In 2024, state legislation was introduced (Senate Bill 1) and signed into law restricting energy choice options for customers. The interpretation and implementation of that law by the Maryland Public Service Commission in January 2025 shut the market down for energy customers to shop for their choice of an electric or gas supplier. The new regulations stemming from the law have eliminated all retail energy offers and are forcing retail energy suppliers to return customers to the service of their local electric or gas utility. Maryland has now reverted back to a utility monopoly state –– customers no longer have energy options.
More than 300,000 residential customers were enrolled annually with a retail electric supplier in Maryland. Customers no longer have options to shop for on the Maryland Electric Choice website. Customers can expect to be notified by the supplier, in accordance with state regulation, that they are being returned to the supply service of their local utility. As customers are transitioned away from their supplier they will notice the supply cost on their bill will adjust to the rate charged by their utility company.
More than 3,000 Maryland residents reached out to their lawmakers, advocating against the legislation. Customer voices need to be heard to create change and bring back energy choices.
Stay informed and get involved by joining the My Energy Choice campaign.
The Retail Energy Advancement League (REAL) is advocating for legislative changes that will return energy choice to customers, create energy resilience in Maryland, and deliver a positive customer experience.
REAL filed a lawsuit challenging SB1, which purports to restrain retail energy companies from truthfully marketing their clean energy products to residential customers in Maryland, in violation of the First Amendment to the U.S. Constitution and Maryland state law.
Maryland’s current Renewable Portfolio Standard (RPS) requires both utilities and suppliers to source 36% of the electricity sold in the state with premium renewable energy credits (RECs) from specific types of energy resources and geographic areas. Maryland has not made this a 100% requirement because of the cost and availability of these premium RECs.
Before SB1, retail energy suppliers could market plans as “100% renewable” by obtaining the additional 64% of voluntary RECs from sources anywhere in the U.S. After SB1, retail energy suppliers are prohibited from calling these offerings “100% renewable.”
REAL’s lawsuit explains that the marketing restrictions on renewable energy plans in SB1 are unconstitutional, as REAL’s members use the terms prohibited by statute consistently with the guidance set forth by the EPA and Federal Trade Commission to highlight to consumers the environmental benefits provided by voluntary RECs. SB1 prohibits retail energy suppliers from using words such as “renewable,” “green,” and “clean,” to market and communicate truthful information to customers about how plans with voluntary RECs can help reduce carbon emissions and combat climate change, among other benefits.
The prohibited and compelled speech provisions contained in SB1 violate the First Amendment to the U.S. Constitution and Article 40 of the Maryland Declaration of Rights. These and other restrictions imposed by SB1 will cause irreparable harm by stifling suppliers’ ability to market their products, thus leading to a loss of business and consumer choice in Maryland’s energy market.
REAL continues to litigate this unconstitutional legislative act.