North American Power

Caveat emptor–BUYER BEWARE!!  North American Power (NAP) is an electricity supply company headquartered in Connecticut.  The company is making an unprecedented, aggressive marketing push in Rhode Island, seeking customers to switch from National Grid to NAP.  NAP offers lower electricity rates than National Grid, so what’s not to like?  I received a marketing call from NAP yesterday and asked a lot of questions, some of which were not answered honestly.  The more I resisted signing up on the spot, the more aggressively they pushed.  Here are some details.

National Grid is a regulated utility, meaning its rates must be approved by the Public Utilities Commission (PUC) and stand for about six months.  National Grid was approved for a large rate increase for January through June, 2014.  National Grid must justify rate increases, this one due to the increased cost of fuel, primarily natural gas.  They may apply in May for rates from July through December.  The rate is high (8.884 cents/kWh).  So, what does NAP offer?  They say 7.490 cents/kWh, but only for the first month.  Then the rate may change.  The most they promised is to be less than National Grid through June.  After that, no guarantees.  I explicitly asked if NAP is regulated by the PUC and was told “yes,” which is not true.  NAP has been characterized as a bait-and-switch operation.  Here’s a sample of customer reviews:  2 good reviews followed by 8 very poor ones.  Further, NAP is not accredited by the Better Business Bureau (BBB).  Here’s the BBB’s rating of NAP, which indicates 172 customer complaints in RI for the past 12 months.  That’s a lot for a little state like RI!

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