[39] Bill 131 Original (PDF)
Bill 131 2008
An Act to amend the Ontario Energy Board Act, 1998 with respect to retailers of electricity and gas marketers
Note: This Act amends the Ontario Energy Board Act, 1998. For the legislative history of the Act, see the Table of Consolidated Public Statutes – Detailed Legislative History on www.e-Laws.gov.on.ca.
Her Majesty, by and with the advice and consent of the Legislative Assembly of the Province of Ontario, enacts as follows:
1. The Ontario Energy Board Act, 1998 is amended by adding the following sections:
Prohibition, contracts by mailed cheque
88.7 No retailer of electricity or gas marketer shall enter into a contract with a consumer by means of mail solicitation proposing the cashing of a cheque mailed to the consumer by the retailer or marketer.
Contract with consumer, electricity retail
88.8 (1) No retailer of electricity shall enter into a contract with a consumer other than a consumer whose name appears on a bill issued by the distributor who owns or operates a system for distributing electricity to the consumer.
Contract with consumer, gas marketing
(2) No gas marketer shall enter into a contract with a consumer other than a consumer whose name appears on a bill issued by the distributor who delivers gas to the consumer.
Authorized representative
(3) If the name of the consumer on a bill referred to in subsection (1) or (2) includes the name of an authorized representative of the consumer, a contract described in subsection (1) or (2) may only be entered into with the consumer and the authorized representative.
2. (1) Subsections 88.9 (1), (2), (3) and (4) of the Act are repealed and the following substituted:
Written copy of contract and reaffirmation letter
(1) If a retailer of electricity or gas marketer enters into a contract with a consumer, the retailer of electricity or gas marketer shall deliver the following documents together to the consumer within 40 days after the consumer signs the contract:
1. A written copy of the contract.
2. A written copy of the reaffirmation letter setting out the information described in subsection (4.2).
Contract ceases to have effect
(2) If a retailer of electricity or gas marketer fails to deliver the documents described in subsection (1) in accordance with that subsection, the contract ceases to have effect.
Reaffirmation of contract
(3) If the documents described in subsection (1) have been delivered to a consumer in accordance with subsection (1), the contract ceases to have effect unless it is reaffirmed by the consumer in accordance with this section before the 61st day following the day on which the documents are delivered to the consumer.
Consumer to take steps to reaffirm
(4) A consumer may reaffirm a contract only by signing the reaffirmation letter and delivering it to the retailer of electricity or the gas marketer, as the case may be, in accordance with subsection (3).
(2) Section 88.9 of the Act is amended by adding the following subsection:
Contents of reaffirmation letter
(4.2) The reaffirmation letter shall set out the following information:
1. In the case of a contract proposed by a retailer of electricity for the provision of electricity,
i. a statement, in not less than 12 point bold type, of,
A. the price to be paid under the new contract for the provision of electricity, expressed per kilowatt hour of electricity,
B. if the consumer already purchases electricity from a retailer of electricity under another contract, the penalty that would be payable by the consumer if that contract is cancelled,
C. if the consumer already purchases electricity from a retailer of electricity under another contract, the price that the consumer currently pays for the provision of electricity, expressed per kilowatt hour of electricity, and
D. the price that would be payable by the consumer for the provision of electricity if the consumer purchases electricity directly from the distributor who owns or operates a system for distributing electricity to the consumer, expressed per kilowatt hour of electricity, and
ii. a statement, immediately adjacent to the information referred to in subparagraph i, that is signed by the consumer and indicates that the consumer acknowledges having read the information referred to in subparagraph i.
2. In the case of a contract proposed by a gas marketer for the provision of gas,
i. a statement, in not less than 12 point bold type, of,
A. the price to be paid under the new contract for the provision of gas, expressed per cubic metre of gas,
B. if the consumer already purchases gas from a gas marketer under another contract, the penalty that would be payable by the consumer if that contract is cancelled,
C. if the consumer already purchases gas from a gas marketer under another contract, the price that the consumer currently pays for the provision of gas, expressed per cubic metre of gas, and
D. the price that would be payable by the consumer for the provision of gas if the consumer purchases gas directly from the distributor who delivers gas to the consumer, expressed per cubic metre of gas, and
ii. a statement, immediately adjacent to the information referred to in subparagraph i, that is signed by the consumer and indicates that the consumer acknowledges having read the information referred to in subparagraph i.
(3) Paragraph 2 of subsection 88.9 (16) of the Act is repealed.
3. The Act is amended by adding the following sections:
Contents of bill, electricity
88.13 (1) A retailer of electricity shall ensure that a bill for the provision of electricity sets out the price to be paid for the electricity per kilowatt hour of electricity.
Contents of bill, gas
(2) A gas marketer shall ensure that a bill for the provision of gas sets out the price to be paid for the gas per cubic metre of gas.
Prohibition, cancellation fees on moving
88.14 Despite any agreement to the contrary, no retailer of electricity or gas marketer shall charge a consumer a fee for the cancellation of a contract if the consumer cancels the contract because he or she no longer resides at the property for which the electricity or gas was purchased under the contract.
Commencement
4. This Act comes into force six months after the day it receives Royal Assent.
Short title
5. The short title of this Act is the Ontario Energy Board Amendment Act, 2008.
EXPLANATORY NOTE
The Bill amends the Ontario Energy Board Act, 1998 with respect to retailers of electricity and gas marketers as follows:
Retailers of electricity and gas marketers are prohibited from entering into contracts with consumers by means of mail solicitation proposing the cashing of a cheque by a consumer.
Retailers of electricity and gas marketers are prohibited from entering into contracts with consumers other than consumers whose names appear on a bill issued by the distributor of electricity or gas.
Section 88.9 of the Act is amended to provide that a retailer of electricity or a gas marketer who enters into a contract with a consumer must deliver, in addition to a written copy of the contract, a written copy of a reaffirmation letter. The reaffirmation letter, which is the only means by which the consumer may reaffirm the contract, must contain specific information, including the following: the price the consumer would pay under the new contract, any cancellation fees that the consumer would owe to another retailer or marketer upon reaffirming the contract, the price that the consumer currently pays to another retailer or marketer, and the price that the consumer would pay if the consumer purchases electricity or gas directly from the distributor of electricity or gas.
A bill issued for the provision of electricity or gas by a retailer of electricity or gas marketer must set out the price to be paid by the consumer for each unit of electricity or gas.
Retailers of electricity and gas marketers are prohibited from charging consumers cancellation fees in circumstances where the consumer cancels a contract because he or she no longer resides at the property for which the electricity or gas was purchased.