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Pa. PUC Approves Settlement Requiring Additional Transparency Regarding Offering, Billing Of Non-Utility Services At FirstEnergy Utilities

Category: Pennsylvania
Related Categories: FirstEnergy, Rate Case, Utility

The Pennsylvania PUC approved without modification a rate case settlement under which FirstEnergy Pennsylvania Electric Company (FirstEnergy-PA, formerly Met-Ed, Penelec, Penn Power and West Penn Power individually) will implement changes meant to better inform customers regarding the nature of non-basic services offered by the utility, or third parties in partnership with the utility.

FirstEnergy-PA currently offers a variety of non-utility, or “non-basic”, services, with services provided by the utility itself, or by an unaffiliated third party. Various protection plans are offered by non-affiliate HomeServe, while FirstEnergy-PA also offers, under the “FirstEnergy Products and Services” brand, services including surge protection, security lighting, EV charger installation, and more.

Over 200,000 customers were receiving a non-basic service from FirstEnergy-PA as of June 2024

Under the rate case settlement, FirstEnergy-PA will include a “non-basic” services identifier on its customer bills prior to the listing of the non-basic products and services included on the bill.

Furthermore, FirstEnergy-PA’s web portal will identify any relevant product or service as “non-basic”, and state that such products or services are not required to be purchased from the utility, and that other companies offer these same services

For customers electing a non-basic product or service, FirstEnergy-PA will also educate customers regarding: (1) the definition of non-basic service, (2) the relationship between non-basic and basic services, and (3) relevant customer protections.

Such educational materials shall be provided in “plain language” through FirstEnergy-PA’s web portal, its marketing materials, “or other appropriate delivery channels best suited to ensure transparency, enhance customer comprehension and considering customer communication preferences.”

The stipulation adopted by the PUC provides that the settling parties’ agreement concerning the above-listed non-basic service provisions, “should not be interpreted as any party’s agreement to or acceptance of the Company’s provision of non-basic services or products.”

Parties retain the right to challenge FirstEnergy-PA’s offering of non-basic products and services in any future proceeding.

Order (11/21/2024)

R-2024-3047068 

FirstEnergy Rate Case