MEDIA / Energy Marketers Urge Government Action on Licensing,
Self Regulation
APRIL 7, 1998
TORONTO, ONTARIO--Ontario's four largest energy marketers to
residential customers are urging the provincial government to
proceed without delay in licensing and granting self regulation to
the residential retail energy marketing industry.
In a letter to Jim Wilson, the Minister of Energy, Science and
Technology, representatives of Direct Energy Marketing Limited,
Alliance Gas Management Inc., Enershare Technology Corporation and
National Gas Wholesalers advise the government to learn from
mistakes made in the process of introducing competition to the
natural gas market.
Together, the four companies serve close to one million customers
or about 80 percent of the province's direct purchase small volume
market.
"Competition has paid huge dividends to gas customers in Ontario.
For example, today prices are lower than they were prior to 1986,
when competition was first introduced. However, the monopoly
ended and competition began without adequate explanation and
information for consumers and this has led to some public
confusion and unfortunate business practices by a small number of
people in our industry. The best guarantee of a healthy
marketplace is a well informed public and an industry able to
police itself. For example, salespeople should be registered and
standards enforced."
"With your government soon to open the giant $10 billion a year
electricity market to full competition, we recommend that you act
quickly to reassure consumers and establish effective ground rules
for the whole energy industry," the letter states.
"As a reputable business proud of our high standards of customer
service, we are urging the minister to take the necessary steps to
inform the public and give our industry the tools it needs to
police itself. We share the government's belief in the value of
competition to consumers and we want to help in any way we can to
restore and maintain public confidence," said Nino C. Silvestri,
spokesperson for the group and Senior Vice-President of Direct
Energy Marketing Limited.
All four companies are members of the Ontario Energy Marketers
Association, which has hired Edward Waitzer, former head of the
Ontario Securities Commission, to bring forward recommendations on
the licensing and self regulation of the residential retail energy
marketing industry. Those recommendations will be provided to the
government and are expected to be made public later this month.
"We are trying to resolve problems in our own industry and we want
to help prevent such difficulties as the government proceeds to
open competition in the electricity field," said Silvestri. |
