|
|
|
|
|
PSC Weighs More Robust Process For Retail Suppliers To Exit Market, Concerned About Remaining Liabilities
The following story is brought free of charge to readers by VertexOne, the exclusive EDI provider of EnergyChoiceMatters.com
The Maryland PSC will further consider new requirements or processes for retail suppliers seeking to relinquish their license, as the PSC expressed concern about potential remaining liabilities that such exiting suppliers may have incurred, and as the PSC also expects more suppliers to seek license relinquishment in light of SB1's changes to the market
As previously reported, the issue of a retail supplier's liabilities which may extend beyond its market exit has been raised by the Maryland Office of People's Counsel in several recent assignments of customers from one supplier to another
Today, the PSC was considering a request from Great American Power, LLC to relinquish Great American Power's electric license, following an earlier assignment of Great American Power's Maryland customers to Powervine Energy
OPC said that, based on the filings by Great American Power, it was not clear which supplier possesses the liability related to activities performed by Great American Power prior to the assignment, with respect to such assigned customers
In the absence of information that Powervine assumed all such liabilities, or a demonstration from Great American Power that no such liabilities exist, OPC argued, as it has done in other recent relinquishment proceedings, that Great American Power should be required to maintain its supplier license -- and the relevant bond for licensure -- for three years, to ensure that the PSC is able to enforce any liabilities against Great American Power, should such arise
While there is a non-closed customer complaint before the PSC's Consumer Affairs Division against Great American Power (in which the customer has been provided a refund but in which it is unclear whether Great American Power intends to continue with an appeal or wishes to close the case, due to the lack of a final filing to such effect), OPC's recommendation was not solely premised on such non-closed complaint, and, as noted, OPC has made similar license continuation recommendations with respect to other suppliers seeking to relinquish their licenses
Commissioner Bonnie Suchman noted that the PSC may see more license relinquishment requests due to SB 1, and stated, "I am concerned about creating a process where retail electric suppliers continue to have an obligation but are able to escape that obligation by leaving town quickly."
Commissioner Michael Richard agreed with Suchman's comments, and suggested that a more standardized process be implemented for license relinquishment, which would ensure that the PSC has the necessary information about outstanding complaints or potential liabilities prior to ruling on relinquishment
In prior cases, OPC has proposed that the assignment or purchase agreement among the suppliers be filed with the PSC, or, to the extent not addressed in such, that the relevant suppliers affirm which supplier holds any liabilities with respect to the customer activity prior to the assignment
The relinquishment of Great American Power's license was taken under advisement, with Chair Frederick Hoover also expressing concern that, if a supplier no longer has a license, the Commission loses its best avenue for enforcement, should the need arise
ADVERTISEMENT ADVERTISEMENT Copyright 2025 EnergyChoiceMatters.com. Unauthorized copying, retransmission, or republication
prohibited. You are not permitted to copy any work or text of EnergyChoiceMatters.com without the separate and express written consent of EnergyChoiceMatters.com
January 22, 2025
Email This Story
Copyright 2025 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com
NEW Jobs on RetailEnergyJobs.com:
• NEW! -- Manager / Director of Sales, PJM Commercial
|
|
|
|
|