An Act To Improve Regulation of Door-to-door Marketing of Retail Energy Supply
Maine Legislature, Session 130, LD 0508
Committee: Energy, Utilities and Technology
Sponsors: BERRY
Amends: 35-A MRSA §102, 35-A MRSA §1508-A, 35-A MRSA §3203

Legislative Document
No. 508
H.P. 371
House of Representatives, February 19, 2021
An Act To Improve Regulation of Door-to-door Marketing of Retail 
Energy Supply
Submitted by the Office of the Public Advocate pursuant to Joint Rule 204.
Received by the Clerk of the House on February 17, 2021.  Referred to the Committee on 
Energy, Utilities and Technology pursuant to Joint Rule 308.2 and ordered printed pursuant to 
Joint Rule 401.
ROBERT B. HUNT
Clerk
Presented by Representative BERRY of Bowdoinham.
Be it enacted by the People of the State of Maine as follows:
Sec. 1.  35-A MRSA §102, sub-§19-A is enacted to read:
19-A.  Third-party sales agent.  "Third-party sales agent" means a person or entity 
that has a business relationship with a competitive electricity provider in which the person 
or entity conducts or arranges to conduct sales of electricity to the public at retail on behalf 
of the competitive electricity provider through direct contact accomplished by means of a 
personal visit to the consumer, other than at the 3rd-party sales agent's place of business, 
without the consumer soliciting the initial contact.  "Third-party sales agent" does not 
include an employee of a competitive electricity provider.
Sec. 2.  35-A MRSA §1508-A, sub-§1, ¶B-1 is enacted to read:
B-1.  In addition to any penalty imposed on a competitive electricity provider under 
paragraph A or B, the commission may:
(1)  For a willful violation of this Title by a 3rd-party sales agent, impose an 
administrative penalty in an amount that does not exceed $5,000 or .25% of the 
annual gross revenue that the 3rd-party sales agent received from sales and 
commissions in the State. Each day a violation continues constitutes a separate 
offense. The maximum administrative penalty for any related series of violations 
may not exceed $500,000 or 5% of the annual gross revenue that 3rd-party sales 
agent received from sales and commissions in the State, whichever amount is 
lower; and
(2)  For a violation in which a 3rd-party sales agent was explicitly notified by the 
commission that it was not in compliance with the requirements of this Title, a 
commission rule or a commission order and that failure to comply could result in 
the imposition of administrative penalties, impose an administrative penalty that 
does not exceed $500,000 and may terminate the registration of the 3rd-party sales 
agent.
Sec. 3.  35-A MRSA §1508-A, sub-§1, ¶C, as amended by PL 2011, c. 623, Pt. B, 
§5, is further amended to read:
C.  The commission may impose an administrative penalty in an amount that does not 
exceed $1,000 on any person that is not a public utility, voice service provider, dark 
fiber provider, wholesale competitive local exchange carrier or a, competitive 
electricity provider or 3rd-party sales agent and that violates this Title, a commission 
rule or a commission order.  Each day a violation continues constitutes a separate 
offense.  The administrative penalty may not exceed $25,000 for any related series of 
violations.
Sec. 4.  35-A MRSA §3203, as amended by PL 2017, c. 74, §1, is further amended 
to read:
§3203.  Licensing of competitive electricity providers; consumer protections; 
enforcement
1.  Authority.  In order to provide effective competition in the market for the 
generation and sale of electricity in the State and to provide an orderly transition from the 
current form of regulation to retail access, the commission shall license competitive 
electricity providers in accordance with this section.
2.  Requirements.  A competitive electricity provider may not undertake the sale of 
electricity at retail in this State without first receiving a license from the commission.  
Before approving a license application, the commission must receive from the applicant:
A.  Evidence of financial capability sufficient to refund deposits to retail customers in 
the case of bankruptcy or nonperformance or for any other reason;
B.  Evidence of the ability to enter into binding interconnection arrangements with 
transmission and distribution utilities;
C.  Disclosure of all pending legal actions and customer complaints filed against the 
competitive electricity provider at a regulatory body other than the commission in the 
months prior to the date of license application;
D.  Evidence of the ability to satisfy the renewable resource portfolio requirement 
established under section 3210;
E.  Disclosure of the names and corporate addresses of all affiliates of the applicant; 
and
F.  Evidence that the applicant is registered with the State Tax Assessor as a seller of 
tangible personal property pursuant to Title 36, section 1754‑B, together with a 
statement that the applicant agrees to be responsible for the collection and remission of 
taxes in accordance with Title 36, Part 3 on all taxable sales of electricity made by the 
applicant to consumers located in this State.
