Overcharging

Peoples Gas, a subsidiary of Chicago-based Peoples Energy, allegedly overcharged customers by at least $149 million as the result of an illegal profit-sharing deal with an affiliate of now-bankrupt Enron Corp. during the winter of 2000-2001, according to the latest testimony filed by the city of Chicago and a consumer advocacy group with Illinois regulators.

Peoples Energy last week rejected claims by the Illinois-based Citizens Utility Board (CUB) that the company overcharged customers two years ago, and insists that natural gas purchases made during the winter of 2000-2001 were appropriate and prudent. The company, responding to charges that it owes customers refunds, said CUB’s claims were false and irresponsible, and said it would “strongly contest them.”

Peoples Energy on Thursday rejected claims by the Illinois-based Citizens Utility Board (CUB) that the company overcharged customers two years ago, and insists that natural gas purchases made during the winter of 2000-2001 were appropriate and prudent. The company, responding to charges that it owes customers refunds, said CUB’s claims were false and irresponsible, and that it would “strongly contest them.”

Houston-based Enron Corp., hit in the past few months with accusations of overcharging in California and sagging stock performance, wiped the slate clean Thursday with its second quarter earnings release, announcing profit was up 40% over a year ago, boosted by surging electricity and gas sales in North America and Europe. The company said it sold almost twice as much power in North America and five times as much in Europe in the quarter.

Houston-based Enron Corp., hit in the past few months with accusations of overcharging in California and sagging stock performance, wiped the slate clean Thursday with its second quarter earnings release, announcing profit was up 40% over a year ago, boosted by surging electricity and gas sales in North America and Europe. The company said it sold almost twice as much power in North America and five times as much in Europe in the quarter.

Accusing the state’s utilities of unlawfully billing customers,the Industrial Energy Users-Ohio and the Ohio ManufacturersAssociation went to court this week to prevent the Public UtilitiesCommission of Ohio from imposing extra charges for a low-incomecustomer assistance program.

The bitter atmosphere existing in Georgia since the GeorgiaPublic Service Commission (GPSC) accused Atlanta Gas Light (AGL) ofovercharging its customers last month intensified last week as theGPSC filed biting pre-testimony for a Feb. 3 hearing, only to haveAGL respond in a public outcry. If the hearing occurs, thecommission expects a decision on the case by Feb. 9.