Major Energy Services

Review: 1. Initial Contact

In April 2013, a [redacted] encouraged me to take part in reducing my electric bill. I was told that new laws had been passed granting me the privilege of choosing my electric/gas supplier and that I was no longer under the monopolized rates of my electric utility. The [redacted] stated that Major Energy would be able to save me money every month on my bill. The [redacted] even asked to see a copy of my current electric bill in which I politely declined. He did provide me with a rate that ended up being lower than my current utility rate. When I told him that indeed, that rate sounded better but yet I was still skeptical. As the [redacted] began filling out paperwork, he checked a variable rate box, which I completely disagreed with. He assured me "this is how we have to fill out our forms but everybody will be getting the same fixed rate that I mentioned to you." Still extremely skeptical, I wanted assurance. I was given his name ([redacted]), his agent code ([redacted]), and a phone number for me to reach if I saw something different on my bill. From there I was asked to speak to someone over the phone. [redacted] did most of the talking with this 3rd party. Then I was asked to confirm my name, address, and the company with which I was speaking. I was never warned that this may be a raw deal or that I should really be doing more research into this. I found this to be completely unethical [redacted]ship as my rates soon skyrocketed.

Recognition of Rate Increase

2. The rates at the beginning of my term were a little higher than my SOS, but they seemed to be consistent, so I felt like what I was told by the [redacted] was correct. Then on my February 2014 bill, my commodity charge per KWH skyrocketed from around 11 cents to 25.5 cents. Likewise, my commodity charge per therm skyrocketed from 60 cents to 95 cents a therm. To me, this is absolutely ridiculous. I was told my rate would be a set rate and not variable, yet indeed it was variable. And by variable, I mean criminally variable.

Attempt to Contact Company

3. After my utility bill nearly doubled (entirely related to the supplier, not the utility), even though my usage had actually decreased, I decided I wanted answers. As soon as I google Major Energy Services, I see multiple reviews of customers claiming scams and ripoffs and I am immediately alarmed. I then found their website and a number to call. I call the number and go through the automated processes until I am in a waiting queue. I am told I am number 18 in the queue. A couple of moments later, I move up to number 11. Then to number 8. Then to number 2. Finally the phone starts to ring and unfortunately, it goes straight to a recording saying that I should leave a message and they will return my call. I figured this must be an error, after all, I just waited 25 min. So I call back. And it goes to another recording that says "I'm sorry but you have exceeded the maximum number of call attempts for the day. Please try back later." I am absolutely dumbfounded as I have never heard of such a thing. I call back the next day and get the same message. I try back later in the day and get the automated process again. I go through it and magically I am told I am in the same queue positions...18...11...8...2. Again, I am sent straight to a recording asking me to leave a message. So I leave a message. I also send an email. I try their online chat but am told "please wait for an operator to respond". I leave the window open all day and I get that same message at equal intervals throughout the day (over 30 times). Oh, and no operator ever responded. I waited a couple of more days, never received a call back or an email back. I called my utility and they said the only option is to deal with them directly or file a complaint with the Maryland PSC. On March **, I go to the MD PSC site and file my complaint. The next day I receive an email from a [redacted] at Major Energy stating that my rise in rates is due to my variable rate contract and because of market changes, polar vortex, rise in demand, etc. MAIN THOUGHT: The difficulty in which a customer has to go through to speak with someone at this company is borderline criminal. That is why Major Energy is being complained against, why they are being labeled a "scam", and have multiple reports on Ripoff Reports.

Attempted Resolution of Disputed Charges.

4. [redacted]'s email stated that she would be offering relief to customers by lowering my rate from $0.2545 to $0.1899, which is still over a 100% increase from my previous charge. I then finally was able to speak with [redacted]. I explained my frustrations with getting into contact with the company, the discrepancy between my billing and the [redacted]'s promise, as well as my frustration with these absurdly high rates. She then told me I could lower my rate even further by joining a fixed agreement with them. I dont understand how a fixed rate of $0.09 can be offered if the market is dictating charging a customer $0.25 per KWH. In the end, I was sent a refund check of $31.27. This check came with the stipulation that if I cashed it, I relinquish my abilities to pursue any dispute any farther, so I did not cash it. After [redacted] told me a check was mailed, I asked to cancel so I could go back to the SOS. My final question was how can I be assured that you wont push my rates right back up next month now that I have cancelled. I was assured that these charges may not go down, but that I shouldn't see a significant increase on my next bill. Unfortunately, even though my usage decreased, my price again increased. My KWH charge increased from $0.1899 to $0.1940 and my therm charge increased from $0.95 to $1.199. So again for the second month in a row, my usage decreased, yet my bill significantly decreased. I tried calling [redacted] and her extension listed on her email was invalid. I sent her an email and received a call back. She disagreed and told me she never told me that. She told me that the "market" dictates this price and that my variable contract allows for this.

In conclusion, I find this whole business very shady from top to bottom. I find it unbelievable that they have an accreditation with the Revdex.com. I think it is completely unethical to dupe customers into signing up, charge them outrageous rates, design your systems to prevent your customers from contacting you, pay them a small proportioned refund in order to get them to keep quiet, and to dance around any explanation regarding your behavior. I will also be speaking with my congressman and senator regarding legislation and regulation around this subject because this is not fair to the middle class Americans who are being screwed.Desired Settlement: Ask #1: I understand Major Energy does not directly employ these salespeople as they have stated in some of their other complaint resolutions. But knowing that the company you hired, is obviously allowing for these unethical practices to continue, why are you still associated with them? What steps are being taken to distance yourself from salespeople like this? OR will you decide to take matters into your own hands with your customer's best interests at heart, and train your own salespeople that will represent your company the right way?

Ask#2: What is being done to improve the ability of your customers to communicate with you regarding issues?

Ask #3: How many customer service employees does Major Energy employ to handle customer complaints and disputes?

Ask #4: How can Major Energy offer a variable rate at $0.25 per KWH and at the same time offer a fixed rate at $0.09 a KWH? Especially when you claim that the "market" is setting your price of $0.25?

Ask #5: (Main ASK) I would like to see a calculation of how you derived at the rates I was charged for the months of June 2013, January 2014, February 2014, and March 2014. I would also like to see the specific references and specific sources behind that calculation to prove this drastic market influx. I would like the calculation to be detailed as to what factors were involved in this calculation for each month.

Ask #6: As an alternative to providing this information, I would like a refund of all the overages from my February and March bill. This would bring my KWH price to around $0.1199 and my therm price to around $0.60. My calculation of this refund would be $167.04 for the February and March bills. Likewise, any future bills that I have coming, I would like those rates to appear as well and I would like this in writing.

Business

Response:

Good Afternoon,

We apologize that the customer has had a bad experience. First, as the customer notes, the sales representative that the customer interacted with was from an independent partner vendor. That said, in light of the customer's comments, we will be assessing the sales practices of the vendor. Second and third, we apologize that the customer had such difficulty contacting our customer service department. Due to ongoing repercussions from the Polar Vortex, we have experienced a drastic increase in call volume. We have recently taken steps to improve our customer service department and better serve our customers. Fourth, we are able to offer a lower fixed rate plan than a variable rate plan right now because of the nature of a fixed rate plan. A fixed rate plan locks a customer in for a definite term. This allows us to offer a rate that may currently be below market price. Over the course of the contract, we are able to recoup those losses while the customer enjoys a dependable rate. Fifth, I am likely unable to provide a description as detailed as you desire of how your rate was calculated. However, I have included some additional information below. Sixth, in this case, the customer has validly enrolled in a variable rate contract and we will not be issuing a refund.

Regards,

Why Have Energy Bills Increased – Explaining Price Volatility

It has

been a record cold winter across much of the country, and many have been

expressing deep concern as to why energy bills have been so high. Regardless of

whether energy is purchased from a utility or a competitive energy supplier,

customers have seen electricity and natural gas prices spike in many parts of

the Northeast and Mid-Atlantic regions.

Why did

prices rise?

Simply

put, the issues at hand are the cold weather, electric grid and natural gas

pipeline capacity, and the increasing use of natural gas not just for heating

purposes, but to create electricity.

There is

ample gas supply in the United States, especially given the boom in shale gas.

