News Stories

Sponsored by Earth Etch. Regulatory insight and compliance solutions for today’s energy markets.

PSC Issues ESCO Show Cause Order for Violating Commission Rules

Dockets: 25-E0763
Category: New York

The Commission agrees with Staff’s investigation and preliminary conclusion that there is sufficient credible evidence to support the issuance of a show cause order that Verde has failed to comply with the Commission’s Uniform Business Practices (UBP).

“Today’s Order does not constitute final findings of facts or conclusions of law. We now provide Verde with the opportunity to respond to the staff’s contentions. Verde is ordered to show cause within 30 days why its eligibility to act as an Energy Services Company (ESCO) in New York State should not be revoked or, alternatively, why other consequences as set forth in the UBP should not be imposed.”

From the Commission’s Discussion and Conclusion:

“[A]t this initial stage of the proceeding, the Commission finds that the Department has identified sufficient credible information to support Staff’s contention that:

1) Verde apparently violated UBP §4.B.3, which requires ESCOs to provide customer verification records to Staff upon request;

2) Verde apparently violated UBP §5.I.3, which requires ESCOs to produce enrollment authorization documentation to Staff upon request;

3) To the extent that Verde did not produce certain responsive records to Staff because Verde did not retain such documentation, Verde apparently committed a second violation of UBP §4.B.3;

4) To the extent that Verde did not produce certain responsive records to Staff because Verde did not retain such documentation, Verde apparently committed a second violation of UBP §5.I.3;

5) To the extent that Verde did not produce certain responsive records to Staff because Verde did not retain such documentation, Verde apparently violated UBP §5, Attachment 2, Section E; and

6) Verde apparently violated UBP §10.C.4.g, which requires ESCOs to cooperate with Staff in investigations regarding misleading marketing practices.”

“Staff contends that Verde’s apparent violations were not isolated events and may reflect a pervasive disregard of the UBP. Based on the information identified by Staff, and for the reasons discussed in this Order, the Commission therefore orders Verde to show cause why, based upon the allegations and contentions described herein, its eligibility to provide services as an ESCO in New York State should not be revoked. Verde should further show cause why other consequences should not be imposed.”