Customer Disclosure Statement
Price: Variable Monthly
How variable price is determined. Gas Variable Price shall reflect each month the wholesale cost of natural gas (including commodity, capacity, storage and balancing), transportation to the Delivery Point, and other market-related factors, plus all applicable taxes, fees, charges or other assessments and Alpha’s costs, expenses and margins. Electric Variable Price shall each month reflect the cost of electricity obtained from all sources (including energy, capacity, settlement, ancillaries), related transmission and distribution charges and other market-related factors, plus all applicable taxes, fees, charges or other assessments and Alpha’s costs, expenses and margins.
Length of the agreement and end date. 1 month. For more details, see section 2-Term. Process customer may use to rescind the agreement without penalty. A residential customer may rescind by calling toll-free number within 3 business days of receipt of the sales agreement.
Amount of early termination fee and method of calculation. No early termination fee for variable service.
Amount of Late Payment Fee and method of calculation. 1.5% on overdue balances.
Provisions for renewal of the agreement. After initial term, unless otherwise agreed to, renews on a month to month basis
until terminated by either party. For more details, see section 2-Term.
Terms and Conditions
1. Agreement to Sell and Purchase Energy. This is an agreement between Alpha Gas and Electric, LLC.(“Alpha”), an independent energy services company, and the undersigned customer (“Customer”) under which Customer shall initiate natural gas and/or electricity service and begin enrollment with Alpha (the “Agreement”). Subject to the terms and conditions of this Agreement, Alpha agrees to sell and deliver, and Customer agrees to purchase and accept the quantity of natural gas and/or electricity, as estimated by Alpha, necessary to meet Customer’s requirements based upon consumption data obtained by Alpha or the delivery schedule of the Local Distribution Utility (the “LDC”). Alpha is not affiliated with and does not represent the LDC. The amount of natural gas and/or electricity supplied under this Agreement is subject to change based upon data reflecting Customer’s consumption obtained by Alpha or the LDC’s delivery schedule. The LDC will continue to deliver the natural gas and/or electricity supplied by Alpha.
2.Term. The Term is as set forth on the Customer Disclosure Statement. The Term shall commence as of the date of the first meter reading following when the change of Customer’s provider to Alpha is deemed effective by the LDC, and shall continue for the period designated in the Customer Disclosure Statement. The Term for the initial period is referred to as the “Initial Term”. Unless otherwise agreed to, upon completion of a 30 day Initial Term, this Agreement will renew on a month-to-month basis with a monthly variable rate methodology with no change to the remaining terms. (the “Renewal Term”). When receiving service on a month-to-month basis, either party may cancel or terminate this Agreement by providing 30 days’ advance written notice of termination to the other party.
Unless otherwise agreed to, upon completion of an Initial Term that exceeds 30 days, this Agreement will renew on a monthto-month basis with a monthly variable rate methodology with no change to the remaining terms (the “Renewal Term”). At least 30 days and no more than 60 days prior to the renewal date, Alpha will notify Customer in writing of the terms of renewal of this Agreement and of the Customer’s right to renew, reject or renegotiate this Agreement. Customer shall have 3 business days from receipt of the first billing statement of the Renewal Term to reject renewal terms and cancel the renewal agreement. While receiving service on a month-to-month basis, such notification will be provided only for the first renewal occurring at the end of the Initial term, and Customer or Alpha may cancel or terminate this Agreement by providing 30 days’ advance written notice of termination to the other party.
3. Pricing, Billing, and Termination. Unless otherwise agreed to in writing, the Price for services provided in this Agreement is set forth on the Customer Disclosure Statement.
For all Products with a Term of 30 days there is no Early Termination Fee (“ETF”).