What customers are feeling are the results of a strained transportation and

infrastructure system that delivers electricity and gas. When demand is high

and capacity is constrained, costs increase.

This

winter’s “polar vortex” has increased the demand for both natural gas and

electricity, resulting in significant congestion in the natural gas pipelines

and on the electric grid (the highways of the energy system). Everyone relies

on these natural gas pipelines and the electric grid to get energy from where

it is produced to where it is used by the homeowner, the tenant, and the

business owner. Just like only so many cars can efficiently travel along a

highway, only so much natural gas and electricity can move through the natural

gas pipeline system and the electric grid.

Also,

while more and more people are using natural gas directly for heating purposes,

electricity generators are also increasingly using natural gas to produce

affordable power. In the short-term, this electricity generation is putting

further strain on the natural gas capacity in certain parts of the country. At

the same time there are also bottlenecks on some parts of the electric grid,

preventing electricity from getting from the generators to the consumers in an

efficient manner.

It’s

known from economics that constraints on supply (such as not being able to get

gas from where it is plentiful to where it is needed) cause prices to rise, and

this has occurred in the wholesale energy markets. The result? Competitive

energy suppliers and utilities alike are paying higher than normal prices when

purchasing from the wholesale market in order to provide energy to homeowners,

tenants, and business owners. This is causing everyone’s bills to rise.

As the

winter weather gradually improves and temperatures rise, the demand for energy

to heat homes and businesses will decrease, placing less pressure on the

nation’s electricity grid and allowing energy prices from suppliers and

utilities to normalize. However, winter weather may very likely be around for

some weeks to come. Despite the unusual weather, the gas and electric delivery

systems have proven to be highly reliable this winter. A number of new natural

gas pipelines and electricity transmission lines are planned or under

construction which should reduce the chances of a similar price spike in the

future.

In the

meantime, there are some things that can be done to help manage energy bills.

Conserve energy as much as possible. For example, make sure

doors and windows are well insulated, seal any air leaks, and lower the

water temperature setting to 120 degrees on the water heater.

Customers using a competitive supplier and who are on a

variable rate plan or whose fixed contracts have expired, should review

their contract to confirm the accuracy of the pricing and call their

supplier if they have any questions.

Customers interested in price stability can also investigate

fixed price options that many suppliers offer.

Customers in need of financial assistance should investigate

their state’s home heating assistance programs. In many states, a customer

can stay with a competitive supplier and still receive assistance paying

utility bills.

Customers should visit their

state’s “energy shopping” websites to compare offers from different suppliers.

For a list of shopping websites, [redacted]

Consumer

Response:

I have reviewed the response made by the business in reference to complaint ID# [redacted], and have determined that my complaint has NOT been resolved because:

Hello,

I have rejected this response because I do not feel that they made any attempt to answer my questions or to resolve this issue. I feel that this was a standard PR issue that was copied and pasted from other responses.

1) Their answer to my first ask was that they will be "assessing the sales practices of the vendor". They did not answer my question, but instead used the same answer that they have used in other complaint responses. They did not provide any specifics of what steps were being taken. They did not answer if they were going to distance themselves from their unethical 3rd party. And they did not answer if they would train the salespeople themselves so they best represent the image Major Energy wants to portray.

2) My second ask was what is being done to improve the ability of your customers to communicate with Major Energy. They again did not answer the question. All they said was we have taken steps to improve our customer service. I want to know how? It is not a valid excuse to blame the high call volume on a polar vortex. You supply electricity and gas to the NorthEast. EVERY winter in the Northeast, we get cold temperatures and we get snow. Also, it is not a question of how high the volume of calls or emails is. It is a question of your communication infrastructure. You have a chat window that does not work. Ever. You have an automated phone answering system that keeps people on hold with no intention of ever getting them to someone who can help.

3) My third ask was to understand their customer service department and how many people they employed. They did not answer this question.

4) My fourth ask was for an explanation of fixed vs variable. They provided a cookie cutter answer about what a fixed rate was, which I understand. They did not explain the VAST difference between their fixed and variable rates.

5) My main ask was for a calculation of how they came to their rates. I feel their rates are borderline criminal. Therefore, I want to see what factors and what data were involved in calculating the rate that I was charged. They provided many pre-recorded answers about the transportation costs and delivery costs of gas and electricity. But yet they give no numbers, no sources, and no background calculation to the rate they are charging the consumer. I want cold hard facts that prove they aren't robbing me of my hard earned money by charging whatever they so desire.

**A large discrepancy takes place here too. When I first called Major Energy, they told me that one of the reasons for the spike in my bill was the drastic shortage in Natural Gas supply here in the United States. When I objected that this was not true, they stuck by their answer and said the USA has a shortage in domestic natural gas supply. BUT...in their response, they make the following statement..."There is ample gas supply in the United States, especially given the boom in shale gas." Contradictory answers leave me with even more doubt about this company then when I first began.

6) I offered them an alternative to not answering my questions and that was to provide me with the overage charges of what I thought were criminal. They denied.

My conclusion on rejecting this response is that the company made zero attempt to answer the questions and concerns of the customer, made zero attempt to provide clarity to a very muddy situation, and they made zero attempt to come to any resolution with the customer. I have seen that I am definitely not alone in my complaints with this company and it is a shame. I think this company should be investigated for unethical practices.

In order for the Revdex.com to appropriately process your response, you MUST answer the question above.

Sincerely,

Business

Response:

Our previous answer was as responsive to the customer's complaint as possible. We are sorry the customer is unhappy.

Regards,

Review: the company promised lower rates than I was getting in the state of Maryland and at the time I was getting a rate at .09cents the first month with them it went up to .11cents the second month it was .189cents and the last bill I just got from them was at .3498cent for the electric . How did this save me money . It has cost me in 2 months 150.00 extra each month, I have since terminated them from my electric supplier. I feel they have ripped me off and I want my money back. This is a poor company and the they can not even return my calls and they have no supervisors who you can even talk to , There answer they will call you back in a few days.Desired Settlement: I want my money back they over charged me and I want a letter from them to explain why they scammed me.

Business

Response:

Good Afternoon,

According to the complaint, the

customer is unhappy with the recent rate being charged.

The customer agreed to a variable

rate contract, meaning the rate would be determined by the energy market. We never guarantee savings.

As has been widely reported, there

has been a spike in the wholesale energy market which was reflected on the most

recent bill. This is merely a reflection of the current energy market where a

shrinking supply of electricity is under the strain of massive demand due to

one of the coldest winters on record. We are referring customers to the

February 14 press release from the PUC regarding this issue. (Please see

attached) In addition, this is not just happening in Pennsylvania.

Please see this link relating to New York prices as well.

Finally, the account has been

canceled and it is now up to the utility to process the cancellation. Please contact your utility for budget

billing concerns.

We are truly sorry for your

experience and advise you to sign up on a fixed rate that will ensure price

protection.

Regards

In addition please see this informative article.

Why Have

Energy Bills Increased – Explaining Price Volatility

It has

been a record cold winter across much of the country, and many have been

expressing deep concern as to why energy bills have been so high. Regardless of

whether energy is purchased from a utility or a competitive energy supplier,

customers have seen electricity and natural gas prices spike in many parts of

the Northeast and Mid-Atlantic regions.

Why did

prices rise?

Simply

put, the issues at hand are the cold weather, electric grid and natural gas

pipeline capacity, and the increasing use of natural gas not just for heating

purposes, but to create electricity.

There is

ample gas supply in the United States, especially given the boom in shale gas.

What customers are feeling are the results of a strained transportation and

infrastructure system that delivers electricity and gas. When demand is high

and capacity is constrained, costs increase.

This

winter’s “polar vortex” has increased the demand for both natural gas and

electricity, resulting in significant congestion in the natural gas pipelines

and on the electric grid (the highways of the energy system). Everyone relies

on these natural gas pipelines and the electric grid to get energy from where

it is produced to where it is used by the homeowner, the tenant, and the

business owner. Just like only so many cars can efficiently travel along a

highway, only so much natural gas and electricity can move through the natural

gas pipeline system and the electric grid.

