Pennsylvania Code & Bulletin
COMMONWEALTH OF PENNSYLVANIA

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52 Pa. Code § 54.183. Default service provider.

§ 54.183. Default service provider.

 (a)  The DSP shall be the incumbent EDC in each certificated service territory, except as provided for under subsection (b).

 (b)  The DSP may be changed by one of the following processes:

   (1)  An EDC may petition the Commission to be relieved of the default service obligation.

   (2)  An EGS may petition the Commission to be assigned the default service role for a particular EDC service territory.

   (3)  The Commission may propose through its own motion that an EDC be relieved of the default service obligation.

 (c)  The Commission may reassign the default service obligation for the entire service territory, or for specific customer classes, to one or more alternative DSPs when it finds it to be necessary for the accommodation, safety and convenience of the public. A finding would include an evaluation of the incumbent EDC’s operational and financial fitness to serve retail customers, and its ability to provide default service under reasonable rates and conditions. In these circumstances, the Commission will announce, through an order, a competitive process to determine the alternative DSP.

 (d)  When the Commission finds that an EDC should be relieved of the default service obligation, the competitive process for the replacement of the default service provider shall be as follows:

   (1)  An entity that wishes to be considered for the role of the alternative DSP shall file a petition under 66 Pa.C.S. §  2807(e)(3) (relating to duties of electric distribution companies).

   (2)  Petitioners shall demonstrate their operational and financial fitness to serve and their ability to comply with Commission regulations, orders and applicable laws pertaining to public utility service.

   (3)  If no petitioner can meet this standard, the incumbent EDC shall be required to continue the provision of default service.

   (4)  If one or more petitioners meets the standard provided in paragraph (2), the Commission will approve the DSP best able to fulfill the obligation in a safe, cost-effective and efficient manner, consistent with 66 Pa.C.S. § §  1103 and 1501 (relating to procedure to obtain certificates of public convenience; and character of service and facilities) and 2807(e).

   (5)  A petitioner approved to act as an alternative DSP shall comply with applicable provisions of the code, regulations and conditions imposed in approving the petition to act as an alternative DSP.



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