For any Product where the Term exceeds 30 days, if usage in any month exceeds the level of usage in the same month in the previous year (“Base Load”) by ten percent or more, the Customer will be charged a variable price for all usage in excess of the Base Load and the agreed upon Rate for usage up to the Base Load. If the usage in any month falls by ten percent or more below the Base Load, the Customer will be charged the agreed upon rate for all usage and shall be charged for hedging, cash out costs, settlement or balancing costs related to the positive difference between the Base Load and actual consumption. If there is a material adverse change in the business or financial condition of Customer (as determined by Alpha at its discretion) or if Customer fails to meet its obligations under this Agreement or pay or post any required security deposit, then, in addition to any other remedies that it may have, Alpha may terminate this Agreement upon 15 days’ written notice to Customer. If Customer terminates this Agreement prior to the end of the Initial or Renewal Term or if Alpha terminates this Agreement due to Customer’s breach, the Customer shall pay Alpha , in addition to any other applicable charges, an ETF equivalent to the
multiplication of the (i) difference between the fixed price set forth in this Agreement and the calculation by Alpha of the fixed price at the date of termination; and (ii) the estimated volumes for the remainder of the Initial or Renewal Term, as applicable, using the actual volumes received by Customer for the prior 12 month period as the volumes used in determining damages. Notwithstanding the foregoing, for all residential customers and commercial customers solicited through door-to-door marketing, the early termination fee will be no greater than $100 if the remaining term is less than 12 months and $200 if the remaining term is 12 months or more.
Alpha will invoice Customer monthly for natural gas and/or electricity supplied under this Agreement, as measured by the LDC, and Customer will pay each invoice in full within 20 days of the invoice date or be subject to a late payment charge of 1.5% per month. The LDC will separately bill for, and Customer will be obligated to pay, all LDC delivery related rates and charges. Customer may receive a single bill for both commodity and delivery costs from either Alpha or the LDC, or each of the LDC and Alpha may invoice Customer separately. Customer payments remitted in response to a consolidated bill shall be pro-rated
(when so required) in accordance with procedures adopted by the New York State Department of Public Service (the “DPS”). Alpha may assign and sell Customer accounts receivable to the LDC. In the event of failure to remit payment when due by a residential customer, Alpha may terminate commodity service and seek suspension of distribution service in conformance with the Home Energy Fair Practices Act (“HEFPA”). Failure by a commercial customer to make full payment of Alpha charges due on any consolidated bill prepared by the LDC for Alpha will be grounds for disconnection of utility services in accordance with NYPSC rules and regulations on the termination of service to non-residential customers, 16 NYCRR Section 13.3. Customer shall be liable for all costs of collection including the late payment interest rate set forth in this Agreement, reasonable attorneys’ fees (if suit is filed) and reasonable collection agency fees. A $30 fee will be charged for all returned payments.
4. Assignment. Customer may not assign its interests in and delegate its obligations under this Agreement without the express written consent of Alpha. Alpha may sell, transfer, pledge, or assign the accounts, revenues, or proceeds hereof, in connection with any financing agreement or receivables purchase program, and may assign this Agreement to another energy supplier, energy services company or other entity as authorized by the DPS.
5. Information Release Authorization. Customer authorizes Alpha to obtain and review information regarding Customer’s credit history from credit reporting agencies and the following information from the LDC: consumption history; billing determinants; account number; credit information; public assistance status; existence of medical emergencies, status as to whether Customer has a medical emergency, is human needs, elderly, blind or disabled and data applicable to cold weather periods under PSL § 32 (3); and information pertaining to PSL § 33, tax status and eligibility for economic development or other incentives. This information may be used by Alpha to determine whether it will commence and/or continue to provide energy supply service to Customer and will not be disclosed to a third party unless required by law. Customer’s execution of this Agreement shall constitute authorization for the release of this information to Alpha. This authorization will remain in effect during the Initial Term and any Renewal Term. Customer may rescind this authorization at any time by providing written notice thereof to Alpha or by calling Alpha at 1.888.636.3749. Alpha reserves the right to cancel this Agreement in
the event Customer rescinds the authorization.
