CMP billing has been 'accurate,' PUC staff say
After two years of complaints about the metering and billing practices of Central Maine Power Co., a state report on Thursday said the electric utility has, for the most part, charged customers accurately.
In the findings of an investigation begun nearly 12 months ago, Maine Public Utilities Commission staff said there was “no systemic problem” in CMP’s metering and billing systems that would have caused the high bills customers started reporting in 2017.
PUC staff said evidence including an independent audit demonstrates that CMP is recording customer electricity use correctly, and that except for some specific, minor errors, “customers’ billed amounts have been accurate.”
Record-breaking cold weather and a scheduled increase in the standard-offer electricity supply price accounted for the spike in bills during the winter of 2017-2018, according to the report. Those were the causes identified by CMP’s own previous analysis.
However, the report did find fault with the CMP billing software, known as SmartCare. Calling its implementation “imprudent,” PUC staff said technical problems “affected tens of thousands of customers who experienced delayed bills or bill errors.” While most of those problems have been resolved, the staff recommended regular third-party testing of the system, an ongoing maintenance plan and monthly reporting to the PUC.
Also included in the staff recommendations were an audit program for fixing any unresolved billing problems and a $5 million annual penalty on CMP earnings until there are certain performance improvements.
But how that penalty would be applied is unclear, in light of a rate increase CMP has requested and that the PUC is mulling.
Commissioners are not bound to follow the staff suggestions, but are scheduled to rule on them as well as the rate proposal by the end of the month.
In a statement responding to the PUC staff report, CMP’s parent company, Avangrid Inc. (NYSE: AGR), said, “CMP will review the staff findings and recommendations closely and prepare responses for public filing on January 23, as the Commission works toward decisions at the end of the month. Our top priority is ensuring reliable service to our customers.”
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