ED Magedson – Founder
Respond Power100 Dutch Hill Road, Suite 230 Orangeburg, New York USA
Respond Power/Major Energy Misleads, Price Gouges, and Lies based in Orangeburg New York
Respond Power sent door-to-door solicitors to our neighborhood touting their “competitive” rates. After being shown a chart indicating that their rate was relatively stable over a 12 month period and being offered a rate of $0.0825/KWH, we accepted as of October 23rd, and our first bill with them was for the period ending December 12th, which was at the advertised rate.
Our next billing period (January 15th) was at a rate of $0.13228/KWH. After this we made plans to change providers, suspecting that this was a harbinger of things to come. Our next bill (February 16th), still with Respond Power, was at a rate of $0.19661/KWH. At this point we initiated a complaint with the Better Business Bureau..
In response to our complaint, the company cited rising energy costs due to the polar vortex and “environmental regulation”. A simple internet search revealed that coal prices increased from their low in the fall to their highest level in December by a mere 10%. Further, the Bureau of Labor Statistics tracks average bulk prices for the Philadelphia/Wilmington/Atlantic City region by month, calculated by total cost (including taxes and other surcharges) divided by total use (in KWH). The December and January bulk price were $0.164 and $0.162 per KWH, respectively.
By this metric, our bulk prices were $0.15077 (December 12th), $0.19588 (January 15th), and $0.2602 (February 16th). When we received our March 18th bill, we were still listed under Respond Power, who charged us $0.3999/KWH (for a bulk price of $0.46491). We strongly suspect that this outrageous price gouging is in retaliation for our complaint to the BBB. Respond Power continues to insist that these are market prices due to a cold winter, all evidence to the contrary notwithstanding. Our complaint has also been forwarded to PECO, the Pennsylvania Utilities Commission, and the State Attorney General.
Beyond the dishonest sales pitch and outrageous rates, this company has some of the worst customer relations we've ever experienced. Their phone number is sometimes inaccessible, and when it is not you are on hold for hours and can be disconnected at any minute. Emails are ignored for days before being responded to with copy-and-pasted stock answers. Avoid this company at all costs!
This report was posted on Ripoff Report on 04/07/2014 03:18 PM and is a permanent record located here: http://www.ripoffreport.com/reports/respond-power/orangeburg-new-york-10962/respond-powermajor-energy-misleads-price-gouges-and-lies-based-in-orangeburg-new-york-1137010. The posting time indicated is Arizona local time. Arizona does not observe daylight savings so the post time may be Mountain or Pacific depending on the time of year.
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