Competitor Sues Utility Over Mailings

ACN Energy, which serves aggregated natural-gas users in California, filed a lawsuit against Southern California Gas Co., accusing the Los Angeles-based utility of trying to limit competition by sending informational bills to customers that ACN contends are confusing and misleading. The lawsuit, filed in U.S. District Court in Los Angeles, asks that Southern California Gas be prevented from sending the materials to ACN customers and requests unspecified damages. A Southern California Gas spokeswoman said the company had not seen the lawsuit and could not comment, but noted that the utility has been required to send such informational mailings by the California Public Utilities Commission for several years. The mailings state that no money should be sent to Southern California Gas, she said. ACN, which also has filed a complaint with the PUC, contends that it lost hundreds of customers who were confused and thought that Southern California Gas, whose mailing covers distribution costs but uses the term “gas charges,” was a cheaper provider than ACN, whose bills cover gas and distribution costs.