The Changing Face Of Default Service Procurements In Pa.

Law360, New York (January 28, 2014, 1:07 PM EST) -- When Pennsylvania embarked on the deregulation (or as some would say “re-regulation”) of its retail electric markets in 1997, it established the approach to providing “default service,” i.e., the electricity provided to those retail electricity customers that either cannot (usually for economic reasons) or chose (consciously or otherwise) not to shop for their electricity with what was then an emerging group of competitive electric generation suppliers.

The 1996 electric restructuring legislation, known as the “Electricity Generation Customer Choice and Competition Act,” 66 Pa.C.S. § 2801, et seq., required the incumbent electric utilities to provide such default service to customers, both during...

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