[Donnye]

PUC rules that Cap Rock Energy must refund $1.2 million in refunds and a $339,228 penalty.Cap Rock Energy must refund $1,203,290 plus interest to its electric customers and pay a penalty of at least $339,228 as ordered by the Public Utility Commission (PUC).The Public Utility Commission found that Cap Rock Energy violated state law and PUC rules by collecting unauthorized residential late payment penalties and regulatory surcharges. From September 2003 through June 2004, Cap Rock charged a five percent late fee on 48,662 delinquent residential bills totaling $317,949.Also, between September 2003 and February 2004, Cap Rock collected $885,341 by imposing a rate designated as a “regulatory surcharge” on bills. The company did not file in its tariff a specific monthly rate or a formula for calculation of the monthly rate and the PUC did not authorize the surcharge.The order requires Cap Rock Energy to calculate the refunds plus interest due individual customers within a month. Refunds should begin in approximately two months. Any refunds due customers who cannot be located will be paid to the state’s general revenue fund.Cap Rock Energy is based in Midland and provides service to 28 Texas counties. From time to time an extra surcharge can be found in an unethical Retail Electric Providers bills. One popular thing they do right now is to take out some of the fees found in the Retail "Energy only" Electric rate and put those charges down under the TDSP (Transmission and Distribution Service Provider) section of the bill. The reason they do this is to make the Retail rate they quote their customers look better. It is only a matter of time until the PUC fines one of these Retail Electric Providers for doing this.