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New York Modifies Rules for Third Party Verification

New York’s Public Service Commission (PSC) addressed a prior ruling regarding third party verification requirements and rules in early February, stating its intent to loosen requirements previously set forth. 7439921_s(1)New York has traditionally been a very tough state in terms of consumer protection. The February 2014 ruling had set up a requirement that all door-to-door and telephone sales for Energy Services Companies (ESCOs) be third-party verified. This ruling further stipulated that the sales agent could have no interaction with the verifier, and that automated TPV systems could not be used.

Comments made by the PSC on February 5 indicate that these broad restrictions may be relaxed somewhat in the coming months. While the TPV requirement will remain, the PSC indicated that its intent was to streamline existing scripting requirements.

Furthermore, the PSC has indicated that it will clarify restrictions on the degree to which a sales agent may participate in the TPV process. In other states, agents are allowed to provide information to the verifier regarding the customer’s account to save time and speed up the enrollment process. Automated TPV will likely also be allowed for ESCO sales in the coming months.

These revisions to the TPV process were accompanied by the announcement that customers receiving government assistance would be allowed to select fixed rate plans from ESCOs. The PSC plans to address within the next 180 days how this process will work, including "point of sale" verification of a customer’s government assistance status by the marketer or verifier.

The Sales Verification Company is an industry leader in third-party verification services. We are experts in all of the regulations inherent in conducting TPV on your behalf. Contact us today for a consultation!