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The Office of People’s Counsel (OPC) filed comments on Great American Power, LLC’s request to withdraw its license to supply Electricity in the State of Maryland. These comments were discussed at the Commission’s January 22nd agenda session.  Note that OCC has raised similar comments in other supplier’s request to relinquish their supplier license.  

During the Commission’s agenda discussion, the Commissioners appeared to generally agree with comments raised by the OPC that given the likelihood that more suppliers may seek to relinquishment their licenses given SB1’s challenges in the Maryland market and the potential liabilities suppliers may have incurred since the supplier has been licensed that the Commission should should take the matter under advisement as to whether additional processes or procedures might be warranted.

Excerpts from OPC comments:

{***} “The Maryland Office of People’s Counsel submits the following comments concerning Great American Power, LLC’s (“GAP” or “company”) request to relinquish its license to supply electricity or electric generation services in Maryland. The Commission should, pursuant to its authority under Section 7-507(c)(4) of the Public Utilities Article and Section 20.51.03.05B of the Code of Maryland Regulations, require GAP to demonstrate that the company does not have any outstanding liabilities or obligations to its former Maryland residential customers which have been transferred to Powervine Energy, LLC (“Powervine”).1 Approving the company’s request while the company has an outstanding obligation would not be in the public interest.” {***}

{***} “Background

GAP has been engaged in the retail supply of electricity or electric generation services to residential, commercial and industrial customers in Maryland since October, 2011.2 On March 14, 2024, GAP filed a joint letter with Powervine Energy, MD, LLC (“Powervine”) informing the Commission of its assignment of 739 electric customer contracts from GAP to Powervine. 3 The Commission noted the assignment after considering the matter at the April 10, 2024, Administrative Meeting.4 The issue of which entity—GAP or Powervine—retains the liabilities and obligations to GAP’s former Maryland residential customers under the transfer agreement for incidents predating the transfer was not discussed at that Administrative Meeting. 

According to GAP, as of May 10, 2024, it no longer has any customers in the state of Maryland and will not operate in Maryland. 5 GAP does not have any outstanding assessments that it owes the State, but it does have one open complaint with CAD that the company has failed to formally close. 6 The outstanding complaint stems from a customer complaint that was filed against GAP with CAD. 7 GAP has since issued the customer a refund, as required by CAD, but has not followed the required steps to either appeal CAD’s decision or request the complaint to be closed. 8” {***}

Comments Pursuant to COMAR 20.51.03.05B and the Commission’s licensing authority and ability to adopt requirements it finds to be in the public interest under PUA § 7-507, OPC recommends that the Commission require GAP to demonstrate that it does not have any possible outstanding liabilities and obligations to its former Maryland residential customers prior to approving GAP’s request to relinquish its license.9 COMAR 20.51.03.05A-B provides: “(A) A licensee shall provide 60 days prior written notice to the Commission…. of an intention to cease providing services to all customers in…the State…. (B) Following receipt of the notice required by § A of this regulation, the Commission may require the licensee to provide notice to the public and take other appropriate action.” (emphasis added). Furthermore, PUA § 7-507(c)(4) states “[T]he Commission shall, by regulation or order…. adopt any requirements the Commission finds to be in the public interest.” In this matter, it is in the public interest for the Commission to require GAP, a licensed retail supplier within the Commission’s jurisdiction, to demonstrate it has met all of its outstanding obligations in Maryland before it is allowed to relinquish its license and leave the State’s regulatory reach. OPC acknowledges that GAP is unable to predict if any obligations to its former Maryland residential customers will arise for issues stemming from incidents predating the assignment of customers from GAP to Powervine. Nonetheless, because the issue of who retains liabilities for such obligations—GAP or Powervine—is unknown, the Commission should require GAP to maintain its license and bond in Maryland for at least three years to protect the interest of Maryland residential customers. 

Recommendation 

Therefore, OPC recommends that, before the company is allowed to relinquish its license, the Commission require GAP to demonstrate that the company does not have any outstanding liabilities to its former Maryland residential customers by:

1. Demonstrating that any liabilities GAP could have to its former customers, or the public have been fully transferred to Powervine: or 
2. Require GAP to maintain its existing license for at least three years to provide the public with sufficient time to assert any consumer protection or other legal claims against GAP before the surrender of its license is approved.” {***}

OPC Great American Power Comments For 01/22/2025 Administrative Meeting. (ML# 315036)