Quinn signs regulations for alternative gas suppliers

Gov. Pat Quinn signed legislation Friday designed to protect Illinois residents from misleading business practices of dishonest alternative gas suppliers.

"The protection of everyday consumers is vitally important," said Quinn. "This law will allow state regulators to keep a closer watch on companies that want to take advantage of our citizens."

With the rising cost of natural gas, many Illinoisans have switch to companies promising lower rates.

The new law prohibits alternative natural gas companies from using misleading marketing campaigns to lure customers. The law also allows consumers to cancel a service agreement within 10 business days after the first bill.

A $50 maximum also is established for termination fees to citizens, and the law prohibits unauthorized switching of gas suppliers without the consumer's permission.

Attorney General Lisa Madigan assisted lawmakers in writing the legislation in response to consumer complaints that some alternative gas suppliers did not provide the savings they promised.

The Illinois Commerce Commission can impose stiff fines or even stop companies from doing business if they violate the new law.

A Nicor spokeswoman said the company, a traditional supplier of natural gas for most of northern Illinois, supports the legislation.

"The way the alternative gas supplier works allows customers to choose," said Annette Martinez, spokeswoman for Nicor. "As a regulated utility, we do not charge a markup. We always think it is a good thing when customers make an informed decision and this is a step in the right direction."