In a Connecticut Post story concerning default service rate increases, AARP blames retail suppliers for "hugging" the Standard Service rates, warning customers that substantial savings will not be available by shopping.

"The third-party guys look good and could give a decrease, but they don't. They hug the standard offer," the Connecticut Post quotes John Erlingheuser, advocacy director for the state chapter of AARP, as stating.

We find this criticism ironic given that the solution to suppliers hugging the Standard Offer (namely, to eliminate the artificial default price in the market so retail suppliers are forced to compete against each other, not the utility, to drive down prices), was opposed by AARP, which successfully lobbied to stop a proposed retail auction of customers in 2013.

In other notable reactions to the rate increases, Connecticut Attorney General George Jepsen was quoted by the New Haven Register regarding shopping as stating, "For many, the standard service rate will remain a competitive rate and may be the best option for a significant number of Connecticut ratepayers."

Tags:
Connecticut   Default Service   Price to Compare  

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