Pennsylvania SB 977: An Act amending Title 66 (Public Utilities) of the Pennsylvania Consolidated Statutes, providing for consumer choice billing; imposing penalties; and making repeals.

Bill Text

PRINTER'S NO. 1118
THE GENERAL ASSEMBLY OF PENNSYLVANIA
SENATE BILL
No. 977
Session of
2025
INTRODUCED BY PHILLIPS-HILL, MASTRIANO, J. WARD, ROTHMAN, YAW
AND CULVER, AUGUST 25, 2025
REFERRED TO CONSUMER PROTECTION AND PROFESSIONAL LICENSURE,
AUGUST 25, 2025
AN ACT
Amending Title 66 (Public Utilities) of the Pennsylvania
Consolidated Statutes, providing for consumer choice billing;
imposing penalties; and making repeals.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Title 66 of the Pennsylvania Consolidated
Statutes is amended by adding a chapter to read:
CHAPTER 22A
CONSUMER CHOICE BILLING
Sec.
22A01. Scope of chapter.
22A02. Declaration of policy.
22A03. Definitions.
22A04. Authorization of consumer choice billing.
22A05. Implementation plans.
22A06. Report.
22A07. Penalties.
§ 22A01. Scope of chapter.
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This chapter provides for enhanced retail electric and
natural gas competition through the adoption of electric and
natural gas consumer choice billing and enhanced consumer
protection regulations to be promulgated and enforced by the
commission.
§ 22A02. Declaration of policy.
The General Assembly finds and declares as follows:
(1) Reasonably priced reliable sources of electricity
and natural gas generated and supplied in this Commonwealth
are vital to the health, safety and welfare of this
Commonwealth's residents, businesses and economy.
(2) Numerous states, including this Commonwealth, have
transitioned to a restructured energy market that has lowered
the cost of electricity and natural gas and spurred
technological and product innovations by authorizing
competitive retail electric and natural gas supplier
shopping.
(3) The former provisions of 15 Pa.C.S. Ch. 74 (relating
to generation choice for customers of electric cooperatives)
and Chapters 22 (relating to natural gas competition) and 28
(relating to restructuring of electric utility industry)
allow retail competition among electric and natural gas
generation companies in order to lower consumer costs while
maintaining regulation and supervision of electric and
natural gas transmission and distribution services.
(4) The year 2021 marked the 25th anniversary of the
enactment of the former provisions of 15 Pa.C.S. Ch. 74, the
22nd anniversary of the enactment of the Natural Gas Choice
and Competition Act and the 25th anniversary of the enactment
of the Electricity Generation Customer Choice and Competition
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Act, yet a ccording to utility shopping statistics released in
January 2022 by the Office of Consumer Advocate, only 18.9%
of residential electric consumers and 11.9% of residential
natural gas consumers are served by an alternative service
supplier, which is an indication that there is tremendous
growth potential in this Commonwealth's residential electric
and natural gas consumer market.
(5) In markets where suppliers do not have access to
smart meter data or the ability to render consolidated bills,
consumers are restricted to one-size-fits-all rates, which
provide limited benefits.
(6) These basic rates may meet the needs of some
consumers, but consolidated billing enables the development
of pricing plans and offers that meet the unique needs of all
consumers, including time-varying rates, demand response and
renewable energy plans.
(7) While this Commonwealth's consumers have invested
billions of dollars into the deployment of more than
5,000,000 smart meters across this Commonwealth, regulated
electric and natural gas distribution utilities have not
capitalized on this consumer usage data to offer cost-
effective and affordable time-of-use products to consumers.
(8) Maintaining the status quo of retail electric and
natural gas policies is not sound public policy given the
turbulence in residential electric and natural gas rates and
the historic public and private financial investments in this
Commonwealth's ever-changing energy marketplace.
(9) By allowing a direct relationship between retail
electric and natural gas suppliers and consumers who choose
to shop, consumer choice billing will enable suppliers to
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clarify their role with consumers, who may believe that they
are only consumers of the utility regardless of their retail
supplier, and solidify that role by providing the products
and services the consumers desire.
(10) The commission's mission is to balance the needs of
consumers and utilities, ensure safe and reliable utility
service, educate consumers on making independent and informed
utility choices and to foster new technologies and
competitive markets in an environmentally sound manner.
(11) To achieve a fully functioning competitive electric
and natural gas market in this Commonwealth, the commission
has the legal and regulatory au