More than 20 companies doing business in Pennsylvania will lose their licenses to supply retail electricity or electric generation service, the Pennsylvania Public Utility Commission (PUC) announced (M-2015-2490383) on November 19, unless they provide a bond or other security to demonstrate their financial fitness.
The commission’s regulations at 52 Pa. Code §54.40(a) state that an electric generation supplier (EGS) license will not be issued or remain in force until the licensee furnishes a bond or other security approved by the commission. In addition, 52 Pa. Code §54.40(d) states that ,”After the first year that the license is in effect, the security level for each licensee will be reviewed annually and modified – primarily based on the licensee’s reported annual gross receipts information. The security level will be 10 percent of the licensee’s reported gross receipts …. Maintenance of a license will be contingent on the licensee providing proof to the commission that a bond or other approved security in the amount directed by the commission has been obtained.”
The commission found earlier this month (November 9) that each of the following EGSs has not submitted the required bond or other approved security: American Enerpower Franchisor, Better Cost Control, Current Choice, Customer Acquisition Specialists of America, Delta Energy Services Ohio, Destination Energy, Eisenbach Consulting, Energy Services Provider, F&P Holdings, Guaranteed Electric Brokers, Intelligen Resources, L5E, Marketing Systems Group, National1 Energy, Northeastern Energy Consultants, Reflective Energy Solutions, Rescom Energy, Search Energy, Smart Choice Energy, Spark Energy, and Verdigris Energy.
As part of its EGS license validation procedures, the commission’s Bureau of Technical Utility Services then sent a Security Renewal Notice to each entity above, stating that original documentation of a bond, or other approved security, must be filed within 60 days prior to each entity’s security expiration date. None of the companies listed has provided the required documentation to date; therefore, the cancellation of the license of each company listed has been tentatively approved as being in the public interest.