6. Consumer Protections. The services provided by Alpha to Customer are governed by the terms and conditions of this Agreement and HEFPA for residential customers. Alpha will provide at least 15 days’ notice prior to the cancellation of service to Customer. In the event of non-payment of any charges owed to Alpha, a residential Customer may be subject to termination of commodity service and the suspension of distribution service under procedures approved by the DPS. Customer may obtain additional information by contacting Alpha at 1.888.636.3749 or the DPS at 1-800-342-3377, or by writing to the DPS at: New York State Department of Public Service, Office of Consumer Services, Three Empire State Plaza, Albany, New York 12223, or through its website at: http://www.dps.state.ny.us. You may also contact the Department for inquiries regarding the competitive retail energy market at 1.888.697.7728.
7. Rescission. A residential Customer may rescind this Agreement within 3 business days after the signing or receipt of this Agreement, whichever comes first, by contacting Alpha at 1.888.636.3749 or in writing. Customer is liable for all Alpha charges until Customer returns to the LDC or goes to another supplier. A final bill will be rendered within twenty (20) days after the final scheduled meter reading or if access is unavailable, an estimate of consumption will be used in the final bill, which will be trued up subsequent to the final meter reading.
8. Agency-Gas. Customer hereby designates Alpha as agent to; (a) arrange and administer contracts and service agreements between Customer and Alpha and between the interstate pipeline transporters of Customer natural gas supplies; (b) nominate and schedule with the interstate pipeline the transportation of Customer’s natural gas supplies to the Delivery Point(s), and with the LDC for the transportation of the Customer’s natural gas supplies from the Delivery Point(s) to the Customer’s end-use premises; and (c) aggregate Customer’s natural gas supplies with such supplies of other customers served by Alpha to maintain qualification for LDC transportation service and resolve imbalances that may arise during the term of this Agreement. Alpha as agent for the Customer will schedule the delivery of adequate supplies of natural gas that meet the Customer’s city gate requirements as established by the LDC and in response to information provided by the LDC. Alpha agrees to arrange for the
transportation of the natural gas supplied under this Agreement from the Delivery Points to the Customer’s end-use premises. These services are provided on an arm’s length basis and market-based compensation is included in the price noted above.
Agency-Electric: Customer hereby designates Alpha as agent to; (a) arrange and administer contracts and service agreements between Customer and Alpha and those entities including the New York Independent System Operator (“NYISO”) engaged in the generation, transmission and delivery of Customer electricity supplies; and (b) nominate and schedule with the appropriate entities including the LDC for the delivery of electricity to the Delivery Point and the Customer’s end-use premises. Alpha as agent for the Customer will schedule the delivery of adequate supplies of electricity that meet the Customer’s requirements as established by the LDC and in response to information provided by the LDC. The Delivery Points for the electricity will be a point at the NYISO Alpha load bus (located outside of the municipality where Customer resides).These services are provided on an arm’s length basis and market-based compensation is included in the price noted above.
9. Title. Customer and Alpha agree that title to, control of, and risk of loss to the natural gas supplied by Alpha under this Agreement will transfer from Alpha to Customer at the Delivery Point(s).
10. Warranty. This Agreement, including any enrollment form and applicable attachments, as written makes up the entire Agreement between Customer and Alpha. Alpha makes no representations or warranties other than those expressly set forth in this Agreement, and Alpha expressly disclaims all other warranties, express or implied, including merchantability and fitness for a particular use.
11. Force Majeure. Alpha will make commercially reasonable efforts to provide natural gas and/or electricity hereunder but Alpha does not guarantee a continuous supply of natural gas and/or electricity to Customer. Certain causes and events out of the control of Alpha (“Force Majeure Events”) may result in interruptions in service. Alpha will not be liable for any such interruptions caused by a Force Majeure Event, and Alpha is not and shall not be liable for damages caused by Force Majeure Events. Force Majeure Events shall include acts of God, fire, flood, storm, terrorism, war, civil disturbance, acts of any governmental authority, accidents, strikes, labor disputes or problems, required maintenance work, inability to access the local distribution utility system, non-performance by the LDC (including, but not limited to, a facility outage on its gas distribution lines or electric facilities), or any other cause beyond Alpha’s control.
