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1 | AN ACT concerning regulation.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 5. The Public Utilities Act is amended by adding | ||||||
5 | Section 20-130 and by changing Sections 8-406, 8-503, and | ||||||
6 | 16-118 as follows:
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7 | (220 ILCS 5/8-406) (from Ch. 111 2/3, par. 8-406)
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8 | Sec. 8-406. Certificate of public convenience and | ||||||
9 | necessity.
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10 | (a) No public utility not owning any city or village
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11 | franchise nor engaged in performing any public service or in | ||||||
12 | furnishing any
product or commodity within this State as of | ||||||
13 | July 1, 1921 and not
possessing a certificate of
public | ||||||
14 | convenience and necessity from the Illinois Commerce | ||||||
15 | Commission,
the State Public Utilities Commission or
the Public | ||||||
16 | Utilities Commission, at the time this amendatory Act of 1985 | ||||||
17 | goes
into effect, shall transact any business in this State | ||||||
18 | until it shall have
obtained a certificate from the Commission | ||||||
19 | that public convenience and
necessity require the transaction | ||||||
20 | of such business.
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21 | (b) No public utility shall begin the construction of any | ||||||
22 | new plant,
equipment, property or facility which is not in | ||||||
23 | substitution of any
existing plant, equipment, property or |
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1 | facility or any extension or
alteration thereof or in addition | ||||||
2 | thereto,
unless and until it shall have obtained from the
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3 | Commission a certificate that public convenience and necessity | ||||||
4 | require such
construction. Whenever after a hearing the | ||||||
5 | Commission determines that any
new construction or the | ||||||
6 | transaction of any business by a public utility will
promote | ||||||
7 | the public convenience and is necessary thereto, it shall have | ||||||
8 | the
power to issue certificates of public convenience and | ||||||
9 | necessity. The
Commission shall determine that proposed | ||||||
10 | construction will promote the
public convenience and necessity | ||||||
11 | only if the utility demonstrates: (1) that the
proposed | ||||||
12 | construction is necessary to provide adequate, reliable, and
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13 | efficient service to its customers and is the
least-cost means | ||||||
14 | of
satisfying the service needs of its customers or that the | ||||||
15 | proposed construction will promote the development of an | ||||||
16 | effectively competitive electricity market that operates | ||||||
17 | efficiently, is equitable to all customers, and is the least | ||||||
18 | cost means of satisfying those objectives ;
(2) that the utility | ||||||
19 | is capable of efficiently managing and
supervising the | ||||||
20 | construction process and has taken sufficient action to
ensure | ||||||
21 | adequate and efficient construction and supervision thereof; | ||||||
22 | and (3)
that the utility is capable of financing the proposed | ||||||
23 | construction without
significant adverse financial | ||||||
24 | consequences for the utility or its
customers.
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25 | (c) After the effective date of this amendatory Act of | ||||||
26 | 1987, no
construction shall commence on any new nuclear
power |
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1 | plant to be located within this State, and no certificate of | ||||||
2 | public
convenience and necessity or other authorization shall | ||||||
3 | be issued therefor
by the Commission, until the Director of the | ||||||
4 | Illinois Environmental
Protection Agency finds that the United | ||||||
5 | States Government, through its
authorized agency, has | ||||||
6 | identified and approved a demonstrable technology or
means for | ||||||
7 | the disposal of high level nuclear waste, or until such
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8 | construction has been specifically approved by a statute | ||||||
9 | enacted by the General
Assembly.
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10 | As used in this Section, "high level nuclear waste" means | ||||||
11 | those aqueous
wastes resulting from the operation of the first | ||||||
12 | cycle of the solvent
extraction system or equivalent and the | ||||||
13 | concentrated wastes of the
subsequent extraction cycles or | ||||||
14 | equivalent in a facility for reprocessing
irradiated reactor | ||||||
15 | fuel and shall include spent fuel assemblies prior to
fuel | ||||||
16 | reprocessing.
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17 | (d) In making its determination, the Commission shall | ||||||
18 | attach primary
weight to the cost or cost savings to the | ||||||
19 | customers of the utility. The
Commission may consider any or | ||||||
20 | all factors which will or may affect such
cost or cost savings.