Also,

while more and more people are using natural gas directly for heating purposes,

electricity generators are also increasingly using natural gas to produce

affordable power. In the short-term, this electricity generation is putting

further strain on the natural gas capacity in certain parts of the country. At

the same time there are also bottlenecks on some parts of the electric grid,

preventing electricity from getting from the generators to the consumers in an

efficient manner.

It’s

known from economics that constraints on supply (such as not being able to get

gas from where it is plentiful to where it is needed) cause prices to rise, and

this has occurred in the wholesale energy markets. The result? Competitive

energy suppliers and utilities alike are paying higher than normal prices when

purchasing from the wholesale market in order to provide energy to homeowners,

tenants, and business owners. This is causing everyone’s bills to rise.

As the

winter weather gradually improves and temperatures rise, the demand for energy

to heat homes and businesses will decrease, placing less pressure on the

nation’s electricity grid and allowing energy prices from suppliers and

utilities to normalize. However, winter weather may very likely be around for

some weeks to come. Despite the unusual weather, the gas and electric delivery

systems have proven to be highly reliable this winter. A number of new natural

gas pipelines and electricity transmission lines are planned or under

construction which should reduce the chances of a similar price spike in the

future.

In the

meantime, there are some things that can be done to help manage energy bills.

Conserve energy as much as possible. For example, make sure

doors and windows are well insulated, seal any air leaks, and lower the

water temperature setting to 120 degrees on the water heater.

Customers using a competitive supplier and who are on a

variable rate plan or whose fixed contracts have expired, should review

their contract to confirm the accuracy of the pricing and call their

supplier if they have any questions.

Customers interested in price stability can also investigate

fixed price options that many suppliers offer.

Customers in need of financial assistance should investigate

their state’s home heating assistance programs. In many states, a customer

can stay with a competitive supplier and still receive assistance paying

utility bills.

Customers should visit their

state’s “energy shopping” websites to compare offers from different suppliers.

For a list of shopping websites, visit [redacted]

Consumer

Response:

I have reviewed the response made by the business in reference to complaint ID# [redacted], and have determined that my complaint has NOT been resolved because:

[Your Answer Here]

In order for the Revdex.com to appropriately process your response, you MUST answer the question above.

Sincerely,

Business

Response:

Good Morning,

Our previous answers were responsive to the customer's questions. We are sorry she remains unhappy.

Regards,

Consumer

Response:

I have reviewed the response made by the business in reference to complaint ID# [redacted], and have determined that my complaint has NOT been resolved because:

[Your Answer Here]

here s a update I just a bill for my home for this month and the rate was .096cents ,I can not believe what the cost would be by now as their last bill they charged me at .34cent so they are nothing but a rip off company and I can not believe that no one else has ever filed a complaint about this company.

Sorry but still feel they ripped me off for those months I was with them

In order for the Revdex.com to appropriately process your response, you MUST answer the question above.

Sincerely,

Review: I was mislead by the company. I was told that my gas and electric bill would be billed at a lesser cost rate to me. Which would make my bill more affordable. My bill was 3x higher then it has ever been. I was also told that I would be receiving a bill direct from Major Energy only and I was also billed by my local gas and electric company for services. I feel I was charged twice for the same delivery services which I was told would not happen. The first bill that I received from Major Energy was $269.71. I was also charged by my local company for 75.50. I then called them and canceled my services and was forced to pay an addition month of services because of a mid cycle billing summary. So on the second month I had to pay $312.15 to Major Energy an a additional $187.44 to my local energy supplier for the same services.Desired Settlement: Payment for the month of March 2014 totaling $269.71 and $312.15 Grand total of $ 581.86

Business

Response:

Good Evening,

We are sorry there was some confusion about the customer's account. The customer was not billed twice. Instead, our company billed the customer for her supply and the utility billed the customer for service and delivery. The customer therefore did not actually have to pay twice but instead paid different companies for different services. This would have been true with whatever supplier the customer enrolled with.

Regarding cancellation times, we unfortunately have no control over how long it takes a utility to process the switch. We forward cancellation requests to the utility within 24 hours, however, it typically takes the utility one to two billing cycles to process that cancellation. The account has now been cancelled.

Regards,

Review: On 1/[redacted]/14 a sales rep from Major Energy knocked on our door promising a better energy rate than our current provider. He promised the rate would be below the current rate of 0.0859/kWh. We have made switches to our service provider in the past and never had an issue with the other companies. Admitting we should have read the contract more thoroughly and not taken the sales rep's word for it, even though we had good experiences in the past with both Commerce Energy and Constellation Energy. Our first bill came in and apparently our contract is for a variable rate, so month #1 our rate was .1999/kWh (over double our previous rate.) Our bill jumped from $374 the previous month to $574 with substantial less usage because I had been on vacation for 10 days during the billing cycle. Immediately my husband called Major to complain to which they said they can't help us since the contract stated variable rate, but they can now switch us to a fixed rate. I have no desire to do business with a company that tries to pull the wool over their customers eyes and have sales reps make promises they don't intend to keep. We immediately cancelled the service, however since by the time we received our first bill, the next billing cycle had begun we were stuck for another month to be a their mercy, to which they charged .2496/kWh, an even higher rate. Our bill for month #2 is $604 with even less usage with the change in weather. It seems in 2 months they've made what should have been 6 months worth of electrical bills from my family. I'm appalled. I feel taken advantage of. We never would have switched if the sales rep did not promise a lower rate than what we currently were paying.Desired Settlement: I think they need to adjust our bills to a rate less than our previous provider as promised and give us a refund for the difference.

Business

Response:

Good Morning,

We apologize that the customer had a bad experience. The sales representatives from our partner vendors are instructed to never guarantee savings. They do often note that historically our company has saved customers money. Unfortunately, the

energy market performed very poorly this past winter due to decreases in energy

supply and increases in demand due to the cold weather. While suppliers like

Major Energy/Respond Power base the rate on a daily rolling average and

hedging, most utilities purchase energy in massive block and adjust quarterly

or semi-annually. Because of that, sometimes suppliers find themselves with

higher rates than utilities. Eventually trends reverse and utilities are forced

to adjust their rates to make up for losses due to underpriced supply sold to

customers during high markets. Again, we apologize.

Regards,

Review: A Major Energy employee came to my apartment and told me that my entire apartment complex was changing to their company for electrical services. They told me that I was supposed to have gotten a letter in the mail. They then asked for my [redacted] account number and made me sign a paper to change companies. They guaranteed that their rates were going to be cheaper than [redacted]'s. I then get my first bill and it's $450 dollars more than my most expensive [redacted] bill. [redacted]'s rates were five and a half cents per kilowatt, and they were charging me 24 cents per kilowatt on the first bill. 19 cents per kilowatt on the second bill, and I have yet to receive my third bill. They gave me a check for 120 dollars and when I called them a second time, the [redacted] gave me an attitude and the lady hung up on me.Desired Settlement: I was basically just looking for any possible refund. If at all possible.

Business

Response:

Good Afternoon,

The customer validly enrolled in a variable rate contract. That enrollment is confirmed by the signed sales agreement attached to this response. The

rates on a variable rate plan are subject to change based on market conditions.

Unfortunately, the energy market performed very poorly this past winter due to

decreases in energy supply and increases in demand due to the cold weather. While

suppliers like Major Energy/Respond Power base the rate on a daily rolling

average and hedging, most utilities purchase energy in massive block and adjust

quarterly or semi-annually. Because of that, sometimes suppliers find

themselves with higher rates than utilities. Eventually trends reverse and

utilities are forced to adjust their rates to make up for losses due to

underpriced supply sold to customers during high markets.

As the customer notes, he has already received a courtesy refund. We will not be issuing any further refunds in this situation.

Regards,

Consumer

Response:

I have reviewed the response made by the business in reference to complaint ID# [redacted], and have determined that my complaint has NOT been resolved because:

[Your Answer Here]

I can clearly see that I'm not going to receive any compensation for their lies and deceipt. So if you can just post the complaint. That will be all. I am complacent with the fact that they are liars and I got taken advantage of.

In order for the Revdex.com to appropriately process your response, you MUST answer the question above.

