March 7, 2008 admin

Riverway Power Electric Company

June 6th 2008 Riverway files for Bankruptcy! 4 Electric Providers Gone this Summer

Riverway over the last few months sold electric prices way below the market price most energy providers in Texas were pricing at. The prices looked a little too good to be true and sure enough all they were doing is buying their electricity on the MCPE market without hedging their investment and selling it as a fixed rate. Riverway was a provider just like National Power who tried to pass the loss in investment when rates went up to their fixed rate customers. The point to a fixed rate is that you are buying hedged energy that cannot go up. Riverway was selling unhedged energy and like rolling the dice that the market would not go upside down on them, they lost that bet. The PUCT would not let them pass on the cost to the customer and they had to eat that loss. Like 3 other electric companies that went out of business under similar circumstances, Riverway Power is another down by bad risk management.

Riverway Power is also known as Sure Electric, LLC and is a retail electric provider operating in Houston Texas. The electric company is managed by seasoned Texas electric company professionals who have been a part of the deregulation process in Texas since 2002. Riverway Power is working to expand beyond Texas to 17 other deregulated states throughout the United States.

Update on Riverway Power Electric Provider

James wrote in that Riverway Power recently canceled his 1 year fixed electric rate contract due to natural gas price increases. Many do not know this but most of the electricity in Texas is generated using natural gas. When a Texas electric company like Riverway Power buys your energy they buy the commodity natural gas. If they do not buy and hedge the commodities they sell as electricity carefully, they have to cancel their energy agreements or go bankrupt. If your energy contract was not honored with Riverway Power please feel free to let us know by commenting below so we can warn others.

Monty wrote on April 19th, 2008 at 11:47 am about Riverway Power, “They just canceled my contract. This was very upsetting as it is a pain in the rear to switch power providers and then they pull a bait and switch on you.”

What Should I Do, I No Longer Have an Electric Company?

If you were a Riverway Power customer you have been switched to the POLR company or the Provider of Last Resort. This is a back up plan where the Texas state government moves you to a new provider so you will not be without service. The POLR rate is very high, somewhere around 22 – 30 cents kWh depending on your location. You want to pick a competitive Texas electric provider ASAP! We have some discount 12 month fixed rate offers below. Bounce Energy has several different fixed rate plans in our comparison chart and Trieagle Energy follows close by and has several different fixed rate terms. Both of these Texas Power companies are reputable electric companies with no danger of going out of business. Bounce Energy has the cheapest available electric rates at this time.

Low Cost Texas Electric Providers

For Low Cost Residential Electricity with a solid reputable electric provider in Texas we recommend Bounce Energy. Sign up with Bounce on their discounted fixed electric rate in the chart above, that will not change for the entire term of the contract.

Bounce Sign up form is in the compare tool above. Start by entering your zip code

If you live in or around the Houston area you will find the best electric rate with Bounce Energy – Learn More Above!

Riverway Electric Company

Riverway Power boasts that their company is set a part from the other Texas electric providers because of their 360 degree customer focus approach. Lousy customer service is something Riverway Power works to avoid however many new electric providers get it wrong when it comes to billing their customers correctly and staying in business for the long term. As of recently they have put a huge ding on their reputation by not honoring low cost 12 month fixed electric rate contracts they were selling Texas consumers at around 11.1 cents kWh. A few more years will tell if Riverway Power will be here for the long haul or will be like many new comers that have come into Texas to do business only to leave due to a failed billing system and or unprofitable sales from bad energy trading and hedging policies within their risk management departments.

The most likely reason for Riverway Power raising their customers fixed rate electric contracts is because of not hedging their energy correctly. Most people who are familiar with Riverway Power from this incident will never trust that their fixed rate residential electric rate product is truly fixed. If I was in the shoes of James or Monty who had their fixed rate electric contract cancelled on them I would now consider any rate Riverway offers as a variable electric rate.

