AI-assisted research summary: The commission may order public utilities to provide safe, adequate service, maintain their equipment, extend facilities, or stop a service, if the stated conditions are met.
The commission has the power, after hearing, upon notice, by order in writing, to require every public utility, as defined in § 65-4-101 , to: Furnish safe, adequate, and proper service and to keep and maintain its property and equipment in such condition as to enable it to do so; and Establish, construct, maintain, and operate any reasonable extension of its existing facilities where, in the judgment of the commission, such extension is reasonable and practicable, and will furnish sufficient business to justify the construction, operation, and maintenance of the same, and when the financial condition of the public utility affected reasonably warrants the original expenditure required in making such extension, or to abandon any service when, in the judgment of the commission, the public welfare no longer requires the same. Acts 1919, ch. 49, § 5; Shan. Supp., § 3059a88; Code 1932, § 5451; T.C.A. (orig. ed.), § 65-414; Acts 1993, ch. 23, § 1; T.C.A., § 65-4-113 ; Acts 1995, ch. 305, § 20; 2017, ch. 94, § 51. Amendments. The 2017 amendment substituted “commission” for “authority” throughout the section. Effective Dates. Acts 2017, ch. 94, § 83. April 4, 2017. Law Reviews. Administrative Law — 1956 Tennessee Survey (James B. Earle), 9 Vand. L. Rev. 913 (1956). NOTES TO DECISIONS 1. Action by Commission (now Authority) as Prerequisite to Service. 2. Requirement of Municipal Franchise. 3. Territory. 5. Certificate of Public Convenience And Necessity. 1. Action by Commission (now Authority) as Prerequisite to Service. Before a telephone company can be required to serve the people of a community the commission (now authority) must hear the matter and grant the necessary certificate therein. Breeden v. Southern Bell Tel. & Tel. Co., 199 Tenn. 203, 285 S.W.2d 346, 1955 Tenn. LEXIS 446 (1955). Court could not grant mandatory injunction ordering telephone company to extend its service into particular area where the commission (now authority) had not granted the necessary authority. Breeden v. Southern Bell Tel. & Tel. Co., 199 Tenn. 203, 285 S.W.2d 346, 1955 Tenn. LEXIS 446 (1955). 2. Requirement of Municipal Franchise. Before any corporation may furnish electricity within the territory of a municipality it must have the permission of that municipality in the form of a franchise even where the corporation has been serving the area before it became a part of the municipality. Franklin Power & Light Co. v. Middle Tennessee Electric Membership Corp., 222 Tenn. 182, 434 S.W.2d 829, 1968 Tenn. LEXIS 421 (1968). 3. Territory. The word “territory,” as used in § 65-4-201 , includes all the area within a territory a public utility has offered and become liable to serve whether the public utility has physical facilities in every part thereof or not. Peoples Tel. Co. v. Tennessee Public Service Com., 216 Tenn. 608, 393 S.W.2d 285, 1965 Tenn. LEXIS 605 (1965). 5. Certificate of Public Convenience And Necessity. Decision of the Tennessee Regulatory Authority (TRA) to revoke a public utility's Certificate of Public Convenience and Necessity was within the authority granted the TRA and not a violation of the statute; the statute does not mandate that the TRA use its authority to require a public utility to provide services in all circumstances, and inherent in the statutory framework is discretion granted to the TRA in the exercise its power. Tenn. Wastewater Sys. v. Tenn. Regulatory Auth., — S.W.3d —, 2016 Tenn. App. LEXIS 461 (Tenn. Ct. App. June 30, 2016). Collateral References. Abandonment of line, public service commission's power with respect to. 5 A.L.R. 55 , 39 A.L.R. 1517 . Bank which has acquired a public service plant as bound to continue its operation. 8 A.L.R. 248 . Contract of public service corporation which tends to impair ability of, to serve public, validity of. 58 A.L.R. 804 . Cost involved as affecting duty to extend electrical service or supply individual applicant. 58 A.L.R. 537 . Danger to person or property as affecting right of gas company to discontinue service upon failure of consumer to comply with reasonable and valid regulations. 132 A.L.R. 914 . Discontinuance of one of several different kinds of service. 21 A.L.R. 578 . Duplicate service, duty of public utility as to. 52 A.L.R. 1111 . Duty to furnish telegraph or telephone service to privately wired or equipped building. 56 A.L.R. 794 . Economical manner of using the service, duty to instruct patron as to, or give him equivalent concession. 38 A.L.R. 1065 . Extension of water system, right to compel municipality to make. 48 A.L.R.2d 1222. Fixtures to be used in connection with its service, right of public service corporation to prescribe. 37 A.L.R. 1367 . Implied obligation with respect to extent of service by gas company. 21 A.L.R. 671 . Mandamus to compel service by electric company. 83 A.L.R. 950 . Public service commission's power to require public utility to extend gas service into new territory. 31 A.L.R. 333 . Resale, right of electrical company to discriminate against a concern which desires service for. 12 A.L.R. 327 , 112 A.L.R. 773 . Right of public utility company to discontinue its entire service. 11 A.L.R. 252 . Right of public utility corporation to refuse its service because of collateral matter not related to that service. 55 A.L.R. 771 . Right of user of public utility to discontinue use. 112 A.L.R. 230 . Service contract by public utility, in consideration of conveyance of property, by individual or private corporation, as affected by public utility acts. 11 A.L.R. 460 , 41 A.L.R. 257 . Street franchise, right of utility on expiration of, by limitation, to discontinue service. 112 A.L.R. 631 . Suspension of service temporarily, duty of public utility to notify patron in advance of. 52 A.L.R. 1078 .