To: Direct Access "Puppy" Group D

From: Michael Shames

RE: Consumer Principles - Second Draft


CONSUMER RIGHTS IN RESTRUCTURING


This is a memorialization of the agreements reached at the May 30th meetings.

[ ] denotes disputed language.

.

I. Right to Know

Customers must be ensured of access to affordable and accurate informational and education materials to all customers that enable comparison of price, quality, service record and terms of service offered by all market participants.

Elements:

II. Right to Choice

[Customers should have choices which offer substantial savings and identifiable value.] All customers should have the ability to aggregate efficiently on a non-discriminatory basis.

Where competitive services are not available to certain customer groups, barriers to competition that prevent access by these customers must be eliminated.

Elements:

III. Fair Dealing

All classes of customers should have access to affordable choices and pricing options without undue discrimination. Service claims must be verifiable and service options responsive to the needs of all customer classes.

Elements:

IV. Right to Redress

Regulatory oversight must continue to ensure that electric providers maintain prompt, low-cost and effective redress for customer complaints in a neutral forum. Regulatory enforcement and penalty power required.

Elements:

V. Customer Participation

Customers must be able to participate in regulatory oversight of the restructured industry which should be on-going during and after competition commences.

Elements:

VI. Right to Privacy

Consumers should be able to control release and use of personal information and records. This information is to be used only in a manner to electric service.

Marketing should not be unduly intrusive.

Elements:

VII. Quality of Service

Service must be safe and in accord with specified service criteria. Customers should be offered a choice of differentiated levels of service. [Service limiters should not be imposed upon low-income customers]

Elements:

VIII. Required Codes of Conduct & Oversight

As a condition of registration and continued service rights, all providers must either accept an industry standard code of conduct or offer a comparable alternative code specifying standards upon which their customer service policies and business practices will be based.

Elements:

IX. Right to Affordable Electric Service

Because electricity is a necessary service, [electric restructuring must result in no greater proportionate costs for the customer classes with relatively fewer options available to them].

Elements:

X. Transaction Costs

[Essential elements of electric service should be non-proprietary and customers without or with modest market choice should be responsible for no more than an equitable share of costs arising from restructuring] Must promote access requires minimizing transaction costs.

Elements:

XI. Improvement over the status quo

[Competition must support, rather than jeopardize, existing and evolving social and environmental policies and programs Special "lifeline" rates and services and safeguards for low-income customers, the elderly and disabled should be preserved in a restructured environment].

Elements:

XII. Right to Continuous Service

[If a provider is unable to discharge service, customers should assured continuous electric

service by the UDC].


Time is the best teacher. The only problem is she kills off all of her students.

Michael Shames

mshames@electriciti.com

UCAN

1717 Kettner Blvd. Suite 105

San Diego, CA 92101

(v) 619-696-6966

(f) 619-696-7477