In Response to “After six-year dispute, court orders $37 million ComEd refund”
Written by Michael Vrtis President of Realgy Energy Services in response to the Crain’s article After six-year dispute, court orders $37 million ComEd refund
So how do all the various entities work in overseeing a regulated utility or why does it take 6 years to refund overcharges?
This Crain’s article provides a great example, let’s look at the 3 steps:
STEP 1
The utility; ComEd has a monopoly to delivery electricity in its area and is overseen (regulated) by the Illinois Commerce Commission (ICC). ComEd wants to be paid more for providing service and goes to the ICC requesting an increase in fees from customers in exchange for providing better and more useful service.
The regulator; ICC approves a rate increase (and the improved service) for which ComEd begins charging customer
STEP 2
The Consumer Advocate; Citizens Utility Board (CUB) is an agency that seeks to ensure ComEd treats its customers (mainly residential) fairly. Remember ComEd is a monopoly and can only charge what the ICC (in some cases politicians) approve. The CUB sees that the ICC approval of the rate increase unfairly treated the consumer to the benefit of ComEd. So, CUB sues ComEd and wins.
The Court; orders the ICC to review the matter. Again, the court won’t get into the technical review (that’s why they sent it to the ICC for re-review).
STEP 3
This step is about appealing (delaying) the previous decisions….. in this case the ICC agrees with CUB and removes those funds from the rate base which means ComEd (having already collected them) has to return them. They don’t have to return them as they were received but by some form of distribution of the funds.
Of course, ComEd appeals to the appellate court (they review lower court decisions) and lost. The appellate court would have to overturn the ICC on technical issues to agree with ComEd.
So let’s see if the money is returned. This example illustrates that a regulated utility has many people who watch them and those who watch and act to hold all sides accountable really do serve the public interest.
How does this affect Realgy’s customers; they will receive a refund (depending on how ComEd disperses them) as this was a charge related to distribution of the wholesale supplied energy in part provided by Realgy.
Check out the Crain’s article: “After six-year dispute, court orders $37 million ComEd refund”
In response to “Quinn vetoes ComEd rate hike bill”
Written by Michael Vrtis, President of Realgy Energy Services in response to the Crain’s article “Quinn vetoes ComEd rate hike bill”
Governor Quinn is sending a political message that should not pass through more thoughtful consideration of legislators. ComEd has already received approval from the legislators to bypass the ICC in their review and approval of their rates. ComEd has politicized the rate setting process instead of relying on the experienced technical and financial input of regulators.
While they may be successful in the short term, eventually the regulators will have to review their rates and then the balance will likely be restored. Allowing politicians to approve utility plans is not good policy and is even worse for rate payers.
Check out the Crain’s article: “Quinn vetoes ComEd rate hike bill”
No buyer’s remorse with Realgy Energy Services, We are and remain below ComEd’s pricing
According to the Illinois Commerce Commission, ComEd’s energy price is projected to drop to around 5.55 cents per kilowatt-hour, from the current 8.3 cents per kilowatt-hour, that is a 2.75 cent decrease. The ComEd energy price includes the costs of transmitting electricity from power plants over high-voltage lines to the local distribution system.
Contracts municipal politicians and officials in 15 towns negotiated with power suppliers more than a year ago, to lower residents’ electricity bills, will soon exceed the costs ComEd customers pay starting in June.
The price being paid by most residents in Oak Park, which has an energy-supply contract with Integrys Energy Services Inc. until December 2013, is 5.79 cents per kilowatt-hour, 4 percent higher than the projected ComEd charge.
However this is not the case with Realgy Energy Services, they have been and remain below ComEd’s Pricing.
In northern Illinois, all customers pay ComEd to deliver their electricity but are free to choose a supplier to provide the electricity itself. The cost of electricity typically accounts for about two-thirds of an electric bill while delivery charges make up the rest.
Read the whole story Some suburban electricity deals to be costlier than ComEd
Realgy Energy Services Now Offering Natural Gas Services to Residential Illinois Customers
PRESS RELEASE 21 SEPTEMBER 2012 | By: Realgy, LLC
At their customers’ request Realgy Energy Services is now serving Illinois residential natural gas customers.
The president of Realgy, Michael Vrtis has announced that the Illinois Commerce Commission has given authorization to extend service to residential customers in the North Shore, Peoples, and Nicor service territories. Realgy was previously authorized to service only retail commercial natural gas accounts in Illinois.
