ComplaintsforPlanet Energy Corp

• Initial Complaint

  08/04/2022

  Complaint Type:

  Order Issues

  Status:

  Answered

  More info

  In January 2022, I chose Planet Energy as my electric generation company of choice. At the time, the offered rate from Planet Energy was higher than the standard offering from the electric supplier (PPL). As I was anticipating increased energy costs in the future, I signed a contract with Planet Energy at the higher rate to lock the rate for the full duration of the contract. In late June, I received a notice from PPL that my electric supplier was changing. I didn't think much of it at the time until my electric **** increased ~30%. Upon digging deeper, I discovered that Planet Energy was no longer my electric supplier. To this day, I have not received a notice from Planet Energy.Echoing other recent BBB complaints, our 1-3 year contracts were cancelled by Planet Energy within ~6 months due to "unforeseen circumstances". Planet Energy's website has two statements that do not line up with their recent actions. These statements proudly boasted on the home page are "protect your rates in an unpredictable market" and "predict the unpredictable". By signing our initial contracts, I and others were attempting to do both of those things. By cancelling these contracts, Planet Energy has fallen significantly short of their words.

  

  Business response

  08/08/2022

  Thank you for reaching out with your concerns.
  
  The reason for the earlier cancellation is that there have been substantial increases in ancillary costs, including PJM costs, which cannot be hedged against.  As the rate is a fixed rate, costs cannot be adjusted as they may be via a variable rate agreement.  As the changes are a material adverse affect to Value Plus Energys abilities, it processed an earlier cancellation pursuant to the terms of the agreement.
  
  PJM costs, which are in part overseen by FERC (federal government body), do not have a market mechanism in place to be able to hedge costs. 
  
  The **** Commission put out a press release which somewhat covers what has happened, please see the following link - https://*************/news/news-bureau-rising-energy-prices.
  
  These are unprecedented changes which were done, and unforeseen.  To our knowledge, no other governing body had ever taken such dramatic actions.  As such, no further action can be taken by Value Plus Energy.  

• Initial Complaint

  07/18/2022

  Complaint Type:

  Order Issues

  Status:

  Resolved

  More info

  I have a contract with RiteRare Energy to supply my natural gas for a fixed rate and my contract doesn't expire until June 30, 2024.RiteRate informs me that "they will no longer be offering residential small volume contracts" and as of August, 2022 RiteRate wish to terminate our agreement.RiteRate are offering me the equivalent of 12 months at the difference between the contracted rate and Enbridge current rate (this works out to 12 * $8.03 for a total of $96.32 )I still have 24 months to run on the contract and with energy prices rising the way they are I don't see this as a fair settlement!For years I have taken the risk and at times paid above the Enbridge unit price, but now that energy costs are rising fast RiteRate want to give me a meagre sum to get out of their obligation!I can forward the RiteRate letter to you that asks me to accept the offer via e-mail so that they can direct deposit the funds to me.Can you let me know where I stand if I just want them to honour their contract?Regards,***********************

  

  Business response

  07/20/2022

  Dear **************,
  
  Please be advised that you have filed a complaint against the wrong company.
  
  For clarification, you filed a complaint against RiteRate Energy, a ************* company, which does not have operations in ******.  You also filed this complaint via the *** BBB, not the ******** BBB.
  
  For additional clarification, RiteRate Energy does not have any affiliation with ******** RiteRate Energy, and as such, we are unable to address your complaint.  As stated in the letter you provided, you may contact ******** RiteRate Energy.  Or, in the alternative, you can contact your local regulatory body.
  
  If you could please withdraw this complaint, it would be appreciated.
  
  Thank you.  

  Customer response

  07/20/2022

   
  Better Business Bureau:
  
  I have reviewed the response made by the business in reference to complaint ID ********, and find that this resolution is satisfactory to me.
  
  Sincerely,
  
  *********************

• Initial Complaint

  06/28/2022

  Complaint Type:

  Service or Repair Issues

  Status:

  Answered

  More info

  This company offered a fixed rate price for electric generation for a specified amount of time (36 months). Earlier this month I receive a letter from our utility notifying us that Planet Energy will no longer provide the services stating that they cannot "hedge" there position in the current market place. The company is advertised to be a professional, sophisticated provider of electric generation. They have now switched there liability to provide these service back to me at a time energy costs have risen significantly. I am requesting damages for the spread between the rate they committed to and the current rate I can receive generation services.