Sincerely,

Review: I have an account with Major Energy. I had an issue and wanted to cancel. I called numerous times. The first time I called the wait was over 20 min as soon as they opened the lines. I requested a call back when my turn came in queue and I never received a call back. I called the next day and waited in line as the numbers dropped from 15 in line until I was number one. The automated system kicked in and stated I needed to leave a message (I waited 30 minutes to leave a message). I did and did not get a response. I went on their website and sent them a message on their system and 3 days later received a voice message from [redacted]. 10 days later, I am still trying to reach her as she does not pick up her phone nor return neither calls nor messages. I went and did the chat to a live assistant and canceled the account with [redacted]. I called again to verify as the charges are still reflecting on my bill and got an email with [redacted]. I emailed him and called his extention and low and behold…no response. This system is jacked up and a total scam. The customer service is beyond the worst I have ever encountered.Desired Settlement: I would like a phone call with an actual person to resolve this issue and for me to verify that my account is actually cancelled because it is still refelcting on my bill.

Business

Response:

Good Afternoon,

According to the complaint, the

customer is unhappy with the recent rate being charged.

The customer agreed to a variable

rate contract, meaning the rate would be determined by the energy market.

As has been widely reported, there

has been a spike in the wholesale energy market which was reflected on the most

recent bill. This is merely a reflection of the current energy market where a

shrinking supply of electricity is under the strain of massive demand due to

one of the coldest winters on record. In addition, this is not just happening in Maryland (Please see this link relating to New York prices as well:

Finally, the account has been

canceled and it is now up to the utility to process the cancellation. Please contact your utility for budget

billing concerns.

We are truly sorry for your

experience and advise you to sign up on a fixed rate that will ensure price

protection.

Regards

In addition please see this informative article.

Why Have

Energy Bills Increased – Explaining Price Volatility

It has

been a record cold winter across much of the country, and many have been

expressing deep concern as to why energy bills have been so high. Regardless of

whether energy is purchased from a utility or a competitive energy supplier,

customers have seen electricity and natural gas prices spike in many parts of

the Northeast and Mid-Atlantic regions.

Why did

prices rise?

Simply

put, the issues at hand are the cold weather, electric grid and natural gas

pipeline capacity, and the increasing use of natural gas not just for heating

purposes, but to create electricity.

There is

ample gas supply in the United States, especially given the boom in shale gas.

What customers are feeling are the results of a strained transportation and

infrastructure system that delivers electricity and gas. When demand is high

and capacity is constrained, costs increase.

This

winter’s “polar vortex” has increased the demand for both natural gas and

electricity, resulting in significant congestion in the natural gas pipelines

and on the electric grid (the highways of the energy system). Everyone relies

on these natural gas pipelines and the electric grid to get energy from where

it is produced to where it is used by the homeowner, the tenant, and the

business owner. Just like only so many cars can efficiently travel along a

highway, only so much natural gas and electricity can move through the natural

gas pipeline system and the electric grid.

Also,

while more and more people are using natural gas directly for heating purposes,

electricity generators are also increasingly using natural gas to produce

affordable power. In the short-term, this electricity generation is putting

further strain on the natural gas capacity in certain parts of the country. At

the same time there are also bottlenecks on some parts of the electric grid,

preventing electricity from getting from the generators to the consumers in an

efficient manner.

It’s

known from economics that constraints on supply (such as not being able to get

gas from where it is plentiful to where it is needed) cause prices to rise, and

this has occurred in the wholesale energy markets. The result? Competitive

energy suppliers and utilities alike are paying higher than normal prices when

purchasing from the wholesale market in order to provide energy to homeowners,

tenants, and business owners. This is causing everyone’s bills to rise.

As the

winter weather gradually improves and temperatures rise, the demand for energy

to heat homes and businesses will decrease, placing less pressure on the

nation’s electricity grid and allowing energy prices from suppliers and

utilities to normalize. However, winter weather may very likely be around for

some weeks to come. Despite the unusual weather, the gas and electric delivery

systems have proven to be highly reliable this winter. A number of new natural

gas pipelines and electricity transmission lines are planned or under

construction which should reduce the chances of a similar price spike in the

future.

In the

meantime, there are some things that can be done to help manage energy bills.

Conserve energy as much as possible. For example, make sure

doors and windows are well insulated, seal any air leaks, and lower the

water temperature setting to 120 degrees on the water heater.

Customers using a competitive supplier and who are on a

variable rate plan or whose fixed contracts have expired, should review

their contract to confirm the accuracy of the pricing and call their

supplier if they have any questions.

Customers interested in price stability can also investigate

fixed price options that many suppliers offer.

Customers in need of financial assistance should investigate

their state’s home heating assistance programs. In many states, a customer

can stay with a competitive supplier and still receive assistance paying

utility bills.

Customers should visit their

state’s “energy shopping” websites to compare offers from different suppliers.

For a list of shopping websites, visit [redacted]

Review: I have tried contacting Major Energy by phone to discuss my account with them. When I call, I am placed oh hold and told what my position is before I will be connected with a [redacted]. When it's time for me to be connected to talk to someone, I am told to leave a message and that someone will call me back within 24 hours. I have not received a call back.

I have tried contacting Major Energy on their website via live chat. However, nobody ever responds on there either.Desired Settlement: I would like to speak to someone at Major Energy to discuss my account as soon as possible.

Business

Response:

Good morning,

We apologize for any difficulty the customer has had contacting us. Due to the repercussions of the Polar Vortex, the volume of calls our customer service personnel are receiving has risen exponentially. We will continue to work to answer all questions and concerns and encourage the customer to continue to try to reach us.

Regards,

Review: 2 gentlemen came to my door and introduce themselves. They told me the name just sign up for these service. They were very convincing. They told me my electric bill will be way lower than usual. Know I get my first bill and there is no changes. I call the customer service and their was of no help. I have to cancel my service because of the wrong information. They need to educate their sale agent.Desired Settlement: I do not want to pay the cancelation fee because of the miss communication.

Business

Response:

We would

like to apologize for the delay in response to this complaint.

Review: my wife signed a contract with major energy over a year ago. she is not the account holder on our BGE account. when 2 guys came to the door I was at work. they demanded to see out BGE bill telling her that they worked for BGE. they told her that she needed to sign there paper if not our rate was going to go up. after receiving a bill for electric that was quadruple what it was the month before I looked at the bill and major energy changed out rate from $ .09 per kwh to $.38 per kwh in one month. just major energy's portion was 257.09 the total bill was $289.48 the month before the total bill was $90.76. I called to cancel the account with major energy and was told I cant cancel and I would be contacted by a cancelation specialist within 24 hours. it has now been over 48 and I called back and was instantly hung up on after I told them I had already waited the 24 hours. I called back again. this time I was told that there was nothing I could do but pay the bill. I called BGE and they told me to call them back because they have to let me cancel the account with them and that major energy would switch us back to BGE as our servicer. I am over the year mark so and I am guessing that is why my rate spiked. I am not going to pay another inflated bill for next month.Desired Settlement: I want the account closed and returned to BGE.

Business

Response:

We would like to apologize to [redacted] for his difficulty in reaching our call center. We had a service outage due to extreme call volume which was the reason for the difficulties he experienced.

Additionally, there was a rate error on his bill which has now ben corrected with BGE. He will be receiving a letter telling him to ignore the MES charges and only pay the BGE charges for now. BGE will issue a corrected supply bill either on or before the next reading. His new supply charge is $128.18.

Finally, the account was canceled per his request and should return to BGE on the next meter read date.

Should [redacted] have any further questions, he should feel free to reach out to us directly at [redacted]

Thank you

Major Energy Services

Consumer

Response:

I just want to make sure that the account has been transferred back to BGE before this matter is closed. thank you for helping me resolve this issue.

I have reviewed the response made by the business in reference to complaint ID [redacted], and find that this resolution is satisfactory to me and the matter has been resolved.

