Connecticut Bill Would Impose New Retail Electric Marketing Restrictions; Regulate Book Assignments
February 25,2019
A bill (H.B. No. 7155) filed in the Connecticut General Assembly would institute new requirements for electric supplier marketing.
H.B. No. 7155 provides as follows:
(1) Each electric supplier shall record the entirety of all
telesales calls with a potential customer, including, but not limited to,
all attempted and consummated sales, and retain such telesales call
recordings for two years after the date such recording was made.
(2) Each electric supplier shall record the entirety of all face-to-face
marketing interactions with a potential customer, including, but not
limited to, all attempted and consummated sales, and retain such
recordings for two years after the date such recording was made.
(3) Each electric supplier shall conduct criminal background checks
on all door-to-door marketers prior to such marketer conducting
marketing on behalf of the electric supplier. Each electric supplier shall
conduct such criminal background checks at least once each year on all
marketers conducting door-to-door marketing on behalf of the electric
supplier.
(4) When conducting telesales calls or face-to-face marketing, each
electric supplier shall begin by immediately stating:
(A) The name of
the electric supplier conducting the call;
(B) that the electric supplier is
not affiliated with any state program and no state program encourages
Connecticut residents to obtain an electric supplier;
(C) that the electric
supplier is calling the customer or potential customer to market or sell
electric supply service to the customer or potential customer and if the
customer or potential customer assents, the telesales call or face-to-face
marketing will result in the customer or potential customer
immediately entering into a contract with the electric supplier;
(D) that
such electric supplier does not represent an electric distribution
company and that electric distribution companies do not encourage
Connecticut residents to obtain an electric supplier; and
(E) what the
standard service rate is on the date of the telesales call or face-to-face
marketing and that the standard service rate is fixed, not variable.
(5) When conducting telesales calls or face-to-face marketing, no
electric supplier may request the account information from a potential
customer or request that a potential customer retrieve account
information or the potential customer's electric distribution company
bill prior to the customer or potential customer affirmatively assenting
to contract with the electric supplier for a specified rate
(6) Each electric supplier shall terminate any telesales call when a
customer or potential customer connects with the third-party
verification as described in subsection (b) of section 16-234s of the
general statutes and may not remain on the telephone line while the
customer or potential customer participates in the third-party
verification
(7) Each electric supplier shall process a customer's enrollment or
reenrollment and submit such enrollment to the electric distribution
company within five calendar days of the customer consenting to
enroll. Enrollments processed and sent to the electric distribution
company after five calendar days shall be considered invalid
enrollments.
The bill defines "telesales call" to mean, "any communication using a telephonic
device, including, but not limited to, land telephone lines and cellular
telephone lines, in which the purpose of the communication is to
inform a customer or potential customer about a product offering,
engage a customer or potential customer in a conversation that may
result in entering into a contract for services or discuss current or
future contract terms with a customer or potential customer.
The bill would also authorize PURA to order restitution to customers in cases of retail supplier non-compliance
The bill further provides that, "No license may be transferred or customers assigned or transferred without the prior approval of the authority. The authority may assess additional licensing fees to pay the administrative costs of reviewing a request for such transfer."