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21 | (e) The Commission may issue a temporary certificate which | ||||||
22 | shall remain
in force not to exceed one year in cases of | ||||||
23 | emergency, to assure maintenance
of adequate service or to | ||||||
24 | serve particular customers, without notice or
hearing, pending | ||||||
25 | the determination of an application for a certificate, and
may | ||||||
26 | by regulation exempt from the requirements of this Section |
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1 | temporary
acts or operations for which the issuance of a | ||||||
2 | certificate will not be
required in the public interest.
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3 | A public utility shall not be required to obtain but may | ||||||
4 | apply for and
obtain a certificate of public convenience and | ||||||
5 | necessity pursuant to this
Section with respect to any matter | ||||||
6 | as to which it has received the
authorization or order of the | ||||||
7 | Commission under the Electric Supplier Act,
and any such | ||||||
8 | authorization or order granted a public utility by the
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9 | Commission under that Act shall as between public utilities be | ||||||
10 | deemed to
be, and shall have except as provided in that Act the | ||||||
11 | same force and effect
as, a certificate of public convenience | ||||||
12 | and necessity issued pursuant to this
Section.
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13 | No electric cooperative shall be made or shall become a | ||||||
14 | party to or shall
be entitled to be heard or to otherwise | ||||||
15 | appear or participate in any
proceeding initiated under this | ||||||
16 | Section for authorization of power plant
construction and as to | ||||||
17 | matters as to which a remedy is available under The
Electric | ||||||
18 | Supplier Act.
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19 | (f) Such certificates may be altered or modified by the | ||||||
20 | Commission, upon
its own motion or upon application by the | ||||||
21 | person or corporation affected.
Unless exercised within a | ||||||
22 | period of 2 years from the grant thereof
authority conferred by | ||||||
23 | a certificate of convenience and necessity issued by
the | ||||||
24 | Commission shall be null and void.
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25 | No certificate of public convenience and necessity shall be | ||||||
26 | construed as
granting a monopoly or an exclusive privilege, |
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1 | immunity or franchise.
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2 | (Source: P.A. 90-561, eff. 12-16-97.)
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3 | (220 ILCS 5/8-503) (from Ch. 111 2/3, par. 8-503)
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4 | Sec. 8-503. Whenever the Commission, after a hearing, shall | ||||||
5 | find that
additions, extensions, repairs or improvements to, or | ||||||
6 | changes in, the
existing plant, equipment, apparatus, | ||||||
7 | facilities or other physical property
of any public utility or | ||||||
8 | of any 2 or more public utilities are
necessary
and ought | ||||||
9 | reasonably to be made or that a new structure or structures is | ||||||
10 | or
are necessary and should be erected, to promote the security | ||||||
11 | or convenience
of its employees or the public or promote the | ||||||
12 | development of an effectively competitive electricity market , | ||||||
13 | or in any other way to secure adequate
service or facilities, | ||||||
14 | the Commission shall make and serve an order
authorizing or | ||||||
15 | directing that such additions, extensions, repairs,
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16 | improvements or changes be made, or such structure or | ||||||
17 | structures be erected
at the location, in the manner and within | ||||||
18 | the time specified in said order;
provided, however, that the
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19 | Commission shall have no authority to order the construction,
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20 | addition or extension of any electric generating plant unless
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21 | the public utility requests a certificate for the construction
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22 | of the plant pursuant to Section 8-406 and in conjunction with
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23 | such request also requests the entry of an order under this
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24 | Section.
If any additions, extensions, repairs, improvements | ||||||
25 | or changes, or any new
structure or structures, which the |
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1 | Commission has authorized or ordered to
be erected, require | ||||||
2 | joint action by 2 or more public utilities, the
Commission | ||||||
3 | shall notify the said public utilities that such additions,
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4 | extensions, repairs, improvements or changes or new structure | ||||||
5 | or structures
have been authorized or ordered and that the same | ||||||
6 | shall be made at the
joint cost whereupon the said public | ||||||
7 | utilities shall have such reasonable
time as the Commission may | ||||||
8 | grant within which to agree upon the
apportionment or division | ||||||
9 | of cost of such additions, extensions, repairs,
improvements or | ||||||
10 | changes or new structure or structures, which each shall
bear. | ||||||
11 | If at the expiration of such time such public utilities shall | ||||||
12 | fail to
file with the Commission a statement that an agreement | ||||||
13 | has been made for a
division or apportionment of the cost or | ||||||
14 | expense of such additions,
extensions, repairs, improvements | ||||||
15 | or changes, or new structure or
structures, the Commission | ||||||
16 | shall have authority, after further hearing, to
make an order | ||||||
17 | fixing the proportion of such cost or expense to be borne by
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18 | each public utility and the manner in which the same shall be | ||||||
19 | paid or secured.