We sincerely hope Riverway Power will be a success story but with any new Texas electric provider these issues are always a worry and so it is good to take a cautious look when picking an energy company. If you are a commercial business or residential home and you lock in at a low rate you want to feel confident that they will not leave the state with a broken electric agreement. This would leave you with the new job of finding a different electric provider at a higher market rate. We are not saying stay away from Riverway Power but you do need to be careful with new electric providers.

Contact info for Riverway Power

You can reach Riverway Power electric company at this number: 866-321-1520. After the April 2008 incident of the adjustment in what was a fixed electric rate contract many people have called Electricity Bid explaining that they haven’t been able to reach Riverway Power.

How to File a Complaint

If you believe you have been sold a bait and switch as described in the Deceptive Trade Practices Act you may wish to file a formal complaint with the Texas attorney general Greg Abbott: Complaint Form

To file a complaint with the Public Utility Commission of Texas click here: PUCT Complaint Form

Other Electric Companies Following in Riverway’s Footsteps

Prebuy Electric and National Power Company have both had issue with not hedging their energy properly. Now that fuel costs are so high they are left eating their loss or passing this on as a higher electric rate to their customers. Prebuy Electric Company has filed for bankruptcy today and National Power Company attempted to raise their customers electric rates from around 11 cents kWh to 15 cents kWh even though the rate was supposed to be locked anywhere from 6 months to 18 months depending on the monthly term they signed up for. As of June 16th several customers of a well known provider, Dynowatt, have also been complaining that they too have had their fixed electric rate broken by Dynowatt Energy. After calling Dynowatt to confirm this is not actually true. These Dynowatt customers were on a variable electric rate or just coming off their fixed rate contract. The list of electric companies affected by the volatile summer energy market in Texas has grown to over 6 providers. Some are wondering if Dynowatt will go out of business like Riverway and National Power.

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About the Author

admin Donny started ElectricityBid.com back in 2007 from his parents basement and has since married his wife Melody and had three sons, John Adam (7) and Noah (4) and our new 20 month old son. He enjoys tech related things, softball, kickboxing, going to the gym, excursions and activities together with his wife Melody. Our service allows you to shop and compare commercial and residential electric rates and providers. Would you take the time today to try our service and see how you like it. Thank you! and God Bless You!

Comments (38)

  1. EnergyHawk

    Customer Service and Payment Processing are in Bangalore,India!!!

    Pray your bill is correct…

    —–Press Release—-
    Riverway Power Chooses Amvensys Technologies to be a Strategic Partner in Outsourced Services

    Released on = July 25, 2007, 4:14 am

    Press Release Author = Sunil Kumar

    Industry = Energy

    Press Release Summary = Amvensys Technologies today announced that it has been
    chosen by Riverway Power Company, Texas leader in low cost power, as its outsourcing
    partner. Amvensys Technologies will establish & manage a 24/7 back office for
    Riverway Power out of its Bangalore office. The entire project has been divided into
    3 phases and is expected to be completed by year end.

    Press Release Body = Amvensys Technologies today announced that it has been chosen
    by Riverway Power Company, Texas leader in low cost power, as its outsourcing
    partner. Amvensys Technologies will establish & manage a 24/7 back office for
    Riverway Power out of its Bangalore office. The entire project has been divided into
    3 phases and is expected to be completed by year end.

    Amvensys Technologies’s work begins immediately on several Riverway Power projects
    in customer management through a combination of BPO, call center and transaction
    processing capabilities that are critical to the company’s shift towards lowering
    operational costs by 30% in FY 07-08.

    “We are honored that Riverway Power recognized our unique model for small & medium
    players in Texas Energy Industry and engaged us to support many of the components of
    its visionary outsourcing initiative,” said Sunil Kumar, VP (Operations) for
    Amvensys Technologies. “We look forward to beginning our work and are excited about
    helping RPC realize its vision to be not only the largest, but also the most
    efficient, productive and highest quality electric service provider in the state of
    Texas.”

    According to Dwight Berry, Riverway Power’s CEO, “Outsourcing back office processes
    is a step in the right direction for small & medium players as it represents a
    significant portion of their operational costs, Amvensys Technologies will assist us
    in deploying key 24/7 systems, processes & personnel making us stronger for the
    future.”

