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Rockaway fuel oil company Able Energy leaves N.J. customers fuming
By Dan Goldberg/For The Star-Ledger
February 17, 2010, 6:15AM
Fuel oil trucks are parked at Able's headquarters in Rockaway
Morris and Sussex residents are reporting that Able Energy, a residential and commercial oil service company, has stopped making its regular deliveries of home-heating oil, leaving many customers clamoring for answers.
Some have received as little as five gallons -- enough for about one day -- after repeated calls to Able. Others have not been so fortunate.
“We can’t get a hold of anyone,” said Betty Pearson, an Andover resident. “My husband and I are in our 70’s. We don’t need this extra worry.”
As of 2008, Able served approximately 16,000 customers in New Jersey, primarily in Morris and Sussex County. The Rockaway-based company served an additional 13,000 customers in New York and Pennsylvania, according to a report filed with the Securities and Exchange Commission.
Like others who have tried in vain to contact Able, the Pearsons turned to another oil company to provide them with a relatively quick fix.
“We were desperate,” Pearson said.
It has been a boon to surrounding businesses as several oil companies are now competing for former Able customers.
“There are a lot of oil dealers in the northwest part of the state who have picked up business because of Able’s inability to deliver to its customers,” said Eric DeGesero, executive director of the Fuel Merchants Association of New Jersey, an industry trade group, of which Able is not a member.
“It’s almost like a feeding frenzy right now,” said Charles Brand, President of Hart & Iliff, based in Newton.
Mark Fredericks, president of Fredericks Oil in Oak Ridge, said for the past two weeks he has been receiving approximately seven to 10 calls a day from Able customers like Rick Green who are as desperate for oil as they are angry at Able.
Green, who said he had been an Able customer for almost 20 years, never had a problem with service until this winter.
He said he would like to tell Able he is leaving but has not been able to speak with anyone directly, despite repeated attempts.
“If I could notify them that I severed my relationship, I would,” Green said, “but they won’t even answer the phone.”
At their office in Rockaway Tuesday morning, administrative staff could be heard on the phone apologizing to customers.
Neither Able CEO Gregory Frost nor company President Louis Aponte responded to calls seeking comment and customers said they have received no official explanation as to why their service stopped.
Able had incurred losses of approximately $12.9 million and $6.6 million during the years that ended June 30, 2008 and 2007, respectively, according to its most recent annual report filed with the SEC.
Able Energy suspended its obligation to file with the SEC in February 2009.
Last December, a group of minority shareholders, led by former owner Tim Harrington, attempted to oust the company’s board of directors.
Harrington, who sold the company in 2004, said shareholders were unhappy with the performance of current management after it “orchestrated a questionable merger with All American Plazas,” a truck stop company, “sold valuable assets, and became the subject of an SEC inquiry,”
The effort failed because Harrington did not have enough shareholder votes.
Jeff Fricchione, a Sparta resident and former Able customer who ran out of oil last week, said he is out hundreds of dollars for the up-front payments he made to Able.
DeGesero said he wasn’t sure to whom customers like Fricchione could file their complaint.
“To the best of my knowledge, it’s never happened,” DeGesero said. “Most oil companies have been operating for generations and have always been on the honor system.”
Pearson said she and her husband plan to send an angry letter to Able executives.
“They should at least have the respect or decency to contact their customers and let them know they’re having a problem.”
Related coverage:
• Shareholders for Rockaway heating-oil firm concede not having enough votes for takeover
• Shareholders fight for control of Rockaway home-heating oil firm Able Energy
• Former officials at Rockaway home-heating oil firm file wrongful termination suit