The commission shall consider the need for requiring and, if it determines there is a need, 
may require a competitive electricity provider to file a bond with the commission as 
evidence of financial ability to withstand market disturbances or other events that may 
increase the cost of providing service or to provide for uninterrupted service to its 
customers if a competitive electricity provider stops service.
2-A.  Requirements for 3rd-party sales agents.  A 3rd-party sales agent undertaking 
the retail sale or marketing of electricity in the State:
A.  May not engage in any sales or marketing activity unless the 3rd-party sales agent 
has registered with the commission. A 3rd-party sales agent shall provide to the 
commission the following information in order to register:
(1)  Name;
(2)  Corporate address;
(3)  The 3rd-party sales agent's transient seller's license number issued by the 
Department of Professional and Financial Regulation pursuant to Title 32, chapter 
128, subchapter 2; and
(4)  Any other information the commission determines is necessary.
The commission shall provide a registration number to each registrant;
B.  Shall comply with the provisions of the Maine Unfair Trade Practices Act;
C.  May not enter into an agreement on behalf of a competitive electricity provider to 
provide service to a residential consumer when that service is solicited using door-to-
door sales practices without providing the residential consumer a standard disclosure 
form that meets the requirements of this subsection and obtaining the consumer's 
signature on the form.  The commission shall prescribe, by rule, requirements for the 
format and contents of the standard disclosure form.  The requirements must include, 
but are not limited to:
(1)  A type size that is no less than 14 point; and
(2)  The following information:
(a)  Contact information, including telephone numbers, for the competitive 
electricity provider, the Public Utilities Commission and the Office of the 
Public Advocate;
(b)  A telephone number and website where the consumer may obtain 
information on the current standard-offer service rate and expiration date, and 
the website address for electricity supply information available through the 
Office of the Public Advocate;
(c)  Information regarding the consumer's right to rescind service as provided 
in subsection 4, paragraph C; and
(d)  The 3rd-party sales agent's registration number issued by the commission 
pursuant to paragraph A and the transient seller's license number issued by the 
Department of Professional and Financial Regulation pursuant to Title 32, 
chapter 128, subchapter 2;
D.  Shall comply with all federal and state laws, federal regulations and state rules 
regarding the prohibition or limitation of door-to-door sales practices; and
E.  Shall comply with applicable standards or requirements established by the 
commission by rule.
3.  Informational filings Filings; public information.  The commission shall 
establish by rule information disclosure and filing requirements for competitive electricity 
providers.  The rules must require generation providers to file their generally available 
rates, terms and conditions with the commission.  The commission, subject to appropriate 
protective orders, may require the submission of individual service contracts or any other 
confidential information from a competitive electricity provider.
The commission by rule shall establish standards for making available, through any means 
considered appropriate, information that enhances consumers' ability to effectively make 
choices in a competitive electricity market.
Rules adopted under this subsection are routine technical rules as defined in Title 5, chapter 
375, subchapter 2‑A.
4.  Consumer protection provisions.  As a condition of licensing, a competitive 
electricity provider that provides or proposes to provide generation service to a residential 
consumer or to a small commercial consumer:
A.  May not terminate generation service without at least 30-day prior notice to the 
consumer;
B.  Must Shall offer service to the consumer for a minimum period of 30 days;
C.  Must Shall allow the consumer to rescind selection of the competitive electricity 
provider orally or in writing within 5 days of initial selection;
D.  Must Shall comply with all federal and state laws, federal regulations and state rules 
regarding the prohibition or limitation of telemarketing;
E.  Must Shall provide to the consumer within 30 days of contracting for retail service 
a disclosure of information provided to the commission pursuant to rules adopted under 
subsection 3 in a standard written format established by the commission; and
F.  Must Shall comply with any other applicable standards or requirements adopted by 
the commission by rule or order.
For purposes of this subsection, "residential consumer" means a consumer defined as 
residential under the terms and conditions of the consumer's transmission and distribution 
utility.  For purposes of this subsection, "small commercial consumer" means, in the case 
of a consumer served by an investor-owned transmission and distribution utility, a 
nonresidential consumer that meets the availability criteria to take service under a core 
customer class of the transmission and distribution utility that does not pay a demand 
charge to the transmission and distribution utility or, in the case of a consumer served by a 
consumer-owned transmission and distribution utility, a nonresidential consumer with a 
demand of 20 kilowatts or less.
