In this issue:

• Reading fine print protects consumers
• OCC calls for electric reliability investigation
• Q & A: Natural gas safety in the home
• Ohioans on Do-Not-Call list can take action
• Communities explore energy aggregation
• Keep your telephone ringing by knowing service rights

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Reading fine print protects consumers

Many times consumers pay their monthly utility bills without thinking twice. But, with the entrance of new companies to the market and more services being offered than ever before in the utility industry, residential consumers need to be aware of the charges they are paying. Although laws exist to protect consumers from being taken advantage of by energy and telecommunications companies, there are important steps they should take to double-check their utility bills and review any supplier agreements before signing on the dotted line.

Reading the fine print on monthly utility bills and any agreements consumers may have with a competitive electric, natural gas or telephone company, is the best way to ensure that they are not paying for any services or features they do not want. The Ohio Consumers’ Counsel (OCC), the residential utility advocate, offers these tips on how to become a wiser consumer.

Consumers paying their local and long distance telephone bills should review

• Every service and feature listed, such as Caller ID or Call Waiting, and look for any services they do not recognize or did not order. Federal and Ohio law requires any changes in service to be “clearly and conspicuously” indicated on the bill. An illegal practice called “cramming” occurs when products or services are added to a telephone bill without a consumer’s permission.

• All features or calling packages to determine whether or not the services are actually used. Many consumers may be paying high prices for calling packages that offer more features than they need. To see a side-by-side comparison of a sample of current local telephone packages consumers can visit www.pickocc.org.

• The name of the company providing local and long-distance services. An illegal practice called “slamming” is the switching of a local or long-distance company without a consumer’s consent.

Before signing up with an electric or natural gas supplier consumers should review the terms and conditions of any agreement

• The type of rate being offered. Some agreements may offer a fixed rate for a certain period and then switch to a variable or other type of rate that could affect a consumer’s monthly bill.

• Any additional fees that may be charged for signing up with a supplier, changing suppliers, or canceling an agreement before the end of the service period.

• Renewal information. While some agreements may initially sign up consumers for a term of one year, many agreements may automatically renew customers for an additional period.

• Consumers who would like more information about what to look for when reviewing their utility bills and supplier agreements or tips for avoiding fraudulent charges, should contact the OCC toll free at 1-877-PICKOCC (1-877-742-5622) or visit the consumer publications page at www.pickocc.org for a free copy of "Reading the Fine Print: A Consumer Protection Resource."

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OCC calls for electric reliability investigation

The Ohio Consumers ’ Counsel (OCC), the residential utility advocate, has called for a comprehensive investigation by state regulators into whether each of Ohio’s electric utilities is providing the reliable service required under the law.

In a formal request filed in January with the Public Utilities Commission of Ohio (PUCO), the OCC outlined numerous failures of electric companies to provide reliable service and questioned some utilities’ declining maintenance expenses. At the time of publication, the PUCO had rejected the request and the OCC was considering its options to continue to advocate for reliable service.

The OCC believes that publicly reported problems, such as those discovered with FirstEnergy’s transmission system after the August 14 blackout, may be just the tip of the iceberg.

The OCC called on the PUCO to take the following actions

• Investigate whether Ohio’s electric utilities are in compliance with the state’s Electric Service and Safety standards and to what degree.

• Review whether the existing standards and penalties are adequate.

• Require tree trimming reports from electric utilities that define each operating company’s practices, outline future plans and disclose current and future spending.

• Issue a report on the findings of these actions and allow the OCC and other parties to comment and suggest appropriate action.

• Set a deadline for utilities to resolve reliability problems found by the PUCO investigation and the U.S.-Canadian task force that has been investigating the blackout.

• Impose financial penalties against electric utilities that have violated existing state standards.

Residential consumers are paying for reliable electric service through their current rates and the OCC believes that utilities should be held accountable if they are failing to fulfill their obligation.

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Q & A: Natural gas safety in the home

Many residential consumers rely on natural gas for heating, cooking and other uses in their homes. Understanding the potential dangers of natural gas and what to do in case of a leak will help keep you and your family safe all year long.

Q How can I tell if I have a natural gas leak in my home?

A While natural gas in its original state is odorless, gas companies add mercaptan, which contains sulfur and has a distinct smell – like rotten eggs – to alert you to the presence of natural gas.

Q What should I do if I smell natural gas?

A There are several safety measures you should immediately take if you think that there may be a gas leak in or around your home. Natural gas is flammable and any potential leaks should be taken seriously.

First – Do not attempt to locate the gas leak. Don’t light matches, turn on any electrical switches or appliances or use the telephone.

Second – Leave your home immediately and call the utility company from a neighbor’s house or cell phone. Only a professional should handle a natural gas leak.

Q Are there steps I can take to prevent a natural gas leak?

A Yes. Taking care of natural gas appliances and ensuring they run properly can help prevent natural gas leaks.

Keep furnace filters clean between service inspections. If you haven’t had your furnace professionally serviced, you should do so yearly.

• Do not store paint, water softener, bleach, adhesives or salt for melting ice near your furnace.

• Keep all heat registers and cold air return vents clean and clear of all furniture and drapes.

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Ohioans on Do-Not-Call list can take action

With the passage of a law by the Ohio legislature, residential consumers are now protected at both the state and federal level from telemarketers who call numbers registered on the national Do-Not-Call list.

Recognizing the importance of being able to enforce the national list properly, the Ohio legislature took action in December by adopting a state Do-Not-Call law, Senate Bill 28. The law was introduced by Senator Robert Spada and supported by Attorney General Jim Petro, the Ohio Consumers’ Counsel (OCC) and AARP. Governor Bob Taft signed the bill on January 13.

