CODE OF VIRGINIA

DEFAULT SERVICE (§ 56-585)

A. The Commission shall, after notice and opportunity for hearing, (i) determine
the components of default service and (ii) establish one or more programs making
such services available to retail customers requiring them during the
availability throughout the Commonwealth of customer choice for all retail
customers as established pursuant to § 56-577. For purposes of this chapter,
“default service” means service made available under this section to
retail customers who (i) do not affirmatively select a supplier, (ii) are unable
to obtain service from an alternative supplier, or (iii) have contracted with an
alternative supplier who fails to perform. Availability of default service shall
expire upon the expiration or termination of capped rates.

B. A distributor shall have the obligation and right to be the supplier of
default services in its certificated service territory, and shall do so, in a
safe and reliable manner, at rates determined pursuant to subsection C; however,
the Commission may not require a distributor, or affiliate thereof, to provide
any such services outside the territory in which such distributor provides
service.

C. Until the expiration or termination of capped rates, the rates for default
service shall equal the capped rates established pursuant to subdivision A 2 of
§ 56-582.

D. A distribution electric cooperative, or one or more affiliates thereof, shall
have the obligation and right to be the supplier of default services in its
certificated service territory. A distribution electric cooperative’s
rates for such default services shall be the capped rate for the duration of the
capped rate period. Subsections B and C shall not apply to a distribution
electric cooperative or its rates. Such default services, for the purposes of
this subsection, shall include the supply of electric energy.

HISTORY: 1999, c. 411; 2000, c. 991; 2001, c. 748; 2003, c. 885; 2004, c. 827;
2007, cc. 888, 933.