“Our expansion into the residential natural gas market is the next logical step in Realgy’s plans to expand service to our customers in the Illinois energy market,” said Vrtis. “It’s the perfect complement to extend our existing Illinois electric service. This expansion will give all residential and commercial customers in Illinois a chance to save money on both their natural gas and electricity.”
Realgy Energy Services is an energy marketer serving retail and residential customers in Indiana, Illinois and Michigan. They have been serving Illinois customers beginning in 2004; since that time they have had a perfect record (certified A+) with the Better Business Bureau; and have been recognized as an Inc 500 company in 2011 and 2012.
Contact:
Realgy, LLC
Michael Vrtis
675 Oakwood Avenue
West Hartford, CT
860-233-2270
www.realgyenergyservices.com
Realgy Energy Services Now Offering Electricity Services to All Illinois Customers
PRESS RELEASE 21 SEPTEMBER 2012 | By: Realgy, LLC
At their customers’ request Realgy Energy Services is now serving all Illinois electricity markets.
The president of Realgy, Michael Vrtis announced that the Illinois Commerce Commission has given authorization to extend service to residential customers in the Commonwealth Edison service territory. Realgy has also been approved to start serving all customers in the Ameren Illinois, MidAmerican Energy, and Mt. Carmel Public Utility. Realgy was previously authorized to service only retail commercial accounts.
“Our expansion in the ComEd residential electric market as well our entry into the Ameren, MidAmerican Energy, and Mt. Carmel Public Utility markets is the next logical step in Realgy’s plans to expand service to our customers in the Illinois market,” said Vrtis. “It’s the perfect complement to our existing Illinois gas services in the Nicor, Peoples, and North Shore markets. This expansion will give our customers a chance to save money on both their natural gas and electric. In addition, we will be expanding our Solar and Green Energy division, already established in Indiana, into the state of Illinois.”
Realgy Energy Services is an energy marketer serving retail and residential customers in Indiana, Illinois, and Michigan. They have been serving Illinois customers beginning in 2004; since that time they have had a perfect record (certified A+) with the Better Business Bureau; and have been recognized as an Inc 500 company in 2011 and 2012.
Contact:
Realgy, LLC
Michael Vrtis
675 Oakwood Avenue
West Hartford, CT
860-233-2270
www.realgyenergyservices.com
Realgy Energy Services has been approved to serve Illinois electric and natural gas commercial and residential markets
At the request of our current Electric and Natural Gas customers Realgy has sought and received approval from the Illinois Commerce Commission to expand our services in the Illinois energy markets.
“This is the next logical step in Realgy’s plan to expand in the Illinois energy market and is the perfect complement to our existing gas services in the Nicor, Peoples, and North Shore markets,” stated Michael Vrtis, President of Realgy.
The Realgy Energy Services Illinois electric service area now includes both commercial and residential customers in Commonwealth Edison, Ameren Illinois, MidAmerican Energy and Mt. Carmel Public Utility. Realgy was previously only approved to serve commercial Commonwealth Edison customers.
The Illinois natural gas service area now includes both commercial and residential customers in Nicor, Peoples Gas, and North Shore. Realgy was previously only approved to serve commercial Nicor, Peoples Gas, and North Shore customers.
If you would like to enroll a residential or commercial account in any of these service areas, contact a Realgy Energy Services Energy Broker, at (877)-300 -6747 X 32 and have your bills ready.
For the full press release please visit the Realgy Energy Services Blog Press Release: Realgy Energy Services Now Offering Electricity Services to all Illinois Customers and Press Release: Realgy Energy Services Now Offering Natural Gas Services to all Illinois Customers
Three ComEd smart Meters have caught fire
The Illinois Utility Commonwealth Edison (ComEd) announced Thursday that three of their new digital smart meters overheated causing fires in customer’s homes. The fires damaged metering equipment and the “immediate area around the meter,” ComEd said, adding that tests showed the smart meter design was not the cause of the problem.
“The cause was related to fitting and connection issues with an older-model socket that had a poor connection at the point where the customer’s wires and ComEd’s wires meet,” ComEd said in a statement.
Smart meters allow for communication between utility and meter. They can record and send temperature data, and alert the utility when outages occur.
Smart meters were installed by ComEd in 130,000 homes in Chicago’s Humboldt Park neighborhood and 10 western suburbs as part of a pilot program approved by the Illinois Commerce Commission in 2009.
To Learn more about smart meters check out the ComEd website
Find the whole story here
Sources:
Chicago Sun-Times, Comed says three smart meters have caught fire