Current through Reg. 50, No. 13; March 28, 2025
(a) Applicability. This section applies to
all brokers.
(b) Definitions. The
following terms, when used in this section, have the following meanings unless
the context indicates otherwise:
(1)
Broker--As defined in §
25.112 of this title (relating to
Registration of Brokers).
(2)
Brokerage services--As defined in §
25.112 of this title.
(3) Client--A person who receives or solicits
brokerage services from a broker.
(4) Client agent--A broker who has the legal
right and authority to act on behalf of a client regarding the selection of,
enrollment for, or contract execution of a product or service offered by a
retail electric provider (REP), including electric service.
(5) Proprietary client information--Any
information that is compiled by a broker on a client or retail electric
customer that makes possible the identification of any individual client or
retail electric customer by matching such information with the client's or
customer's name, address, retail electric account number, type or
classification of retail electric service, historical electricity usage,
expected patterns of use, types of facilities used in providing service,
individual retail electric or brokerage services contract terms and conditions,
price, current charges, billing records, or any information that the client or
customer has expressly requested not be disclosed. Information that is redacted
or organized in such a way as to make it impossible to identify the client or
customer to whom the information relates does not constitute proprietary client
information.
(c)
Voluntary Alteration of Customer Protections. A client other than a residential
or small commercial class customer or applicant, or a non-residential customer
or applicant whose load is part of an aggregation in excess of 50 kilowatts,
may agree to a different level of customer protections related to the provision
of brokerage services than is required by this section. Any such agreements do
not change the level of customer protections a client is entitled to relating
to the provision of retail electric service. Any agreements containing a
different level of protections from those required by this section must be in
writing and provided to the client. Copies of such agreements must be provided
to commission staff upon request.
(d) Broker Communications.
(1) All written, electronic, and oral
communications, including advertising, websites, direct marketing materials,
and billing statements produced by a broker must be clear and not misleading,
fraudulent, unfair, deceptive, or anti-competitive. Prohibited communications
include, but are not limited to:
(A) Stating,
suggesting, implying or otherwise leading a client to believe that receiving
brokerage services will provide a customer with more reliable service from a
transmission and distribution utility (TDU);
(B) Falsely suggesting, implying or otherwise
leading a client to believe that a person is a representative of a TDU, REP,
aggregator, or another broker;
(C)
Falsely stating or suggesting that brokerage services are being provided
without compensation; and
(D)
Falsely claiming to be the client agent of a customer or applicant.
(2) All printed advertisements,
electronic advertising over the Internet, and websites must include the
broker's registered name.
(e) Language Requirements. A broker must
offer customer service and any information required by this section to a client
in the language used to market the broker's products and services to that
client.
(f) Required Disclosures. A
broker must inform a client of the following prior to the initiation of
brokerage services, the renewal of those services, or a material change in the
services provided, or the terms and conditions of those services:
(1) The broker's registered name, business
mailing address, and contact information;
(2) The broker's commission registration
number;
(3) The registered name of
any REP that is an affiliate of the broker;
(4) A clear description of the services the
broker will provide for the client;
(5) The duration of the agreement to provide
brokerage services, if applicable;
(6) A description of how the broker will be
compensated for providing brokerage services and by whom;
(7) How the client can terminate the
agreement to provide brokerage services, if applicable;
(8) The amount of any fee or other cost the
client will incur for terminating the agreement to provide brokerage services,
if applicable; and
(9) The
commission's telephone number and email address for complaints and
inquiries.
(g) Client
Agent Requirements.
(1) An agreement between a
broker and a client that authorizes the broker to act as a client agent for the
client must be in writing.
(2) In
addition to the requirements of subsection (f) of this section, a broker that
acts as a client agent for the client must inform the client of the following:
(A) A clear description of the actions the
broker is authorized to take on the client's behalf;
(B) The duration of the agency
relationship;
(C) How the client
can terminate the agency agreement;
(D) The amount of any fee or other cost the
client will incur for terminating the agency agreement; and
(E) How the client's customer data, including
proprietary client information, and account access information will be used,
protected, and retained by the broker and disposed of at the conclusion of the
agency relationship.
(3)
A broker that is authorized to act as a client agent for the client must
provide evidence of that authority upon request of the client, commission
staff, or a REP with which the broker seeks to enroll the client.
(4) For purposes of §
25.474 of this title (relating to
Selection of Retail Electric Provider), a REP may rely upon the representations
made by a client agent provided that the client agent is registered with the
commission and provides evidence of agency authority.
(h) Unauthorized Charges and Unauthorized
Changes of Retail Electric Provider.
