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RESA Says Pennsylvania Bill Would Impose A Blanket Price Comparison On Retail Suppliers, Warns Against Capping Pennsylvania Retail Supplier Rates At Default Service Rate, As Pennsylvania House Democrats Unveil Energy Legislation
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The Retail Energy Supply Association warned against requiring retail energy suppliers to price all products below utility default service rates, as Pennsylvania House (state legislature) Democrats unveiled a slate of energy bills
House Democrats specifically rolled out House Bill 2131, which, as originally filed in January, prohibits automatic renewals.
However, during a press conference, HB 2131 sponsor Representative Heather Boyd, D, suggested that the bill would also address other retail market issues, including a crackdown on, "junk fees that drive up costs without delivering value"
HB 2131 as introduced in January would require, for electricity only, that, if a customer does not take "affirmative steps" [plural] to enter a new contract, "by the date of termination of the customer's
existing fixed duration contract," the customer must be dropped to default service
RESA suggested, in a statement on HB 2131 specifically, that HB 2131 has now been drafted to impose a blanket price comparison standard on retail suppliers that ignores differences in product structure, risk management, and customer preference
"Competitive offerings, including renewable/green energy, Virtual Power Plants (VPPs) and other value-added products, are not directly comparable to standard monopoly utility supply," RESA stated in a statement
The House Dems said in a news release that, "Pennsylvania’s retail energy market promises low 'teaser' rates, but research shows that these contracts cost ratepayers far more than default service."
The Retail Energy Supply Association also issued the following separate statement in response to the House Democratic Leadership’s press conference
"The Retail Energy Supply Association would like to comment on the House Democratic Leadership’s press conference on energy affordability for Pennsylvania consumers.
"As policymakers consider House Bill 2131, it is critical to ensure that well-intended solutions do not produce unintended consequences. While the goal of lowering energy costs is shared, this legislation risks doing the opposite.
"Requiring retail energy suppliers to price all products below utility default service rates is neither feasible nor consistent with the structure of a competitive market. Many products, including renewable and value-added offerings, are not comparable to standard utility supply. As Chairman DeFrank said in his Senate appropriations hearing, taking choices away from customers and banning options is not the answer. There are other policies to provide relief to customers who need assistance. RESA is committed to continued education of consumers and moving this energy market forward, rather than forcing customers back to a service they did not choose.
"House Bill 2131 would reduce competition, discourage innovation and narrow the range of choices available to consumers who choose to shop for their energy needs. That reduction in market activity will lead to higher prices and fewer options for customers. It would also increase their exposure to price volatility by undermining fixed-price and long-term products that provide stability during periods of market fluctuation.
"Concerns about rising costs tied to the utility model have been acknowledged at the highest levels in Pennsylvania. Governor Shapiro recently stated, “utility companies are seeing record profits while consumers are paying more,” underscoring the need for solutions that prioritize affordability and competition rather than expanding reliance on monopoly service.
"Other states offer important lessons. In Maryland, the passage of Senate Bill 1 essentially eliminated the residential retail energy market, contributing to today’s ongoing affordability challenges. Today, Maryland has zero competitive market offers for consumers to protect them from rising monopoly utility costs. Baltimore Gas and Electric (BGE) has warned that “customers are seeing higher bills largely driven by increased supply costs and regional market pressures,” according to reporting by The Baltimore Sun. Pepco has noted that bill increases are being driven by “higher energy supply prices and transmission costs that are outside of the company’s control.” These trends reinforce that monopoly utility default service is not insulated from rising costs—and, in many cases, passes those increases directly on to consumers. Pennsylvania has the advantage of avoiding a similar outcome.
"RESA remains committed to working with lawmakers on policies that genuinely advance affordability while preserving competition, innovation and consumer choice. We look forward to finding solutions that favor customers, not monopoly utilities that can only offer rising costs in this affordability crisis in Pennsylvania and across the country."
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April 16, 2026
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Copyright 2026 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com
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