    Amvensys Technologies has pioneered a unique but simple outsourcing model that
    directs the transformational outsourcing initiatives – and increased shareholder
    value – for companies in Energy retailing markets.

    “We understand that Riverway Power wants sustained, ongoing value – continual
    benefit over the long term that is achievable. This is about innovation and
    redefining processes and technology to deliver sustained value to Riverway’s
    customers & stakeholders,” said Ed Lateef, Managing Director of Amvensys
    Technologies. “The Riverway assignment again validates that Amvensys Technologies
    is uniquely able to deliver the kind of value companies seek from BPO suppliers.
    This, our latest success, will continue to fuel Amvensys Technologies’s ongoing
    progress and growth.”

    About the Amvensys Technologies

    Amvensys is at the forefront of Business Process Outsourcing for Small & Medium
    Business in US Energy sector. The bouquet of outsourcing services offered has sound
    foundation and result of the extensive transatlantic experience of the senior
    management team spanning over 20 years in Investment Banking, Healthcare and Energy
    Utilities. Through commitment to mutual success and the achievement of tangible
    value, the company helps businesses implement growth strategies, leverage
    technology, and thrive through the power of collaboration.

  2. Jim Smithies

    Any users on here use Riverway Power? I am thinking about switching my electric service in Texas and this provider I have never heard of before.

    I looked over their terms and conditions in the energy contract and it says the electric provider is Sure Electric, LLC, dba Riverway Power. I googled Sure Electric and found their filing document with the Texas Public Utilities Commission (PUCT). It shows the main contact and requestor as name@sure-electric.com. I went to http://www.sure-electric.com and it's a learning achievement site not a Texas electric company? There isn't a Better Business Bureau record on Sure Electric or Riverway Power. The only record for Riverway Power on the BBB shows the company has been known of since 12/07.

    This electric company seems like a very fly-by-night energy provider so I thought my fellow consumers might no something I don't.

    Thanks electric consumers

  3. James

    They canceled my 1 year agreement due to natural gas price increases so be careful.

  4. Troy L Schmidt

    We have called over 7 times for someone to return our call. We want to sign up for your energy. Please call or e-mail us back!

  5. monty

    They just canceled my contract. This was very upsetting as it is a pain in the rear to switch power providers and then they pull a "bait and switch" on you. However, they stated they will provide power at the new term of 12.5 cents per KWH, significantly higher than the agreed contract. I filed a complaint with the BBB.

  6. Barbara

    I went with Riverway in April; I never received a contract from them. Finally went on line; got some info on chat line, acct#, etc. After reading all of the above i got into the live chat and; a guy called Steve says that everything is fine; they will honor contracts. You can't get into their website. I'm really worried if they switched rates on me, isn't that a good reason to cancel your contract with them? I never received a letter cancelling my rate. Please help!

  7. Well, if they said everything is fine then they may have you at the rate you locked in at. Do you remember what rate you locked in at? Some people who locked in at 11.1 cents kWh for a year got bumped up to 12.5 cents kWh from what I heard. You may have barely missed that.

  8. Mustaffa

    The Public Utility Commission of Texas (PUCT) requires 45 notice of a change in a residential customers prices on a fixed contract. Their Terms of Service on their web site should state that. If you cannot get on their Web site then I would find another provider and also file a complaint on-line with PUCT ASAP. PUCT Complaint Form

    Texas Attorney General : Deceptive Trade Practices: Complaint Form

  9. Upset in Katy

    We signed up for a 12 month fixed rate contract of 11.4 with Riverway in April and they have yet to start (honor) our contract. I just called the India Call center where they informed me the computer program to accept new customers is down and will not be back up for at least two weeks. In the mean time we are paying our old (current) company at a high rate. What is the average citizen to do? It is very frustrasing.

  10. Elizabeth

    After reading this, I immediately contacted Riverway Power via chat. BTW-I noticed they are no longer on the PowerToChoose website. I hope they don't go under . . .

    I've tried their phone service before and everything is scripted. Here is the copy and paste of some of the chat.

