ICC considers settlement with electric company

CHICAGO (WLS) -- Customers of an electricity provider under investigation by the Illinois Commerce Commission could be getting some money back.

The possible refunds come after complaints about higher than expected bills, as first reported by ABC7 I-Team. At that time, the company Major Energy voluntarily agreed to pull the plug on its sales efforts in Illinois. If the state approves a settlement with the company, consumers may get refunds.

If the Illinois Commerce Commission approves the proposed settlement, a major energy salesperson could again be selling you a plan. A spokesperson said the company "voluntarily ceased marketing in IL last year as a consequence of the 2013-14 polar vortex and the abnormally high rates in the energy market.."

As part of a proposed settlement, the company would set aside $262,500 for customer refunds. The money would go to eligible customers who allege they were "misled, uninformed or confused" about plans.

Last summer , the I-Team spoke to Gretchen Schreiber, who signed a major energy contract after she said a salesperson told her she'd pay the same rate or less than she paid with ComEd. However, her winter and spring bills sky-rocketed. She said she didn't know she was on a variable rate plan.

As part of the settlement, which the company entered into without any admission of wrong doing, Major Energy will also change its sales practices. In a statement a spokesperson said the company would be "doubling down" on efforts to educate customers and is fully cooperating with the ICC, ensuring "that our marketing activities adhere to all required and recommended rules, regulations and procedures at all times."

The ICC will make an official decision on this settlement by Wednesday. f approved, consumers who may be eligible for those refunds will get a letter from Major Energy.

Major Energy's full a statement: Major Energy voluntarily ceased marketing in IL last year as a consequence of the 2013-14 polar vortex and the abnormally high rates in the energy market - particularly in IL - that resulted from it. Our IL customers that chose variable market rates over fixed rates were hit hard that winter and pulling back, pausing and recalibrating our sales strategy and consumer education approach were highly necessary. We have done that. With that said, in fully cooperating with the ICC, we have set aside a refund fund that eligible customers may take advantage of and we will ensure that our marketing activities adhere to all required and recommended rules, regulations and procedures at all times. Further, we will be doubling down on our efforts to appropriately educate consumers on energy choice using easy-to-understand literature, integrity-based salesmanship and - as the market dictates - a special focus on fixed rates that we feel will ultimately benefit our consumers.