  

  Business response

  06/28/2022

  The reason for the consumers earlier cancellation is that there have been substantial increases in ancillary costs, including PJM costs, which cannot be hedged against.  As the consumers rate is a fixed rate, costs cannot be adjusted as they may be via a variable rate agreement.  As the changes are a material adverse affect to Value Plus Energys abilities, it processed an earlier cancellation pursuant to the terms of the agreement.

  Customer response

  06/28/2022

   
  Complaint: 17493087
  
  I am rejecting this response because:

  I would like to see the quantitative support for their statement of material changes.  I do not believe the cost they are describing are material to the rate charged.   It is incredible to me that they are stating that these ancillary costs are be used as the reason for the cancellation.
  Also. please provide me with the contract language you are referring to that allows you to cancel the agreement.
  I believe a professional, ethical organization would provide the injured party with compensation for the error in hedging or pricing of the service. This sophisticated organization claims their superior knowhow in the industry.
  
  
  Sincerely,
  
  *****************************

  

  Business response

  07/13/2022

  Thank you for following up.
  
  Under normal market conditions, including the past 30 plus years, market conditions could be mitigated, hedged and/or predicted to a degree.  Unfortunately, the same is not true in regards to transmission costs, including PJM costs under recent circumstances. 
  PJM costs, which are overseen by FERC (federal government body), do not have a market mechanism in place to be able to hedge costs. 
  
  The **** Commission put out a press release which somewhat covers what has happened, please see the following link - https://puco.****.gov/news/news-bureau-rising-energy-prices.
  
  As these rates cannot be hedged against, it adversely affected our abilities, and the agreement was cancelled pursuant to the Terms and Conditions.  Specifically, Sections 8 and 15 contain the conditions in which a cancellation can be done. 
  
  These are unprecedented changes which were done, and unforeseen, and as such, no further action can be taken by Value Plus Energy.  

  Customer response

  07/17/2022

   
  Complaint: 17493087
  
  I am rejecting this response because:  The information you asked me to review is very general and does not explain how that affects the "generation" portion of the ****.  Additionally, it a case study from a different State.   Your reluctance to provide me with the detailed quantitative information I requested demonstrates why I believe your organization lack ethics and integrity.  If the  information I requested supported your story I am certain it would have been provided.

  I will incorporate this information to the BBB comment section and our Attorney General's Office

  
  Sincerely,
  
  *****************************

  

  Business response

  07/19/2022

  Thank you for following up.
  
  The Terms and Conditions are of course general, as each individual circumstance or possible circumstance could never be accurately covered if the standard Terms and Conditions were highly specific.  This is the case with all Terms and Conditions to all products sold in all industries.
  
  Generation, transmission and electricity services is a highly complex matter.  PJM is a large transmission grid, effecting **** as much as it does ************, however, it is just one of several larger grids in the **** FERC, a federal government body, oversees transmission across the country and each of the larger transmission grids.  PJM effects other States as well, there are significant interconnections between States and even countries (****** shares some transmission with northern States). 
  
  The reasons stated were factual in why Value Plus cancelled the services under the Agreement and pursuant to the Terms and Conditions.  At present, no further action can be taken.

  Customer response

  07/24/2022

   
  Complaint: 17493087
  
  I am rejecting this response because:  You continue to hide behind generalizations because the data does not support your claims.  It is just more evidence of an unethical, unprofessional organization that takes advantage of the individual consumers.  It is unfortunate that you are allowed to continue to operate in this manner.  I am still requesting the quantitative calculation supporting your claim.  Maybe you need some better talent on your staff that properly ****** your liabilities and commitments to the consumers relying on the services you provide. 
  
  Sincerely,
  
  *****************************

• Initial Complaint

  06/23/2022

  Complaint Type:

  Order Issues

  Status:

  Answered

  More info

  My wife and I enrolled in a 3 year energy supply contract with Planet Energy starting on January 5th 2022. It was a little more expensive than other ************ providers but with the state of our country I figured it was a good move. Today June 22nd I got a letter from PPL that Planet Energy would no longer be supplying our energy starting today. Confused as to why this could be happening I called Planet Energy to get information. The woman on the phone told me they stopped supplying to all of their customers due to "legislation changes.". When I asked what changes I was told the changes no longer allow them to be a supplier. I looked online for these changes and can't find anything. This is absolutely TERRIBLE. Knowing rates would go up I got the 3 year contract. How can they just decide to end it? Now I am paying 50 percent more to PPL. Two other suppliers are SLIGHTLY cheaper. This company should not be allowed to do this to their customers! Isn't this breaking some kind of law as we had an agreement for 3 years and they ended it after 6 months. I am highly upset and absolutely disgusted with this company. They should have a lawsuit filed against them. I feel like I was taken advantage of and no am going to have a much larger electricity ****. Disgusting. Thank you for your time.

