UPDATE - ON: CPA presses energy board to prioritize the truth - not misleading and unfair marketing practices in promoting natural gas expansion projects

As members may recall, on July 6, 2020 the Ontario Energy Board (OEB) issued a response to the CPA’s complaint from June 2019 that asserted Enbridge Gas engaged in misleading and unfair marketing practices in Fenelon Falls.

The OEB determined that, while Enbridge did in fact violate approved connection policies and rates, they would not be subject to sanctioning for doing so. The board also informed the CPA that a consumer complaint regarding failure to disclose actual connection to natural gas costs would be dealt with directly and not shared with the CPA.

As a result, CPA legal counsel, Michael Richmond and Laura Brazil of MacMillan Vantage, submitted a response on the CPA’s behalf on September 18, 2020. The submission focused on the board’s duty to safeguard consumers in these transactions by ensuring upfront cost and price disclosures and by outlining and enforcing meaningful non-compliance penalties.

Specifically, the CPA’s submission to the OEB highlighted that:

• It is premature to grant blanket approvals of surcharges until Enbridge has a proven track record of implementing surcharges that do not harm customers and provide accurate project forecasts;
• If blanket surcharges are granted, the OEB should require prior approval of surcharges and marketing materials to ensure customers are not misled and forecasts are accurate;
• Maintaining project-specific oversight will allow the OEB input on any future issues that arise in community expansion projects; and
• Costs incurred by the CPA by participation in this process be paid by the OEB.

The CPA will continue to monitor OEB determinations on all natural gas expansion projects in the province and request that members forward any materials illustrating questionnable marketing practices in their communities to Ontario Government Relations Director Marcelline Riddell at marcellineriddell@propane.ca.