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Natural Gas and Fixed Price Contract
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Author:  gcpeart [ Mon May 02, 2005 10:43 am ]
Post subject:  Natural Gas and Fixed Price Contract

I'm new to this whole "home ownership" thing, and so when I was accosted by some canvassers this weekend about natural gas, I was a little unprepared for there sales pitch. So can some one please explain to me what the deal is? From what I gathered from the individuals I pay (via my gas bill) company X for my gas, instead of union gas. They guarantee a set price for 4 or 5 years, after which I can resign at a new rate, or go it alone with the gas company. Everything looks on the level, and the only way I could get hosed is if the price of gas goes down (which seems unlikely.) I was feeling okay with it after the first person came by, but then I got bugged again by someone from the same company, but much shiftier in character. So is this some sort of scam, or is it on the level. Is it worth doing? Any advice would be great!

Thanks

Author:  Rick Di Lorenzo [ Mon May 02, 2005 2:40 pm ]
Post subject:  Re: Natural Gas and Fixed Price Contract

Ahh...the joys of natural gas canvasser's knocking on your door. I can tell you some horror stories we've had with them which took us several months to resolve (but won't cause it's too long a story).

Look at http://www.energyshop.com/es/prices/ON/gasON.cfm?ldc_id=4&

I believe this URL is the one for Milton (At least when I enter L9T 6V9 postal code this comparison comes up).

If some people are already on mid way, or at the start of an existing fixed contract with a gas distributor (in this case say Direct Energy) I checked and you can move/port that contract over to your new home if you want to. We're going to do this because we're already in a 28.9 cent contract with Direct Energy so want to keep that when we move to Milton. Because right now (if you sign up today) all the contracts are starting above 30 cents I think.

Author:  BuildingHomes.ca [ Mon May 02, 2005 7:26 pm ]
Post subject: 

Got a camera phone? Answer the door and take a picture of them and their badge. Tell them next time they come around they run the risk of being charged with trespassing.

They tend to share this story with their friends.. After getting 5 or them they stopped coming around after that.

Same with the assholes from ADT. They are the second worst.

My favourite line was "I'm not a sales person, I'm a security consultant"

Author:  Derek&Ruvani [ Mon May 02, 2005 8:07 pm ]
Post subject: 

That's funny, I think the ADT ones are some of the worst out there. They come to the front door, notice the ADT stickers all over the windows at the front, and still try to sell you an Alarm system !

I think I will try your suggestion next time :)

Author:  gcpeart [ Wed May 04, 2005 8:40 am ]
Post subject:  Re: Natural Gas and Fixed Price Contract

Rick wrote:


Of the companies listed here are their any with less deplorable marketing practice, or at least some air of reliability / trust worthiness?

Author:  Rick Di Lorenzo [ Wed May 04, 2005 2:01 pm ]
Post subject:  Re: Natural Gas and Fixed Price Contract

gcpeart wrote:
Rick wrote:


Of the companies listed here are their any with less deplorable marketing practice, or at least some air of reliability / trust worthiness?


I've only ever had experience with Direct Energy Essential Home services. The service has been difficult at times. I've learned to keep records of phone calls (i.e. day/time/who I spoke to, what was said) and also keep track of all correspondance they send me, and I keep a folder of all past bills. I needed that info the 2 times that they made a mistake that I had to dispute.

First was maybe 7 years ago. I signed up for a 5 year fixed contract at around 16 cents (by a canvasser that came to my door) with Direct Energy. After 1 year into my 5 year contract, for reasons unknown another Direct Energy person came to my door, we spoke awhile and he asked to sign to confirm I wanted to keep my existing 5 year contract. It didn't make much sense to me, sounded dumb since a contract is a contract so why do I need to confirm I'm still on it? I signed it..... I don't always take a close look at each gas bill....so about 6 months passed until I noticed that my gas bill had suddenly doubled in price, to about 30 cents. Turns out I had signed up for a "new" 5 year contract at 30 cents, and Direct Energy graciously voided my existing 5 year 16 cent contract. It took a looooong time (about 6 more months) to fix it back to my 16 cents. Then took an even longer time to get the 1 year of over-charging money they've been stiffing me for back. The whole time (1 year in length) I was forced to pay the about double-in price gas bills or else Enbridge would chase after me (enbridge collected the money on behalf of Direct Energy...Enbridge didn't care that Direct was overcharging, that wasn't there problem). At the end I probably spent between 8 to 10 hours on phone calls over the year with them, and several letters back and forth.

Second was maybe 2 years ago, when my 5 year contract expired, and I signed up for another 5 years, they screwed up and put me on their 1 year contract by mistake (which had a really crappy rate), took 3 to 4 months to correct that.

Now, even today, I'm still getting direct mail from them asking if I want to sign up for a fixed gas contract. I'm already on a 5 year contract with them....so why are they still soliciating me?

All that said, they still had the best rates at the time. But in the next few years, when my existing contract expires, if the other suppliers are even close in price, I'll probably take a chance and leave.

But they also don't make it easy to leave..When your contract expires you have a short "window" of opportunity to mail them (and make sure you send it registered mail) to cancel the "automatic" renewal they will do for 1 year if you don't say anything.

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