4-A.  General consumer protections.  As a condition of licensing, a competitive 
electricity provider:
A.  Shall obtain a consumer's authorization before serving the consumer;
B.  May not release to any other entity, other than for purposes of debt collection or 
credit reporting pursuant to state and federal law or to law enforcement agencies 
pursuant to lawful process, any personal information regarding a customer, including 
name, address, telephone number, usage and historical payment information, without 
the consent of the customer;
C.  Must Shall comply with the provisions of the Maine Unfair Trade Practices Act, 
Title 5, chapter 10;
D.  May not collect or seek to collect unreasonable costs from a customer who is in 
default;
E.  Must Shall comply with all applicable provisions of the federal Equal Credit 
Opportunity Act, 15 United States Code, Sections 1691 to 1691f;
F.  Must Shall comply with all federal and state laws, federal regulations and state rules 
regarding the prohibition or limitation of telemarketing; and
H.  Must Shall comply with any other applicable standards or requirements established 
by the commission by rule.
4-B.  Residential consumer protections.  As a condition of licensing, a competitive 
electricity provider that provides or proposes to provide generation service to a residential 
consumer:
A.  Shall disclose, before entering into an agreement to provide service to a residential 
consumer, to the residential consumer where the residential consumer can obtain 
information with which to compare the service provided by the competitive electricity 
provider and the standard-offer service;
B.  May not renew a contract for generation service without providing a residential 
consumer with notice of renewal in advance by mail;
C.  May not renew a contract for generation service at a fixed rate that is 20% or more 
above the contract rate in the expiring contract without the express consent of the 
residential consumer;
D.  May not renew a contract for generation service for a term that is longer than the 
term of the expiring contract or 12 months, whichever is shorter, without the express 
consent of the residential consumer; and
E.  May not impose an early termination fee for any contract for generation service that 
was renewed without express consent from the residential consumer.
If a residential consumer does not provide the express consent required by paragraphs C 
and D, the residential consumer must be transferred to standard-offer service.
4-C.  Residential consumer protection through transmission and distribution 
utility bill information.  The monthly utility bill for a residential consumer that elects to 
receive generation service from a competitive electricity provider must contain the 
following:
A.  A website address or other resource that residential consumers can access to obtain 
information that provides independent information as determined by the commission 
that allows residential consumers to compare terms, conditions and rates of electricity 
supply; and
B.  A statement that directs the residential consumer to the competitive electricity 
provider for more information on the residential consumer's contract, including its 
terms, and that provides the telephone number of the competitive electricity provider.
5.  Licensing renewals and revocations.  Consistent with all applicable requirements 
of Title 5, chapter 375, the commission may limit the duration and effectiveness of a license 
to a specified term, may conduct proceedings for the renewal of licenses and may conduct 
proceedings for the revocation of a license when a requirement of this section has not been 
complied with by a competitive electricity provider.  The commission shall adopt rules 
governing the procedures for issuing or revoking a license under this section and related 
matters.
6.  Consumer protection standards; rules.  The commission shall establish by rule 
consumer protection standards and standards to protect and promote market competition in 
order to protect retail consumers of electricity from fraud and other unfair and deceptive 
business practices.  The commission shall prohibit, by rule, a competitive electricity 
provider or a 3rd-party sales agent from representing itself as an alternative to a 
transmission and distribution utility.  Notwithstanding Title 32, chapter 69, subchapter 5 or 
Title 32, section 14716, the commission may provide by rule that a competitive electricity 
provider or a 3rd-party sales agent may satisfy the requirements of subsection 4‑A, 
paragraph A by obtaining from the customer oral authorization obtained by an independent 
3rd party.
7.  Penalties.  The commission may impose administrative penalties upon a 
competitive electricity provider or a 3rd-party sales agent in accordance with chapter 15.
8.  Dispute resolution.  The commission shall resolve disputes between competitive 
electricity providers and retail consumers and between 3rd-party sales agents and retail 
consumers of electricity concerning standards or requirements established by or pursuant 
to subsection 2-A, 4, 4-A, 4-B or 6.
9.  Additional actions.  The commission may impose by rule any additional 
requirements necessary to carry out the purposes of this chapter, except that this section 
may not be construed to permit the commission to regulate the rates of any competitive 
electricity provider.
