1Amending Title 66 (Public Utilities) of the Pennsylvania
2Consolidated Statutes, in restructuring of electric utility
3industry, providing for electric generation supply service at
4variable rate.

5The General Assembly of the Commonwealth of Pennsylvania
6hereby enacts as follows:

7Section 1. Title 66 of the Pennsylvania Consolidated
8Statutes is amended by adding a section to read:

9§ 2809.1. Electric generation supply service at variable rate.

10(a) Variable rate prohibited.--An electric generation
11supplier may not contract with a retail customer who
12participates in universal service and energy conservation for
13electric generation supply service at a variable rate.

14(b) Variable rate permitted.--An electric generation
15supplier may contract with a retail customer who does not
16participate in universal service and energy conservation for
17electric generation supply service at a variable rate if the
18commission approves of the terms and conditions of the contract

1under subsection (c).

2(c) Language authorization.--

3(1) Before contracting with a retail customer under
4subsection (b), an electric generation supplier shall submit
5the terms and conditions of the contract to the commission.
6The commission shall approve or deny the terms and conditions
7of the contract based on the following:

8(i) Whether the terms and conditions are printed in 
9large font on a document that is detached from the 
10customer's bill.

11(ii) Whether the contract length, pricing and
12renewal terms are prominently displayed.

13(iii) Whether the terms and conditions are in plain
14language and describe what service the customer will
15receive upon agreeing to service at a variable rate.

16(2) The commission shall provide notice to the electric
17generation supplier of the commission's approval or denial of
18the terms and conditions of the contract under paragraph (1).

19(d) Penalties.--In addition to the penalties authorized
20under section 3301 (relating to civil penalties for violations),
21an electric generation supplier that violates this section shall
22be subject to sections 3, 3.1, 4, 4.1, 5, 8 and 9.2 of the act 
23of December 17, 1968 (P.L.1224, No.387), known as the Unfair 
24Trade Practices and Consumer Protection Law.

25(e) Applicability.--This section shall apply to contracts
26for electric generation supply service executed on or after the
27effective date of this section.

28(f) Definition.--As used in this section, the term "variable
29rate" means an all-inclusive per kilowatt rate that may
30fluctuate based on changes in electric market conditions.

1Section 2. This act shall take effect in 60 days.