Press Release

PUC Seeks Comment on Rulemaking to Review Natural Gas Supplier Licensing Requirements

Published on 1/12/2012

Filed under: Gas

HARRISBURG – The Pennsylvania Public Utility Commission (PUC) today issued for comment a rulemaking to re-examine the regulations regarding natural gas supplier (NGS) licensing requirements.

The Commission voted 5-0 to seek comments on the rulemaking to review the NGS licensing requirements and existing exemptions for marketing services consultants and nontraditional marketers. 

“To ensure that we, as a Commission, are able to make the best decision possible, I strongly encourage interested parties to comment on these proposed changes and to review and consider all of the comments that were submitted in 2001 for the development of our current regulation,” said Commissioner Pamela A. Witmer said in a statement.

“My affirmative vote for this tentative order should not be interpreted as my concurrence with this rulemaking,” said Commissioner James H. Cawley also in a statement.  “Rather, my affirmative vote only reflects my willingness to listen to stakeholder feedback on how best to balance the needs of utilities, service providers, and customers in the provision of natural gas supply requirements as our industry matures.”

The Commission is proposing the following revisions to the regulations:

• Eliminating the definitions of a “marketing service consultant” and a “nontraditional marketer”;
• Eliminating the exemption from licensing requirements of marketing service consultants and nontraditional marketers; and
• Eliminating the requirement that NGS report annually the names and addresses of nontraditional marketers and marketing services consultants who currently or will be acting as agents for the NGS for the upcoming year.  

The current Commission regulations require all NGSs to obtain a license from the PUC in order to offer service. “Marketing service consultants” and “nontraditional marketers” have been exempted from these requirements. Some marketing service consultants and nontraditional marketers still apply for licenses, despite the fact that they are not required to do so. To date, the Commission’s practice has been to issue licenses to such entities if they meet the financial and technical requirements to obtain a license. The elimination of the exemptions from licensing for these entities will require all entities meeting the definition of a NGS to be licensed. 

Interested parties may comment within 60 days following publication in the Pennsylvania Bulletin. More information on how to comment can be found in the final Order.

The Pennsylvania Public Utility Commission balances the needs of consumers and utilities to ensure safe and reliable utility service at reasonable rates; protect the public interest; educate consumers to make independent and informed utility choices; further economic development; and foster new technologies and competitive markets in an environmentally sound manner. For recent news releases, audio of select Commission proceedings or more information about the PUC, visit our website at www.puc.state.pa.us.

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Docket Number L-2011-2266832

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