10.  Cease and desist orders.  The commission may issue a cease and desist order:
A.  Following an adjudicatory hearing held in conformance with Title 5, chapter 375, 
subchapter IV 4, if the commission finds that any a competitive electricity provider, 
3rd-party sales agent or transmission and distribution utility has engaged or is engaging 
in any act or practice in violation of any law or rule administered or enforced by the 
commission or any lawful order issued by the commission.  A cease and desist order is 
effective when issued unless the order specifies a later effective date or is stayed 
pursuant to Title 5, section 11004; or
B.  In an emergency, without hearing or notice, if the commission receives a written, 
verified complaint or affidavit showing that a competitive electricity provider, 3rd-
party sales agent or a transmission and distribution utility is selling electricity to retail 
consumers without being duly licensed or is engaging in conduct that creates an 
immediate danger to the public safety or is reasonably expected to cause significant, 
imminent and irreparable public injury.  An emergency cease and desist order is 
effective immediately and continues in force and effect until further order of the 
commission or until stayed by a court of competent jurisdiction.  In a subsequent 
hearing the commission shall in a final order affirm, modify or set aside the emergency 
cease and desist order and may employ simultaneously or separately any other 
enforcement or penalty provisions available to the commission.
11.  Restitution.  The commission may order restitution for any party injured by a 
violation for which a penalty may be assessed pursuant to this section.
12.  Enforcement.  The commission through its own counsel or through the Attorney 
General may apply to the Superior Court of any county of the State to enforce any lawful 
order made or action taken by the commission pursuant to this section.  The court may 
issue such orders, preliminary or final, as it considers proper under the facts established 
before it.
13.  Notice to Attorney General.  If the commission has reason to believe that any a 
competitive electricity provider, 3rd-party sales agent or transmission and distribution 
utility has violated any provision of law for which criminal prosecution is provided and 
would be in order or any antitrust law of this State or the United States, the commission 
shall notify the Attorney General.  The Attorney General shall promptly institute any 
actions or proceedings the Attorney General considers appropriate.
13-A.  Investigation.  The commission may investigate any matter relating to the 
provision of service by a competitive electricity provider or the actions of a 3rd-party sales 
agent pursuant to this chapter.  In conducting an investigation under this subsection, the 
commission shall use the procedures established under section 1303, subsection 2.
14.  Disconnection restricted.  A transmission and distribution utility may not 
disconnect service to a consumer due to nonpayment of generation charges or any other 
dispute with a competitive electricity provider, except that the commission may permit 
disconnection of electric service to consumers of electricity based on nonpayment of 
charges for standard-offer service provided under section 3212.
15.  Standard billing.  The commission shall consider requiring standard billing 
information on bills for electric power service.  If standard billing information is required, 
the commission shall investigate the possibility of adopting standards consistent with other 
New England states.  The commission may not prohibit transmission and distribution 
utilities from contracting with generation service providers to include both entities' charges 
on a single bill.  The commission may not preclude the inclusion of other information on 
bills for electric power service.
16.  Access to load data.  Upon request from a competitive electricity provider, the 
commission shall provide load data on a class basis that is in the possession of a 
transmission and distribution utility, subject to reasonable protective orders to protect 
confidentiality, if considered necessary by the commission.
16-A.  Customer information.  A transmission and distribution utility may not release 
any customer-specific information to a licensed competitive electricity provider unless the 
provider produces sufficient evidence, as defined by the commission by rule, that the 
provider has obtained the customer's authorization.
17.  Rules.  Except as otherwise provided in this section, rules adopted pursuant to this 
section are routine technical rules as defined by Title 5, chapter 375, subchapter II-A 2-A.
18.  Confidentiality of consumer information.  Information concerning customers of 
a competitive electricity provider or a 3rd-party sales agent is subject to the same 
confidentiality protections afforded utility customer information under section 704, 
subsection 5.
SUMMARY
This bill establishes requirements for and places certain limitations and penalties on 
3rd-party sales agents, defined as a person or entity that is not an employee of a competitive 
electricity provider but has a business relationship with a competitive electricity provider 
in which the person or entity conducts or arranges to conduct sales of electricity to the 
public at retail on behalf of the competitive electricity provider through direct contact 
accomplished by means of a personal visit to the consumer, other than at the 3rd-party sales 
agent's place of business, without the consumer soliciting the initial contact.  The bill 
requires 3rd-party sales agents to register with the Public Utilities Commission and to 
comply with the Maine Unfair Trade Practices Act and other federal and state laws and 
rules regarding door-to-door sales.  The bill prohibits a 3rd-party sales agent from entering 
into an agreement to provide service to a residential consumer when that service is solicited 
using door-to-door sales practices without providing the residential consumer a standard 
disclosure form that meets requirements prescribed by the commission by rule. The bill 
prohibits a competitive electricity provider or a 3rd-party sales agent from representing 
itself as an alternative to a transmission and distribution utility.