Colorado

Restructuring Overview  | Restructuring Resources |  Consumer Protection

Legislation Passed
Electric N Gas Y

1999, SB99-153; Retail Competition Act

Electric
Overview

• Bills to deregulate the state's electricity industry have died in three consecutive sessions of the Colorado legislature.

Natural Gas
Overview

• The 1999 Colorado Retail Competition Act allows companies to unbundle natural gas services on a voluntary basis. When a plan has been approved and one-third of the utility's customers have chosen an alternative supplier (18% of the customers must choose an unaffiliated supplier), the utility will no longer be regulated on the sales portion of its business. Gas delivery services will still be regulated by the Public Utilities Commission. Issues such as who will bill customers have not been resolved and will be taken up as each utility files its plans.

Choice Status

• To date, no company has presented a plan to the PUC to do unbundle services for residential consumers.

Choice education
Colorado Public Utilities Commission
www.dora.state.co.us/OCC/Gas_Choice/Fact_Sheet.htm
This state website uses a question-and-answer format to explain natural gas competition for residential customers.

ColoradoEnergy.org
www.coloradoenergy.org/issues/restructuring/default.htm
Sponsored by a coalition of Colorado energy organizations, this website contains information primarily on energy efficiency or renewable energy information for the state. It also features an update on deregulation efforts in Colorado, along with helpful web links.

State Restructuring Resources

Utility Regulatory Commission
Colorado Public Utilities Commission
1-800-456-0858
http://www.dora.state.co.us/puc/

Consumer advocate
Colorado Office of Consumer Counsel
303-894-2121
http://www.dora.state.co.us/OCC/

Grassroots groups
Colorado Energy Assistance Foundation
303-825-8750
www.ceaf.org/
Independent of utility companies and governmental agencies, CEAF brings together citizens, utilities and service providers to solve the home energy needs of less-fortunate Coloradans.

Consumer Protection

• If customers do not pay their bill on time, or the company suspects energy is being diverted, the electric or natural gas utility company can shut off service only after giving the customer advance written notice at least 10 days before the shut-off notice. Also included on the shut-off notice will be a list of major agencies that can provide utility customer assistance or benefits. The written shut off notice must list basic consumer rights regarding service disconnection.
• Electric or natural gas service may not be disconnected on the weekend between noon on Friday and 8 a.m. the following Monday or between noon on the day before any federal holiday or utility observed holiday and 8 a.m. on the day following the holiday.
• The company must also make a "reasonable effort" to tell the customer about the disconnect and how to avoid it. Two attempts must be made, in person or by telephone, on two separate days at least 24 hours before the shut off time.
• Residential consumers can stop a shut off by giving the utility company a "medical certification" from a doctor, or health practitioner acting under a doctor's supervision, stating that disconnecting service would be especially dangerous to the health or safety of the customer or a permanent resident of the customer's household.
• If service is disconnected due to non-payment, it must be turned on again within 12 hours after the customer pays in full the amount more than 30 days past due, plus any reconnection and collection charges, and/or enters into an installment payment or modified budget billing plan and makes the first payment.
• If a customer fails to make an arranged payment and service is disconnected, the utility company may deny service until the customer pays all amounts more than 30 days past due plus any collection or reconnection charges. The company may also decline the customer's request to make further payment arrangements.

• New customers may not have to pay a deposit to get new service turned on. But after customers have started to receive service, the utility company may require payment of a cash deposit to guarantee payment of current bills.
• If the utility company is extending a line so customers can have service, they may have to pay a "construction deposit."
• Current customers, or customers who previously had service under the same name with the utility, may be required to make a new or additional cash deposit if their previous payment record includes recent or substantial delinquencies. The utility must have a written deposit policy explaining when deposits are required. The deposit amount can be no greater than an estimated 90-day bill. If a customer pays in advance of usage, the amount can be no greater than an estimated 60-day bill. If customers pay their bills on time for one year after paying the deposit, the deposit amount plus simple interest will be refunded to them.

• There are three billing options: (a) utility consolidated billing, (b) alternative supplier consolidated billing, and (c) separate bills from the distribution utility and from the alternative supplier. The alternative supplier must agree with the distribution utility on one of these methods.
• Energy bills must show: 1) net amount due; 2) dates and meter readings for the beginning and ending period of the bill; 3) if actual meter readings were not taken, wording that the bill is an "estimate" or "skip"; 4) rate or rate code identification; 5) the last date payment must be received by the company before it is considered overdue; and, 6) all other facts upon which the bill is based, such as transfers from previous addresses, etc.

• A residential customer cannot be switched until the change has been confirmed by an independent third party verification company. If a customer initiates the switch by calling the supplier, the independent verification requirement does not apply.

• If customers disagree with the meter reading shown on their bill, they can ask the company to test the meter's accuracy and give them a written report. The test is free-of-charge if the meter has not been tested within the last 12 months, and if the customer agrees to accept the result as the basis for settling the dispute. If the meter is more than 2.0% fast or slow, the utility company must issue a refund or charge the difference on the customer's bill. The company can only go back six months prior to the meter test date to determine the refund or additional charge. When customers owe the utility money because of a utility error in billing, meter reading, etc., they can make installment payments over a period of time equal to that in which the error occurred.
• If customers disagree with the amount of an "estimated bill," they can ask the company how the estimate was made. They can also ask the company for a written statement of how much electricity or gas they used for each billing period during the prior year.
• If customers want to dispute a bill amount, they must still pay their bill on time or risk shut off.

• Customer-specific information to a potential alternative supplier, including billing, credit or usage information, will not be released unless a customer consents in writing.