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20 | Nothing in this Act shall prevent the Commission, upon its | ||||||
21 | own motion
or upon petition, from ordering, after a hearing, | ||||||
22 | the extension, construction,
connection or interconnection of | ||||||
23 | plant, equipment, pipe, line, facilities
or other physical | ||||||
24 | property of a public utility in whatever configuration the
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25 | Commission finds necessary to ensure that natural gas is made | ||||||
26 | available to
consumers at no increased cost to the customers of |
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1 | the utility supplying the gas.
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2 | Whenever the Commission finds, after a hearing, that the | ||||||
3 | public convenience
or necessity requires it, the Commission may | ||||||
4 | order public utilities subject
to its jurisdiction to work | ||||||
5 | jointly (1) for the purpose of purchasing and
distributing | ||||||
6 | natural gas or gas substitutes, provided it shall not increase
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7 | the cost of gas to the customers of the participating | ||||||
8 | utilities, or (2) for
any other reasonable purpose.
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9 | (Source: P.A. 90-561, eff. 12-16-97.)
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10 | (220 ILCS 5/16-118)
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11 | Sec. 16-118. Services provided by electric utilities to
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12 | alternative retail electric suppliers.
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13 | (a) It is in the best interest of Illinois energy
consumers | ||||||
14 | to promote fair and open competition in the
provision of | ||||||
15 | electric power and energy and to prevent
anticompetitive | ||||||
16 | practices in the provision of electric power
and energy.
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17 | Therefore, to the extent an electric utility provides electric | ||||||
18 | power and energy
or delivery services to alternative retail | ||||||
19 | electric suppliers and such services
are not subject to the | ||||||
20 | jurisdiction of the Federal Energy
Regulatory Commission, and | ||||||
21 | are not competitive services, they
shall be provided through | ||||||
22 | tariffs that are filed with the
Commission, pursuant to Article | ||||||
23 | IX of this Act.
Each electric utility shall permit alternative
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24 | retail electric suppliers to interconnect facilities to those
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25 | owned by the utility provided they meet established standards
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1 | for such interconnection, and may provide standby or other
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2 | services to alternative retail electric suppliers. The
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3 | alternative retail electric supplier shall sign a contract
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4 | setting forth the prices, terms and conditions for
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5 | interconnection with the electric utility and the prices,
terms | ||||||
6 | and conditions for services provided by the electric
utility to | ||||||
7 | the alternative retail electric supplier in
connection with the | ||||||
8 | delivery by the electric utility of
electric power and energy | ||||||
9 | supplied by the alternative retail
electric supplier.
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10 | (b) An electric utility shall file a tariff pursuant to | ||||||
11 | Article IX of the
Act that would allow alternative retail | ||||||
12 | electric suppliers or electric
utilities other than the | ||||||
13 | electric utility in whose service area retail
customers are
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14 | located to issue single bills to the retail customers for both | ||||||
15 | the services
provided by such alternative retail electric | ||||||
16 | supplier or other electric utility
and the delivery services | ||||||
17 | provided by the electric utility to such customers.
