Bill Text: IL HB4973 | 2021-2022 | 102nd General Assembly | Chaptered

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Bill Title: Amends the Public Utilities Act. Provides that a certificate of service authority granted to an alternative retail electric supplier or alternative gas supplier or a license granted to an agent, broker, or consultant engaged in the procurement or sale of retail electricity supply for third parties is not property and the grant of a certificate or license does not create a property interest. Makes changes in provisions concerning certification of alternative retail electric suppliers; Illinois Commerce Commission oversight of services provided by alternative retail electric suppliers; licensure of agents, brokers, and consultants engaged in the procurement or sale of retail electricity supply for third parties; and certification of alternative gas suppliers. Amends the Consumer Fraud and Deceptive Business Practices Act. Provides that if the Commission finds that an alternative retail electric supplier has violated specified provisions, it may require a violating alternative retail electric supplier to pay a fine of up to $10,000 (rather than $1,000) into the Public Utility Fund for each violation (rather than each repeated and intentional violation) or, for a pattern of violation or for violations that continue after a cease and desist order (rather than intentionally violating a cease and desist order), revoke the violating alternative retail electric supplier's certificate of service authority. Provides that complaints may be filed with the Commission by a consumer, or by the Commission on its own motion, when it appears that an alternative retail gas supplier has provided service in a manner not in compliance with specified provisions. Provides for actions that the Commission may take if, after notice and hearing, the Commission finds that an alternative retail gas supplier has violated specified provisions.

Spectrum: Partisan Bill (Democrat 3-0)

Status: (Passed) 2022-05-27 - Public Act . . . . . . . . . 102-0958 [HB4973 Detail]

Download: Illinois-2021-HB4973-Chaptered.html

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Public Act 102-0958
HB4973 Enrolled LRB102 21371 SPS 30483 b
AN ACT concerning regulation.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Public Utilities Act is amended by changing
Sections 16-115, 16-115B, 16-115C, 19-110, and 19-120 as
follows:
(220 ILCS 5/16-115)
Sec. 16-115. Certification of alternative retail electric
suppliers.
(a) Any alternative retail electric supplier must obtain a
certificate of service authority from the Commission in
accordance with this Section before serving any retail
customer or other user located in this State. An alternative
retail electric supplier may request, and the Commission may
grant, a certificate of service authority for the entire State
or for a specified geographic area of the State. A certificate
granted pursuant to this Section is not property, and the
grant of a certificate to an entity does not create a property
interest in the certificate. This Section does not diminish
the existing rights of a certificate holder to notice and
hearing as proscribed by the Illinois Administrative Procedure
Act and in rules adopted by the Commission.
(b) An alternative retail electric supplier seeking a

certificate of service authority shall file with the
Commission a verified application containing information
showing that the applicant meets the requirements of this
Section. The alternative retail electric supplier shall
publish notice of its application in the official State
newspaper within 10 days following the date of its filing. No
later than 45 days after a complete the application is
properly filed with the Commission, and such notice is
published, the Commission shall issue its order granting or
denying the application.
(c) An application for a certificate of service authority
shall identify the area or areas in which the applicant
intends to offer service and the types of services it intends
to offer. Applicants that seek to serve residential or small
commercial retail customers within a geographic area that is
smaller than an electric utility's service area shall submit
evidence demonstrating that the designation of this smaller
area does not violate Section 16-115A. An applicant that seeks
to serve residential or small commercial retail customers may
state in its application for certification any limitations
that will be imposed on the number of customers or maximum load
to be served.
(d) The Commission shall grant the application for a
certificate of service authority if it makes the findings set
forth in this subsection based on the verified application and
such other information as the applicant may submit:

(1) That the applicant possesses sufficient technical,
financial, and managerial resources and abilities to
provide the service for which it seeks a certificate of
service authority. In determining the level of technical,
financial, and managerial resources and abilities which
the applicant must demonstrate, the Commission shall
consider (i) the characteristics, including the size and
financial sophistication, of the customers that the
applicant seeks to serve, and (ii) whether the applicant
seeks to provide electric power and energy using property,
plant, and equipment which it owns, controls, or operates;
(2) That the applicant will comply with all applicable
federal, State, regional, and industry rules, policies,
practices, and procedures for the use, operation, and
maintenance of the safety, integrity, and reliability, of
the interconnected electric transmission system;
(3) That the applicant will only provide service to
retail customers in an electric utility's service area
that are eligible to take delivery services under this
Act;
(4) That the applicant will comply with such
informational or reporting requirements as the Commission
may by rule establish and provide the information required
by Section 16-112. Any data related to contracts for the
purchase and sale of electric power and energy shall be
made available for review by the Staff of the Commission

on a confidential and proprietary basis and only to the
extent and for the purposes which the Commission
determines are reasonably necessary in order to carry out
the purposes of this Act;
(5) That the applicant will procure renewable energy
resources in accordance with Section 16-115D of this Act,
and will source electricity from clean coal facilities, as
defined in Section 1-10 of the Illinois Power Agency Act,
in amounts at least equal to the percentages set forth in
subsections (c) and (d) of Section 1-75 of the Illinois
Power Agency Act. For purposes of this Section:
(i) (blank);
(ii) (blank);
(iii) the required sourcing of electricity
generated by clean coal facilities, other than the
initial clean coal facility, shall be limited to the
amount of electricity that can be procured or sourced
at a price at or below the benchmarks approved by the
Commission each year in accordance with item (1) of
subsection (c) and items (1) and (5) of subsection (d)
of Section 1-75 of the Illinois Power Agency Act;
(iv) all alternative retail electric suppliers
shall execute a sourcing agreement to source
electricity from the initial clean coal facility, on
the terms set forth in paragraphs (3) and (4) of
subsection (d) of Section 1-75 of the Illinois Power

Agency Act, except that in lieu of the requirements in
subparagraphs (A)(v), (B)(i), (C)(v), and (C)(vi) of
paragraph (3) of that subsection (d), the applicant
shall execute one or more of the following:
(1) if the sourcing agreement is a power
purchase agreement, a contract with the initial
clean coal facility to purchase in each hour an
amount of electricity equal to all clean coal
energy made available from the initial clean coal
facility during such hour, which the utilities are
not required to procure under the terms of
subsection (d) of Section 1-75 of the Illinois
Power Agency Act, multiplied by a fraction, the
numerator of which is the alternative retail
electric supplier's retail market sales of
electricity (expressed in kilowatthours sold) in
the State during the prior calendar month and the
denominator of which is the total sales of
electricity (expressed in kilowatthours sold) in
the State by alternative retail electric suppliers
during such prior month that are subject to the
requirements of this paragraph (5) of subsection
(d) of this Section and subsection (d) of Section
1-75 of the Illinois Power Agency Act plus the
total sales of electricity (expressed in
kilowatthours sold) by utilities outside of their

service areas during such prior month, pursuant to
subsection (c) of Section 16-116 of this Act; or
(2) if the sourcing agreement is a contract
for differences, a contract with the initial clean
coal facility in each hour with respect to an
amount of electricity equal to all clean coal
energy made available from the initial clean coal
facility during such hour, which the utilities are
not required to procure under the terms of
subsection (d) of Section 1-75 of the Illinois
Power Agency Act, multiplied by a fraction, the
numerator of which is the alternative retail
electric supplier's retail market sales of
electricity (expressed in kilowatthours sold) in
the State during the prior calendar month and the
denominator of which is the total sales of
electricity (expressed in kilowatthours sold) in
the State by alternative retail electric suppliers
during such prior month that are subject to the
requirements of this paragraph (5) of subsection
(d) of this Section and subsection (d) of Section
1-75 of the Illinois Power Agency Act plus the
total sales of electricity (expressed in
kilowatthours sold) by utilities outside of their
service areas during such prior month, pursuant to
subsection (c) of Section 16-116 of this Act;

(v) if, in any year after the first year of
commercial operation, the owner of the clean coal
facility fails to demonstrate to the Commission that
the initial clean coal facility captured and
sequestered at least 50% of the total carbon emissions
that the facility would otherwise emit or that
sequestration of emissions from prior years has
failed, resulting in the release of carbon into the
atmosphere, the owner of the facility must offset
excess emissions. Any such carbon offsets must be
permanent, additional, verifiable, real, located
within the State of Illinois, and legally and
practicably enforceable. The costs of any such offsets
that are not recoverable shall not exceed $15,000,000
$15 million in any given year. No costs of any such
purchases of carbon offsets may be recovered from an
alternative retail electric supplier or its customers.
All carbon offsets purchased for this purpose and any
carbon emission credits associated with sequestration
of carbon from the facility must be permanently
retired. The initial clean coal facility shall not
forfeit its designation as a clean coal facility if
the facility fails to fully comply with the applicable
carbon sequestration requirements in any given year,
provided the requisite offsets are purchased. However,
the Attorney General, on behalf of the People of the

