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The Ohio Public Utility Commission issues a press release identifying what happens when a “bad apple” supplier violates the Commission’s consumer protection rules.  Specifically, the press release weaves the tale by using PALMCo/Indra Energy as its case book study of what not to do.  

Excerpts From PUCO Press Release:  PALMCo/Indra Energy: a case study: 

Between December 2018 and April 2019, the PUCO received over 480 contacts regarding a company called PALMco Power OH (that was doing business in Ohio under the name Indra Energy.  Consumers complained about high bills, deceptive marketing and enrollment disputes. Investigations into these complaints and responses from this company led staff to believe there could be a systemic pattern. 

PALMco allegedly was violating several instances of the Ohio Administrative Code guarding against “unfair, misleading, deceptive and unconscionable acts and practices to market and enroll customers.”  

After further investigation, the PUCO staff filed a report concluding that PALMco was not only in noncompliance with the Ohio Administrative Code, but also that the company had not demonstrated the ability to comply with rules going forward and that they lacked the managerial capability to operate in the state of Ohio.  

In July 2019, PUCO staff and PALMco filed a joint settlement agreement and recommendation for the Commission’s consideration. The company and other interested parties had a chance to respond, present evidence and directly testify during the evidentiary hearing process. 

In January 2020, the Commission adopted the settlement agreement which had a number of consequences for the company. PALMco had agreed to: 

• Stop enrolling new customers and credit affected customers over $385,000. 
• Leave the Ohio marketplace after their certification expired. 
• Not do business in Ohio’s markets for five years. 

But that wasn’t all. While the first investigation was ongoing, PUCO staff had continued to receive complaints from consumers about PALMCo’s abnormally high electric and gas bills. Staff filed a letter noting “…the egregious nature of PALMCo’s actions and continuing to charge unconscionable rates while they are currently under investigation by the Commission for the same or similar conduct.” 

A second investigation found that PALMCo was charging rates not reasonably in line with the market. In 2021, the company, along with the Ohio Consumers’ Counsel, filed a second joint settlement agreement with the PUCO. The Commission adopted that agreement which provided more than $1 million in relief to affected customers and extended the ban on doing business in Ohio to seven years. 

What it means for you? 
PALMco is not, and will not be, the only company that has been subject to enforcement action from the PUCO. Every day, PUCO staff monitor customer complaints and detect patterns in supplier behavior. Whether it’s in the grocery store, door-to-door or over the phone, the supplier is required to follow the regulations and laws in Ohio. 

PUCO Press Release  (02/27/2024)