ON HOLD: The 300% Markup

(this post updates one published earlier this afternoon)

Remember the good ol' days when a light bulb above the head meant someone had a good idea?

One has to wonder how that all changed in the executive offices at Akron-based FirstEnergy when it came to their program to unload millions of compact fluorescent light bulbs on consumers in what has to be one of the most expensive flip-a-switch programs of all time.

Breaking it down, the utility planned to "give" households across northeast Ohio a pair of the twisty bulbs to save energy. Unlike other power companies -- included next-door utility neighbor American Electric Power and fellow midwest utility XCEL Energy in Minnesota -- this program wasn't offering cost-saving coupons to spur us to buy more expensive bulbs to save power. FirstEnergy planned to have people going door-to-door carrying gift bags with bulbs and brochures extolling the virtues of the less-costly lights.

Except these really aren't less costly, at least not to you and me.

AEP's program -- ranging across multiple states -- offers a markdown program in partnership with bulb manufacturer and retailers, essentially allowing ratepayers to get the bulbs at a discount. Since they started the program in May, more than 700,000 have taken advantage of the discounts.

The bulbs -- which FirstEnergy admits cost them $3.50 apiece -- were to be paid for by consumers whether we want them or not, and instead of paying $7.00 for the pair we would be charged the equivalent of more than $21.00 over a three year period. The utility was tacking on the charge as a 60-cent add-on to your utility bill. A month. Over three years.

Did the Akron folks miss out on a utility conference where others shared?

Never mind you didn't get asked whether you want the light bulb.

Never mind if you are in the minority of people who reportedly get migraine headaches from the compact bulbs.

Never mind if it galls you to pay for bulbs you may or may not use.

Not only do you not have a choice on whether you are getting the bulbs, you don't have a choice on paying for them, either.

FirstEnergy's Mark Durbin earlier today told AkronNewsNow's Tina Kaufmann the utility was moving ahead with the program Monday regardless of what the Public Utilities Commission of Ohio said. Governor Strickland's objection to the contrary, they'd already made arrangements to hand-deliver millions of these bulbs to the doorsteps of people who didn't want to pay for something they didn't order -- whether it was subject to a 300% markup or not.

It would be on the bill; you have to pay it.

Less than an hour later, Durbin called back to tell us the bulb program has officially been put on hold.

I would have hated to be one of the souls unfortunate enough to have a job delivering these bulbs to residences where ratepayers may be actually home at the time. Would it surprise anyone if the welcome were hostile? Does anyone at FirstEnergy's executive suite live in a world where the word "trespass" comes to mind?

This is basic mail order 101: if I get something delivered to me I didn't order, I can refuse it. I can refuse to pay for it. What makes this different other than the fact the PUCO originally gave it's OK to a program without first checking to see whether it passed a common sense sniff test.

Mother Nature needs the help, environmentalists say, and utility companies have to help shoulder the burden by reducing electric use even as we pay more for fewer kilowatts. But I find it hard to believe even the most hard-shell greenie thinks making people pay $21 for what costs them $7 makes sense.

Based on today's quick turnaround, maybe common sense is exactly what arrived unordered at FirstEnergy's offices. And they didn't even have to pay for it, unless you count a public relations black eye as payment.