The tariff | ||||||
18 | filed pursuant to this subsection shall (i) require partial | ||||||
19 | payments
made by retail customers to be credited first to the | ||||||
20 | electric utility's
tariffed services, (ii) impose commercially | ||||||
21 | reasonable terms with respect to
credit and collection, | ||||||
22 | including requests for deposits, (iii) retain the
electric | ||||||
23 | utility's right to disconnect the retail customers, if it does | ||||||
24 | not
receive payment for its tariffed services, in the same | ||||||
25 | manner that it would be
permitted to if it had billed for the | ||||||
26 | services itself, and (iv) require the
alternative retail |
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1 | electric supplier or other electric utility that elects the
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2 | billing option provided by this tariff to include on each bill | ||||||
3 | to retail
customers an identification of the electric utility | ||||||
4 | providing the delivery
services and a listing of the charges | ||||||
5 | applicable to such services. The tariff
filed pursuant to this | ||||||
6 | subsection may also include other just and reasonable
terms and | ||||||
7 | conditions. In addition,
an electric utility, an alternative | ||||||
8 | retail electric
supplier or electric utility other than the | ||||||
9 | electric utility
in whose service area the customer is located, | ||||||
10 | and a customer
served by such alternative retail electric | ||||||
11 | supplier or other
electric utility, may enter into an agreement | ||||||
12 | pursuant to
which the alternative retail electric supplier or | ||||||
13 | other
electric utility pays the charges specified in Section | ||||||
14 | 16-108,
or other customer-related charges, including taxes and | ||||||
15 | fees,
in lieu of such charges being recovered by the electric
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16 | utility directly from the customer. | ||||||
17 | (c) An electric utility with more than 100,000 customers | ||||||
18 | shall file a tariff pursuant to Article IX of this Act that | ||||||
19 | provides alternative retail electric suppliers, and electric | ||||||
20 | utilities other than the electric utility in whose service area | ||||||
21 | the retail customers are located, with the option to have the | ||||||
22 | electric utility purchase their receivables for power and | ||||||
23 | energy service provided to residential retail customers and | ||||||
24 | non-residential retail customers with a non-coincident peak | ||||||
25 | demand of less than 400 kilowatts. Receivables for power and | ||||||
26 | energy service of alternative retail electric suppliers or |
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1 | electric utilities other than the electric utility in whose | ||||||
2 | service area the retail customers are located shall be | ||||||
3 | purchased by the electric utility at a just and reasonable | ||||||
4 | discount rate to be reviewed and approved by the Commission | ||||||
5 | after notice and hearing. The discount rate shall be based on | ||||||
6 | the electric utility's historical bad debt and any reasonable | ||||||
7 | start-up costs and administrative costs associated with the | ||||||
8 | electric utility's purchase of receivables. The discounted | ||||||
9 | rate for purchase of receivables shall be included in the | ||||||
10 | tariff filed pursuant to this subsection (c). The discount rate | ||||||
11 | filed pursuant to this subsection (c) shall be subject to | ||||||
12 | periodic Commission review. The electric utility retains the | ||||||
13 | right to impose the same terms on retail customers with respect | ||||||
14 | to credit and collection, including requests for deposits, and | ||||||
15 | retain the electric utility's right to disconnect the retail | ||||||
16 | customers, if it does not receive payment for its tariffed | ||||||
17 | services or purchased receivables, in the same manner that it | ||||||
18 | would be permitted to if the retail customers purchased power | ||||||
19 | and energy from the electric utility. The tariff filed pursuant | ||||||
20 | to this subsection (c) shall permit the electric utility to | ||||||
21 | recover from retail customers any uncollected receivables that | ||||||
22 | may arise as a result of the purchase of receivables under this | ||||||
23 | subsection (c), may also include other just and reasonable | ||||||
24 | terms and conditions, and shall provide for the prudently | ||||||
25 | incurred costs associated with the provision of this service | ||||||
26 | pursuant to this subsection (c). Nothing in this subsection (c) |
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1 | permits the double recovery of bad debt expenses from | ||||||
2 | customers. | ||||||
3 | (d) An electric utility with more than 100,000 customers | ||||||
4 | shall file a tariff pursuant to Article IX of this Act that | ||||||
5 | would provide alternative retail electric suppliers or | ||||||
6 | electric utilities other than the electric utility in whose | ||||||
7 | service area retail customers are located with the option to | ||||||
8 | have the electric utility produce and provide single bills to | ||||||
9 | the retail customers for both the electric power and energy | ||||||
10 | service provided by the alternative retail electric supplier or | ||||||
11 | other electric utility and the delivery services provided by | ||||||
12 | the electric utility to the customers. The tariffs filed | ||||||
13 | pursuant to this subsection shall require the electric utility | ||||||
14 | to collect and remit customer payments for electric power and | ||||||
15 | energy service provided by alternative retail electric | ||||||
16 | suppliers or electric utilities other than the electric utility | ||||||
17 | in whose service area retail customers are located. The tariff | ||||||
18 | filed pursuant to this subsection shall require the electric | ||||||
19 | utility to include on each bill to retail customers an | ||||||
20 | identification of the alternative retail electric supplier or | ||||||
21 | other electric utility that elects the billing option. The | ||||||
22 | tariff filed pursuant to this subsection (d) may also include | ||||||
23 | other just and reasonable terms and conditions and shall | ||||||
24 | provide for the recovery of prudently incurred costs associated | ||||||
25 | with the provision of service pursuant to this subsection (d). | ||||||
26 | The costs associated with the provision of service pursuant to |
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1 | this Section shall be subject to periodic Commission review.
