Current through all regulations passed and filed through December 11, 2023
(A) Each electric
utility shall establish written procedures to determine creditworthiness of
nonresidential applicants and customers for
service based solely on the customer's or applicant's creditworthiness. These
procedures shall be submitted in current form to the staff upon
request.
(B) Upon request, each
electric utility shall provide applicants/customers with the following
information:
(1) Their credit history with
that company.
(2) A copy of this
rule, the commission's website and the toll-free and TTY numbers of the
commission's call center.
(C) An applicant shall be deemed creditworthy
if one of the following criteria is satisfied:
(1) The electric utility verifies that the
applicant is a creditworthy property owner or verifies the applicant's
creditworthiness in accordance with legally accepted practices to verify
credit.
(a) The company may
request the applicant's social security or tax identification number in order
to obtain credit information and to establish identity, however if the
applicant elects not to provide his/her social security number or tax
identification number, the utility company may not refuse to provide
service.
(b) If the applicant
declines the utility company's request for a social security or tax
identification number, the utility company shall inform the applicant of other
options for establishing creditworthiness.
(2) The applicant had a prior account with an
electric utility for the same class of service within two years before the date
of application, and the applicant provides proof of the prior account, unless
during the final year of prior service one of the following occurred:
(a) The company disconnected applicant for
nonpayment.
(b) The applicant
failed to pay its bill by the due date at least two times.
(c) The company disconnected the applicant
for a fraudulent practice, tampering, or unauthorized reconnection.
(3) The applicant furnishes a
reasonably safe guarantor, who is a customer of that electric utility, to
secure payment of bills in an amount sufficient for a sixty-day supply for the
service requested.
(4) The
applicant makes a cash deposit as set forth in this rule.
(D) Unless otherwise provided in paragraph
(G) of this rule, when an electric utility fails to demand security within
thirty calendar days after initiation of service, it may not require security
for that service.
(E) Deposit to
establish tariffed service; review of deposit upon customer request.
(1) An electric utility may require an
applicant who fails to establish creditworthiness to make a deposit. The amount
of the deposit shall not exceed one hundred thirty per cent of the estimated
annual average monthly bill for the customer's tariffed service for the ensuing
twelve months.
(2) Upon the
customer's request, the amount of the deposit paid is subject to adjustment,
when the deposit paid differs by twenty per cent or more from the deposit which
would have been required, based upon actual usage for three consecutive billing
periods while taking into account seasonal variations in usage.
(F) Each electric utility which
requires a cash deposit shall communicate to the applicant/ customer:
(1) The reason(s) for its decision.
(2) Options available to establish credit
(including a guarantor to secure payment).
(3) The applicant/customer's right to contest
the electric utility's decision and to demonstrate creditworthiness.
(4) The applicant/customer may appeal the
electric utility's decision to the staff.
(5) The commission's website and the
toll-free and TTY telephone numbers of the commission's call center.
Upon request of the applicant/customer, the information in this
rule shall be provided in writing.
(G) Deposit to reestablish creditworthiness
for tariffed service.
(1) An electric utility
may require a customer to make a deposit, not to exceed one hundred thirty per
cent of the estimated annual average monthly bill for the customer's tariffed
service for the ensuing twelve months, on an existing account, as set forth in
this rule, to reestablish creditworthiness for tariffed service based on the
customer's credit history on that account with that electric utility.
(2) A deposit may be required if the customer
meets one of the following criteria:
(a) After
considering the totality of the customer's circumstances, a utility company may
require a deposit if the customer has not made full payment or payment
arrangements for any given bill containing a previous balance for regulated
service provided by that utility company.
(b) The customer has had service disconnected
for nonpayment, a fraudulent practice, tampering, or unauthorized reconnection
during the preceding twelve months.
(H) Upon acceptance of a deposit, each
electric utility shall furnish a receipt to the applicant or customer which
shows:
(1) The name of the
applicant.
(2) The address of the
premises currently served or to be served.
(3) The billing address for
service.
(4) The amount of the
deposit.
(5) A statement as to the
interest rate to be paid and the length of time the deposit must be held to
qualify for interest.
(6) The
conditions for refunding the deposit.
(I) Each electric utility shall:
(1) Review each nonresidential account after
the first two years of service for which a deposit is being held, and shall
promptly refund the deposit or credit the nonresidential customer's account,
plus interest accrued, if during the preceding twenty-four months,
all of
the following are true:
(a) The customer's
service was not disconnected for nonpayment, a fraudulent practice, tampering,
or unauthorized reconnection.
(b)
The customer had not more than three past due bills.
(c)
The customer is
not delinquent at the time of review.
(2) Upon customer request, but not more than
annually, review each nonresidential account after the first two years of
service for which a deposit is being held, and shall promptly refund the
deposit or credit the customer's account, plus interest accrued, if, with
regard to the preceding twelve months,
all of the following are true:
(a) The customer's service was not
disconnected for nonpayment, a fraudulent practice, tampering, or unauthorized
reconnection.
(b) The customer had
not more than two past due bills.
(c)
The customer is
not delinquent at the time of review.
(3) Annually review each
nonresidential account, for which a deposit is being
held, and shall promptly refund the deposit or credit the customer's account,
plus interest accrued, if during the preceding twelve months:
(a) The customer's service was not
disconnected for nonpayment, a fraudulent practice, tampering, or unauthorized
reconnection; and
(b) The customer
had not more than two past due bills.
(c)
The customer is
not delinquent at the time of review.
(J) Each electric utility shall pay interest
on a deposit of not less than three per cent per annum, provided the company
has held the deposit for at least six consecutive months.
(K) When service is terminated or
disconnected, each electric utility shall promptly:
(1) Apply the deposit and interest accrued to
the final bill for service.
(2)
Refund any amount in excess of the final bill to the customer, unless the
amount of the refund is less than one dollar.
A transfer of service from one premise to another premise
within the electric utility's certified territory or service area shall not be
deemed a disconnection under this paragraph.
(L) Deposits for customers leaving bundled or
standard offer services.
When a customer who has previously paid a deposit to the
electric utility switches to a competitive retail electric service provider and
is no longer served under an electric utility's bundled service or standard
offer service, the electric utility shall apply the electric utility's
generation service portion of the deposit and the accrued interest to the
amounts due and payable on the next bill and refund any amount remaining to the
customer, unless the amount of the refund is less than one dollar.
(M) Each electric
utility shall retain records of customer deposits for at least one year after
the deposit, including interest, is returned and/or applied to the customer's
bill.
Effective:
11/1/2021
Five Year Review (FYR) Dates:
7/22/2021 and
09/30/2026
Promulgated
Under:
111.15
Statutory Authority: R.C.
4905.22,
4905.04,
4928.06,
4928.11
Rule Amplifies: R.C.
4905.06,
4905.22,
4928.11
Prior Effective Dates: 05/16/1971, 07/01/1999, 01/01/2004,
06/29/2009, 12/20/2014
