Discount Power Rates

In November 2016, a state judge preliminarily approved a settlement of a class-action lawsuit against Discount Power, Inc. The complaint alleges that the company deceptively offers a “variable rate” electricity plan with rates tied to the market rate when, in reality, the company routinely charges rates that are not tied to the underlying market price and customers pay “two, three, or nearly four times the underlying market rate.” According to the settlement terms, class members may receive a refund for the amount of variable rate electricity they used between June 1, 2013, and July 31, 2016. The amount of the refund will be based on the percentage of the total amount of variable rate electricity used by all claimants during the period. Depending on the number of claims filed, class members may receive a pro rata share of the settlement fund based on their calculated loss and claimants whose calculated loss is less than $3 will not receive payment. For more information, go to http://www.discountpowersettlement.com/. (Chandler et al v. Discount Power, Inc., Case No. CV14-6055537, Superior Court of Connecticut)

For more information about other class-action lawsuits filed against energy suppliers and TINA.org’s coverage of the companies, click here.