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Duquesne Light: FirstEnergy Pennsylvania's Proposed Retail Market Reforms Have Potential To Provide Substantial Affordability Benefits; Should Be Considered Throughout The State
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Duquesne Light said that several of the retail electric market reforms proposed by FirstEnergy Pennsylvania Electric Company, "have the potential to provide substantial affordability benefits to customers, and should be considered in the context of default service throughout the entire Commonwealth."
Duquesne Light made the comment in seeking to intervene in FirstEnergy Pennsylvania's default service proceeding, in which FirstEnergy Pennsylvania has made the proposals
Specifically, as first reported by EnergyChoiceMatters.com, FirstEnergy Pennsylvania has proposed, among other things:
• Residential fixed price retail supplier customers would be dropped to default service at the end of their fixed rate term, absent affirmative consent from the customer to continue with the supplier
• Residential retail supplier customers on variable month to month contracts would be dropped to default service at the end of a quarterly period, absent affirmative consent from the customer to continue with the supplier's variable plan
• POR would only be available to retail suppliers if the customer is enrolled at a price at or below the price to compare at the time of enrollment, and if the supplier uses rate ready billing. Zero receivables would be purchased for any other product
See full background on FirstEnergy PA's proposed retail market reforms in ECM's prior story here
Duquesne Light described FirstEnergy PA's proposed POR changes as addressing "abuses" of the POR program
In a prehearing memo, WGL Energy Services, Inc. said that FirstEnergy PA seeks to implement FirstEnergy PA's own "bespoke" customer contract renewal processes and restrictions, which WGL Energy Services alleged, "directly conflict with Commission regulations that were promulgated via the formal rulemaking process."
As previously reported, FirstEnergy PA has said that its proposed ban on auto-renewals for fixed price contracts would require a waiver of PUC rules
WGL Energy said that the following issues must be addressed in the FirstEnergy Pennsylvania Electric Company ("FirstEnergy") default service proceeding:
"(a) Whether FirstEnergy may lawfully use a Default Service Proceeding to implement its own bespoke customer contract renewal processes and restrictions that directly conflict with Commission regulations that were promulgated via the formal rulemaking process.
"(b) Whether FirstEnergy’s proposal to modify contract renewal procedures and unilaterally return customers to default service without consent violates the Public Utility Code and the Commission’s regulations and orders or is otherwise unlawful, unjust, unreasonable or contrary to public policy.
"(c) Whether FirstEnergy may lawfully use a Default Service Proceeding to seek to implement new customer consent requirements and retail supplier certification requirements in its service territory.
"(d) Whether FirstEnergy’ proposal to impose new customer consent requirements and retail supplier certification requirements violates the Public Utility Code and the Commission’s regulations and orders or is otherwise unlawful, unjust, unreasonable or contrary to public policy.
"(e) Whether FirstEnergy may lawfully use a Default Service Proceeding to implement billing and POR modifications that would restrict the types of products that retail suppliers may offer in FirstEnergy’s service territory.
"(f) Whether FirstEnergy’s proposal to implement billing and POR modifications that would restrict the types of products that retail suppliers may offer in FirstEnergy’s service territory violates the Public Utility Code and the Commission’s regulations and orders or is otherwise unlawful, unjust, unreasonable or contrary to public policy."
In a separate prehearing memo, Town Square Energy East,
LLC said that FirstEnergy PA's proposed POR changes, "would materially impact the ability of Town
Square and other suppliers to offer certain retail electricity supply products
in [the] FirstEnergy territory and limit the choices available to customers in
[the] FirstEnergy territory."
Town Square Energy East,
LLC further alleged, "This proposal by FirstEnergy is not reasonable or
appropriate and contradicts the Commission’s policies and orders
regarding retail choice and the importance of POR to a vibrant market."
Town Square Energy East,
LLC also said that FirstEnergy PA's proposed requirements concerning contract renewals, "will significantly impact
Town’s Square’s relations with its existing and prospective customers."
FirstEnergy PA reiterated in a prehearing memo that, as previously reported, "residential shopping customers in
aggregate paid approximately $82 million more in net generation charges in 2025 than they would
have paid for the same amount of generation at the Company’s default service rates."
Docket P-2026-3060298
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March 17, 2026
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Copyright 2026 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com
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