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Electricity Maine facing $1 million fine and license suspension

The Office of the Public Advocate is asking the Maine Public Utilities Commission to fine Electricity Maine and suspend their license.

HALLOWELL, Maine — The Office of the Public Advocate is asking the Maine Public Utilities Commission to fine Electricity Maine for what they call misconduct in marketing campaigns. 

Public Advocate Barry Hobbins says the Office of the Public Advocate (OPA) is recommending the Commission impose a $1 million penalty and suspend Electricity Maine's license to operate for one year. 

On Friday, the Office of the Public Advocate filed its recommendation to the Maine Public Utilities Commission. 

According to the Public Advocate, Electricity Maine went door to door in November 2017 through July 2018 and over 70 complaints about fraudulent or deceptive marketing tactics perpetrated by Electricity Maine’s sales agents were received.

The OPA says sales agents for Electricity Maine posed as Central Maine Power auditors or claimed to be CMP employees. Some agents allegedly said they were from Electricity Maine but promised to lower bills if the customer signed up. One agent allegedly promised "free service"  for a year while others promised to lower rates, despite the fact that Electricity Maine's rates were hight than others offered in the area. 

The OPA says the campaign targeted vulnerable populations such as the elderly. 

In March 2018, by the PUC’s General Counsel issued an explicit warning letter to Electricity Maine regarding these practices but despite this, the OPA says Electricity Maine continued its deceptive practices. 

In its testimony, Electricity Maine did not deny the vast majority of specific allegations of misconduct. Maine adopted a competitive retail market for electricity for all customers with the understanding that markets generally act to lower prices and improve service to customers.

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“When rogue actors behave as Electricity Maine has, it undermines consumer confidence and trust in the market, diminishing the potential benefits of the market for everyone,” Hobbins said. “The remedies sought by the OPA are intended to restore confidence in the integrity of the market to ensure that these benefits continue to be available.”

Because it happened after the close of the record in this proceeding, the OPA’s brief does not address more recent reports that Electricity Maine has been taking improper actions to collect bills from customers and has been reenrolling customers without following correct procedures.

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Electricity Maine would not comment saying, "we do not comment on ongoing regulatory proceedings."

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