IDT Energy customers overcharged for power to get refunds
Pennsylvania customers of retail electricity supplier IDT Energy Inc. may receive refunds for high charges incurred last year under an agreement settling deceptive marketing practices filed Thursday with the Pennsylvania Public Utility Commission.
Pennsylvania customers of retail electricity supplier IDT Energy Inc. may receive refunds for high charges incurred last year under an agreement settling deceptive marketing practices filed Thursday with the Pennsylvania Public Utility Commission.
IDT Energy Inc. will pay $2.4 million in refunds to eligible consumers, in addition to the $4.1 million the company has already paid, Attorney General Kathleen G. Kane and Acting Consumer Advocate Tanya J. McCloskey announced in August. The company must also pay a civil penalty of $25,000 and contribute $75,000 to the Electric Distribution Companies' hardship funds.
Under the terms of the proposed settlement, consumers who were on variable-rate plans in January, February or March of 2014 will be contacted directly by a third-party settlement administrator if they qualify for a refund. The refunds will be based on consumers' usage and the price they were charged. Refunds already received will be a factor in any additional refunds.
The settlement also imposes a 21-month ban on IDT from selling variable-rate electricity plans. The company must offer fixed-rate products for terms longer than six months during the probationary period.
IDT was the third supplier to settle complaints associated with dramatic price spikes that occurred during the winter of 2014.
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