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Connellsville police cautioning residents about solicitations

By Steve Ferris sferris@heraldstandard.Com 4 min read
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Kelly Tunney | ĢƵ

Representatives from Direct Energy are soliciting sales door-to-door in Connellsville without their required permits, according to Connellsville Police. The contracts they are pushing may be variable-rate contracts, which can tempt buyers in with a low rate that may shoot up when temperatures drop in the winter and energy use increases.

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Kelly Tunney | ĢƵ

Representatives from Direct Energy are soliciting sales door-to-door in Connellsville without their required permits, according to Connellsville Police. The contracts they are pushing may be variable-rate contracts, which can tempt buyers in with a low rate that may shoot up when temperatures drop in the winter and energy use increases.

Connellsville police said representatives of an electricity supply company could be cited for soliciting door-to-door without the required city permit.

Police urged residents to use caution if they speak to the representatives of Direct Energy, a Houston, Texas, company that is one of the 37 electric generation suppliers registered with the state Pubic Utility Commission (PUC) to sell electricity.

Residents are under no obligation to show or provide the representatives with personal information or utility bills, police said.

Some of the representatives have been told told to stop soliciting unless they obtain a solicitation permit, but the solicitations have continued, according to the police departmentĢƵ Facebook page.

In the post, police ask residents to call 9-1-1 to report the location of the representatives so they can be identified and cited for violating the ordinance requiring them to have a permit.

“If we do come across them they’re going to be cited or charged for not obtaining a license or permit,” Police Chief Bill Hammerle said.

As of early Wednesday afternoon, Direct Energy had not obtained the $75 solicitation permit, city officials said.

Some residents who commented on the police posting said the people soliciting claim to work for West Penn Power.

“We are currently investigating this matter. Direct Energy is one of North AmericaĢƵ largest retail energy and energy services providers. Our representatives are required to clearly identify themselves as being with Direct Energy and not the local utility, both verbally and also by wearing the appropriate badging and uniform. We take any concerns raised about our sales practices very seriously, and require that all our vendors ensure all agents are compliant,” Direct Energy said in a statement.

“They shouldn’t say they work for us. They’re not working on our behalf. They don’t work for us,” said West Penn spokesman Todd Meyers.

West Penn employees carry photo identifications, which they will show upon request, and drive well marked company vehicles, he said.

Electric generation suppliers (EGSs) such as Direct Energy have been permitted to sell electricity to compete with electric distribution companies (EDCs) such as West Penn Power, the local EDC, since the state deregulated the energy market several years ago.

Residents can shop for EGSs on the PUC website, which lists the companies and their kilowatt per hour prices.

Area residents who switch suppliers will continue to receive their electricity bills from West Penn with the rates from their chosen EGS. Those who don’t switch continue to pay West PennĢƵ rates.

EGS representatives ask residents if they can look at their electricity bills, which list the kilowatt per hour prices they are paying, so they can compare them to their prices, Meyers said.

He advises residents to thoroughly read the contracts from EGSs before signing. Some companies offer low initial prices, but the rates increase after a few months, and some offer variable rates that can change due to demand, he said.

The PUC received many complaints from EGS customers during the severe winter of 2014 when prices skyrocketed due to extremely cold temperatures, he said.

“That caused all kinds of heartache. People didn’t understand what they signed,” Meyers said.

He said switching to an EGS doesn’t hurt West Penn, which profits from distributing electricity and not from supplying it.

“ItĢƵ no skin off our nose,” Meyers said.

West Penn buys electricity on the utility market and serves as a “pass through” by collecting electricity bills. West Penn then forwards the per kilowatt hour payments to the electricity generation companies that provide the power, Meyers said.

“ItĢƵ a pass through cost for us. We send it directory to them,” he said.

Residents considering switching to an EGS can find information on the PUC website and they can call West Penn at 1-800-686-0021.

However, West Pen doesn’t recommend residents making that decision during a solicitation on their front porches.

“ThereĢƵ no need to let people into homes or show them a bill. I would say: Leave me your information and contact information and I’ll get back to you if I’m interested,” Meyers said. “People need to be caution about who you let in your front door. You just need to make sure your understanding what you’re signing. It has long term implications.”

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