Retail Electricity Marketing

To help consumers make better-informed decisions when shopping for electric supply service, the Illinois Commerce Commission has adopted rules strengthening consumer protection requirements governing sales and marketing by alternative retail electricity suppliers (ARESs).

The new rules standardize contract requirements and set forth a uniform disclosure statement for all ARES solicitations. As to the latter, the commission’s new rules direct alternative suppliers to explicitly disclose whether the rates advertised are fixed or may vary over time. The regulations also require ARESs to notify customers in advance when there is going to be a change in the rate charged.

Competitive suppliers further must provide more detailed information about so-called “green power” offers. In addition, the commission expanded its disclosure and sales verification requirements to encompass all in-person marketing transactions. To assure transparency, the commission also told ARESs that they must record and retain all telemarketing sales calls, including inbound calls.

Other features of the updated rules include new restrictions applicable to solicitations in multi-unit residences and prohibitions on alternative providers using utility names and logos within the same territory of the customer’s incumbent electric utility. (15-0512)