8:27am

Tue August 12, 2008
WESM Local/Regional News

Utility to pay $55,000 to settle complaint

DOVER, Del. (AP) – Chesapeake Utilities has agreed to pay $55,000 to settle a complaint that it improperly shut off natural gas service to customers during freezing weather.

The Public Service Commission staff signed off on the settlement after an evidentiary hearing Monday morning. The settlement still must be approved by the commission itself.

The complaint was filed in January, alleging that Chesapeake cut off service to one or more customers without proper notice, and on days when the 8 a.m. temperature fell below freezing.

PSC rules prohibit a utility from disconnecting service when the morning temperature is below 32 degrees.

Bruce Burcat, executive director of the PSC, said the complaint involved about 10 Chesapeake customers whose service was cut off late last winter.

In response to the complaint, Chesapeake claimed it was entitled to cut off service at any time if a customer responded to a termination notice with a check that bounced.

The utility nevertheless agreed to settle the matter by making $55,000 in energy assistance contributions to Catholic Charities.

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