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Updated With Modified Date: Texas PUC Workshop On Staff Strawman To Allow REPs To Enroll Door-to-Door Customers Via Electronic Device Without Telephonic Verification

June 17, 2016

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Copyright 2010-16 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

Note: The date of the workshop has been modified to now be held on August 8

Staff of the Public Utility Commission of Texas have filed a strawman that would allow retail electric providers to enroll customers solicited through door-to-door marketing via an electronic device, without a requirement for verification via TPV or telephonic recording

As previously reported, the PUCT recently granted IGS Energy a good cause exception to the TPV requirement of door-to-door sales to allow IGS to use its tablet-based door-to-door sales and enrollment method without TPV for a period of 12 months, to essentially serve as a pilot as the Commission considers the issues in a generic rulemaking. Click here for more details

Staff will hold a workshop on the strawman on August 8 and invited comments in advance of the workshop

Additionally, a notice for the workshop suggests that a stakeholder strawman will be filed by June 27

The Staff strawman is notable for not defining a specific type of electronic device permitted under the rules, but rather requiring any such device to meet certain minimum requirements.

Under the Staff strawman, for a REP to enroll a door-to-door customer via electronic device, the REP or aggregator ("REP" used as shorthand for both entities throughout this story) shall determine that the applicant or customer has the authority to complete a move-in or switch of providers at the location. The entire solicitation process shall be conducted in the language as designated by the applicant or customer.

All materials used in the solicitation and enrollment process shall be in plain, easily understood language, the Staff strawman provides.

Under the Staff strawman, the REP is responsible for the protection of all customer information on the electronic device. The electronic device must be owned by the REP or aggregator and not the employee or representative of the REP or aggregator

Per the Staff strawman, the electronic device shall have the following minimum requirements:

          (A) The electronic device shall clearly and conspicuously identify either (1) the legal name of the aggregator and its registration number to provide aggregation services or (2) the legal name of the REP, REP's certification number to sell electric service, address, and telephone number.

          (B) The electronic device shall require a complex password for access, have remote data wipe capabilities that allow the REP or aggregator to remove all data should the device be lost or stolen, and have mobile locating and tracking enabled. Any customer specific information entered into the electronic device shall be transferred expeditiously to the REP or aggregator's systems using Secure Socket Layer or similar encryption standard to ensure the privacy of customer information. Once the transfer of data has been verified, the customer information on the electronic device shall be removed immediately.

Under the Staff strawman, the REP shall inform the applicant of what disclosures will be made during the solicitation. The REP shall obtain verifiable confirmation from the applicant that the applicant consents to disclosures being conducted using an electronic device.

All disclosure information on an electronic device used for enrolling an applicant must be easily readable and clearly and conspicuously disclosed. If the applicant expresses an inability to read or understand the disclosure information on the electronic device at any time during the solicitation, the REP shall either provide disclosures pursuant to subsection (f)(3) of §25.474 (door-to-door without an electronic device) or advise the applicant that they will not be able to complete enrollment.

If the applicant provides verifiable consent for disclosures to be provided using an electronic device, the REP or aggregator shall comply with all of the authorization disclosure requirements in either subsections (d)(5) (enrollment via the internet) or (h)(1) -(4) (telephonic enrollment) of §25.474 prior to requesting verification of the applicant's authorization for door-to-door enrollment.

Prior to verifying the applicant's authorization for enrollment, the REP shall provide the applicant a reasonable opportunity to read the terms of service, Electricity Facts Label (EFL), Prepaid Disclosure Statement (PDS), if applicable, and any written or electronic materials disclosed

For enrollment, the applicant shall be required to provide an electronic signature that adheres to Texas and federal guidelines affirming that the applicant has read and understands the disclosures, terms of service, EFL, PDS, if applicable, and all written or electronic materials disclosed prior to verification of authorization for door-to-door enrollment.

The REP or aggregator shall inform the applicant of what customer specific information will be needed to verify enrollment using an electronic device and how that information will be protected. The REP or aggregator shall obtain verifiable confirmation from the applicant that the applicant consents to providing the required information and will complete the customer verification using an electronic device.

If the applicant consents to verification being conducted using an electronic device, the REP shall:

          (i) obtain or confirm the applicant's email address or other electronic means of communication, billing name, billing address, service address, and name of any authorized representative;

          (ii) obtain or confirm the applicant's electric service identifier (ESI-ID) , if available;

          (iii) obtain applicant's verifiable electronic signature that adheres to Texas and federal guidelines affirming the applicant's approval to establish new service or change from the customer's current REP to the new REP;

          (iv) obtain applicant's verifiable consent to designate the new REP to perform necessary tasks to complete a switch or move in for the applicant's service with the new REP; and

          (v) obtain or confirm two of the following account access verification data for the applicant: last four digits of the social security number, mother's maiden name, city or town of birth, month and day of birth, driver's license number or government issued identification number. For applicable non-residential applicants, the REP may obtain the applicant's federal tax identification number.

Under the Staff strawman, after enrollment, the REP or aggregator shall send a confirmation by email to the applicant of the applicant's request to select the REP. Upon applicant request, the confirmation may be sent via another electronic means or by regular US mail. The three-day right of rescission period shall not begin until the applicant receives the confirmation. The REP or aggregator may assume that any delivery of the confirmation deposited first class within the United States Postal service will be received within three federal business days. The confirmation shall include:

          (i) in the case of a switch, a clear and conspicuous notice of the applicant's right pursuant to subsection (j) of §25.474, to review and rescind the terms of service within three federal business days after receiving the terms of service without penalty and offer the applicant the option of exercising this right by toll-free number, email, Internet website, facsimile transmission, or regular mail. This notice shall be accessible to the applicant without need to open an attachment or link to any other document; and

          (ii) the terms of service, Your Rights as a Customer (YRAC) documents, and the EFL.

Project 45625

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