(1)
Unauthorized charges. A broker must not bill an unauthorized charge or cause an
unauthorized charge to be billed to a customer's retail electric service
bill.
(2) Unauthorized service
changes. A broker must not switch or cause to be switched the REP of a customer
without first obtaining the customer's authorization.
(i) Discrimination Prohibited. A broker must
not unduly refuse to provide brokerage services or otherwise unduly
discriminate in the provision of brokerage services to any client because of
race, creed, color, national origin, ancestry, sex, marital status, source or
level of income, disability, or familial status; or refuse to provide brokerage
services to a client because the client is located in an economically
distressed geographic area or qualifies for low-income affordability or energy
efficiency services; or otherwise unreasonably discriminate on the basis of the
geographic location of a client.
(j) Proprietary Client Information.
(1) A broker must not release proprietary
client information to any person unless the client authorizes the release in
writing. This prohibition does not apply to the release of such information to
the commission.
(2) A broker is not
permitted to sell, make available for sale, or authorize the sale of any
client-specific information or data obtained unless the client authorizes the
sale in writing.
(k)
Client Access and Complaint Handling.
(1)
Client Access. Each broker must ensure that clients have reasonable access to
its service representatives to make inquiries and complaints, discuss charges
on bills or any other aspect of the brokerage services provided to the client
by the broker, terminate an agreement to provide services, and transact any
other pertinent business. A broker must promptly investigate client complaints
and advise the complainant of the results. A broker must inform the complainant
of the commission's informal complaint resolution process and the following
contact information for the commission within 21 days of receiving the
complaint: Public Utility Commission of Texas, Customer Protection Division,
P.O. Box 13326, Austin, Texas 78711-3326; (512) 936-7120 or in Texas
(toll-free) 1-888-782-8477, fax (512) 936-7003, e-mail address:
customer@puc.texas.gov, Internet website address:
www.puc.texas.gov, and Relay Texas
(toll-free) 1-800-735-2989.
(2)
Complaint Handling. A client has the right to make a formal or informal
complaint to the commission. A broker may not use a written or verbal agreement
with a client to impair this right for a client that is a residential or small
commercial customer. A broker must not require a client that is a residential
or small commercial customer to engage in alternative dispute resolution,
including requiring complaints to be submitted to arbitration or mediation by
third parties.
(3) Informal
Complaints.
(A) A person may file an informal
complaint with the commission by contacting the commission at: Public Utility
Commission of Texas, Customer Protection Division, P.O. Box 13326, Austin,
Texas 78711-3326; (512) 936-7120 or in Texas (toll-free) 1-888-782-8477, fax
(512) 936-7003, e-mail address: customer@puc.texas.gov, Internet website
address:
www.puc.texas.gov, and Relay
Texas (toll-free) 1-800-735-2989.
(B) A complaint should include the following
information, as applicable:
(i) The
complainant's name, billing and service address, telephone number and email
address, if any;
(ii) The name of
the broker;
(iii) The broker's
registration number;
(iv) The name
of any relevant REP;
(v) The
customer account number or electric service identifier;
(vi) An explanation of the facts relevant to
the complaint;
(vii) The
complainant's requested resolution; and
(viii) Any documentation that supports the
complaint.
(C) The
commission will forward the informal complaint to the broker.
(D) The broker must investigate each informal
complaint forwarded to the broker by the commission and advise the commission
in writing of the results of the investigation within 21 days after the
complaint is forwarded to the broker by the commission.
(E) The commission will review the complaint
information and the broker's response and notify the complainant of the results
of the commission's investigation.
(F) The broker must keep a record for two
years after receiving notification by the commission that the complaint has
been closed. This record must show the name and address of the complainant, the
date, nature, and outcome of the complaint.
(G) While an informal complaint process is
pending, the broker must not initiate collection activities, including a report
of the customer's delinquency to a credit reporting agency, with respect to the
disputed portion of the bill.
(4) Formal Complaints. If the complainant is
not satisfied with the results of the informal complaint process, the
complainant may file a formal complaint with the commission within two years of
the date on which the commission closes the informal complaint. Formal
complaints will be docketed as provided in the commission's procedural
rules.
(l) Record
Retention.
(1) A broker must establish and
maintain records and data that are sufficient to:
(A) Verify its compliance with the
requirements of any applicable commission rules; and
(B) Support any investigation of customer
complaints.
(2) All
records required by this section must be retained for no less than two years,
unless otherwise specified.
(3)
Unless otherwise prescribed by the commission or its authorized representative,
all records required by this subchapter must be provided to the commission
within 15 calendar days of its request.
