Privacy protections for personal consumption data

(a)

Prohibition on use of personal consumption data

A covered utility may not use (including to license, sell, or otherwise monetize or use for commercial purposes) the personal consumption data of an electric consumer that the covered utility serves unless such use is for an authorized operational purpose.(b)

Annual reports

Each covered utility shall, not later than 1 month after the end of each fiscal year of the covered utility, submit to the Federal Trade Commission a report on how the covered utility uses the personal consumption data of electric consumers that the covered utility serves, which shall include—(1)what type of personal consumption data the covered utility collected from electric consumers during such fiscal year;(2)how the covered utility used that personal consumption data; and(3)with whom the covered utility shared that personal consumption data.(c)

Payment for violations

(1)

In general

If the Federal Trade Commission determines that a covered utility used the personal consumption data of an electric consumer in violation of subsection (a), the covered utility shall credit the bill of that electric consumer in an amount that is 3 times the revenue attributable to such use.(2)

Limitation

In carrying out paragraph (1), a covered utility may not recover, from any electric consumer that the covered utility serves, the cost of any amount credited under such paragraph.(3)

Consultation

In carrying out this subsection, the Federal Trade Commission may consult with the Federal Energy Regulatory Commission.(d)

Enforcement by Federal Trade Commission

(1)

Unfair and deceptive acts or practices

A violation of this section or a regulation promulgated under such section shall be treated as a violation of a regulation under section 18(a)(1)(B) of the Federal Trade Commission Act (15 U.S.C. 57a(a)(1)(B)) regarding unfair or deceptive acts or practices.(2)

Powers of Commission

The Federal Trade Commission shall enforce this section and the regulations promulgated under such section in the same manner, by the same means, and with the same jurisdiction, powers, and duties as though all applicable terms and provisions of the Federal Trade Commission Act (15 U.S.C. 41 et seq.) were incorporated into and made a part of this Act. Any person who violates such section or a regulation promulgated under such section shall be subject to the penalties and entitled to the privileges and immunities provided in the Federal Trade Commission Act.(e)

Actions by States

(1)

In general

In any case in which the attorney general of a State has reason to believe that an interest of the residents of such State has been or is threatened or adversely affected by an act or practice in violation of this section, or a regulation promulgated under such section, the State, as parens patriae, may bring a civil action on behalf of the residents of the State in an appropriate State court or an appropriate district court of the United States to—(A)enjoin such act or practice;(B)enforce compliance with such section or such regulation;(C)obtain damages, restitution, or other compensation on behalf of residents of the State; or(D)obtain such other legal and equitable relief as the court may consider to be appropriate.(2)

Notice

Before filing an action under this subsection, the attorney general of the State involved shall provide to the Federal Trade Commission a written notice of such action and a copy of the complaint for such action. If the attorney general determines that it is not feasible to provide the notice described in this paragraph before the filing of the action, the attorney general shall provide written notice of the action and a copy of the complaint to the Federal Trade Commission immediately upon the filing of the action.(3)

Authority of Federal Trade Commission

(A)

In general

On receiving notice under paragraph (2) of an action under this subsection, the Federal Trade Commission shall have the right—(i)to intervene in the action;(ii)upon so intervening, to be heard on all matters arising therein; and(iii)to file petitions for appeal.(B)

Limitation on State action while Federal action is pending

If the Federal Trade Commission or the Attorney General of the United States has instituted a civil action for violation of this section or a regulation promulgated under such section (referred to in this subparagraph as the Federal action), no State attorney general may bring an action under this subsection during the pendency of the Federal action against any defendant named in the complaint in the Federal action for any violation of such section or regulation alleged in such complaint.(4)

Rule of construction

For purposes of bringing a civil action under this subsection, nothing in this Act shall be construed to prevent an attorney general of a State from exercising the powers conferred on the attorney general by the laws of such State to conduct investigations, administer oaths and affirmations, or compel the attendance of witnesses or the production of documentary and other evidence.(f)

Data security and retention

The Federal Trade Commission shall establish reasonable security and retention standards for any personal consumption data used for an authorized operational purpose.(g)

Preemption

This Act establishes a Federal baseline and does not preempt State laws providing stronger privacy protections for personal consumption data.(h)

Definitions

In this Act:(1)

Authorized operational purposes

The term authorized operational purposes means billing, outage management, electric grid reliability, regulatory compliance, and electric consumer-authorized demand response programs.(2)

Covered utility

The term covered utility means a State regulated electric utility (as such term is defined in section 3 of the Public Utility Regulatory Policies Act of 1978 (16 U.S.C. 21 2602)) that is not wholly owned by United States persons.(3)

Electric consumer

The term electric consumer has the meaning given such term in section 3 of the Public Utility Regulatory Policies Act of 1978 (16 U.S.C. 2602).(4)

Personal consumption data

The term personal consumption data means data collected by a smart meter.(5)

Smart meter

The term smart meter means a digital device that records the use of electric energy by an electric consumer in near real time and automatically communicates that data to a covered utility.