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2 | (e) An electric utility with more than 100,000 customers in | ||||||
3 | this State shall file a tariff pursuant to Article IX of this | ||||||
4 | Act that provides alternative retail electric suppliers, and | ||||||
5 | electric utilities other than the electric utility in whose | ||||||
6 | service area the retail customers are located, with the option | ||||||
7 | to have the electric utility purchase 2 billing cycles worth of | ||||||
8 | uncollectible receivables for power and energy service | ||||||
9 | provided to residential retail customers and to | ||||||
10 | non-residential retail customers with a non-coincident peak | ||||||
11 | demand of less than 400 kilowatts upon returning that customer | ||||||
12 | to that electric utility for delivery and energy service after | ||||||
13 | that alternative retail electric supplier, or an electric | ||||||
14 | utility other than the electric utility in whose service area | ||||||
15 | the retail customer is located, has made reasonable collection | ||||||
16 | efforts on that account. Uncollectible receivables for power | ||||||
17 | and energy service of alternative retail electric suppliers, or | ||||||
18 | electric utilities other than the electric utility in whose | ||||||
19 | service area the retail customers are located, shall be | ||||||
20 | purchased by the electric utility at a just and reasonable | ||||||
21 | discount rate to be reviewed and approved by the Commission, | ||||||
22 | after notice and hearing. The discount rate shall be based on | ||||||
23 | the electric utility's historical bad debt for receivables that | ||||||
24 | are outstanding for a similar length of time and any reasonable | ||||||
25 | start-up costs and administrative costs associated with the | ||||||
26 | electric utility's purchase of receivables. The discounted |
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1 | rate for purchase of uncollectible receivables shall be | ||||||
2 | included in the tariff filed pursuant to this subsection (e). | ||||||
3 | The electric utility retains the right to impose the same terms | ||||||
4 | on these retail customers with respect to credit and | ||||||
5 | collection, including requests for deposits, and retains the | ||||||
6 | right to disconnect these retail customers, if it does not | ||||||
7 | receive payment for its tariffed services or purchased | ||||||
8 | receivables, in the same manner that it would be permitted to | ||||||
9 | if the retail customers had purchased power and energy from the | ||||||
10 | electric utility. The tariff filed pursuant to this subsection | ||||||
11 | (e) shall permit the electric utility to recover from retail | ||||||
12 | customers any uncollectable receivables that may arise as a | ||||||
13 | result of the purchase of uncollectible receivables under this | ||||||
14 | subsection (e), may also include other just and reasonable | ||||||
15 | terms and conditions, and shall provide for the prudently | ||||||
16 | incurred costs associated with the provision of this service | ||||||
17 | pursuant to this subsection (e). Nothing in this subsection (e) | ||||||
18 | permits the double recovery of utility bad debt expenses from | ||||||
19 | customers. The electric utility may file a joint tariff for | ||||||
20 | this subsection (e) and subsection (c) of this Section.
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21 | (Source: P.A. 90-561, eff. 12-16-97.)
