Texas Senate Bill SB2130

Texas 2009 - 81st Regular

Caption

Relating to providers of last resort.

Impact

This bill specifically affects the operational framework of electric service provision in Texas by reinforcing the role of providers of last resort. By establishing clear guidelines on service provision, notification, and customer rights, SB2130 enhances the regulatory oversight within the electric market. It stipulates that providers must inform customers of other competitive options, fostering customer awareness and potential choices in the energy marketplace. This could lead to improved service quality, as providers are required to maintain competitive practices even in emergency situations.

Summary

SB2130 introduces significant amendments to the Utilities Code concerning providers of last resort, which are essential in ensuring continuity of electric service for customers who lose their original retail electric provider. The bill outlines the responsibilities and requirements for these providers, including the mandate to offer a standard retail service package and the provision of billing and collection services in case of provider default. It aims to enhance customer protection during transitions and improve communication with customers regarding the reasons for service changes, including notification processes when customers are transitioned to emergency services.

Contention

Notable points of contention related to SB2130 may revolve around the balance of regulatory authority between state leadership and the ability of providers to manage their service offerings flexibly. Critics might express concerns regarding how these regulations could affect market competition and innovation, particularly if the requirements are perceived as burdensome for smaller providers. Additionally, the effectiveness of notification practices would be crucial, as inadequate communication could lead to customer dissatisfaction and confusion during transitional phases.