12. Liability. The remedy in any claim or suit by Customer against Alpha will be solely limited to direct actual damages (which will not exceed the amount of Customer’s single largest monthly invoice amount in the immediately preceding 12 months). All other remedies at law or in equity are hereby waived. In no event will either Alpha or Customer be liable for consequential, incidental, indirect, special or punitive damages. These limitations apply without regard to the cause of any liability or damages. There are no third-party beneficiaries to this Agreement.
13.Alpha Contact Information. Customer may contact Alpha’s Customer Service Center at 1.888.636.3749, Monday through Friday 9:00 a.m. – 4:00 p.m. EST (contact center hours subject to change). Customer may write to Alpha at: Alpha, 971 Route 45, Suite 202, Pomona, NY 10970.
14. Dispute Resolution (Residential). In the event of a billing dispute or a disagreement involving Alpha’s service hereunder, the parties will use their best efforts to resolve the dispute. Customer should contact Alpha by telephone or in writing as provided above. The dispute or complaint relating to a residential customer may be submitted by either party at any time to the DPS pursuant to its Complaint Handling Procedures (“Procedures”) or calling the DPS at 1.800.342.3377. Customer must pay the bill in full, except for the specific disputed amount, during the pendency of the dispute, and such payment shall be
refunded if warranted by the decision of DPS.
Dispute Resolution (Commercial). In the event of a billing dispute or disagreement involving Alpha’s service, Customer should contact Alpha’s Customer Service Center as provided above. Customer must pay the bill in full, except for the specific disputed amount, during the pendency of the dispute. If the parties cannot resolve the dispute within 45 days, either party may avail
itself of all remedies available under law or equity. The DPS will not resolve Non Residential disputes associated with the services provided under this Sales Agreement. However, the DPS will monitor inquiries and contacts from Non-Residential customers regarding energy service companies and an excessive number of confirmed complaints may result in an energy service company no longer being eligible to supply natural gas or electricity in New York State. The DPS Office of Consumer Services can be reached at: New York State Public Service Commission, Office of Consumer Services, Three Empire State Plaza, Albany, New York 12223; or by visiting www.dps.state.ny.us.
15.Choice of Laws. Venue for any lawsuit brought to enforce any term or condition of this Agreement or to construe the terms hereof shall lie exclusively in the State of New York. This Agreement shall be construed under and shall be governed by the laws of the State of New York without regard to the application of its conflicts of law principles.
16.Taxes and Laws. Except as otherwise provided in the Agreement or provided by law, all taxes of whatsoever kind, nature and description due and payable with respect to service provided under this Agreement, other than taxes based on Alpha’s net income, shall be paid by Customer, and Customer agrees to indemnify Alpha and hold Alpha harmless from and against any and all such taxes.
17.Regulatory Changes. This Agreement is subject to present and future legislation, orders, rules, regulations or decisions of a duly constituted governmental authority having jurisdiction over this Agreement or the services to be provided hereunder. If at some future date there is a change in any law, rule, regulation, tariff, or regulatory structure (“Regulatory Change”) which
impacts any term, condition or provision of this Agreement including, but not limited to price, Alpha shall have the right to modify this Agreement to reflect such Regulatory Change by providing 30 days’ written notice of such modification to the Customer.
18.Emergency Service. The LDC will continue to respond to leaks and emergencies. In the event of a gas leak, service interruption or other emergency, Customer should immediately call the LDC at Con Edison 1-800-75CONED; Orange and Rockland at 1.877.434.4100; KeySpan 718.643.4050 (NYC) and 1.800.490.0045 (Long Island); Niagara Mohawk at
1.800.892.2345; Central Hudson at 1.800.527.2714; RG&E at 1.800.743.1701; NYSEG at 1.800.527.2714; National Fuel at 1.800.444.3130 and emergency personnel.
19. Parties Bound. This Agreement is binding upon the parties hereto and their respective successors and legal assigns.
Customer and Alpha have caused this Agreement to be executed as of the date noted above on the first page of this Agreement, by individuals authorized to bind each party, and Customer has reviewed all of the terms herein.
In the case of telephonic or electronic enrollment execution shall be deemed provided pursuant to the methods authorized under the New York Uniform Business Practices.