  

  Business response

  06/24/2022

  The reason for the consumers earlier cancellation is that there have been substantial increases in ancillary costs, including PJM costs, which cannot be hedged against.  As the consumers rate is a fixed rate, costs cannot be adjusted as they may be via a variable rate agreement.  As the changes are a material adverse affect to Value Plus Energys abilities, it processed an earlier cancellation pursuant to the terms of the agreement.

  Customer response

  06/27/2022

   
  Complaint: 17467765
  
  I am rejecting this response because:. I knew rates were going to increase which is why I signed up for the 3 year FIXED rate!   If you were not going to be able to maintain service you should have never offered it.   I missed out on a rate from PPL that they were offering until June 1st but figured I already had a good contract.   There was no prior warning which might have enabled me to get the 8. something cents per kwh from PPL.   You found out it is costing you money and are simply passing that loss to me.   You should've had the foresight before you offer a 3 year contract and are only able to fulfill 6 months of it.   I guess whatever electricity contract you sign up for is ******** as the company can just cancel it when rates go up.   Disgusting and unacceptable. If that's how you treat your customers, I hope you go out of business.
  
  Sincerely,
  
  *******************

  

  Business response

  07/12/2022

  Thank you for following up.
  
  We apologize for any inconvenience.  Under normal market conditions, including the past 30 plus years, market conditions could be mitigated, hedged and/or predicted to a degree.  Unfortunately,the same is not true in regards to transmission costs, including PJM costs under recent circumstances. 
  PJM costs, which are overseen by FERC (federal government body), do not have a market mechanism in place to be able to hedge costs. 
  
  The **** Commission put out a press release which somewhat covers what has happened, please see the following link - https://puco.****.gov/news/news-bureau-rising-energy-prices.
  
  As these rates cannot be hedged against, it adversely affected our abilities, and the agreement was cancelled pursuant to the Terms and Conditions. 
  
  These are unprecedented changes which were done, and unforeseen.  No other governing body had ever taken such dramatic actions.  As such, no further action can be taken by Value Plus Energy. 
  

  Customer response

  07/13/2022

   
  Complaint: 17467765
  
  I am rejecting this response because:
  What exactly is the "Change in Law" that allows you to cancel the contract in the terms and conditions?   I could have gotten a better rate from PPL if I would have known this at the end of May.   I tried attaching the terms and conditions but had difficulty.   I don't even need to be notified before this happens?
  Sincerely,
  
  *******************

  

  Business response

  07/14/2022

  Thank you for following up once again.
  
  Changes were made on the federal level as previously noted via FERC, which effected the *** pricing. Further, there were State changes which effected the *** rates, as well as what could be done to mitigate changes with a fixed rate, which were done on the State level.
  
  The ability to cancel the agreement as stated, is within the Terms and Conditions under Sections 8 and 15. 
  
  As Value Plus is currently not offering services within ************, no further actions can be taken.

  Customer response

  07/16/2022

   
  Complaint: 17467765
  
  I am rejecting this response because: you should never have been allowed to "provide" energy to ************ with clauses like that.   You didn't give me any specific change in legislation or law.  You can also say any circumstances were "beyond your reasonable control."Some kind of compensation should be given to your customers for your lack of foresight.   I foresaw this coming with electricity prices despite what ever"legislation changes" occured which is why I chose this company in the first place.   Instead of being rewarded for paying a higher price initially I am paying double time and missed out on other rates because I thought so what, I have this contract for 3 years and the price is going to rise.  I am being penalized because I had foresight about what was going to happen, and you, an electricity company didn't.   It is unacceptable and shameful.
  
  Sincerely,
  
  *******************

• Initial Complaint

  05/24/2022

  Complaint Type:

  Order Issues

  Status:

  Answered

  More info

  I have a 36 month contract for Value Plus Energy DBA Planet Energy that was initiated in December 2021. I received a letter from my Distribution Supplier, ********** postmarked May 19,2022 informing me that Planet Energy has elected to end its contract with me effective May 18, 2022. All bills were paid on time and there is no provision in my contract for Planet Energy to end the contract because of industry cost pressures. Neither of the 2 required mailings informing me of a termination was supplied. When speaking to a customer representative at 1:07 pm today, I was informed that the contract was ended because of increasing global energy costs and uncertainty in the market. Planet Energy website FAQs detail that contracted energy costs are able to be met because Planet Energy purchases their own contracts for energy, shielding it from unknown costs. I have been paying a price above market since December 2021 (and especially through the winter as the home is heated with an electric furnace) because I expected to be able to pay less than competitors over the length of the contract - that is why I opted for a 36 month contract. Planet Energy needs to adhere to the contract they agreed to and either supply energy at the contracted price for the duration of the contract or provide a billing adjustment for the amount I will have to pay for an alternate generator for the duration of the contract.My Customer Number is ************************ and the service address is *************************************************. Service is standard residential.