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22 | (220 ILCS 5/20-130 new) | ||||||
23 | Sec. 20-130. Retail choice and referral programs. | ||||||
24 | (a) The Commission shall have the authority to establish | ||||||
25 | retail choice and referral programs to be administered by an |
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1 | electric utility or the State in which residential and small | ||||||
2 | commercial customers receive incentives, including, but not | ||||||
3 | limited to, discounted rate introductory offers for switching | ||||||
4 | to participating electric suppliers. | ||||||
5 | (b) Reasonable costs associated with the implementation | ||||||
6 | and operation of customer choice and referral programs may be | ||||||
7 | recovered in an electric utility's distribution rates, except | ||||||
8 | that any costs associated with any introductory discount for | ||||||
9 | switching to a supplier shall be assumed by that supplier. | ||||||
10 | Reasonable costs associated with the implementation and | ||||||
11 | operation of a customer choice program may also be recovered | ||||||
12 | from retail electric suppliers participating in a customer | ||||||
13 | choice and referral program. In no event, however, shall the | ||||||
14 | Commission mandate a cost recovery mechanism without first | ||||||
15 | providing all interested parties notice and an opportunity to | ||||||
16 | be heard in a hearing before the Commission. | ||||||
17 | (c) The Office of Retail Market Development shall serve as | ||||||
18 | the clearinghouse for the development of retail choice and | ||||||
19 | referral programs and shall work with electric utilities and | ||||||
20 | interested parties on a continuous basis to implement and | ||||||
21 | improve upon the programs. Nothing in this Section, however, | ||||||
22 | shall prevent an electric utility on its own accord from | ||||||
23 | implementing retail choice and referral programs. | ||||||
24 | (d) Only customers that qualify for utility service shall | ||||||
25 | be eligible for retail choice and referral programs. | ||||||
26 | (e) The Office of Retail Market Development shall |
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1 | immediately upon the effective date of this amendatory Act of | ||||||
2 | the 95th General Assembly explore for possible implementation | ||||||
3 | on as expedited a basis as possible the following retail choice | ||||||
4 | and referral programs: | ||||||
5 | (1) An introductory fixed discount program in which | ||||||
6 | suppliers participating in the program offer customers a | ||||||
7 | fixed percentage discount off of the electric utility's | ||||||
8 | supply rate for a set number of billing periods. Customers | ||||||
9 | would be able to enroll in the program by using an online | ||||||
10 | enrollment form, completing an enrollment card found in | ||||||
11 | their monthly electric utility bill, or by calling a | ||||||
12 | toll-free number. Customers would be free to withdraw from | ||||||
13 | the program at any time and select another alternative | ||||||
14 | retail electric supplier or return to the electric utility. | ||||||
15 | (2) A new customer program in which electric utilities | ||||||
16 | would offer consumers initiating new electric service a | ||||||
17 | choice of offers from participating electric suppliers to | ||||||
18 | provide the consumer's electric supply service. Customers | ||||||
19 | expressing a preference for a specific electric supplier | ||||||
20 | would be enrolled with that supplier. Customers not | ||||||
21 | expressing a preference for a specific electric supplier | ||||||
22 | would be offered the opportunity to enroll with an electric | ||||||
23 | supplier selected randomly on a rotating basis. | ||||||
24 | (3) A customer service call center referral program in | ||||||
25 | which customers calling an electric utility's call center | ||||||
26 | would be offered enrollment with an alternative retail |
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| |||||||
1 | electric supplier and informed that they have the option to | ||||||
2 | receive immediate savings or introductory offers by | ||||||
3 | participating in the referral program. Customers choosing | ||||||
4 | to participate would be transferred to a customer service | ||||||
5 | representative for the program and would either select the | ||||||
6 | electric supplier from which they would like to take | ||||||
7 | service or be placed with a participating electric supplier | ||||||
8 | chosen at random on a rotating basis.
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9 | Nothing in this Section shall prevent the Office of Retail | ||||||
10 | Market Development or the Commission from considering retail | ||||||
11 | choice and referral programs in addition to the programs | ||||||
12 | outlined in this Section.
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13 | Section 10. The Consumer Fraud and Deceptive Business | ||||||
14 | Practices Act is amended by changing Section 2EE as follows:
| ||||||
15 | (815 ILCS 505/2EE)
| ||||||
16 | Sec. 2EE. Electric service provider selection. An electric | ||||||
17 | service provider shall not submit or execute
a change in a | ||||||
18 | subscriber's selection of a provider of electric
service unless | ||||||
19 | and until (i) the provider first discloses all material terms | ||||||
20 | and conditions of the offer to the subscriber; (ii) the | ||||||
21 | provider has obtained the subscriber's express agreement to | ||||||
22 | accept the offer after the disclosure of all material terms and | ||||||
23 | conditions of the offer; and (iii) the provider has confirmed | ||||||
24 | the request for a change in accordance with one of the |
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| |||||||
1 | following procedures
except as follows :
| ||||||
2 | (a) The new electric service provider has obtained the
| ||||||
3 | subscriber's
customer's written or electronically signed
| ||||||
4 | authorization in a form that meets the
following requirements:
| ||||||
5 | (1) An electric service provider shall obtain any
| ||||||
6 | necessary written or electronically signed authorization | ||||||
7 | from a subscriber for a
change in electric service by using | ||||||
8 | a letter of agency as
specified in this
Section. Any letter | ||||||
9 | of agency that does
not conform with this
Section is | ||||||
10 | invalid.
