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Attorney General takes action correcting business practices of electric generation supplier

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HARRISBURG — Attorney General Kathleen G. Kane today announced her office has filed a legal action, in the form of an Assurance of Voluntary Compliance (AVC), against an electric generation supplier alleged to have misled consumers through its marketing practices.

The AVC requires Ethical Electric, Inc. to clearly state in future marketing pieces that consumers would be switching from their default utility service by signing with Ethical Electric. The company provides electric distribution services to residential and commercial consumers throughout the state.

The Office of Attorney General’s Bureau of Consumer Protection received complaints from consumers who claimed to be confused by the solicitation and marketing pieces mailed by Ethical Electric.

The solicitation pieces placed the default utility companies’ names, such as PECO, PPL, or West Penn Power, on top of the letter as if the marketing piece was from the utility companies directly. Consumers were left with the impression that they were participating in a program through their utility company. Moreover, solicitation pieces were marked with terms of urgency, such as “Second Notice” and “Important,” which likely caused confusion.

The Bureau of Consumer Protection determined the solicitation pieces did not adequately state the correspondence was from an electric generation supplier.

Under the terms of the AVC, the company has agreed to comply with the Consumer Protection Law. The AVC requires Ethical Electric to make a payment of $6,000 to the Attorney General’s office. The AVC was filed in the Dauphin County Court of Common Pleas by Deputy Attorney General Nicole R. DiTomo.

Consumers with concerns about an electric generation supplier are encouraged to contact the Bureau of Consumer Protection at 800-441-2555 or visit www.attorneygeneral.gov.