ACN Energy, a gas supplier to thousands of consumers inCalifornia, filed a formal complaint last week to the CaliforniaPublic Utilities Commission (CPUC) concerning distribution feestatements sent out to ACN customers by Southern California Gas(SoCalGas). The complaint accuses SoCalGas of mailing ACN customersstatements that falsely imply SoCalGas is their gas provider. As aresult, ACN said some of its customers have mistakenly andneedlessly sent checks to SoCalGas.

ACN has called for an immediate end to the practice and isseeking monetary retribution for the resultant loss of customers.It has also called for any customers, who were inconvenienced bythe situation, to complain to the CPUC.

“SoCalGas has been sending our customers ‘information only’statements that resemble bills, in which SoCalGas refers repeatedlyto charges for ‘gas,’ when in fact the only cost incurred bySoCalGas is for distribution. The result is understandableconfusion and concern among our customers, who believe that theyare paying too much for gas,” said ACN Energy CEO Glenn S.K.Williams.

The confusion stems from a 1994 settlement between utilities(one of which is SoCalGas), and the California Public UtilitiesCommission (CPUC). In that settlement, the parties agreed toregulations requiring the utilities that own distributionfacilities to provide consumers who get their energy from acompetitor with a “distribution fee” statement.

Denise King, a SoCalGas spokesperson said the company plans tofile a response at the CPUC within 30 days and request a dismissal.She said the utility was “disappointed that ACN did not try to workwith us before filing the complaint.” She added that SoCalGasremains open to work with ACN on its concerns.

The incident with SoCalGas marked the second time in Septemberthat ACN Energy announced trouble in one of its market areas.Earlier, ACN Energy admitted to wrongfully signing 2,300 customersin East Ohio Gas’ (EOG) service territory, due to confusion overEOG’s pilot program boundaries. In each case, ACN Energy has sent aletter to its customers explaining the situation.

ACN Energy is a subsidiary of American Communications Networks.Besides Ohio and California, it has energy marketing operations inGeorgia, Maryland, New Jersey, New York, Pennsylvania, Virginia andWashington D.C.

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