AARP Supports Electricity Customers' Rights Bill

Schenectady Gazette, Oct. 2, 2002

ALBANY - AARP is urging Gov. George Pataki to sign a bill ensuring people who switch to an alternative energy supplier don't lose the rights they would have with a public utility, such as being offered budget payment plans. Under state-mandated efforts to encourage competition among energy providers, public utilities are mounting advertising campaigns to persuade people to buy their energy from a private supplier.

"Public utilities are encouraging people to switch but they are not telling them they could lose certain basic rights and protec- tions," Lois Aronstein, New York state director for the American Associated of Retired Persons, said in a news release issued Tuesday.

The Energy Consumer Protection Act of 2002, sponsored by Assemblyman Paul Tonko, D-Amsterdam, and Sen. James Wright, R-Watertown, is meant to ensure energy customers have the same rights when they sign up with a private energy company or energy service company.

Gov. George Pataki is reviewing the legislation, spokeswoman Jennifer Farina said. The bill has not been sent over to the governor's office; once it is sent, Pataki has 10 days to sign or veto it.

The Energy Association of New York State has objected to the legislation, saying the way it is worded could backfire and allow customers to have their service terminated.

"We have significant concerns with the language of the bill, not the intent of the bill," said Stuart Silbergleit, executive vice president and general counsel of the Energy Association, which represents utilities and energy-generating companies.

He said the bill would allow energy service companies, which provide power through arrangements with utilities, to tell utilities to cut off customers' power.

Tonko said that is inaccurate.

"It's a last attempt to stop something that would put pressure on the system," Tonko said. He said customers should not switch to energy service companies unless they have the same rights as they would with a public utility. In addition to being offered budget plans, the rights outlined in the bill include not being required to pay a deposit or prepayment for service connection and being able to settle billing disputes and complaints through the Public Service Commission.

They also include a limit on late fees, having service continued through a deferred payment agreement if money is owed the company, and provisions for continued service to people experiencing medical emergencies and for the elderly, blind and disabled.