Texas Administrative Code › Title 16 - ECONOMIC REGULATION › Part 2 - PUBLIC UTILITY COMMISSION OF TEXAS › Chapter 25 - SUBSTANTIVE RULES APPLICABLE TO ELECTRIC SERVICE PROVIDERS › Subchapter R - CUSTOMER PROTECTION RULES FOR RETAIL ELECTRIC SERVICE PROVIDERS › Section 25.475 - General Retail Electric Provider Requirements and Information Disclosures to Residential and Small Commercial Customers

Current through Reg. 49, No. 28; July 12, 2024
(a) Applicability. The requirements of this
				  section apply to retail electric providers (REPs) in connection with the
				  provision of service and marketing to residential and small commercial
				  customers. When specifically stated, the requirements of this section apply to
				  brokers, aggregators, and transmission and distribution utilities (TDUs). The
				  requirements for an additional notice to residential customers of contract
				  expiration is effective for contracts entered into on or after September 1,
				  2021. REPs must comply with the requirements set forth in
				  §25.475(e)(2)(B)(ii), (e)(2)(C)(iii), (v), (vi), (vii), (h)(4), (h)(6)(C),
				  and the requirements set forth under §25.475(e)(1) for contracts entered
				  into with small commercial customers by April 1, 2022. Contracts entered into
				  prior to the effective date of these provisions must comply with the provisions
				  of this section in effect at the time the contracts were executed.
(b) Definitions. The definitions set forth in
				  §25.5 (relating to Definitions) and §
										RSA
				  25.471<subdiv>(d)</subdiv>
				  (relating to General Provisions of Customer Protection Rules) of this title
				  apply to this section. In addition, the following words and terms, when used in
				  this section have the following meanings, unless the context indicates
				  otherwise.
(1) Contract--The terms of service
				  document, the Electricity Facts Label (EFL), Your Rights as a Customer document
				  (YRAC), and the documentation of enrollment pursuant to §
											RSA
				  25.474 of this title (relating to Selection
				  of Retail Electric Provider), and, if applicable, Prepaid Disclosure Statement
				  (PDS).
(2) Contract documents--The
				  terms of service, EFL, YRAC, and, if applicable, PDS.
(3) Contract expiration--The time when the
				  initial term contract is completed. A new contract is initiated when the
				  customer begins receiving service pursuant to the new EFL.
(4) Contract term--The time period the
				  contract is in effect.
(5) Fixed
				  rate product--A retail electric product with a term of at least three months
				  for which the price (including all recurring charges and ancillary service
				  charges) for each billing period of the contract term is the same throughout
				  the contract term, except that the price may vary from the disclosed amount
				  solely to reflect actual changes in TDU charges, changes to the Electric
				  Reliability Council of Texas (ERCOT) or Texas Regional Entity, Inc.
				  administrative fees charged to loads or changes resulting from federal, state
				  or local laws that impose new or modified fees or costs on a REP that are
				  beyond the REP's control. The price may not vary from the disclosed amount to
				  reflect changes in ancillary service charges unless the commission expressly
				  designates a specific type of ancillary service product as incurring charges
				  beyond the REP's control for a customer's existing contract.
(6) Indexed product--A retail electric
				  product for which the price, including recurring charges, can vary according to
				  a pre-defined pricing formula that is based on publicly available indices or
				  information and is disclosed to the customer, and to reflect actual changes in
				  TDU charges, changes to the ERCOT or Texas Regional Entity administrative fees
				  charged to loads or changes resulting from federal, state or local laws or
				  regulatory actions that impose new or modified fees or costs on a REP that are
				  beyond the REPs control. An indexed product may be for a term of three months
				  or more, or may be a month-to-month contract.
(7) Month-to-month contract--A contract with
				  a term of 31 days or less. A month-to-month contract may not contain a
				  termination fee or penalty.
(8)
				  Price--The cost for a retail electric product that includes all recurring
				  charges, including the cost of ancillary services, excluding state and local
				  sales taxes, and reimbursement for the state miscellaneous gross receipts
				  tax.
(9) Recurring charge--A charge
				  for a retail electric product that is expected to appear on a customer's bill
				  in every billing period or appear in three or more billing periods in a twelve
				  month period. A charge is not considered recurring if it will be billed by the
				  TDU and passed on to the customer and will either not be applied to all
				  customers of that class within the TDU territory, or cannot be known until the
				  customer enrolls or requests a specific service.
(10) Term contract--A contract with a term in
				  excess of 31 days.
(11) Variable
				  price product--A retail product for which price may vary according to a method
				  determined by the REP, including a product for which the price, can increase no
				  more than a defined percentage as indexed to the customer's previous billing
				  month's price. For residential customers, a variable price product can be only
				  a month-to-month contract.
(12)
				  Wholesale Indexed Product--A retail electric product in which the price a
				  customer pays for electricity includes a direct pass-through of real-time
				  settlement point prices determined by the independent organization certified
				  under the Public Utility Regulatory Act (PURA) §39.151 for the ERCOT power
				  region.