State of Illinois, may specifically enforce the
facility's sequestration requirement and the other
terms of this contract provision. Compliance with the
sequestration requirements and offset purchase
requirements that apply to the initial clean coal
facility shall be reviewed annually by an independent
expert retained by the owner of the initial clean coal
facility, with the advance written approval of the
Attorney General;
(vi) The Commission shall, after notice and
hearing, revoke the certification of any alternative
retail electric supplier that fails to execute a
sourcing agreement with the initial clean coal
facility as required by item (5) of subsection (d) of
this Section. The sourcing agreements with this
initial clean coal facility shall be subject to both
approval of the initial clean coal facility by the
General Assembly and satisfaction of the requirements
of item (4) of subsection (d) of Section 1-75 of the
Illinois Power Agency Act, and shall be executed
within 90 days after any such approval by the General
Assembly. The Commission shall not accept an
application for certification from an alternative
retail electric supplier that has lost certification
under this subsection (d), or any corporate affiliate
thereof, for at least one year from the date of

revocation;
(6) With respect to an applicant that seeks to serve
residential or small commercial retail customers, that the
area to be served by the applicant and any limitations it
proposes on the number of customers or maximum amount of
load to be served meet the provisions of Section 16-115A,
provided, that the Commission can extend the time for
considering such a certificate request by up to 90 days,
and can schedule hearings on such a request;
(7) That the applicant meets the requirements of
subsection (a) of Section 16-128;
(8) That the applicant discloses whether the applicant
is the subject of any lawsuit filed in a court of law or
formal complaint filed with a regulatory agency alleging
fraud, deception, or unfair marketing practices or other
similar allegations and, if the applicant is the subject
of such lawsuit or formal complaint, the applicant shall
identify the name, case number, and jurisdiction of each
lawsuit or complaint, and that the applicant is capable of
fulfilling its obligations as an alternative retail
electric supplier in Illinois notwithstanding any lawsuit
or complaint. For the purpose of this item (8), "formal
complaint" includes only those complaints that seek a
binding determination from a State or federal regulatory
body;
(9) That the applicant shall at all times remain in

compliance continue to comply with requirements for
certification stated in this Section and as the Commission
may establish by rule;
(10) That the applicant shall execute and maintain a
license or permit bond issued by a qualifying surety or
insurance company authorized to transact business in the
State of Illinois in favor of the People of the State of
Illinois. The amount of the bond shall equal $30,000 if
the applicant seeks to serve only nonresidential retail
customers with maximum electrical demands of one megawatt
or more, $150,000 if the applicant seeks to serve only
nonresidential non-residential retail customers with
annual electrical consumption greater than 15,000
kilowatt-hours kWh, or $500,000 if the applicant seeks to
serve all eligible customers. Applicants shall be required
to submit an additional $500,000 bond if the applicant
intends to market to residential customers using in-person
solicitations. The bonds bond shall be conditioned upon
the full and faithful performance of all duties and
obligations of the applicant as an alternative retail
electric supplier, and shall be valid for a period of not
less than one year, and may be drawn upon in whole or in
part to satisfy any penalties imposed, and finally
adjudicated, by the Commission pursuant to Section 16-115B
for a violation of the applicant's duties or obligations,
except that the total amount of claims and penalties

against the bond shall not exceed the penal sum of the bond
and shall not include any consequential or punitive
damage. The cost of the bond shall be paid by the
applicant. The applicant shall file a copy of this bond,
with a notarized verification page from the issuer, as
part of its application for certification under 83 Ill.
Adm. Code 451; and
(11) That the applicant will comply with all other
applicable laws and regulations.
(d-3) The Commission may deny with prejudice an
application in which the applicant fails to provide the
Commission with information sufficient for the Commission to
grant the application.
(d-5) (Blank).
(e) A retail customer that owns a cogeneration or
self-generation facility and that seeks certification only to
provide electric power and energy from such facility to retail
customers at separate locations which customers are both (i)
owned by, or a subsidiary or other corporate affiliate of,
such applicant and (ii) eligible for delivery services, shall
be granted a certificate of service authority upon filing an
application and notifying the Commission that it has entered
into an agreement with the relevant electric utilities
pursuant to Section 16-118. Provided, however, that if the
retail customer owning such cogeneration or self-generation
facility would not be charged a transition charge due to the

exemption provided under subsection (f) of Section 16-108
prior to the certification, and the retail customers at
separate locations are taking delivery services in conjunction
with purchasing power and energy from the facility, the retail
customer on whose premises the facility is located shall not
thereafter be required to pay transition charges on the power
and energy that such retail customer takes from the facility.
(f) The Commission shall have the authority to promulgate
rules and regulations to carry out the provisions of this
Section. On or before May 1, 1999, the Commission shall adopt a
rule or rules applicable to the certification of those
alternative retail electric suppliers that seek to serve only
nonresidential retail customers with maximum electrical
demands of one megawatt or more which shall provide for (i)
expedited and streamlined procedures for certification of such
alternative retail electric suppliers and (ii) specific
criteria which, if met by any such alternative retail electric
supplier, shall constitute the demonstration of technical,
financial and managerial resources and abilities to provide
service required by paragraph (1) of subsection (d) (1) of
this Section, such as a requirement to post a bond or letter of
credit, from a responsible surety or financial institution, of
sufficient size for the nature and scope of the services to be
provided; demonstration of adequate insurance for the scope
and nature of the services to be provided; and experience in
providing similar services in other jurisdictions.

(g) An alternative retail electric supplier may seek
confidential treatment for the following information by filing
an affidavit with the Commission so long as the affidavit
meets the requirements in this subsection (g):
(1) the total annual kilowatt-hours delivered and sold
by an alternative retail electric supplier to retail
customers within each utility service territory and the
total annual kilowatt-hours delivered and sold by an
alternative retail electric supplier to retail customers
in all utility service territories in the preceding
calendar year as required by 83 Ill. Adm. Code 451.770;
(2) the total peak demand supplied by an alternative
retail electric supplier during the previous year in each
utility service territory as required by 83 Ill. Adm. Code
465.40;
(3) a good faith estimate of the amount an alternative
retail electric supplier expects to be obliged to pay the
utility under single billing tariffs during the next 12
months and the amount of any bond or letter of credit used
to demonstrate an alternative retail electric supplier's
credit worthiness to provide single billing services
pursuant to 83 Ill. Adm. Code 451.510(a) and (b).
The affidavit must be filed contemporaneously with the
information for which confidential treatment is sought and
must clearly state that the affiant seeks confidential
treatment pursuant to this subsection (g) and the information

for which confidential treatment is sought must be clearly
identified on the confidential version of the document filed
with the Commission. The affidavit must be accompanied by a
"confidential" and a "public" version of the document or
documents containing the information for which confidential
treatment is sought.
If the alternative retail electric supplier has met the
affidavit requirements of this subsection (g), then the
Commission shall afford confidential treatment to the
information identified in the affidavit for a period of 2
years after the date the affidavit is received by the
Commission.
Nothing in this subsection (g) prevents an alternative
retail electric supplier from filing a petition with the
Commission seeking confidential treatment for information
beyond that identified in this subsection (g) or for
information contained in other reports or documents filed with
the Commission other than annual rate reports.
Nothing in this subsection (g) prevents the Commission, on
its own motion, or any party from filing a formal petition with
the Commission seeking to reconsider the conferring of
confidential status on an item of information afforded
confidential treatment pursuant to this subsection (g).
The Commission, on its own motion, may at any time
initiate a docketed proceeding to investigate the continued
applicability of this subsection (g) to the information

contained in items (i), (ii), and (iii) of this subsection
(g). If, at the end of such investigation, the Commission
determines that a particular item of information should no
longer be eligible for the affidavit-based process outlined in
this subsection (g), the Commission may enter an order to
remove that item from the list of items eligible for the
process set forth in this subsection (g). Notwithstanding any
such order, in the event the Commission makes such a
determination, nothing in this subsection (g) prevents an
alternative retail electric supplier desiring confidential
treatment for such information from filing a formal petition
with the Commission seeking confidential treatment for such
information.
(Source: P.A. 101-590, eff. 1-1-20.)
(220 ILCS 5/16-115B)
Sec. 16-115B. Commission oversight of services provided by
alternative retail electric suppliers.
(a) The Commission shall have jurisdiction in accordance
with the provisions of Article X of this Act to entertain and
dispose of any complaint made by the Commission, on its own
motion, or by any person or corporation, chamber of commerce,
board of trade, or any industrial, commercial, mercantile,
agricultural or manufacturing society, or any body politic or
municipal corporation against any alternative retail electric
supplier alleging (i) that the alternative retail electric

supplier has violated or is in nonconformance with any
applicable provisions of Section 16-115 through Section
16-115A; (ii) that the alternative retail electric supplier
violated rules adopted by the Commission to govern the sales,
marketing, or operations of retail electric suppliers; (iii)
that an alternative retail electric supplier serving any
residential and small commercial customers retail customers
having maximum demands of less than one megawatt has failed to
provide service in accordance with the terms of its contract
or contracts with such customer or customers; (iv) (iii) that
the alternative retail electric supplier has violated or is in
nonconformance non-conformance with the delivery services
tariff of, or any of its agreements relating to delivery
services with, the electric utility, municipal system, or
electric cooperative providing delivery services; or (v) (iv)
that the alternative retail electric supplier has violated or
failed to comply with the requirements of Sections 8-201
through 8-207, 8-301, 8-505, or 8-507 of this Act as made
applicable to alternative retail electric suppliers.
(b) The Commission shall have authority, after such
administrative notice as is required by the Illinois
Administrative Procedure Act and after an administrative
hearing held on complaint or on the Commission's own motion:
(1) To order an alternative retail electric supplier
to cease and desist, or correct, any violation of or
nonconformance non-conformance with the provisions of