  

  Business response

  07/06/2022

  The consumer entered into an agreement online with Value Plus Energy on December 19, 2022.
  
  The reason for the consumers earlier cancellation is that there have been substantial increases in ancillary costs, including PJM costs, which cannot be hedged against.  As the consumers rate is a fixed rate, costs cannot be adjusted as they may be via a variable rate agreement.  As the changes are a material adverse affect to Value Plus Energys abilities, it processed an earlier cancellation pursuant to the terms of the agreement.

  Customer response

  07/06/2022

   
  Complaint: 17249107
  
  I am rejecting this response because: Planet Energy/Value Plus says they can offer lower pricing because they purchase contracts in advance to cover changes that would impact their costs. My contract rate for the time my account was actually serviced was significantly higher than other available rates including variable rates. I made this choice assuming rates in the latter part of my term would be more favorable. Planet energy should have hedged rates as they advertised. I would be happy for them to be found in contract violation for not contacting me too melt in advance as required AND to be reimbursed for the added costs over variable rates I paid them. 
  
  Sincerely,
  
  *************************

  

  Business response

  07/07/2022

  Thank you for following up.
  
  While it is factual that Planet Energy/Value Plus purchases its supply and is thus able to hedge against supply cost fluctuations,unfortunately, the same is not true in regards to transmission costs, including PJM costs.
  
  PJM costs, which are overseen by FERC, do not have a market mechanism in place to be able to hedge costs. 
  
  The **** Commission put out a press release which somewhat covers what has happened, please see the following link - https://puco.****.gov/news/news-bureau-rising-energy-prices.
  
  As these rates cannot be hedged against, it adversely affected Planet Energy/Value Plus, and the agreement was cancelled pursuant to the Terms and Conditions. 
  
  No further action can be taken by Planet Energy/Value Plus.  

  Customer response

  07/07/2022

   
  Complaint: 17249107
  
  I am rejecting this response because:
  
  I assumed you knew how to run your company when I accepted a 3 year contract.
  

  What youre saying is that a contract is binding only on the consumer and that if you are incompetent at executing your job, the contract can be canceled.

  I am NOT satisfied with your response as it calls out your incompetence as an acceptable reason to cancel my contract.

  Sincerely,

  *************************

• Initial Complaint

  05/03/2022

  Complaint Type:

  Order Issues

  Status:

  Answered

  More info

  I had a contract with RiteRate energy for 3 years beginning in 6/2021 for a rate of **** cents/kWh. I did not receive any notification that this was going to change until I received a letter from my supplier ********* that they cancelled my rate contract. And that the cancellation occurred on 4/25/22 and I received the message from ********* on 4/28/22 after it was already cancelled. I chose a higher rate at the time because of the stability of having it for 3 years. For them to just cancel it because of their poor planning is not right. They should be held accountable for this and honor their commitment. I paid my bills on time with no issue. This is the reason people shop for rates. But if they just cancel because they want to or poor planning that is not right. *********: Customer #: ******************** I've added the RiteRate Contract as an uploaded file, but it doesn't show up on final confirmation page.

  

  Business response

  06/01/2022

  The consumer enrolled online into a one year agreement with RiteRate Energy on June 10, 2020, and the term of that agreement was completed.
  
  RiteRate sent the consumer an auto-renewal letter in April 2021, and a second auto-renewal notice to the consumer.  The consumers account was subsequently auto-renewed under the updated agreement terms.
  
  The consumer did not enroll in a three year contract as noted in the complaint, but did enroll in a one year fixed rate agreement in 2020 which expired in approximately June, 2021.  The consumers agreement was subsequently auto-renewed under new terms. 
  
  RiteRate discontinued services to the consumer under the auto-renewal approximately in April, 2022, because there have been substantial increases in ancillary costs, including PJM costs, which cannot be hedged against.  As the consumers rate is a fixed rate, costs cannot be adjusted as they may be via a variable rate agreement.  As the changes are a material adverse affect to RiteRates abilities, it processed a cancellation pursuant the terms and conditions of the customer agreement.    

*Some consumers may elect to not publish the details of their complaints, some complaints may not meet BBB's standards for publication, or BBB may display a portion of complaints when a high volume is received for a particular business. ↩