Many New York State consumers are starting to choose who will supply their electricity, natural gas, and other services instead of the local utility company. They may select to make arrangements through either an energy services company (ESCO) or marketer. Or, they may choose to have an agent to serve as their intermediary between the marketer and the local utility company.
Who Are the New Suppliers?
- An ESCO or marketer is a non-utility supplier that provides electricity or natural gas and other services to customers rather than the local utility company.
- An agent is a broker that aggregates or organizes customers into a group to purchase electricity or natural gas from a marketer.
- The New York State Public Service Commission believes that more choices and options will benefit all consumers and stimulate the state's economy.
- Before consumers decide whether or not to participate in the competitive market, they should consider certain information as a guide in making a decision to choose a marketer or agent for their supply of electricity or natural gas.
- In a competitive marketplace, customers pay the marketers or agents for the energy and services they receive. However, customers will still continue to pay the local utility company for the delivery of electricity or natural gas through its system.
There are several steps that marketers must take before they may offer customers electricity or natural gas. They must:
- Demonstrate they are certified businesses registered with the New York State Department of State.
- Meet the eligibility criteria, including the filing of their standard customer contract or disclosure statement, set by the State Public Service Commission.
- Establish a convenient complaint handling procedure. (You may contact the PSC to register a complaint about an ESCO, but the PSC will not resolve those complaints. The PSC will continue to resolve utility complaints and disputes, but ESCOs must resolve their own. During the transition to competition, the PSC will track the complaints it receives about ESCOs. The PSC has the authority to revoke an ESCO's eligibility to do business if an excessive number of legitimate complaints against the ESCO are received.)
- Provide financial information to the local utility company to fulfill required creditworthiness standards.
- Establish an agreement with the local utility company on the specific terms and conditions on how they will operate in the utility's service territory.
- Demonstrate they are certified businesses registered with the New York State Department of State.
- Meet the criteria set by the local utility company.
Consumers Should Do Their Homework Before Selecting a Marketer or Agent
Just as you would when making a product purchase or entering into a service contract, carefully explore what it is you want before making a commitment with a marketer or agent. First, contact your local utility company to get a copy of your billing profile and usage history. Then, compare the service offerings of more than one non-utility supplier for costs, other product or service packages, terms of the contracts, billing arrangements and complaint dispute resolution processes.
|
For More Information Your local utility company, marketer or agent can provide you with information. Consumers may also contact the New York State Public Service Commission for assistance, and to obtain a list of marketers, by: |
|
| Write to us:
NYS Public Commission |
Calling our toll-free numbers:
|