You’ve probably heard this before: Ohioans can shop for the energy supplier of their choice, thanks to energy choice. But how can you tell which supplier or contract fits your budget and lifestyle? Here’s a few tips on how to choose and how the PUCO regulates those third-party suppliers.
What is a supplier?
Ohioans can choose different suppliers for both their electric and natural gas services. For electric services, it’s important to know that the electric industry consists of three main components: generation, transmission and distribution. Senate Bill 3, passed by the Ohio General Assembly in 1999, allows Ohioans to choose the company that generates their electricity.
For natural gas, several different industries produce, transport and distribute the product, or commodity. In 1997, certain residential and small commercial customers gained the ability to choose which company supplies the commodity, while the local distribution company still guarantees delivery.
Should I choose a supplier?
According to the Ohio customer choice activity dashboard, nearly half of Ohio’s residential, industrial and commercial customers choose different suppliers to provide their electric or natural gas service. Ohioans choose different suppliers for a variety of reasons: some suppliers may offer lower rates while others may have higher percentages of supply coming from renewable energy sources.
The easiest way to see what offers are available in your area is to head to EnergyChoiceOhio.gov and use the Apples to Apples comparison tool. The tool allows you to view rates, term lengths, early termination fees, monthly fees, promotional offers and more. Keep in mind that some suppliers may have variable rates as opposed to fixed rates, which could mean changes in your monthly bill.
Of course, if you are satisfied with your local utility, there’s no need to switch. Energy choice is an opportunity, not a mandate.
How does the PUCO make sure the suppliers follow the rules?
The PUCO certifies third-party suppliers to ensure that the company has the financial, technical and managerial capabilities to provide safe and reliable service. The suppliers must renew their certification every two years as well as submit annual reports to the PUCO.
No matter which supplier you choose, there are still rights that you have as a consumer under Ohio law:
- Your electric or natural gas service should not be switched without your permission. This is called “slamming” and it’s illegal.
- After you sign up with a supplier, your local utility will contact you with a confirmation notice. You have seven business days (natural gas) or seven calendar days (electric) from the postmark date to cancel the supplier contract, should you change your mind.
- Suppliers are not allowed to engage in marketing that may be misleading or deceptive to the customer.
These rights and standards of service, along with many others, can be found in the Ohio Administrative Code Chapter 4901:1-21 for electric suppliers and 4901:1-29 for natural gas suppliers. Should a supplier violate these rules, the PUCO is able to issue fines, request new marketing materials and implement other measures as needed.
The PUCO also monitors several factors involved in the competitive retail electric and gas service market. More information about electric market monitoring is available here.
What if I have issues with a supplier?
If you sign up with a supplier, remember to be aware of contract terms and end dates. Some contracts may have specific terms and rates that change after the contract ends.
If you have questions about your utility bill after selecting a supplier, or if you believe you have been the victim of slamming or deceptive marketing, please contact the PUCO Consumer Call Center by clicking here or calling 800-686-7826.