Section 16-115 or 16-115A or any violation or
nonconformance over which the Commission has jurisdiction
under subsection (a) of Section 16-115B;
(2) To impose financial penalties for violations of or
nonconformances non-conformances with the provisions of
Section 16-115 or 16-115A, not to exceed (i) $10,000 per
occurrence, and for any violations or nonconformances that
continue after the Commission issues a cease and desist
order, up to an additional or (ii) $30,000 for each day the
violations or nonconformances continue per day for those
violations or non-conformances which continue after the
Commission issues a cease and desist order; and
(3) To alter, modify, revoke, or suspend the
certificate of service authority of an alternative retail
electric supplier for substantial or repeated violations
of or nonconformances non-conformances with the provisions
of Section 16-115 or 16-115A.
(c) In addition to other powers and authority granted to
it under this Act, the Commission may require an alternative
retail electric supplier to enter into a compliance plan. If
the Commission comes into possession of information causing it
to conclude that an alternative retail electric supplier is
violating this Act or the Commission's rules, the Commission
may, after notice and hearing, enter an order directing the
alternative retail electric supplier to implement practices,
procedures, oversight, or other measures or refrain from

practices, conduct, or activities that the Commission finds is
necessary or reasonable to ensure the alternative retail
electric supplier's compliance with this Act and the
Commission's rules. Failure by an alternative retail electric
supplier to implement or comply with a Commission-ordered
compliance plan is a violation of this Section. The
Commission, in its discretion, may order a compliance plan
under such circumstances as it considers warranted and is not
required to order a compliance plan prior to taking other
enforcement action against an alternative retail electric
supplier. Nothing in this subsection (c) shall be interpreted
to limit the authority or right of the Attorney General.
(Source: P.A. 101-590, eff. 1-1-20.)
(220 ILCS 5/16-115C)
Sec. 16-115C. Licensure of agents, brokers, and
consultants engaged in the procurement or sale of retail
electricity supply for third parties.
(a) The purpose of this Section is to adopt licensing and
code of conduct rules in a competitive retail electricity
market to protect Illinois consumers from unfair or deceptive
acts or practices and to provide persons acting as agents,
brokers, and consultants engaged in the procurement or sale of
retail electricity supply for third parties with notice of the
illegality of those acts or practices.
(a-5) All third-party sales representatives engaged in the

marketing of retail electricity supply must, prior to the
customer signing a contract, disclose that they are not
employed by the electric utility operating in the applicable
service territory.
(b) For purposes of this Section, "agents, brokers, and
consultants engaged in the procurement or sale of retail
electricity supply for third parties" means any person or
entity that attempts to procure on behalf of or sell retail
electric service to an electric customer in the State.
"Agents, brokers, and consultants engaged in the procurement
or sale of retail electricity supply for third parties" does
not include the Illinois Power Agency or any of its employees,
any entity licensed as an alternative retail electric supplier
pursuant to 83 Ill. Adm. Code 451 offering retail electric
service on its own behalf, any person acting exclusively on
behalf of a single alternative retail electric supplier on
condition that exclusivity is disclosed to any third party
contracted in such agent capacity, any person acting
exclusively on behalf of a retail electric supplier on
condition that exclusivity is disclosed to any third party
contracted in such agent capacity, any person or entity
representing a municipal power agency, as defined in Section
11-119.1-3 of the Illinois Municipal Code, or any person or
entity that is attempting to procure on behalf of or sell
retail electric service to a third party that has aggregate
billing demand of all of its affiliated electric service

accounts in Illinois of greater than 1,500 kilowatts kW.
(c) No person or entity shall act as an agent, broker, or
consultant engaged in the procurement or sale of retail
electricity supply for third parties unless that person or
entity is licensed by the Commission under this Section or is
offering services on their own behalf under 83 Ill. Adm. Code
451. A license granted pursuant to this Section is not
property, and the grant of a license to an entity does not
create a property interest in the license.
(d) The Commission shall create requirements for licensure
as an agent, broker, or consultant engaged in the procurement
or sale of retail electricity supply for third parties, which
shall include all of the following criteria:
(1) Technical competence.
(2) Managerial competence.
(3) Financial responsibility, including the posting of
an appropriate performance bond.
(4) Annual reporting requirements.
(e) Any person or entity required to be licensed under
this Section must:
(1) disclose in plain language in writing to all
persons it solicits (i) before July 1, 2011, the total
anticipated remuneration to be paid to it by any third
party over the period of the proposed underlying customer
contract and (ii) on or after July 1, 2011, the total price
per kilowatt-hour, and the total anticipated cost,

inclusive of all fees or commissions received by the
licensee, to be paid by the customer over the period of the
proposed underlying customer contract;
(2) disclose, if applicable, to all customers, prior
to the customer signing a contract, the fact that they
will be receiving compensation from the supplier;
(3) not hold itself out as independent or unaffiliated
with any supplier, or both, or use words reasonably
calculated to give that impression, unless the person
offering service under this Section has no contractual
relationship with any retail electricity supplier or its
affiliates regarding retail electric service in Illinois;
(4) not utilize false, misleading, materially
inaccurate, defamatory, or otherwise deceptive language or
materials in the soliciting or providing of its services;
(5) maintain copies of all marketing materials
disseminated to third parties for a period of not less
than 3 years;
(6) not present electricity pricing information in a
manner that favors one supplier over another, unless a
valid pricing comparison is made utilizing all relevant
costs and terms; and
(7) comply with the requirements of Sections 2EE, 2FF,
2GG, and 2HH of the Consumer Fraud and Deceptive Business
Practices Act.
(f) Any person or entity licensed under this Section shall

file with the Commission all of the following information no
later than March of each year:
(1) A verified report detailing any and all
contractual relationships that it has with certified
electricity suppliers in the State regarding retail
electric service in Illinois.
(2) A verified report detailing the distribution of
its customers with the various certified electricity
suppliers in Illinois during the prior calendar year. A
report under this Section shall not be required to contain
customer-identifying information.
A public redacted version of the verified report may
be submitted to the Commission along with a proprietary
version. The public redacted version may redact from the
verified report the name or names of every certified
electricity supplier contained in the report to protect
against disclosure of competitively sensitive market share
information. The information shall be afforded proprietary
treatment for 2 years after the date of the filing of the
verified report.
(3) A verified statement of any changes to the
original licensure qualifications and notice of continuing
compliance with all requirements.
(g) The Commission shall have jurisdiction over
disciplinary proceedings and complaints, including on the
Commission's own motion, for violations of this Section. The

findings of a violation of this Section by the Commission
shall result in discipline on a progressive a progressive
disciplinary scale. For a first violation, the Commission may,
in its discretion, suspend the license of the person or entity
so disciplined for a period of no less than one month. For a
second violation within a 5-year period, the Commission shall
suspend the license of for the person or entity so disciplined
for a period of not less than 6 months. For a third or
subsequent violation within a 5-year period, the Commission
shall suspend the license of the disciplined person for a
period of not less than 2 years. Notwithstanding the minimum
progressive suspensions, the Commission shall have authority,
in its discretion, to impose whatever reasonable disciplinary
measures it deems appropriate for any violation, including,
but not limited to, terminating the license of the person or
entity.
(h) This Section shall not apply to a retail customer that
operates or manages either directly or indirectly any
facilities, equipment, or property used or contemplated to be
used to distribute electric power or energy if that retail
customer is a political subdivision or public institution of
higher education of this State, or any corporation, company,
limited liability company, association, joint-stock company or
association, firm, partnership, or individual, or their
lessees, trusts, or receivers appointed by any court
whatsoever that are owned or controlled by the political

subdivision, public institution of higher education, or
operated by any of its lessees or operating agents.
(Source: P.A. 95-679, eff. 10-11-07; 96-1385, eff. 7-29-10.)
(220 ILCS 5/19-110)
Sec. 19-110. Certification of alternative gas suppliers.
(a) The provisions of this Section shall apply only to
alternative gas suppliers serving or seeking to serve
residential or small commercial customers and only to the
extent such alternative gas suppliers provide services to
residential or small commercial customers.
(b) An alternative gas supplier must obtain a certificate
of service authority from the Commission in accordance with
this Section before serving any customer or other user located
in this State. An alternative gas supplier may request, and
the Commission may grant, a certificate of service authority
for the entire State or for a specified geographic area of the
State. A certificate granted pursuant to this Section is not
property, and the grant of a certificate to an entity does not
create a property interest in the certificate. This Section
does not diminish the existing rights of a certificate holder
to notice and hearing as proscribed by the Illinois
Administrative Procedure Act and in rules adopted by the
Commission. A person, corporation, or other entity acting as
an alternative gas supplier on the effective date of this
amendatory Act of the 92nd General Assembly shall have 180

days from the effective date of this amendatory Act of the 92nd
General Assembly to comply with the requirements of this
Section in order to continue to operate as an alternative gas
supplier.
(c) An alternative gas supplier seeking a certificate of
service authority shall file with the Commission a verified
application containing information showing that the applicant
meets the requirements of this Section. The alternative gas
supplier shall publish notice of its application in the
official State newspaper within 10 days following the date of
its filing. No later than 45 days after a complete the
application is properly filed with the Commission, and such
notice is published, the Commission shall issue its order
granting or denying the application.
(d) An application for a certificate of service authority
shall identify the area or areas in which the applicant
intends to offer service and the types of services it intends
to offer. Applicants that seek to serve residential or small
commercial customers within a geographic area that is smaller
than a gas utility's service area shall submit evidence
demonstrating that the designation of this smaller area does
not violate Section 19-115. An applicant may state in its
application for certification any limitations that will be
imposed on the number of customers or maximum load to be
served. The applicant shall submit as part of its application
a statement indicating:

(1) Whether the applicant has been denied a natural
gas supplier license in any state in the United States.
(2) Whether the applicant has had a natural gas
supplier license suspended or revoked by any state in the
United States.
(3) Where, if any, other natural gas supplier license
applications are pending in the United States.
(4) Whether the applicant is the subject of any
lawsuits filed in a court of law or formal complaints
filed with a regulatory agency alleging fraud, deception,
or unfair marketing practices, or other similar
allegations, identifying the name, case number, and
jurisdiction of each such lawsuit or complaint.
For the purposes of this subsection (d), formal complaints
include only those complaints that seek a binding
determination from a state or federal regulatory body.
(e) The Commission shall grant the application for a
certificate of service authority if it makes the findings set
forth in this subsection based on the verified application and
such other information as the applicant may submit.
(1) That the applicant possesses sufficient technical,
financial, and managerial resources and abilities to
provide the service for which it seeks a certificate of
service authority. In determining the level of technical,
financial, and managerial resources and abilities which
the applicant must demonstrate, the Commission shall

consider:
(A) the characteristics, including the size and
financial sophistication of the customers that the
applicant seeks to serve;
(B) whether the applicant seeks to provide gas
using property, plant, and equipment that it owns,
controls, or operates; and
(C) the applicant's commitment of resources to the
management of sales and marketing staff, through
affirmative managerial policies, independent audits,
technology, hands-on field monitoring and training,
and, in the case of applicants who will have sales
personnel or sales agents within the State of
Illinois, the applicant's managerial presence within
the State.
(2) That the applicant will comply with all applicable
federal, State, regional, and industry rules, policies,
practices, and procedures for the use, operation, and
maintenance of the safety, integrity, and reliability of
the gas transmission system.
(3) That the applicant will comply with such
informational or reporting requirements as the Commission
may by rule establish.
(4) That the area to be served by the applicant and any
limitations it proposes on the number of customers or
maximum amount of load to be served meet the provisions of

Section 19-115, provided, that if the applicant seeks to
serve an area smaller than the service area of a gas
utility or proposes other limitations on the number of
customers or maximum amount of load to be served, the
Commission can extend the time for considering such a
certificate request by up to 90 days, and can schedule
hearings on such a request.
(5) That the applicant shall continue to comply with
requirements for certification stated in this Section.
(6) That the applicant shall execute and maintain a
license or permit bond issued by a qualifying surety or
insurance company authorized to transact business in the
State of Illinois in favor of the People of the State of
Illinois. The amount of the bond shall equal $150,000 if
the applicant seeks to serve only nonresidential retail
customers or $500,000 if the applicant seeks to serve all
eligible customers. Applicants shall be required to submit
an additional $500,000 bond if the applicant intends to
market to residential customers using in-person
solicitations. The bonds bond shall be conditioned upon
the full and faithful performance of all duties and
obligations of the applicant as an alternative retail gas
supplier, and shall be valid for a period of not less than
one year, and may be drawn up to satisfy any penalties
imposed and finally adjudicated, by the Commission
pursuant to Section 19-120 for a violation of the

applicant's duties or obligations, except that the total
amount of claims and penalties against the bond shall not
exceed the penal sum of the bond and shall not include any
consequential or punitive damage. The cost of the bond
shall be paid by the applicant. The applicant shall file a
copy of this bond, with a notarized verification page from
the issuer, as part of its application for certification
under 83 Ill. Adm. Code 551.
(7) That the applicant will comply with all other
applicable laws and rules.
(e-5) The Commission may deny with prejudice an
application in which the applicant fails to provide the
Commission with information sufficient for the Commission to
grant the application.
(f) The Commission can extend the time for considering
such a certificate request by up to 90 days, and can schedule
hearings on such a request if:
(1) a party to the application proceeding has formally
requested that the Commission hold hearings in a pleading
that alleges that one or more of the allegations or
certifications in the application is false or misleading;
or
(2) other facts or circumstances exist that will
necessitate additional time or evidence in order to
determine whether a certificate should be issued.
(g) The Commission shall have the authority to promulgate

rules to carry out the provisions of this Section. Within 30
days after the effective date of this amendatory Act of the
92nd General Assembly, the Commission shall adopt an emergency
rule or rules applicable to the certification of those gas
suppliers that seek to serve residential customers. Within 180
days of the effective date of this amendatory Act of the 92nd
General Assembly, the Commission shall adopt rules that
specify criteria which, if met by any such alternative gas
supplier, shall constitute the demonstration of technical,
financial, and managerial resources and abilities to provide
service required by paragraph item (1) of subsection (e) of
this Section, such as a requirement to post a bond or letter of
credit, from a responsible surety or financial institution, of
sufficient size for the nature and scope of the services to be
provided, demonstration of adequate insurance for the scope
and nature of the services to be provided, and experience in
providing similar services in other jurisdictions.
(h) The Commission may deny with prejudice any application
that repeatedly fails to include the attachments,
documentation, and affidavits required by the application form
or that repeatedly fails to provide any other information
required by this Section.
(i) An alternative gas supplier may seek confidential
treatment for the reporting to the Commission of its total
annual dekatherms delivered and sold by it to residential and
small commercial customers by utility service territory during

the preceding year via the filing of an affidavit with the
Commission so long as the affidavit meets the requirements of
this subsection (i). The affidavit must be filed
contemporaneously with the information for which confidential
treatment is sought and must clearly state that the affiant
seeks confidential treatment pursuant to this subsection (i)
and the information for which confidential treatment is sought
must be clearly identified on the confidential version of the
document filed with the Commission. The affidavit must be
accompanied by both a "confidential" and a "public" version of
the document or documents containing the information for which
confidential treatment is sought.
If the alternative gas supplier has met the affidavit
requirements of this subsection (i), then the Commission shall
afford confidential treatment to the information identified in
the affidavit for a period of 2 years after the date the
affidavit is received by the Commission.
Nothing in this subsection (i) prevents an alternative gas
supplier from filing a petition with the Commission seeking
confidential treatment for information beyond that identified
in this subsection (i) or for information contained in other
reports or documents filed with the Commission other than
annual rate reports.
Nothing in this subsection (i) prevents the Commission, on
its own motion, or any party from filing a formal petition with
the Commission seeking to reconsider the conferring of

confidential status pursuant to this subsection (i).
The Commission, on its own motion, may at any time
initiate a docketed proceeding to investigate the continued
applicability of this affidavit-based process for seeking
confidential treatment. If, at the end of such investigation,
the Commission determines that this affidavit-based process
for seeking confidential treatment for the information is no
longer necessary, the Commission may enter an order to that
effect. Notwithstanding any such order, in the event the
Commission makes such a determination, nothing in this
subsection (i) prevents an alternative gas supplier desiring
confidential treatment for such information from filing a
formal petition with the Commission seeking confidential
treatment for such information.
(Source: P.A. 101-590, eff. 1-1-20.)
(220 ILCS 5/19-120)
Sec. 19-120. Commission oversight of services provided by
gas suppliers.
(a) The provisions of this Section shall apply only to
alternative gas suppliers serving or seeking to serve
residential or small commercial customers and only to the
extent such alternative gas suppliers provide services to
residential or small commercial customers.
(b) The Commission shall have jurisdiction in accordance
with the provisions of Article X of this Act either to

investigate on its own motion in order to determine whether or
to entertain and dispose of any complaint by any person or
corporation, chamber of commerce, board of trade, or any
industrial, commercial, mercantile, agricultural or
manufacturing society, or any body politic or municipal
corporation against any alternative gas supplier alleging
that:
(1) the alternative gas supplier has violated or is in
nonconformance with any applicable provisions of Section
19-110, 19-111, 19-112, or Section 19-115;
(1.5) that the alternative retail gas supplier
violated any rule adopted by the Commission to govern the
sales, marketing, or operations of retail gas suppliers;
(2) an alternative gas supplier has failed to provide
service in accordance with the terms of its contract or
contracts with a customer or customers;
(3) the alternative gas supplier has violated or is in
nonconformance with the transportation services tariff of,
or any of its agreements relating to transportation
services with, the gas utility or municipal system
providing transportation services; or
(4) the alternative gas supplier has violated or
failed to comply with the requirements of Sections 8-201
through 8-207, 8-301, 8-505, or 8-507 of this Act as made
applicable to alternative gas suppliers.
(c) The Commission shall have authority after such