Review: My initial complaint was sent on or about March [redacted]. The subject basically dealt with the lack of communication from Major Energy. Major Energy did get back to us and allowed us to drop their business as we requested, due to the astronomical prices. Since that communication with the Revdex.com, Major Energy has again significantly increased the price of their service cost. Because it takes approximately two billing cycles to drop an electric supply company, we cannot officially switch back to [redacted] until April *. Major Energy appears to be attempting to get as much money out of us as they can before the drop goes into affect. We once again tried to contact this company, via telephone and internet, and had no results. We also contacted the Public Service Commission; once again no reply from Major Energy. The current rate for electric supply through [redacted] (and several other companies) is .097/kwh. According to [redacted], this is the highest rate they have had in a very long time, even through the recent extreme cold temperatures. On our first high bill, Major Energy charged us .199/kwh. After contacting the Revdex.com, we received the next bill and the price showed another significant increase at .349/kwh. We have a very small house and use a pellet stove as our main source of heat. Having a $1780.00 bill for two months worth of electricity is absolutely unacceptable.Desired Settlement: I am not looking for free electric supply, but I am not looking to get robbed either. I am willing to pay for my electric supply but not at these outrageous rates when so many other companies are so much cheaper. I would like our last two bills and the final bill we should be receiving from Major Energy adjusted and reduced to a price comparable to [redacted]'s. The pricing and lack of communication from Major Energy is unacceptable. I greatly appreciate your help in this matter.

Business

Response:

Good Morning,

We apologize for the difficulty the customer has had in reaching us. This case has now been resolved through the [redacted].

Regards,

Review: I am complaining about major energy corporation.I cancelled them last year and yet it was still on my electric bill for the past few months.my electric company is [redacted] and the last electric bill the delivery charge jumped to 79.00.I called up major energy and told them I wanted this cancelled last year and it was still on my bill.I contacted them again last week and was told the contract was cancelled,

I am not paying them the 79.00 bill this was handled very unprofessionally and will not be doing business with them again.thank you for your time and coopeartionDesired Settlement: non pament of 79.00

Business

Response:

We are sorry you were unhappy with our service. Your account has been canceled. We do not bill the customers, that is performed by your utility. Please see the below article about the rise in electric pricing.

Regards,

Review: I recently receives a postcard from Con Ed stating that I have switched my ESCO to Major Energy. I never signed up with this company and would like to know why they continue to scam myself and the public (stories on internet) with switching to them with no knowledge of it. I called and they told me I or someone in my household had to sign up. This is a blatant lie as I DID NOT sign up. I am the only person available to sign up and I did not. They need to stop these business practices as they are unethical......Desired Settlement: They need to stop their bogus switching and contacting Con Ed telling them consumers are signing up when they are not.

Business

Response:

To whom it may concern; Thank you for reaching out to us regarding your complaint. After a review of your account I would like to ask you a question regarding the enrollment. I have a paper application with a signature of a [redacted] who claims to be your "spouse." Furthermore, I have a recording of a phone call verifying enrollment with a [redacted] claiming that he is your spouse, that he is authorized to make changes to the account, and that he does so authorize the switch. Please let me know if this person is not your spouse so that I may take appropriate actions. Regardless your account authorization has been cancelled and you will not see our services on any bill as you cancelled before services actual began. Sincerely, Customer Service Representative

Consumer

Response:

I have reviewed the response made by the business in reference to complaint ID# [redacted], and have determined that my complaint has NOT been resolved because:

First of all I DO NOT have a husband named [redacted] never did. I know no one by that name. I want Major Energy to be investigated for their bogus practices of signing consumers up without their knowledge and using bogus names to do so. Their business tactics are despicable; maybe the people they send out door to door should be checked up on as they obviously make up forms and quotas to justify their jobs. Thank you, [redacted]

In order for the Revdex.com to appropriately process your response, you MUST answer the question above.

Sincerely,

Business

Response:

To whom it may concern, Thank you for following up with answers to my questions. After reviewing your file again in light of the information that you were able to provide me, your account is closed and we will deliver a refund for the rate as compared to the Utility for your time in our service program if necessary. Additionally, The agent who falsified your statement has been terminated as to avoid this occurring again. We offer our sincere appologies for this inconvenience and our assurances that this is not in keeping with our policies and practices. While uncommon, when these types of events occur we will do our best to take corrective action and make sure that you do not share in any of the financial burden of this shortcoming. Please call me directly at ###-###-#### to make sure that we are on the same page with getting this handled for you. Sincerely, Customer Service Representative

Review: Major Energy charged my gas bill with Columbia Gas with extra chargers that I did not agree too, a woman came to my apartment soliciting claiming that she was a part of a utility company and that in my area customers were being overcharged and if I switched over to Major Energy it would lower by bill. This woman pressured me into switching companies and as a college student I wanted to have my bill lowered so I reluctantly agreed and switched over. When I received my bill for the month of March I was shocked and angry and my apartment complex emailed everyone telling us it was a scam. I immediately cancelled the service but in the terms of agreement I couldn't not get the money they charged my bill back. The reason I am filing this claim is to get back the $123.99 that I am entitled tooDesired Settlement: $123.99

Business

Response:

Good Afternoon,

According to the complaint, the

customer is unhappy with the recent rate being charged.

The customer agreed to a variable

rate contract, meaning the rate would be determined by the energy market.

As has been widely reported, there

has been a spike in the wholesale energy market which was reflected on the most

recent bill. This is merely a reflection of the current energy market where a

shrinking supply of electricity is under the strain of massive demand due to

one of the coldest winters on record. We are referring customers to the

February [redacted]press release from the PUC regarding this issue. (Please see

attached) In addition, this is not just happening in Pennsylvania.

Please see this link relating to New York prices as well.

Finally, the account has been

canceled and it is now up to the utility to process the cancellation. Please contact your utility for budget

billing concerns.

We are truly sorry for your

experience and advise you to sign up on a fixed rate that will ensure price

protection.

Regards

In addition please see this informative article.

Why Have

Energy Bills Increased – Explaining Price Volatility

It has

been a record cold winter across much of the country, and many have been

expressing deep concern as to why energy bills have been so high. Regardless of

whether energy is purchased from a utility or a competitive energy supplier,

customers have seen electricity and natural gas prices spike in many parts of

the Northeast and Mid-Atlantic regions.

Why did

prices rise?

Simply

put, the issues at hand are the cold weather, electric grid and natural gas

pipeline capacity, and the increasing use of natural gas not just for heating

purposes, but to create electricity.

There is

ample gas supply in the United States, especially given the boom in shale gas.

What customers are feeling are the results of a strained transportation and

infrastructure system that delivers electricity and gas. When demand is high

and capacity is constrained, costs increase.

This

winter’s “polar vortex” has increased the demand for both natural gas and

electricity, resulting in significant congestion in the natural gas pipelines

and on the electric grid (the highways of the energy system). Everyone relies

on these natural gas pipelines and the electric grid to get energy from where

it is produced to where it is used by the homeowner, the tenant, and the

business owner. Just like only so many cars can efficiently travel along a

highway, only so much natural gas and electricity can move through the natural

gas pipeline system and the electric grid.

Also,

while more and more people are using natural gas directly for heating purposes,

electricity generators are also increasingly using natural gas to produce

affordable power. In the short-term, this electricity generation is putting

further strain on the natural gas capacity in certain parts of the country. At

the same time there are also bottlenecks on some parts of the electric grid,

preventing electricity from getting from the generators to the consumers in an

efficient manner.

It’s

known from economics that constraints on supply (such as not being able to get

gas from where it is plentiful to where it is needed) cause prices to rise, and

this has occurred in the wholesale energy markets. The result? Competitive

energy suppliers and utilities alike are paying higher than normal prices when

purchasing from the wholesale market in order to provide energy to homeowners,

tenants, and business owners. This is causing everyone’s bills to rise.

As the

winter weather gradually improves and temperatures rise, the demand for energy

to heat homes and businesses will decrease, placing less pressure on the

nation’s electricity grid and allowing energy prices from suppliers and

utilities to normalize. However, winter weather may very likely be around for

some weeks to come. Despite the unusual weather, the gas and electric delivery

systems have proven to be highly reliable this winter. A number of new natural

gas pipelines and electricity transmission lines are planned or under

construction which should reduce the chances of a similar price spike in the

future.

In the

meantime, there are some things that can be done to help manage energy bills.

Conserve energy as much as possible. For example, make sure

doors and windows are well insulated, seal any air leaks, and lower the

water temperature setting to 120 degrees on the water heater.

Customers using a competitive supplier and who are on a

variable rate plan or whose fixed contracts have expired, should review

their contract to confirm the accuracy of the pricing and call their

supplier if they have any questions.

Customers interested in price stability can also investigate

fixed price options that many suppliers offer.

