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What does Electric Competition mean to me?
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In the past, your electric utility operated as a monopoly. It both
generated and delivered energy to you. In this new era, these combined
services will be split into at least 2 parts - generation and delivery.
The generation portion of your service will be open to competition. In
addition to generation, some Electric Service Providers (ESPs) may also
offer added services on a competitive basis, such as metering of your
power consumption or billing for electric services. Now you will be able
to shop among the new Electric Service Providers for the best rates and
services. This change in the market is expected to bring about new
products and services and also to give you better value for your energy
dollar.
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Can anyone sign up with an ESP?
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Currently a small percentage of residential customers are eligible to
choose an ESP. By January 1, 2001, all residential customers will be
eligible. Contact your current utility company for more information
about eligibility.
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Where can I get a list of ESPs?
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You can get a list
of approved (certificated) ESPs from our
website (www.cc.state.az.us)
or by calling the Commission at (602) 542-4251 or toll free at
1-800-222-7000.
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Should I switch companies?
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You are not required to switch companies. Electric Competition was
designed to give you energy options. Individual customers may have
different preferences; for example, one person may be looking for lower
rates, while another may want to choose a provider based on
environmental concerns. In a competitive market, you have the ability to
shop for services that will best suit your needs.
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What if I don't want to change anything?
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You don't have to change. Existing utilities are required by the
Commission to continue to provide "Standard Offer Service,"
which is the same electric service that you have received from your
electric company in the past.
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How can I compare costs and services?
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In the new competitive market, a separate itemized statement in your
bill will show the different components of electricity costs and will
specify the services open to competition. You can call any ESP and ask
them what they charge for the same services. They may also offer
additional or different services. Then you can compare the rates and
services of the ESP to what you currently have. A checklist is included
at the end of this brochure that lists important questions to ask ESPs
when comparing costs and services. The more information you have, the
easier it will be to choose.
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Will my bill go down?
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If you choose an ESP that charges less for energy generation, you may
have a lower electric bill. However, a variety of factors will affect
your bill. Our checklist sets forth the significant ones.
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Will it cost me anything to change providers?
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There may be a charge for switching. Ask ESPs about this before you
switch providers. If you signed a contract, there may be termination
charges associated with the change.
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How do I go about changing my Esp?
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A written authorization is required to initiate any change of your
Electric Service Provider. All ESPs will allow you three business days
to rescind your authorization in case you change your mind. Specific
ESPs may require additional steps to initiate service.
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What if I have environmental concerns about my power
generation?
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All providers of generation services are required to disclose, upon
request, the fuels they use to generate power and the resulting
pollutants. You can use this information to assess a company's
environmental impact.
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Who should I call if the power goes out?
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Distribution will continue to be offered by your existing utility,
also called a utility distribution company (UDC). In case of an outage,
you should call your UDC, regardless of who generates your power. Your
UDC will continue to maintain the poles and wires that bring electricity
to your home.
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How will another company know how much to bill me?
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Your UDC and any ESPs you choose to provide services to you will
share information regarding readings of your meter. Your bill will
always be calculated based on a reading from your meter.
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What happens to the electric lines to my house if I
change ESPs?
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Nothing. Electric power will be delivered on the same power lines
that service your house now.
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What protection do I have from being "slammed,"
or switched without my permission?
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The Commission is committed to ensuring Arizona consumers are
protected from scams and unfair business practices, including
unauthorized switching of providers. Therefore, ESPs will require
written authorization from you to initiate any change in service. If you
do get switched without your prior approval, call the ESP immediately.
The Commission requires the ESP to return you to your previous service
and to pay for any switching costs. The ESP is also required to refund
the entire amount of your generation related charges from them for three
months or the period of unauthorized service, whichever is greater.
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Who can I talk to if I have questions about my bill?
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You should try to get answers or resolve issues with your provider(s)
directly. Call the phone number given on your bill. If you are unable to
resolve an issue call the Commission for assistance.
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