    5/15/08 2:36pm

    Elizabeth:
    I was reading that Riverway Power has cancelled some long-term contracts and I would like to check on the status of my account.
    Shirley:
    Hello Elizabeth.
    Elizabeth:
    hello
    Shirley:
    I would be glad to help you with.
    Elizabeth:
    Account #XXXXXX
    Shirley:
    There is nothing like, we cancelled long-term contracts.
    Shirley:
    May I have your complete name as in the application please.
    Shirley:
    Thank you.
    Elizabeth:
    Sure. It's XXXXX
    Shirley:
    Your service has been started on 04/04/08.
    Elizabeth:
    Is the rate still at .11/kw?
    Shirley:
    That is correct. your rate is 11cents/kWh.
    Elizabeth:
    I was just wondering if the rate has changed since my receiving the bill.
    Shirley:
    Your rate would remain 11cents/kWh for 12 months.
    Shirley:
    Would there be anything else I may help you with.
    Elizabeth:
    No. I believe my questions have been answered.
    Elizabeth:
    My main concern was that my rate would NOT be changed.
    Shirley:
    Your rate will remain 11cents/kWh fixed for 12 months.
    Elizabeth:
    Thank you very much for all your help.

  11. Tyler

    Signed up a month ago for a 12.5 cent/kWh rate for a new house. After providing Riverway with our ESIID we assumed everything was fine. The power went out this morning and we found out Riverway never activated our account. We called multiple times to the call center and we were told that the computers were down and management was not available. Finally around 3:00 we were told that we should find another provider for the next couple of months and then come back at the 12.5 cent/kWh rate. Since they told us this after 2PM we are unable to get power till tomorrow and we must pay a $49 activation fee. Save your breath – look for someone else – I plan on calling BBB.

  12. ANGRY IN MO CITY

    WARNING!!!!! Received two bills from Riverway power thus far for service started in Feb 2008. First bill, paid with echeck, end of March, no problems. Second bill, paid with echeck on 5-3-08 and RWP never received money. Received call and letter from RWP stating that they were gonna shut off electricity. To be safe than sorry, I paid pay bill AGAIN with credit card. Rep from RWP stated that my account will be credited and go towards next month bill when echeck money is received. Money for second bill came out of my checking account on 5-6-08 via echeck. RWP still has no record of it (today is 5-17-08). My bank now is investigating. Husband emailed CEO of RWP. Never received response from him. Every time I call, RWP reps claim their systems have been down for 2 weeks (this length changes everytime I call by the way). Ronnie (call center assistant to the supervisor) was supposed to call me back today with information. Never did. Cindy is supposed to call me back on Monday (we will see). Valerie is her boss and is not available right now, of course. Cindy was very resilient to even share her boss's name with me. Everything in call center in India is very suspicous and sounds extremely scripted. Numerous complaints on BBB site which I can't even open for RWP right now (which I presume is from overload of other people trying to make complaints.) I WOULD NOT GO WITH THIS COMPANY. STAY AWAY!!!! Better to pay more than to lose money all together!!!

  13. Riverway Customer

    I called Riverway and was informed that I can go ahead and switch with no termination fees.

  14. dalepa

    What's going on here? I signed up back in April 9th Month Auto Pay Fixed Price Plan: 12.2¢/KWH

    The web site still says "Your application is currently PROCESSED- SENT TO ERCOT"

    The current 12 months rates are .17 and monthly rates are now at .22

    AM I screwed?

  15. Riverway Customer

    dalepa,

    I am in a similar boat like you. I signed up on 4/23 for the 1 year fixed rate of 13.4¢/KWH.

    The website shows the same message of “Your application is currently PROCESSED- SENT TO ERCOT”.

    I was supposed to be switched to Riverway on 6/6.

    I just called Reliant and signed up with them for their 24 months paln (13.95¢/KWH till 10/31/2008 then 15.5¢/KWH). I requested an off-cycle switch which would allow me to be connected to Reliant on 6/25. However I have no idea who will bill me for the time period between 6/6 and 6/25!! The last bill from my old provider does not show "final bill" on it so I guess the order has not been processed by ERCOT. However, Riverway cliams that I am their customer since 6/6.. Will see.

