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NextEra Energy Says Revised Oncor Code of Conduct Would Not Prohibit Use Of "Similar" Branding Identifying Both Utility, REPs As NextEra Companies

February 13, 2017

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Copyright 2010-17 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

NextEra Energy, Inc. said in response to a request for information from the NRG Companies, in the Texas PUC proceeding reviewing NextEra's proposed acquisition of Oncor, that a revised Oncor code of conduct proposed in the case would not prohibit Oncor and the NextEra Energy competitive affiliates from using similar branding identifying the entities as subsidiaries of NextEra Energy.

Specifically, NRG has propounded on NextEra the following RFI: "Admit or deny that the revised Oncor Code of Conduct does not prohibit Oncor and the NextEra Competitive Affiliates from using similar branding identifying the entities as subsidiaries of NextEra Energy."

NextEra answered this RFI solely with the word, "admit."

NRG had also issued an RFI requesting that NextEra, "Admit or deny that the revised Oncor Code of Conduct does not prohibit Oncor and the NextEra Competitive Affiliates from developing marketing campaigns and internet web presences using similar themes, colors, layouts, fonts, graphics, actors in advertising, slogans, etc."

NextEra's response was as follows: "Deny in part and admit in part. To the extent denied, please see Oncor Code of Conduct, Exhibit JT-R-1 at page 19 of 61, which states that 'the utility does not share a name, trademark, brand, or logo with a competitive affiliate. For the sake of clarity, Gexa Energy L.P. and other Texas competitive affiliates will not use the utility's name or logo, nor will the utility engage in joint marketing, advertising, or promotional efforts with any Texas competitive affiliate, in a manner that is inconsistent with the Public Utility Regulatory Act and the Commission's affiliate rules.'"

NextEra said that the Oncor Code of Conduct would not permit Oncor (specifically the utility) to refer consumers to Gexa Energy or any other competitive affiliate of NextEra

NextEra said, "Oncor's Code of Conduct specifically provides that Oncor will comply with Commission Substantive Rule 25.272(h)(2), which permits a utility to refer a customer or potential customer to competitive affiliates only '[i]f a customer or potential customer makes an unsolicited request to a utility for information specifically about any of its competitive affiliates'. Oncor's Code of Conduct also specifically provides that Oncor will comply with Commission Substantive Rule 25.272(h)(3), which states that: 'If. a customer or potential customer request[s] general information from a utility about products or services provided by its competitive affiliate or its affiliate's competitors, the utility shall not promote its competitive affiliate or its affiliate's products or services, nor shall the utility offer the customer or potential customer any opinion regarding the service of the competitive affiliate or any other service provider. The utility may direct the customer or potential customer to a telephone directory or to the commission, or provide the customer, with a recent list of suppliers developed and maintained by the commission, but the utility may not refer the customer or potential customer to the competitive affiliate except as provided for in paragraph (2) of this subsection.' Please see also the restrictions in Oncor's Code of Conduct consistent with Commission Substantive Rule 25.272(h)(1)."

However, as to whether a non-utility affiliate of Oncor could operate in Texas a retail shopping website that could include offers from NextEra retail affiliates, NextEra said, "NextEra Energy has not considered the hypothetical posed in the request, and therefore cannot admit or deny."

Docket 46238

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