Dallas Electricity Customer Price Confusion

by admin on August 27, 2009






In the site, sales literature, even sales phone call or welcome letter it is important that a Dallas electricity company make every effort to give you an indication of what the the total bundled electricity rate will be. For new Dallas electricity service customers, the company must make clear and conspicuous disclosures regarding: the type of electricity product that consumers will receive, the electricity price for service, terms and conditions of service, and the existence of any early termination fee. What a few electricity providers have done in the past and maybe even some still do it now is hide certain parts of the electricity rate in the terms of service. Even though the entire electricity rate is described in a word problem in the terms of service it is important that a Dallas electricity provider make it clear and conspicuous to the energy service customer exactly what the total all in bundled electricity price will be.

For instance, if multiple Dallas electricity customers go to a Dallas electricity providers website and think they are agreeing to one rate only to find a completely different electricity price on their bill than they have been had. A website or web advertisement for an electricity provider will sometimes show a residential electric rate that is only the “energy only” charge. Most Texas electricity providers will bundle in the TDSP charges in the rate but some do not. Because energy consumers in Texas are used to the state disclosing electricity prices as an all in bundled price a consumer may fall for a too good to be true offer that looks several cents cheaper than most of the competition.

Most electricity providers understand the legal issues involved in leaving off the TDSP charges in their facts label but some will work in a part of the TDSP charges in the terms of service allowing for a fixed rate product to become a variable product subject to change often. When a customer thinks they have signed up for a fixed electricity rate but then receive bill after bill with a fluctuating electricity price have they really signed up for a fixed electricity rate in the first place? We do not think so considering many providers offer true price protection that locks in the TDSP portion of the electric bill.

In some instances due to new government regulation a fixed electricity agreement with a reputable electric company can change. A fixed Dallas electric rate can change when a new law goes into effect like the “smart meter fee”. The smart meter fee or advanced meter charge is a fee that basically forces electricity service customers in Dallas to give the government a loan that is then given to Oncor Electric Delivery so Oncor can install advanced meters that will automatically read your meter in real time and send that data over the electric grid network. This eliminates the need for a meter reader but does beg the question why tax payers must not only pay taxes but also loan the government money in some type of separate line item. Aren’t taxes for the purpose of extra things like this? Getting back to my point, the smart meter fee was implemented across the board among all electricity companies in Dallas so even though you agreed to a fixed electricity rate you will have your rate go up when averaging in this new fee. These unforeseen new fees and regulations are legal reasons why your fixed electricity rate could go up higher than what you initially agreed to.

If you believe your electricity rate is higher than what you agreed to when signing up with a Dallas electricity company it is important that you try and work it out with that provider first. Attempt to get down to the bottom of why you are being charged more. It is important that they point out to you in their advertising and terms of service where you agreed to the higher rate. If it is not clear and conspicuous you may have been hood-winkled into an electricity price you would have never agreed to had you known that is what you where going to be charged. If you determine that you were tricked through clever advertising into a variable “fixed electricity price” subject to change because of some legal jargon buried in the terms of service in a word problem most layman would not understand you may want to report this type of thing to the Public utility Commission of Texas and even to the Attorney General of Texas. They will investigate it more thoroughly and make a ruling on whether the electricity provider is at fault or rather the customer was just confused about the rate.

The PUCT and Attorney General are not the court systems and cannot pursue this to the point of actual litigation although they can fine the Dallas electric provider if they are found to have been wrong. If after pursuing all these different suggestions you still feel you have not been properly paid back or had your issue resolved you can hire an attorney and file a civil suit in court. In almost every case you shouldn’t have to go to court as the provider or the PUCT will work something out that will satisfy your issue. When contacting the PUCT it is important that you provide as much evidence as possible in the form of electricity bills, email, advertisements, recorded conversations, and so forth in order to make your argument.

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