Exhibit 99.12

                                    EXHIBIT I

                               AMENDMENT NO. 1 TO
                AGREEMENT NOT TO ENGAGE IN PROHIBITED ACTIVITIES

          This Amendment No. 1 to Agreement not to Engage in Prohibited
Activities (this "Amendment") is entered into as of November 17, 2005 by and
among by and among Commerce Energy, Inc., formerly known as Commonwealth Energy
Corporation ("Commonwealth"), Commerce Energy Group, Inc. ("CEG," and together
with Commonwealth, the "Company") and Richard L. Boughrum, an individual (the
"Executive") (hereinafter collectively referred to as "the parties").

                                    RECITALS

     WHEREAS, the parties desire to amend the Agreement Not to Engage in
Prohibited Activities, dated as of October 8, 2005 (the "Agreement"), by and
among Commonwealth, CEG and Executive, pursuant to the terms set forth herein;

     NOW, THEREFORE, for good and valuable consideration, the receipt and
sufficiency of which is hereby acknowledged, the parties hereto agree as
follows:

                                    AGREEMENT

1.   Section 1 of the Agreement is hereby amended and restated in its entirety
     as follows:

          Employee herby voluntarily elects and agrees not to engage in
     Prohibited Activities (as defined in Amendment No. 1 to Executive
     Employment Agreement by and among CEG, Commonwealth and Executive) for a
     period ending on April 9, 2006.

2.   No other provisions of the Agreement are affected by this Amendment.

3.   If the Executive exercises his right to revoke Sections 5, 11 and 13 of the
     Settlement Agreement and General Release (the "Settlement Agreement") by
     and between the Executive, Commerce and CEG, dated November 17, 2005,
     pursuant to Section 14(c) thereof, which exercise must be effected by a
     writing signed by the Executive and delivered to CEG's Chief Executive
     Officer before the close of business on the seventh calendar day after the
     Executive signs the Settlement Agreement, then this Amendment shall
     simultaneously become null and void.

                             [Signatures to follow]



          IN WITNESS WHEREOF, the parties hereto have caused this Amendment to
be executed as of the date first written above.

                                        COMMERCE ENERGY GROUP, INC.

                                        /s/ STEVEN S. BOSS
                                        ----------------------------------------
                                        Steven S. Boss
                                        Chief Executive Officer


                                        COMMERCE ENERGY, INC.
                                        (FORMERLY, COMMONWEALTH ENERGY
                                        CORPORATION)

                                        /s/ STEVEN S. BOSS
                                        ----------------------------------------
                                        Steven S. Boss
                                        Chief Executive Officer

                                        EXECUTIVE


                                        /s/ RICHARD L. BOUGHRUM
                                        ----------------------------------------
                                        Richard L. Boughrum


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