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Texas PUC Enforcement Staff Seek Investigation Of Entity For Alleged Retailing Of Power Without REP Certificate
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The Division of Compliance and Enforcement (DICE) of the Public Utility Commission of Texas requested that the PUC open an official investigation of Berkshire Communities, LLC (Berkshire) to determine whether Berkshire committed violations related to the unauthorized resale of electricity and denial of tenants' rights to choose a retail electric provider (REP) in areas of the state open to retail customer choice.
DICE previously opened an informal investigation of Berkshire but, as more fully described below, is seeking to open a formal investigation so that DICE may conduct formal discovery to determine the entity responsible for the potential alleged violations
DICE alleged, "Berkshire has identified itself, alongside what appears to be an affiliated entity known as 'Berkshire Residential Investments,' as an entity responsible for the ownership, management, or control of several individually-metered, multi-family apartment complexes located in areas with retail customer choice throughout the state of Texas. At least five of the apartment complexes within Berkshire’s apparent ownership, management, or control enroll tenants in an electricity service known as the 'Energyze Program,' through which each participating apartment complex enrolls as the 'customer of record' for retail electric service provided to its individually-metered rental units by a REP of the apartment complex’s choice."
DICE alleged, "As the customer of record, each participating apartment complex takes title to the electricity provided to its individually-metered rental units before reselling that electricity by billing tenants for their individual monthly usage. Neither Berkshire, nor Berkshire Residential Investments, nor the individual participating apartment complexes have obtained the REP certifications necessary to engage in the above-described activities."
DICE alleged, "Based on its communication with Berkshire, DICE believes the participating apartment complexes -- each of which appears to be under the ownership, management, or control of Berkshire or Berkshire Residential Investments -- have engaged in the unauthorized resale of electricity and violated numerous customer protections requirements established under PURA and the Commission rules."
However, DICE said that it has been, "unable to decipher the exact nature of relationship between the relevant entities and, therefore, has been unable to determine the appropriate respondent(s) for a forthcoming enforcement action."
Specifically, DICE said, "DICE has been unable to identify which business entity -- Berkshire, Berkshire Residential Investments, or the individual apartment complexes -- is ultimately responsible for the implementation and oversight of the Energyze Program at the affected properties."
Thus, DICE is seeking the opening of a formal investigation to conduct discovery, "to assess what business entity is to be properly held accountable for the resale of electricity to Berkshire’s tenants."
Docket 56786
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July 3, 2024
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Copyright 2024 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com
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