WeVote
Log In

Bill

Bill

B 26-0750

Retail Energy Market Consumer Protection Amendment Act of 2026

26th Council Period (2025-2026) Introduced by Phil Mendelson

Imposes price caps and enhanced consumer protections for residential electricity and natural gas from market participants, including disclosure of contract terms and stricter repor

Referred to Committee on Transportation and the Environment
0
WeVote Research Nonpartisan
Bill Summary · B 26-0750

Purpose and overall aim

  • The Retail Energy Market Consumer Protection Amendment Act of 2026 is a standalone measure addressing consumer protection in the District’s retail electricity and natural gas markets.
  • It mirrors Subtitle E of Title VI from Bill 26-661 (Budget Support Act) but separates it for targeted public consideration. The goal is to prevent unfair trade practices, provide consumer protections, and maintain a robust, competitive energy market.

Key provisions and changes

Electricity ( Retail Electric Competition and Consumer Protection Act of 1999 amendments)

  • Definitions and scope updates:
    • Updates references to the Department of Energy and Environment and clarifies Director roles.
    • Minor cross-reference adjustments to align with new sections.
  • Market participant responsibilities and consumer protections:
    • Adds a new Sec. 107a establishing protections for residential electricity customers.
    • Price controls:
    • The Commission must establish one or more price caps for residential electricity supplied by market participants.
    • Default cap: not to exceed 110% of the current price of the Standard Offer Service (SOS).
    • Exceptions:
      • Caps may exceed 110% when electricity is sourced from Tier 1 or Tier 2 renewable sources and accompanied by demonstrated procurement of renewable energy credits beyond the required Renewable Energy Portfolio Standard (RPS) levels.
      • The Commission may grant exemptions or higher caps for specific market participants or contract types if it serves the public interest, considering factors such as innovation, long-term savings, energy-related benefits, and risks to customers.
    • Enforceability of price caps:
    • Contracts that exceed the cap are void as a public policy matter.
    • If a pre-existing contract was compliant at the time of cap establishment or is amended within 60 days to conform, it is not voided.
  • Transparency and consumer information:
    • Requires market participants to share standard contract terms for residential contracts on a Commission-approved comparison website before offering to customers.
    • The Commission will designate which standard terms are posted and may run its own site for contract comparisons.
    • Market participants must notify the Commission when terms are posted, modified, or removed; the Commission can set notification rules.
  • Reporting and data:
    • Implement enhanced reporting requirements for market participants, including:
    • Company name, number of distinct rates, rate prices, number of customers per rate, sales volume, arrears, customer switches, and contract lengths.
    • Provisions to protect confidential information while allowing public access to redacted reports.
    • Access for the Office of the People’s Counsel, the Office of the Attorney General, and the Department upon request.
    • Public use of aggregated data without identifying individuals.
    • The Commission can adjust reporting requirements or add new ones as needed.
  • Limitations and exemptions:
    • Protections do not apply to SOS, municipal aggregations, microgrids, or district/federal government supply.
  • Implementation timeline:
    • The Commission must issue rules or orders to implement this section within 270 days of the act’s applicability.

Gas ( Retail Natural Gas Supplier Licensing and Consumer Protection Act of 2004 amendments)

  • Enhanced consumer protections for residential natural gas:
    • Requires price caps for residential natural gas, not to exceed 110% of the gas company’s default service price, with exemptions possible for public interest and innovation.
    • Early termination rights:
    • Residential customers may terminate without penalties; suppliers cannot charge termination fees.
    • Market participant responsibility and enforcement:
    • Natural gas suppliers must ensure their agents and brokers comply with applicable protections and are liable for violations.
  • Standard contract terms and transparency:
    • Similar to electricity, requires sharing standard contract terms on a Commission-approved website.
    • Designation of posted terms and mandatory notifications for postings, changes, and removals.
  • Reporting and data sharing:
    • Adds detailed reporting requirements for natural gas suppliers (rates, customers, sales, arrears, switches, contract lengths) and confidential data handling provisions.
  • Exemptions and exceptions:
    • Excludes default service, municipal aggregation, and government supplies from these requirements.
  • Implementation timeline:
    • The Commission must issue rules or orders to implement this section within 270 days of the act’s effective date.

Affected parties

  • Residential customers of electricity and natural gas who purchase from market participants (third-party suppliers).
  • Market participants, including electricity and natural gas suppliers, their agents, brokers, marketers, and contractors.
  • The Commission (DC Public Service Commission) as the regulator for price caps, contracts, reporting, and website postings.
  • Public oversight offices (Office of the People’s Counsel, Office of the Attorney General) and the Department of Energy and Environment.
  • Utilities providing Standard Offer Service (SOS) or default services, and municipal aggregations.

Procedural and timeline aspects

  • Effective mechanics:
    • The act establishes price caps, contract disclosure requirements, and enhanced reporting that regulators will enforce.
  • Rulemaking timeline:
    • The Commission has up to 270 days after the act’s applicability date to issue implementing rules or orders.
  • Effective date:
    • The act becomes law after mayoral approval, a 30-day Congressional-review window, and publication in the D.C. Register.

Fiscal impact

  • The bill adopts a fiscal impact statement in the committee report; specifics would be detailed in that statement, reflecting regulatory administration costs, potential benefits from consumer protections, and any impacts on market participants.

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.