| ||||||
11 | (2) The letter of agency shall be a separate
document | ||||||
12 | (an easily separable document containing only
the | ||||||
13 | authorization language described in subparagraph (a) (5)
of | ||||||
14 | this
Section) whose sole purpose is to authorize an
| ||||||
15 | electric service provider change. The letter of agency
must | ||||||
16 | be signed and dated by the subscriber requesting the
| ||||||
17 | electric service provider change.
| ||||||
18 | (3) The letter of agency shall not be combined with
| ||||||
19 | inducements of any kind on the same document.
| ||||||
20 | (4) Notwithstanding subparagraphs (a) (1) and (a) (2) of
| ||||||
21 | this
Section, the letter of agency may be combined with
| ||||||
22 | checks that contain only the required letter of agency
| ||||||
23 | language prescribed in subparagraph (a)(5)
paragraph (5)
| ||||||
24 | of this Section and
the necessary information to make the | ||||||
25 | check a negotiable
instrument. The letter of agency check | ||||||
26 | shall not contain
any promotional language or material. The |
| |||||||
| |||||||
1 | letter of
agency check shall contain in easily readable, | ||||||
2 | bold-face
type on the face of the check, a notice that the | ||||||
3 | consumer
is authorizing an electric service provider | ||||||
4 | change by
signing the check. The letter of agency language | ||||||
5 | also
shall be placed near the signature line on the back of
| ||||||
6 | the check.
| ||||||
7 | (5) At a minimum, the letter of agency must be
printed | ||||||
8 | with a print of sufficient size to be clearly
legible, and | ||||||
9 | must contain clear and unambiguous language
that confirms:
| ||||||
10 | (i) The subscriber's billing name and address;
| ||||||
11 | (ii) The decision to change the electric service
| ||||||
12 | provider from the current provider to the
prospective | ||||||
13 | provider;
| ||||||
14 | (iii) The terms, conditions, and nature of the
| ||||||
15 | service to be provided to the subscriber must be
| ||||||
16 | clearly and conspicuously disclosed, in writing, and
| ||||||
17 | an electric service provider must directly establish
| ||||||
18 | the rates for the service contracted for by the
| ||||||
19 | subscriber; and
| ||||||
20 | (iv) That the subscriber understand that any
| ||||||
21 | electric service provider selection the subscriber
| ||||||
22 | chooses may involve a charge to the subscriber for
| ||||||
23 | changing the subscriber's electric service provider.
| ||||||
24 | (6) Letters of agency shall not suggest or require
that | ||||||
25 | a subscriber take some action in order to retain the
| ||||||
26 | subscriber's current electric service provider.
|
| |||||||
| |||||||
1 | (7) If any portion of a letter of agency is
translated | ||||||
2 | into another language, then all portions of
the letter of | ||||||
3 | agency must be translated into that
language.
| ||||||
4 | (b) An appropriately qualified independent third party has | ||||||
5 | obtained, in accordance with the procedures set forth in this | ||||||
6 | subsection (b), the subscriber's oral authorization to change | ||||||
7 | electric suppliers that confirms and includes appropriate | ||||||
8 | verification data. The independent third party (i) must not be | ||||||
9 | owned, managed, controlled, or directed by the supplier or the | ||||||
10 | supplier's marketing agent; (ii) must not have any financial | ||||||
11 | incentive to confirm supplier change requests for the supplier | ||||||
12 | or the supplier's marketing agent; and (iii) must operate in a | ||||||
13 | location physically separate from the supplier or the | ||||||
14 | supplier's marketing agent.