administrative notice as is required by the Illinois
Administrative Procedure Act and after an administrative
hearing held on complaint or on the Commission's own motion to
order any or all of the following remedies, penalties, or
forms of relief:
(1) order an alternative gas supplier to cease and
desist, or correct, any violation of or nonconformance
with the provisions of Section 19-110, 19-111, 19-112, or
19-115, or any violation or nonconformance over which the
Commission has jurisdiction under subsection (a) of
Section 19-120;
(2) impose financial penalties for violations of or
nonconformances with the provisions of Section 19-110,
19-111, 19-112, or 19-115, not to exceed (i) $10,000 per
occurrence, and for any violations or nonconformances that
continue after the Commission issues a cease and desist
order, up to an additional or (ii) $30,000 for each day the
violations or nonconformances continue per day for those
violations or nonconformances which continue after the
Commission issues a cease-and-desist order; and
(3) alter, modify, revoke, or suspend the certificate
of service authority of an alternative gas supplier for
substantial or repeated violations of or nonconformances
with the provisions of Section 19-110, 19-111, 19-112, or
19-115.
(d) Nothing in this Act shall be construed to limit,

restrict, or mitigate in any way the power and authority of the
State's Attorneys or the Attorney General under the Consumer
Fraud and Deceptive Business Practices Act.
(e) In addition to other powers and authority granted to
it under this Act, the Commission may require an alternative
gas supplier to enter into a compliance plan. If the
Commission comes into possession of information causing it to
conclude that an alternative gas supplier is violating this
Act or the Commission's rules, the Commission may, after
notice and hearing, enter an order directing the alternative
gas supplier to implement practices, procedures, oversight, or
other measures or refrain from practices, conduct, or
activities as the Commission finds is necessary or reasonable
to ensure the alternative gas supplier's compliance with this
Act and the Commission's rules. Failure by an alternative gas
supplier to implement or comply with a Commission-ordered
compliance plan is a violation of this Section. The
Commission, in its discretion, may order a compliance plan
under such circumstances as it considers warranted and is not
required to order a compliance plan prior to taking other
enforcement action against an alternative retail gas supplier.
Nothing in this subsection (e) shall be interpreted to limit
the authority or right of the Attorney General.
(Source: P.A. 101-590, eff. 1-1-20.)
Section 10. The Consumer Fraud and Deceptive Business

Practices Act is amended by changing Sections 2EE and 2DDD as
follows:
(815 ILCS 505/2EE)
Sec. 2EE. Alternative retail electric supplier selection.
(a) An alternative retail electric supplier shall not
submit or execute a change in a consumer's selection of a
provider of electric service unless and until:
(i) the alternative retail electric supplier first
discloses all material terms and conditions of the offer
to the consumer;
(ii) if the consumer is a small commercial retail
customer as that term is defined in subsection (c) of this
Section or a residential consumer, the alternative retail
electric supplier discloses the utility electric supply
price to compare, which shall be the sum of the electric
supply charge and the transmission services charge, and
shall not include the purchased electricity adjustment,
applicable at the time the offer is made to the consumer;
(iii) if the consumer is a small commercial retail
customer as that term is defined in subsection (c) of this
Section or a residential consumer, the alternative retail
electric provider discloses the following statement:
"(Name of the alternative retail electric
supplier) is not the same entity as your electric
delivery company. You are not required to enroll with

(name of alternative retail electric supplier). As of
(effective date), the electric supply price to compare
is currently (price in cents per kilowatt hour). The
electric utility electric supply price will expire on
(expiration date). The utility electric supply price
to compare does not include the purchased electricity
adjustment factor. For more information go to the
Illinois Commerce Commission's free website at
www.pluginillinois.org.".
If applicable, the statement shall include the
following statement:
"The purchased electricity adjustment factor may
range between +.5 cents and -.5 cents per kilowatt
hour.";
(iv) the alternative retail electric supplier has
obtained the consumer's express agreement to accept the
offer after the disclosure of all material terms and
conditions of the offer; and
(v) the alternative retail electric supplier has
confirmed the request for a change in accordance with one
of the following procedures:
(A) The new alternative retail electric supplier
has obtained the consumer's written or electronically
signed authorization in a form that meets the
following requirements:
(1) An alternative retail electric supplier

shall obtain any necessary written or
electronically signed authorization from a
consumer for a change in electric service by using
a letter of agency as specified in this Section.
Any letter of agency that does not conform with
this Section is invalid.
(2) The letter of agency shall be a separate
document (an easily separable document containing
only the authorization language described in
subparagraph (5)) whose sole purpose is to
authorize an electric service provider change. The
letter of agency must be signed and dated by the
consumer requesting the electric service provider
change.
(3) The letter of agency shall not be combined
with inducements of any kind on the same document.
(4) Notwithstanding subparagraphs (1) and (2),
the letter of agency may be combined with checks
that contain only the required letter of agency
language prescribed in subparagraph (5) and the
necessary information to make the check a
negotiable instrument. The letter of agency check
shall not contain any promotional language or
material. The letter of agency check shall contain
in easily readable, bold-face type on the face of
the check, a notice that the consumer is

authorizing an electric service provider change by
signing the check. The letter of agency language
also shall be placed near the signature line on
the back of the check.
(5) At a minimum, the letter of agency must be
printed with a print of sufficient size to be
clearly legible, and must contain clear and
unambiguous language that confirms:
(i) The consumer's billing name and
address;
(ii) The decision to change the electric
service provider from the current provider to
the prospective provider;
(iii) The terms, conditions, and nature of
the service to be provided to the consumer
must be clearly and conspicuously disclosed,
in writing, and an alternative retail electric
supplier must directly establish the rates for
the service contracted for by the consumer;
and
(iv) That the consumer understand that any
alternative retail electric supplier selection
the consumer chooses may involve a charge to
the consumer for changing the consumer's
electric service provider.
(6) Letters of agency shall not suggest or

require that a consumer take some action in order
to retain the consumer's current electric service
provider.
(7) If any portion of a letter of agency is
translated into another language, then all
portions of the letter of agency must be
translated into that language.
(B) An appropriately qualified independent third
party has obtained, in accordance with the procedures
set forth in this subsection (b), the consumer's oral
authorization to change electric suppliers that
confirms and includes appropriate verification data.
The independent third party (i) must not be owned,
managed, controlled, or directed by the supplier or
the supplier's marketing agent; (ii) must not have any
financial incentive to confirm supplier change
requests for the supplier or the supplier's marketing
agent; and (iii) must operate in a location physically
separate from the supplier or the supplier's marketing
agent.
Automated third-party verification systems and
3-way conference calls may be used for verification
purposes so long as the other requirements of this
subsection (b) are satisfied.
A supplier or supplier's sales representative
initiating a 3-way conference call or a call through

an automated verification system must drop off the
call once the 3-way connection has been established.
All third-party verification methods shall elicit,
at a minimum, the following information: (i) the
identity of the consumer; (ii) confirmation that the
person on the call is the account holder, has been
specifically and explicitly authorized by the account
holder, or possesses lawful authority to make the
supplier change; (iii) confirmation that the person on
the call wants to make the supplier change; (iv) the
names of the suppliers affected by the change; (v) the
service address of the supply to be switched; and (vi)
the price of the service to be supplied and the
material terms and conditions of the service being
offered, including whether any early termination fees
apply. Third-party verifiers may not market the
supplier's services by providing additional
information, including information regarding
procedures to block or otherwise freeze an account
against further changes.
All third-party verifications shall be conducted
in the same language that was used in the underlying
sales transaction and shall be recorded in their
entirety. Submitting suppliers shall maintain and
preserve audio records of verification of subscriber
authorization for a minimum period of 2 years after

obtaining the verification. Automated systems must
provide consumers with an option to speak with a live
person at any time during the call. Each disclosure
made during the third-party verification must be made
individually to obtain clear acknowledgment of each
disclosure. The alternative retail electric supplier
must be in a location where he or she cannot hear the
customer while the third-party verification is
conducted. The alternative retail electric supplier
shall not contact the customer after the third-party
verification for a period of 24 hours unless the
customer initiates the contact.
(C) When a consumer initiates the call to the
prospective alternative retail electric supplier, in
order to enroll the consumer as a customer, the
prospective alternative retail electric supplier must,
with the consent of the customer, make a date-stamped,
time-stamped audio recording that elicits, at a
minimum, the following information:
(1) the identity of the customer;
(2) confirmation that the person on the call
is authorized to make the supplier change;
(3) confirmation that the person on the call
wants to make the supplier change;
(4) the names of the suppliers affected by the
change;

