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Consumer Advocates & Service Quality Dianne E. Dusman Sr. Asst. Consumer Advocate Pennsylvania Office of Consumer Advocate (PAOCA) 555 Walnut St., 5 th.

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Presentation on theme: "Consumer Advocates & Service Quality Dianne E. Dusman Sr. Asst. Consumer Advocate Pennsylvania Office of Consumer Advocate (PAOCA) 555 Walnut St., 5 th."— Presentation transcript:

1 Consumer Advocates & Service Quality Dianne E. Dusman Sr. Asst. Consumer Advocate Pennsylvania Office of Consumer Advocate (PAOCA) 555 Walnut St., 5 th Floor, Forum Place Harrisburg, PA 17101-1923 (717) 783-5048 www.oca.state.pa.us

2 Background Formal Complaints - Remedy for small areas/subgroups only Rulemakings and Collaboratives - Industry wide stds. or guidelines Base Rate Cases -Quality issues can impact rate claims Mergers & Acquisitions - Specific co. stds. – can exceed regs

3 Formal Complaints Electric Industry –R–Recurrent outages –H–High Bill complaints Telephone Industry –F–Fraud –E–Extended Area Service Water Industry –W–Water Quality –S–Service Interruptions –M–Main Extensions Gas Industry –S–Service Abandonment

4 Recent Electric Industry Proceedings FirstEnergy Investigation, I-0040102 GPU/FirstEnergy Merger, A-110300.F095 PECO/Unicom Merger, A-110550F.0147 Exelon/PSE&G Merger, A-110550F0160

5 Exelon/PSE&G Service Quality RELIABILITY AND CUSTOMER SERVICE QUALITY OF SERVICE PLAN Performance Area IndexPerformance Threshold* RELIABILITY SAIFI (12-month)1.28 CAIDI (12-month)125 CUSTOMER SERVICE Percentage of calls answered within 30 seconds (as defined by the Company). 70% Average “Busy-Out” rate (% of calls that encounter a busy signal)..5% Average Call Abandonment Rate.5% **Company agrees to target performance at 4% but non- compliance will still be determined by the Threshold. Percentage of residential bills not rendered once every billing period..02% Gas Response Time to Safety Calls99% within one hour. OSHA Lost Work Days CasesTarget: Top 10% of EEI comparable companies (1500- 4000 employees) Non-Compliance: Top 20% of EEI comparable companies (1500-4000 employees) *Performance Threshold is the number by which performance is measured for purposes of determining non-compliance and application of the enforcement provisions of this Settlement Agreement.

6 Interim Guidelines Establishing Quality of Service Procedures for Jurisdictional Telecommunications Companies. M-00011582 (2002) Petition of OCA For Rulemaking To Amend Title Pa. Code Section 63.1 et seq, P-00021985 (Published 2002) Verizon/MCI Merger, A-310580F9 (2005) Telecommunications

7 Verizon/MCI Merger Importance of maintaining service quality where reductions in work force will occur. Consumer safeguards to ensure affirmative benefits to residential/small business customers.

8 FCC ARMIS Reports Table 5. Customer Trouble Reports per 100 Lines Std1995199619971998199920002001200220032004 Verizon – PA-2.161.881.541.291.311.361.191.111.311.30 Verizon – North-2.002.251.721.781.621.691.641.611.841.83 Verizon – N – PA-1.311.331.041.251.281.250.990.981.061.09 Verizon – N – QS-1.811.711.411.431.261.611.341.261.111.36 Source: FCC ARMIS Report 43-05

9 Ch. 63 Service Quality Infraction Rates Source: BCS UCARE Reports 1997-2003

10 Tennessee-American Water Co. Service Quality Metrics Settlement Quarterly Customer Satisfaction Surveys –R–Reaching TAWC Call Center –C–Call Center Problem Resolution –C–Co. Response to Service Call –W–Water Quality

11 TAWC Scorecard

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13 Tennessee Service Quality Metric Natural Gas Order

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15 NASUCA Minimum Service Quality Resolution Call for State Commissions to establish –R–Regular reporting requirements –M–Minimum performance standards –A–Appropriate enforcement provisions So that adequate, reliable and safe service is achieved and maintained…

16 Service Quality Resolution – cont’d Recognizes that service quality is – Vital to our economy, US position in global economy and national security; – Essential to everyday life and nearly every societal function; – Threatened by mergers, eg, & push to cut costs.

17 Service Quality Resolution – cont’d … and that without – regular monitoring of service quality – specific performance areas – measurable reporting standards Neither regulators nor advocates can detect service quality deterioration.

18 Service Quality Resolution – cont’d Calls for appropriate enforcement provisions to support performance standards Public availability of service quality data for maximum accountability and to enhance competition where available. Approved unanimously by NASUCA, New Orleans, LA, 6/14/2005

19 The End For more information about NASUCA & texts of other resolutions: www.nasuca.org For more information about the PAOCA: www.oca.state.pa.us


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