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Parties File Joint Supplier Settlement Agreeing To Pay $400,000 Penalty, Issue Customer Refunds, And Suspend Marketing For 18 Months
“This Joint Stipulation and Recommendation (“Stipulation”) sets forth the agreement of Major Energy Services LLC (“Major Energy” or “Company”), the Office of the Ohio Consumers’ Counsel (“OCC”), and Staff, each of whom is a “Signatory Party” and together constitute the “Signatory Parties.” The Signatory Parties recommend that the Public Utilities Commission of Ohio (“Commission”) approve and adopt this Stipulation, which sufficiently resolves the issues identified by the Staff in its Notice of Probable Noncompliance dated August 14, 2024 (“PNC Letter”), attached as Exhibit A.”
- Joint Recommendation of Signatory Parties
“In consideration of the terms and mutual promises set forth herein, the Signatory Parties hereby agree that Major Energy will adhere to the following corrective actions: A. Major Energy will continue its suspension of all telemarketing and door-to-door (D2D) marketing in Ohio, as set forth herein:
- Major Energy agrees to continue its suspension of telemarketing in Ohio for a period of eighteen months from the date of Commission approval of this Stipulation.
- Major Energy agrees to continue its suspension of D2D marketing in Ohio for a period of eighteen months from the date of Commission approval of this Stipulation.
- Major Energy will submit a revised D2D enrollment process and documents for the Ohio market to OCC and Staff, six months before resuming D2D enrollment.
- Prior to resuming telemarketing or D2D marketing, Major Energy will notify OCC and Staff of its intent to resume marketing, including what vendors/contractors Major Energy will be using and the locations where D2D marketing is planned.
Also of note of items included in the Joint Stipulation and Recommendation the joint parties agree that at “Major Energy’s cost, and within two years of the Commission’s issuance of an Order approving this Stipulation, Major Energy will present at a national supplier conference (e.g., Energy Marketing Conference, POWERGEN International or DISTRIBUTECH) about potential fraud related to use of vendors and marketing, with a specific focus on the alteration of sales calls. Major Energy will provide Staff and OCC with a recording and any public materials provided at such conference.”
From Joint Stipulation and Recommendation:
- “Major Energy will re-rate all customers enrolled with Major Energy by vendors S&A Wholesale Inc. d/b/a Trendy Energy Solutions or Bell Marketing Solutions, LLC and return to the utilities’ standard service offer those customers that remain enrolled with Major Energy. This re-rate will result in restitution payments to Ohio consumers of approximately $98,807 in the aggregate. Major Energy will complete the actions required under this paragraph within thirty (30) days of a Commission Order approving this Stipulation.”
- “For the 249 Ohio customers that enrolled with Major Energy on its flat-fee product and were subsequently dropped from the flat-fee product by Major Energy, Major Energy agrees to make a restitution payment to those customers for six billing cycles after the customers were dropped by Major Energy. For purposes of this paragraph, Major Energy will calculate the restitution payment as the difference between the utility’s standard service offer or default rate and what those customers would have been charged if they had remained on the flat-fee product rate for six additional billing cycles. This payment will result in restitution payments to Ohio consumers of approximately $142,277 in the aggregate. Major Energy will complete the actions required under this paragraph within thirty (30) days of a Commission Order approving this Stipulation.”
- “For the 55 customers that contacted the Commission Call Center about Major Energy, unless the customers will receive a re-rate pursuant to Section IV.B or IV.C above, Major Energy will re-rate the customers if a credit is owed to the customer. This re-rate will result in restitution payments to Ohio consumers of approximately $12,157 in the aggregate. Major Energy will notify these customers that there may have been issues with their enrollment with Major Energy and offer to return the customers to default service without charging any early termination fees. Major Energy will complete the actions required under this paragraph within thirty (30) days of a Commission Order approving this Stipulation.”
- “Major Energy will re-rate all customers who filed a complaint with the Commission, Major Energy, or any other entity (e.g., Better Business Bureau and local utility) disputing their enrollment with Major Energy from July 2022 to the date this settlement agreement is fully executed. Major Energy will complete the actions required under this paragraph within thirty (30) days of a Commission Order approving this Stipulation.”
- “In consideration of OCC’s agreement with this Stipulation, Major Energy agrees to make a one-time donation of $400,000.00 to the Dollar Energy Fund to fund grants to be used for bill payment assistance programs for Ohio consumers, within ten (10) business days of a Commission Order approving this Stipulation. Major Energy and OCC will make the details of the assistance funding publicly available so the information may be shared with utility customers in need of assistance. Major Energy and OCC agree to explore with the Dollar Energy Fund options for setting out qualifying criteria for donation recipients.”
- “At Major Energy’s cost, and within two years of the Commission’s issuance of an Order approving this Stipulation, Major Energy will present at a national supplier conference (e.g., Energy Marketing Conference, POWERGEN International or DISTRIBUTECH) about potential fraud related to use of vendors and marketing, with a specific focus on the alteration of sales calls. Major Energy will provide Staff and OCC with a recording and any public materials provided at such conference.”
- “Major Energy will implement immediate changes to sub-contracted sales groups and fraud prevention, including, but not limited to, supplementing current quality assurance processes with service providers or software that identifies potential fraud (by methods including, but not limited to, pattern recognition using AI, geolocation technology, and photographic uniform compliance). Major Energy will investigate, and track interactions identified as potential fraud in Ohio, and submit a quarterly report to Staff and OCC summarizing the investigations, the results of the investigations, and any procedural or contractual changes implemented as a result of the investigations.”
- “Prior to resuming D2D marketing and telemarketing, Major Energy will submit a report to Staff and OCC identifying and explaining the impact of policy, procedural, and contractual changes that have occurred since the suspension of D2D marketing and telemarketing. 1) The report may explain system-wide changes at the enterprise level; however, it must also identify whether prior system-wide changes directly impact the Ohio market and any further changes being made to facilitate re-entry into the Ohio market. 2) The report will include a summary of prior quarterly reports of investigations and identify any resulting policy, procedural, or contractual changes.”
Joint Stipulation and Recommendation
25-0841-GE-UNC
(Major Energy Services LLC – Gas and Electric Investigation)

