Office of the Ohio Consumers' Counsel

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Ohio Consumer and Environmental Advocates

Office of the Ohio Consumers’ Counsel
Northwest Ohio Aggregation Coalition
Citizen Power
Consumers for Fair Utility Rates
Empowerment Center of Greater Cleveland
Neighborhood Environmental Coalition
Sierra Club
Natural Resource Defense Council
Northeast Ohio Public Energy Council
United Clevelanders Against Poverty

Consumer Groups Not Parties to Proposed Settlement of FirstEnergy Electric Security Plan

COLUMBUS, Ohio – February 19, 2009 – The proposed FirstEnergy electric security plan settlement reached today by FirstEnergy and the Public Utilities Commission of Ohio (PUCO) staff, lacks the necessary protections to which residential consumers are entitled and denies them tens of millions of dollars in lower rates through competitive alternatives in local governmental aggregation, according to the Ohio Consumer and Environmental Advocates (OCEA), is a group of consumer and environmental advocates.

The residential consumer protections lacking in this settlement include:

That it potentially impedes the opportunity for governmental aggregation that could lower rates for hundreds of thousands of customers;
That it provides inadequate money for the fuel fund for low-income consumers;
That it lacks adequate consumer representation in the energy efficiency collaborative.

Parties that have not signed the agreement include: the Office of the Ohio Consumers’ Counsel, representing 4.5 million residential utility customers, Northwest Ohio Aggregation Coalition (including the City of Toledo), Citizen Power, Consumers for Fair Utility Rates, Empowerment Center of Greater Cleveland, Neighborhood Environmental Coalition, Sierra Club, Natural Resource Defense Council, Northeast Ohio Public Energy Council (which includes more than 100 local governments in nine counties), and United Clevelanders Against Poverty.

Editor’s Note:

Attached are comments from some of the parties opposing the proposed settlement filed at the PUCO today. For additional comments, please refer to the contacts listed below.

Contacts:

Office of the Ohio Consumers’ Counsel: Anthony Rodriguez, 614-466-9547
Northwest Ohio Aggregation Coalition: Leslie Kovacik, 419-245-1893
Citizen Power: David Hughes, 412-421-6072
Citizens’ Coalition (Consumers for Fair Utility Rates, Empowerment Center of Greater Cleveland, Neighborhood Environmental Coalition): Tim Walters, 216-631-5800
Sierra Club: Ned Ford, 513-600-4200

Compiled Statements about Stipulation for Electric Security Plan for FirstEnergy
Filed February 19, 2009

Office of the Ohio Consumers’ Counsel:

“This agreement is not the best outcome for residential customers,” said Janine Migden-Ostrander, Consumers’ Counsel. “FirstEnergy should not be allowed to unilaterally reject the PUCO’s order and then dictate what and how they charge customers. Ohio laws need to be followed and after-the-order revisions without due process should not be permitted.”

Neighborhood Environmental Coalition:

“We remain hopeful that FirstEnergy will do the right thing and provide some help for the poorest of its customers,” said the Rev. Mike Frank, Co-Chair of the Neighborhood Environmental Coalition. “A fuel fund can help a lot of children, elderly, and poor families so they can maintain their electricity and live in dignity as God our Father intended.”

Citizen Power:

“The Stipulation will be sold as a good deal for ratepayers. But it is a reversal of the PUCO's recent orders and it now allows FirstEnergy to get what it wanted: the ability for its subsidiary First Energy Solutions to provide 100 percent of the electricity under the agreement, the erection of barriers to competition, and the addition of unnecessary charges that will be hidden from consumers until they open their 2011 electricity bills,” said Ted Robinson, Citizen Power counsel.

Sierra Club:

"Sierra Club feels that while the proposed settlement makes major improvements over the company's original filing to conduct no new energy efficiency programs as required by SB 221, we cannot support a plan which cuts nearly all affected customer groups out of the process,” said Ned Ford, Sierra Club energy strategist. This settlement has been hasty and includes inappropriate major last minute revisions. This is not how utility policy and practices ought to develop in Ohio."

About the Office of the Ohio Consumers' Counsel

The Office of the Ohio Consumers' Counsel (OCC), the residential utility consumer advocate, represents the interests of 4.5 million households in proceedings before state and federal regulators and in the courts. The state agency also educates consumers about electric, natural gas, telephone and water issues and resolves complaints from individuals. To receive utility information, brochures, schedule a presentation or file a utility complaint, residential consumers may call 1-877-PICKOCC (1-877-742-5622) toll free in Ohio or visit the OCC Web site at www.pickocc.org.