The passage of Senate Bill 28 has given the Ohio Attorney General additional enforcement capabilities to protect residential consumers. For example, under Senate Bill 28, the Attorney General may pursue complaints against telemarketers in state and local courts rather than be forced to go to a federal courthouse. The penalties that may be levied against telemarketers are the same as the significant fines contained in the federal law.

Ohioans may also file complaints against telemarketers in a small claims court. Small claims courts do not require an attorney and can award up to $500 or actual damages, whichever is greater, to consumers who have been called in violation of the national list.

Consumers began registering their home telephone, fax, pager and cell phone numbers for free on the national Do-Not-Call list, administered by the Federal Trade Commission (FTC), in July 2003. Enforcement of the ban on calling registered numbers began in October.

Charities asking for donations are still permitted to call registered numbers, as are political candidates. Companies that have recently done business with consumers also are permitted to call those individuals.

Under an agreement with the FTC, the Ohio Attorney General’s office has access to the national database to be able to check for complaints on a regular basis. Due to this agreement, Ohioans with numbers registered on the national Do-Not-Call list can continue to file any complaints with the FTC and be assured that the information will be shared with Ohio authorities.

To add their numbers to the national Do-Not-Call list or to file a complaint, consumers can visit www.donotcall.gov or call1-888-382-1222 toll free. Registration should go into effect after 90 days, after which time consumers are permitted to file a complaint if telemarketers continue to call.

The OCC recommends that consumers already registered on the national Do-Not-Call list read all the fine print before filling out sweepstakes entries and other forms. Consumers may be giving permission for businesses to call them even if their telephone number is included on the list. In addition, consumers should recognize that obtaining estimates, filling out applications and asking for more information about products or services allows businesses to call them for three months unless they request to be added to those specific companies’ internal Do-Not-Call lists. Federal rules require most companies to keep their own lists.

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Communities explore energy aggregation

From small townships to major cities, communities across Ohio have pooled residential electric and natural gas customers together in an effort to achieve lower bills. These aggregation programs allow local governments to negotiate with competitive suppliers on behalf of residents.

As of December 2003, voters in 295 communities have approved ballot issues authorizing their local governments to begin an electric and/or natural gas aggregation program. Of these communities, 245 have negotiated an offer either on their own or by joining with other communities that have also aggregated.

Through buying energy in large blocks, aggregated communities may possess greater bargaining power than individual consumers when negotiating with a supplier. Savings can then be passed on to individual residents as a reduced rate for electricity or natural gas.

The vast majority of buying pools have been formed as a result of “opt-out” aggregation programs. Opt-out programs first require voter approval at an election. Under opt-out aggregation, eligible residential consumers who are not already with a competitive supplier are automatically included in the buying pool, unless they return an opt-out form.

In addition, some communities have decided to offer “opt-in” programs, which do not require the passage of a ballot issue and allow consumers to sign up voluntarily for the program.

Over 90 percent of residential customers who have made an electric choice have done so through a local government’s aggregation program.

Many Ohioans can shop for a natural gas supplier on their own, however governments have been using the power of group buying in an effort to provide additional savings. Through aggregation, governments are able to provide consumers with an additional choice.

The Ohio Consumers’ Counsel (OCC) recommends that residential consumers:

• Carefully read and keep information mailed from your local government or an energy supplier. Pay close attention to any deadlines for opting out of a buying pool.

• If you have recently moved into an aggregated community, contact your local government for information about participating in the program.

• If you are interested in having your community aggregate, talk to your local elected officials and find out if they have considered creating a buying pool. Refer them to the OCC for more information.

• If you have questions about whether your home or apartment should be included in a local government’s aggregation program, contact the local government to find out if you live within its boundaries.

Consumers who would like to receive more information about aggregation or discover whether their community has aggregated can visit the electric or natural gas sections of the OCC’s website at www.pickocc.org or call 1-877-PICKOCC (1-877-742-5622) toll free.

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Keep your telephone ringing by knowing service rights

Facing disconnection of telephone service can be frustrating. Most consumers rely on their home telephones to keep in touch with family and friends and contact emergency services. The Ohio Consumers’ Counsel (OCC), the residential utility advocate, has information available for those consumers who are facing disconnection or have been disconnected from their telephone service.

Although consumers can be disconnected at anytime for non-payment of their monthly bill, the telephone company is required to send a notice at least seven days before the disconnection is scheduled.

The notice must include:

• Reason for disconnection
• Payment needed to avoid disconnection
• Date service will be disconnected
• Address and telephone number where the payment can be made or sent
• Any additional charges that may apply to have service reconnected

If a consumer has received a disconnection notice, he or she should contact their local telephone company as soon as possible. Many times service disconnection can be avoided by setting up payment arrangements with the company. In addition, consumers can contact the OCC for assistance in preventing a disconnection.

Telephone companies in Ohio will reconnect service to consumers only if all outstanding local charges are paid or a payment arrangement is set up and the first installment is received. Companies may require consumers to pay a deposit and reconnection fees in order for service to be restored.

Consumers who are facing disconnection may qualify to receive financial assistance through their local telephone company’s Lifeline program. Many of Ohio’s telephone companies offer specific programs in addition to available federal and state programs. The Lifeline programs offer discounts on the establishment of service as well as discounted monthly rates. Eligibility for the Lifeline programs may be determined through participation in several other assistance programs. Some consumers also may qualify based on their household income.

For more information about telephone disconnection issues and the Lifeline programs, contact the OCC toll free at1-877-PICKOCC (1-877-742-5622) or online at www.pickocc.org.