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PSC Staff: "Inappropriate" To Include Single Supplier's Marketing Info In Utility Bills; Suggest Generic Brochure "Describing" Current Supply Offerings From All Suppliers

September 19, 2016

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

Staff of the Delaware PSC recommend denying a petition from Direct Energy to include information related to Direct Energy's status as the, "Electric Retail Supplier Exclusively Contracted by the State of Delaware," in Delmarva Power bills, but recommended that Delmarva be required to include generic choice education materials, and that the PSC develop an online retail supplier price listing to which customers will be directed

Direct Energy had asked that the PSC direct Delmarva to, "distribute an educational bill insert regarding the options available under the contract awarded by the State of Delaware to Direct Energy as the 'Electric Retail Supplier Exclusively Contracted by the State of Delaware'". The inserts would have included specific rates and terms available from Direct Energy under the program.

PSC Staff noted that while the bond bill which authorized the state to designate a supplier as exclusively contracted by the state of Delaware also authorized the Secretary of State to direct the PSC to coordinate the implementation of the program including appropriate customer awareness and marketing activities, "it did not specify how that should occur."

"Despite Direct Energy Services being the State’s exclusively contracted electric supplier, it would seem inappropriate to require Delmarva Power to include a Direct Energy Service’s Brochure in their customer mailings," Staff said

Rather than including Direct Energy's brochure, Staff recommends that parties work together to design a generic brochure to help educate Delmarva Power’s customers on the availability of customer choice supply options, and that Delmarva include such brochure in a one-time monthly mailing to its residential and small commercial customers, at Commission expense.

Staff recommended that, "the generic brochure describe the supply offerings currently available in Delaware and prominently include reference to a new PSC webpage for more information on how to shop for electric supply in Delaware."

It was unclear how the brochure would "describe" such offers -- meaning whether the brochure would list specific rates, or only describe the availability of offers generically.

The generic brochure is to be developed by November 30, 2016, and Staff recommends that Delmarva be required to include such brochure in a full cycle of monthly billings within 60 days of brochure availability.

Staff recommends that the PSC task Staff with establishing a new webpage, "to prominently display electric supply offerings and ensuring that Direct Energy Services is properly noted as the State’s exclusively contracted electric supplier."

More specifically, Staff's draft would provide, "That the Commission further directs that Staff shall immediately develop and implement a webpage on the Commission’s website, that details the customer choice offerings available for Residential and Small Commercial customers, identifies the price to compare for the various rate classes and highlights the fact that Direct Energy is the 'Electric Retail Supplier Exclusively Contracted by the State of Delaware' to provide an economical and beneficial supply offer to residential and small commercial customers."

Staff recommends that Delmarva Power provide Direct Energy Services with a residential and small commercial customer name and address listing, based on the Electric Supplier Regulations, Section 3.7, withholding only those customers who have elected to opt out of such list in accordance with 26 Del.C.Admin.§3001,3.7.

Docket No. 16-0744

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