Customers in need of financial assistance should investigate

their state’s home heating assistance programs. In many states, a customer

can stay with a competitive supplier and still receive assistance paying

utility bills.

Customers should visit their

state’s “energy shopping” websites to compare offers from different suppliers.

For a list of shopping websites, visit [redacted]

Consumer

Response:

I have reviewed the response made by the business in reference to complaint ID# [redacted], and have determined that my complaint has NOT been resolved because:

[Your Answer Here]

The reason I am rejecting the response is because I have received my gas bill for April from Columbia Gas and I continue to have charges from Major Energy after I cancelled the services last month in order to avoid this.

In order for the Revdex.com to appropriately process your response, you MUST answer the question above.

Sincerely,

Business

Response:

Good Evening,

We are sorry the customer is dissatisfied with our previous response. When a customer cancels service with us, we forward that cancellation request to the utility within 24 hours. However, it usually takes the utility 1 - 2 billing cycles to process the switch and remove us from your bill. We have no control over that time period. Please contact your utility directly to confirm the cancellation.

Regards,

Consumer

Response:

I have reviewed the response made by the business in reference to complaint ID [redacted], and find that this resolution is satisfactory to me and the matter has been resolved.

Sincerely,

Review: So, I found out today that I've been signed up with them for a few months because of a door to door advertisement that my roommate fell for, which is concerning since I am the account holder not him. I had been paying my [redacted] bill online and not looking at the bill in detail until the bill went up exponentially between the last 3 months and last month no one was even home using any of the utilities! This is ridiculous, and I've reached out to Respond Power, Major Energy and [redacted] to try to get a resolution because there is no way my bill should have nearly doubled over two months when no one was using power.Desired Settlement: I would like my service discontinued with Major Energy and Respond Power because I am the [redacted] account holder and I'm not even sure how they were able to open an account in my name with information given to them by my roommate. If possible a partial refund for the last two months seeing as my bill completely skyrocketed, but I'm really just after going back to my regular [redacted] billing and service and no longer being associated with these other two companies.

Business

Response:

This has already been adressed in a previous complaint.

Consumer

Response:

I have reviewed the response made by the business in reference to complaint ID [redacted], they told me that I would be on a fixed rate and my service would be removed without penalty should I move to another state and close out my [redacted] services at my location.

Sincerely,

Review: My name was forged on a contract by one of their salesmen in November, after he just walzed into my house unannounced and sat on my sofa. VERY RUDE! I told him I was not interested and he needed to leave. by my next bill, Major Energy was on my bill. I contacted their customer services representatives and they continuously gave me the wrong information to send in a copy of my drivers license, to prove it was not my signature. It took from November to March to get them off of my bill. They were adding on at least $400-$600 a month. I'm a senior citizen on a fixed income, theres no way I would be able to afford to pay this. After I proved it was not my signature, it was just ended. I'm highly dissatisfied and would like my money back or AT LEAST an apology.Desired Settlement: The money I paid from November to March.

Business

Response:

We apologize for any inconvenience the customer experienced. Customer called to cancel our company's services on 1/**/15. A cancellation request was submitted to the utility company that day. The utility company fully cancelled the services on 2/**/15. Customer was informed that we would need to perform an internal investigation to confirm customer's allegations. A copy of a government issued ID is necessary as part of the process. To date, it has not been received.

Consumer

Response:

I have reviewed the response made by the business in reference to complaint ID# [redacted], and have determined that my complaint has NOT been resolved because:

[Your Answer Here]

I have sent in my ID multiple times. I've kept my records showing that I have. If possible I can have a copy sent by certified Mail because no one is receiving my faxs.

In order for the Revdex.com to appropriately process your response, you MUST answer the question above.

Sincerely,

Business

Response:

Customer may send the copy of the license to [redacted]. We would be happy to further investigate upon its receipt.

Review: I'm writing this complaint because I feel the person soliciting for major energy took advantage of my elderly parents. My mom who's name the electric bill is in has dementia and they got her sign to sign up for there services. I myself earlier that day had told another one of there representatives soliciting that we did not want there services. I know from experience that they do not save you money, as a matter of fact the electric bill has tripled. They are on budget billing with [redacted] of 144.00 a month. Now they owe major energy 862.07. I letting them know now they will not be paid because they did take advantage of my mother and I know for sure that representative could tell she was not quite right, because you can tell. They should let those people soliciting for them some ethics when dealing with elderly people and that every sale is not a good sale.Desired Settlement: I just want the billed to be wiped out or see you in court because we not paying it.

Business

Response:

We apologize for any inconvenience the customer experienced. The account has since been cancelled without penalty. For any amount disputed, that amount is owed directly to [redacted]. Failure to pay such amount may result in an action by the utility company, of which Major Energy/[redacted] has no control. As a courtesy, customer will be refunded $78.64. Which is the difference between the amount paid by customer and the amount the customer would have paid with the utility company. A check will be sent within 2-3 weeks.

Review: A few months ago we signed up for Major Energy from a door to door salesman. He informed me that their company would be a lower rate for gas and electric, so the deal sounded too good to pass up. With us being [redacted] we move alot at random times due to [redacted]. When we recieved our bill it was $250, which clearly was more then we had expected which set us back for the month. The salesman also told me I would not have a cancellation fee after X amount of time if I didnt like the service. So, when I cancelled the service I got a notice saying I would have to pay $100 for the cancellation fee. Then weeks later I got another letter stating I was going to be sent to the collections dept if I did not pay the settlement fee of $90. This morning 12-*-14 I called the Major Energy line to speak to a manager. The manager was very rude, then proceeded to tell me I would have to pay $90 EACH, for gas and then electric totalling $180 or I would be sent to collection in 4 days. I am absolutely furious, not only for paying that amount which I had no idea but because the salesman at my door gave me FALSE information about this company. I would like this issue resolved IMMEDIATELY and get my money back from them. They gave me no choice but to pay the $180 so I didnt get sent to collections. Please help me to resolve this ASAP!!!!!!!Desired Settlement: I want my refund in full of $180. Then I will no longer be upset or have an issue with this company, however I will never reccomend them to anyone and I will slam my front door when they knock on it.

Business

Response:

We apologize for any misunderstanding by the customer. The terms and conditions are clearly stated in normal sized print on the front of the sales agreement. Further, upon execution of the sales agreement, a third party verification company confirms with the customer that a $100 early termination fee, per account, will be assessed if the customer terminates the sales agreement prior to the end of the agreed upon term. Customer was billed in accordance with the agreed upon terms. For customer's gas account, customer was charged a total of $29.78. For the electric account, customer was charged a total $53.60. Any additional charges were assessed by the utility company. As there was a valid enrollment for a 12 month sales agreement that was breached by the customer, the early termination fee was properly assessed and no refund will be issued.

Consumer

Response:

I have reviewed the response made by the business in reference to complaint ID#[redacted], and have determined that my complaint has NOT been resolved because:

[Your Answer Here]

This is not accurate, reason being your paper states that you have 3 days to cancel the contract, how do I know if I like your service after 3 days? I didnt even have time to recieve my first bill? Your salesman that came to my door and told me FALSE information and that there would be NO early termination fee. For all the trouble and inconvenience you have caused me you SHOULD give us a refund! I am HIGHLY unsatisfied with your service. I will make sure I NEVER reccomend your company to anyone. NOT to mention when you [redacted] search your company Major Energy all that shows up are all the SCAMS and LEGAL issues this company has been involved in, that just prove why this company is not a reliable source. SO, NO I am not going to accept this!!!

In order for the Revdex.com to appropriately process your response, you MUST answer the question above.

Sincerely,

Business

Response:

The agreed upon rate is stated on the front of the contract. The three business day period is a sufficient time to investigate whether a customer is satisfied with the agreed upon rate or if the customer wishes to continue with the agreement. Further, customer was made aware of the rescission period at the time of enrollment and at that time could have cancelled the agreement with no penalty if customer disagreed with that, or any term, of the agreement. As stated before, no refund will be given as the early termination fees were assessed with the terms of the agreement.