(5) the service address of the supply to be
switched; and
(6) the price of the service to be supplied
and the material terms and conditions of the
service being offered, including whether any early
termination fees apply.
Submitting suppliers shall maintain and preserve
the audio records containing the information set forth
above for a minimum period of 2 years.
(b)(1) An alternative retail electric supplier shall not
utilize the name of a public utility in any manner that is
deceptive or misleading, including, but not limited to,
implying or otherwise leading a consumer to believe that an
alternative retail electric supplier is soliciting on behalf
of or is an agent of a utility. An alternative retail electric
supplier shall not utilize the name, or any other identifying
insignia, graphics, or wording that has been used at any time
to represent a public utility company or its services, to
identify, label, or define any of its electric power and
energy service offers. An alternative retail electric supplier
may state the name of a public electric utility in order to
accurately describe the electric utility service territories
in which the supplier is currently offering an electric power
and energy service. An alternative retail electric supplier
that is the affiliate of an Illinois public utility and that
was doing business in Illinois providing alternative retail

electric service on January 1, 2016 may continue to use that
public utility's name, logo, identifying insignia, graphics,
or wording in its business operations occurring outside the
service territory of the public utility with which it is
affiliated.
(2) An alternative retail electric supplier shall not
state or otherwise imply that the alternative retail electric
supplier is employed by, representing, endorsed by, or acting
on behalf of a utility or utility program, a consumer group or
consumer group program, or a governmental body, unless the
alternative retail electric supplier has entered into a
contractual arrangement with the governmental body and has
been authorized by the governmental body to make the
statements.
(c) An alternative retail electric supplier shall not
submit or execute a change in a consumer's selection of a
provider of electric service unless the alternative retail
electric supplier complies with the following requirements of
this subsection (c). It is a violation of this Section for an
alternative retail electric supplier to fail to comply with
this subsection (c). The requirements of this subsection (c)
shall only apply to residential and small commercial retail
customers. For purposes of this subsection (c) only, "small
commercial retail customer" has the meaning given to that term
in Section 16-102 of the Public Utilities Act.
(1) During a solicitation an alternative retail

electric supplier shall state that he or represents an
independent seller of electric power and energy service
certified by the Illinois Commerce Commission and that he
or she is not employed by, representing, endorsed by, or
acting on behalf of, a utility, or a utility program, a
consumer group or consumer group program, or a
governmental body, unless the alternative retail electric
supplier has entered into a contractual arrangement with
the governmental body and has been authorized with the
governmental body to make the statements.
(2) Alternative retail electric suppliers who engage
in in-person solicitation for the purpose of selling
electric power and energy service offered by the
alternative retail electric supplier shall display
identification on an outer garment. This identification
shall be visible at all times and prominently display the
following: (i) the alternative retail electric supplier
agent's full name in reasonable size font; (ii) an agent
identification number; (iii) a photograph of the
alternative retail electric supplier agent; and (iv) the
trade name and logo of the alternative retail electric
supplier the agent is representing. If the agent is
selling electric power and energy services from multiple
alternative retail electric suppliers to the consumer, the
identification shall display the trade name and logo of
the agent, broker, or consultant entity as that entity is

defined in Section 16-115C of the Public Utilities Act. An
alternative retail electric supplier shall leave the
premises at the consumer's, owner's, or occupant's
request. A copy of the Uniform Disclosure Statement
described in 83 Ill. Adm. Code 412.115 and 412.Appendix A
is to be left with the consumer, at the conclusion of the
visit unless the consumer refuses to accept a copy. An
alternative retail electric supplier may provide the
Uniform Disclosure Statement electronically instead of in
paper form to a consumer upon that customer's request. The
alternative retail electric supplier shall also offer to
the consumer, at the time of the initiation of the
solicitation, a business card or other material that lists
the agent's name, identification number and title, and the
alternative retail electric supplier's name and contact
information, including phone number. The alternative
retail electric supplier shall not conduct any in-person
solicitations of consumers at any building or premises
where any sign, notice, or declaration of any description
whatsoever is posted that prohibits sales, marketing, or
solicitations. The alternative retail electric supplier
shall obtain consent to enter multi-unit residential
dwellings. Consent obtained to enter a multi-unit dwelling
from one prospective customer or occupant of the dwelling
shall not constitute consent to market to any other
prospective consumers without separate consent.

(3) An alternative retail electric supplier who
contacts consumers by telephone for the purpose of selling
electric power and energy service shall provide the
agent's name and identification number. Any telemarketing
solicitations that lead to a telephone enrollment of a
consumer must be recorded and retained for a minimum of 2
years. All telemarketing calls of consumers that do not
lead to a telephone enrollment, but last at least 2
minutes, shall be recorded and retained for a minimum of 6
months.
(4) During an inbound enrollment call, an alternative
retail electric supplier shall state that he or she
represents an independent seller of electric power and
energy service certified by the Illinois Commerce
Commission. All inbound enrollment calls that lead to an
enrollment shall be recorded, and the recordings shall be
retained for a minimum of 2 years. An inbound enrollment
call that does not lead to an enrollment, but lasts at
least 2 minutes, shall be retained for a minimum of 6
months. The alternative retail electric supplier shall
send the Uniform Disclosure Statement and contract to the
customer within 3 business days after the electric
utility's confirmation to the alternative retail electric
supplier of an accepted enrollment.
(5) If a direct mail solicitation to a consumer
includes a written letter of agency, it shall include the

Uniform Disclosure Statement described in 83 Ill. Adm.
Code 412.115 and 412.Appendix A. The Uniform Disclosure
Statement shall be provided on a separate page from the
other marketing materials included in the direct mail
solicitation. If a written letter of agency is being used
to authorize a consumer's enrollment, the written letter
of agency shall comply with this Section. A copy of the
contract must be sent to consumer within 3 business days
after the electric utility's confirmation to the
alternative retail electric supplier of an accepted
enrollment.
(6) Online Solicitation.
(A) Each alternative retail electric supplier
offering electric power and energy service to
consumers online shall clearly and conspicuously make
all disclosures for any services offered through
online enrollment before requiring the consumer to
enter any personal information other than zip code,
electric utility service territory, or type of service
sought.
(B) Notwithstanding any requirements in this
Section to the contrary, an alternative retail
electric supplier may secure consent from the consumer
to obtain customer-specific billing and usage
information for the sole purpose of determining and
pricing a product through a letter of agency or method

approved through an Illinois Commerce Commission
docket before making all disclosure for services
offered through online enrollment. It is a violation
of this Act for an alternative retail electric
supplier to use a consumer's utility account number to
execute or change a consumer's enrollment unless the
consumer expressly consents to that enrollment as
required by law.
(C) The enrollment website of the alternative
retail electric supplier shall, at a minimum, include:
(i) disclosure of all material terms and conditions of
the offer; (ii) a statement that electronic acceptance
of the terms and conditions is an agreement to
initiate service and begin enrollment; (iii) a
statement that the consumer shall review the contract
or contact the current supplier to learn if any early
termination fees are applicable; and (iv) an email
address and toll-free phone number of the alternative
retail electric supplier where the customer can
express a decision to rescind the contract.
(7)(A) Beginning January 1, 2020, an alternative
retail electric supplier shall not sell or offer to sell
any products or services to a consumer pursuant to a
contract in which the contract automatically renews,
unless an alternative retail electric supplier provides to
the consumer at the outset of the offer, in addition to

other disclosures required by law, a separate written
statement titled "Automatic Contract Renewal" that clearly
and conspicuously discloses in bold lettering in at least
12-point font the terms and conditions of the automatic
contract renewal provision, including: (i) the estimated
bill cycle on which the initial contract term expires and
a statement that it could be later based on when the
utility accepts the initial enrollment; (ii) the estimated
bill cycle on which the new contract term begins and a
statement that it will immediately follow the last billing
cycle of the current term; (iii) the procedure to
terminate the contract before the new contract term
applies; and (iv) the cancellation procedure. If the
alternative retail electric supplier sells or offers to
sell the products or services to a consumer during an
in-person solicitation or telemarketing solicitation, the
disclosures described in this subparagraph (A) shall also
be made to the consumer verbally during the solicitation.
Nothing in this subparagraph (A) shall be construed to
apply to contracts entered into before January 1, 2020.
(B) At least 30 days before, but not more than 60
days prior, to the end of the initial contract term, in
any and all contracts that automatically renew after
the initial term, the alternative retail electric
supplier shall send, in addition to other disclosures
required by law, a separate written notice of the

contract renewal to the consumer that clearly and
conspicuously discloses the following:
(i) a statement printed or visible from the
outside of the envelope or in the subject line of
the email, if the customer has agreed to receive
official documents by email, that states "Contract
Renewal Notice";
(ii) a statement in bold lettering, in at
least 12-point font, that the contract will
automatically renew unless the customer cancels
it;
(iii) the billing cycle in which service under
the current term will expire;
(iv) the billing cycle in which service under
the new term will begin;
(v) the process and options available to the
consumer to reject the new contract terms;
(vi) the cancellation process if the
consumer's contract automatically renews before
the consumer rejects the new contract terms;
(vii) the terms and conditions of the new
contract term;
(viii) for a fixed rate contract, a
side-by-side comparison of the current price and
the new price; for a variable rate contract or
time-of-use product in which the first month's

renewal price can be determined, a side-by-side
comparison of the current price and the price for
the first month of the new variable or time-of-use
price; or for a variable or time-of-use contract
based on a publicly available index, a
side-by-side comparison of the current formula and
the new formula; and
(ix) the phone number and Internet email
address to submit a consumer inquiry or complaint
to the Illinois Commerce Commission and the Office
of the Attorney General.
(C) An alternative retail electric supplier shall
not automatically renew a consumer's enrollment after
the current term of the contract expires when the
current term of the contract provides that the
consumer will be charged a fixed rate and the renewed
contract provides that the consumer will be charged a
variable rate, unless: (i) the alternative retail
electric supplier complies with subparagraphs (A) and
(B); and (ii) the customer expressly consents to the
contract renewal in writing or by electronic signature
at least 30 days, but no more than 60 days, before the
contract expires.
(D) This paragraph (7) does not apply to customers
enrolled in a municipal aggregation program pursuant
to Section 1-92 of the Illinois Power Agency Act.

