Energy Action is an energy procurement and reporting company that sneakily bundles in an expensive power metering contract with your electricity contract.

The catch is that they make sure the metering contract extends well beyond your electricity contract effectively preventing you from shopping around, and threatening a termination fee in the thousands!

At the start when they contact you they will say they can save you large amounts on your electricity bill, that they take their customers electricity needs to a dutch auction and get the lowest price from competing retailers. They never explicitly mention that they are also sneaking in a daily power metering fee (approximately $5 per day) and place a schedule at the back of contract which commits the customer to the daily metering fee (for a completely worthless and unnecessary service) up to 5 years beyond the life of the energy contract. Hey Energy Action, why not just make the metering contract for 100 years!

When I wanted to leave they threatened early termination fees of between $5,500 and $12,000. When I mentioned this tactic in passing to an energy retailer today, the guy laughed because apparently this scam is a standard tactic – Energy Action’s entire business model is around tricking customers into lengthy metering contracts and keeping them chained to their useless service under pain of early termination fee.

I thought business was about creating happy customers and generating word of mouth. Not with Energy Action, once they have their claws in you they don’t let go and it will cost you thousands.

Don’t use Energy Action! They will burn you too.

Russell Egan