Purpose

This bill would require electric utilities to obtain explicit customer consent before starting a time-of-use (TOU) rate program. It aims to protect customers by making participation voluntary through an opt-in process and to ensure any necessary equipment for TOU pricing is installed only with written consent.

Key Definitions

• Time-of-use rate: An electric utility pricing structure where the price charged to customers varies depending on the time of day.
• Electric utility: As defined elsewhere in Minnesota law, the entity that supplies electricity to a customer.
• TOU rate program: The specific pricing plan that uses different rates at different times of the day.

Main Provisions

• Consent required: An electric utility that wants to implement a TOU rate must obtain customer consent.
• Opt-in form: The utility must create a form that the owner of the home or business receiving electric service must sign to opt in to the TOU rate program and to allow installation of the necessary equipment.
• Form formatting and disclosure: The opt-in form must be in 12-point boldface type and must clearly state that opting in is not required and that the customer’s service will not be affected if they do not opt in.
• Explanation of the program: The bill requires a section (Section 1.2) that provides an explanation of the TOU rate program and indicates that written consent is required to install the equipment necessary to implement the TOU rate program.

Significant Changes to Existing Law

• Adds a clear consent requirement for TOU programs, making participation effectively opt-in rather than automatic.
• Establishes an explicit opt-in process for customers, including a mandatory conspicuous form and the right to refuse without affecting service.
• Mandates specific formatting (12-point boldface) and a formal explanation of the program to accompany consent.
• Ties consent to the installation of equipment necessary to implement TOU pricing, ensuring customers only bear installation consent when they choose to participate.

Implementation Notes

• The text provided does not specify an effective date or timeline for implementation.

---

Relevant Terms time-of-use rate; TOU; time-of-use pricing; consent; opt-in; opt in; electric utility; form; 12-point boldface; owner of home or business; written consent; installation of equipment; explanation of the program.