(8) All in-person and telephone solicitations shall be
conducted in, translated into, and provided in a language
in which the consumer subject to the marketing or
solicitation is able to understand and communicate. An
alternative retail electric supplier shall terminate a
solicitation if the consumer subject to the marketing or
communication is unable to understand and communicate in
the language in which the marketing or solicitation is
being conducted. An alternative retail electric supplier
shall comply with Section 2N of this Act.
(9) Beginning January 1, 2020, consumers shall have
the right to terminate their contract with the alternative
retail electric supplier at any time without any
termination fees or penalties.
(10) An alternative retail electric supplier shall not
submit a change to a customer's electric service provider
in violation of Section 16-115E of the Public Utilities
Act.
(d) (c) Complaints may be filed with the Illinois Commerce
Commission under this Section by a consumer whose electric
service has been provided by an alternative retail electric
supplier in a manner not in compliance with this Section or by
the Illinois Commerce Commission on its own motion when it
appears to the Commission that an alternative retail electric
supplier has provided service in a manner not in compliance
with this Section. If, after notice and hearing, the

Commission finds that an alternative retail electric supplier
has violated this Section, the Commission may in its
discretion do any one or more of the following:
(1) Require the violating alternative retail electric
supplier to refund to the consumer charges collected in
excess of those that would have been charged by the
consumer's authorized electric service provider.
(2) Require the violating alternative retail electric
supplier to pay to the consumer's authorized electric
service provider the amount the authorized electric
service provider would have collected for the electric
service. The Commission is authorized to reduce this
payment by any amount already paid by the violating
alternative retail electric supplier to the consumer's
authorized provider for electric service.
(3) Require the violating alternative retail electric
supplier to pay a fine of up to $10,000 $1,000 into the
Public Utility Fund for each repeated and intentional
violation of this Section.
(4) Issue a cease and desist order.
(5) For a pattern of violation of this Section or for
violations that continue after intentionally violating a
cease and desist order, revoke the violating alternative
retail electric supplier's certificate of service
authority.
(e) (d) For purposes of this Section:

"Electric service provider" shall have the meaning given
that phrase in Section 6.5 of the Attorney General Act.
"Alternative retail electric supplier" has the meaning
given to that term in Section 16-102 of the Public Utilities
Act.
(Source: P.A. 101-590, eff. 1-1-20.)
(815 ILCS 505/2DDD)
Sec. 2DDD. Alternative gas suppliers.
(a) Definitions.
(1) "Alternative gas supplier" has the same meaning as
in Section 19-105 of the Public Utilities Act.
(2) "Gas utility" has the same meaning as in Section
19-105 of the Public Utilities Act.
(b) It is an unfair or deceptive act or practice within the
meaning of Section 2 of this Act for any person to violate any
provision of this Section.
(c) Solicitation.
(1) An alternative gas supplier shall not utilize the
name of a public utility in any manner that is deceptive or
misleading, including, but not limited to, implying or
otherwise leading a customer to believe that an
alternative gas supplier is soliciting on behalf of or is
an agent of a utility. An alternative gas supplier shall
not utilize the name, or any other identifying insignia,
graphics, or wording, that has been used at any time to

represent a public utility company or its services or to
identify, label, or define any of its natural gas supply
offers and shall not misrepresent the affiliation of any
alternative supplier with the gas utility, governmental
bodies, or consumer groups.
(2) If any sales solicitation, agreement, contract, or
verification is translated into another language and
provided to a customer, all of the documents must be
provided to the customer in that other language.
(2.3) An alternative gas supplier shall state that it
represents an independent seller of gas certified by the
Illinois Commerce Commission and that he or she is not
employed by, representing, endorsed by, or acting on
behalf of a utility, or a utility program.
(2.5) All in-person and telephone solicitations shall
be conducted in, translated into, and provided in a
language in which the consumer subject to the marketing or
solicitation is able to understand and communicate. An
alternative gas supplier shall terminate a solicitation if
the consumer subject to the marketing or communication is
unable to understand and communicate in the language in
which the marketing or solicitation is being conducted. An
alternative gas supplier shall comply with Section 2N of
this Act.
(3) An alternative gas supplier shall clearly and
conspicuously disclose the following information to all

customers:
(A) the prices, terms, and conditions of the
products and services being sold to the customer;
(B) where the solicitation occurs in person,
including through door-to-door solicitation, the
salesperson's name;
(C) the alternative gas supplier's contact
information, including the address, phone number, and
website;
(D) contact information for the Illinois Commerce
Commission, including the toll-free number for
consumer complaints and website;
(E) a statement of the customer's right to rescind
the offer within 10 business days of the date on the
utility's notice confirming the customer's decision to
switch suppliers, as well as phone numbers for the
supplier and utility that the consumer may use to
rescind the contract;
(F) the amount of the early termination fee, if
any; and
(G) the utility gas supply cost rates per therm
price available from the Illinois Commerce Commission
website applicable at the time the alternative gas
supplier is offering or selling the products or
services to the customer and shall disclose the
following statement:

"(Name of the alternative gas supplier) is not the
same entity as your gas delivery company. You are not
required to enroll with (name of alternative retail
gas supplier). Beginning on (effective date), the
utility gas supply cost rate per therm is (cost). The
utility gas supply cost will expire on (expiration
date). For more information go to the Illinois
Commerce Commission's free website at
www.icc.illinois.gov/ags/consumereducation.aspx.".
(4) Except as provided in paragraph (5) of this
subsection (c), an alternative gas supplier shall send the
information described in paragraph (3) of this subsection
(c) to all customers within one business day of the
authorization of a switch.
(5) An alternative gas supplier engaging in
door-to-door solicitation of consumers shall provide the
information described in paragraph (3) of this subsection
(c) during all door-to-door solicitations that result in a
customer deciding to switch his or her supplier.
(d) Customer Authorization. An alternative gas supplier
shall not submit or execute a change in a customer's selection
of a natural gas provider unless and until: (i) the
alternative gas supplier first discloses all material terms
and conditions of the offer to the customer; (ii) the
alternative gas supplier has obtained the customer's express
agreement to accept the offer after the disclosure of all

material terms and conditions of the offer; and (iii) the
alternative gas supplier has confirmed the request for a
change in accordance with one of the following procedures:
(1) The alternative gas supplier has obtained the
customer's written or electronically signed authorization
in a form that meets the following requirements:
(A) An alternative gas supplier shall obtain any
necessary written or electronically signed
authorization from a customer for a change in natural
gas service by using a letter of agency as specified in
this Section. Any letter of agency that does not
conform with this Section is invalid.
(B) The letter of agency shall be a separate
document (or an easily separable document containing
only the authorization language described in item (E)
of this paragraph (1)) whose sole purpose is to
authorize a natural gas provider change. The letter of
agency must be signed and dated by the customer
requesting the natural gas provider change.
(C) The letter of agency shall not be combined
with inducements of any kind on the same document.
(D) Notwithstanding items (A) and (B) of this
paragraph (1), the letter of agency may be combined
with checks that contain only the required letter of
agency language prescribed in item (E) of this
paragraph (1) and the necessary information to make

the check a negotiable instrument. The letter of
agency check shall not contain any promotional
language or material. The letter of agency check shall
contain in easily readable, bold face type on the face
of the check, a notice that the consumer is
authorizing a natural gas provider change by signing
the check. The letter of agency language also shall be
placed near the signature line on the back of the
check.
(E) At a minimum, the letter of agency must be
printed with a print of sufficient size to be clearly
legible, and must contain clear and unambiguous
language that confirms:
(i) the customer's billing name and address;
(ii) the decision to change the natural gas
provider from the current provider to the
prospective alternative gas supplier;
(iii) the terms, conditions, and nature of the
service to be provided to the customer, including,
but not limited to, the rates for the service
contracted for by the customer; and
(iv) that the customer understands that any
natural gas provider selection the customer
chooses may involve a charge to the customer for
changing the customer's natural gas provider.
(F) Letters of agency shall not suggest or require

that a customer take some action in order to retain the
customer's current natural gas provider.
(G) If any portion of a letter of agency is
translated into another language, then all portions of
the letter of agency must be translated into that
language.
(2) An appropriately qualified independent third party
has obtained, in accordance with the procedures set forth
in this paragraph (2), the customer's oral authorization
to change natural gas providers that confirms and includes
appropriate verification data. The independent third party
must: (i) not be owned, managed, controlled, or directed
by the alternative gas supplier or the alternative gas
supplier's marketing agent; (ii) not have any financial
incentive to confirm provider change requests for the
alternative gas supplier or the alternative gas supplier's
marketing agent; and (iii) operate in a location
physically separate from the alternative gas supplier or
the alternative gas supplier's marketing agent. Automated
third-party verification systems and 3-way conference
calls may be used for verification purposes so long as the
other requirements of this paragraph (2) are satisfied. An
alternative gas supplier or alternative gas supplier's
sales representative initiating a 3-way conference call or
a call through an automated verification system must drop
off the call once the 3-way connection has been

established. All third-party verification methods shall
elicit, at a minimum, the following information:
(A) the identity of the customer;
(B) confirmation that the person on the call is
authorized to make the provider change;
(C) confirmation that the person on the call wants
to make the provider change;
(D) the names of the providers affected by the
change;
(E) the service address of the service to be
switched; and
(F) the price of the service to be provided and the
material terms and conditions of the service being
offered, including whether any early termination fees
apply.
Third-party verifiers may not market the alternative
gas supplier's services. All third-party verifications
shall be conducted in the same language that was used in
the underlying sales transaction and shall be recorded in
their entirety. Submitting alternative gas suppliers shall
maintain and preserve audio records of verification of
customer authorization for a minimum period of 2 years
after obtaining the verification. Automated systems must
provide customers with an option to speak with a live
person at any time during the call. Each disclosure made
during the third-party verification must be made

