Below is the contract (taken directly from FES website) for FES' New Counter Offer. Sections of concern are highlighted below, and state how FES can pass additional costs onto you, your contract can be continually auto renewed, and you will incur a $100 fee for early termination:
FirstEnergy Solutions Corp. - Residential Terms and Conditions
These Terms and Conditions together with the enrollment information are your Agreement for electric generation service with FirstEnergy Solutions Corp. ("FES"). Please keep a copy of this Agreement for your records.
FES is certified by the Public Utilities Commission of Ohio ("PUCO") to offer and supply electric generation services in Ohio and is an affiliate of Ohio Edison, Toledo Edison, and Cleveland Electric Illuminating companies. As a Competitive Retail Electric Service ("CRES") provider, FES will supply the electric generation to your Electric Distribution Utility ("EDU") based on your usage. Your EDU then distributes or delivers the electricity to you. FES sets the generation prices and charges that the customers pay. The PUCO regulates distribution prices and services. The Federal Energy Regulatory Commission regulates transmission prices and services.
DEFINITIONS:
Generation Service – The production of electricity.Transmission Service – Moving high voltage electricity from a generation facility to the distribution lines of an EDU.
Distribution Service – Physical delivery of electricity to customers by the EDU.
RIGHT OF RESCISSION – Once you have been enrolled to receive generation service from FES, your EDU will send you a confirmation letter. You will have the right to rescind your enrollment within seven (7) calendar days following the postmark date of the confirmation letter by following the instructions contained in the letter. The Right of Rescission only applies when a customer switches to a generation supplier and not on renewal enrollments. Your EDU will not send a confirmation notice upon any renewal of this Agreement.
TERMS AND CONDITIONS OF SERVICE
Eligibility. Any residential customer accounts that are on rate code RH (referred to here as "Customer") are eligible for this offer from FES, except that any customer accounts participating in energy assistance or low-income rate programs that will pay a higher rate or that will otherwise be negatively affected under the Agreement will not be eligible, nor will any customer of an electric cooperative or municipally owned utility. All other rate codes will not be accepted. FES reserves the right to refuse enrollment to any Customer with an outstanding balance.
Basic Service Prices. During the term of this Agreement, you agree to pay FES for a total combined Transmission, Generation and Generation Related Charges. You agree to pay FES a fixed price of 5.75 cents per kWh from your October meter read through your March meter read, and 6.30 from your April meter read through your September meter read [based on EDC meter read calendar] throughout the term of this agreement ending with your May 2014 meter read.
In addition to FES’ charges, you will be charged by your EDU for distribution and various other charges. FES reserves the right to unilaterally modify this billing format/pricing in the event the EDU is unable or unwilling to provide consolidated billing in this format or changes the calculation of the PTC. In addition to the charges described above, FES will charge you for any and all fees, costs, and obligations imposed by a Regional Transmission Organization ("RTO"), such as the Midwest ISO or successor organizations, that are not otherwise reimbursed by the EDU to the Supplier, regardless of whether such charges are greater than, less than, or equal to the charges Customer currently pays for these services to the EDU ("Midwest ISO/Transmission and Ancillary Charges"). FES will pass these Midwest ISO/Transmission and Ancillary Charges, which may be variable, through to you and you will receive no discount or percent-off of these Midwest ISO/Transmission and Ancillary Charges.
Length of Agreement. Your service from FES will commence with the next available meter reading following the seven (7) day rescission period, and after the acceptance of the enrollment request by FES (at its discretion and consistent with the Customer Consent and Information Release Authorization paragraph below), and after final processing by your EDU, and will through your May 2014 meter read, unless renewed as described in the Contract Expiration / Automatic Renewal paragraph below.
Billing. You will continue to receive a single bill from your EDU that will contain both your EDU and FES charges. FES does not offer budget billing. If you do not pay your bill by the due date, FES may cancel this Agreement after giving you a minimum of fourteen (14) days written notice. Upon cancellation you will be returned to your EDU as a customer. You will remain responsible to pay FES for any electricity used before this Agreement is cancelled, as well as any late payment charges. Further, your failure to pay EDU charges may result in your electric service being disconnected in accordance with the EDU tariff.
Cancellation/Termination Provisions. If this Agreement is not rescinded during the rescission period, your enrollment will be complete. Thereafter, you may terminate this Agreement, without penalty, only if you move out of the EDU service territory or into an area where FES will charge a different price. There will be a $100 charge if you terminate this Agreement for any other reason, except as expressly provided herein. Should you cancel service with FES and return to standard offer service with your EDU, you may not be served under the same rates, terms, and conditions that apply to other EDU customers. FES shall have the right to terminate or modify the agreement without liability if (1) the Electric Security Plan (ESP), Market Rate Offer (MRO) and/or Competitive Bid Process (CBP), or other generation procurement process results in a PTC that is equal to or less than the comparable annualized generation and transmission rates and riders as of January 1, 2010 or (2) the PUCO approves or implements a phase-in credit for generation and/or transmission charges of the EDU or takes any other action which affects the PTC or otherwise does not allow the EDU to reflect the full cost to procure generation and transmission in the PTC or other regulatory action. In the event that the program is terminated, you will be returned to your EDU’s standard service offer.
Penalties, Fees and Exceptions. Your EDU may charge switching fees to the customer. If you do not pay the full amount owed FES by the due date of the bill, FES may charge a 1.5% per month late payment fee.
Customer Consent and Information Release Authorization. By choosing to accept this offer from FES, you understand and agree to the terms and conditions of this Agreement with FES. You authorize FES to obtain information from the EDU that includes, but is not limited to: billing history, payment history, historical and future electricity usage, meter readings, and characteristics of electricity service. FES reserves the sole right to determine if your credit standing is satisfactory before accepting your enrollment request. This Agreement shall be considered executed by FES following acceptance of your enrollment request by FES, the end of the seven (7) day rescission period and subsequent acceptance of the enrollment by your EDU.
Contract Expiration / Automatic Renewal. At the end of its term, this Agreement will expire, or at Supplier’s option, automatically renew for a term less than or equal to its initial term unless you affirmatively cancel the Agreement. The termination fee during any renewal term will be $25. During the 90 days prior to the expiration of this Agreement with FES or if FES proposes to change its terms of service, you will receive two notifications from FES in the 35 to 90 days that precede either the expiration date or the effective date of the proposed changes, the first of which must be in writing. In these advance notifications FES will explain your options, which may include renewing the Agreement, the specified rate, proposed changes if any, and what actions you must take to cancel the Agreement. You are responsible for arranging your electric supply upon the expiration of the Agreement.
Dispute Procedures. Contact FES with any questions concerning the terms of service by phone at 1-888-254-6359 (toll-free) M-F 8 a.m. – 5 p.m. EST or in writing at 341 White Pond Drive, Attn: Contract Administration, Akron, OH 44320. Our web address is www.fes.com. If your complaint is not resolved after you have called your electric supplier and/or your electric utility, or for general utility information, residential and business customers may contact the Public Utilities Commission of Ohio for assistance at 1-800-686-7826 (toll free) or TTY at 1-800-686-1570 (toll free) from 8:00 a.m. to 5:00 p.m. weekdays or at www.PUCO.ohio.gov. Residential customers may also contact the Ohio Consumers’ Counsel (OCC) for assistance with complaints and utility issues at 1-877-742-5622 (toll free) from 8:00 a.m. to 5:00 p.m. weekdays or at www.pickocc.org.