Consumer

Response:

I have reviewed the response made by the business in reference to complaint ID#[redacted], and have determined that my complaint has NOT been resolved because:

[Your Answer Here]

So you're telling me that you would rather have an unhappy customer then to provide great customer service to satisfy the wants and requests of the customer? Interesting. I will be continuing this dispute further with a lawyer and if I have to I will go to small claims court. It's good to know that you do not wish to resolve this matter. The reason I am upset is because YOUR salesman gave me false information! He had me sign the contract in such a rushed hurry without even giving me time to read it. Your salesmen just want to hurry up the customer to make a quick sale and it is WRONG! Maybe you should talk with your salesman "[redacted]" on the way he is handling customers and what he is telling them.

In order for the Revdex.com to appropriately process your response, you MUST answer the question above.

Sincerely,

Review: I had several calls from Major Energy, stating that they could lower my monthly electric bill if I switched over to them from National Grid. I switched over to them, and my first bill from them was 3 times as much as it would have been if I had stayed with National Grid. I have been trying to contact them for over two weeks to dispute the bill but cannot get a person on the line. My calls keep getting lost in the automated menu system, or else I get a recorded message that all circuits are busy. I have tried calling all hours of the day during their operating hours.Desired Settlement: I would like my bill reduced to a reasonable amount.

Business

Response:

Good Morning,

According to the complaint, the

customer is unhappy with the recent rate being charged.

The customer agreed to a variable

rate contract, meaning the rate would be determined by the energy market.

As has been widely reported, there

has been a spike in the wholesale energy market which was reflected on the most

recent bill. This is merely a reflection of the current energy market where a

shrinking supply of electricity is under the strain of massive demand due to

one of the coldest winters on record. We are referring customers to the

February [redacted]press release from the PUC regarding this issue. (Please see

attached) In addition, this is not just happening in Pennsylvania.

Please see this link relating to New York prices as well.

Finally, the account has been

canceled and it is now up to the utility to process the cancellation. Please contact your utility for budget

billing concerns.

We are truly sorry for your

experience and advise you to sign up on a fixed rate that will ensure price

protection.

Regards

In addition please see this informative article.

Why Have

Energy Bills Increased – Explaining Price Volatility

It has

been a record cold winter across much of the country, and many have been

expressing deep concern as to why energy bills have been so high. Regardless of

whether energy is purchased from a utility or a competitive energy supplier,

customers have seen electricity and natural gas prices spike in many parts of

the Northeast and Mid-Atlantic regions.

Why did

prices rise?

Simply

put, the issues at hand are the cold weather, electric grid and natural gas

pipeline capacity, and the increasing use of natural gas not just for heating

purposes, but to create electricity.

There is

ample gas supply in the United States, especially given the boom in shale gas.

What customers are feeling are the results of a strained transportation and

infrastructure system that delivers electricity and gas. When demand is high

and capacity is constrained, costs increase.

This

winter’s “polar vortex” has increased the demand for both natural gas and

electricity, resulting in significant congestion in the natural gas pipelines

and on the electric grid (the highways of the energy system). Everyone relies

on these natural gas pipelines and the electric grid to get energy from where

it is produced to where it is used by the homeowner, the tenant, and the

business owner. Just like only so many cars can efficiently travel along a

highway, only so much natural gas and electricity can move through the natural

gas pipeline system and the electric grid.

Also,

while more and more people are using natural gas directly for heating purposes,

electricity generators are also increasingly using natural gas to produce

affordable power. In the short-term, this electricity generation is putting

further strain on the natural gas capacity in certain parts of the country. At

the same time there are also bottlenecks on some parts of the electric grid,

preventing electricity from getting from the generators to the consumers in an

efficient manner.

It’s

known from economics that constraints on supply (such as not being able to get

gas from where it is plentiful to where it is needed) cause prices to rise, and

this has occurred in the wholesale energy markets. The result? Competitive

energy suppliers and utilities alike are paying higher than normal prices when

purchasing from the wholesale market in order to provide energy to homeowners,

tenants, and business owners. This is causing everyone’s bills to rise.

As the

winter weather gradually improves and temperatures rise, the demand for energy

to heat homes and businesses will decrease, placing less pressure on the

nation’s electricity grid and allowing energy prices from suppliers and

utilities to normalize. However, winter weather may very likely be around for

some weeks to come. Despite the unusual weather, the gas and electric delivery

systems have proven to be highly reliable this winter. A number of new natural

gas pipelines and electricity transmission lines are planned or under

construction which should reduce the chances of a similar price spike in the

future.

In the

meantime, there are some things that can be done to help manage energy bills.

Conserve energy as much as possible. For example, make sure

doors and windows are well insulated, seal any air leaks, and lower the

water temperature setting to 120 degrees on the water heater.

Customers using a competitive supplier and who are on a

variable rate plan or whose fixed contracts have expired, should review

their contract to confirm the accuracy of the pricing and call their

supplier if they have any questions.

Customers interested in price stability can also investigate

fixed price options that many suppliers offer.

Customers in need of financial assistance should investigate

their state’s home heating assistance programs. In many states, a customer

can stay with a competitive supplier and still receive assistance paying

utility bills.

Customers should visit their

state’s “energy shopping” websites to compare offers from different suppliers.

For a list of shopping websites, visit [redacted]

Review: They signed us for an ''utility savings"" program with out our permission and because of that they inflated my gas bill exponentially and won't give us a refund. They were very unethical and cause my 87 year old grandmother money problems considerable money issues due to it being her bill they inflated.Desired Settlement: Full refund

Business

Response:

Good Evening,

According to the complaint, the

customer is unhappy with the recent rate being charged.

The customer agreed to a variable

rate contract, meaning the rate would be determined by the energy market.

As has been widely reported, there

has been a spike in the wholesale energy market which was reflected on the most

recent bill. This is merely a reflection of the current energy market where a

shrinking supply of electricity is under the strain of massive demand due to

one of the coldest winters on record. We are referring customers to the

February **press release from the PUC regarding this issue. (Please see

attached) In addition, this is not just happening in Pennsylvania.

Please see this link relating to New York prices as well.

Finally, the account has been

canceled and it is now up to the utility to process the cancellation. Please contact your utility for budget

billing concerns.

We are truly sorry for your

experience and advise you to sign up on a fixed rate that will ensure price

protection.

Regards

In addition please see this informative article.

Why Have

Energy Bills Increased – Explaining Price Volatility

It has

been a record cold winter across much of the country, and many have been

expressing deep concern as to why energy bills have been so high. Regardless of

whether energy is purchased from a utility or a competitive energy supplier,

customers have seen electricity and natural gas prices spike in many parts of

the Northeast and Mid-Atlantic regions.

Why did

prices rise?

Simply

put, the issues at hand are the cold weather, electric grid and natural gas

pipeline capacity, and the increasing use of natural gas not just for heating

purposes, but to create electricity.

There is

ample gas supply in the United States, especially given the boom in shale gas.

What customers are feeling are the results of a strained transportation and

infrastructure system that delivers electricity and gas. When demand is high

and capacity is constrained, costs increase.

This

winter’s “polar vortex” has increased the demand for both natural gas and

electricity, resulting in significant congestion in the natural gas pipelines

and on the electric grid (the highways of the energy system). Everyone relies

on these natural gas pipelines and the electric grid to get energy from where

it is produced to where it is used by the homeowner, the tenant, and the

business owner. Just like only so many cars can efficiently travel along a

highway, only so much natural gas and electricity can move through the natural

gas pipeline system and the electric grid.

Also,

while more and more people are using natural gas directly for heating purposes,

electricity generators are also increasingly using natural gas to produce

affordable power. In the short-term, this electricity generation is putting

further strain on the natural gas capacity in certain parts of the country. At

the same time there are also bottlenecks on some parts of the electric grid,

preventing electricity from getting from the generators to the consumers in an

efficient manner.

It’s

known from economics that constraints on supply (such as not being able to get

gas from where it is plentiful to where it is needed) cause prices to rise, and

this has occurred in the wholesale energy markets. The result? Competitive

energy suppliers and utilities alike are paying higher than normal prices when

purchasing from the wholesale market in order to provide energy to homeowners,

tenants, and business owners. This is causing everyone’s bills to rise.

