National Consumer Protection Week begins this week, offering valuable insights to empower Americans and equip them with the knowledge to safeguard against predatory practices and deceptive marketing. Observed annually, this initiative has gained critical importance in our rapidly evolving digital landscape. In recognition of its significance, The White House has issued a proclamation for National Consumer Protection Week 2024.
In the proclamation, President Biden writes, “As my Administration continues to build an economy that works for everyone, we cannot let fraud, cybercrimes, or unfair business practices interrupt the progress we have made. During National Consumer Protection Week, we recommit to protecting the rights of consumers and spreading awareness about the resources people have to defend themselves from predatory acts.”
In July 2021, President Biden signed an Executive Order promoting competition in the American economy. In the first section under policy, it states, “A fair, open, and competitive marketplace has long been a cornerstone of the American economy, while excessive market concentration threatens basic economic liberties, democratic accountability, and the welfare of workers, farmers, small businesses, startups, and consumers. The American promise of a broad and sustained prosperity depends on an open and competitive economy…. Robust competition is critical to preserving America’s role as the world’s leading economy.”
For a market to operate effectively, it requires the fostering of competition alongside the implementation of practical consumer protections. The Retail Energy Supply Association (RESA) is the nation’s leading trade association representing competitive retail energy suppliers. For over 20 years, the organization has advocated for competition nationwide and has helped create legislation and support commissioners, regulators and legislators to protect consumers. Currently, only 13 states and one jurisdiction in the U.S. allow competition and give consumers the power to select an energy provider. Despite the executive order from President Biden supporting competition, our industry faces ongoing threats to eliminate competition and return to a monopoly utility.
While one of the goals of a competitive retail energy market is to reduce costs, it is not the only goal. Retail energy competition allows consumers to make informed decisions on what option is best for their home or business. RESA members have data showing that educating consumers is one of the most important ways to protect them.
RESA believes that competition is the most effective way to allocate resources efficiently and is essential for markets to thrive. The ability to choose an electric and gas supplier should be a right that is available to all consumers, not just those who reside in restructured states or jurisdictions.
RESA strives to help educate shoppers on their options when choosing a retail energy supplier that best meets their needs. RESA publishes monthly market savings reports, helps consumers locate their utility commission’s energy shopping websites for each participating state, promotes the importance of regular shopping, and offers an energy glossary and other consumer resources, including a Consumer Education Guide to assist residential and small business consumers.
RESA members recognize the critical role that practical, substantive and fair consumer protection and marketing practices play in producing a healthy, robust and sustainable competitive retail market. We are committed to meeting and promoting a set of guiding principles addressing consumer protection and marketing practices in every competitive market – now or in the future.
To learn more about additional, complimentary resources available to protect consumer’s rights, visit consumer.ftc.gov.
