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Pennsylvania Proposes to Impose Conditions on Licensing New Supplier Due to Affiliates' Complaint History The Pennsylvania PUC issued tentative orders which would grant electric and natural gas supplier licenses to SFE Energy Pennsylvania, Inc., but which would impose various conditions on the licenses due to concerns about complaints against the company's affiliates in other jurisdictions.
SFE Energy is an affiliate of Canadian retail supplier Summitt Energy Inc. and New York ESCO Family Energy.
The orders would grant SFE Energy an electric supplier license to serve all sizes of residential and commercial customers in all service areas, and a natural gas supplier license to serve residential and small commercial (less than 6,000 MCF annually) customers at UGI Utilities, UGI Central Penn Gas, UGI Penn Natural Gas, PECO, Philadelphia Gas Works, and Peoples Natural Gas.
The PUC noted in one of its tentative orders that: "Relating to the applicant's fitness, we are concerned about the number and types of complaints filed against Summitt Energy, Inc. and its subsidiaries compared to other natural gas suppliers. Also, there have been numerous complaints filed against Family Energy in New York. While not all of the complaints conclusively demonstrate compliance problems or inappropriate behavior, enough of them include allegations or other indicators of possible problems so as to cause concern. We are also concerned about the parent company's history of fines in Canada. As a result, we intend to impose some additional conditions on SFE. We note that we have mandated conditions for other electricity generation suppliers and natural gas suppliers seeking licenses."
The specific conditions tentatively imposed on SFE Energy, for a period of 12 months from the start of marketing activities, are:
a. SFE Energy Pennsylvania, Inc. d/b/a SFE or SFE Energy shall fully comply with the Commission's supplier marketing regulations at 52 Pa Code 111.
b. In response to any inquiries from the Commission's Bureau of Consumer Services (BCS), SFE Energy Pennsylvania, Inc. d/b/a SFE or SFE Energy will provide any verification documents or other documentation, as well as any requested personnel needed for discussion, to answer BCS' questions to their satisfaction. The documentation can include written enrollment forms, disclosure statements, audio recordings, third party verification, marketing and sales materials and any other relevant documentation.
c. SFE Energy Pennsylvania, Inc. d/b/a SFE or SFE Energy will provide a report the first week of each calendar quarter to staff capturing the following data concerning customer complaints filed directly with the company: (i) the number of complaints by category - the company shall consult with the Bureau of Consumer Services as to the proper categorizations; (ii) the resolution for each complaint and (iii) any process improvements/changes, organizational changes, etc. implemented to reduce and/or eliminate similar complaints going forward;
d. SFE Energy Pennsylvania, Inc. d/b/a SFE or SFE Energy shall operate in accordance with BCS requirements for complaint management and handling. Notwithstanding the above;
• SFE Energy Pennsylvania, Inc. d/b/a SFE or SFE Energy will send a written response, either via electronic mail, regular mail or by facsimile, to the BCS advocate assigned to mediate complaints filed against SFE Energy Pennsylvania, Inc. d/b/a SFE or SFE Energy, within 10 days of receipt of the complaint,
• SFE Energy Pennsylvania, Inc. d/b/a SFE or SFE Energy will send a written response to the consumer who filed the complaint, within 10 days of receipt of the complaint,
• SFE Energy Pennsylvania, Inc. d/b/a SFE or SFE Energy will respond to supplemental or new information referred by BCS, within 10 days of receipt of such information, and
• SFE Energy Pennsylvania, Inc. d/b/a SFE or SFE Energy will provide final resolution in writing to BCS and notify the complaining consumer of same.
e. At the expiration of the Term, SFE Energy Pennsylvania, Inc. d/b/a SFE or SFE Energy shall file a status report with the Commission describing its compliance with the Public Utility Code, Commission Orders and Regulations, and the conditions set forth herein. A copy of this status report shall be provided to the Commission's Bureau of Technical Utility Services and the Commission's Bureau of Consumer Services.
Dockets: A-2013-2346185, A-2013-2353576
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August 16, 2013
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Copyright 2010-13 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com
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