As the

winter weather gradually improves and temperatures rise, the demand for energy

to heat homes and businesses will decrease, placing less pressure on the

nation’s electricity grid and allowing energy prices from suppliers and

utilities to normalize. However, winter weather may very likely be around for

some weeks to come. Despite the unusual weather, the gas and electric delivery

systems have proven to be highly reliable this winter. A number of new natural

gas pipelines and electricity transmission lines are planned or under

construction which should reduce the chances of a similar price spike in the

future.

In the

meantime, there are some things that can be done to help manage energy bills.

Conserve energy as much as possible. For example, make sure

doors and windows are well insulated, seal any air leaks, and lower the

water temperature setting to 120 degrees on the water heater.

Customers using a competitive supplier and who are on a

variable rate plan or whose fixed contracts have expired, should review

their contract to confirm the accuracy of the pricing and call their

supplier if they have any questions.

Customers interested in price stability can also investigate

fixed price options that many suppliers offer.

Customers in need of financial assistance should investigate

their state’s home heating assistance programs. In many states, a customer

can stay with a competitive supplier and still receive assistance paying

utility bills.

Customers should visit their

state’s “energy shopping” websites to compare offers from different suppliers.

For a list of shopping websites, visit[redacted]

Review: I was approached by a soliciting sales representative for Major Energy in July of 2013. Per my contract his first name is [redacted]. [redacted]spent over an hour going through my current electric rate, contacting BGE to confirm my fixed rate with Direct Energy which I had as my supplier and sold me on a better fixed rate. I already had a fair rate with Direct Energy of 0.0896 cents/kWh. But, [redacted]was able to show me the available rate through Major Energy to below that rate. After verifying I would be receiving that rate I signed the contract to have Major Energy as my supplier. I reviewed the contract and he did indicate a “Variable Rate” on the contract. I questioned him on this and he stated “all our customers get the fixed rate and this is how we fill out all our contracts”. Yes, I thought that was odd and against my better judgment signed my contract. I participated in the third party phone call which was supposed to be recorded. I would like to hear that call as I believe that fixed rate was verified at that time.

I receive my BGE electric bill via email and do not get a hard paper copy. When my last bill reached $984.54 (double my previous month’s bill which I though was high) I was inclined to call Major Energy for explanation. A recorded message stated if I was a BGE customer a letter was sent to explain the charge, assuming it was an overall billing error I hung up after leaving a voice mail to return my call. Call # 1. Outgoing messages did promise all calls to be returned within 24 hours. I did receive a card indicating the high fee was due to the “Polar Vortex”. I called again after waiting over 20 minutes on hold was put into another voicemail. Again, I left a message for return call. Call #2. I called again a day or so later and eventually spoke to Nathanial Lawson, customer support rep. He indicated my rates were variable and I was charged 0.2545 for electric for that month. He indicated that those calling in would get a rebate to equal the charge of .1899 for the month. I requested a return call from someone of decision making to discuss my account and clarify the deceitful manner I was brought on as a customer. Call # 3. I have yet to hear back from anybody.

I have followed up with at least 2 emails for request of contact. Nothing!

I reviewed my electric bills since the time my supplier changed to Major Energy and I have been over charged every month ever since. First bill charging .0996 which did not alert me to a problem.

Why would I have knowingly signed with a company that would have raised my electric rates? I knew enough to investigate the rate I was paying to receive a lower rate. I was stupid enough to sign the contract after being blatantly lied to.Desired Settlement: First, I would like to be contacted by somebody in the company.

Second, I would like an over all refund to equal at least what I was previously paying through Direct Energy, which would still be more than I was quoted, for the entire time Major Energy has over charged me.

Third, I would like to either be released from any contract with Major Energy and/or be placed on a the fixed rate I was quoted.

Business

Response:

Good Evening,

According to the complaint, the

customer is unhappy with the recent rate being charged.

The customer agreed to a variable

rate contract, meaning the rate would be determined by the energy market.

As has been widely reported, there

has been a spike in the wholesale energy market which was reflected on the most

recent bill. This is merely a reflection of the current energy market where a

shrinking supply of electricity is under the strain of massive demand due to

one of the coldest winters on record. We are referring customers to the

February 14 press release from the PUC regarding this issue. (Please see

attached) In addition, this is not just happening in Pennsylvania.

Please see this link relating to New York prices as well.

Finally, the account has been

canceled and it is now up to the utility to process the cancellation. Please contact your utility for budget

billing concerns.

We are truly sorry for your

experience and advise you to sign up on a fixed rate that will ensure price

protection.

Regards

In addition please see this informative article.

Why Have

Energy Bills Increased – Explaining Price Volatility

It has

been a record cold winter across much of the country, and many have been

expressing deep concern as to why energy bills have been so high. Regardless of

whether energy is purchased from a utility or a competitive energy supplier,

customers have seen electricity and natural gas prices spike in many parts of

the Northeast and Mid-Atlantic regions.

Why did

prices rise?

Simply

put, the issues at hand are the cold weather, electric grid and natural gas

pipeline capacity, and the increasing use of natural gas not just for heating

purposes, but to create electricity.

There is

ample gas supply in the United States, especially given the boom in shale gas.

What customers are feeling are the results of a strained transportation and

infrastructure system that delivers electricity and gas. When demand is high

and capacity is constrained, costs increase.

This

winter’s “polar vortex” has increased the demand for both natural gas and

electricity, resulting in significant congestion in the natural gas pipelines

and on the electric grid (the highways of the energy system). Everyone relies

on these natural gas pipelines and the electric grid to get energy from where

it is produced to where it is used by the homeowner, the tenant, and the

business owner. Just like only so many cars can efficiently travel along a

highway, only so much natural gas and electricity can move through the natural

gas pipeline system and the electric grid.

Also,

while more and more people are using natural gas directly for heating purposes,

electricity generators are also increasingly using natural gas to produce

affordable power. In the short-term, this electricity generation is putting

further strain on the natural gas capacity in certain parts of the country. At

the same time there are also bottlenecks on some parts of the electric grid,

preventing electricity from getting from the generators to the consumers in an

efficient manner.

It’s

known from economics that constraints on supply (such as not being able to get

gas from where it is plentiful to where it is needed) cause prices to rise, and

this has occurred in the wholesale energy markets. The result? Competitive

energy suppliers and utilities alike are paying higher than normal prices when

purchasing from the wholesale market in order to provide energy to homeowners,

tenants, and business owners. This is causing everyone’s bills to rise.

As the

winter weather gradually improves and temperatures rise, the demand for energy

to heat homes and businesses will decrease, placing less pressure on the

nation’s electricity grid and allowing energy prices from suppliers and

utilities to normalize. However, winter weather may very likely be around for

some weeks to come. Despite the unusual weather, the gas and electric delivery

systems have proven to be highly reliable this winter. A number of new natural

gas pipelines and electricity transmission lines are planned or under

construction which should reduce the chances of a similar price spike in the

future.

In the

meantime, there are some things that can be done to help manage energy bills.

Conserve energy as much as possible. For example, make sure

doors and windows are well insulated, seal any air leaks, and lower the

water temperature setting to 120 degrees on the water heater.

Customers using a competitive supplier and who are on a

variable rate plan or whose fixed contracts have expired, should review

their contract to confirm the accuracy of the pricing and call their

supplier if they have any questions.

Customers interested in price stability can also investigate

fixed price options that many suppliers offer.

Customers in need of financial assistance should investigate

their state’s home heating assistance programs. In many states, a customer

can stay with a competitive supplier and still receive assistance paying

utility bills.

Customers should visit their

state’s “energy shopping” websites to compare offers from different suppliers.

For a list of shopping websites, [redacted]

Consumer

Response:

I have reviewed the response made by the business in reference to complaint ID# [redacted], and have determined that my complaint has NOT been resolved because:

I am not satisfied with

this response. As I indicated in my complaint, I was verbally offered the fixed

rate in which I agreed to. I in fact, agreed to a third party service to this

fixed rate. I would like to hear that recording as I was told it was being

recorded. The variable rate was checked off by the sale rep, when I questioned

this he indicated this is" how they fill ALL their contracts as everybody

get the same rate. It's just how they do their paper work" He misled me in

to signing a rate I DID NOT AGREE TO. This was a blatant lie by the

representative of their company. I

would not have knowingly signed onto a company that was offering a higher rate

than I was already receiving, which I can prove by my previous bills.