An investigation into the practices of Summit Utilities is underway, and Attorney General Tim Griffin requested Friday that the Arkansas Public Service Commission order the gas company to “refrain from disconnecting customers or charging late fees” until the investigation is over, or until enough information is found to set a resumption date.
Summit Utilities bought the assets of CenterPoint Energy in 2022, but it did not fully handle all operations until November. During the transition period when Summit gained full control, customers started to report monthly bills that were in some cases triple their average. Summit Utilities was accused of price gouging and bad practices.
In February, a Summit Utilities executive met with the Little Rock Board of Directors and explained that the expensive bills were because of harsh winter weather, an increased use of gas and the overall high price of natural gas in the country.
Thousands of customers filed complaints with Griffin’s office and the Public Service Commission. A class action lawsuit was also filed against the gas company, but it was dismissed in March so the Public Service Commission could properly act first. An investigation into Summit’s billing practices and natural gas costs started on March 20.
Summit Utilities recently announced its intent to resume normal collection activities, which would include late fees and disconnections for nonpayment, in July 2023. (Customers who also use Central Arkansas Water will be hit with the first rate increase of a 10-year plan in July.)
Griffin said the proposed time frame is “premature” while the investigation is active. “It is too soon to reinstitute late fees and shutoffs based upon what we know at this time,” he said in a statement.