Texas Retail Provider To Pay $32,000 Under Settlement With PUC Staff, Issue Refunds

January 23, 2024

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Copyright 2010-23 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

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Pulse Power, LLC would pay $32,900 under a settlement with the Staff of the Public Utility Commission of Texas (Commission) to resolve alleged violations of PURA §§ 17.004(a)(1) and 39.101(b)(6) as well as 16 TAC § 25.475(e), requiring affirmative consent for the re-enrollment of existing customers.

Pulse Power provided the following statement concerning the matter:

"Pulse Power takes its responsibilities toward its customers seriously. We appreciate working with the Public Utility Commission of Texas to address their concerns in the aforementioned settlement."

--- Statement from Pulse Power

The settlement states, "Between January 1, 2022 and June 9, 2023, Commission Staff alleges that Pulse Power violated 16 TAC § 25.475(e)(3) 198 times by switching existing customers into a new electricity plan without first obtaining affirmative consent to the re-enrollment."

The settlement states, "By enrolling a customer into a new electricity plan without first obtaining affirmative consent, Pulse Power applied charges not authorized by the customer, which Commission Staff alleges is in violation of PURA §§ 17.004(a)(1) and 39.101(b)(6)."

The settlement further states, "Between January 1, 2022 and June 9, 2023, when an existing customer called Pulse Power to inquire about the availability of Pulse Power’s solar plan options, Pulse Power informed the customer that it would automatically switch the customer to Pulse Power’s “solar buyback plan” within 14 days unless the customer took action to remain on the customer’s existing plan. If the customer did not affirmatively opt out of the switch in plans within 14 days, Pulse Power re-enrolled the customer for service under the solar buyback plan despite never obtaining the customer’s consent in a recording, electronic document, or written letter of authorization."

The settlement states, "Under the solar buyback plan, Pulse Power agrees to purchase (via credit to the customer’s bill), and the customer agrees to sell, any excess energy delivered by the customer’s solar energy system to the grid monthly." The settlement states, "In total, Pulse Power switched 198 customers from their selected plans into a solar buyback plan under the process described above."

The settlement states, "Between January 1, 2022, and June 9, 2023, Commission Staff alleges that Pulse Power violated 16 TAC § 25.475€(3) 198 times by re-enrolling its customers to receive service under a new plan without first obtaining their affirmative consent for the re-enrollment."

The settlement states, "Between January 1, 2022, and June 9, 2023, Commission Staff alleges that Pulse Power violated PURA §§ 17.004(a)(1) and 39.101(b)(6) 198 times by billing customers for services that the customer did not authorize."

In addition to the penalty noted above, Pulse Power agrees to calculate any price difference between each customer’s original enrollment plan and the new electricity plan for the entire period the switch was in effect, and if the customer was charged a higher price, refund the difference.

Pulse Power asserts that, of the 198 customers it switched to the solar buyback plan without obtaining affirmative consent, it ultimately obtained consent from 67 customers after the switch was performed. Pulse Power also switched two of the customers back to their original plan without any financial impact to the customers.

Pulse Power will make attempts to contact the remaining affected customers still under the solar buyback plan to obtain affirmative consent under 16 TAC § 25.475(e)(3). Pulse Power will make three attempts to obtain affirmative consent from the customer by means of phone, letter, and email. Both the letter and email communications will reference the customer’s ability to switch back to the customer’s original plan without penalty

The settlement states that Pulse Power has ceased the behavior described in the agreement and implemented various corrective measures

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