Maryland Orders Briefing On Legal Issues Concerning Supplier Consolidated Billing, Including Disconnection Authority For Non-Payment

The Maryland PSC has requested briefing on several legal issues concerning supplier consolidated billing, including the authority for suppliers to direct the utilities to disconnect customers for non-payment

As previously reported, NRG Energy, Inc., Interstate Gas Supply, Inc. d/b/a IGS Energy, Just Energy Group, Inc., Direct Energy Services, LLC, and ENGIE Resources LLC have petitioned the PSC to implement SCB for electricity and gas by June 30, 2019.

The PSC said that the petitioners claimed that one element crucial to successful implementation of SCB is the right of SCB providers to direct the regulated utilities to terminate electric and/or gas service for nonpayment. The PSC noted that during a hearing and in comments, several parties objected to the petitioners’ request, claiming that the Public Utility Article of the Maryland Code (PUA) does not envision that a customer’s electric or gas service may legally be terminated for unpaid obligations owed to a non-utility.

Accordingly, the PSC requested briefing on the following questions:

1. Under the PUA, absent additional legislative change, does the Commission have the authority to empower SCB providers to direct utilities to disconnect customers for non-payment of non-utility obligations?

2. If the right of SCB providers to direct termination of service is consistent with the PUA, are there other provisions of the PUA that must be amended to make the rights and obligations of SCB providers consistent with those of utilities prior to the implementation of SCB?

3. Does the PUA require that any customer disconnected from retail supplier service be returned to utility-administered Standard Offer Service, irrespective of when or if the customer repays any outstanding obligations to the SCB provider that directed the customer’s disconnection?

Case No. 9461