  16. Monty

    I signed up for Riverway back in April and was switched to them on May 25th. I received the bankruptcy notice before I received my first bill! I contacted the via the on-line chat and 'Shirley' said I could switch without penalty, even though I had a 12-month contract.

    So as not to leave my provider fate to chance or to the courts, I called Reliant and switched to them. They offer a .1422 until 10/31/2008 (covers the summer months) then .1580 for the rest of the 24 month term.

    I did the mid-cycle switch for $6 and will be a Reliant customer on 6/26. I have no idea what my bill from Riverway is going to be. I signed up for an .118 rate for the 12 months but who knows what they will determine needs to be invoiced. Hopefully they will honor the contract for the one month. A man can dream.

  17. Jeff

    This company is seeking bankruptcy protection from their current customers. The hearing is tomorrow (June 10). They are seeking a motion to reject executory contracts.

    DO NOT USE THIS COMPANY. They are enticing customers with artificially low rates and then attempting to play the comoodities markets at which they are obviously a failure. AVOID this company as you would avoid the Avian Bird Flu.

    When I called them and asked them about the motion, they said I could "seek a refund of my deposit from the Bankruptcy court". They also assured me they are not liquidating. If I can help it, they will.

    Deregulation, like bunjee-jumping sounds fun – but it rarely, if ever works.

  18. Scott

    I don't get it. I signed up for residential service starting 5/21. Now less than 2 weeks into it I get a Reorganization notice?? Just because they can't hedge properly I am getting screwed? WTF. This is so ridiculous. All of the current 12 month rates on powertochoose.com start at 15.5 cents. UGH. I think ERCOT should stick up for the little people and have them honor those contracts. RIDICULOUS!

  19. One Contractee

    I am one of the 4978 recent contractees that Riverway now wants to cancel via court motion. (They claim to have 6500 customers total). Got the bankruptcy paperwork in the mail today. If motion(s)are denied and Riverway goes belly-up, then ERCOT will just reassign me automatically, so I better get shopping.

  20. Ecomike

    Time to replace the "free market" deregulation plan with what we once had, since it worked. But it may take replacing the Republicans in office first!

    Or we could all just just spend tons of money we don't have getting off the grid, or buy lots of Iced tea, turn off the power and sweat it out while the REPS wonder what happened to all their customers.

  21. txcruiser

    I got switched from Riverway to Gexa (12 month fixed / 14.9 kwh after including the monthly fee) It's $18 to get switched over quickly… I'm confirmed for a swithover date of THIS FRIDAY … June 13Th… I'm happy

  22. marsha

    I would like to speak to each and every one of you. I am a marketing Consultant for Ambit Energy as I am a customer as well. so please let me help you with your future services. you can reach me a marsha@itsaboutfaith.net. I will give a presentation will all the important informations you need and answer any questions you may have.

  23. marsha

    I did not realize they would post my contact information I would love for you to call me. I can have your service turned on in 3 days if you are asking for pricing we always have specials right now it is 12.49 cents. if you want to speak with me please email with your number at marsha@itsaboutfaith.net

  24. I am an attorney currently prosecuting these cases in TExas civil district court. Please call to discuss.

    Regards,

    Scott Kinsel
    512.499.8900

  25. Kris

    I'm a former National Power Company consumer who was sold to Amigo Energy. Just as an FYI to everyone I have been getting calls from a collections agency called Amvesys which is a "strategic partner" of Riverway Power. Their address is the same. If you've been getting calls from either of these companies contact the Attorney General of Texas and file complaints with Office for Consumer Protection. If you go onto the AG's website you should find a form called Consumer Complaint Form. Put all the info down about Amvensys or Riverway Power that you can and file a complaint with the AG. If enough of us file complaints on both of them the AG will take action against Amvensys. Here's the AG's site http://www.oag.state.tx.us/ and go to Consumer Protection.

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