Michigan man's gas bill spikes after energy company promises big savings

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Customers be warned: Alternative energy companies may not save you money

One Romulus man found out the hard way the alternative energy company that promised to save him money on his gas bill instead led him to paying hundreds more in monthly fees.

One Romulus man signed up for an energy company that promised to lower his rates beyond what his gas provider was offering.

He ended up paying hundreds in additional costs - and now wants others to be aware of what he went through in hopes of helping save them from paying extra like he did.

Local perspective:

Thomas Maycock, 84, of Romulus, received a call from a company claiming they could lower his energy costs.

The woman on the other end of the line said they had a program that could lower his rates, asking if he would like to become a member. She added that he had to say yes, raising his suspicions.

So he said: "If you lower my gas bill, then I’ll agree to it. Otherwise I’m not saying yes," he recalled. "She said ‘well we can lower your gas bill where you can see the difference’."

Now, he's out more than $1,400 after paying several months of higher energy costs.

"I know when I'm getting ripped off," he said.

It took several bills before he realized the difference he was paying after signing up. One bill that originally was $76 from DTE came in at $224. The disparity only rose from there. 

"DTE gave me these prices today," he said. "Then they sent me a bill for $335 and it should’ve been $110.09. Then they sent me a bill for $326 and it should have been $102."

Big picture view:

Maycock said he would be calling his attorney, but he hoped to get his experience out in public to help save others. 

"This is a scam," he said.

According to DTE, "technically no, this is not a scam."

Rosana Laurain, who works at the utility, said the state of Michigan allows these kinds of services. However, Maycock's experience is not unusual. The state allows consumers to sign up with alternative energy companies - but their prices may be different than what the fine print says.

"For these alternative gas suppliers, they can make their offers, they’re not regulated and it's subject to whatever terms and conditions of the agreement that the customer signs," said Laurain.

But because the utility is still tasked with ensuring a home's gas is safe, the bill still comes from DTE.

What you can do:

DTE says it doesn't go door-to-door and doesn't call people to offer limited time discounts. 

And if anyone is confused by an offer, they're welcome to call DTE to double-check.

The Source: This story was reported with information from interviews with a consumer and a DTE representative. 

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