ST. LOUIS (CN) – AmerenUE misleads customers about its Pure Power program, under which customers can pay extra on their bill to help the company buy renewable energy, according to a class action in City Court.
Customers actually buy Renewable Energy Certificates, which help subsidize clean energy products, the suit states. AmerenUE buys the certificates through a third-party administrator named 3Degrees.
Named plaintiff Kevin Gaus says the power company doesn’t tell the truth about how much money is spent on administrative costs. Gaus claims he was told that $1 out of every $15 goes to administrative costs.
But while AmerenUE may retain only $1 for administration, less than half of the remaining $14 sent to 3Degrees is used to buy certificates, according to the complaint. The rest, Gaus says, is used to pay 3Degrees’ administrative costs.
The class consists of all AmerenUE customers who participated in the Pure Power program. Defendants are Union Electric Co. dba AmerenUE and Ameren Services Co. 3Degrees is not named as a defendant.
Gaus seeks class damages for violations of the Missouri Merchandising Practices Act and is represented by William Dowd.