New York Regulators Seek to Reform Energy Service Market

ALBANY, N.Y. (AP) — New York regulators are launching a comprehensive review of energy service companies, saying the competitive residential market created by utility deregulation hasn’t lived up to its promise.

The Public Service Commission filed a notice Friday saying it will solicit sworn testimony from consumers, energy marketers and others in preparation with pushing through reforms.

PSC spokesman Jon Sorensen said the commission has seen substantial overcharges and deceptive practices by energy service companies, or ESCOs, for too long. The PSC released data showing ESCO customers paid $817 million more since 2014 than they would have paid as traditional utility customers.

The ESCO industry began in the late 1990s with deregulation that sought to create more competition and innovation. There are now about 200 ESCOs in New York.

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