SOE’s retail supply license, imposed civil penalties and directed SOE to transfer the service of its retail supply customers in Maryland to utility Default Service. Order No. 89219 further directed SOE to provide notice to its customers of the supplier’s suspension by August 8, 2019, and to provide notice to the Commission of its compliance with the Order by August 9, 2019."

"The Commission has not received notice of SOE’s compliance with Order No. 89219. Therefore, pursuant to the terms of Bond No. 0558088 secured by International Fidelity Insurance Company, as executed on August 17, 2011, the Commission finds SOE in default of its obligations as a natural gas supplier in Maryland under MD. CODE ANN., Public Utilities Article § 7-603 and 7-507, and under Code of Maryland Regulations Title 20," the PSC stated

"Accordingly, International Fidelity Insurance Company is directed to confirm the availability of the proceeds of Bond No. 0558088, to be paid or disbursed forthwith as the Commission shall direct," the PSC stated