Some Say Electricity Website Has Power to Confuse
Some Say Electricity Website Has Power to Confuse
April 20, 2015
by Margarita Fournier; Copyright 2015 by Competitive Assets, LLC. All rights reserved
On 4/16/15, the Houston Chronicle wrote that the PUCT’s powertochoose.org is often perceived as too complicated for ordinary users. The site, “designed to help consumers hunt for bargains, offers up to 325 electric plans in the Houston area alone, each with various fees and rates…. Consumer advocates say it’s almost impossible to determine whether you’re getting the best deal…. The disparate fees and terms make it difficult for consumers to make apples-to-apples comparisons when shopping for plans,” particularly without at least some prior knowledge of electric rates. “Take for example, three 12-month, fixed-rate plans available on Power to Choose on March 25.” Three Retail Electric Providers (REPs) “offered plans that appeared to have the same rate – 10.5 cents per kilowatt-hour, including fixed fees and charges.” One REP’s customers “got the deal only if they enrolled online in automatic electronic billing. They would pay $5 to receive a monthly bill by mail, and another $5 for making a payment without using the automated system.” The REP “didn’t list those types of fees but charged customers $14.95 extra for using less than 1,000 kilowatt-hours of power a month.” Another REP “charged a $9.95 monthly base fee to all customers, offsetting it with a $15 credit for customers using at least 800 kilowatt-hours of power. If they used more than 1,200 kilowatt-hours, though, those extra kilowatt-hours cost 40 percent more.” One customer uses a computer spreadsheet, and compares the process “to graduate-level college assignments.” There are also too many plans on the site, making the choice more difficult, and showing cost at 500kW, 1000kW, and 2000kW is confusing. A bill to overhaul the site failed in the legislature in 2011, and current bills to streamline some fees are not moving ahead because of industry opposition. “Still, Carol Biedryzcki, of Texas ROSE, acknowledged Power to Choose is “the best resource we have” for searching for power plans. But, she added, “it could be made better if more resources were put into it.” Last year, the PUCT opened Project No. 43787, PUC Proceeding to Receive Comments and Suggestions Regarding the Power to Choose Website; its purpose is to seek improvements to the website.
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Posted by CompetitiveAssets on April 20th, 2015