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Pennsylvania PUC Chair Seeks Clarity On If Utility Will Obtain "Affirmative Consent" To Transition Currently Shopping, CAP-Eligible Customers To Default Service, Also Concerned That Customers Auto-Enrolled Into CAP May Not Be Aware Of Protections Against Retail Supplier Fees
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In a statement concerning the PUC's decision to defer action on a proposal from Duquesne Light to implement the automatic enrollment of certain customers into the Customer Assistance Program (CAP) based on the customer's LIHEAP status, PUC Chair Stephen DeFrank expressed concern with various interactions between a customer's auto-enrollment onto CAP and a customer's current service from a retail electric generation supplier (EGS)
CAP customers are not eligible to shop at Duquesne Light, and customers who choose to enroll in CAP (non-auto enrollments onto CAP) are automatically dropped to default service if they are currently served by a retail supplier, with the customer not required to contact their retail supplier to effectuate the transfer to default service
As previously reported, retail suppliers are not permitted to charge termination or cancellation fees to customers who transfer to default service due to being enrolled in CAP
DeFrank said in a statement that, "I am concerned that Duquesne’s proposal fails to clarify whether and how it will obtain affirmative consent to move eligible customers with EGS contracts to default service prior to auto-enrolling them into CAP."
In an order, the PUC said, "The Commission has never approved a
CAP auto-enrollment process that removes customers from EGS contracts without their
consent."
"We have concerns about Duquesne’s proposal to remove auto-enrolled
customers from their EGS contracts without their informed consent. Although Duquesne
currently notifies customers on its CAP application that enrollment in CAP will result in
a return to default service, auto-enrolled customers are not provided with advance
notice before their EGS contract is canceled," the PUC said in an order
The PUC noted that at UGI and Peoples Natural Gas, the PUC has approved CAP auto-enrollment plans in which shopping customers are informed that they would be eligible for CAP if the customer chooses to return to default service, rather than automatically dropping these customers to default service and auto-enrolling them in CAP
DeFrank said, "Informed consent should always be a condition of enrollment, and especially here where customers with an existing EGS may have existing contractual obligations with the EGS."
"While I am aware that Duquesne’s approved supplier tariff prohibits EGSs from charging termination or cancellation fees to CAP applicants who return to default service upon entry into CAP, Duquesne’s Petition does not address it," DeFrank said
"As a result, it remains unclear how Duquesne will coordinate with EGSs to ensure that auto-enrolled CAP customers are not charged any EGS fees. It is equally unclear whether Duquesne will provide auto-enrolled CAP customers with any guidance about the prohibition against EGSs charging them termination or cancellation fees. I expect Duquesne to address these issues as necessary to avoid customer confusion and the potential for auto-enrolled CAP customers to have their CAP benefits diminished by EGS fees and contractual obligations. I cannot support such an outcome. I urge Duquesne to revisit its proposal to auto-enroll CAP customers with EGS contracts to ensure that the Company has appropriate processes in place to protect customers," DeFrank said
The PUC ordered Duquesne Light, "to clarify how it will obtain affirmative
consent to move eligible customers with EGS contracts to default service prior to autoenrolling them into CAP."
"Additionally, Duquesne is directed to clarify how it will inform
these customers that they may incur early termination fees if they return to default service
and how to contact their EGS for information on these fees and other obligations as
applicable," the PUC ordered
Dockets M-2019-3008227, P-2026-3061673, R-2024-3046523
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June 18, 2026
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Reporting by Paul Ring • ring@energychoicematters.com
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