Press Release

PUC March 21 Hearing to Feature Business Panel, Highlight Consumer Education and the Future of Default Service in PA

Published on 3/15/2012

Filed under: Electric

HARRISBURG – The Public Utility Commission (PUC) today announced that its final Retail Markets Investigation en banc hearing on March 21, 2012, will focus on models to possibly change electricity default service in Pennsylvania, the experiences of small- and medium-sized business customers with electric competition, and the advancement of a new statewide consumer-education campaign.

“We have reached a critical stage in this important investigation,” said Commissioner Pamela Witmer.  “My colleagues and I look forward to hearing the perspectives from all stakeholders as we evaluate the next steps to improve retail competition in the Commonwealth.”

The en banc hearing will include both a morning and afternoon session with three panel discussions: 1) Shopping Experiences of Small and Medium Business Customers; 2) Statewide Consumer Education; and 3) End State Default Service Models.

The morning session will begin with a diverse panel of small and medium business customers sharing their experiences when switching to a competitive electric generation supplier (EGS) from default service.  Panelists include John Bodine, Vice President of OnDemand Energy Solutions in Pittsburgh; Chris Hendrix of Wal-Mart Stores Inc.; Dallas Smith, President of Smith Village Home Furnishings of Jacobus, York County; Jay Himes, Executive Director of the Pennsylvania Association of School Board Officials; Thomas Schneider, Manager of Energy and Operational Efficiencies for the North Penn School District, Lansdale, Montgomery County; and Deena Morgan, General Manager and Vice President of GDF Suez – ThinkEnergy, Houston, Texas.

Following the business panel, utility and supplier representatives will convene a panel discussion on ways to implement an enhanced statewide consumer-education campaign in Pennsylvania.  This initiative was recommended at a hearing in November when the five Commissioners heard from public polling experts who indicated that a majority of Pennsylvania electric consumers know they can change their electric supplier; however, less than half have explored making a change.  The panel will focus on the benefits of undertaking a coordinated approach among the Commission, suppliers and utilities to further educate Pennsylvanians on the benefits of shopping for a competitive supplier for their electric generation; to drive consumers to www.PAPowerSwitch.com, the PUC’s online electric shopping tool; and to educate consumers about changes to the competitive marketplace expected as a result of the Retail Markets Investigation.

During the afternoon session, the end state of default service in Pennsylvania takes center stage, with utilities, suppliers, consumer advocates and environmental groups all weighing in on what default service, as currently provided by the electric utilities, should be beyond 2012.  The panel will set forth three possible models in which electric suppliers serve in the default service provider role instead of electric distribution companies.

The agenda is available on the Commission’s website.

Following the en banc hearing, all interested parties will have the opportunity to submit comments for the Commission’s consideration in development of a Tentative Order on the Long-Range Work Plan.  Parties should keep in mind, however, that a formal comment opportunity will be afforded after adoption of a Tentative Order.

On March 1, 2012, the PUC finalized an intermediate work plan as part of its Retail Electricity Markets Investigation designed to improve the state’s retail electricity market.  The plan provides a framework for more specific action items pending before the Commission, including recommendations and proposals regarding the:

• Expansion of consumer education to drive electric customers to www.PAPowerSwitch.com;
• Initiation of a customer referral program;
• Initiation of a retail opt-in auction program;
• Improving the presentation of the electric utilities’ price to compare on customer bills; and
• Increase in coordination between utilities and suppliers.

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 No. I-2011-2237952

Contact:

• Denise McCracken
  Senior Communications Specialist
  717-787-5722
  demccracken@pa.gov