| ||||||
15 | Automated third-party verification systems and 3-way | ||||||
16 | conference calls may be used for verification purposes so long | ||||||
17 | as the other requirements of this subsection (b) are satisfied. | ||||||
18 | A supplier or supplier's sales representative initiating a | ||||||
19 | 3-way conference call or a call through an automated | ||||||
20 | verification system must drop off the call once the 3-way | ||||||
21 | connection has been established. | ||||||
22 | All third-party verification methods shall elicit, at a | ||||||
23 | minimum, the following information: (i) the identity of the | ||||||
24 | subscriber; (ii) confirmation that the person on the call is | ||||||
25 | authorized to make the supplier change; (iii) confirmation that | ||||||
26 | the person on the call wants to make the supplier change; (iv) |
| |||||||
| |||||||
1 | the names of the suppliers affected by the change; (v) the | ||||||
2 | service address of the supply to be switched; and (vi) the | ||||||
3 | price of the service to be supplied and the material terms and | ||||||
4 | conditions of the service being offered, including whether any | ||||||
5 | early termination fees apply. Third-party verifiers may not | ||||||
6 | market the supplier's services by providing additional | ||||||
7 | information, including information regarding procedures to | ||||||
8 | block or otherwise freeze an account against further changes. | ||||||
9 | All third-party verifications shall be conducted in the | ||||||
10 | same language that was used in the underlying sales transaction | ||||||
11 | and shall be recorded in their entirety. Submitting suppliers | ||||||
12 | shall maintain and preserve audio records of verification of | ||||||
13 | subscriber authorization for a minimum period of 2 years after | ||||||
14 | obtaining the verification. Automated systems must provide | ||||||
15 | consumers with an option to speak with a live person at any | ||||||
16 | time during the call.
| ||||||
17 | (c) When a subscriber initiates the call to the prospective | ||||||
18 | electric supplier, in order to enroll the subscriber as a | ||||||
19 | customer, the prospective electric supplier must, with the | ||||||
20 | consent of the customer, make a date-stamped, time-stamped | ||||||
21 | audio recording that elicits, at a minimum, the following | ||||||
22 | information: | ||||||
23 | (1) the identity of the subscriber; | ||||||
24 | (2) confirmation that the person on the call is | ||||||
25 | authorized to make the supplier change; | ||||||
26 | (3) confirmation that the person on the call wants to |
| |||||||
| |||||||
1 | make the supplier change; | ||||||
2 | (4) the names of the suppliers affected by the change; | ||||||
3 | (5) the service address of the supply to be switched; | ||||||
4 | and | ||||||
5 | (6) the price of the service to be supplied and the | ||||||
6 | material terms and conditions of the service being offered, | ||||||
7 | including whether any early termination fees apply.
| ||||||
8 | Submitting suppliers shall maintain and preserve the audio | ||||||
9 | records containing the information set forth above for a | ||||||
10 | minimum period of 2 years.
| ||||||
11 | (d) Complaints may be filed with the Illinois Commerce | ||||||
12 | Commission under this Section by a subscriber whose electric | ||||||
13 | service has been provided by an electric service supplier in a | ||||||
14 | manner not in compliance with this Section. If, after notice | ||||||
15 | and hearing, the Commission finds that an electric service | ||||||
16 | provider has violated this Section, the Commission may in its | ||||||
17 | discretion do any one or more of the following: | ||||||
18 | (1) Require the violating electric service provider to | ||||||
19 | refund to the subscriber charges collected in excess of | ||||||
20 | those that would have been charged by the subscriber's | ||||||
21 | authorized electric service provider. | ||||||
22 | (2) Require the violating electric service provider to | ||||||
23 | pay to the subscriber's authorized electric supplier the | ||||||
24 | amount the authorized electric supplier would have | ||||||
25 | collected for the electric service. The Commission is | ||||||
26 | authorized to reduce this payment by any amount already |
| |||||||
| |||||||
1 | paid by the violating electric supplier to the subscriber's | ||||||
2 | authorized provider for electric service. | ||||||
3 | (3) Require the violating electric subscriber to pay a | ||||||
4 | fine of up to $1,000 into the Public Utility Fund for each | ||||||
5 | repeated and intentional violation of this Section. | ||||||
6 | (4) Issue a cease and desist order. | ||||||
7 | (5) For a pattern of violation of this Section or for | ||||||
8 | intentionally violating a cease and desist order, revoke | ||||||
9 | the violating provider's certificate of service authority.
| ||||||
10 | (e) For purposes of this
Section, "electric service | ||||||
11 | provider"
shall have the meaning given that phrase in
Section | ||||||
12 | 6.5 of the
Attorney General Act.
| ||||||
13 | (Source: P.A. 90-561, eff. 12-16-97.)
| ||||||
14 | Section 99. Effective date. This Act takes effect upon | ||||||
15 | becoming law.
|