Amendment Application – Terms and Conditions
In this decision, the AUC considered ENMAX Energy Corporation’s (“ENMAX”) application requesting approval to amend the regulated rate option (“RRO”) tariff terms and conditions of service (T&Cs), effective January 1, 2017.
ENMAX submitted that the proposed amendments were intended to strengthen its ability to manage bad debt expense. The proposed amendments to the T&Cs included:
(a) Defining the term “Credit Agency”;
(b) Allowing ENMAX to hold the owner of premises responsible for payments where a tenant fails to meet any of the requirements set out in the T&Cs;
(c) Permitting ENMAX to make a report to a credit agency when a customer fails to pay billed amounts on time;
(d) Clarifying that notice of disconnection may only be given by mail, hand delivery or facsimile; and
(e) Permitting ENMAX to provide notices to customers by email and text message.
Owner Responsible for Tenant Default
The AUC found it reasonable that ENMAX should have the ability to make owners liable in the event of a tenant default. However, the AUC directed ENMAX to make a number of amendments to its proposed amended T&Cs, including requiring that before ENMAX could seek payment from an owner:
(a) ENMAX give notice to a tenant of the specific circumstances, other than non-payment of bills, which have resulted in the tenant default; and
(b) ENMAX grant a tenant a grace period of five business days from the notice date to remedy the tenant default.
Report to Credit Agency
ENMAX proposed to amend Section 7.6 of its T&Cs, entitled “Remedies for Non-Payment,” to include the ability to make a report to a credit agency when a customer fails to pay billed amounts in full and on time.
The AUC found it reasonable to allow ENMAX to make a report to a credit agency as a remedy for non-payment.
The AUC directed that prior to making a report to a credit agency, ENMAX is required to give notice to the customer and provide the customer five business days to remedy their delinquency.
Mistaken Report to Credit Agency
The AUC found that a report to a credit agency in error should be included as an independent compensable error in the T&Cs. The AUC directed ENMAX to revise the T&Cs to reflect this finding.
Compliance Filing Directed
The AUC directed ENMAX to submit, in a compliance filing, a copy of the T&Cs reflecting the findings and directions in this decision, as well as a blacklined version of the T&Cs.
