Electricity Woes: Versant Power Ranks Poorly Again in 2023 J.D. Power Survey
Versant Power, a key utility provider in Maine, has once again found itself at the bottom of the J.D. Power 2023 Electric Utility Residential Customer Satisfaction Survey. This marks a continuing trend of dissatisfaction among its customers, as the company struggles to keep up with industry standards and customer expectations.
In 2022, Versant Power scored 617 out of a possible 1,000 points, placing it last among midsize utilities in the East Region. In 2023, they fell even further, scoring only 591 points. Last years score positions Versant as the third-worst utility nationwide, which seemed to continue in 2023. The survey, which encompasses feedback from January to November, indicates a persistent pattern of poor performance by Versant Power in customer satisfaction.
Central Maine Power (CMP), another major utility in Maine, similarly ranked last in its category, scoring only 607 points in 2022. Interestingly, only one utility company in the entire country, CenterPoint Energy with a score of 593, performed worse than CMP. These results highlight a broader issue of customer dissatisfaction within the utility sector in Maine.
Both Versant Power and CMP have been the subject of criticism over the years, particularly regarding their service quality and pricing strategies. Customers of both utilities are currently facing significant rate hikes, with CMP bills increasing by $29 per month and Versant bills by $24 per month. These increases, set by regulators, are on top of requested hikes in distribution rates by both companies.
This ongoing dissatisfaction has fueled a campaign by Our Power, an organization advocating for the replacement of CMP and Versant with a consumer-owned model, the Pine Tree Power Company. Our Power argues that without their protected monopolies, these companies would struggle to survive in a competitive business environment. The campaign emphasizes issues like frequent power outages, long durations without power, and high electricity rates under the current utilities.
The proposed Pine Tree Power Company aims to serve most municipalities in Maine, except for those already covered by consumer-owned utilities. This initiative was initially put forth in a bill passed by the legislature in 2021 but was vetoed by Gov. Janet Mills. Our Power has since pushed for a referendum in November 2023 to let Mainers decide on this significant change.
Proponents of the consumer-owned utility model argue that it would not only lower rates but also improve reliability by focusing on grid improvements rather than profits. Currently, CMP and Versant are investor-owned, profit-driven entities, with CMP owned by governments abroad and Versant by a Canadian company.
In response to the J.D. Power survey results, both CMP and Versant released statements. CMP’s president, Joe Purington, acknowledged the challenges posed by energy supply cost increases, while Versant emphasized its limited control over all aspects of electricity service. However, Seth Berry, a senior advisor to the Our Power campaign, pointed out that the survey was conducted largely before the 2023 rate hikes were announced, suggesting deeper-rooted issues with customer satisfaction.
This situation in Maine reflects a larger trend noted in the J.D. Power study, which shows a nationwide decrease in overall satisfaction among electric utility residential customers. Since 2022, the average utility bill has risen to $178+ per month, and many customers are unaware of these rate increases. John Hazen, from J.D. Power, highlights the need for utilities to communicate effectively about rate increases and to engage positively in the community to improve customer perceptions.
As Maine’s utility sector continues to face scrutiny, the outcome of the November 2023 referendum could signify a pivotal change in how electricity is provided and managed in the state. The dissatisfaction reflected in Versant Power’s ranking in the J.D. Power survey underscores the growing call for reform and a shift towards a more customer-centric, reliable, and affordable utility service.
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CMP, Versant once again ranked last in residential customer satisfaction survey – Maine Beacon
2023178b.JPG (720×960) (jdpower.com)