individually to obtain clear acknowledgment of each
disclosure. The alternative gas supplier must be in a
location where he or she cannot hear the customer while
the third-party verification is conducted. The alternative
gas supplier shall not contact the customer after the
third-party verification for a period of 24 hours unless
the customer initiates the contact.
(3) The alternative gas supplier has obtained the
customer's electronic authorization to change natural gas
service via telephone. Such authorization must elicit the
information in subparagraphs (A) through (F) of paragraph
(2) of this subsection (d). Alternative gas suppliers
electing to confirm sales electronically shall establish
one or more toll-free telephone numbers exclusively for
that purpose. Calls to the number or numbers shall connect
a customer to a voice response unit, or similar mechanism,
that makes a date-stamped, time-stamped recording of the
required information regarding the alternative gas
supplier change.
The alternative gas supplier shall not use such
electronic authorization systems to market its services.
(4) When a consumer initiates the call to the
prospective alternative gas supplier, in order to enroll
the consumer as a customer, the prospective alternative
gas supplier must, with the consent of the customer, make
a date-stamped, time-stamped audio recording that elicits,

at a minimum, the following information:
(A) the identity of the customer;
(B) confirmation that the person on the call is
authorized to make the provider change;
(C) confirmation that the person on the call wants
to make the provider change;
(D) the names of the providers affected by the
change;
(E) the service address of the service to be
switched; and
(F) the price of the service to be supplied and the
material terms and conditions of the service being
offered, including whether any early termination fees
apply.
Submitting alternative gas suppliers shall maintain
and preserve the audio records containing the information
set forth above for a minimum period of 2 years.
(5) In the event that a customer enrolls for service
from an alternative gas supplier via an Internet website,
the alternative gas supplier shall obtain an
electronically signed letter of agency in accordance with
paragraph (1) of this subsection (d) and any customer
information shall be protected in accordance with all
applicable statutes and rules. In addition, an alternative
gas supplier shall provide the following when marketing
via an Internet website:

(A) The Internet enrollment website shall, at a
minimum, include:
(i) a copy of the alternative gas supplier's
customer contract, which clearly and conspicuously
discloses all terms and conditions; and
(ii) a conspicuous prompt for the customer to
print or save a copy of the contract.
(B) Any electronic version of the contract shall
be identified by version number, in order to ensure
the ability to verify the particular contract to which
the customer assents.
(C) Throughout the duration of the alternative gas
supplier's contract with a customer, the alternative
gas supplier shall retain and, within 3 business days
of the customer's request, provide to the customer an
email e-mail, paper, or facsimile of the terms and
conditions of the numbered contract version to which
the customer assents.
(D) The alternative gas supplier shall provide a
mechanism by which both the submission and receipt of
the electronic letter of agency are recorded by time
and date.
(E) After the customer completes the electronic
letter of agency, the alternative gas supplier shall
disclose conspicuously through its website that the
customer has been enrolled and the alternative gas

supplier shall provide the customer an enrollment
confirmation number.
(6) When a customer is solicited in person by the
alternative gas supplier's sales agent, the alternative
gas supplier may only obtain the customer's authorization
to change natural gas service through the method provided
for in paragraph (2) of this subsection (d).
Alternative gas suppliers must be in compliance with the
provisions of this subsection (d) within 90 days after April
10, 2009 (the effective date of Public Act 95-1051).
(e) Early Termination.
(1) Beginning January 1, 2020, consumers shall have
the right to terminate their contract with an alternative
gas supplier at any time without any termination fees or
penalties.
(2) In any agreement that contains an early
termination clause, an alternative gas supplier shall
provide the customer the opportunity to terminate the
agreement without any termination fee or penalty within 10
business days after the date of the first bill issued to
the customer for products or services provided by the
alternative gas supplier. The agreement shall disclose the
opportunity and provide a toll-free phone number that the
customer may call in order to terminate the agreement.
(f) The alternative gas supplier shall provide each
customer the opportunity to rescind its agreement without

penalty within 10 business days after the date on the gas
utility notice to the customer. The alternative gas supplier
shall disclose to the customer all of the following:
(1) that the gas utility shall send a notice
confirming the switch;
(2) that from the date the utility issues the notice
confirming the switch, the customer shall have 10 business
days before the switch will become effective;
(3) that the customer may contact the gas utility or
the alternative gas supplier to rescind the switch within
10 business days; and
(4) the contact information for the gas utility and
the alternative gas supplier.
The alternative gas supplier disclosure shall be included
in its sales solicitations, contracts, and all applicable
sales verification scripts.
(f-5)(1) Beginning January 1, 2020, an alternative gas
supplier shall not sell or offer to sell any products or
services to a consumer pursuant to a contract in which the
contract automatically renews, unless an alternative gas
supplier provides to the consumer at the outset of the offer,
in addition to other disclosures required by law, a separate
written statement titled "Automatic Contract Renewal" that
clearly and conspicuously discloses in bold lettering in at
least 12-point font the terms and conditions of the automatic
contract renewal provision, including: (i) the estimated bill

cycle on which the initial contract term expires and a
statement that it could be later based on when the utility
accepts the initial enrollment; (ii) the estimated bill cycle
on which the new contract term begins and a statement that it
will immediately follow the last billing cycle of the current
term; (iii) the procedure to terminate the contract before the
new contract term applies; and (iv) the cancellation
procedure. If the alternative gas supplier sells or offers to
sell the products or services to a consumer during an
in-person solicitation or telemarketing solicitation, the
disclosures described in this paragraph (1) shall also be made
to the consumer verbally during the solicitation. Nothing in
this paragraph (1) shall be construed to apply to contracts
entered into before January 1, 2020.
(2) At least 30 days before, but not more than 60 days
prior, to the end of the initial contract term, in any and all
contracts that automatically renew after the initial term, the
alternative gas supplier shall send, in addition to other
disclosures required by law, a separate written notice of the
contract renewal to the consumer that clearly and
conspicuously discloses the following:
(A) a statement printed or visible from the outside of
the envelope or in the subject line of the email, if the
customer has agreed to receive official documents by
email, that states "Contract Renewal Notice";
(B) a statement in bold lettering, in at least

12-point font, that the contract will automatically renew
unless the customer cancels it;
(C) the billing cycle in which service under the
current term will expire;
(D) the billing cycle in which service under the new
term will begin;
(E) the process and options available to the consumer
to reject the new contract terms;
(F) the cancellation process if the consumer's
contract automatically renews before the consumer rejects
the new contract terms;
(G) the terms and conditions of the new contract term;
(H) for a fixed rate or flat bill contract, a
side-by-side comparison of the current fixed rate or flat
bill to the new fixed rate or flat bill; for a variable
rate contract or time-of-use product in which the first
month's renewal price can be determined, a side-by-side
comparison of the current price and the price for the
first month of the new variable or time-of-use price; or
for a variable or time-of-use contract based on a publicly
available index, a side-by-side comparison of the current
formula and the new formula; and
(I) the phone number and Internet email address to
submit a consumer inquiry or complaint to the Illinois
Commerce Commission and the Office of the Attorney
General.

(3) An alternative gas supplier shall not automatically
renew a consumer's enrollment after the current term of the
contract expires when the current term of the contract
provides that the consumer will be charged a fixed rate and the
renewed contract provides that the consumer will be charged a
variable rate, unless: (i) the alternative gas supplier
complies with paragraphs (1) and (2); and (ii) the customer
expressly consents to the contract renewal in writing or by
electronic signature at least 30 days, but no more than 60
days, before the contract expires.
(4) An alternative gas supplier shall not submit a change
to a customer's gas service provider in violation of Section
19-116 of the Public Utilities Act.
(g) The provisions of this Section shall apply only to
alternative gas suppliers serving or seeking to serve
residential and small commercial customers and only to the
extent such alternative gas suppliers provide services to
residential and small commercial customers.
(h) Complaints may be filed with the Commission under this
Section by a consumer whose gas service has been provided by an
alternative retail gas supplier in a manner not in compliance
with this Section or by the Commission on its own motion when
it appears to the Commission that an alternative retail gas
supplier has provided service in a manner not in compliance
with this Section. If, after notice and hearing, the
Commission finds that an alternative retail gas supplier has

violated this Section, the Commission may in its discretion do
any one or more of the following:
(1) require the alternative retail gas supplier to
refund to the consumer charges collected in excess of
those that would have been charged by the consumer's
authorized gas service provider;
(2) require the alternative retail gas supplier to pay
to the consumer's authorized gas service provider the
amount the authorized gas service provider would have
collected for the gas service. The Commission is
authorized to reduce this payment by any amount already
paid by the alternative retail gas to the consumer's
authorized provider for gas service;
(3) require the alternative retail electric supplier
to pay a fine of up to $10,000 per occurrence into the
Public Utility Fund for each violation of this Section;
(4) issue a cease and desist order; and
(5) for a pattern of violation of this Section or for
violations that continue after a cease and desist order,
revoke the alternative retail gas supplier's certificate
of service authority.
(Source: P.A. 101-590, eff. 1-1-20; 102-558, eff. 8-20-21.)