District of Columbia PSC Sets Hearing on Supplier Marketing Practices

The District of Columbia PSC has scheduled for July 12 a hearing on the sales and marketing practices of electric and natural gas suppliers and brokers.

Matters first reported that the PSC would hold a generic hearing on retail energy marketing in response to a petition from the People's Counsel

Among other things, the hearing will address:

• Suggested revisions to the Commission's existing consumer protection regulations that will improve customer protection and which may facilitate greater public availability and understanding of competitive energy supply options

• The recent experiences of consumers with alternative energy suppliers, marketers and brokers who are soliciting their business, including, but not limited to:

- The marketing techniques that have been used to solicit their business that have generated consumer concerns;

- Their experience when changing from an existing supplier to a new supplier or when changing from a new supplier back to a former supplier;

- Billing practices or contract terms that have been used or offered that have generated any consumer concerns; and

- The effectiveness of the dispute resolution process that has been offered if any disputes have arisen with respect to any transaction with an alternative energy supplier, marketer, or broker.

• Practices and steps taken by retail energy suppliers, marketers and brokers licensed in the District of Columbia to ensure that prospective and existing customers receive:

- Energy product materials in a clear and understandable language (including, where appropriate, in multi-lingual languages);

- Accurate price and usage information that is expressed in simple and straightforward terms;

- Terms and conditions written in plain language that set forth contractual obligations for both the customer and the retail energy supplier, marketer, or broker:

- Specific and verifiable information about monthly bill savings claimed in any offer;

- Clear and understandable information about how they may terminate a service contract and any early termination charges or other consequences of such action;

- Advance specific notification of the end of a contract term and price changes or other changes in terms and conditions associated with automatic renewal of a contract;

- Accurate information on the prices and terms and conditions for any alternative options offered by the energy supplier, marketer, or broker to customers with expiring contracts;

- Clear written identification from the energy supplier, marketer, or broker that it is independent of the public utility delivering electricity or natural gas;

- Clear and understandable information about the billing and service complaint resolution process; and

- Educational materials about energy efficiency, energy conservation and other means to manage their energy usage