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PSC Considers Proposed Changes Requiring Retail Suppliers To Use Multiple Different Mechanisms To Affirmatively Notify Customers Of Rate Changes (Including Variable Rates)
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The Delaware PSC held a hearing today concerning proposed updates to the retail electric market rules
Among other things, the proposed Delaware rule changes would require retail electric suppliers to affirmatively notify variable rate customers at least 12 days in advance of a change in price (applicable to residential and small commercial customers)
Currently, suppliers must only post the new price for variable rate products in advance, and suppliers are not required to affirmatively notify customers of variable rate changes
Notably, the proposed rules would require that the affirmative variable rate change notice must be provided to customers using at least two of the following methods: by telephone, written notice, or electronic notice
The Retail Energy Supply Association does not oppose the affirmative notice requirement for variable rate changes, but opposes requiring that multiple different notice mechanisms be used
Among other things, RESA said that requiring the use of more than one notice mechanism poses challenges to suppliers because suppliers often do not have a customer's telephone number, address, and/or valid email for communication, as the customer does not wish for the supplier to possess such information if not needed for enrollment or service
RESA also said that Federal Trade Commission rules governing telemarketing provide that, even for a business's existing customers, a business cannot use a pre-recorded voice or auto-dial without prior written consent. RESA said that this FTC rule could prevent suppliers from using a call or text for the variable rate change notification
Additionally, the proposed rules would require retail suppliers to provide to customers notice for any
change in a fixed price, or any
change in other material terms of service ("material change notice"), applicable to residential and small commercial customers
RESA suggested that the Pennsylvania PUC notice process for auto-renewals be used in Delaware for notices for auto-renewals (such as fixed to variable) or any change in contract terms, rather than the proposed rules
Notably, as proposed, the Delaware material change notice would require that the notice be provided through at least two forms of communication (telephone, written notice, or electronic notice), similar to the proposed variable rate change notice described above
RESA also opposed certain specific language proposed to be required to be used by suppliers in marketing materials and sales pitches, which would require suppliers to affirmatively state that the retail supplier does not represent "Delmarva Power & Light Company" or the "Delaware Public Service Commission".
RESA said that, based on suppliers' experience, the use of the specific utility name and PSC name in a non-representation disclosure would likely cause confusion, as customers just hear the name and associate the discussion with the named entity, despite the non-representation disclosure stating the opposite.
RESA said that a better practice is to require that suppliers state that, "I am not affiliated with your utility or the government."
RESA said, "The challenge ... is that a customer that hears or sees words
such as 'Delmarva Power' and 'Commission' does not always ascertain the disclaimer associated
with those words. Put differently, even when an electric supplier represents that, 'I do not represent
'[utility name]' or 'I do not represent the [Commission],' the customer, hearing or seeing the
name of the utility or the Commission, believes that the person speaking to them is with that particular utility or Commission, or that the utility or Commission produced the written materials."
Commissioners expressed concern with practices seen in the market, such as a statement from a supplier agent that the agent was from the Public Service Commission.
Commissioners mulled whether the utility's specific name or PSC name would still be named in the supplier's interaction with the customer with respect to factual matters (e.g. a statement that the customer would be billed by Delmarva) and, due to such potential use of the utility's specific name, asked whether the statement of non-representation should use the specific utility name and PSC name as proposed, rather than using a generic statement that the supplier does not represent the, "utility or the government".
RESA also opposed a proposed rule that would require the supplier to include in a proposed enrollment notice to be sent by the supplier, "[t]he date on which the electric
supplier will begin supplying electricity."
RESA noted that the utility determines the specific switch date, and said that this specific date is not known by the supplier, as the utility has discretion on the specific switch date within a 3-day window
RESA said, "RESA would not object to a more general notification
such as, 'Your service will begin when the utility processes the enrollment, which we anticipate
to be within the next 10 calendar days' or something similar."
In a section of the rules not proposed to be modified, RESA proposed a rule change which would provide that the customer list made available to retail suppliers shall include the utility account number and any other number designated
by the utility as necessary to process an enrollment
In closing the hearing, the PSC said that written comments will be accepted for another 15 days
The PSC said that it will further deliberate on the proposed rule changes, including potentially revising the proposed rules or adopting the rules as proposed, at its first Commission meeting in April
Regulation Docket 3001 (formerly Reg. Docket 49)
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March 11, 2026
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Copyright 2026 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com
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